M/S. Sunil Steels vs Union Of India
2025 Latest Caselaw 532 Ker

Kerala High Court

M/S. Sunil Steels vs Union Of India on 3 July, 2025

WP(C) NO. 4522 OF 2025        1              2025:KER:48613


          IN THE HIGH COURT OF KERALA AT ERNAKULAM

                          PRESENT

        THE HONOURABLE MR.JUSTICE MOHAMMED NIAS C.P.

  THURSDAY, THE 3rd DAY OF JULY 2025 / 12TH ASHADHA, 1947

                   WP(C) NO. 4522 OF 2025

PETITIONERS:
     1   M/S. SUNIL STEELS,
         A REGISTERED PARTNERSHIP FIRM AT MELAMPARAMBIL,
         PODIYADI P.O, THIRUVALLA, PATHANAMTHITTA,
         REP. BY ITS MANAGING PARTNER SUNIL GEORGE
         OOMMEN, MELAMPARAMBIL, PATHANAMTHITTA,
         PIN - 689110

    2    SRI. SUNIL GEORGE OOMMEN, AGED 59 YEARS,
         MELAMPARAMBIL HOUSE, PODIYADI P.O, THIRUVALLA,
         PATHANAMTHITTA, PIN - 689110

    3    SMT. ROSU SUNIL, AGED 49 YEARS,
         MELAMPARAMBIL HOUSE, PODIYADI P.O, THIRUVALLA,
         PATHANAMTHITTA, PIN - 689110

    4    M O POONNEN, A REGISTERED PARTNERSHIP FIRM AT
         BUILDING NO 91, NEDUMPURAM PANCHAYATH,
         MELAMPARAMBIL, PODIYADI P.O., TIRUVALLA,
         REP. BY ITS MANAGING PARTNER SUNIL GEORGE
         OOMMEN, PIN - 689110

    5    M/S KOHINOOR FLOORS PVT LTD,
         A REGISTERED COMPANY WITH ITS OFFICE AT NO
         1/511-8 47 OLD NH 17, MARADU, COCHIN, REP. BY
         ITS MANAGING DIRECTOR, SUNIL GEORGE OOMMEN.,
         PIN - 682304

         BY ADVS. SRI.DINESH R.SHENOY
         SMT.SHANTHIPRIYA D. SHENOY
         SMT.PANCHAMI MENON
         SMT.NANDANA S. SREENATH
 WP(C) NO. 4522 OF 2025         2              2025:KER:48613



RESPONDENTS:

    1       UNION OF INDIA,
            REP. BY THE HONOURABLE SECRETARY TO GOVERNMENT
            OF INDIA, MINISTRY OF MICRO, SMALL & MEDIUM
            ENTERPRISES, GOVERNMENT OF INDIA, ROOM NO.723,
            NIRMAN BHAVAN, RAFI MARG, NEW DELHI,
            PIN - 110011

    2       THE ADDITIONAL SECRETARY TO DEVELOPMENT
            COMMISSIONER (MSME),
            MINISTRY OF MICRO, SMALL AND MEDIUM
            ENTERPRISES, GOVERNMENT OF INDIA, A WING,
            7TH FLOOR, NIRMAN BHAVAN, MOULANA AZAD ROAD,
            NEW DELHI.,PIN - 110108

    3       THE RESERVE BANK OF INDIA,
            REPRESENTED BY THE OFFICER IN CHARGE OF MICRO,
            SMALL AND MEDIUM ENTERPRISES DIVISION, RBI,
            BAKERY JUNCTION, PB 6507, THIRUVANANTHAPURAM,
            PIN - 695033

    4       THE STATE BANK OF INDIA,
            SME THIRUVALLA BRANCH, 18114, RAVISREE ARCADE,
            MC ROAD, RAMANCHIRA, THIRUVALLA, REP. BY ITS
            CHIEF MANAGER., PIN - 689107

 ADDL.R5    THE DEPUTY GENERAL MANAGER,
            STATE BANK OF INDIA, STRESSED ASSETS MANAGEMENT
            BRANCH (16454), 1112, RAJAPLAZA, AVINASHI ROAD,
            PAPANAIKANPALYAM, COIMBATORE. 641037.

 ADDL.R6    THE CHAIRMAN,
            STATE BANK OF INDIA, CORPORATE CENTRE,
            STATE BANK BHAVAN, MADAME CAMA ROAD,
            NARIMAN POINT, MUMBAI, MAHARASHTRA 400 021
            (ADDL.R5 AND R6 ARE IMPLEADED AS PER ORDER
            DATED 09.05.2025 IN IA.1/2025 IN WPC 4522/2025)


           BY ADVS. O.M.SHALINA, DEPUTY SOLICITOR GENERAL
           OF INDIA
 WP(C) NO. 4522 OF 2025           3                 2025:KER:48613


            SRI.AMAL GEORGE
            SMT.ELIZABETH PETER
            SRI. JITHESH MENON, SC.

