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2023 Supreme(Del) 1252
IN THE HIGH COURT OF DELHI AT NEW DELHI
Najmi Waziri, Neena Bansal Krishna, JJ.
Uba Realtech Private Limited – Appellant
Versus
ICICI Bank Limited & Ors. – Respondents
W.P.(C) 2743 of 2023 & CM APPLs. 10574 of 2023
Decided On : 03-03-2023
Mr. Salman Khurshid, Senior Advocate with Mr. Aproov Agarwal, Ms. Vaishnavi Prakash, Ms. Sommya Chaturvedi, Ms. Sidra Khan and Ms. Lubna Naaz, Advocates, for the Petitioner.
Mr. Sanjiv Kakra, Senior Advocate with Mr. Bhum Sain Jain, Mr. Irfan Ahmed, Mr. Shikher Gupta and Mr. Akash Madan, Advocates, for the Respondents.
Mr. Chiranjiv Kumar and Mr. Mukesh Sachdeva, Advocates, for the Respondent-7.
The court prioritized the need for early adjudication to prevent irreparable prejudice to the petitioner in the context of property rights and auction proceedings.
Headnote:
Auction - Property Rights - Interim Relief
Fact of the Case:
The petitioner sought interim relief regarding the auction of their property for loan recovery. The auction had already taken place, and the auction purchaser had deposited 25% of the bid amount.
Finding of the Court:
The court directed the Debt Recovery Tribunal to hear the petitioner's case before any other rights are sought to be created in the mortgaged property, to the prejudice of the applicant.
Issues: Interim relief, Auction of Property, Prejudice to Petitioner
Ratio Decidendi: The court emphasized the need for early adjudication of the case and directed the tribunal to prioritize the petitioner's case to prevent irreparable prejudice.
Final Decision: The petition, along with pending applications, is disposed-off with the direction to the Debt Recovery Tribunal to take up the petitioner's case on a specified date.
JUDGMENT
Najmi Waziri, J. (Oral)
The hearing has been conducted through hybrid mode (physical and virtual hearing).
CM APPL. 10575/2023(Exemption)
1. Allowed, subject to all just exceptions.
2. The application stands disposed off.
W.P.(C) 2743/2023 & CM APPLs. 10574/2023
3. Issue notice.
4. The learned counsel named above accept notice on behalf of their respective respondents.
5. At joint request, the petition is taken up for disposal.
6. The petitioner's SA No. 382/2022 tilted as "Uba Realtech Private Limited vs. ICICI Bank & Ors." seeks interim relief apropos the auction of their property towards recovery of loans given by the respondent/Bank.
7. Auction apropos the said property has already taken place. The auction purchaser has deposited 25% of the bid amount and the time for payment of the balance 75% has been extended to 10.03.2023.
8. Mr. Salman Khurshid, the learned Senior Advocate for the petitioner submits that should the auction sale be confirmed, it will cause an irreparable prejudice to the petitioner therefore, the DRT concerned be directed to hear the petitioner's case before any other rights are sought to be created in the mortgaged property, to the prejudice of the applicant.
9. Mr. Sanjiv Kakra, the learned Senior Advocate for the R-1 submits that he too would support an early adjudication of the case. Indeed, both the learned Senior Advocates for the parties submit that they would assist the Tribunal whenever the matter is next listed for its speedy disposal.
10. The learned Senior Advocate for the petitioner clarifies that the petitioner was not the beneficiary of the loan which, was financed for laying of a ring-road around the city of Hyderabad. The petitioner had only mortgaged its assets for the said loan.
11. Apropos the notification dated 04.10.2022 being stayed by the Bombay High Court of Bombay on 17.11.2022 in "Ishwarlal Shankarlal Lalwani (Jain) vs. The Union of India", this court has already taken note of the same on 06.02.2023 in "Religare Finvest Limited vs ICICI Bank Limited".
12. In view of the above, the court would request DRT-III, Delhi to take up SA No. 382/2022 on 07.03.2023, subject to its Roster Board.
13. The petition, along with pending applications is disposed-off in terms of the above.
