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CASE NO.:

Appeal (civil) 3228 of 2006

PETITIONER:

M/s Transcore

RESPONDENT:

Union of India & Anr

DATE OF JUDGMENT: 29/11/2006

BENCH:

Arijit Pasayat & S. H. Kapadia

JUDGMENT:

J U D G M E N T

with

Civil Appeal Nos. 1374/06, 2841/06, 3225/06, 3226/06 and 908/06.

KAPADIA, J.

A short question of public importance arises for determination,

namely, whether withdrawal of O.A. in terms of the first proviso to Section

19(1) of the DRT Act, 1993 (inserted by the Amending Act No.30 of 2004)

is a condition precedent to taking recourse to the Securitisation and

Reconstruction of Financial Assets and Enforcement of Security Interest

Act, 2002 ("NPA Act" for short).

Facts in Civil Appeal No. 3228 of 2006:

Since the above question arises in a batch of matters, for the sake of

convenience, we refer briefly to the facts in civil appeal No. 3228/06, in

which M/s Transco is the appellant.

In March 1999, O.A. No. 354/99 was filed by Indian Overseas Bank

("the bank") before the DRT, Chennai for recovery of dues from M/s

Transcore- appellant herein. The claim was disputed. An interlocutory

application was filed by the