     THIS     WRIT   PETITION   (CIVIL)   HAVING   COME    UP    FOR

ADMISSION    ON   03.07.2025,   THE   COURT   ON   THE    SAME   DAY

DELIVERED THE FOLLOWING:
 WP(C) NO. 4522 OF 2025                  4                     2025:KER:48613




                                JUDGMENT

The writ petition is filed with the following prayers.

"A) To issue a writ of mandamus, or any other appropriate writ, order or direction, directing the respondents 1 ,2 and 3 respectively to dispose off Exhibit P31, P33 and P32 representations filed by the petitioners and pending before them, as expeditiously as possible, with notice to the 4th respondent and to ensure proper adherence, compliance and implementation of Exhibit P26 Frame Work for Revival and Rehabilitation of the Petitioners Stressed MSME's, within a time frame to be fixed by this Honourable Court. B) A writ of prohibition or any other appropriate writ, order or direction, prohibiting, directing the 4th respondent to keep in abeyance all further proceedings pursuant to Exhibits P23, P24 , P28 and P34 till a proper and appropriate decision is taken on Exhibit P30 proposal for revival and rehabilitation and a proper Techno Economic Evaluation study and IEV report, in the light of, and in accordance with, Exhibit P26 Government Order. C) Grant such other reliefs as are deemed fit and proper in the facts and the circumstances of the case. D) Petitioners also pray that this Hon'ble Court may be pleased to dispense with the translation of the documents produced in the Vernacular Language."

WP(C) NO. 4522 OF 2025 5 2025:KER:48613

2. This Court had passed an interim order on 09.05.2025 as

follows.

"There will be a direction to the 4 th respondent to consider and pass orders on Exts.P31 to P33, P37 and 39 filed by the petitioner, as expeditiously as possible, at any rate, within a period of eight weeks from today, also taking into account the orders issued by the Apex Court at Ext.P27, strictly in accordance with law."

3. Today, when the matter is taken up, the learned Standing

Counsel for the bank submits that a decision has been taken as

directed above and the same is produced by them as Ext.R4(A). This

is recorded.

Given the above, the writ petition is closed without prejudice

to the right of the petitioners to challenge Ext.R4(A), if so advised.

All the contentions of the petitioners are left open.

Sd/-

MOHAMMED NIAS C.P. JUDGE DMR/-

WP(C) NO. 4522 OF 2025 6 2025:KER:48613

APPENDIX OF WP(C) 4522/2025

PETITIONERS' EXHIBITS

Exhibit P1 TRUE PHOTOCOPY OF UDYAM REGISTRATION CERTIFICATE ISSUED TO THE FIRST PETITIONER.

Exhibit P2 TRUE PHOTOCOPY OF UDYAM REGISTRATION CERTIFICATE ISSUED TO THE 4TH PETITIONER

Exhibit P3 TRUE PHOTOCOPY OF UDYAM REGISTRATION CERTIFICATE ISSUED TO 5TH PETITIONER

Exhibit P4 TRUE PHOTOCOPY OF UDYAM AADHAR REGISTRATION MEMORANDUM ISSUED TO M/S. MEL FLOORINGS PVT. LTD. A SISTER CONCERN

