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Signed by: SEHAR HASEEN

Signing time: 11/23/2023

4:53:39 PM

Signature Not Verified

Heard on the question of admission and interim relief.

The instant writ petition under Article 226/227 of the Constitution of India has been

filed by the petitioner being aggrieved by the inaction of Chief Judicial Magistrate,

Khargone who is sitting tight over the application filed by the petitioner u/S 14 of the

Securitisation and Reconstruction of Financial Assets and Enforcement of Security

Interest Act, 2002(referred to as"SARFAESI Act" hereinafter) praying for the following

relief:

"It is therefore prayed that for the peculiar facts contained herein and

ground raised, the learned Chief Judicial Magistrate be directed to register

the cases as listed in Annexure P-5 and dispose of then same within 30 days

as prescribed in law."

2. Brief facts of the case are that the petitioner is a banking company involved in

the business of advancing housing loans to its customers.The petitioner had filed an

application u/S 14 of the SARFAESI Act before the Chief Judicial Magistrate, Khargone

[referred to as CJM, Khargone" hereinafter]against one Mr. Badruddin & ors in the

month of December, 2022. The learned CJM, Khargone has neither registered the

application nor taken any steps to proceed in the matter and in contravention to the

provisions of Section 14 of the SARFAESI Act, the CJM is listing the matter for

arguments on registration. Being aggrieved, the petitioner filed an application dated

08.09.2023 under the Right to Information Act, 2005 seeking status of all similar

SARFAESI Act matters pending before the CJM, Khargone which was forwarded by the

State Public Information Officer, Distt. & Sessions Court, Mandleshwar to the CJM who

has issued the list of cases u/S 14 of SARFAESI ACT pending before the CJM,

Khargone annexed with the petition. Now the present petition is preferred.

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Signed by: SEHAR HASEEN

Signing time: 11/23/2023

4:53:39 PM

Signature Not Verified

3. Learned counsel for the petitioner submitted that the CJM, Khargone has

failed to consider that the petitioner company is a secured creditor and the property in

question is secured by way of mortgage. The CJM exceeded its jurisdiction by listing the

cases u/S 14 of SARFAESI Act for the purpose of arguments on registration. In fact,

the CJM ought to have considered only two aspects:

(i) Determine whether the secured assets fall within its territorial jurisdiction?

(ii) Whether notice u/S 13(2) of the SARFAESI Act has been furnished or not?

4. In support of his contention, learned counsel for the petitioner relied on the

judgment passed by Single Bench of this Court in the case of Cholamandalam

Investments and Finance Ltd. Vs. Additional District Magistrate and Others

[2018(3) MPLJ 123] wherein , in para 20 it is held that :

20. "It has been held that the District Magistrate has to consider only

two aspects. He has to first determine whether the secured asset falls within

his territorial jurisdiction and secondly whether the notice under Section

13(2) has been furnished or not and no adjudication has been contemplated

at that stage."

5. He further relied upon the order passed by the Division Bench of this Court in

the case of HDFC Bank Ltd. Vs. Additional District Magistrate, Indore & Others

in W.P. No. 14976/2022.

6 . Learned counsel for the respondent/State submitted that petition may be

disposed of with directions to the CJM, Khargone to decide the applications filed u/S 14

of the SARFAESI Act within a time bound period.

7. Heard, learned counsel for the parties and perused the record.

8. Before adverting to the relief sought in the petition, it is apt to go through the

provisions of Section 14 of the SARFAESI Act which are reproduced below for

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Signed by: SEHAR HASEEN

Signing time: 11/23/2023

4:53:39 PM

Signature Not Verified

convenience:

9. Section 14 of the SARFAESI Act:

"14. Chief Metropolitan Magistrate or District Magistrate to assist

secured creditor in taking possession of secured asset.-

(1) Where the posse