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2022 Supreme(Ori) 575
IN THE HIGH COURT OF ORISSA AT CUTTACK
Jaswant Singh, M.S. Sahoo, JJ.
Arun Kumar Bhanja – Appellant
Versus
Zonal Manager, UCO Bank & Ors. – Respondents
Writ Petition (C) No. 25212 of 2014
Decided On : 07-12-2022
Susanta Kumar Mishra, Advocate
Dismissal of writ petition as infructuous due to closure of loan account
Headnote:
SARFAESI Act - Recovery Process - Challenge to Demand Notice
Fact of the Case:
Petitioner is a defaulting borrower against whom recovery process was initiated under the SARFAESI Act, 2002. The demand notice recalling an outstanding liability was challenged in the writ petition.
Finding of the Court:
The writ petition was dismissed as infructuous due to the loan account being closed upon clearing of the outstanding liability.
Issues: Challenge to demand notice under SARFAESI Act
Ratio Decidendi: Dismissal of the writ petition as infructuous
Final Decision: The writ petition is dismissed as infructuous
JUDGMENT
1. Petitioner is a defaulting borrower, against whom recovery process under the SARFAESI Act, 2002 upon the loan account having been classified NPA on 31.03.2014, was initiated vide demand notice dated 27.05.2014 issued under Section 13(2) of the SARFAESI Act, 2002 recalling an outstanding liability of Rs.18,54,602/- with further interest and incidental expenses. It is the said demand notice which is sought to be challenged in the present writ petition.
2. At the outset, learned counsel for the petitioner states that the present writ petition has become infructuous on account of the loan account having been closed upon clearing of the outstanding liability.
3. In view of the above, the writ petition is dismissed as infructuous.
