Idfc First Bank Ltd. vs The State Of Madhya Pradesh
2023 Latest Caselaw 6870 MP

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                           IN    THE     HIGH COURT OF MADHYA PRADESH
                                              AT JABALPUR
                                                    BEFORE
                                               JUSTICE SUJOY PAUL
                                                       &
                                        JUSTICE AMAR NATH (KESHARWANI)
                                             ON THE 27 th OF APRIL, 2023
                                           WRIT PETITION No. 4441 of 2023

                          BETWEEN:-
                          IDFC FIRST BANK LTD. THROUGH ITS AUTHORISED
                          OFFICER SANDESH JAIN S/O SHRI A.K. JAIN HAVING
                          BRANCH OFFICE AT Z-7 SHRIRAM TOWER NEAR
                          MIRACLE HOSPITAL ZONE-I M.P. NAGAR (MADHYA
                          PRADESH)

                                                                              .....PETITIONER
                          (BY SHRI PRAKASH UPADHYAY - ADVOCATE FOR THE PETITIONER)

                          AND
                          1.    THE STATE OF MADHYA PRADESH THROUGH
                                THE SECRETARY DEPARTMENT OF REVENUE
                                VALLABH    BHAWAN MANTRALAYA BHOPAL
                                (MADHYA PRADESH)

                          2.    THE COLLECTOR, NARM ADAPURAM DISTRICT
                                NARMADAPURAM (MADHYA PRADESH)

                          3.    THE ADDITIONAL DISTRICT MAGISTRATE,
                                NARM ADAPURAM DISTRICT NARMADAPURAM
                                (MADHYA PRADESH)

                          4.    DEVENDRA SINGH S/O RAM SINGH R/O H.NO. 487,
                                WARD NO 10, HATHWAS, TEHSIL PIPARIYA,
                                DISTRICT    NARMADAPURAM         (MADHYA
                                PRADESH)

                          5.    JITENDRA SINGH S/O RAM SINGH R/O H.NO. 487,
                                WARD NO 10, HATHWAS, TEHSIL PIPARIYA,
                                DISTRICT     NARMADAPURAM        (MADHYA
                                PRADESH)

                          6.    SAVITRI SINGH W/O RAM SINGH R/O H.NO. 487,
                                WARD NO 10, HATHWAS, TEHSIL PIPARIYA,
Signature Not Verified
Signed by: DHEERAJ
PRATAP SINGH
Signing time: 28-Apr-23
10:18:35 AM
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                                   DISTRICT        NARMADAPURAM             (MADHYA
                                   PRADESH)

                                                                                         .....RESPONDENTS
                          (BY SHRI ANKIT AGRAWAL - GOVERNMENT ADVOCATE FOR THE
                          STATE)

                                   Th is petition coming on for admission this day, JUSTICE SUJOY
                          PAUL passed the following:
                                                                ORDER

With the consent of learned counsel for the parties, the matter is finally heard.

This petition filed under Article 226 of the Constitution of India takes exception to the order dated 10.01.2023 whereby the learned Additional

Collector, Narmadapuram directed the secured creditor/ petitioner to file advertisement under Section 13(4) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short 'the Securitisation Act').

The admitted facts between the parties are that petitioner Bank preferred an application under Section 14 of the Securitisation Act before the said authority. Learned counsel for the petitioner submits that petitioner complied with the necessary formalities and filed 9 points affidavit. In addition, the order sheet dated 03.02.2022 shows that the petitioner has filed relevant judgment to show that as per the judgment of Supreme Court in Standard Chartered Bank vs. V. Noble Kumar and others reported in (2013) 9 SCC 620, it is not necessary for the Bank to file the advertisement under Section 13(4) of the Securitisation Act before the learned Additional District Magistrate to enable him to exercise the power under Section 14 of the Securitisation Act. Learned Additional Collector has failed to examine the same.

Signature Not Verified Signed by: DHEERAJ PRATAP SINGH Signing time: 28-Apr-23 10:18:35 AM

Shri Agrawal, learned Government Advocate for the State did not dispute the principles laid down by Supreme Court in Nobel Kumar and fairly submits that it is independently open to the learned Additional Collector to proceed under Section 14 of the Securitisation Act but he is entitled to satisfy himself about the compliance of Section 13 (2) of the Securitisation Act.

Faced with this Shri Upadhyay, learned counsel for the petitioner submits that the impugned order itself shows that Section 13 (2) of the Securitisation Act requirement has been complied with.

Considering the aforesaid, the impugned order dated 10.01.2023 is set aside. Learned Additional Collector/ learned Additional District Magistrate is directed to proceed in accordance with law in exercise of power under Section 14 of the Securitisation Act.

It is made clear that non-filing of advertisement under Section 13(4) of the Securitisation Act will not be an impediment for the petitioner.

Petition is allowed.

Learned District Magistrate shall proceed and decide the application under Section 14 of the Securitisation Act within 45 days from the date of production of certified copy of this order.

                            (SUJOY PAUL)                                  (AMAR NATH (KESHARWANI))
                               JUDGE                                               JUDGE
                          DPS




Signature Not Verified
Signed by: DHEERAJ
PRATAP SINGH
Signing time: 28-Apr-23
10:18:35 AM