TELANGANA STATE SOUTHERN POWER DISTRIBUTION COMPANY LIMITED & ANR. Versus M/S. SRIGDHAA BEVERAGES
Supreme Court of India (Division Bench (DB)- Two Judge)
Appeal (Civil), 1815 of 2022, Judgment Date: Jun 01, 2020
J U D G M E N T
SANJAY KISHAN KAUL, J
1. The respondent is an auction-purchaser of a unit owned by M/s. SB Beverages Private Limited, which failed to pay its dues, resulting in the auction by Syndicate Bank (Secured Creditor) under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (hereinafter referred to as the ‘SARFAESI Act’). The 1 moot point of law, which arises for consideration, is whether the liability towards previous electricity dues of the last owner could be mulled on to the respondent.
2. The unit in question is a mineral water bottling plan situated in land measuring 1 acre 13 guntas in Sy. No.283 at Rampally Village, Keesara Mandal, Medchal District. As mentioned aforesaid, on account of failure to repay a loan, the creditor, Syndicate Bank, brought the property to auction for which an E-auction sale notice dated 25.5.2017 was issued in this behalf, in which the respondent was the successful auction-purchaser. In order to appreciate the controversy before us, it is necessary to reproduce some of the relevant clauses of the auction notice: