Jammu & Kashmir High CourtM/S Simula Software Solutions And vs Jammu And Kashmir Bank Ltd. And Anr on 23 September, 2021Bench:Dhiraj Singh Thakur,Puneet GuptaSr. No. 20\n        HIGH COURT OF JAMMU & KASHMIR AND LADAKH\n                        AT JAMMU\n\n\n                                             WP(C) No. 2010/2021\n                                             CM No. 7452/2021\n                                             Caveat No. 1787/2021\n\nM/S Simula Software Solutions and                .....Appellant(s)/Petitioner(s)\nResearch Centre Pvt. Ltd. and Anr.\n\n                     Through: Mr. R. K. Gupta, Sr. Advocate with\n                              Mr. Udhay Bhasker, Advocate\n\n                Vs\n\nJammu and Kashmir Bank Ltd. and Anr.                       ..... Respondent(s)\n\n                     Through: Mr. Raman Sharma, AAG for the Caveator/\n                              Respondents\n\nCoram: HON'BLE MR. JUSTICE DHIRAJ SINGH THAKUR, JUDGE\n       HON'BLE MR. JUSTICE PUNEET GUPTA, JUDGE\n\n                                 ORDER23.09.2021Caveat No. 1787/2021Caveat stands discharged.WP(C) No. 2010/2021Issue notice.Mr. Raman Sharma, learned AAG waives notice on behalf of the\n\nrespondents.The petitioners challenge the notice of possession issued by the\n\nrespondent-Bank in purported exercises of powers under Section 13(4) of the\n\nSecuritization and Reconstruction of Financial Assets and Enforcement of2                WP(C) No. 2010/2021Security Interest Act, 2002(hereinafter referred to as "theSARFAESI Act").\n\nThe action has been initiated by the Bank under theSARFAESI Actin view of\n\nthe fact that an amount approximately Rs. 1.15 crore is outstanding against the\n\npetitioners. The petitioners have raised various grounds to challenge the action\n\nof the respondent-Bank.On the other hand, Mr. Raman Sharma, learned AAG has vehemently\n\nopposed grant of any interim relief to the petitioners on the ground that the\n\npetitioners' are also the partner/Director in other concerns against whom the\n\nBank has to recover the money to the tune of more than approximately Rs. 237\n\ncrores in one case, Rs. 1.14 crore in another and in yet another case, Rs. 7.59\n\ncrores approximately.It is stated that although the legal entities in the shape of partnership\n\nfirms/companies were different yet the person running the companies is the\n\nsame. It was therefore, stated that it was only on account of the inability of\n\ndefaulters to pay the amount, which was outstanding against them, action has\n\nbeen taken by the Bank including the present one where some of the properties\n\nwhich were collateral securities are sought to be proceeded against for satisfying\n\nthe loan amount.However, Mr. R. K. Gupta, learned senior arguing counsel appearing\n\non behalf of the petitioners stated that the properties of which the possession has\n\nbeen taken over and in regard to which proceedings underSection 13(4)of the\n\nSARFAESI Act were initiated are valued much more than the loan amount,\n\nwhich is outstanding.3                 WP(C) No. 2010/2021It is stated that the petitioners apprehend that their properties would\n\nbe sold for pittance by the Bank, which would severely prejudice the interests of\n\nthe petitioners. It is, therefore, suggested that the petitioners are interested in re-\n\npaying the loan amount subject to the condition that the same be ordered by\n\nfixing some comfortable installments.We have heard learned counsel for the parties at length.\n\n\n           We feel that while dealing with matters under theSARFAESI Act,\n\nthis Court does not enjoy the exclusive jurisdiction of withholding the action\n\ntaken under the provisions of theSARFAESI Actby fixing installments and\n\ndisposing of the matters at the very outset. However, the petitioners have raised\n\nthe issue with regard to the procedural irregularities in the enforcement of the\n\nprovisions of theSARFAESI Actand keeping in view the fact that the\n\npetitioners have also expressed their desire to repay the loan amount, we pass\n\nthe following directions:-i)     The petitioners shall pay 50 percent of the outstanding amount,\n\n                  which on rough estimate is taken as Rs. 57 lacs out of total\n\n                  outstanding Rs. 1.15 crores (approximate basis) within a period\n\n                  of four weeks from today.ii)    Within two weeks from today, the petitioners would also\n\n                  submit a proposal to the Bank for fixation of installments for\n\n                  payment of the remaining loan amount. The proposal would\n\n                  then be considered on its own merits and a decision taken by\n\n                  the Bank.4                WP(C) No. 2010/2021Needless to say that the Bank should take a pragmatic view of\n\n                                     the matter considering the fact that the petitioners have\n\n                                     expressed their willingness to re-pay the entire amount.\n\n\n                               In the interregnum, status quo with regard to the properties in question\n\n              will be maintained. In case the aforementioned amount is not deposited with the\n\n              Bank within the time prescribed, the interim order would stand vacated without\n\n              any further extension and appropriate orders would be passed on the next date of\n\n              hearing.List again on 28.10.2021.Meanwhile, objections be filed.(Puneet Gupta)           (Dhiraj Singh Thakur)\n                                                   Judge                       Judge\n              Jammu\n              23.09.2021\n              MuneeshMUNEESH SHARMA2021.09.23 17:43I attest to the accuracy andintegrity of this document