Disposed

Sri Wajid Shariff v. Piramal Capital and Housing Finance Ltd.

Karnataka HC12 Jan 2024WP/876/2024

Case brief

AI extract

What is this about?

The High Court disposed of the writ petition on the petitioners' undertaking to clear the loan balance within one month. Possession was restored to the petitioners subject to the condition that they fulfill the payment undertaking, allowing the bank to initiate action under Section 14 of the SARFAESI Act in case of breach.

What did the court decide?

Petition disposed of on terms; possession restored to petitioners subject to payment undertaking.

Sri Wajid Shariff Vs Piramal Capital and Housing… — Banking and Recovery | Karnataka HC (2024)

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NC: 2024:KHC:1683 WP No. 876 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 JANUARY, 2024

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BEFORE

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THE HON'BLE MR JUSTICE M.NAGAPRASANNA WRIT PETITION NO. 876 OF 2024 (GM-RES)

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BETWEEN:

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SRI.WAJID SHARIFF, S/O SRI. CHAND SHARIFF, AGED ABOUT 42 YEARS, RESIDENT OF NO.26, BILLAL NAGAR, NAGAWARA MAIN ROAD, K G HALLI, NEAR ARABIC COLLEGE, BANGALORE - 560 045.

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SRI. CHAND SHARIFF, S/O MURTAZA SHARIFF, AGED ABOUT 72 YEARS, RESIDENT OF NO.26, BILLAL NAGAR, NAGAWARA MAIN ROAD, K G HALLI, NEAR ARABIC COLLEGE, BANGALORE - 560 045.

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Digitally signed by PADMAVATHI B K Location: HIGH COURT OF KARNATAKA

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…PETITIONERS

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(BY SMT. SANDHYA U. PRABHU, ADVOCATE)

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AND:

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PIRAMAL CAPITAL AND HOUSING FINANCE LTD., REPRESENTED BY ITS AUTHORISED

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NC: 2024:KHC:1683 WP No. 876 of 2024

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OFFICER/MANAGER, REGISTERED OFFICE, 4^TH FLOOR, PIRAMAL TOWER, PENINSULA CORPORATE PARK, GANPATRAO KADAM MARG, LOWER PANEL, MUMBAI - 400 013.

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…RESPONDENT

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(BY SRI. K.V. LOKESH, ADVOCATE FOR C/R1)

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THIS WP IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ORDER OF THE LEARNED XI ADDL. CHIEF METROPOLITAN MAGISTRATE AT BANGALORE CITY DATED 12/09/2023 IN CRL.MISC. NO. 50664/2023 PRODUCED AT ANNEXURE-D IN RESPECT OF SCHEDULE PROPERTY IN SO FAR AS PETITIONERS ARE CONCERNED.

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THIS PETITION, COMING ON FOR ORDERS, THIS DAY, THE COURT MADE THE FOLLOWING:

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ORDER

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The petitioners are before this Court, seeking the

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following prayers:

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"a) Issue a writ of certiorari quashing the order of the learned XI Addl Chief Metropolitan Magistrate at Bangalore City dated 12/09/2023 in Crl.Misc No.50664/2023 produced at Annexure-D in respect of schedule property in so far as petitioners are concerned.

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b) Grant any other relief as this Hon'ble court deems fit in the facts and circumstances of the case

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3 - NC: 2024:KHC:1683 WP No. 876 of 2024

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including awarding costs, in the interest of justice and equity.

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This Court on 10.01.2024, had passed the following

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order:

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"Learned counsel for the petitioners hands over a Demand Draft of Rs.10 lakhs to the learned counsel for the respondent towards the loan account. The total amount is said to be at Rs.26 lakhs.

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List this matter on 12.01.2024 in the fresh matters list."

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Learned counsel appearing for the petitioners submits that Rs.10.00 lakhs demand draft that was handed over to the respondent has been credited to the account of the petitioners and what remains is Rs.16.00 lakhs to be paid.

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Learned counsel would further undertake that the borrower would pay Rs.5.00 lakhs before the end of the day. Therefore, the amount total paid would be Rs.15.00 lakhs as on today.

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The petitioners have also filed an affidavit of undertaking that they would clear the complete loan within one month from today, balance of Rs.11.00 lakhs in one month from today, complete loan, I mean balance of Rs.11.00 lakhs, which the learned counsel appearing for the respondent

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NC: 2024:KHC:1683 WP No. 876 of 2024

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submits that it would be subject to verification. Be that as it

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may. The affidavit of undertaking, reads as follows:

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"I, Sri.Wajid Shariff S/o Sri.Chand Shariff, Aged 42 years, Resident of No.26, Billal Nagar, Nagawara Main Road, K G Halli, Near Arabic College, Bangalore-560045, do hereby solemnly affirm and state on oath as follows:-

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1. I am the Petitioner No.1 in the above case and I am well conversant with the facts of the above case. The petitioner No.2 has authorized me to swear this affidavit on his behalf and hence I am swearing to this affidavit.

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2. The statements and averments made by me petition may kindly be taken as part and parcel of this affidavit.

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3. I submit that, I am the borrower and the respondent has taken the physical possession of the house property which was occupied by my family and my tenants on

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4. Now that I am ready to close the loan account by one month, I had arranged for an amount of Rs.10,00,000/-(Rupees Ten Lakhs only) by way of demand draft to the respondent and the same was handed over to the respondent counsel.

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5. Today I am ready to deposit a sum of Rs.5,00,000/-(Rupees Five Lakhs only) to the loan account if the respondent handovers the physical possession of the house property today.

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6. I submit that, I am ready to close the loan account by making payment of balance of Rs.11,00,000/-(Rupees Eleven Lakhs only) the balance amount as per the respondent and its interest if any by making payment within one month from today.

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NC: 2024:KHC:1683 WP No. 876 of 2024

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7. I submit that, if the balance amount as undertaken is not paid the respondent may proceed to take physical possession in accordance with law. I swear accordingly"

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In the light of the affidavit of undertaking and

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compliance with the interim order, nothing further survives for consideration in the case at hand. The possession that is taken over by the Bank shall be restored on receipt of Rs.5.00 lakhs today, and the possession would be retained by the petitioners, subject to the condition that the petitioners would fulfill the conditions of the undertaking in the affidavit of undertaking.

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In the event, the petitioners would breach the undertaking behind again faulter in payment, the respondentBank is at liberty to initiate action, even take possession of the property in a manner known to law.

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In the event the petitioners would close the account, the bank shall hand over the original title deeds without dodging the petitioners on any count.

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For taking of possession in the event of breach, this order could be treated as an order by the learned Magistrate under Section 14 of the SARFAESI Act, 2002.

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NC: 2024:KHC:1683 WP No. 876 of 2024

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With the aforesaid observations, the petition stands

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disposed.

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Sd/JUDGE

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SJK List No.: 1 Sl No.: 22 CT:SNN

Sri Wajid Shariff v. Piramal Capital and Housing Finance Ltd.

Case brief

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Sri Wajid Shariff v. Piramal Capital and Housing Finance Ltd.

Case brief

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