APHC010640032025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI [3558]

(Special Original Jurisdiction)

THURSDAY,THE TWENTY SEVENTH DAY OF NOVEMBER TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE CHEEKATI MANAVENDRANATH ROY THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA WRIT PETITION NO: 33091/2025 Between:

1. E LMA RANI BONIGALA, W/O. VEERAIAH, AGED ABOUT 47 YEARS, R/O. D. NO. 15-3-9, 2ND LINE, SHANTI NAGAR, PONNURU, GUNTUR DT.

2. M /S. DIVYA SAREES, , REP. BY ELMA RANI, C/O. D. NO. 15-3-9, 2ND LINE, SHANTI NAGAR, PONNURU, GUNTUR DT.

3. M R. VEERAIAH BONIGALA, , S/O. NAGABHUSHNAM, AGED ABOUT

52 YEARS, R/O. D. NO. 15-3-9, 2ND LINE, SHANTI NAGAR, PONNURU, GUNTUR DT.

...PETITIONER(S)

AND

1. T HE CHOLAMANDALAM INVESTMENT AND FINANCE COMPANY LTD, , REP BY ITS AUTHORIZED OFFICER, C/O. DARE HOUSE, 2, N.S.C. BOSE ROAD, PARRYS, CHENNI, TAMILNADU.

2. T HE HONBLE DEBTS RECOVERY TRIBUNAL, REP. BY ITS REGISTRAR,C/O. D. NO. 313254 CHITRALAYA ROAD, DABA GARDENS, VISAKHAPATNAM, ANDHRA PRADESH.

...RESPONDENT(S):

Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate writ, order or direction more particularly one in the nature of WRIT OF MANDAMUS to declare the action of the 1st respondent bank in initiating proceedings under Section 14 of the SARFAESI Act, 2002in pursuance of order dt. 22.09.2025 passed in CrI. M.R No. 837 of 2025 on the file of the court of Chief Judicial Magistrate at Guntur, against the Petitioners herein for handing over physical possession of the mortgaged properties and seized the subject property pending disposal of the stay petition and S.A. No. 575 of 2025 on the file of the court of Debts Recovery Tribunal, Visakhapatnam, is illegal arbitrary and unjust and contrary to the order date 26-06-2025 passed in S.A.No.270 of 2023 and contrary to the Principles of Natural Justice and provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Securities Interest Act, 2002 and rules framed there under besides being violative of Articles

14,21 and 300A of Constitution of India and pass IA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to suspend the order dt. 22.09.2025 issued in CrI. M.P. No. 837 of 2025 on the file of the court of Chief Judicial Magistrate at Guntur, and direct the respondents to remove the seal put to the demised premises on 29.09.2025 pending disposal of the S.A. No. 575 of 2025 on the file of the Debts Recovery Tribunal, Visakhapatnam, pending disposal above writ petition and pass Counsel for the Petitioner(S):

1. M R S SRINIVAS Counsel for the Respondent(S):

1.

The Court made the following ORDER:

(Per Hon’ble Sri Justice Cheekati Manavendranath Roy)

Heard the learned counsel for the petitioners.

nd st st

2. The 2 petitioner is being represented by the 1 petitioner. The 1 nd st petitioner on behalf of the 2 petitioner availed loan from the 1 respondent –

rd Financial Institution. The 3 respondent stood as guarantor and offered his immovable property as security for repayment of the loan amount. As the st principal borrowers committed default in repayment of the loan amount, the 1 respondent has initiated measures under SARFAESI Act. When the notice under Section 13(4) of the SARFAESI Act was issued, the same was challenged by the petitioners before the Debt Recovery Tribunal (DRT). It is stated that the said notice was set aside in S.A.No.270 of 2023 by order dated

26.06.2025.

3. Now it is the grievance of the writ petitioners that even after setting aside the proceedings initiated under Section 13(4) of the SARFAESI Act that st the 1 respondent institution has initiated measures under Section 14 of the Act and seized the secured asset which is contrary to law. The petitioners have already approached the DRT by way of filing S.A.No.27