D.Sathees Kumar Vs Pegasus Assets Reconstruction Private… — Banking and Recovery | Madras HC (2025)

D.Sathees Kumar Vs Pegasus Assets Reconstruction Private… — Banking and Recovery | Madras HC (2025)

What the court decided

AI extract

Outcome

Petitioners given breathing time to vacate the mortgaged premises not later than 15.06.2025 on their undertakings, with affidavits confirming the undertaking to be filed and served on the advocate for Respondent No.1 by 28.03.2025 (failure leads to recall of the order and dismissal of the petition); W.M.P.No.6232 of 2025 allowed subject to payment of separate court fees by each petitioner on or before 28.03.2025; W.M.P.Nos.6233 and 6235 of 2025 disposed; no order as to costs.

Issue for consideration

Whether this Court should exercise writ jurisdiction against a petition challenging an order passed under Section 14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, or whether the petitioners should be directed to approach the Debts Recovery Tribunal (objection raised by counsel for first respondent; not expressly adjudicated by the Court). +1 more

Ratio / Principle

The Court accepted the petitioners' statement as an undertaking to the Court that each of the seven petitioners would vacate the mortgaged premises not later than 15.06.2025.

Key takeaways

If the undertaking in the form of affidavit is not filed on behalf of each petitioner with proper jurat, this order shall stand recalled and the petition will stand dismissed without further reference to Court.ratio¶25
W.M.P.No.6232 of 2025 is allowed subject to each petitioner paying separate court fees, which shall be paid on or before 28.03.2025; non-payment will result in this order getting recalled and the petition standing dismissed.ratio¶26

Detailed headnote1 paragraphs

Madras High Court (bench of K.R.Shriram, CJ and Mohammed Shaffiq, J; order made by the Chief Justice) disposed of W.P.No.5644 of 2025, a writ of Certiorari under Article 226 of the Constitution of India seeking to quash the order dated 15.11.2023 passed in Crl.M.P.No.378 of 2020 by the Chief Judicial Magistrate, Salem. Counsel for first respondent (Pegasus Assets Reconstruction Private Ltd.) objected that the Court should not exercise jurisdiction over a challenge to a Section 14 SARFAESI Act, 2002 order and that the petitioners should be sent to the Debts Recovery Tribunal; the Court did not adjudicate that objection. Instead, on the petitioners' counsel's instructions, the Court accepted as an undertaking to the Court that each of the seven petitioners would vacate the mortgaged premises not later than 15.06.2025, with affidavits of each petitioner (with proper jurat) to be filed and served on the advocate for Respondent No.1 by 28.03.2025, failing which the order would stand recalled and the petition dismissed. W.M.P.No.6232 of 2025 was allowed subject to each petitioner paying separate court fees on or before 28.03.2025 (non-payment leading to recall and dismissal); W.M.P.Nos.6233 and 6235 of 2025 were disposed; there was no order as to costs. No precedent cases were cited.

W.P.No.5644 of 2025

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 26.03.2025

CORAM :

THE HON'BLE MR.K.R.SHRIRAM, CHIEF JUSTICE

AND

THE HON'BLE MR.JUSTICE MOHAMMED SHAFFIQ

W.P.No.5644 of 2025 & W.M.P.Nos.6232, 6233 & 6235 of 2025

D.Satees Kumar 2. Manikandan 3. Selvendiran 4. Ramesh 5. Ravikumar 6. M.Jeeva 7. Anand Subramani .. Petitioners

Vs.

Pegasus Assets Reconstruction Private Ltd. 507, Dalamal House 2, Nariman Point Mumbai 400 021 Having Corporate Office 55-56, 5^th Floor, Free Press House Nariman Point, Mumbi 400 021. 2. K.Selvakumar 3. S.Lavanya .. Respondents ___________ Page 1 of 5_

https://www.mhc.tn.gov.in/judis

W.P.No.5644 of 2025

Prayer : Petition filed under Article 226 of the Constitution of India seeking a writ of Certiorari calling for the records with respect of the order dated 15.11.2023 passed in Crl.M.P.No.378 of 2020 on the file of the Chief Judicial Magistrate, Salem and quash the same.

For Petitioners : Mr.R.Nalliyappan For Respondents : Mr.S.Vijayakumar For Mr.R.Umasuthan for Respondent-1 No appearance - for Respondents 2 & 3

ORDER

(Order of the Court was made by the Hon'ble Chief Justice)

Counsel for first respondent, at the outset, opposed the petition stating that this Court should not exercise jurisdiction against a petition challenging an order passed under Section 14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 and petitioners should be directed to approach the Debts Recovery

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W.P.No.5644 of 2025

Tribunal.

Counsel for petitioners, on instructions, stated that petitioners be given some breathing time and gave an undertaking that each of the seven petitioners would vacate the mortgaged premises not later than 15.06.2025. Statement is accepted as an undertaking to this Court.

Shri. Nalliyappan states that he shall file an affidavit of each of the petitioners and serve a copy thereof on the advocate for respondent No.1, Shri. Umasuthan, confirming this undertaking, by 28.03.2025.

If the undertaking in the form of affidavit is not filed on behalf of each petitioner with proper jurat, this order shall stand recalled and the petition will stand dismissed without further reference to Court.

Petition is disposed of. There shall be no order as to costs. W.M.P.No.6232 of 2025 is allowed subject to each petitioner paying separate court fees, which shall be paid on or before 28.03.2025 and non-

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W.P.No.5644 of 2025

payment will result in this order getting recalled and petition will stand

dismissed. W.M.P.Nos.6233 and 6235 of 2025 also stand disposed.

(K.R.SHRIRAM, CJ) (MOHAMMED SHAFFIQ,J.) 26.03.2025 Index : Yes/No Neutral Citation : Yes/No

kpl

To

The Chief Judicial Magistrate Salem.

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W.P.No.5644 of 2025

THE HON'BLE CHIEF JUSTICE AND MOHAMMED SHAFFIQ,J.

(kpl)

W.P.No.5644 of 2025

26.03.2025

___________ Page 5 of 5_

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