M/s Shantikripa Trading Co. and Ors. v.

Bank of Baroda
Brief Facts:
On an application made by the petitioner No. 1 through petitioner No. 2 a Cash Credit Limit of
an amount of Rs. 1.5 Crores was sanctioned by the Bank in favour of the petitioner No. 1.
Similarly, on an application made by the petitioner No. 3, through petitioner No. 4 a Cash Credit
Limit of Rs. 1 Crore was sanctioned in favour of the petitioner No. 3 by the Bank. The account
of the petitioners No. 1 and 3 were declared NPA on 28.9.2012. A demand notice was issued
calling the petitioner No. 1 to pay an amount of Rs. 1,50,17,663.46 and the petitioner No. 3 to
pay an amount of Rs. 1,00,11,977.88. Thereafter the Bank invoked power under Section 13(4) of
the Act, 2002 and issued e-auction notice inviting online tenders for auction of the mortgaged
assets. Details of the properties to be auctioned have been mentioned in the notice with area and
boundaries. The petitioners, by this writ petition have prayed for quashing the e-auction notice
issued by the Bank for auction of the mortgaged assets