Exhibit P5 TRUE PHOTOCOPY OF JUDGMENT DATED 3/9/2019 IN WP(C)NO.23890/2019, HIGH COURT OF KERALA

Exhibit P6 TRUE PHOTOCOPY OF LETTER DATED 8/3/2023 ISSUED BY THE 4TH PETITIONER

Exhibit P7 TRUE PHOTOCOPY OF LETTER DATED 13/3/2023 ISSUED TO THE PETITIONERS BY THE 4TH RESPONDENT

Exhibit P8 TRUE PHOTOCOPY OF LETTER DATED 2/5/2024 ISSUED BY PETITIONERS 2 AND 3 TO 4TH RESPONDENT

Exhibit P9 TRUE PHOTOCOPY OF LETTER ISSUED BY PETITIONERS DATED 9/5/2024

Exhibit P10 TRUE PHOTOCOPY OF E MAIL DATED 28/5/2024 BY SUNIL GEORGE OOMMEN TO SBI

Exhibit P11 TRUE PHOTOCOPY OF E MAIL DATED 14/7/2024 BY SUNIL GEORGE OOMMEN TO SBI

Exhibit P12 TRUE PHOTOCOPY OF EMAIL DATED 15/7/2024 WP(C) NO. 4522 OF 2025 7 2025:KER:48613

BY SUNIL GEORGE OOMMEN TO SBI

Exhibit P13 TRUE PHOTOCOPY OF LETTER DATED 2/9/2024 ISSUED BY THE 4TH RESPONDENT TO THE FIRST PETITIONER

Exhibit P14 TRUE PHOTOCOPY OF E MAIL DATED 23/9/2024 BY SUNIL GEORGE OOMMEN TO SBI

Exhibit P15 TRUE PHOTOCOPY OF LETTER DATED 26/9/2024 ISSUED BY THE 4TH RESPONDENT

Exhibit P16 TRUE PHOTOCOPY OF LETTER DATED 1/10/2024 ISSUED BY THE 4TH RESPONDENT

Exhibit P17 TRUE PHOTOCOPY OF LETTER DATED 7/10/2024 ISSUED BY SUNIL OOMMEN TO SBI, TOGETHER WITH THE PROPOSAL FOR REVIVAL

Exhibit P18 TRUE PHOTOCOPY OF LETTER DATED 20/10/2024

Exhibit P19 TRUE PHOTOCOPY OF LETTER DATED 22/10/2024

Exhibit P20 TRUE PHOTOCOPY OF COMPLAINT DATED 22/10/2024

Exhibit P21 TRUE PHOTOCOPY OF ACKNOWLEDGEMENT OF COMPLAINT BY THE RBI OMBUDSMAN DATED 22/10/2024

Exhibit P22 TRUE PHOTOCOPY OF LETTER DATED 22/10/2024 ISSUED BY THE FIRST PETITIONER TO THE CHIEF MANAGER, SBI LOCAL HEAD OFFICE, THIRUVANANTHAPURAM

Exhibit P23 TRUE PHOTOCOPY OF NOTICE DATED 28/10/2024 ISSUED BY THE 4TH RESPONDENT TO THE FIRST PETITIONER

Exhibit P24 TRUE PHOTOCOPY OF NOTICE DATED 28/10/2024 ISSUED TO THE 2ND PETITIONER, GUARANTOR

Exhibit P25 TRUE PHOTOCOPY OF NOTICE DATED 29/10/2024 WP(C) NO. 4522 OF 2025 8 2025:KER:48613

ISSUED BY THE 4TH RESPONDENT TO THE 5TH PETITIONER

Exhibit P26 TRUE PHOTOCOPY OF OFFICE MEMORANDUM ISSUED BY THE 2ND RESPONDENT TOGETHER WITH THE ORDER ISSUED BY THE UNION OF INDIA NO.NCUS CELL/4/2010 - PT

Exhibit P27 TRUE PHOTOCOPY OF JUDGMENT DATED 1/8/2024 IN SPECIAL LEAVE PETITION(CIVIL) NO.7898/2024, SUPREME COURT OF INDIA AND CONNECTED CASES

Exhibit P28 TRUE PHOTOCOPY OF NOTICES DATED 4/11/2024 ISSUED BY THE RESPONDENT TO THE 4TH PETITIONER AS BORROWER AND OTHER PETITIONERS

Exhibit P29 TRUE PHOTOCOPY OF LETTER DATED 28/12/2024

Exhibit P30 TRUE PHOTOCOPY OF THE DETAILED PROPOSAL FOR RESTRUCTURING OF CREDIT FACILITIES OF THE PETITIONERS SUBMITTED TO THE 4TH RESPONDENT

Exhibit P31 TRUE PHOTOCOPY OF REPRESENTATION DATED 4/1/2025 SUBMITTED BY THE PETITIONERS BEFORE THE FIRST RESPONDENT

Exhibit P32 TRUE PHOTOCOPY OF REPRESENTATION DATED 4/1/2025 SUBMITTED BY THE PETITIONERS BEFORE THE 3RD RESPONDENT

Exhibit P33 TRUE PHOTOCOPY OF REPRESENTATION DATED 17/1/2025 SUBMITTED BY THE 2ND PETITIONER BEFORE THE 2ND RESPONDENT

Exhibit P34 TRUE PHOTOCOPY OF REPLY NOTICE DATED 14/1/2025 ISSUED BY THE 4TH RESPONDENT

Exhibit P35 TRUE PHOTOCOPY OF LETTER DATED 25/2/2025 ISSUED BY 2ND RESPONDENT TO THE 4TH RESPONDENT.

