MANOJ KUMAR TIWARI, VIVEK BHARTI SHARMA
Yugal Kishore – Appellant
Versus
State Bank of India – Respondent
JUDGMENT :
Manoj Kumar Tiwari, A.C.J.
Since the order passed by the Debts Recovery Tribunal can be challenged under Section 18 of the SARFAESI Act, 2002, before the Debts Recovery Appellate Tribunal, therefore, this Court is not inclined to entertain this writ petition.
2. Hon’ble Supreme Court in the case of United Bank of India Vs. Satyawati Tondon, (2010) 8 SCC 110, followed by Celir LLP Vs. Bafna Motors (Mumbai) Private Ltd. and others, (2024) 2 SCC 1, has repeatedly held that High Court should not entertain a writ petition where the petitioner has an effective remedy before the Debts Recovery Tribunal.
3. Paragraphs 97 and 98 of the judgment rendered by the Hon’ble Supreme Court in Celir LLP (Supra) are extracted below for ready reference :
“43. Unfortunately, the High Court overlooked the settled law that the High Court will ordinarily not entertain a petition under Art
United Bank of India Vs. Satyawati Tondon
Celir LLP Vs. Bafna Motors (Mumbai) Private Ltd. and others
Commissioner of Income Tax & Ors. v. Chhabil Dass Agarwal reported in (2014) 1 SCC 603
The High Court should not entertain a writ petition under Article 226 if an effective remedy exists under the SARFAESI Act, emphasizing the importance of exhausting statutory remedies.
Judicial intervention is not warranted when an effective alternative remedy exists under specific statutory provisions for debt recovery.
As a result of judicial pronouncement of this Court, it would amount to judicial impropriety to say the least, for the subordinate courts including the High Courts to ignore the settled decisions and....
Exhaustion of alternative remedies before approaching the High Court under Article 226 of the Constitution, as emphasized by the provisions of the SARFAESI Act and supported by relevant Supreme Court....
The main legal principle established in the judgment is the discretion of the court in exercising its jurisdiction under Article 226 of the Constitution and the availability of statutory alternative ....
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