Mr. Mohammed Shalam vs Bajaj Housing Finance Limited
2026 Latest Caselaw 2563 Kant

Karnataka High Court

Mr. Mohammed Shalam vs Bajaj Housing Finance Limited on 24 March, 2026

Author: S.Vishwajith Shetty

Bench: S.Vishwajith Shetty

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                                                           NC: 2026:KHC-K:2620
                                                       WP No. 201348 of 2026


                      HC-KAR




                                  IN THE HIGH COURT OF KARNATAKA

                                         KALABURAGI BENCH

                               DATED THIS THE 24TH DAY OF MARCH, 2026

                                              BEFORE
                           THE HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY


                            WRIT PETITION NO. 201348 OF 2026 (GM-RES)


                      BETWEEN:

                      1.   MR. MOHAMMED SHALAM
                           S/O HAJI MIYA,
                           R/AT NO.4-1-71, NAYA BAZAR ROAD,
                           MANGALWAR PET, RAICHUR - 584101.

                      2.   MRS. ASIYA BEGUM
                           W/O MOHAMMED SHALAM,
                           R/AT NO.4-1-71, NAYA BAZAR ROAD,
                           MANGALWAR PET, RAICHUR - 584101.
                                                                ...PETITIONERS
                      (BY SRI. SRINIVAS YADAV, ADVOCATE)
Digitally signed by
SACHIN
Location: HIGH
                      AND:
COURT OF
KARNATAKA
                           BAJAJ HOUSING FINANCE LIMITED,
                           REGISTERED OFFICE AT
                           BAJAJ FINSERV CORPORATE OFFICE,
                           OFF PUNE-AHMEDNAGAR ROAD,
                           VIMAN NAGAR, PUNE - 411014,
                           BRANCH OFFICE AT RAICHUR, KARNATAKA,
                           REPRESENTED BY ITS AUTHORIZED OFFICER.
                                                                ...RESPONDENT


                           THIS WRIT PETITION IS FILED UNDER ARTICLE 226 AND
                      227 OF THE CONSTITUTION OF INDIA, PRAYING TO ISSUE A
                      WRIT OF CERTIORARI OR ANY OTHER APPROPRIATE WRIT,
                                 -2-
                                                 NC: 2026:KHC-K:2620
                                          WP No. 201348 of 2026


HC-KAR




ORDER OR DIRECTION, QUASHING THE LETTER DATED
13.03.2026 ISSUED BY THE RESPONDENT VIDE ANNEXURE-C
DIRECTING THE PETITIONERS TO HAND OVER PHYSICAL
POSSESSION OF THE SECURED ASSET AS BEING ILLEGAL,
ARBITRARY AND WITHOUT AUTHORITY OF LAW, IN
ALTERNATIVE, DIRECT THE RESPONDENT BANK NOT TO TAKE
PHYSICAL POSSESSION OF THE SECURED ASSET TILL THE
CONSIDERATION OF THE SECURITIZATION APPLICATION IN
DIARY NO.840/2026 BEFORE THE DRT-2, AT BANGALORE.

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

CORAM: HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY


                        ORAL ORDER

Petitioners are before this Court in this writ petition

filed under Article 226 and 227 of the Constitution of India

seeking for the following reliefs :

"Issue a writ of certiorari or any other appropriate writ, order or direction, quashing the letter dated 13.03.2026 issued by the respondent vide Annexure-C directing the petitioners to hand over physical possession of the secured asset as being illegal, arbitrary and without authority of law, in alternative, direct the respondent bank not to take physical possession of the secured asset till the consideration of the securitization application in Diary No.840/2026 before the DRT-2, at Bangalore."

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HC-KAR

2. Heard the learned counsel for the petitioners.

3. The petitioners appears to have borrowed

housing loan from the respondent-financing company.

Since the petitioners had failed to repay the loan dues,

action was taken by the respondent-financing company to

recover the loan dues under the provisions of the

Securitization and Reconstruction of Financial Assets and

Enforcement of Security Interest Act, 2002 (hereinafter

referred to as the 'SARFAESI Act of 2002', for brevity). It

appears that after issuance of notice under Section 13(2)

of the SARFAESI Act of 2002, symbolic possession of the

property belonging to the petitioners which was

mortgaged in favour of the financing company was taken

under Section 13(4) of the SARFAESI Act of 2002 and

thereafter a notice was issued on 13.03.2026 vide

Annexure-C to the petitioners to hand over the possession

of the property in question to the respondent-financing

company.

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4. It appears that challenging the action taken

under Section 13(4) of the SARFAESI Act of 2002,

petitioners have filed an application before the Debt

Recovery Tribunal at Bengaluru under Section 17 of the

SARFAESI Act of 2002. According to the petitioners,

though the said application was filed on 09.03.2026, till

date the said application is not taken on board by the

Tribunal in spite of the petitioners moving repeated

applications before the Tribunal for considering their

application under Section 17 of the SARFAESI Act of 2002.

It is under these circumstances the petitioners are before

this Court.

5. Since the petitioners have already approached

the jurisdictional Debt Recovery Tribunal at Bengaluru,

seeking necessary reliefs in their application filed under

Section 17 of the SARFAESI Act of 2002, challenging the

action taken by the respondent-financing company under

Section 13(4) of the SARFAESI Act of 2002, I am of the

opinion that, if this petition is disposed of with a request to

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the Debt Recovery Tribunal at Bengaluru to take up the

application filed by the petitioner under Section 17 of the

SARFAESI Act of 2002 (Diary No.840/2026), the same

would serve the ends of justice. Accordingly, the following

order:

i) Writ petition is disposed of permitting the petitioners to move a memo before the Debt Recovery Tribunal at Bengaluru to take their application filed under Section 17 of the SARFAESI Act of 2002 for consideration and if such a memo is moved along with the copy of this order, the Debt Recovery Tribunal at Bengaluru is requested to take-up the application of the petitioners filed under Section 17 of the SARFAESI Act of 2002, (Diary No.840/2026) for consideration at the earliest, if the petitioners have complied all the office objections and have paid the requisite Court fee.

Sd/-

(S.VISHWAJITH SHETTY) JUDGE Sn List No.: 3 Sl No.: 2