Dismissed

Ms Population Shoe Mart v. Ms Piramal Capital and Hosuing Finance

DRT23 Jun 2025SA/200/2023

Case brief

AI extract

What is this about?

In a Section 13 application filed under the SARFAESI Act, 2002, the Debts Recovery Tribunal-I, Hyderabad, dismissed the applicant's challenge against the respondent's steps for taking physical possession of schedule property via Advocate Commissioner appointed under Section 14. The court found the respondent had duly issued demand and possession notices and followed required procedures.

What did the court decide?

Application Section 13 SARFAESI Act dismissed with costs against applicant if any.

Ms Population Shoe Mart versus Ms Piramal Capital and Hosuing… — Banking and Recovery | DRT (2025)

¶1

IN THE DEBTS^{RECOVERYTRIBUNAL - IAT HYDERABAD}

¶2

DATED THIS^{THE 23RD DAY OF JUNE} '^2C_25

¶3

PRESENT:^{GUMMADIGOPICHAND, PRESIDING OFFICER}

¶4

sA.No.200/2C^23

¶5

M/s Population^{Shoe Mart,} Rep. byits^{ProP:ShaikAbdul Shukur,} H.No.45/ 193,^SY.No.152, Ward No.45,^{NarasimhaReddYNagar,} Kurnool District-S^{1800 1, A.P}

¶6

... Applicant

¶7

And

¶8

M/s Piramal^{Capital & HousingFinance} (PreviousiY M/s^{DewanHousing &} Finance CorP.Ltd). Rep.by its Authotized^Officer Himayat Nagar,^HYderabad

¶9

.... ResPondent

¶10

Counsel for^{the APPlicant} Courusel for the^ResPondent

¶11

Sri D.ShashiPreetam Smt.P.S.Sujata

¶12

-:ORDER:.

¶13

ThisapplicationisfiledbytheApplicantu/s.|ToftheSARFAESIAct, 2OO2, challenging^{the Vacate notice dt.05.06'2o23issued by the} Advocate commissioner^{for taking physical possessionof the schedule} propertypursuanttotheordersofLd.CJMCumPrincipal Asst.Sessions^{Judge,Kurnool in crl.MP.No.13ll23and to declare} thesame""ffi4

¶14

rheaverm .K#":;ffi"r;'H ,^{in brief, are that:} {{J '.J,fr^23JUNzffi :r The ApplicaElt$$v6ited^{loan frog} spondent^{by creating mortgage} Thereafter due to Covid-19,^the in respect^o ia'rl-:itrF_rilr :!vrwV

¶15

Applicant committed^{defaultin repaying the loan dues and so' the} Respondentissueddemandnoticedt.lg'11.2o1r9u/s13(2)ofthe SARFAESI Act,^{2OO2 to the Applicant'The Respondentwithout} issuing any^{possessionnoticeu/s 13(4)of the Act' 2002' straightway} approachedld.CJM,Kurnool^{and obtained orders for taking physical} possession of the^{schedulepropertythrough advocate commissioner'} The said advocate^{commissioner visited the schedule property and} issued notice^{dt.05.06.2023to the Applicant to vacatethe schedule} premises. The respondent^{has not followedthe procedure iaid down} under the^{provisions of SARFAESIAct, 2OO2 and Rulesmade} thereunder^{in issuing relevant noticesto the Applicant'Hencethe SA'}

¶16

The Respondent^{hled their Replydenyingall the adverse allegations} made in the^{SA and contendedthat the Applicant availedloan from} the Respondent^{by creating mortgage in respect of the schedule} property and thereafter,^{the Applicant failed to repay the loandues'} Accordingly, the^{Respondentissued demand notice dt' 19' 11'2o19u/s} l3(2) of the SARFAESI^{Act,2OO2and the said notice was also published} in Nava^{Telangana and New IndianExpressdailv} newspapers.Thereafter,^{the Respondentissuedpossessionnotice} dt.l4.ll.2}22^{ui s 13(4) of the Act, 2OO2 to the Applicant and the} said^{possessionnotice was affixed on the scheduleproperty and it was} also published^{in two daily newspapers'After issuingpossession} notice, the^{Respondent approachedLd'CJM' Kurnool by fiiing} Crl.M.P.No.13^{I123 for appointmentof advocatecommissioner for} taking^{physical possession of the schedule property'The said} advocate^{commissionerappointed by Ld'CJM' Kurnool visitedthe} schedule^{propertyandissued notice dt'05'06'2023to the Applicant} .property. instead of vacating^{the schedule} to vacatg, n.e*lser1ffitd$i,tA,frRa """lltlb-^{the present SA and obtainedstav orders'} nc.dtd;erv, {$."o.Jh\ed *^{to dismiss the SA'} ii r [g^{23 Jtjl.lzms} w,.^""#:d 2

¶17

l{eard Ld.^{Counsel for} the Applicant^{and Ld' Counsel for the} the material^{brought on record'}

¶18

Respondent^and Perused

¶19

Now the^{points that arise for considerationare}

¶20

i. uhether^{the Applicant has established.ana ualid groundsfor} clmllengingthestepsinitiated.bytheRespondentfortaking physicalpossessio^{n of the schedule property?}

¶21

ii. To uhat^relief?

