PRABODH N. SHAH vs S.B.I.

The Supreme Court addressed the appointment of a Court Receiver under Order 40 Rule 1 of the Code of Civil Procedure in a case involving the recovery of loans by banks from M/s Nikhil Diamonds. The Court upheld the Bombay High Court's decision to appoint a receiver for the properties, including Shop No. 828, which was occupied by the appellant as a tenant for nearly ten years. The Court emphasized that the receiver has the authority to manage the properties and set occupation charges based on a valuation report, affirming the need for proper management of mortgaged properties in loan recovery cases.