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K.Murugesan vs The Presiding Officer
2023 Latest Caselaw 8780 Mad

Citation : 2023 Latest Caselaw 8780 Mad
Judgement Date : 21 July, 2023

Madras High Court
K.Murugesan vs The Presiding Officer on 21 July, 2023
                                                                            WP No.21613 of 2023

                                      IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                 DATED:   21.07.2023

                                                      CORAM :

                            THE HON'BLE MR.SANJAY V.GANGAPURWALA, CHIEF JUSTICE
                                                          AND
                                       THE HON'BLE MR.JUSTICE P.D.AUDIKESAVALU
                                                 WP No.21613 of 2023

                     K.Murugesan                                       : Petitioner

                                  versus

                     1.The Presiding Officer,
                       Debts Recovery Tribunal,
                       Coimbatore

                     2.The District Collector,
                       Tiruppur District

                     3.The Revenue Divisional Officer/
                       Sub Divisional Magistrate,
                       Tiruppur District.

                     4.The Tashidar,
                       Palladam, Tiruppur District.

                     5.M/s.State Bank of India,
                       rep. By its Authorised Officer,
                       Stressed Assets Recovery Branch,
                       No.377/1, Dr.Nanjappa Road,
                       behind N.S.Palaniappa Nursing Home,
                       Coimbatore

                     6.M.Loganathan                                    : Respondents


                     Prayer: Petition filed under Article 226 of the Constitution of India for

                     Page 1 of 8


https://www.mhc.tn.gov.in/judis
                                                                                 WP No.21613 of 2023

                     issuance of a Writ of Certiorarified Mandamus calling for the records
                     of the 1st respondent order in SA No.636 of 2021 dated 30.06.2023
                     and quash the same and consequently direct the 1st respondent to
                     take into consideration that the land in question is an agricultural
                     land under Section 31(i) of SARFAESI Act, which exempts from the
                     SARFAESI proceedings and speedy dispose of the applications in SA
                     No.199 of 2014, SA No.636 of 2021 and SA No.175 of 2022 on the file
                     of 1st respondent within a time frame.

                                       For the Petitioner           :        Ms.A.Pramila


                                                            ORDER

(Order of the Court was made by The Hon'ble Chief Justice)

We have heard Ms.A.Pramila, learned counsel for the petitioner.

2. The petitioner is challenging the interim order passed by the

Debts Recovery Tribunal, Coimbatore, wherein the petitioner is

directed to deposit an amount of Rs.1,50,00,000/- (Rupees One Crore

and Fifty Lakhs only).

3. The petitioner had filed an application under Section 17 of

the Securitisation and Reconstruction of Financial Assets and

Enforcement of Security Interest Act, 2002, (for short, the Act of

2002) purportedly challenging the order passed under Section 14 the

Act of 2002.

https://www.mhc.tn.gov.in/judis WP No.21613 of 2023

4. The petitioner had initially challenged the sale certificate, by

approaching the Debts Recovery Tribunal, Coimbatore. The Debts

Recovery Tribunal directed the petitioner to deposit a sum of

Rs.1,34,00,000/- (Rupees One Crore and Thirty Four Lakh only), in

two installments. Aggrieved by the said order, the petitioner

approached the Debt Recovery Appellate Tribunal, Chennai. The

Appellate Tribunal passed an interim order on condition that the

petitioner deposits an amount of Rs.60,63,791/- (Rupees Sixty Lakh

Sixty Three Thousand and Seven Hundred Ninety One only).

According to the learned counsel for the petitioner, the said amount is

deposited. Now, order under Section 14 of the Act of 2002 is passed.

The petitioner sought stay of the same. The Debts Recovery Tribunal

directed the petitioner to deposit Rs.1,50,00,000/- (Rupees One Crore

and Fifty Lakhs only) with the respondent bank within three weeks

i.e. on or before 21.07.2023.

5. Learned counsel for the petitioner submits that the property

in question is an agricultural land and as such, the provisions of the

Act of 2002 would not be attracted. For that purpose, the learned

counsel relies on the judgment of the Apex Court in the case of

https://www.mhc.tn.gov.in/judis WP No.21613 of 2023

Indian Bank and another vs. K.Pappireddiyar, 2019(6) CTC 332.

