M/S. Cross Country
Hotels Ltd. Vs. Tourism Finance Corpn. of India Ltd. & Ors.  INSC 4
(5 January 2009)
JURISDICTION CIVIL APPEAL NO. 49 OF 2009 [Arising out of SLP(C) No. 5541/2006]
M/S. CROSS COUNTRY HOTELS LTD. ... APPELLANT(S) :VERSUS: WITH CIVIL APPEAL NO.
51 OF 2009 [Arising out of SLP(C) No. 26738/2008] ORDER CIVIL APPEAL NO. 49 /2009
[@ SLP(C) No. 5541/2006]
Having heard Mr.
Altaf Ahmed, learned senior counsel appearing on behalf of the appellant and
Mr. Dushyant Dave, learned senior counsel appearing on behalf of the
respondents, with the consent of the parties, this appeal is disposed of with
the following directions:
1. Respondents herein
need not supply the appraisal reports for various projects of the appellant
2. The respondents
herein shall produce for inspection of the learned counsel for the appellant,
within four weeks, all other documents wherefor an application for production
and discovery had been filed before the learned Debt Recovery Tribunal, New
Delhi, being I.A. No. 186/2003.
3. It is directed
that all such documents which are available with the respondents-Corporation
shall be supplied to the appellant within two weeks thereafter.
Keeping in view the
fact that the matter is pending for a long time, the Debt Recovery Tribunal is
requested to dispose of the matter as expeditiously as possible.
aforementioned direction, the impugned judgment is set aside and the appeal is
CIVIL APPEAL NO.
51/2009 [@ SLP(C) No.26738/2008]
This appeal is
directed against the judgment and order dated 24th October, 2008 passed by a
learned Single Judge of the High Court of Judicature of Rajasthan at Jaipur, in
S.B. Civil Writ Petition No. 9609/2008, whereby and where under it was
operation of the office order dated 14.8.2008 (Anx.4) and 19.8.2008 (Anx.5)
shall remain stayed. Further, in case the petitioner submits the notorised
undertaking within a period of fifteen days from today, for payment of Rs. 10
lacs (Rupees ten lacs) per month for a period of one year, then the possession
of the seized property shall be restored to the petitioner on depositing first
installment of Rs. 10 lacs.
installments shall be paid by the 15th of each month, failing which the interim
order shall stand vacated automatically without reference to this Court.
List in the month of
December, 2008 for further orders."
In view of the order
proposed to be passed by us we need not enter into the merit of the matter as
the order as quoted above was passed ex-parte.
Mr. Dave, learned
senior counsel appearing on behalf of the appellant submits that the possession
of the Hotel in question had already been taken over on 22.8.2008.
Mr. Altaf Ahmed,
learned senior counsel on the other hand, submits that the orders impugned
before the High Court, being office orders dated 14.8.2008 and dated 19.8.2008,
the said orders are ex-facie illegal and without jurisdiction and, furthermore,
as the possession had been obtained by the -4- writ petitioner purportedly to
be in terms of Securitisation and Reconstruction of Financial Assets and
Enforcement of Security Interest Act, 2002 and in that view of the matter the
High Court cannot be said to have committed any error in passing the impugned
Be that as it may, by
reason of the impugned judgment, the High Court has passed the ex-parte order
in mandatory form.
By an order dated
25.11.2008, a Division Bench of this Court while issuing notice, directed
status quo as on that date, to be maintained by all concerned. In that view of
the matter, we are of the opinion that interest of justice would be subserved
if the impugned judgment is set aside and the High Court be requested to hear
out the matter afresh, after giving an opportunity of hearing to both the
parties. It is directed accordingly.
While making the
interim order dated 25.11.2008 passed by this Court absolute, we would request
the High Court to hear out the parties and pass appropriate order as
expeditiously as possible, preferably within a period of three weeks from the
date of communication of this order.
-5- With the
aforementioned observation and direction, this appeal is disposed of.