IMPHAL, Oct 20 : Subsequent upon failure of the M/S CRS Livestock Farm, Irilbung to re-pay loans taken from North Eastern Development Finance Corporation Limited (NEDFi), all assets and properties of the farm including land have been attached by the financial institute.
The livestock rearing farm was established by one Kh Chaoba after taking a loan of Rs 12,75,000 from NEDFi out of the total project cost of Rs 25 lakhs.
For the loan amount of Rs 12,75,000, the farm should pay annual interest of 15.5 per cent for Rs 7 lakhs and one per cent for Rs 3.75 lakhs.
Sanction order for the loan was issued on September 29, 2000.
After the loan amount was taken by Kh Chaoba, proprietor of the farm, and subsequent upon the farm’s failure to re-pay the loan amount, the amount sanctioned to the farm was declared as non-performing asset on March 31, 2003.
As the farm never re-paid any part of the loan amount, the financial institute filed a suit at its Guwahati based debit recovery tribunal.
Acting on the suit, the tribunal demanded service report and also served notifications to the farm.
However, there was no response from the farm. Then, the tribunal issued an order to attach an area of 33,976.80 square feet owned by the farm.
In spite of the land attachment order, Imphal branch of the financial institute called proprietor Kh Chaoba to bring a compromised settlement. But Kh Chaoba never showed up. Finally, officials of the institute together with Irilbung police went to the farm today and put up sign-boards notifying that all the assets and land of the livestock farm have been taken over by the institute.
Source: The Sangai Express