IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 9^TH DAY OF MARCH, 2026 BEFORE THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI WRIT PETITION NO. 20293 OF 2025 (GM-DRT)

BETWEEN:

SRI SATHISH HEGDE AGED ABOUT 54 YEARS, R/AT NO.672, SANNIDHI, VIJAYA BANK LAYOUT, BANGALORE. …PETITIONER (BY SMT. BHAT VEENA VENKATARAMAN, ADVOCATE)

AND:

THE AUTHORIZED OFFICER AND MANAGER CENTRAL BANK OF INDIA BASAVANAGUDI BRANCH, NO.79, SAPTHAGIRI ARCADE, Digitally VANIVILAS ROAD,BASAVANAGUDI, signed by BANGALORE-560004 SUVARN A T …RESPONDENT Location: (BY SRI. Y.P. GOKUL, ADVOCATE)

HIGH COURT OF THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF KARNATAKA THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF MANDAMUS OR ANY OTHER WRIT AS APPLICABLE TO DIRECT THE RESPONDENT TO HONOR THE ONE TIME SETTLEMENT AS STATED IN THEIR INTIMATION LETTER DATED 25.02.2025 ANNEXURE-A, IN VIEW OF THE COMPLIANCE MADE BY THE PETITIONER AS PER THE TERMS AND REFERENCE TO THE SAID INTIMATION LETTER, THEREBY DIRECTING THE RESPONDENT BANK TO RELEASE ALL ORIGINAL TITLE DEEDS TO THE MORTGAGED SCHEDULE PROPERTY AFTER DISCHARGING IT FROM THE MORTGAGE UNDER A REGISTERED RELEASE DEED UNDER DUE BANKING PROCESS, AND ALSO FROM ALL FURTHER SARFAESI PROCEEDINGS AGAINST/PLACED AGAINST MORTGAGED PROPERTY, UNDER CONFIRMATION, WHICH THIS HONBLE HIGH COURT DEEMS IT FITDIRECT THE RESPONDENT TO ACCEPT ANY PAYMENTS BY THE PETITIONER, AS DIRECTED BY THIS HONBLE HIGH COURT.

THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN B GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE SMT. JUSTICE LALITHA KANNEGANTI

ORAL ORDER

The present writ petition is filed seeking the following prayers:

“1. Issue a writ of mandamus or any other writ as applicable to direct the Respondent to honor the One Time Settlement as stated in their intimation letter dated 25.02.2025 - Annexure-A, in view of the compliance made by the Petitioner as per the terms and reference to the said Intimation letter, thereby directing the Respondent Bank to release all original title deeds to the mortgaged schedule property after discharging it from the mortgage under a registered release deed under due banking process, and also from all further SARFAESI proceedings against/placed against mortgaged property, under confirmation, which this Hon'ble High Court deems it fit, 2. To pass the order by directing the Respondent to accept any payments by the Petitioner, as directed by this Hon'ble High Court, 3. To Pass such other order or direction that this Hon'ble High court deems fit to suit the circumstances and/or as required in the case"

2. It is the case of the petitioner that he had availed a loan facility of Rs.20,00,000/- from the respondent/Bank by mortgaging his residential property. Due to financial constraints, the petitioner could not pay the EMIs. It is stated that the respondent issued a One Time Settlement (for short ‘OTS’) by intimation letter dated 25.02.2025 under certain conditions, However, without placing any last date or due date for settlement, the respondents offer to settle the loan account at Rs.15,00,000/- against the contractual demand of Rs.81,79,826/- as on 31.01.2025.

3. It is stated that the petitioner had been directed to clear the amount within 31.03.2025, as per the telephonic conversation with the Branch Manager of the respondent/Bank, wherein the petitioner submits that he had approached the Branch of the Bank on 31.03.2025 along with cash for depositing the same. However, the Branch Manager of the respondent Bank refused to accept the same under the Banking Regulation Act applicable on the last financial day of the year and also due to income tax regulations. The petitioner submits that he could not deposit the amount into any other accounts of his friends or relatives for the purpose of transferring the amount to the respondent/Bank. The petitioner was in constant touch with the respondent Bank regarding the payment of the amount as demanded under the OTS intimation letter.

4. Subsequently, the