Shoba Bai vs The Union Bank Of India
2026 Latest Caselaw 2338 Kant

Karnataka High Court

Shoba Bai vs The Union Bank Of India on 16 March, 2026

                                        -1-
                                                NC: 2026:KHC:15347
                                               WP No. 8753 of 2026


             HC-KAR


             IN THE HIGH COURT OF KARNATAKA AT BENGALURU

                  DATED THIS THE 16TH DAY OF MARCH, 2026

                                     BEFORE
              THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI
                  WRIT PETITION NO. 8753 OF 2026 (GM-DRT)

             BETWEEN:

             1.   SHOBA BAI
                  W/O LATE KAMENDRA RAO,
                  AGED ABOUT 66 YEARS,
                  RESIDING AT NO. 607,
                  16TH MAIN ROAD, 3RD STAGE,
                  MANJUNATHA NAGAR,
                  RAJAJI NAGAR,
                  BENGALURU -560 010

             2.   MOUNA BAI,
                  D/O SHOBA BAI AND
                  LATE KAMENDRA RAO,
                  W/O. MOHAN RAO
                  AGED ABOUT 39 YEARS,
                  RESIDING AT NO. 41/D,
Digitally         4TH MAIN ROAD, 2 PHASE,
signed by
SUVARNA T         NEAR DATTATHREYA TEMPLE,
Location:
HIGH COURT        MANJUNATHA NAGAR,
OF
KARNATAKA         BENGALURU- 560 010
                                                    ...PETITIONERS
             (BY SRI. KISHAN G.S., ADVOCATE)

             AND:

             1.   THE UNION BANK OF INDIA
                  ASSET RECOVERY BRANCH,
                  BENGALURU NORTH,
                  NO. 10/4, 1 FLOOR
                  MITHRA TOWERS,
                  KASTURBA ROAD,
                  BENGALURU - 560 001
                              -2-
                                          NC: 2026:KHC:15347
                                        WP No. 8753 of 2026


HC-KAR


                                               ...RESPONDENT
(BY SRI.P.L.VIJAYKUMAR, ADVOCATE)

     THIS WRIT PETITION IS FILED UNDER ARTICLES 226
AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO SET
ASIDE THE E-AUCTION SALE NOTICE DATED 02.02.2026 AND
ALL FURTHER PROCEEDIGNS ANNX-D) BEARING NO.
ARB/288/SN15/170/25-26 AND DIRECTING THE MEASURES
TAKEN BY THE RESPONDENT UNDER SECTION 13 (4) OF THE
ARFAESI ACT IS ILLEGAL INVALID AND UNSUSTAINABLE IN
THE EYE OF MLAW.

     THIS PETITION, COMING ON FOR FINAL HEARING, THIS
DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE SMT. JUSTICE LALITHA KANNEGANTI

                       ORAL ORDER

The present writ petition is filed seeking the following

prayer:

"Wherefore the petitioners pray that this Hon'ble Court may be pleased to:

1. Set aside the e-auction sale notice dated 02.02.2026 and all further proceedings (Annexure-D) bearing No.ARB/228/SN15/170/ 25-26.

ii. Issue an order directing the measures taken by the respondent under Section 13(4) of the SARFAESI Act is illegal, invalid and unsustainable in the eye of law.

III. Grant the costs of this writ petition and grant such other and further reliefs as are just and proper in the facts and circumstances of the case."

NC: 2026:KHC:15347

HC-KAR

2. Learned counsel appearing for petitioners submits

that the petitioner is ready to pay the entire amount within a

period of four months, if the time is granted.

3. Learned counsel appearing for the respondent/Bank

submits that auction was conducted, 25% of the amount has

been paid and now the Auction Purchaser is going to deposit

the amount today. It is submitted by the learned counsel for

the respondent/Bank that earlier also this Court has given an

opportunity to the petitioner to redeem the mortgage, but the

same was not availed. After the auction is conducted, he

cannot come before this Court stating that he is ready to pay

the amount.

4. Having heard the earned counsels on either side,

perused the material on record. It is a submission of the

learned counsel appearing for the petitioners that, as the sale

certificate is not issued, he may be permitted to deposit the

amount. The Hon'ble Apex Court in the case of Celir LLP Vs.

Bafna Motors (Mumbai) Pvt. Ltd and others1 held that in the

light of amendment to Section 13(8) of the SARFAESI Act, the

(2024) 2 SCC 1

NC: 2026:KHC:15347

HC-KAR

borrower will lose the right of redemption and at this stage this

Court cannot pass any order. It is also submitted on behalf of

the petitioners that there is some irregularity in conducting the

auction. If there is any irregularity, it is always open to the

petitioners to question the auction before the DRT and DRT will

consider the same in accordance with law. That aspect this

Court will not go into as there is an effective alternative remedy

available to the petitioner. In that view of the matter, this

Court is passing the following:

ORDER

i. The writ petition is disposed of giving liberty to the petitioners to avail the appropriate remedy in accordance with law.

ii. The petitioners shall have the benefit of Section 14 of the Limitation Act.

iii. All pending I.As., in the writ petition shall stand closed.

Hand delivery of the order is permitted.

SD/-

(LALITHA KANNEGANTI) JUDGE PKN List No.: 1 Sl No.: 40