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2026 Supreme(Online)(Kar) 22892
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 10TH DAY OF APRIL, 2026
BEFORE THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI
WRIT PETITION NO. 14220 OF 2024 (GM-DRT)
BETWEEN:
CANARA BANK, HOSKOTE BRANCH, WARD NO.6, KAVERI COMPLEX, COLLEGE MAIN ROAD, M.V. EXTENSION, HSAKOTE - 562 114.…PETITIONER
(BY SRI. SHETTY VIGNESH SHIVARAM.,ADVOCATE)
AND:
1. STATE OF KARNATAKA, REPRESENTED BY PRINCIPAL SECRETARY, Dbyig SitUaVllyA RsiNgnAe Td M R R E O .S V O E B M N U U N IL E O D . D 6 IN E 2 P G 7 A , , R6 D T TH M R F .E B L N . O R T O , . A R M , B G E A D T K E A -1 R , VEEDHI, LCK o AOc RUa N tRi A oTn T O: A FH K I A G H B ENGALURU 560 001.
2. SUB REGISTRAR, HOSAKOTE SUB REGISTRAR OFFICE, HOSAKOTE, BENGALURU.
3. ASSISTANT COMMISSIONER AND COMPETENT AUTHORTY, VINIVINK ORGANIZATION INVESTOR CLAIMS ENQUIRY DIVISION, BENGALURU. 5TH FLOOR, VISHVESHWARAYYA KENDRA, DR. AMBEDKAR VEEDHI, BENGALURU 560 001.
4. UNDER SECRETARY TO GOVERNMENT REVENUE DEPARTMENT (SPECIAL CELL)VIDHANA SOUDHA, BENGALURU 560 001.
5. STATE OF KARNATAKA, THROUGH HOSKOTE POLICE STATION, HOSKOTE KARNATAKA, REP. BY GOVERNMENT PLEADER.
6. SMT. SARVAMANGALA, W/O SRI APPU RAO M.S.MAJOR IN AGE, R/A NO.22, SRI RAYARA NIVASA, ROY SINGH LAYOUT, HOSAKOTE, BENGALURU RURAL 562 114.…RESPONDENTS
(BY SRI.MAHANTESH SHETTAR.,AGA FOR R1,R2,R4 & R5;SRI.VEERESH BUDIHAL., ADVOCATE FOR R3;SRI.SWAROOP S., ADVOCATE FOR R6)
ORDER
i. Accordingly, the writ petition is dismissed.
ii. All I.As. in this petition shall stand closed.
SD/-
(LALITHA KANNEGANTI)
JUDGE
MEG List No.: 1 Sl No.: 9
THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA, PRAYING TO A) DIRECTION SETTING ASIDE THE GAZETTE NOTIFICATION DATED 15/03/2023 BEARING NO. E-RD 22 GRC 2022 ISSUED BY THE R4 IN SO FAR THE SCHEDULE PROPERTY IS CONCERNED (ANNEXURE-E) AND B) SETTING ASIDE THE DIRECTION DATED 12/06/2023 BEARING NO. NGR/CR/01/2023-24 ISSUED BY THE R3 TO THE R2 IN SO FAR THE SCHEDULE PROPERTY IS CONCERNED (ANNEXURE-F) AND C) DIRECTION ON THE R2 TO REGISTER THE SALE CERTIFICATE DATED 30/03/2024 BEARING REF. NO. RO/DEV/SC/SS/30032023 ISSUED BY THE PETITIONER IN FAVOUR OF R6 (ANNEXURE-B) AND D) DIRECTION ON THE JURISDICTIONAL POLICE TO ASSIST THE PETITIONER IN HANDOVER POSSESSION OF THE SCHEDULED PROPERTY TO THE AUCTION PURCHASER.
THIS WRIT PETITION, COMING ON FOR DICTATING JUDGMENT HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE SMT. JUSTICE LALITHA KANNEGANTI
ORAL ORDER
The present writ petition is filed by the petitioner/Canara Bank seeking the following prayer:
"PRAYER WHEREFORE the Petitioner prays that this Hon'ble court may be pleased to:
a) Issue a writ in the nature of certiorari or any other appropriate writ or direction setting aside the gazette notification dated 15.03.2023 bearing No. E-RD 22 GRC 2022 issued by the Respondent No.4 in so far the schedule property is concerned. (Annexure-E)
b) Issue a writ in the nature of certiorari or any other appropriate writ setting aside the direction dated 12.06.2023 bearing No. NGR/CR/01/2023-24 issued by the Respondent No.3 to the Respondent No.2 in so far as the Schedule Property is concerned. (Annexure-F)
c) Issue a writ in the nature of mandamus or any other appropriate writ or direction on the Respondent No.2 to register the sale certificate dated 30.03.2024 bearing Ref.No.RO/DEV/SC/SS/30032023 issued by the Petitioner in favour of Respondent No.6. (Annexure-B)
d) Issue a writ in the nature of mandamus or any other appropriate writ or direction on the jurisdictional police to assist the Petitioner in handover possession of the scheduled property to the auction purchaser.
e) Grant any other order or direction as may deem fit in the circumstances of the case."
The facts of the case are that one Late Shivakumar R had approached the petitioner/Bank for a housing loan in the year 2020 for an amount of Rs.2,32,00,000/- for construction of residential building. For the said housing loan, one Mr.Praveen Kumar S and one Smt. Varalakshmi S were the co-borrowers and also Mr. Pawan Kumar, who is the co-borrower is also the legal heir of late Mr. Sivakumar. After considering the application of the borrowers, the petitioner/Bank sanctioned the housing loan facility of an amount of Rs.2,32,00,000/-. They have executed the housing loan agreement. The borrowers agreed to repay the said loan of Rs.2,32,00,000/- within 348 monthly instalments of Rs.1,83,015/-. The borrowers agreed to pay the interest on the loan amount at the rate of 8.70% p.a. compounded monthly interest from the date of grant of loan. On 27.03.2020, one Late Shivakumar R., created mortgage of the property bearing No.1, Hoskote Municipal Khata No.6808/5517/2841/1 and PID No.23-17-86 situated at Ramakrishna Road, 2nd cross, Sir M.V. Layout, Hosakote Town, Bangalore Rural District by executing Memorandum of Deposit of Title Deed, which was registered on27.04.2020 in the Office of the Sub-Registrar, Hoskote.
After the borrowers executed the loan documents, the petitioner/Bank released the loan amount and permitted the borrowers to utilise the housing loan amount. When the borrowers failed to pay the amount, the account was classified as Non-Performing Asset on 29.01.2022 in accordance with the directives/guidelines relating to asset classification issued by the Reserve Bank of India. The Bank issued notice under Section 13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short 'SARFAESI Act') on 09.02.2022 and the same
