Drat Madras Court July 2002 Judgments

Tamilnadu Textile Corporation Vs. the South Indian Bank Ltd. and ors.

Court: DRAT Madras

Reported in: II(2003)BC34

1. The Tamilnadu Textile Corporation Ltd. is the appellant in this appeal. Originally suit was filed by the Bank in Sub-Court, Sivaganga and decree was passed only as against the borrower respondents 2 to 4 in the appeal.2. When the EP was filed, the appellant was also added as party in the EP since the Textile Mill was taken over by the Tamilnadu Textile Corporation Ltd. as per Tamilnadu Act No. 81/1986. After formation of DRTs, the mailer which was pending in Civil Court was transferred to DRT-2, Chennai and DRT-2, Chennai issued Recovery Certificate under Section 31 (A) of the Act in accordance with the decree passed by the Civil Court.3. In the Recovery Certificate issued by the DRT-2, Chennai, the Tamilnadu Textile Corporation Ltd. is the 5th respondent but was not at all a party to the decree passed by the Civil Court. As the company was taken over by the Tamilnadu Textile Corporation Ltd. and the Tamilnadu Textile Corporation Ltd. was added as 5th respondent in Recovery Certifi...