Dismissed

Smt. Roopa Amit Shekhar v. Canara Bank

Karnataka HC12 Aug 2024WP/3336/2024

Case brief

AI extract

What is this about?

In this writ petition, the High Court of Karnataka dismissed the challenge against a bank's possession order under SARFAESI Section 14. The Court held the petition was not maintainable as the alternative remedy under Section 17 via the DRT was unexhausted and the petitioners failed to comply with interim directions. Liberty was reserved to approach the DRT.

What did the court decide?

Writ petition dismissed as not maintainable for non-exhaustion of alternative remedy under Section 17 SARFAESI Act; liberty reserved to approach DRT.

Smt. Roopa Amit Shekhar Vs Canara Bank — Banking and Recovery | Karnataka HC (2024)

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1 - NC: 2024:KHC:32979 WP No. 3336 of 2024

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU

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DATED THIS THE 12^TH DAY OF AUGUST, 2024

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BEFORE

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THE HON'BLE MR JUSTICE HEMANT CHANDANGOUDAR WRIT PETITION NO. 3336 OF 2024 (GM-RES)

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BETWEEN:

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SMT. ROOPA AMIT SHEKHAR W/O. AMIT SHEKAR, AGED ABOUT 38 YEARS, PARTNER OF M/S. CITRANCE FOODS AND HOSPITALITY LLP, NO.34, 1ST CROSS, CSI COMPOUND, MISSION ROAD, BENGALURU - 560 027.

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SMT. SHEELA SHEKAR DEVI W/O. C. RAVIKUMAR GUNASHEKAR, PARTNER OF M/S. CITRANCE FOODS AND HOSPITALITY LLP, NO. 34, 1ST CROSS, CSI COMPOUND, MISSION ROAD, BENGALURU - 560 027.

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Digitally signed by R HEMALATHA Location: HIGH COURT OF KARNATAKA

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M/S. CITRANCE FOODS AND HOSPITALITY LLP REP. BY ITS PARTNERS, REGISTERED OFFICE NO. 8, 11TH MAIN, 3RD BLOCK, JAYANAGAR, BENGALURU - 560 011.

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…PETITIONERS (BY SRI. V B SHIVA KUMAR., ADVOCATE) AND:

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CANARA BANK LEVELLE ROAD BRANCH, NO. 20, EDEN PARK, LEVELLE ROAD, BENGALURU - 560 021, REPRESENTED BY ITS AUTHORIZED OFFICER, MR. LAXMINARAYANA RAO. …RESPONDENT (BY SRI. VIGNESH SHETTY., ADV FOR C/R IN CP.1086/2024)

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2 - NC: 2024:KHC:32979 WP No. 3336 of 2024

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THIS WP IS FILED UNDER ARTICLE 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ORDER DTD 27.12.2023 PASSED BY OF THE IX ADDL. CHIEF METROPOLITAN MAGISTRATE, BANGALORE IN CRL.MISC.7600/2023 DIRECTING THE TAKING OF POSSESSION OF THE PETITION SCHEDULE PROPERTY AS ILLEGAL, VOID AND WITHOUT JURISDICTION WHICH IS AT ANNEXURE-A.

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THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

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CORAM: HON'BLE MR JUSTICE HEMANT CHANDANGOUDAR

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ORAL ORDER

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The petitioner challenges the order passed under Section 14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, by which the respondent-Bank was permitted to take physical possession of the secured asset belonging to the petitioners, which was offered as security for the repayment of the loan.

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This Court, by order dated 08.02.2024, granted an interim order and directed the respondent-Bank to restore possession of the secured asset, subject to the petitioners depositing 30% of the amount due.

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The learned counsel for the respondent-Bank, on instructions, submitted that the petitioners have not complied with the interim order.

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Against the order passed under Section 14 of the Act, a remedy is available under Section 17 of the Act before the Debt

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NC: 2024:KHC:32979 WP No. 3336 of 2024

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Recovery Tribunal. Therefore, the petition is filed without exhausting the alternative remedy under Section 17 of the Act and, as such, is not maintainable.

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Accordingly, the writ petition is dismissed as not maintainable, reserving the liberty to the petitioners to approach the DRT , and also to submit a representation to the respondent-Bank to collect the articles, documents, and records lying in the schedule premises.

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Sd/(HEMANT CHANDANGOUDAR) JUDGE

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TIN

Smt. Roopa Amit Shekhar v. Canara Bank

Case brief

What is this about?

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Smt. Roopa Amit Shekhar v. Canara Bank

Case brief

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