Chaman Singh And LRs v. State Bank of India
Case brief
What is this about?
Appeal against an auction sale notice under the SARFAESI Act dismissed as infructuous due to pending proceedings before the Debt Recovery Tribunal and non-performance of appellant's undertaking.
What did the court decide?
Dismissal of the appeal stating remedy is to approach the Tribunal under Section 17 of the SARFAESI Act.
What the court decided
Appeal Dy. No. 230/2022 Date: 24.01.2024
Chaman Singh Vs. State Bank of India
Present: Shri Vishal Kashyap, Advocate holding brief of Shri Shekhar Chaudhary, counsel for the appellant, Shri Sandeep Arora, counsel for the respondent-Bank, Shri Kaveesh Nair, Advocate holding brief of Shri Pushkar Mehrotra, counsel for the respondent-Auction Purchaser,
Learned counsel for the respondent-bank contends that the appellant had approached before the Tribunal below for setting aside the auction sale notice. It is contended that the property has already been auctioned by the respondent-bank, but possession of the property is with the Bank. It is further contended that the present appeal has become infructuous as the proceeding under section 17 of the SARFAESI Act is pending consideration before the Tribunal below. Hence, the present appeal may be dismissed as having become infructuous. Learned counsel also submits that the appellant has previously flouted his undertaking given before this Tribunal for depositing the amount. As such he is not entitled to be heard on merits. In support of his contention, the learned counsel has relied upon the judgment passed by the Hon’ble Delhi High Court in W.P.(C) No. 4539/2021 – Sheikh M. Maroof Vs. Phoenix ARC Pvt. Ltd. & Ors., decided on 22.04.2021, wherein it has been held that if the undertaking given by a party is not honoured, then he will have no right to argue the matter on merits. A copy of this judgment has been produced before this court, which is taken on record.
In view of the above, the present appeal is dismissed as having become infructuous. However, there is remedy open to the appellant by filing appropriate application for redressal of his grievances before the Tribunal below. If such application is filed, this Tribunal has no doubt that the Tribunal below shall consider and decide the same in accordance with law most expeditiously.
Justice R. D. Khare Chairperson
Parties & counsel
- appellant
Chaman Singh
- respondent
State Bank of India
Coram
R. D. Khare
Case details
As recorded by the court registry
- Court
- DRAT
- Decided on
- · January
- CNR
- 091090002302022
- Topic
- Banking and Recovery
All orders in this case
13 orders share this CNR
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