{"id":9856,"date":"2009-09-30T00:00:00","date_gmt":"2009-09-29T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/somarajan-vs-indian-bank-on-30-september-2009"},"modified":"2014-07-08T20:10:52","modified_gmt":"2014-07-08T14:40:52","slug":"somarajan-vs-indian-bank-on-30-september-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/somarajan-vs-indian-bank-on-30-september-2009","title":{"rendered":"Somarajan vs Indian Bank on 30 September, 2009"},"content":{"rendered":"<div class=\"docsource_main\">Kerala High Court<\/div>\n<div class=\"doc_title\">Somarajan vs Indian Bank on 30 September, 2009<\/div>\n<pre>       \n\n  \n\n  \n\n \n \n  IN THE HIGH COURT OF KERALA AT ERNAKULAM\n\nWP(C).No. 26654 of 2009(B)\n\n\n1. SOMARAJAN, S\/O.NANU\n                      ...  Petitioner\n\n                        Vs\n\n\n\n1. INDIAN BANK, KOLLAM BRANCH, KOLLAM.\n                       ...       Respondent\n\n2. M\/S. SUNDARASWARAN\n\n3. S.MOHANAN, S\/O.SUNDARESWARAN\n\n4. S.VIJAYALAKSHMI, D\/O.N.SUNDARESWARAN\n\n5. S.MANJU, S\/O. N.SUNDARESWARAN\n\n6. THE DEBTS RECOVERY APPELLATE TRIBUNAL\n\n                For Petitioner  :SRI.N.N.SUGUNAPALAN (SR.)\n\n                For Respondent  :SMT.SHAHNA KARTHIKEYAN\n\nThe Hon'ble MR. Justice C.K.ABDUL REHIM\n\n Dated :30\/09\/2009\n\n O R D E R\n                  C.K. ABDUL REHIM, J\n              - - - - - - - - - - - - - - - - - - - - - - -\n                 W.P.(C)No. 26654 of 2009\n              - - - - - - - - - - - - - - - - - - - - - - -\n        Dated this the 30th day of September, 2009\n\n\n\n                        J U D G M E N T\n<\/pre>\n<pre>     1.   Against       proceedings            initiated       by    the\n\n1st  respondent    Bank       under       the     provisions    of  the\n\n<\/pre>\n<p>Securitisation And Reconstruction of Financial Assets And<\/p>\n<p>Enforcement of Security Interest Act, 2002 (SARFAESI Act)<\/p>\n<p>and challenging the proceedings of sale conducted with<\/p>\n<p>respect to the secured assets, the petitioner had already<\/p>\n<p>filed a Securitisation Application as S.A. No.154\/08 before<\/p>\n<p>the Debts Recovery Tribunal, Ernakulam.                    Ext.P2 is the<\/p>\n<p>order issued by the DRT, Ernakulam whereby the above<\/p>\n<p>said securitisation application is dismissed finding that the<\/p>\n<p>petitioner has no locus standi to file such a petition, he<\/p>\n<p>being not an &#8220;aggrieved person&#8221; with respect to the<\/p>\n<p>proceedings initiated under Section 13 (4) of the Act.<\/p>\n<p>However, while dismissing the Securitisation Application,<\/p>\n<p>W.P.(C)No. 26654 of 2009<br \/>\n<span class=\"hidden_text\">                              -2-<\/span><\/p>\n<p>the DRT had permitted the Bank to proceed with further<\/p>\n<p>action in accordance with law only after 30 days from the<\/p>\n<p>date of receipt of Ext.P2 order. It is submitted that the<\/p>\n<p>petitioner had preferred appeal against Ext.P2 order before<\/p>\n<p>the Debts Recovery Appellate Tribunal, Chennai as<\/p>\n<p>evidenced by Ext.P3 memorandum of appeal. Further it is<\/p>\n<p>submitted that an inter locutory application was also filed<\/p>\n<p>along with the appeal seeking stay of all further<\/p>\n<p>proceedings pursuant to the sale conducted. Grievance of<\/p>\n<p>the petitioner is that since the Debt Recovery Appellate<\/p>\n<p>Tribunal, Chennai is not having sitting because there is no<\/p>\n<p>incumbent posted to that Tribunal, after the former<\/p>\n<p>presiding officer had demitted charge, he is not in a position<\/p>\n<p>to move the stay application before that Appellate Tribunal,<\/p>\n<p>and to seek interim relief thereon. Therefore the petitioner<\/p>\n<p>is seeking directions for consideration of the appeal and<\/p>\n<p>stay petition on an earlier date and still then to keep in<\/p>\n<p>abeyance further proceedings.\n<\/p>\n<p>      2.    When the Writ Petition came up for consideration<\/p>\n<p>W.P.