The Court granted permission for a loan defaulter to remove movables from secured property, facilitating compliance with recovery laws.

BASANT BALAJI J ======================

W.P. (C) No. 2964 of 2026 ========================

Dated 11^th day of February 2026 JUDGMENT The petitioner is the owner in possession of 1.66 Ares of property comprised in Re-Sy. No. 516/5-3-2. For the purpose of constructing a residential house, the petitioner availed three loan facilities from the respondent Bank. The petitioner was initially regular in remitting the loan instalments. However, during the COVID-19 pandemic and the consequent lockdown, the petitioner suffered severe business setbacks. Though the petitioner continued to remit the instalments to the extent possible, persistent financial difficulties ultimately compelled the petitioner to wind up the business. Despite earnest efforts to mobilise funds, the petitioner was unable to clear the outstanding liability and consequently defaulted in repayment. On account of such default, the respondent Bank initiated proceedings under the provisions of the SARFAESI Act and filed M.C. No.736 of 2025 before the jurisdictional Chief Judicial Magistrate Court seeking assistance for taking possession of the secured asset. Pursuant thereto, an Advocate Commissioner was appointed to take physical possession of the secured asset.Aggrieved by the said proceedings, the present writ petition has been filed.

2. Heard the learned counsel for the petitioner and the learned counsel for the respondent bank.

3. The learned counsel for the petitioner submits that the movables lying in the secured asset, of which physical possession has been taken by the respondent Bank, may be permitted to be removed by the petitioner. It is further submitted that the petitioner is ready to be present at the secured asset at 02.00 p.m. on 16.02.2026 for the said purpose.

4. The learned counsel for the respondent Bank submitted that the respondent Bank has no objection in permitting the petitioner to remove the movables from the secured property.

5. In the above circumstances, the petitioner is permitted to remove the movables from the property on 16.02.2026 between 02.00 p.m. and 05.00 p.m. The representatives of the respondent Bank shall also be present at the property at 02.00 p.m. on the said date. At the time of removal of the movables, an inventory shall be prepared and the same shall be signed by both parties.

With the above observations and directions, this writ petition is disposed of.

Sd/-