Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Sick Industrial Companies (Special provisions) Act 1985 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | Sick Industrial Companies (Special provisions) Act, I985 :Sections 3(/) and 22(1): Loan given by a Government Company to aprivate company against security and bonds of guarantee-Debtor companydeclared sick-BIFR initiated action/or its revival-Issuance of demand noticesto debtor/Guarantor and thereafter recovery certificates under UP. Act-Challenge to-Writ Petition dismissed by High Court-On appeal, Held, theobject of SICA is to facilitate rehabilitation/winding up of sick industry andnot lo protect guarantor-in the absence of anything contrary to the joint andseveral liability of guarantor in the contracts of loan transaction Governmentcould issue demand notices under the UP. Act and it is not necessary toenforce its right through any_ legal forum/adjudicating process-Provisions oflaw under Section 22(1) does not provide protection to guarantor againstrecovery proceedings-UP. (Public Money Recovery of Dues) Act, I 972;Contract Act, 1872; Section I 28-Interpretation of Statutes.Section 22(/)-Suits and Proceedings-Distinction between-Discussed. |
Judge | Hon'ble Ms. Justice Ruma Pal |
Neutral Citation | 2003 INSC 87 |
Petitioner | Kailash Nath Agrawal And Ors |
Respondent | Pradeshya Indst. & Inv. Corp. Of U.p. And Anr. |
SCR | [2003] 1 S.C.R. 1159 |
Judgement Date | 2003-02-14 |
Case Number | 1317 |
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