arbp1352-10.doc 1 IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION ARBITRATION PETITION NO.1352 OF 2010 Reliance Capital Ltd. .. Petitioner Versus G.S.Mago Realty Pvt. Ltd. & Ors. .. Respondents Mr.Rahul Mehta i/b. KMC Legal Venture for petitioner Respondent No.2 in person CORAM: S.C.DHARMADHIKARI, J. DATE : 28th FEBRUARY 2011 P.C. 1] The petitioner has filed this petition as there were defaults committed by the respondents in repayment of the loan of Rs.4 Crore and 69 lakhs. Respondents are owners of the property viz., office Nos.303 and 304 on the third floor, Satellite Silver Building, Marol Kurla Road, Mumbai, which property stands mortgaged to secure repayment of the loan. The petition recites as to how the amount outstanding is Rs.4,68,87,074.27. Petitioners called upon respondents to pay the amount but there have been defaults. It is clear that there is no dispute about the liability. arbp1352-10.doc 2 2] When this petition appeared before the learned Single Judge of this Court on 29th October 2010, a statement was made on behalf of respondents that the property will not be disposed of. 3] After the matter was on board subsequently, respondents failed to appear. Therefore, a Court notice was issued and accordingly each of the respondents are served. The same gentleman viz., Gurpreet Singh Mago is present on behalf of all the respondents. He states that respondents will make sincere efforts to dispose of this property and repay the sums. There have been defaults which have been admitted by him. 4] Petitioner’s Advocate states that the petitioners are not agreeable to the property being sold and disposed of by the respondents. It is their submission that if the Court Receiver is appointed, which is just and convenient in this case, then, the Court Receiver will undertake and complete the said exercise. arbp1352-10.doc 3 5] There are no denials of any of the statements made in the petition. A prima facie case has thus been made out. Balance of convenience is also in favour of the petitioners, considering the enormity of the claim. Further, they will be put to irreparable loss and injury as nothing has been paid after February 2010. It is stated that a sum of Rs.25 lakhs has been paid but considering the claim, this amount is nothing. In such circumstances, this petition is made absolute in terms of prayer clause (a). The Court Receiver, High Court, Bombay is appointed Receiver of the properties which are more particularly described in Exh.D to the petition. However, the Court Receiver upon taking possession of these properties will not dispose them of for a period of four weeks from today. Thereafter, it would be open for the Receiver to invite bids from interested parties. Respondents are also at liberty to forward any proposals to the Court Receiver. Petition is allowed in these terms. No costs. (S.C.DHARMADHIKARI, J)