TaxTMI 
TaxTMI 
2019 (1) TMI 1315
X X X X Extracts X X X X
X X X X Extracts X X X X
.... Road, Tuticorin- 628008. 2.1 Since 1999, the State Bank of Travancore sanctioned and disbursed various credit facilities to the CD herein and the same were renewed and/or enhanced from time to time. The said credit facilities were, inter-alia, duly secured by equitable mortgage on immovable properties and hypothecation of stock, book debts/receivables and other current assets and the said security cover was extended to secure the renewed and/or enhanced credit facilities. In the year 2015, the State Bank of Travancore renewed the following credit facilities in favour of the CD; (a) Cash Credit Limit of Rs. 26 crores (b) EPC Limit of Rs. 5.50 Crores (c) Term Loan of Rs. 5.60 crores (since repaid) (d) Term Loan of Rs. 13.25 crores (e) Letter of credit of Rs. 5 crores (f) Bank of Guarantee of Rs. 4 crores Total amount of debt granted is Rs. 59.35 crores. Details of Disbursement EPC Facility - Loan a/c no. 67319111589- Disbursements: Date of Disbursement Amount (Rs.) 31.03.2015 55000000 Total 55000000 Term Loan Facility- Loan a/c no. 67218618832- Disbursements Date of Disburseme....
X X X X Extracts X X X X
X X X X Extracts X X X X
....eyond the period of three years, from the date of filing of the present petition, and are thus hit by the Limitation Act, 1963. 7. The CD has stated that M/s St. John Freight Systems Ltd. (SJFS), is in the field of Logistics, Shipping, Clearing, Forwarding, Ware housing facilities for the Exporters, having offices from Gujarat to West Bengal. The turnover of the business for the financial year 2017-18 was approximately Rs. 330 crores and turnover of the business for the financial year 2016-17 was approximately Rs. 380 crores within India. SJFS also has overseas operations, in which the turnover for the year 2017-18 was Rs. 420 crores and for the year 2016-17 was Rs. 380 crores. 8. The CD has stated that the CD had sought re-schedulement of the loan amount from the FC, which was initially agreed by the FC in the meeting of the joint lenders held on 23.06.2017, however later on the plan was not accepted by the bankers. After the FC has taken over the account from SBT, the CD company has already paid an amount of Rs. 1.38 crores to the FC, towards servicing of the loan amount. 9. In the para-wise reply it has been stated that as regards the signature of the person who has sig....
X X X X Extracts X X X X
X X X X Extracts X X X X
....d Bankruptcy Code (Amendment) Ordinance, 2018, which was promulgated on 06.06.2018, Section 29A has been inserted making provisions for eligibility criteria for the Resolution Applicant, which provides for eligibility criteria of a Resolution Professional and that it has to be examined whether Mr.R.Venkatakrishnan, qualifies under all the parameters under section 29A of Insolvency and Bankruptcy Code, 2016. The CD is in the process of finding out about Mr.R.Venkatakrishnan, as the first appearance in the present matter was on 06.07.2018. 13. The FC in their rejoinder has stated that in view of the default, the account became a Non Performing Asset (NPA). The Assignor Lender thereafter assigned its debt in favour of the FC vide Assignment Deed dated 31.03.2016. The transaction of Assignment of debt is purely between the FC and the Assignor Lender. The CD is no way related to the said transaction. Further, the consideration in which the debt was assigned is no way related to the amount payable by the CD. The CD has availed the loan facilities by executing loan documents. The CD is bound by the terms and conditions of the loan documents and the CD is liable to repay the same, as pe....
X X X X Extracts X X X X
X X X X Extracts X X X X
....he CD is put to strict proof of the said averment. 17. It has been submitted that it is false to state that the documents filed by the FC which had taken over the financial assistance extended by the Assignor Bank are stale documents and barred by limitation. The CD has admitted its liability in the Revival Letter dated 20.02.2016 and Balance Confirmation letter dated 22.02.2016. The FC further stated that the CD has executed various loan documents. The CD has also acknowledged its liability on various occasions particularly vide letter dated 22.02.2016 to the Branch Manager, State Bank of Travancore. 18. The following would show that the claim of the FC is within limitation: - a. Revival Letter was executed by the CD on 20.02.2016. b. Balance confirmation was executed by the CD on 22.02.2016. c. Last payment was made by the CD on 14th November 2017 d. In para 11 of the reply, the CD has stated that it has paid Rs. 1.38 Crores to the FC company after the debt was assigned. The debt was assigned to the FC on 31.03.2016 and the last payment was made subsequently. Thus, the claim of the FC is within limitation. 19. When the matter came for ....