Smt Thotakura venkata sita lakshmi vs CANARA BANK on 12 October 2021

ORDER

According to the case fo the petitioners that in the above matter the Tribunal passed orders dt.9.4.2021 allowing the appeal and directed the petitioners to approach the bank for settlement under OTS and stipulated that the same shall be considered by the bank within six months and directed the bank not to take any coercive action during that period of six months; that they have immediately approached the bank and submitted OTS proposal in respect of three accounts i.e., the account covered by this SA and SA.138/2021 and SA.140/2021; that they have also paid an upfront amount of Rs.20,00,000/- to the bank and vouchers showing payment of the upfront amount are friled along with this petition. It has been stated that they are informed that their OTS proposal is under active consideration and that they are very much ready to settle the matter under OTS and due to various reasons and the pandemic situation the OTS is not yet finalized and that if even before the OTS is finalized the bank takes any coercive action they will be put serious loss and in fact the secured property is presently in the list of prohibited properties and even if the bank wishes to sell the same they will not able to do so and therefore under these circumstances unless the Tribunal appreciating their dt.9.4.2021 for another four months w.e.f. 9.10.2021 they will put to serious predicament, extend the time granted in the orders loss and therefore prayed to extend time granted in the orders dt.9.4.2021 for another four months. Counter has been filed by the respondent bank denying the averments made in the petition and further stated that the MA is not maintainable since SA is already disposed. It has been stated that petitioners approached the bank for OTS on 19.7.2021 but the same cannot be accepted since the offer is very low when compared to value of the property and total dues are payable is nearly 8.95 crores (3 matters connected) on 9.4.2021 along with accrued interest and expenses payable by applicants as such OTS Was not considered. It has been further stated that applicants intention is stall recovery proceedings of bank and applicants without any paying the amount are not entitled to any relief as such IA is liable to be dismissed and therefore prayed to dismiss the IA with costs. Heard. Perused the petition and counter. This Tribunal vide orders dt.9.4.2021 allowed the above SA and also directed the petitioners/applicants to approach the respondent bank for settlement of their accounts under OTS within 6 months from the date of order i.e., 9.4.2021 and the respondent bank was also directed not to take any action till then and the orders passed in the abOve SA were in force till 9.10.2021. Now the petitioners/applicants by way of this MA have prayed this Tribunal to extend the time granted in the orders dt.9.4.2021 passed in the above SA for settlement under OTS for another four months i.e., w.e.f.9.10.2021 due to the reasons mentioned in the above petition. On perusal of the petition and counter averments and since the petitioners/applicants are intended to settle the matter under OTS and also paid some upfront amount of Rs.20,00,000/- on 16.7.2021 after the orders passed by the Tribunal in the above SA, as per the vouchers filed along with this MA and also considering the facts and circumstances of the case and also keeping in view of the pandemic situation and also in the interest of justice, I am of the opinion to extend some time to the petitioners/applciants to settle ll the accounts covered under three SAs (SA.140/2021, SA.139/2021, SA.138/2021) under OTS and therefore I feel that it is just and necessary to extend time of another 3 months from the date i.e., 9.10.2021 to settle the accounts under OTS with the respondent bank. Hence the 3 months time extended from the date i.e., 9.10.2021 for settlement of the accounts under OTS with the respondent bank and the respondent bank is directed not to take any action in respect of schedule properties till 3 months from the date i.e., 9.10.2021. In the applicant/petitioner fails to approach the respondent bank within 3 months from the date i.e., 9.10.2021 for settlement of the accounts under OTS and if the OTS is not settled within 3 months from the date 9.10.2021, the respondent bank is at liberty to proceed further as per rules after 3 months rom the date 9.10.2021 and the stay so granted shall stand automatically vacated. event of Accordingly this MA.36/2021 is disposed of. [GIVEN UNDER MY HAND AND SEAL OF THIS TRIBUNAL ON THIS THE 12h DAY OF OCTOBER 2021] PRESIDING OFFICE6 DEBTS RECOVERY TRIBUNAL VISAKHAPATNAM