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IN THE HIGH COURT OF KARNATAKA AT

DHARWAD BENCH

DATED THIS THE 26^TH DAY OF NOVEMBER, 2021

PRESENT

THE HON’BLE MR.JUSTICE G.NARENDAR

AND

THE HON’BLE MR.JUSTICE M.I.ARUN

WRIT APPEAL NO.100018/2015

c/w

WRIT APPEAL NO.100023/2015

IN W.A.100018/2015

BETWEEN:

M/S. GAGAN INDUSTRIES,

REP. BY ITS PROPRIETOR: MALLANA

GOWDA D.PATIL, AGE: 45 YEARS

PLAT NO.63/B, SY.NO.536,

HONAGA INDUSTRIAL AREA,

BELGAUM-590001. ...APPELLANT

(BY SRI B.S.KAMATE, ADV.)

AND

1.

SHREE ANAND LIFE SCIENCE LTD.,

318/3B, ROY ROAD,

1^ST CROSS TILAKWADI,

BELGAUM-590006 (KARNATAKA),

REP. BY ITS MANAGING DIRECTOR,

SATISH M.GHARGE, S/O. MOHAN RAO,

AGED ABOUT 51 YEARS,

R/O. BELGAUM.

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2.

KARNATAKA STATE FINANCIAL

CORPORATION (ESTABLISHED UNDER

THE STATE FINANCIAL CORPORATION

ACT, 1951), NO.1/1, THIMMAIAH ROAD,

CANTONMENT RAILWAY STATION,

BANGALORE-560052

REP. BY ITS MANAGING DIRECTOR.

3.

KARNATAKA STATE FINANCIAL CORPORATION,

BELGAUM BRANCH,

NEAR HOTEL SANMAN, COLLEGE ROAD,

BELGAUM-590001,

REP. BY ITS ASSISTANT GENERAL MANAGER.

…RESPONDENTS

(BY SRI MANGAL BHANDARI AND

SRI G.K.HIREGOUDAR, ADV. FOR R1,

SRI SHARAD V.MAGADUM, ADV. FOR R2 & R3.)

THIS WRIT APPEAL IS FILED UNDER SECTION 4 OF

THE KARNATAKA HIGH COURT ACT, 1961, PRAYING THAT

AFTER CALLING FOR THE RECORDS AND PROCEEDS OF THE

CASE THIS HON’BLE COURT BE PLEASED TO SET ASIDE THE

IMPUGNED ORDER DATED 15.12.2014 PASSED BY THE

LEARNED SINGLE JUDGE IN W.P.NO.200/2008 AND TO

DISMISS THE WRIT PETITION BY ALLOWING THIS WRIT

APPEAL.

IN W.A.100023/2015

BETWEEN:

SHREE ANAND LIFE SCIENCES LTD.,

318/3B, ROY ROAD 1^ST CROSS,

TILAKWADI BELAGAVI 590006,

KARNATAKA, REP: BY ITS

MANAGING DIRECTOR,

SATISH M.GHARGE

S/O. MOHANRAOGHARGE

AGED ABOUT 55 YEARS;

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R/O. BELAGAVI. …APPELLANT

(BY SRI MANGAL BHANDARI AND SRI PRATHAP SINHA AND

SRI G.K.HIREGOUDAR, ADVOCATES.)

AND

1.

THE KARNATAKA STATE

FINANCIAL CORPORATION

(ESTABLISHED UNDER THE

STATE FINANCIAL CORPORATION ACT 1951)

NO.1/1 THIMMAIAH ROAD

CANTONMENT RAILWAY STATION

BANGALORE-560052.

REP BY ITS MANAGING DIRECTOR.

2.

THE KARNATAKA STATE

FINANCIAL CORPORATION

BELGAUM BRANCH,

NEAR HOTEL SANMAN,

COLLEGE ROAD, BELGAUM 590001

REP BY ITS AGM.

3.

M/S GAGAN INDUSTRIES

REP BY ITS PROPRIETOR

MALLANGOWDA D PATIL

PLOT NO.63/B. S NO 536

HONGA INDUSTRIAL AREA

BELGAUM – 591113. …RESPONDENTS

(BY SRI SHARAD V.MAGADUM, ADV. FOR R1 & R2,

SRI B.S.KAMATE, ADV. FOR R3.)

THIS WRIT APPEAL IS FILED UNDER SECTION.4 OF

THE KARNATAKA HIGH COURT ACT, 1961, PRAYING TO, SET

ASIDE THE IMPUGNED ORDER (OPERATIVE ORDER) DATED

15.12.2014 PASSED BY LEARNED SINGLE JUDGE IN WP

NO.200/2008 (GM KSFC) AND TO ALLOW WRIT APPEAL BY

DIRECTING THE RESPONDENTS TO EXECUTE REGISTERED

SALE DEED PERTAINING TO MORTGAGED ASSETS UNIT AND

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LAND

BEARING

NO.62

B

AND

HANDING

OVER

THE

EXCLUSIVE POSSESSION OF THE SAME TO APPELLANT.

THESE WRIT APPEALS COMING ON FOR FURTHER

HEARING THIS DAY, G.NARENDAR J., DELIVERED THE

FOLLOWING:-

JUDGMENT

Heard Sri. B. S. Kamate, learned counsel for the

appellant

in

W.A.No.100018/2015,

Sri.

Mangal

Bhandari, learned counsel along with Sri. Prathap

Sinha,

learned

counsel

and

Sri.G.K.Hiregoudar,

learned

counsel

for

the

appellant

in

W.A.No.100023/2015 and Sri. Sharad V. Magadum,

learned counsel for respondent – KSFC. Both the

appeals

arise

out

of

the

order

rendered

in

W.P.No.200/2008 disposed of on 15.12.2014. W.A.

No.100023/2015

is

by

the

petitioner

and

the

companion appeal W.A.No.100018/2015 is by 3^rd

respondent.

2.

The parties are referred to by their

nomenclature in the Writ petition.

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3.

We have summoned the records relating to

the auction and the OTS Scheme extended to 3^rd

respondent and also such de