Debts Recovery Tribunals and Appellate Tribunals
K S CREATIONS AND ORS vs SUTEX COOPERATIVE BANK LIMITED on 17 January 2024
MA 04/2024
Date : 17/01/2024
Today this matter has come up for hearing.
Ld. Counsel Mr. Mohit Gupta for the Applicants is present.
Ld. Counsel Mr. Gulshan Nasha for the Respondent Bank is present.
Ld. Counsel for the Applicants submitted that this Tribunal has decided SA No.710/2022 vide order dated 16/06/2023 and given opportunity to the Applicants to deposit the amount as per the schedule mentioned in the said order. He further submitted that due to unavoidable circumstances, the Applicants are unable to deposit the outstanding amount as per the order dated 16/06/2023 passed in SA No.710/2022. However, the Applicants are still ready and willing to deposit Rs.1.76 Crore. As such, requested to pass appropriate orders.
Per contra, Ld. Counsel for the Respondent Bank vehemently resisted the request of the Applicants and submitted that an amount of approximately Rs.2.45 Crore is outstanding and the Applicants have breached the undertaking given by them. As such, no indulgence is required at this stage.
Heard Ld. Counsel for the parties at length.
Considering the facts and circumstances of the case, the present Miscellaneous Application is dismissed vide a separate detailed order.
However, the Applicants may approach the Respondent Bank for amicable settlement.
(Laxman Madnani)
Presiding Officer
DRT-II, Ahmedabad
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**DEBTS RECOVERY TRIBUNAL-II, AHMEDABAD
(LAXMAN MADNANI, PRESIDING OFFICER)**
**MISCELLANEOUS APPLICATION No.04 OF 2024**
**IN**
**SECURITIZATION APPLICATION No.710 OF 2022**
Date of Institution :29/12/2023
Date of Decision :17/01/2024
1. 1. M/s. K.S. Creations
A sole proprietary firm of
Sureshkumar Ramchand Sawnani
2. 2. Smt. Diksha Jitendra Sawnani
3. 3. Smt. Komal Sureshkumar Sawnani
4. 4. Shri Jitendra Ramchand Sawnani
All having address at
6 Mehta Raw House,
Behind Sargam Shopping Centre,
Parle Point, Surat – 395007
..... Applicants
**Versus**
The Sutex Coop. Bank Ltd.,
A cooperative bank incorporated
under The Gujarat Cooperative
Societies Act, having its
Registered / Head Office at
2<sup>nd</sup> Floor, "Surajram",
Bachkaniwala Bhavan,
Nr. Navjivan Circle,
Udhna Magdalla Road,
Surat, Gujarat - 395017
..... Respondent
**Appearance:**
Mr. Mohit Gupta, Ld. Counsel for the Applicants Mr. Gulshan Nasha, Ld. Counsel for the Respondent-Bank.
**JUDGMENT**
1. 1. The Applicants have preferred the present Miscellaneous Application (MA) seeking extension of time for depositing
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Rs.1,76,05,032/-being balance payment as per the order dated 16/06/2023 passed by this Tribunal in SA No.710/2022 and for other incidental reliefs.
1. 2. The Applicants have averred that this Tribunal had granted time till 15/11/2023 to pay the settlement amount of Rs.2,64,00,000/- as per the schedule mentioned in order dated 16/06/2023, but the Applicants have deposited Rs.87,94,968/- against Rs.2,64,00,000/-. The Applicants wrote a letter to the Respondent dated 18/12/2023 requesting for extension of time for balance payment. However, the Respondent Bank has not replied the said letter and therefore the Applicants have approached this Tribunal by way of the present MA.
2. 3. Per contra, Ld. Counsel for the Respondent Bank vehemently resisted the request of the Applicants and submitted that an amount of approximately Rs.2.45 Crore is outstanding and the Applicants have breached the undertaking given by them. As such, no indulgence is required at this stage.
3. 4. From the order dated 16/06/2023 passed by this Tribunal in SA No.710/2022, it appears that the Applicants were inclined to settle the matter amicably with the Bank and accordingly they submitted payment schedule of the settled amount of Rs.2,64,00,000/-. Upon such inclination of the Applicants, this Tribunal passed order dated 16/06/2023 and disposed of SA No.710/2022 and
1
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specifically observed that "Time is/will be the essence of this compromise and Applicants will not be entitled for any time extension in future". As per the schedule of payment agreed by the Applicants, the entire settled amount was to be paid by the Applicants to the Respondent Bank on or before 15/11/2023. However, the Applicants have flouted their own undertaking given before this Tribunal. The Applicants have not made payment of the entire settled amount to the Respondent Bank till date. The respect and authority commanded by courts of law are the greatest guarantee to an ordinary citizen and the entire democratic fabric of the society will crumble down if the respect for the judiciary is undermined. It is true that the judiciary will be judged by the people for what the judiciary does, but in the event of any indulgence which can even remotely be termed to affect the majesty of law, the society is bound to lose confidence and faith in the judiciary and the law courts thus would forfeit the trust and confidence of the people in general. The Contempt of Courts Act, 1971 intends to secure confidence of the people in the administration of justice by disciplining those erring in disobeying the orders of the Court/undertaking given to court.
1. 5. In light of the aforesaid discussion, this Tribunal is of the opinion that the present Miscellaneous Application
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deserves to be dismissed. However, the Applicants may approach the Respondent Bank for amicable settlement.
6. In view of aforesaid discussion, the following order is passed:-
**ORDER**
- i The present Miscellaneous Application is hereby dismissed with no order as to cost.
- ii Interim relief, if any, stands vacated forthwith.
- iii Other pending Miscellaneous Application, if any, also stands disposed of.
- iv The Registry of this Tribunal is hereby directed to issue the free copy of the order and be sent to all the parties in compliance of Rule 16 of the Debt Recovery Tribunal Procedure Rule 1993.
The case file be consigned to record.
Pronounced in open Court on this 17<sup>th</sup> day of January 2024.
/
(Laxman Madnani) Presiding Officer DRT-II, Ahmedabad
\*ykb\*
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