WP(C) NO. 4522 OF 2025 9 2025:KER:48613

Exhibit P36 TRUE PHOTOCOPY OF LETTER DATED 14/3/2025 ISSUED BY THE 4TH RESPONDENT.

Exhibit P37 TRUE PHOTOCOPY OF OTS LETTER DATED 11/3/2025 SUBMITTED BY THE PETITIONERS BEFORE THE 4TH RESPONDENT.

Exhibit P38 TRUE PHOTOCOPY OF LETTER DATED 24/3/2025 ISSUED BY THE 4TH RESPONDENT.

Exhibit P39 TRUE PHOTOCOPY OF LETTER DATED 19/4/2025 ISSUED BY THE PETITIONERS TO THE DEPUTY GENERAL MANAGER, SBI, STRESSED ASSET MANAGEMENT BRANCH, COIMBATORE.

Exhibit P40 TRUE PHOTOCOPY OF REMINDER LETTER DATED 18/4/2025 SUBMITTED BY PETITIONERS TO THE 2ND RESPONDENT.

Exhibit P41 TRUE PHOTOCOPY OF LETTER DATED 1/5/2025 ISSUED BY THE DEVELOPMENT COMMISSIONER, MSME TO THE CHAIRMAN, SBI.

Exhibit P42 TRUE PHOTOCOPY OF LAWYER NOTICE DATED 30/4/2025 ISSUED BY GEORGE THOMAS MEVADA AND ASSOCIATES, ADVOCATES.

RESPONDENTS' EXHIBITS

EXHIBIT R4(A) TRUE PHOTOCOPY OF THE CIRCULAR ISSUED BY THE RESERVE BANK OF INDIA PERTAINING TO OPENING OF CURRENT ACCOUNTS BY BANKS DATED 15/05/2004

EXHIBIT R4(B) TRUE PHOTOCOPY OF THE CONSOLIDATED CIRCULAR ON OPENING OF CURRENT ACCOUNTS AND CC/OD ACCOUNTS BY BANKS DATED 19/04/2022 ISSUED BY RESERVE BANK OF INDIA.

EXHIBIT R4(C) TRUE PHOTOCOPY OF LETTER DATED 30/03/2024 SENT BY THE 2ND PETITIONER ON BEHALF OF WP(C) NO. 4522 OF 2025 10 2025:KER:48613

THE 1ST PETITIONER TO THE RESPONDENT BANK

EXHIBIT R4(D) TRUE PHOTOCOPY OF LETTER DATED 30/03/2024 SENT BY THE 2ND PETITIONER ON BEHALF OF THE 4TH PETITIONER TO THE RESPONDENT BANK

EXHIBIT R4(E) TRUE PHOTOCOPY OF LETTER DATED 30/03/2024 SENT BY THE 2ND PETITIONER ON BEHALF OF THE 5TH PETITIONER TO THE RESPONDENT BANK

EXHIBIT R4(F) TRUE PHOTOCOPY OF THE LETTER DATED 30/07/2024 SENT BY THE 4TH RESPONDENT TO THE PETITIONERS

EXHIBIT R4(G) TRUE PHOTOCOPY OF THE RESOLUTION PASSED BY THE COMMITTEE FOR REVIVAL AND REHABILITATION OF MICRO SMALL AND MEDIUM ENTERPRISE PERTAINING TO THE MEETING HELD ON 18/03/2024

EXHIBIT R4(H) TRUE PHOTOCOPY OF THE RESOLUTION PASSED BY THE COMMITTEE FOR REVIVAL AND REHABILITATION OF MICRO SMALL AND MEDIUM ENTERPRISE PERTAINING TO THE MEETING HELD ON 19/07/2024

EXHIBIT R4(I) TRUE PHOTOCOPY OF THE RESOLUTION PASSED BY THE COMMITTEE FOR REVIVAL AND REHABILITATION OF MICRO SMALL AND MEDIUM ENTERPRISE PERTAINING TO THE MEETING HELD ON 17/10/2024

EXHIBIT R4(J) TRUE PHOTOCOPY OF THE REPLY SENT BY RESPONDENT BANK TO PETITIONERS DATED 05/05/2025

EXHIBIT R4(K) TRUE PHOTOCOPY OF THE LETTER SENT BY RESPONDENT BANK TO THE OFFICE OF THE DEVELOPMENT COMMISSIONER (MSME) DATED 08/05/2025 WP(C) NO. 4522 OF 2025 11 2025:KER:48613

EXHIBIT R4(L) TRUE PHOTOCOPY OF THE REPLY SENT BY RESPONDENT BANK TO PETITIONERS DATED 04/06/2025

// TRUE COPY //

P.A. TO JUDGE