THE HONOURABLE SRI JUSTICE N.V. RAMANA AND THE HONOURABLE SRI JUSTICE P. DURGA PRASAD W.P.M.P. No. 23663 of 2011 and W.P. No. 7668 of 2011 COMMON ORDER: (Per Hon’ble Sri Justice N.V. Ramana) This writ petition is filed seeking a writ of Mandamus declaring the action of respondent Nos. 1 and 2 in proposing to proceed under Section 14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, without complying with the provisions of Section 13(3-A) of the Act and without realizing their dues from the sale of the primary security of respondent No.3 at first, as illegal and arbitrary. This Court, on 23.03.2011, while admitting the writ petition, passed interim orders in W.P.M.P. No. 9526 of 2011, as follows: “There shall be interim stay of all further proceedings on condition that the petitioner deposits Rs. 1 crore within three weeks from today. In default, the bank is at liberty to proceed in accordance with law. The respondent bank at first may proceed with the primary security i.e. plant and machinery and after putting it for sale, they may take necessary steps with regard to other properties.” At the request of the petitioner, this Court has extended the time for deposit of Rs. 1 crore as directed in the aforesaid interim order, from time to time, and ultimately, on 14.06.2011, considering the representation made by the counsel for the petitioner that the petitioner has deposited a sum of Rs.30.00 lakhs and some more time be granted to deposit the remaining amount of Rs.70.00 lakhs, this Court has passed orders in W.P.M.P. No. 18505 of 20011, extending the time for deposit of balance amount by three weeks finally and it was made clear that in default of deposit, the interim order dated 23.03.2011 stands vacated and no further extension shall be granted. While so, the petitioner filed W.P.M.P. No. 23663 of 2011, seeking extension of time for compliance of the orders dated 14.06.2011 passed in W.P.M.P. No. 18505 of 2011, up to 30.08.2011. In the affidavit filed in support of the petition, the petitioner stated that respondent No.3 has entered into a Memorandum of Understanding with Sri Srinivasa & Co., on 20.06.2011, as per which the said Srinivasa & Co. has agreed to purchase the unit of respondent No.3, that the purchaser is approaching certain financial institutions for re- financing the project, that the process is likely to be completed within one month and if the same is done, the entire liability of respondent No.3 to respondent No.1 will be cleared within one month. At the hearing, the counsel for the petitioner submits that in view of the takeover proposal as noted above, the entire dues will be cleared off within three weeks. In the circumstances, we grant three weeks’ time from today, to the petitioner to get the entire loan amount cleared off, failing which the respondent bank is at liberty to proceed further in the matter in accordance with law. The W.P.M.P. and the W.P. are accordingly disposed of. No order as to costs. _____________ N.V. RAMANA, J _________________ P. DURGA PRASAD, J 20th August 2011 IBL