V.K. MATHUR, J. (CHAIRPERSON)

1. This Appeal has been preferred by the appellant-Bank under Section 18 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (hereinafter referred to as "SARFAESI Act") against the order dated 16th October, 2014 passed by the learned DRT, Allahabad by which the learned DRT allowed the Securitization Application No. 92 of 2013 filed by the respondents and the entire process as initiated by the Bank on the strength of first demand notice issued under Section 13(2) of the SARFAESI Act, dated 9th October, 2012 was quashed. The brief facts of adjudication of the present case are that the respondent company was granted credit facilities by the appellant Bank under various heads for a total sum of Rs. 27.67 crores. The respondent company had mortgaged the immovable property and also plant and machinery for availing the credit facilities. The account of the respondent company became irregular and the appellant Bank classified the account as non-performing asset (NPA) on 26th May, 2012 as per the R.B.I. Guidelines.

2. The appellant-Bank issued a demand notice under Section 13(2) of the SARFAESI Act