Disposed

Sri. Ravinarayana Reddy. M. v. Vs Tumkur Grain Merchants Co. Operative Bank Ltd.

Karnataka HC15 Sept 2026WP/21039/2022

Case brief

AI extract

What is this about?

Petitioners challenged SARFAESI possession notices issued by a co-operative bank for alleged dues. The court noted a prior stay order but dismissed the plea to quash, disposing of the petition with liberty to the bank to proceed if dues remain unpaid.

What did the court decide?

Writ petition disposed of; liberty granted to the respondent bank to proceed against petitioners if any money remains due.

Sri. Ravinarayana Reddy. M. v. Vs Tumkur… — Contract and Commercial Disputes | Karnataka HC (2026)

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HC-KAR NC: 2026:KHC:50100 WP No. 21039 of 2022

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CNR: KAHC010489112022

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU

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DATED THIS THE 15^TH DAY OF SEPTEMBER, 2026

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BEFORE

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THE HON'BLE MR. JUSTICE SACHIN SHANKAR MAGADUM WRIT PETITION NO. 21039 OF 2022 (GM-DRT)

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BETWEEN:

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SRI. RAVINARAYANA REDDY. M. V. S/O VENUGOPAL AGED ABOUT 55 YEARS BENGNOR VILLAGE, BANGARPET TOWN KOLAR DISTRICT-563114.

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REDDYS TRADERS BENGNOR VILLAGE BANGARPET TOWN KOLAR DISTRICT-563114 BY ITS PROPRIETOR RAVINARAYANA REDDY M V S/O VENUGOPAL

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…PETITIONERS

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Digitally signed by AL BHAGYA Location: HIGH COURT OF KARNATAKA

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(BY SRI. SIRI RAJASHEKAR, ADVOCATE)

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AND:

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TUMKUR GRAIN MERCHANTS CO OPERATIVE BANK LTD B H ROAD, TUMKUR-572103 BY ITS AUTHORISED OFFICER REGD UNDER KARNATAKA CO OP SOCIETIES ACT

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RAJASHEKAR N ASSISTANT GENERAL MANAGER TUMKUR GRAIN MERCHANTS

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Digitally Signed By: SACHIN SHANKAR MAGADUM Verified

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HC-KAR

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NC: 2026:KHC:50100 WP No. 21039 of 2022

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CNR: KAHC010489112022

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CO OPERATIVE BANK LTD B H ROAD, TUMKUR-572103.

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…RESPONDENTS

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(BY SRI. LOKESH .K.V AND LAW VIBES, ADVOCATE)

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THIS WP IS FILED UNDER SECTION 226 OF THE CONSTITUTION OF INDIA, PRAYING TO DECLARE THAT THE INITIATION OF PROCEEDINGS BY THE R1 BANK UNDER THE SARFAESI PROCEEDINGS IS WITHOUT JURISDICTION AND ARBITRARY AND CONSEQUENTLY QUASH THE POSSESSION NOTICES DTD 04.04.2022 VIDE NO.TGMCB/SEC/03/2022-23, AT ANNEXURE-E AND CONSEQUENTIAL NOTICE DTD 18.10.2022 VIDE NO.TGMCB/SEC/157/2022-23 AT ANNEXUREG BY THE R1; AND ETC.

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THIS PETITION, COMING ON FOR PRELIMINARY HEARING 'B' GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

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CORAM: HON'BLE MR. JUSTICE SACHIN SHANKAR MAGADUM

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ORAL ORDER

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Captioned petition is filed assailing the possession notice issued by the respondent/co-operative bank for a sum of Rs.2,33,00,000/-.

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This Court vide order dated 21.10.2022 has

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stayed further proceedings. The records reveal that the interim order granted by this Court was not conditional. The right of a secured creditor to proceed against the secured assets cannot be interdicted at the hands of the

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Digitally Signed By: SACHIN SHANKAR MAGADUM Verified

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HC-KAR

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NC: 2026:KHC:50100 WP No. 21039 of 2022

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CNR: KAHC010489112022

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writ Court. Petitioner's counsel conveniently submits that

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his senior is not keeping well and he has no instructions and there is a part payment made by the petitioner. The amount due was Rs.2,33,10,066/- as on 04.04.2022. If there is part payment and respondent-bank has abstained from taking any further course of action due to pendency of this writ petition, this Court, in the light of consistent view taken by the Hon'ble Apex Court that action contemplated by secured creditor cannot be interdicted by a writ Court, deems it fit to dispose of the writ petition with liberty to the respondent-bank to proceed against petitioner if there is any money due to it.

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Accordingly, the writ petition is disposed of.

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Digitally Signed By: SACHIN SHANKAR MAGADUM Verified

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(SACHIN SHANKAR MAGADUM) JUDGE

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ALB List No.: 1 Sl No.: 36

Sri. Ravinarayana Reddy. M. v. Vs Tumkur Grain Merchants Co. Operative Bank Ltd.

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Sri. Ravinarayana Reddy. M. v. Vs Tumkur Grain Merchants Co. Operative Bank Ltd.

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