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2026 Supreme(Online)(Chh) 16511

HIGH COURT OF CHHATTISGARH AT BILASPUR
Amitendra Kishore Prasad, J
SANJIV CHOUDHARY – Appellant
Versus
DISTRICT MAGISTRATE – Respondent
WPC No. 2353 of 2026



Advocates:
For the Appellants/Petitioners: Saurabh Sharma
For the Respondents: Shobhit Mishra, P.R. Patankar

The court may grant limited interim protection to a party to approach the appropriate statutory forum (DRAT) when imminent coercive action under the SARFAESI Act threatens the possession of immovable property, ensuring the balance of convenience and ends of justice.

Headnote:The petitioner challenged a notice dated 04.05.2026 issued by the Tehsildar under the SARFAESI Act, 2002, proposing to take physical possession of a mortgaged residential property on 11.05.2026. It was contended that a securitisation application under Section 17 of the SARFAESI Act was pending before the Debt Recovery Tribunal and an interim order had been passed regarding the auction process. The court found that the petitioner required a reasonable opportunity to seek statutory remedy before the Debt Recovery Appellate Tribunal to avoid serious prejudice. The primary issue was whether the petitioner should be granted interim protection to approach the competent statutory forum despite the availability of an efficacious remedy. The court reasoned that the balance of convenience and ends of justice require limited protection to enable the petitioner to effectively approach the Debt Recovery Appellate Tribunal, as the dispute involves civil consequences affecting the possession of immovable property. the petitioner is granted 15 (Fifteen) days’ time from today to approach the concerned Debt Recovery Appellate Tribunal for appropriate relief against the order dated 25.03.2026 as well as the consequential SARFAESI proceedings.

Table of Content
1. challenge against a possession notice issued under the sarfaesi act while statutory proceedings are pending. (Para 1 , 2 , 3)
2. arguments regarding the necessity of interim protection versus the availability of an efficacious statutory remedy. (Para 4 , 5)
3. granting limited time to approach the statutory forum based on the balance of convenience and ends of justice. (Para 6 , 7 , 8)
4. stay of coercive action for a specified period to allow the petitioner to seek relief from the competent tribunal. (Para 9 , 10 , 11)

Order on Board

1. By way of this petition under Articles 226 and 227 of the Constitution of India, the petitioner has challenged the notice dated 04.05.2026 issued by the Tehsildar, Durg, whereby physical possession of the petitioner’s immovable property is proposed to be taken on 11.05.2026 in proceedings initiated under the SARFAESI Act, 2002 .

2. Facts of the case are that the petitioner is in possession of a residential property mortgaged with respondent No. 4 Bank. The Bank initiated measures under the SARFAESI Act. In the said proceedings, the District Magistrate, Durg passed an order dated 19.01.2026 under Section 14 of the Act for taking possession of the secured asset. Pursuant thereto, the Tehsildar issued notice dated 04.05.2026 directing handing over of physical possession on 11.05.2026. It is further the case of the petitioner that a securitisation application under Section 17 of the SARFAESI Act bearing SA No. 113/2024 is already pending before the DRT, Jabalpur. It is also brought on record that the DRT, Lucknow, by order dated 25.03.2026, has passed an interim order whereby the e-auction process may continue, however issuance of sale certificate stands stayed and is subject to final outcome of the proceedings.

3. The petitioner has filed this Writ Petition seeking following reliefs:-

“A. issue a writ of prohibition or any other appropriate writ, order or direction restraining the Tehsildar from taking physical possession on the basis of notice dated 04.05.2026 whereby the date of possession has been fixed as 11.05.2026.

B. issue a writ of mandamus or any other suitable order or direction directing urgent listing of First Appeal No. FA/47/2026 for admission before the appropriate Hon'ble Bench, in view of the imminent possession date;

C. quash and set aside the warrant of possession notice dated 04.05.2026 issued by Tehsildar, Durg.

D. pass an order restraining the Respondents No. 1, 2, and 4 from taking physical possession of the property in question until the Debt Recovery Tribunal resumes its functions, so that the Petitioner may avail the statutory remedy under Section 17 of the SARFAESI Act;

E. pass any other order or direction which this Hon'ble Court may deem fit and proper in the interest of justice.”

4. Learned counsel for the petitioner submits that the Debt Recovery Tribunal, Jabalpur has passed an order dated 25.03.2026 in Securitisation Application No. 113/2024 filed by the borrower, wherein an interim order has been passed permitting the respondent Bank to proceed with the e-auction process. However, it has been specifically directed that any action taken by the respondent Bank shall remain subject to the final outcome of the said proceedings, and no final coercive action, including issuance of sale certificate or completion of further steps, can be taken without the approval of the Tribunal. It is further submitted that despite the aforesaid order, the Tehsildar has issued notice dated 04.05.2026 to the petitioner as well as the guarantors for handing over physical possession of the property in favour of the concerned Bank, thereby initiating coercive action in haste. At this stage, learned counsel for the petitioner submits that since physical possession is proposed to be taken within two days as per the notice dated 04.05.2026, the petitioner may be granted some breathing time to approach the concerned Debt Recovery Appellate Tribunal at

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