Smt Lalithamma vs Karur Vysya Bank
2026 Latest Caselaw 2705 Kant

Citation : 2026 Latest Caselaw 2705 Kant
Judgement Date : 26 March, 2026

[Cites 2, Cited by 0]

Karnataka High Court

Smt Lalithamma vs Karur Vysya Bank on 26 March, 2026

Author: S.Vishwajith Shetty

Bench: S.Vishwajith Shetty

                                                 -1-
                                                          NC: 2026:KHC-K:2751
                                                       WP No. 204138 of 2025


                      HC-KAR




                                  IN THE HIGH COURT OF KARNATAKA

                                         KALABURAGI BENCH

                               DATED THIS THE 26TH DAY OF MARCH, 2026

                                              BEFORE

                         THE HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY

                          WRIT PETITION NO. 204138 OF 2025 (GM-DRT)

                      BETWEEN:

                          SMT LALITHAMMA W/O LAXMAN
                          AGE: 44 YEARS, OCC: TAILORING WORK,
                          R/O H NO. 4-4B/211, NEW YEDALAPUR SHANTI
                          NAGAR, RAICHUR 584101


                                                                ...PETITIONER
                      (BY SRI. SACHIN MADHUKAR MAHAJAN.,ADVOCATE)

Digitally signed by   AND:
NIJAMUDDIN
JAMKHANDI
Location: HIGH            KARUR VYSYA BANK
COURT OF
KARNATAKA                 ASSET RECOVERY BRANCH
                          DIVISIONAL OFFICE BUILDING
                          NO.6, SHRI VASAVI TEMPLE ROAD,
                          NEAR SAJJAN RAO CIRCLE
                          V V PURAM, BENGALURU - 560004
                          REPRESENTED BY ITS CHIEF MANAGER /
                          AUTHORISED OFFICER
                                                               ...RESPONDENT
                      (BY SRI. S S KUMBAR.,ADV (VC))
                               -2-
                                            NC: 2026:KHC-K:2751
                                       WP No. 204138 of 2025


HC-KAR




     THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF
THE CONSTITUTION OF INDIA, PRAYING TO, I) ISSUE A WRIT
OR ORDER OR DIRECTION IN THE NATURE OF CERTIORARI
AND QUASH THE IMPUGNED COMMUNICATION DATED NIL,
BEARING NO.NIL, SENT BY E-MAIL, BY THE RESPONDENT,
VIDE ANNEXURE-E, WITH A FURTHER DIRECTION TO THE
RESPONDENT BANK TO CONSIDER THE REPRESENTATION
DATED 15-10-2025, VIDE ANNEXURE-D AND DATED 05-11-
2025, VID ANNEXURE-D1, EXTEND THE TIME FOR PAYMENT OF
THE REMAINING AMOUNT AND COMPLETE THE SALE
FORMALITIES OF THE IMMOVEABLE PROPERTY WHICH IS
SUBJECT MATTERE OF E-AUCTION NOTICE DATED 06-08-2025
VIDE ANNEXURE-A, II) ISSUE ANY SUCH WRIT OR ORDER OR
DIRECTION AS THIS HONOURABLE COURT DEEM FIT TO ISSUE
IN THE FACTS AND CIRCUMSTANCES OF THE CASE.

      THIS PETITION, COMING ON FOR PRELIMINARY HEARING
'B' GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY


                        ORAL ORDER

This writ petition is filed under Article 226 of the

Constitution of India seeking the following reliefs:

"i) Issue a writ or order or direction in the nature of certiorari and quash the impugned communication dated nil, bearing no.nil, sent by e-mail, by the respondent, vide Annexure-E, with a further direction to the respondent bank to consider the representation dated 15-10-2025, vide Annexure-D and dated 05-11-2025, vide Annexure-D1, extend the time for payment of the remaining amount and complete the sale formalities of the immoveable

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property which is subject matter of E-auction notice dated 06-08-2025 vide Annexure-A,

ii) Issue any such writ or order or direction as this Honourable Court deem fit to issue in the facts and circumstances of the case."

2. Heard learned counsel for the parties.

3. Petitioner had participated in the E-auction that

was held by the respondent-bank, wherein the property

bearing plot No.43, Sy.No.107/1, bearing Municipal No.13-

7-107/43 situated at Adi Basaveshwara colony, Yermarus

Raichur, measuring 60' x 38' was brought for sale and she

was declared as successful bidder for a sum of

Rs.58,50,000/-. According to the petitioner, she had

deposited a sum of Rs.14,62,500/- as earnest money and

subsequently paid another some of Rs.20,37,500/-. On the

ground that balance amount was not deposited with

respondent-bank, it had issued the impugned E-mail

communicated at Annexure-E, informing the petitioner

that the earnest money deposited by her would be

forfeited and sale made in her favour would be cancelled,

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reserving right to re-sell the property under the provisions

of SARFAESI Act.

4. This Court on 23.12.2025 had stayed further

action pursuant to the communication at Annexure-E,

subject to the condition that petitioner deposits entire due

amount on or before 29.12.2025.

5. Learned counsel for the petitioner submits that

interim order passed by this Court on 23.12.2025 has

been complied and the petitioner has now deposited the

balance amount and thereby, the entire bid amount of

Rs.58,50,000/- is deposited by the petitioner.

6. Learned counsel for the respondent-bank does

not dispute the submission made by the learned counsel

for the petitioner and additionally he submits that the

bank is ready and willing to execute the sale certificate in

favour of the petitioner, since the petitioner has deposited

the entire bid amount of Rs.58,50,000/-.

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7. In view of the aforesaid submissions, the

following:

ORDER

i. Writ petition is allowed.

ii. The impugned communication dated nil at

Annexure-E issued to the petitioner by

respondent-bank is quashed and

respondent-bank is directed to complete

the sale formalities of the immovable

property, of which the petitioner is the

successful bidder.