S.S. SUBRAMANI J.

This revision is filed under article 227 of the Constitution of India, by the third respondent in Transferred Application No. 100 of 1996, on the file of the Debt Recovery Tribunal, Madras. The respondent herein filed C.S. No. 852 of 1989 on the original side of this court. When the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 came into force, the suit was transferred before the Debts Recovery Tribunal, and was numbered as Transferred Application No. 100 of 1996.

The respondent filed the suit against the defendant for recovery of more than Rs. 21 lakhs and interest at quarterly rests, and for consequential reliefs. From the body of the plaint, it could be seen that the first defendant-company availed of financial assistance in the nature of term loan and cash credit facilities, as per application dated January 19, 1985. The same was sanctioned by the respondent as per sanction letter dated December 30, 1985. As security for the loan, machineries were hypothecated, computers, floppies, ribbons software and computer systems were also hypothecated. The first defendant-company was not satisfied with the amount advanced, and it again re