M/S Ghosh Electrical Works & Anr vs Punjab National Bank & Ors
2022 Latest Caselaw 7265 Cal

02     20.10.2022
d.g.   Ct. 42

                                    WPA 22004 of 2022

M/s Ghosh Electrical Works & Anr.

Vs.

Punjab National Bank & Ors.

Mr. Amar Nath Sen, Mr. Malay Dhar.

.....for the petitioners

Ms. Sanjana Nandi.

.....for PNB

A coordinate Bench of this Hon'ble Court allowed

a supplementary affidavit to be filed bringing the

subsequent facts on record by the petitioners

challenging an e-Auction notice dated October 15, 2022

whereby it is published that the sale is to be held by

the Punjab National Bank on November 2, 2022 of the

mortgaged property.

Mr. Dhar, learned Counsel appearing for the

petitioners, argues that the rules under the

Securitisation and Reconstruction of Financial Assets

and Enforcement of Security Interest Act, 2002 (in

short 'SARFAESI' Act) have not been complied with by

the bank.

He relies upon a judgment of the Hon'ble Apex

Court in Vasu P. Shetty vs. M/s. Hotel Vandana

Palace & Ors. reported in 2014 (4) Supreme 100 in

support of his contention that Rules 8 and 9 of

SARFAESI rules have to be complied with before an e-

Auction sale can be made by the bank.

Ms. Sanjana Nandi, learned Advocate appearing

on behalf of the Punjab National Bank submits that no

provision of Rules 8 and 9 have been violated and also

the petitioner has an alternative remedy available to

him.

Having considered the submissions made by the

parties and the materials placed on record, this Court

is, prima facie, of the view that keeping the balance of

convenience/inconvenience in mind, the petitioners will

be prejudiced unless protection is given till such time

the matter is considered by the regular Bench.

In the circumstances, let the e-Auction notice be

stayed till November 11, 2022.

Let the matter appear before the regular Bench.

All parties are directed to act on a server copy of

this order, duly downloaded from the official website of

this Hon'ble Court.

(Lapita Banerji, J.)