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C. Nirmala vs Unknown
2022 Latest Caselaw 8646 Mad

Citation : 2022 Latest Caselaw 8646 Mad
Judgement Date : 25 April, 2022

Madras High Court
C. Nirmala vs Unknown on 25 April, 2022
                                                                                   W.P. No.10101 of 2022

                              IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                     DATED: 25.04.2022

                                                          CORAM :

                                    THE HON'BLE MR. JUSTICE M. DURAISWAMY
                                                             AND
                                  THE HON'BLE MRS. JUSTICE T.V. THAMILSELVI
                                                   W.P. No.10101 of 2022
                                            and W.M.P. Nos.9792 & 9794 of 2022

                     C. Nirmala                                                  .. Petitioner
                                                               v.

                     1. The Authorised Officer,
                        Canara Bank,
                        No.114, Chamundi Street,
                        Gugai, Salem – 636 006.
                     2. C. Manoharan
                     3. R. Thiagarajau
                     4. R.Sivaraj
                     5. R.Kotteswaran
                     6. The Sub Registrar,
                        SRO, Errumaipatti,
                        Namakkal District.                                           .. Respondents


                                  Writ Petition filed under Article 226 of the Constitution of India
                     praying for issue of Writ of Certiorarified Mandamus,to call for the
                     records of the 1st respondent pertaining to the Sale Certificate dated


https://www.mhc.tn.gov.in/judis
                                                                                   W.P. No.10101 of 2022

                     10.02.2022 registered as Doc.No.309/2022 at SRO, Erumaipatti,
                     Namakkal and quash the              same and     consequently direct the        6th
                     respondent to cancel the Registration of the Sale Certificate dated
                     10.02.2022, executed by the 1st respondent in favour of the 3rd to 5th
                     respondents.



                                        For Petitioner    : Mr. P.S. Ganesan
                                                            for Ms. Radhika Boopathi
                                                          ORDER

(Order of the Court made by M.DURAISWAMY,J.)

The petitioner has filed the above Writ Petition to issue a Writ

of Certiorarified Mandamus to call for the records of the 1 st respondent

pertaining to the Sale Certificate dated 10.02.2022 registered as

Doc.No.309/2022 at SRO, Erumaipatti, Namakkal, to quash the same

and consequently directing the 6th respondent to cancel the Registration

of the Sale Certificate dated 10.02.2022, executed by the 1st respondent

in favour of the respondents 3 to 5.

2. The petitioner has filed the Writ Petition challenging the sale

https://www.mhc.tn.gov.in/judis W.P. No.10101 of 2022

certificate issued under the provisions of the SARFAESI Act, without

exhausting the alternative remedy available to him under section 17 of

the SARFAESI Act.

3. The Hon'ble Supreme Court, in the following judgments held

that remedy open to the aggrieved party in respect of the proceedings

initiated under the under the SARFAESI Act is to file an appeal

under section 17 of the SARFAESI Act and not under Article 226 of the

Constitution of India. Further, the Hon'ble Supreme Court of India held

that Writ Petition field under Article 226 of the Constitution of India

under the SARFAESI Act is not maintainable.

(i) The Hon'ble Supreme Court of India, in the judgments reported in 2018 (3) Supreme Court Cases 85 [Authorized Officer, State Bank of Travancore and another Vs. Mathew K.C.], and 2018 (1) Supreme Court Cases 626 [Agarwal Tracom Private Limited Vs. Punjab National Bank and others] held that the aggrieved parties cannot challenge the SARFAESI proceedings directly by filing a Writ Petition under Article 226 of the Constitution of India without exhausting the appeal remedy available to them.

(ii) In a decision of the Hon'ble Supreme Court dated 05.10.2018 in ICICI Bank Limited v.

https://www.mhc.tn.gov.in/judis W.P. No.10101 of 2022

Umakanta Mohapatra, Civil Appeal Nos.10251 – 10265 of 2018 arising out of SLP (C) Nos.16758 – 16772 of 2015, the Supreme Court has referred to the decision in Authorized Officer, State Bank of Travancore and Anr. vs. Mathew K.C., (2018) 3 SCC 85 and has observed that despite several judgments, including the decision of Mathew K.C., supra, the High Courts continue to entertain matters which arise under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short 'SARFAESI') and keep granting interim orders in favour of persons who are Non-Performing Assets. Further, the Apex Court held that Writ Petition filed by the aggrieved party without exhausting the statutory remedy available under the SARFAESI Act and Recovery of Debts Due to Banks and Financial Institutions Act, is not maintainable.

4. The ratio laid down by the Hon'ble Apex Court in the above

referred judgments is applicable to the present case

5. Since the petitioner has filed the Writ Petition without

exhausting the alternate remedy available to him under section 17 of the

SARFAESI Act, following the ratio laid down by the Hon'ble Supreme

Court, in the above referred judgments, the Writ Petition is not

maintainable. Accordingly, the Writ Petition is dismissed. No costs.

https://www.mhc.tn.gov.in/judis W.P. No.10101 of 2022

Consequently, the connected Miscellaneous Petitions are closed.

                                                               [M.D., J.]    [T.V.T.S., J.]
                                                                       25.04.2022
                     Index : Yes/No
                     Internet : Yes

Speaking Order/Non Speaking Order Rj

To

The Authorised Officer, Canara Bank, No.114, Chamundi Street, Gugai, Salem – 636 006.

M. DURAISWAMY, J.

and

https://www.mhc.tn.gov.in/judis W.P. No.10101 of 2022

T.V. THAMILSELVI, J.

Rj

W.P. No.10101 of 2022 and W.M.P. Nos.9792 & 9794 of 2022

25.04.2022

https://www.mhc.tn.gov.in/judis

 
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