IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 24.07.2024 CORAM :

THE HONOURABLE MR. JUSTICE S.S. SUNDAR AND THE HONOURABLE MR. JUSTICE N. SENTHILKUMAR W.P.No.14013 of 2024 and W.M.P.No.15202 of 2024 M.Sangeetha Raji ... Petitioner Vs.

1.The Regional Director, Reserve Bank of India, Fort Glasis, No.16, Rajaji Salai, Chennai – 600 001.

2.The District Collector/District Magistrate, Collectorate, Cuddalore District.

3.The Branch Manager/The Authorised Officer, IDBI Bank, Cuddalore Branch, No.14-B, Bethal Towers, Pondy Main Road, Alpet, Manjakuppam, Chennai – 607 001.

4.Kalaivanan ... Respondents [R4 impleaded as per order dated 12.06.2024 in WMP No.16836 of 2024 in W.P.No.14013 of 2024]

Prayer : Writ Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Mandamus to direct the respondents to provide a chance to the petitioner to avail the benefits of OTS (One Time Settlement) on the basis of Sanction Letter dated 17.10.2022 given by the 3^rd respondent Bank under AMBY Scheme by considering the petitioner's representation dated 16.05.2024 within stipulated time fixed by this Court and consequently, to direct the 3^rd respondent to defer the sale proceedings initiated in pursuance of Sale Notice dated 17.04.2024 by fixing sale on 03.05.2024 published in Daily Newspaper namely “Indian Express” issued by the 3^rd respondent Bank.

For Petitioner : Mr.P.M.Vishnuvarthanan For R1 : Mr.C.Mohan for M/s.King and Partridge for RBI For R2 : Mr.M.R.Gokul Krishnan Additional Government Pleader For R3 : Mr.E.Vijayaraghavan For R4 : Mr.K.Balaramesh

O R D E R

(Order of the Court was made by S.S. SUNDAR, J.

This writ petition is filed for issuance of a Writ of Mandamus directing the respondents to give a chance or opportunity to the petitioner to avail the benefit of One Time Settlement (OTS) on the basis of sanction letter dated 17.10.2022 given by 3^rd respondent Bank under AMBY Scheme, by considering the representation of the petitioner dated 16.05.2024 within the time stipulated by this Court and to direct the 3^rd respondent Bank to defer the sale proceedings initiated pursuant to the sale notice dated

17.04.2024 fixing the sale on 03.05.2024.

2.The petitioner's father Mr.C.Thangasamy availed credit facilities from the respondent Bank and it is admitted that the total amount borrowed by the petitioner's father is around Rs.90,00,000/-. The petitioner's father and mother by name Mrs.T.Rajeswari deposited the title deeds pertaining to the immovable properties which are now the subject matter of sale. The loan account of the petitioner's father was declared NPA even in 2010 and the 3^rd respondent issued a demand notice under Section 13(2) of the SARFAESI Act on 15.02.2011. Thereafter, possession notice under Section 13(4) was also issued on 27.05.2011. The respondent Bank filed a petition under Section 14 of the SARFAESI Act and the District Collector has already passed an order for taking possession on 28.02.2014. It is stated that physical possession was taken on 30.07.2014. It appears that the respondent Bank has issued sale notices from November, 2014, after giving ample opportunity to the petitioner's father to settle the dues.

3.It is admitted that petitioner's mother Mrs.T.Rajeswari died on

27.12.2021. Unfortunately, the petitioner's father, who was a party to the proceedings, and petitioner's brother who also stood as guarantor did not inform the Bank about the death of petitioner's mother, even though a few applications were pending before the Debt Recovery Tribunal challenging the previous sale notices. On 24.02.2022, the second sale notice was issued including the property of petitioner's mother who is dead. Even though the sale proceedings are against one of the properties of the deceased, the said sale notice was challenged by petitioner's father Mr.C.Thangasamy without disclosing the death of his wife Mrs.T.Rajeswari. Again, the property was brought for sale on 17.04.2024, after the dismissal of SARFAESI Appeal in