Shivani Gadhavi
Published On: February 13, 2022 at 15:30 IST
The Supreme Court of India on 11th February 2022 put a Stay on an ongoing E-Auction after it was brought to the Court’s attention that the Debt Recovery Tribunal in Bihar is not functioning and, in this regard, directed the Petitioner to deposit Rs 1 Crore in the Stresses Assets Management Branch of the State Bank of India.
The Supreme Court Division Bench of Justices D Y Chandrachud and Surya Kant was hearing a Special Leave Petition, wherein the Counsel for the Petitioner, Advocate Shivam Singh, had informed the Court that the Patna High Court had granted time to the Petitioner in regards with depositing money with the Respondents for the purpose of settlement.
Advocate Shivam Singh, brought it to the Court’s knowledge that the above-mentioned impugned Order of the High Court also stated that if the settlement was not to occur in the manner prescribed then the Petitioner was given the liberty to approach the Debt Recovery Tribunal in order to avail remedy.
In this regard, the Counsel for the Petitioner submitted that, “the Debt Recovery Tribunal is not functional in the State of Bihar, as a result of which the Petitioner has been left without any remedy. The Petitioner had offered an amount of Rs 1.41 Crores initially towards the OTS which was enhanced to Rs 1.75 Crores after the Decision of the High Court.”
In light of all the facts and observations, the Supreme Court Bench stated that “Petitioner shall deposit an amount of Rs 1 Crore with the SBI Stressed Assets Management Branch (Respondent No 5) on or before 14 February 2022 and a further amount of Rs 75 Lakhs on or before 14 March 2022.”
The Supreme Court then put a Stay on the E-Auction till 21st March 2022, which is the next date of hearing.