Further reliance is placed on the judgment of the Apex Court in

K.Sreedhar vs. M/s.Raus Constructions Pvt. Ltd., AIR 2023 SC

6. According to learned counsel, even the revenue records show

that the property in question is an agricultural land. The petitioner is

using the said land for agricultural purposes and is cultivating the

crops. Photographs to that effect are also placed on record.

7. The petitioner has already challenged the sale certificate

proceedings before the Debts Recovery Tribunal, Coimbatore. The

same are pending and interim orders are passed therein.

8. Now, it appears that the petitioner is challenging the action

of taking possession. The Debts Recovery Tribunal is seized with the

matter; interim order is passed directing the petitioner to deposit the

amount as a condition for stay.

9. It is not disputed that if the petitioner is aggrieved with the

said order, the petitioner has a remedy before the Debt Recovery

https://www.mhc.tn.gov.in/judis WP No.21613 of 2023

Appellate Tribunal. The Debt Recovery Appellate Tribunal would be in

a better position to arrive at the disputed question of fact as to

whether the property in question is an agricultural land or is used for

other purpose also. The sale notice, for the sale of immovable

property as issued, depicts that there is a residential building with

poultry sheds in the land in question; whereas, according to the

petitioner, the revenue record shows that the land is an agricultural

land. The said disputed questions of fact can be advantageously gone

into by the Debt Recovery Appellate Tribunal.

10. In the case of Indian Bank vs. Pappireddiyar (supra),

the matter had travelled to the High Court after the order of the

Debts Recovery Tribunal and Debt Recovery Appellate Tribunal. The

Appellate Tribunal had reversed the decision of the Debts Recovery

Tribunal. When the matter came to the High Court, the High Court did

not discuss as to whether the property is an agricultural land or

otherwise. In the present case, the petitioner has not yet invoked the

jurisdiction of the Debts Recovery Tribunal. The same is an efficacious

remedy available to the petitioner.

11. In case of K.Sreedhar vs. Raus Constructions (supra)

https://www.mhc.tn.gov.in/judis WP No.21613 of 2023

the Apex Court held that in view of the appellate remedy available,

the High Court ought not to have entertained the writ petition against

the order of the Debts Recovery Tribunal. As observed supra, whether

the land is an agricultural land or was used for residential purpose

along with poultry sheds, are all disputed questions of fact.

12. In light of the above and in view of the fact that alternate

remedy is available to the petitioner, we are not inclined to entertain

the writ petition. The writ petition, as such, is disposed of. There will

be no order as to costs. Consequently, WMP Nos.20985 and 20986 of

2023 are closed.

13. The petitioner may avail the alternate remedy as may be

permissible under law.

14. In case the petitioner requests the Debts Recovery Tribunal,

Coimbatore, to decide the application expeditiously, the Debts

Recovery Tribunal, Coimbatore, may consider the said request.

                                                           (S.V.G., CJ.)             (P.D.A., J.)
                                                                           21.07.2023
                     Index : Yes/No




https://www.mhc.tn.gov.in/judis
                                                             WP No.21613 of 2023

                     Neutral Citation   : Yes/No
                     tar


                     To:

                     1.The Presiding Officer,
                       Debts Recovery Tribunal,
                       Coimbatore

                     2.The District Collector,
                       Tiruppur District

                     3.The Revenue Divisional Officer/
                       Sub Divisional Magistrate,
                       Tiruppur District.

                     4.The Tashidar,
                       Palladam, Tiruppur District.

                     5.The Authorised Officer,
                       M/s.State Bank of India,
                       Stressed Assets Recovery Branch,
                       No.377/1, Dr.Nanjappa Road,
                       behind N.S.Palaniappa Nursing Home,
                       Coimbatore







https://www.mhc.tn.gov.in/judis
                                            WP No.21613 of 2023



                                   THE HON'BLE CHIEF JUSTICE
                                                AND
                                        P.D.AUDIKESAVALU, J.

                                                          (tar)




                                         WP No.21613 of 2023




                                                   21.07.2023







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

 
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