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NC: 2023:KHC:40900
WP No. 23001 of 2023
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 16TH DAY OF NOVEMBER, 2023
BEFORE
THE HON'BLE MR JUSTICE M.NAGAPRASANNA
WRIT PETITION NO. 23001 OF 2023 (GM-RES)
BETWEEN:
SMT. SHASHITHA S SHETTY,
D/O GOPAL SHETTY,
AGED ABOUT 34 YEARS,
RESIDING AT NIDUTY HOSAMANE,
NIDUTY, HOSURU POST AND VILLAGE,
KUNDAPURA TALUK,
UDUPI DISTRICT - 576 220.
ALSO AT
RESIDING AT NO. 9, NAGASRI 4TH CROSS,
SEENAPPA LAYOUT, PAPAREDDY LAYOUT,
PAPAREDDY PALYA, NAGARABHAVI,
BANGALORE - 560 072.
…PETITIONER
(BY SRI. SUNIL K.N, ADVOCATE)
AND:
1.
THE CHIEF MANAGER,
CANARA BANK,
ASSET RECOVERY MANAGEMENT BRANCH,
ARM BRANCH MANIPAL,
HEAD OFFICE ANNEXE (MANIPAL)
UDUPI - 576 104.
2.
SRI. K. PRAKASH SHETTY,
S/O K. SURENDRA SHETTY,
Digitally signed
by PADMAVATHI
B K
Location: HIGH
COURT OF
KARNATAKA
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NC: 2023:KHC:40900
WP No. 23001 of 2023
AGED ABOUT 42 YEARS,
SHAKILA NILAYA, SAGAR ROAD,
KOLLUR, KUNDAPUR TALUK,
UDUPI DISTRICT - 576 220.
…RESPONDENTS
(BY SMT. LATHA SHETTY, ADVOCATE FOR R1)
THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF
THE CONSTITUTION OF INDIA PRAYING TO A) DIRECT THE R1
TO NOT TO CONDUCT THE PUBLIC ACTION SALE AS PER
ANNEXURE-E DATED 12/09/2023 ISSUED BY THE R1 E-
AUCTION / SALE FIXED ON 16/10/2023 AND ETC.,
THIS PETITION, COMING ON FOR ORDERS, THIS DAY,
THE COURT MADE THE FOLLOWING:
The petitioner is before this Court seeking the following
prayers:
"(a)
Direct the 1st Respondent to not to conduct the
public action sale as per Annexure-"E", dt.12.09.2023
issued by the 1st Respondent. E-Auction/Sale fixed on
16.10.2023.
(b) Directing the 1st Respondents to receive the action
sale reserve amount from the Petitioner and confirm the
sale to Petitioner.
(c) To direct the 1st Respondent to receive the loan
amount of Rs.1,35,00,000/- and release the Original
documents in favour of Petitioner which is in the custody
of the 1st Respondent.
(d) Grant such other relief or reliefs as this Hon'ble Court
deems fit in the circumstances of the case, in the
interest of justice."
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The father of one Sri. Prakash Shetty was the
borrower of certain amount from the respondent - Canara
Bank. On account of the account slipping into becoming a non
performing asset, the Bank took steps under the Securitisation
and Reconstruction of Financial Assets and Enforcement of
Security Interest (the 'SARFEASI Act' for short), 2002 to
redeem the mortgage in their favour. In furtherance of the
said steps, on 12.09.2023, a notice was issued in terms of
Section 13(4) of the SARFEASI Act, seeking to sell the property
that was mortgaged in favour of the Bank. After the sale notice
is issued, the son of the borrower, who has inherited the
property enters into an agreement of sale on 07.10.2023.
3.
The learned counsel appearing for the respondent -
Bank submits that Sri. K. Prakash Shetty is one of the inheritor
of the property along with two others.
4.
Be that submission as they may. In the light of the
fact that the agreement of sale is generated after the sale
notice issued by the respondent - Bank, this Court would not
entertain such petitions seeking relief under the SARFEASI Act.
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It is open for the petitioner to avail of such remedy as is
available in law.
With the aforesaid observations, the petition stands
disposed.
Ordered accordingly.
Sd/-
JUDGE
JY
List No.: 1 Sl No.: 57
CT: BHK
