Mr. K Rathnachari Vs M/S Canara Bank — Writ and Judicial Review | Karnataka HC (2026)

Mr. K Rathnachari Vs M/S Canara Bank — Writ and Judicial Review | Karnataka HC (2026)

What the court decided

AI extract

Outcome

Writ petition disposed of; respondent/Bank directed to return the title documents lying with it to the petitioner within one week from the date of receipt of the copy of the order; all pending I.As., if any, in the petition directed to stand closed. The challenge to the impugned condition was not separately adjudicated and the OTS-related dispute became moot through the Bank's undertaking recorded at paras 32-33.

Issue for consideration

Whether the impugned communication dated 25.09.2025 issued by the respondent Bank, insofar as it imposes the condition requiring withdrawal of Writ Appeal No. 876/2025 for release of securities, should be quashed. +1 more

Ratio / Principle

On recording the submission of learned counsel for the respondent/Bank that the documents would be returned to the petitioner within one week and that the Bank had no objection, this Court disposed of the writ petition directing the respondent/Bank to return the title documents lying with the Bank to the petitioner within one week from the date of receipt of the copy of the order; all pending I.As., if any, in the petition were directed to stand closed.

Detailed headnote1 paragraphs

Writ Petition (GM-DRT) under Articles 226 and 227 of the Constitution of India - K. Rathnachari v. M/s Canara Bank Asset Recovery Management Branch, Manipal - Petitioner challenged the Bank's communication dated 25.09.2025 (Ref No. ARM/496/Rangachari/OTS/Condonation/2025-26) insofar as it imposed the condition requiring withdrawal of Writ Appeal No. 876/2025 for release of securities (Annexure-K), and sought release of original title deeds and security documents mortgaged by the petitioner and his family members upon payment of the full and final OTS amount - Before adjudication, learned counsel for the respondent/Bank submitted that the documents would be returned within one week and that the Bank had no objection - Recording the submission, the High Court (Lalitha Kanneganti, J.) disposed of the writ petition directing the Bank to return the title documents lying with it to the petitioner within one week from receipt of the copy of the order, and all pending I.As. in the petition were directed to stand closed. Order dated 22.04.2026.

1 -

NC: 2026:KHC:22014 WP No. 33687 of 2025

HC-KAR

IN THE HIGH COURT OF KARNATAKA AT BENGALURU

DATED THIS THE 22^ND DAY OF APRIL, 2026

BEFORE

THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI

WRIT PETITION NO. 33687 OF 2025 (GM-DRT)

BETWEEN:

MR. K.RATHNACHARI S/O LATE KRISHNACHARI AGED ABOUT 53 YEARS RESIDING AT HOUSE NO. 43, 4^TH CROSS, PAVAGADA ROAD, OPP. NIRANJAN ENTERPRISES, CHALLAKERE, KARNATAKA -577 522.

…PETITIONER

(BY SRI. MANJUNATH S., ADVOCATE)

AND:

Digitally signed by SUVARNA T Location: HIGH COURT OF KARNATAKA

M/S CANARA BANK ASSET RECOVERY MANAGEMENT BRANCH, SRD BUILDING, NEAR HEAD OFFICE (ANNEXE), MANIPAL, UDUPI - 576104. REPRESENTED BY ITS CHIEF MANAGER

…RESPONDENT (BY SRI.RANJAN KELKAR, ADVOCATE FOR SRI.K.V.LOKESH, ADVOCATE)

THIS WP IS FILED UNDER ARTICLE 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASHING THE IMPUGNED COMMUNICATION DATED: 25.09.2025 BEARING REF NO. ARM/496/RANGACHARI /OTS/ CONDONATION/ 202526 ISSUED BY THE RESPONDENT BANK IN SO FAR IT IMPOSES THE CONDITION REQUIRING WITHDRAWAL OF WRIT APPEAL

2 - NC: 2026:KHC:22014 WP No. 33687 of 2025

HC-KAR

NO. 876/2025 FOR RELEASE OF SECURITIES PRODUCED AT ANNEXURE-K.

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

CORAM: HON'BLE SMT. JUSTICE LALITHA KANNEGANTI

ORAL ORDER

The present writ petition is filed seeking the following prayer.

“Wherefore, the petitioner most respectfully prays that this Hon’ble Court may be pleased to:

a. Issue a writ of certiorari quashing the impugned communication dated: 25.09.2025 bearing Ref No.ARM/496/Rangachari/OTS/Condonation/2 025-26 issued by the respondent Bank in so far it imposes the condition requiring withdrawal of Writ Appeal No.876/2025 for release of securities produced at Annexure-K;

b. Issue a writ of mandamus directing the respondent Bank to forthwith release the original title deeds and other security documents mortgaged by the petitioner and his family members upon payment of the full and final OTS amount;

c. Pass such other order/s or direction as this Hon’ble Court may deem fit in the interest of justice and equity.

3 -

NC: 2026:KHC:22014 WP No. 33687 of 2025

HC-KAR

Learned counsel appearing for the respondent/Bank

submits that they will return the documents to the petitioner within one week and the Bank has no objection.

Recording the submission of the learned counsel for

the respondent/Bank, this Court is passing the following:

ORDER

i. Accordingly, the writ petition is disposed of directing the respondent/Bank to return the title documents which are lying with Bank to the petitioner within one week from the date of receipt of the copy of this order.

ii. All pending I.As, if any in the petition shall stand closed.

SD/(LALITHA KANNEGANTI) JUDGE

PKN List No.: 1 Sl No.: 50