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UJJAL BHUYAN, CHILLAKUR SUMALATHA
Gudupati Laxmi Devi – Appellant
Versus
Canara Bank – Respondent
ORDER:
Ujjal Bhuyan , J.
Heard Mrs.K.Annapurna Reddy, learned counsel for the petitioner.
2. By filing this petition under Article 226 of the Constitution of India, petitioner seeks a direction to respondent No.1/Canara Bank not to take any steps against her for recovery of dues from respondent Nos.2 and 3 under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (briefly ‘the SARFAESI Act’ hereinafter).
3. It appears that respondent No.2 had obtained a loan from respondent No.1/Canara Bank to which petitioner stood as guarantor. It further appears that respondent No.2 had defaulted in repayment of the loan.
4. Respondent No.1/Canara Bank invoked the provisions of the SARFAESI Act and thereafter issued notice to respondent No.2 as well as to the petitioner under Section 13(2) of the SARFAESI Act on 07.04.2021. Insofar the petitioner is concerned, the notice was addressed to her as the guarantor and she was called upon to repay to the secured creditor a sum of Rs.1,61,71,042.74, failing which it was mentioned that action under sub-section (4) of Section 13 would be taken.
5. Petitioner submitted her objection to the above notice on 31.0
Point of Law - Section 13 of the SARFAESI Act deals with enforcement of security interest. Sub-section (2) provides for issuance of notice by the secured creditor to the borrower for discharge of lia....
The right of the borrower to make a representation or raise an objection under Section 13(3A) of the SARFAESI Act and the obligation of the secured creditor to consider such representation or objecti....
The right of the borrower to make a representation or raise an objection under Section 13(3A) of the SARFAESI Act and the obligation of the secured creditor to consider such representation or objecti....
The legislative intent to prevent judicial or quasi-judicial intervention at the stage of issuance of demand notice under Section 13(2) of the SARFAESI Act.
Prematurity of the petition seeking to quash a notice issued under Section 13 (2) of the SARFAESI Act.
The SARFAESI Act provides for the enforcement of security interest by secured creditors and the availability of alternative statutory remedies, emphasizing the non-maintainability of writ petitions a....
The main legal point established in the judgment is the non-maintainability of a writ petition under Article 226 against proceedings under the SARFAESI Act, and the requirement for the petitioner to ....
The court's decision highlighted the importance of considering representations for repayment within a specified time frame under the SARFAESI Act.
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