M/S D. G. Oil Foods Pvt. Ltd. vs Indian Bank
2026 Latest Caselaw 3403 MP

Madhya Pradesh High Court

M/S D. G. Oil Foods Pvt. Ltd. vs Indian Bank on 8 April, 2026

Author: Vivek Rusia

Bench: Vivek Rusia

         NEUTRAL CITATION NO. 2026:MPHC-JBP:27326




                                                           1                              WP-12124-2026
                            IN     THE      HIGH COURT OF MADHYA PRADESH
                                                  AT JABALPUR
                                                        BEFORE
                                          HON'BLE SHRI JUSTICE VIVEK RUSIA
                                                          &
                                         HON'BLE SHRI JUSTICE PRADEEP MITTAL
                                                 ON THE 8 th OF APRIL, 2026
                                              WRIT PETITION No. 12124 of 2026
                                        M/S D. G. OIL FOODS PVT. LTD. AND OTHERS
                                                          Versus
                                                       INDIAN BANK
                         Appearance:
                                 Shri Deepchand Bagri - Advocate appearing on behalf of the
                         petitioners.
                                 Shri Kapil Duggal - Advocate for the respondent/caveator.

                                                               ORDER

Per: Justice Vivek Rusia

By way of present writ petition, the petitioners are seeking various reliefs, however, they confined their prayer to protect the right of the auction purchaser in light of order dated 23.11.2021 passed in writ petition No.25138/2021.

2. Shri Kapil Duggal appearing on behalf of respondent on advance notice submits that a similar situation came up before this Court in the year 2021 also, when there was no Presiding Officer and various writ petitions were filed before this Court. In one of the writ petitions, W.P. No.25138/2021 (M/s Divyadeep Sugar and Industries Pvt. Ltd. and Others Vs. India Bank and Others), this Court vide order dated 23.11.2021 has

NEUTRAL CITATION NO. 2026:MPHC-JBP:27326

2 WP-12124-2026 issued certain directions to be followed by the borrower as well as by the Bank/Financial Institutions. He further submits that in addition to the aforesaid directions, one more direction may kindly be issued because the bid has been finalized and now, the purchaser as well as the Bank are required to follow Rule 9(1) of the Security Interest (Enforcement Rules), 2002 under the SARFAESI Act, 2002, in order to protect the interest of auction purchaser also.

3. In view of the law laid down by the Apex Court arising out of SLP (C) No.8850-8851 of 2023 (E. Muthuranthinasabathy & Others Vs. M/S. Sri International & Others with connected matters) dated 01.04.2026, we dispose of the present writ petition with the following directions:-

(i) Without prejudice to any of the rights of the parties, the petitioners are directed to deposit 20% of the amount due as on date with the respondent/bank within a period of 30 days from today, subject to further orders that may be passed by the Debts Recovery Tribunal, Jabalpur. 50% of the aforesaid 20% amount be deposited within a period of 1st fortnight.

(ii) The DRT is directed to take-up the S.A. No.35/2025 as soon as it becomes functional for consideration of interim relief and take a decision in accordance with law as expeditiously as possible.

(iii) Till the prayer for interim relief in the said S.A. is decided by the DRT, no coercive action be taken against the petitioners subject to compliance of direction No.1 as above.

(iv) The petitioners are directed to communicate this order to the Registrar, DRT, Jabalpur within seven working days from today.

NEUTRAL CITATION NO. 2026:MPHC-JBP:27326

3 WP-12124-2026

(v) If there is excessive delay at any stage of the proceedings including in the appointment of Presiding Officer of DRT, Jabalpur or any other DRTs given Additional Charge, parties are free to approach this Court.

(vi) It is made clear that this Court has not expressed any opinion of the merits of the case.

(vii) The auction purchaser as well as respondent/Bank shall follow the procedure as per Rule 9(1) of the Security Interest (Enforcement Rules), 2002 under the SARFAESI Act, 2002.

4. The writ petition is disposed off with the aforesaid directions.

5. C.C., as per rules.

                                   (VIVEK RUSIA)                                  (PRADEEP MITTAL)
                                       JUDGE                                           JUDGE
                         Shruti