Messrs KOHINOOR LOOMS LTD. vs MCB BANK LTD.
This matter involves a petition for leave to appeal against an order passed by the High Court regarding recovery proceedings under the Financial Institutions (Recovery of Finances) Ordinance, 2001. The core legal question presented to the Supreme Court concerns the maintainability of an appeal against an order issued by a Banking Judge, specifically whether such an order is appealable under the statutory framework. Additionally, the petitioner challenges the reserve price fixed by the High Court for the property in question, arguing that the valuation was presumptuous and did not reflect the actual market value. Upon consideration of the submissions, the Supreme Court granted leave to appeal to examine the issue of the appealability of the Banking Court's order and any other ancillary issues that may arise during the proceedings. The Court's decision to grant leave signifies that the question of whether the High Court erred in its determination regarding the maintainability of the appeal requires a definitive judicial pronouncement by the apex court.
- Is an order passed by a Banking Judge appealable under the Financial Institutions (Recovery of Finances) Ordinance 2001?
- Does the High Court have the authority to fix a reserve price that deviates from the market value in recovery proceedings?
- Section 22(6), Financial Institutions (Recovery of Finances) Ordinance 2001
ORDER
TASSADUQ HUSSAIN JILLANI, J.---Refers to section 22(6) of the Financial Institutions (Recovery of Finances) Ordinance, 2001, and relies on a judgment of this Court reported as Pakistan Industrial Credit and Investment Corporation Limited and other v. Government of Pakistan 2002 CLD 1 to contend that the learned High Court fell in error in holding that the order passed by the learned Banking Judge was not appealable. Adds that the reserve price fixed by the learned High Court is presumptuous and not in accord with its market value.
2. Having considered the submissions made, leave is granted to consider the afore-referred issue raised and any other issue which may arise.