Shri Shri Swami Samarth Construction ... vs The Board Of Directors Of Nkgsb Co-Op. ...

The Supreme Court examined whether the classification of a loan account as a non-performing asset (NPA) and the issuance of a demand notice under the MSME Act by a cooperative bank complied with the statutory framework and notifications. The court analyzed the procedural requirements under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, and the relevant notification dated 29th May, 2015. It held that the bank's actions were in accordance with the law, and the petitioner's challenge was dismissed. The judgment underscores the importance of following prescribed procedures for recovery actions under financial laws.