¶22

Point No.(if^:-

¶23

During the course of^{arguments, Ld' Counselfor the} Applicant^{and Ld'} versions^{as stated}

¶24

Counsel^for the Respondent^{reiteratedtheir respective} supra.

¶25

The undisputed^{facts of the case are that the Applicant availed loan from} theRespondentandcreatedmortgageinrespectoftheschedule propertytosecurethesaidloan.Thereafter,theApplicantcommitted defaultinrepayingtheloanduesandso,theRespondentissueddemand noticedt.lg.lL.2olgandtheApplicantreceivedthesaidnotice.

¶26

ThespecificcontentionoftheApplicantisthatwithoutissuing possession^{notice, the Respondentstraightaway,initiatedsteps for taking} physicalpossessionoftheschedulepropertythroughadvocate commissioner^{without following due process of law'} ffi nded that that^{they have duly followed thehave duly followed theduly followed thefollowed thethe}

¶27

nded that that^{they have duly followed thehave duly followed theduly followed thefollowed thethe}

¶28

1. laid down^under provisions^{of SARFAESIAct' 2OO2and}

¶29

.-'i.- .

¶30

to the Appticant and also^{in takingsteps u/s 14 of the SARFAESI Act,} 2OO2 for taking physical^{possession of the scheduleproperty.}

¶31

In order to substantiate^{their contention,the Respondentfiled relevant} material documents along^{with the Reply filed by them. As per the said} documents, it is clear that^{the Respondentissued demand notice} dt.19. Il.2Ol9 uls 13(2) of^{the SARFAESI Act, 2OO2 and sent the said} notice to the Applicant through^{Regd. Post and the said notice was} received by the Applicant^{as evidencedby the postalacknowledgements} filed by the Respondent.^{In fact, the Respondentalso publishedthe said} demand notice in two^{daily newspapers. Thereafter, the Respondent} issued possession notice^{dt.14. ll.2022 and the Applicantreceived the} said notice as evidenced^{by the postal acknowledgementsfiled by the} Respondent. The^{said possession notice was published in Englishand} Telugu daily newspapers^{as evidencedby the copiesof paper publication} filed by the Respondent^{and the said notice was also affixed on the} schedule property as^{depicted in the photographs filed bythe} Respondent. Thus, the^{Respondenthas scrupulously followedRule} 8(1)&(2) of Security^{Interest(Enforcement)Rules, 2oo2 inissuing} possession notice to the^Applicant.

¶32

After issuance of^{possessionnotice u/s 13(4) of the SARFAESIAct,2OO2,} as pcr the provisions^{of Section 14 of SARFAESI Act, 2OO2,the secured} creditor is at liberty^{to approach the concerned District Magistrateor} Chief Judiciat Magistrate^{for taking physical possessionof the secured} asset. In the instant^{case, after issuing demand noticeand possession} notice to the Applicant,^{the Respondent approachedLd. CJM,Kurnool} u/s 14 of the^{SARFAESIAct, 2OO2 for appointment of advocate} commissio sical possession of^{the schedule property'} The Ldi" rough the record,^{appointed advocate} nJ 1/ t te commissioner^{visited the schedule} ;ffi,& .o.r,r'ifH". ".&*H. ""to' .06.2023 to^{the Applicant for vacating} andT_igsu,e$ 1S8". ,^{the said notice was receivedbY}

¶33

the Applicant. So, the saidnotice issued by the advocate commissioner for taking physical possessionof the schedule property is perfectly legal and valid.

¶34

1 1. So, considering all the circumstances, I am of the opinion that the proceedings initiated by the Respondent before the CJM, Kurnool u/s 14 of the SARFAESI Act, 2OO2 for taking physical possession of the schedule property are quite legal and strictly in accordance with the provisions of SARFAESI Act, 2OO2 and there are no violations. Accordingly, this point is answered in favour of the Respondent and against the Applicant.

¶35

Point No.(ii):-

¶36

In the result, SA2OOl2023 is dismissed as there are no merits.

¶37

Consequently, the Interlocutory Applications, pending if any, shall stand disposed of. No order as to costs.

¶38

Communicate a copy of this order to the parties concerned.

¶39

(Dictated to the P.S transcribed bg her, corrected, signed and pronounced bg me in the open court on this the 23d dag of June, 2025).

¶40

sdl - (G. GOPr CHANDI PRESIDING OFFICER

¶41

ffinw
ERr,t, rr.vorf?A3An.

Ms Population Shoe Mart v. Ms Piramal Capital and Hosuing Finance

Case brief

What is this about?

What did the court decide?

Ms Population Shoe Mart v. Ms Piramal Capital and Hosuing Finance

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

State Bank of India versus M/S. Nandamuri Transporters Private Limited

State Bank of India versus M/S. Nandamuri Transporters

M S Crosol Crop Care Pvt. Ltd. versus Bank of India

M s Mourya Automotives versus The Hongkong and Shanghai Banking Corporation Ltd.

Icici Bank Limited versus Sri. Madduri Someshwar Reddy

Mr Gunda Vishweshwar Rao versus State Bank of India