WPMS/2573/2021
2021 Latest Caselaw 5069 UK

  IN THE HIGH COURT OF UTTARAKHAND
                     AT NAINITAL
    ON THE 13TH DAY OF DECEMBER, 2021
                           BEFORE:
   HON'BLE SHRI JUSTICE MANOJ KUMAR TIWARI

       Writ Petition (M/S) No. 2573 of 2021
BETWEEN:
M/s Royal Distributors and Another                    ...Petitioners
     (By Mr. Dharmendra Barthwal, Advocate)

AND:

Punjab and Sindh Bank and another                  ...Respondents
     (By Mr. V.K. Kapruwan, Central Government Standing Counsel for the
     Union of India and Mr. Kailash Chandra, Advocate holding brief of
     Gopal K. Verma, Additional Chief Standing Counsel for the State of
     U.P.)


                          JUDGMENT

Petitioners took a loan from Punjab and Sindh Bank, Roorkee Road, Muzaffarnagar, Uttar Pradesh. Since the loan could not be repaid, in time, therefore, respondent-Bank has initiated proceedings for recovery, by invoking provision of SARFAESI Act, 2002. District Magistrate, Muzaffarnagar has passed an order under Section 14 of the aforesaid Act, in respect of secured assets. Thus, feeling aggrieved petitioners have approached this Court seeking following reliefs:-

"i) Issue a writ, order or direction in the nature of certiorari restraining the respondents from taking any action under taken by the Respondent Financial Institution (in pursuance of the Notice dated 06-06-2019 under Sec 13 (2) of SARFAESI Act, 2002, annexed as Annexure no. 1 to the petition) as against the petitioners and to maintain status quo as regards the property in question, till the pendency of the instant Writ Petition or till the vacancy of Presiding Officer, the Debts Recovery Tribunal, Dehradun is notified and filled by the Central Government.

Or Alternatively, Issue a writ, order or direction in the nature of certiorari quashing the impugned order of Possession dated 06- 10 2020 & 24-09-2021 (Annexure no. 2 & 3 respectively) passed by the Respondent No 2 and further quash the Sale Notice dated 30-09-2021 (Annexure no. 4) through which Sale was earlier Scheduled on 30-10-2021.

ii) Issue a writ, order or direction in the nature of certiorari quashing the entire action initiated by Respondent Financial Institution under provisions of SARFAESI Act, 2002 (as amended upto-date) and or any action taken by the Respondent Financial Institution against the petitioners and direct the respondents to maintain status quo over the property in question."

2. It is contended on behalf of petitioner's that petitioners have approached Debts Recovery Tribunal, Dehradun but the same is not functioning for want of a Presiding Officer, therefore, petitioner is entitled for protection from this Court.

3. Since the entire cause of action has arisen within State of U.P. and no order passed by Debts Recovery Tribunal, Dehradun has been put to challenge, in this writ petition, therefore, in the humble opinion of this Court, this Court lacks territorial jurisdiction to grant the reliefs, as prayed for, in the writ petition.

4. Accordingly, writ petition is dismissed.

(MANOJ KUMAR TIWARI, J.) Shubham