Rajesh Rice Mills vs The Unionof India
2022 Latest Caselaw 7259 AP

      HON'BLE SRI JUSTICE U.DURGA PRASAD RAO
                        AND
     HON'BLE SRI JUSTICE B.V.L.N. CHAKRAVARTHI

               WRIT PETITION No.30613 of 2022

ORDER: (per UDPR, J)

      The petitioners challenge the order dated 30.08.2022 in CF

No.230/2022, dated 30.08.2022, passed by the learned Principal

Senior Civil Judge - cum - Chief Judicial Magistrate, Nellore,

under Section 14 of the Securitization and Reconstruction of

Financial Assets and Enforcement of Security Interest Act, 2002

(herein after, 'SARFAESI Act') in appointing an Advocate

Commissioner to take physical possession of the subject property

by 31.10.2022.

2.    Various grounds have been put forth by learned counsel for

petitioners, Sri Mathukumilli Sri Vijay, one of which is that the

subject mortgaged property is an agricultural land and hence, the

same is not liable for proceeding under SARFAESI Act in view of

the bar engrafted under Section 31 of the said Act.

3.    Learned standing counsel for respondent bank, Sri

S.Satyanarayana Moorthy, refuted the said plea and submitted that

the subject land is not an agricultural land and it is a rice mill.

4. Be that it may, since the petitioner has an efficacious and

alternative remedy available under Section 17 of the SARFAESI

Act and in the light of the judgments of the Hon'ble Apex Court in

Whirlpool Corporation v. Registrar of Trade Marks, Mumbai1,

State Bank of Travancore & Anr v. Mathew K.C.2, and also in

Phoenix ARC Private Limited vs. Vishwa Bharati Vidya Mandir

& Ors.3, we deem it appropriate not to entertain the writ petition.

The petitioners can avail their remedy before the concerned forum.

We were informed that the petitioners have already approached the

Debt Recovery Tribunal, Visakhapatnam and filed S.A. No.358 of

2020, which is pending. In that view also, the petitioners can as

well seek for their remedy before the said tribunal.

5. With the above observations, this writ petition is closed. No

costs. As a sequel, interlocutory applications pending, if any, shall

stand closed.

_________________________ U.DURGA PRASAD RAO, J

_________________________ B.V.L.N.CHAKRAVATHI, J 21.09.2022 SS

1 (1998) 8 SCC 1 = MANU/SC/0664/1998 2 (2018) 3 SCC 85 3 (2022) 5 SCC 345 = AIR 2022 SC 1045