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2022 Supreme(P&H) 250

M. S. RAMACHANDRA RAO, HARMINDER SINGH MADAAN
Guru Nanak Engineering Works – Appellant
Versus
Reserve Bank Of India – Respondent


Advocates Appeared:
Mr. Chanchal K. Singla, Advocate,, for the Appellant; Ms. Rajni Narula, Advocate with Mr. Alankar Narula, Advocate for the respondents No.2,3,5 to 8., Mr. Karan Kumar Jund, Central Government Counsel, for UOI-respondent No.4, for the Respondent

JUDGMENT

M.S. Ramachandra Rao, J. - Background facts The petitioner is a MSME Unit registered with Ministry of MSME, Government of India vide Udyog Adhaar No. 825467027442 vide Registration Certificate dt.20.04.1999. It is a sole proprietory concern engaged in the business of manufacturing of agricultural equipments/ construction equipments/road sweeper machines.

2. Respondent No.3 Bank ( for short 'the Bank') had extended facilities to the petitioner since 2006 in the form of Cash Credit/Agricultural Limit vide Annexure P-3 amounting to 30 Lakhs @ interest rate of Basic Prime Lending Rate (BPLR) plus Term Premia which was 11.25% at the time of sanction of the said Limit.

3. The said Limit was provided by the Bank against the primary security of hypothecation of the fixed assets of the petitioner amounting to 4.88 Lakhs at the time of sanction of the limit, and closing stock of machinery of 40 Lakhs. Two collateral securities of constructed factory land and building measuring 4 Kanals, and another measuring 2 Kanals, 15 Marlas, were also furnished by the petitioner.

4. It is the contention of the petitioner that the Bank was not providing documents relating to rate of interest it char

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