The withdrawal of a demand notice under the SARFAESI Act negates the basis for any pending proceedings, affirming the borrower's non-default status.

JUDGMENT

(Dated this the 28th day of November, 2025)

The petitioner availed a housing loan from the 2^nd respondent bank by mortgaging his residential property. Exts.P1 to P4 shows that the petitioner has not committed any default in repaying the instalments. However, the petitioner received Ext.P5 demand notice issued by the bank stating that there is an arrear of Rs.18,42,376/- as on 31.01.2025.

The learned Standing counsel for the respondent has made available the letter issued to the petitioner wherein it is specifically stated that the demand notice under Section 13 (2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002 has already been withdrawn and that no SARFAESI proceedings are pending as on today. Therefore, this writ petition is closed.