Mahys Pharmaceuticals Vs the Union of India — Banking and Recovery | Andhra Pradesh HC (2026)

Mahys Pharmaceuticals Vs the Union of India — Banking and Recovery | Andhra Pradesh HC (2026)

What the court decided

AI extract

Outcome

Writ petition disposed of with a direction to the petitioners to approach the Debts Recovery Tribunal, Visakhapatnam with a request to take up O.A.No.776 of 2025 expeditiously if they have urgency; pending interlocutory applications, if any, stand closed; no order as to costs.

Issue for consideration

Whether the High Court should direct the Debts Recovery Tribunal, Visakhapatnam to dispose of O.A.No.776 of 2025, a recently instituted recovery matter under the SARFAESI Act, expeditiously.

Court's answer

No direction to dispose of O.A.No.776 of 2025 expeditiously can be issued in the present writ petition, as the O.A. is a fresh matter filed very recently in 2025 and cannot be taken up expeditiously by giving it priority over other old matters pending before the Tribunal.

Ratio / Principle

If the petitioners have any urgency, given that the bank seeks to take possession of the secured asset, they are at liberty to file an interlocutory application before the Debts Recovery Tribunal for redressal of their grievance, but they cannot seek a direction for expedited disposal of a recently instituted O.A.

Key takeaways

The Court was not inclined to interfere in the matter or to entertain the writ petition.ratio¶41
The writ petition is disposed of with a direction to the petitioners to approach the Debts Recovery Tribunal itself with a request to take up the matter expeditiously if they have any urgency.ratio¶42

Detailed headnote1 paragraphs

Andhra Pradesh High Court at Amaravati (Cheekati Manavendranath Roy and Tuhin Kumar Gedela, JJ.; order per Roy, J.), disposing of Writ Petition No.36426 of 2025 on 02.01.2026: Borrowers M/s Mahys Pharmaceuticals and Yenugual Komala, who had availed a loan from Axis Bank Limited secured by immovable property, sought a writ direction to the Debt Recovery Tribunal, Visakhapatnam to expedite disposal of O.A.No.776 of 2025, freshly instituted by the bank under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 for recovery of dues and possession of the secured asset, in which the borrowers had filed their written statement and which was posted to 11.02.2026. Holding that a recently instituted O.A. cannot be given priority over older pending matters and that no direction for expedited disposal could issue, the Court disposed of the petition, leaving the borrowers free to file an interlocutory application before the Tribunal if urgency existed; pending IAs closed; no costs.

APHC010705632025

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction)

[3558]

FRIDAY, THE SECOND DAY OF JANUARY TWO THOUSAND AND TWENTY SIX

PRESENT

THE HONOURABLE SRI JUSTICE CHEEKATI MANAVENDRANATH ROY

AND

THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA

WRIT PETITION No.36426 of 2025

Between:

M/s.MAHYS PHARMACEUTICALS, REP. BY ITS PROPRIETOR YENUGULA SAMBASIVA RAO S/O HANUMANTHA RAO AGED ABOUT 46 YEARS R/O SY.NO.519-C3A2, BESIDE AMARA ENGINEERING COLLEGE, SATHULUR VILLAGE, NADENDLA MANDAL, SATHULUR, GUNTUR DISTRICT, AP.

YENUGUAL KOMALA W/O YENUGULA SAMBASIVA RAO AGED ABOUT 40 YEARS, R/O SY.NO.519-C3A2, BESIDE AMARA ENGINEERING COLLEGE, SATHULUR VILLAGE, NADENDIA MANDAL, SATHULUR, GUNTUR DISTRICT, AP.

...PETITIONER(S)

AND

THE UNION OF INDIA, REP. BY ITS FINANCE DEPARTMENT NORTH BLOCK, NEW DELHI.

