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2021 DIGILAW 727 (MP)

Gruh Finance Ltd. v. State of M. P.

2021-11-10

PURUSHAINDRA KUMAR KAURAV, SHEEL NAGU

body2021
ORDER 1. I.A. No. 2276/2020, an application for amendment is taken up, considered and allowed for the reasons mentioned therein. 2. Let the petitioner carry out amendment latest by tomorrow. 3. The present petition preferred by the petitioner Financial Institution seeks execution of the order passed on 12.10.2017 vide Annexure P/5 u/s.14 of the SARFAESI Act (for brevity "the Act"), where on behest of the Financial Institution, the District Magistrate directed the Tahsildar to hand over possession of the secured assets to the Financial Institution. The said order was passed more than four years back and the same is yet to be executed. 4. It is a sorry state of affairs that the order passed u/s.14 of the Act could not be executed despite elapse of four years. 5. This Court by way of interim order had granted some liberty to the respondents to repay the outstanding loan. 6. Learned counsel for petitioner informs that as on 16.1.2020, the outstanding dues were Rs.11,85,965/- out of which, the respondent No.4 has merely repaid a meager amount of Rs.3 lacs. 7. It is well known that the mounting non-performing assets are a major cause of retardation of economic development of the Nation. The SARFAESI Act has been promulgated to ensure expeditious liquidation of secured assets and thereby lessening the burden of bad-debts on the economy. Cases of this nature run contrary to the main object behind SARFAESI Act. 8. Accordingly, this Court disposes of this petition with a direction to the competent authority u/s.14 of the Act to take effective steps of handing over possession of the secured assets to the petitioner Financial Institution as expeditiously as possible preferably within a period of two months from the date of receipt of certified copy of this order. 9. It is needless to emphasise that thereafter the petitioner is free to liquidate the assets in terms of the SARFAESI Act and the rules framed thereunder. 10. A copy of this order passed today shall be provided to the petitioner only after the amendment is carried out.