(C)No. 26654 of 2009<br \/>\n<span class=\"hidden_text\">                                -3-<\/span><\/p>\n<p>on 23.09.2009 this court directed the petitioner to approach<\/p>\n<p>the Debt Recovery Appellate Tribunal, Bombay, which is<\/p>\n<p>having conferred with the charge of the Debt Recovery<\/p>\n<p>Appellate Tribunal, Chennai.       In order to facilitate the<\/p>\n<p>petitioner to approach that Tribunal, stay was against<\/p>\n<p>hading over possession of the property in question for a<\/p>\n<p>period of 10 days.\n<\/p>\n<p>      3.    The      auction purchaser had   now    filed an<\/p>\n<p>impleading petition which is allowed, and he is impleaded<\/p>\n<p>as Additional 7th respondent. It is submitted by the learned<\/p>\n<p>counsel appearing for the 1st respondent Bank as well as the<\/p>\n<p>learned senior counsel appearing for the Additional<\/p>\n<p>7th respondent that the entire sale consideration pursuant to<\/p>\n<p>the auction has already been deposited. It is pointed out<\/p>\n<p>that by virtue of Rule 9 (6) &amp; (9) of the Security Interest<\/p>\n<p>(Enforcement) Rules, 2002 the authorised officer is bound<\/p>\n<p>to issue sales certificate and to deliver possession of the<\/p>\n<p>property, immediately on the remittance of the entire<\/p>\n<p>purchase amount by the auction purchaser. It is further<\/p>\n<p>W.P.(C)No. 26654 of 2009<br \/>\n<span class=\"hidden_text\">                             -4-<\/span><\/p>\n<p>pointed out that in view of Section 17 (3) of the SARFAESI<\/p>\n<p>Act if the DRT finds that any measures taken by the Bank<\/p>\n<p>referred to under Section 13 (4) are not taken in<\/p>\n<p>accordance with the provisions, the DRT can order that the<\/p>\n<p>possession handed over to the auction purchaser is invalid<\/p>\n<p>and can order restoration of possession to the secured<\/p>\n<p>creditor or to the owner of the property. It is contended<\/p>\n<p>that in view of the above said provisions there is no<\/p>\n<p>justification in keeping transfer of actual possession<\/p>\n<p>pending, on the ground that the petitioner had preferred<\/p>\n<p>appeal against Ext.P2 order.\n<\/p>\n<p>      4.    Having confronted with the above situation, the<\/p>\n<p>learned senior counsel appearing on behalf of the<\/p>\n<p>petitioner, fairly conceded that, the petitioner can agitate<\/p>\n<p>the appeal before the appropriate Appellate Tribunal and<\/p>\n<p>his right need only to be protected in view of the provisions<\/p>\n<p>contained in Section 17 (3) of the Act.\n<\/p>\n<p>      5.    Under the above circumstances the Writ Petition<\/p>\n<p>is dismissed without prejudice to rights of the petitioner to<\/p>\n<p>W.P.(C)No. 26654 of 2009<br \/>\n<span class=\"hidden_text\">                            -5-<\/span><\/p>\n<p>persue the appeal field against Ext.P2 before the Appellate<\/p>\n<p>Tribunal having jurisdiction.   It is made clear that the<\/p>\n<p>Appellate Tribunal shall consider and dispose of the appeal<\/p>\n<p>on its merit, untrammelled by any of the observations made<\/p>\n<p>above.\n<\/p>\n<\/p>\n<p>                                      C.K. ABDUL REHIM<br \/>\n                                             JUDGE<\/p>\n<p>shg\/<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Kerala High Court Somarajan vs Indian Bank on 30 September, 2009 IN THE HIGH COURT OF KERALA AT ERNAKULAM WP(C).No. 26654 of 2009(B) 1. SOMARAJAN, S\/O.NANU &#8230; Petitioner Vs 1. INDIAN BANK, KOLLAM BRANCH, KOLLAM. &#8230; Respondent 2. M\/S. SUNDARASWARAN 3. S.MOHANAN, S\/O.SUNDARESWARAN 4. S.VIJAYALAKSHMI, D\/O.N.SUNDARESWARAN 5. S.MANJU, S\/O. N.SUNDARESWARAN 6. THE DEBTS RECOVERY APPELLATE [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,21],"tags":[],"class_list":["post-9856","post","type-post","status-publish","format-standard","hentry","category-high-court","category-kerala-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Somarajan vs Indian Bank on 30 September, 2009 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/somarajan-vs-indian-bank-on-30-september-2009\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Somarajan vs Indian Bank on 30 September, 2009 - Free Judgements of Supreme Court &amp; 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