THE DEBT RECOVERY TRIBUNAL (DRT), DOOR No.31-31-21, NARAYAN BHAVAN, SAI BABA STREET, DABA GARDENS, VISAKHAPATNAM - 530020

M/S AXIS BANK LIMITED REP.BY ITS AUTHORIZED OFFICER MR.CHOKKAKULA VARUN PRAJNA VARDHA OFFICE AT No.43-9-141,4^TH FLOOR, SRI GAYATRI TOWERS, SRIKANYA

2

CMR, J & GTK, J W.P.No.36426 of 2025

MAIN ROAD, DONDAPARTHY, VISHAKHAPATNAM - 530016

...RESPONDENT(S):

Counsel for the Petitioner(S):

1.A.SRINIVASA RAO

Counsel for the Respondent(S):

B. AMRUTHA

The Court made the following:

3

CMR, J & GTK, J W.P.No.36426 of 2025

THE HON’BLE SRI JUSTICE CHEEKATI MANAVENDRANATH ROY

AND

THE HON’BLE SRI JUSTICE TUHIN KUMAR GEDELA

WRIT PETITION No.36426 of 2025

O R D E R: (Per Hon’ble Sri Justice Cheekati Manavendranath Roy)

Heard learned counsel for the petitioners. Ms. B. Amrutha, learned Central Government Counsel, submits that she has filed vakalath for respondent No.1 - Union of India in the Registry today. Therefore, we have heard her submissions on behalf of respondent No.1.

2. Since the grievance of the petitioners is only relating to nondisposal of O.A.No.776 of 2025 pending on the file of the 2^nd respondent - Debts Recovery Tribunal, Visakhapatnam, notice to the 3^rd respondent-bank is dispensed with.

3. The petitioners are the borrowers, who availed loan from the 3^rd respondent-bank by offering the immovable property of the 2^nd petitioner as security for repayment of the loan amount. As the petitioners failed to repay the borrowed amount, the bank has initiated measures under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, and filed O.A.No.776 of 2025 on the file of the 2^nd respondent - Debts Recovery Tribunal, Visakhapatnam, for recovery of the amount due from the borrowers and sought to take possession of the secured asset. It is stated that the petitioners, who are respondents in the said O.A., have filed their written statement in the said O.A., but the Debts Recovery Tribunal has posted the matter to 11.02.2026. Therefore, the petitioners have approached this Court by way of filing this writ petition

4

CMR, J & GTK, J W.P.No.36426 of 2025

to direct the 2^nd respondent- Debts Recovery Tribunal to dispose of the said O.A. expeditiously.

4. The said O.A.No.776 of 2025 filed by the 3^rd respondent-bank on the file of the 2^nd respondent- Debts Recovery Tribunal is only a fresh matter, which is filed very recently in the year 2025. Even though written statement was filed in the said O.A., it cannot be taken up expeditiously for hearing by giving priority to it, when other old matters are pending on the file of the 2^nd respondent - Debts Recovery Tribunal. Therefore, no direction to dispose of the said O.A. expeditiously as sought for can be issued in the present writ petition.

5 . If the petitioners got any urgency, as it is stated that the 3^rd respondent-bank sought to take possession of the secured asset, the petitioners are at liberty to file an interlocutory application before the Debts Recovery Tribunal for redressal of their grievance. But, they cannot seek direction to the Tribunal to dispose of the O.A. expeditiously when it has been instituted very recently. So, we are not inclined to interfere in the matter and to entertain this writ petition.

6. Therefore, the writ petition is disposed of with a direction to the petitioners to approach the Debts Recovery Tribunal itself with a request to take up the matter expeditiously, if they got any urgency.

As a sequel, interlocutory applications, if any pending, in this case shall stand closed. There shall be no order as to costs.

________________________________________ JUSTICE CHEEKATI MANAVENDRANATH ROY

______________________________________ JUSTICE TUHIN KUMAR GEDELA

Date: 02.01.2026 IBL

5

CMR, J & GTK, J W.P.No.36426 of 2025

THE HONOURABLE SRI JUSTICE CHEEKATI MANAVENDRANATH ROY

AND

THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA

WRIT PETITION No.36426 of 2025

Dt: 02.01.2026

IBL