AI Overview...
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Death of Proprietor and Limitation Period - The application filed before the DRT was within the prescribed limitation period, and the death of the sole proprietor did not bar the proceedings. The limitation period for collateral security is generally 12 years, and the last transaction was within this period, allowing the application to proceed Punam Wangkhem Singh Bhatia VS Manipur Industrial Development Corporation - Gauhati.
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Proprietorship and Legal Proceedings - Several cases highlight that the status of a sole proprietor, even posthumously, influences legal proceedings such as bank sanctions, recovery actions, and auction processes. For instance, the death of a sole proprietor like Mr. Murugesan or Narendra Jayantilal Trivedi does not automatically terminate ongoing recovery or auction processes, provided legal procedures are followed Central Bank of India VS South Indian Bank Ltd. - Madras, NARENDRA JAYANTILAL TRIVEDI vs KOTAK MAHINDRA BANK - Gujarat, M. R. Vasumathi VS Authorized Officer, Indian Bank, Chennai - Madras.
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Banking and Recovery Actions - Banks can initiate recovery proceedings through DRT even after the death of a sole proprietor, and such proceedings are subject to applicable limitation periods. The auction of secured assets and confirmation of sale by DRT are valid, and the application filed by the creditor before DRT remains enforceable within the statutory timeframe Official Liquidator of M/s. Kritika Rubber Industries Pvt. Ltd. VS Canara Bank, Madiwala Branch - Karnataka, M. R. Vasumathi VS Authorized Officer, Indian Bank, Chennai - Madras.
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Legal Bar under SARFAESI and Suit Proceedings - The bar under Section 34 of the SARFAESI Act may restrict certain applications for interim relief, but separate recovery actions or suits can still be maintained. The validity of e-auctions, applicability of limitation periods, and enforcement of security after proprietor’s death are upheld if procedural requirements are met Ellora Mohanty VS State Bank of India, Small & Medium Enterprises City Credit Centre, College Square, Cuttack - Orissa.
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Restoration and Final Orders - Applications for restoration of proceedings under IBC are generally dismissed if not substantiated or if barred by law. The competence of tribunals or benches to hear such applications depends on jurisdiction and procedural compliance Ashish Mohan Gupta VS - National Company Law Tribunal.
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Jurisdiction and Procedural Aspects - Courts and tribunals, including DRT, have clarified their jurisdiction to hear recovery applications, even in cases involving the death of a proprietor, provided that the proceedings are initiated within the prescribed statutory periods and proper legal procedures are followed Central Bank Of India VS Prabha Jain - Supreme Court.
Analysis and Conclusion:
The death of a sole proprietor does not automatically invalidate pending recovery or auction proceedings filed before the DRT, provided the applications are within the limitation period and procedural requirements are met. Courts and tribunals have maintained that such proceedings remain valid unless expressly barred by law, such as under specific provisions of the SARFAESI Act or IBC. Therefore, applications filed before the DRT by or against a deceased sole proprietor are generally maintainable if filed timely, and the legal process continues unless explicitly challenged or dismissed on procedural grounds.
Search Results for "Death of Sole Proprietor for Sa Application Filed before Drt"
2012 0 Supreme(Gau) 1063 • India - Gauhati
BIPLAB KUMAR SHARMA
before learned DRT on - In such a situation application was within time and was not barred by limitation - Petition dismissed/p ... ) in Original Application and judgment passed by learned Debt Recovery Appellate Tribunal, Kolkata in Appeal by which impugned order ... deceased as a collateral security limitation as calculated by both the authorities would be 12 years - last transaction was and OA was filed ... As indicated above, the defendant No. 2 was the sole proprietor and on his #....
2018 0 Supreme(Mad) 1398 • India - Madras
S.MANIKUMAR, V.BHAVANI SUBBAROYAN
along with a person introduced by them as and as brother of and projected him as sole proprietor of 2nd defendant (D2) in both OAs ... by them as sole proprietor of D2, a sanction was obtained from the bank for DA-LC limit of Rs. 75 lakh in favour of D2 - At request ... of 3rd defendant (D3) in O.A.No. and his brothers V.M.S. proprietor of D3 in O.A.No.98 of 2003 and one Asia Banu wife of the said ... ... (c) This respondent is not aware of the death of the proprietor#HL_END....
