Punjab National Bank vs The State Of Ap
2023 Latest Caselaw 4976 AP

       HIGH COURT OF ANDHRA PRADESH

           MAIN CASE No:W.P.No.27050 OF 2023

                        PROCEEDING SHEET
SL.     DATE                                ORDER                            OFFICE
NO.                                                                           NOTE
                   RNT,J & DVR,J
 1.   13.10.2023

                             Heard Sri M. Prudvi Raju, learned counsel for
                   the petitioner, Punjab National Bank, Circle SASTRA
                   Centre, Besant Road, Governorpet, Vijayawada.
                   2.        Learned Government Pleader for Registration
                   and Stamps, accepted notice for respondent Nos.

1 to 4.

3. Learned counsel for the petitioner submits that the respondent Nos.6 and 7 are the borrowers of the petitioner in the proceedings initiated by the Bank under SARFAESI Act, secured asset was put to auction in which the respondent No.8 is the auction purchaser. He submits that the auction was conducted. The sale certificate is dated 02.12.2019, but the same was not registered by the respondent Nos.3 and 4, the District Registrar and Joint Sub-Registrar, Guntur. The petitioner was communicated pursuant to his application vide Letter No. Nil/2019, dated 27.12.2019 by the respondent No.4 that there was an order dated 11.09.2019 passed by the Principal Junior Civil Judge Court, Narsaraopet in I.A.No.379 of 2019 in O.S.No.269 of 2019. Consequently, directing the

SL. DATE ORDER OFFICE NO. NOTE petitioner to make efforts for lifting of the order of the Civil Court to enable registration of the sale certificate.

4. Learned counsel for the petitioner submits that the borrower mortgaged the secured asset on 28.04.2016. The order of the Civil Court of attachment before judgment, as per the said information was passed on 11.09.2019. He submits that in view of the judgment of this Court in case of City Union Bank Limited v. Sub Registrar, Peddapalli, Karimnagar District and others1, the mortgage created and registered in favour of the secured creditor being much prior to the order of attachment, the same shall have no effect i.e. the order of attachment under the provisions of the SARFAESI Act. He submits that in view thereof, the registration of the Sale Certificate could not be refused.

5. The matter requires consideration.

6. Issue notice to the respondent Nos.5 to 8.

7. In addition to the normal mode of service the petitioner is permitted to take out personal notice by Registered Post with Acknowledgment Due and file proof of service by the next date.

    2018 SCC Online Hyd 370





SL.   DATE                        ORDER              OFFICE
NO.                                                   NOTE
             8.    List on 01.12.2023.

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                                             RNT,J




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                                             DVR,J

             Scs