This judgment dismisses a writ petition challenging a bank's physical possession of premises. The bench held that bona fide tenancy and eviction disputes must be decided by the SARFAESI Tribunal.
No order for possession; remedy available under Section 17 of the SARFAESI Act.
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THE HON’BLE SRI JUSTICE K.C.BHANU AND THE HON’BLE SMT JUSTICE ANIS
WRIT PETITION NO.23655 OF 2014
ORDER: (per the HON’BLE SRI JUSTICE K.C.BHANU)
This writ petition under Article 226 of the Constitution of India is filed seeking to issue Writ of Mandamus declaring the action of the 1st respondent-bank in taking physical possession of the premises bearing No.1-4-881, New Bakaram, Musheerabad, Hyderabad in pursuance to alleged symbolic possession notice, dated 21-07-2014 as illegal and arbitrary and set aside the same and direct the 1st respondent-bank not to interfere with the physical possession of the premises.
2. The petitioner claims to be a tenant in respect of secured asset by virtue of lease deed, dated
05-12-2010 for a period of three years and the same has been extended for further period of three years on 03-12-2013. An advance of Rs.3,00,000/- has been paid towards the lease property to the owners of the property and the rent payable to the said property is Rs.25,000/- per month. Therefore, the officials of the 1st respondent-bank are not supposed to seize the premises as he is a bona fide tenant.
3. Whether the petitioner is a bona fide tenant or not and whether he has to be evicted in accordance with law or not are the matters to be decided by the Tribunal constituted under the SARFAESI Act. Therefore, the petitioner has to avail the remedy under Section 17 of the SARFAESI Act.
4. Accordingly, the writ petition is dismissed at the stage of admission leaving open the remedies available to the petitioner under law. No order as to costs. Miscellaneous petitions, if any, pending in this writ petition shall stand closed.
K.C.BHANU, J
ANIS, J
DATED: 20-08-2014 Hsd
1 issue framed by the court
Whether the High Court can declare the bank's possession of premises illegal before the Tribunal decides bona fide tenancy under the SARFAESI Act.
2 provisions across 2 enactments
Petitioner
Respondent-Bank
K.C.BHANU
ANIS
As recorded by the court registry
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