Shri Shakti Cement Products and Ors. v. Rajkot Nagrik Sahakari Bank Ltd & Ors.

Shri Shakti Cement Products and Ors.

…Appellant

…Respondent

Case No: Appeal on Diary No. 1693/2023

Date of Judgement: 04/10/2023

Judges:

Mr Justice Ashok Menon, Chairperson

For Appellant: A.R. Gupta, along with Ms. N. Pandit and Mr. Aditya Bhatt, Advocate.

For Respondent: Mr. Janak S, Advocate.

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Facts:

Arguments by Appellants:

Arguments by Respondents:

Cases Cited:

Writ Petition No. 27230/2009 (Madras High Court)

• • This case was cited by the Appellants to support their contention that a notice under Section 13(2) issued to the original borrower becomes invalid upon their death, and no steps can be initiated against the legal representatives based on that notice.

Sections and Laws Referred:

Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act):

The Micro, Small and Medium Enterprises Development Act, 2006 (MSME Act)

• • The first Appellant is registered as an MSME under this Act, which is relevant to their challenge regarding the classification of the account as a Non-Performing Asset (NPA).

Principles of res judicata and the finality of judicial orders were also discussed in the context of the earlier dismissal orders and the scope of re-agitating the same issues.