HON'BLE SRI JUSTICE R. RAGHUNANDAN RAO
W.P.No.22944 of 2022
ORDER:
The petitioner had obtained a loan from the 2nd respondent-Bank and had created equitable mortgage of the property over the house of the petitioner. While the debt remained due, the 2nd respondent is said to have transferred the loan account of the petitioner to the 5 th respondent and had intimated the same to the petitioner by letter dated 22.04.2021. Aggrieved by the said transfer of debt, the petitioner has approached this Court by way of the present writ petition.
This Court had called upon the learned counsel for the petitioner to show how the writ petition would be maintainable as the writ petition has been filed against the private persons.
The learned counsel for the petitioner relied upon the judgment of the Hon'ble Supreme Court of India in Phoenix ARC Private Limited vs. Vishwa Bharati Vidya Mandir & Ors., dated 12.01.2022 in Civil Appeal Nos.257-259 of 2022. The Hon'ble Supreme Court at paragraph 12 of the said judgment had held that the writ petitions against private parties would not be maintainable. However, if proceedings are initiated under SARFAESI Act, 2002 and/or proposed action is to be taken and the borrower is aggrieved by any of the actions of the private bank/ARC, the borrower has to avail the remedy under the SARFAESI Act, 2002 and no writ petition would lie.
The learned counsel for the petitioner would submit that in such circumstances, the right of the petitioner to approach the Debt Recovery Tribunal would remain.
2 RRR,J
W.P.No.22944 of 2022
Accordingly, this writ petition is dismissed, leaving it open to the petitioner to approach the appropriate authority including the Debt Recovery Tribunal, for appropriate relief. There shall be no order as to costs.
As a sequel, pending miscellaneous petitions, if any, shall stand closed.
_________________________ R. RAGHUNANDAN RAO, J.
16th August, 2022 Js.
3 RRR,J
W.P.No.22944 of 2022
HON'BLE SRI JUSTICE R. RAGHUNANDAN RAO W.P.No.22944 of 2022 16th August, 2022 Js.