ORDER :

[P. Naveen Rao, J.]

1. Heard learned senior counsel Sri S.Ravi for petitioners and learned senior counsel Sri G.Vidyasagar for respondents.

2. Petitioners are classified as small enterprises under the Micro, Small and Medium Enterprises (MSME) classification. They are engaged in the business of extraction of crude petroleum and natural gas. With an intention to set up units to be engaged in manufacture of reclamation of used and waste oil, petitioners obtained term loan of Rs.5.37 crores and Rs. 2.76 crores respectively for construction of factory buildings and term loan of Rs. 4.98 crores and Rs. 4.56 crores respectively towards purchase of plant and machinery and a cash credit amount of Rs. 4.63 crores and Rs. 7.35 crores respectively at the rate of interest of 11.75 % per annum from first respondent bank. There appears to be correspondence on restructuring the loan accounts and charge of higher interest rate. Holding that consequent to default committed in repayment of principal debt and interest thereon, the loan accounts of petitioners were classified as Non Performing Assets (NPA) as on 31.7.2019, the first respondent bank issued notice dated 7.9.2019 calling upon the