• India - High Court of Gujarat
BHARGAV D. KARIA, J
It is pertinent to note that the said property belonged to (i) Aromatic Intermediate and Chemicals sole proprietor Narendra Jayantilal Trivedi, (ii) Gujarat Polymers, sole proprietor Narendra jayantilal Trivedi HUF, and (iii) Amco Dyestuff Industries, 4 partnership firm comprising ... Aromatics Intermediates and Chemicals and others of which the petitioner is one of the proprietor would be Rs. 45,00,619.18. ... Trivedi and all other facts regarding sale of two secured asse....
2014 0 Supreme(Ori) 193 • India - Orissa
RAGHUBIR DASH
The lower court dismissed the application for interim injunction based on the bar created under Section 34 of the Act. ... Fact of the Case: The Plaintiff filed a suit for partition and a declaration that an equitable Mortgage Deed created ... The Respondent-Bank filed objection in the I.A. contending, inter alia, that the suit as well as the application for interim injunction is not maintainable in view of the bar created under the provisions of the Act. ... Guru Om Automobiles through its proprietor....
2020 0 Supreme(Mad) 1836 • India - Madras
M.M.SUNDRESH, R.HEMALATHA
Issues: Validity of e-auction, applicability of limitation period, permissibility of enforcing security after the guarantor's death ... One Mr.Murugesan who is the sole proprietor of M/s.Shiv Shankar Agencies in West Mambalam, Chennai, had availed a loan in the year 1984 from the respondent Indian Bank. ... They contended that it is to be noted that the setting aside application was filed after the e-auction sale got completed. ... The DRT has dealt with the issue of compliance of mand....
2013 0 Supreme(Kar) 328 • India - Karnataka
ARAVIND KUMAR
property and auctioned the same, and confirmation of sale has taken place pursuant to which certificate of sale came to be issued by DRT ... Application filed by the secured creditor before DRT came to be allowed on 26.06.2000. ... In the case on hand, the secured creditor had filed O.A.No.194/1997 on 19.02.1997. Said application came to be allowed by DRT on 26.06.2000. ... Pursuant to the said order of remand, respondents-1 and 2 have filed their ob....
2024 Supreme(Online)(NCLT) 793 • India - National Company Law Tribunal
Final Decision: The application for restoration of CP (IB) No. 89/Chd/Pb/2024 is dismissed. ... Restoration - Personal Guarantor - Section 60(5) of IBC - Section 94 of IBC - SARFAESI Act Fact of the Case: The present application ... Whether the Special Bench is competent to hear and decide the application for restoration of CP No. 89 of 2024, which was dismissed ... Thereafter, the present application for restoration of the main petition was filed on the same day i.e. on 01.05.2024. ... It is submitt....
2009 0 Supreme(AP) 370 • India - Andhra Pradesh
GHULAM MOHAMMED, VILAS V.AFZULPURKAR
against under the Act for recovery of the amount due to bank - Remedy under the Act is an additional remedy - Bank can approach the DRT ... Snnivasa Borewells as a Proprietor and secured loan of Rs.2,16,000/- by mortgage of the property from the respondent-Bank on 13-6-1981 and purchased a Bore-Well Rig. ... In Transcore's case (supra), considering the object of the SARFAESI Act, it was held by the Apex Court that for recovery of bank dues, banks having elected to seek their remedy in terms of the DRT Act can still Invoke SARFAESI Act for....
2025 0 Supreme(SC) 163 • India - Supreme Court
J. B. PARDIWALA, R. MAHADEVAN
(Paras 9, 10, 24) ... ... (B) Jurisdiction - The court clarified that the DRT ... (Paras 18, 19, 20) ... ... Facts of the case: ... The plaintiff filed a suit ... Bank of India had advanced a loan of Rs 25 lakhs to M/s Guru Om Automobiles, Respondent 10 herein, through its proprietor, Respondent 6 on 17- 2-2000. ... Tribunal for expeditious disposal of the application pending before the Debts Recovery Tribunal and the Appellate Tribunal may, on such application, make an order for expeditious dispos....
2012 0 Supreme(Bom) 495 • India - Bombay
ROSHAN DALVI, MOHIT S.SHAH
submitted that even the orders were passed against the defendant CD Shah Group by the learned Arbitrator in the year 2005 and the DRT ... restraining Defendant No.13 from withdrawing the amount of Rs.5 Crores from the DRT as, according to the plaintiffs, the said amount ... The defendants filed a Notice of Motion under Order VII Rule 11(d) of the Code of Civil Procedure seeking dismissal of the suit. ... For the purpose of deciding the application under Order 7, Rule 11 for rejecting the plaint, the Court has also to pre....
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