The High Court will not entertain a writ petition under Article 226 if an effective alternative remedy is available, particularly in matters involving the SARFAESI Act.

ORAL JUDGMENT

1. Heard Mr. Bharat. T. Rao, learned advocate appearing for the petitioner, Mr. Jal S. Unwalla, learned Senior Counsel assisted by Mr. Vishwas K. Shah, learned advocate appearing for the respondent Nos.1 to 3, Ms. Nidhi Vyas, learned Assistant Government Pleader appearing for the respondent No.4, Mr. Nirav. P. Shah, learned advocate appearing for the respondent No.5 and Mr. B. K. Oza, learned advocate assisted by Mr. Aniruddhsinh N. Jadeja, learned advocate appearing for the respondent Nos.7 to 8.

2. The present petitioners herein have invoked Article 226 of the Constitution of India and prayed for following reliefs:-

“(A) To admit and allow this petition.

(B) To issue writ of mandamus or any other writ, order or direction, directing the respondent no.1 & 2 to produce inventory of the plant and machinery, stock, raw materials, finished goods, mill gin stores etc. lying at the factory premises of M/s. Snow Ceramics at the time of issuance of notice under Sec. 13(2) of SARFAESI Act and taking of symbolic possession under Sec.13(4) of the SARFAESI Act.

(C) To issue writ of mandamus or any other writ, order or direction, directing the respondent no.3 to initiate departmental proceedings against the Branch Manager/Chief Manager, Morbi respondent no.1 and Assistant General Manager at Regional Office, Rajkot for allowing auction purchaser to dismantle plant and machineries, raw materials, stock, finished goods, mill gin stores etc. and not taking any action despite complaint being made by petitioners on 7.10.2021.

(D) To issue writ of mandamus or any other writ, order or direction, directing the respondent no.4 Superintendent of Police, Morbi to register complaint pursuant to the complaint made by petitioners on 7.10.2021.

(E) To issue writ of mandamus or any other writ, order or direction, directing the respondent nos.1 to 3 to deposit the amount of value of plant and machineries, stock, raw materials, finished goods, mill gin stores which they have allowed to be taken away by auction purchaser and unscrupulous persons.

(F) Pending admission, hearing and final disposal of the above Special Civil Application, be pleased to restrain the respondent nos.1 to 3 from handing over physical possession of the land and building to the auction purchaser.

(G) To grant ad-interim relief in terms of Para-38(F).

(H) To grant any other appropriate relief as the nature circumstances of the case may require”.

3. The brief facts of the case are as under:-

3.1. Petitioners herein are partners of M/s. Snow Ceramics, a partnership firm having its factory at Survey No.34/B of village Lalpar, Opposite The Grand Vaibhav Hotel/ Optel Ceramic, Lakhdhirpur Road, National Highway 8- A, Morbi. Out of the 7 partners, petitioners herein are having 53% share in the said partnership firm. M/s. Snow Ceramics, partnership firm was established in 2004 and since then the firm has been availing of various types of credit facilities from the respondent no.1 bank, which was originally known as Syndicate Bank. Initially M/s. Snow Ceramics was granted loan of Rs.98.00 lacs in the year 2004, which was fully paid in the year 2007. Thereafter, M/s. Snow Ceramics was granted various other loans by the respondent no.1 bank.

3.2. The erstwhile Syndicate Bank sanctioned terms loan of Rs.1,10,00,000/- to the M/s. Snow Ceramics for the purchase of machinery. Towards security, the Hypothecation of machinery to be purchased from the proceeds of the loan amount was to be made. The said loan was for the purchase of imported Digital Machine for manufacture of tiles. The said Sanction letter is duly produced at Annexure-A. The erstwhile Syndicate Bank issued sanction letter on 23.12.2019 sanctioning SDOH (Cash Credit) facility for Rs.175.00 lacs and Bank Guarantee for Rs.65.00 lacs. It is stated that it provides in the column of nature of security - primary security: Stock & Book Debt and existing and future machinery and collateral security of immovable property - factory land and buildi