- 1 - NC: 2025:KHC:10085 WP No. 3499 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 10TH DAY OF MARCH, 2025 BEFORE THE HON'BLE MR JUSTICE M.NAGAPRASANNA WRIT PETITION NO. 3499 OF 2025 (GM-RES) BETWEEN: 1. MR. H T N RAJU S/O MR. H D THATHAIAH AGED 75 YEARS 2. MRS. H.ANUSUYAMMA W/O MR. H.T.N. RAJU AGED 65 YEARS 3. MR. H.R. RAGHAVENDRA S/O MR. H.T.N. RAJU AGED 35 YEARS ALL RESIDING AT SLN LODGING BAR AND RESTAURANT, BG HALLI POST, HOLALKERE TALUK, CHITRADURGA - 577526 …PETITIONERS (BY SRI. BHARGAV G., ADVOCATE) AND: KARNATAKA BANK LTD. REGD. AND HEAD OFFICE, P.B. NO.599, MAHAVEERA CIRCLE, KANKANADY, MANGALURU - 575002 REP. BY CHIEF MANAGER RESPONDENT (BY SMT. DIVYA PURANDAR, ADV.) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE DEMAND NOTICE DATED 10/12/2024 BEARING REF. NO. HO/LRD(SU)/PF. Digitally signed by NAGAVENI Location: High Court of Karnataka - 2 - NC: 2025:KHC:10085 WP No. 3499 of 2025 7564/OR.5225/2024-25 ISSUED BY BANK UNDER SECTION 13(2) OF THE SARFAESI ACT VIDE ANNEXURE-A AND THEREBY DIRECT THE RESPONDENT TO UPGRADE THE LOAN ACCOUNTS AS STANDARD IN TERMS OF CLAUSE 4.2.5 OF MASTER CIRCULAR ISSUED BY THE RESERVE BANK OF INDIA BEARING NO.RBI/2024-25/12 DOR.STR.REC.8/21.04.048/2024-25 ANNEXURE - D AND ETC. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE M.NAGAPRASANNA ORAL ORDER The petitioners are before this Court seeking the following prayer: "i) Issue Writ of Certiorari or such other appropriate Writ or Order quashing the Demand Notice dated 10/12/2024 bearing Ref.No.HO/LRD[SU]PF:7564/OR:5225/2024-25 issued by Bank under Section 13(2) of the SARFAESI Act vide ANNEXURE-A and thereby direct the respondent to upgrade the Loan Accounts as "standard" in terms of clause 4.2.5 of Master Circular issued by the Reserve Bank of India bearing NO.RBI/2024-25/12 DOR.STR.REC.8/21.04.048/2024-25 (ANNEXURE - D0. ii) Pass such other Writ/s or Order/s, which are deemed to be fit in the nature and circumstances of the case, in the interest of justice and equity." 2. Learned counsel for the petitioners submits that the accounts can be regularized and he would submit a representation to the Bank to that effect. - 3 - NC: 2025:KHC:10085 WP No. 3499 of 2025 3. In the event, the said representation is submitted, it is open for the respondent - Bank to consider the same, in accordance with law and pass necessary orders thereon. 4. Any documents necessary or information necessary, from the hands of the petitioners, the Bank is at liberty to solicit. 5. With the aforesaid observations, the writ petition stands disposed. Ordered accordingly. Sd/- ______________________ JUSTICE M.NAGAPRASANNA KG List No.: 1 Sl No.: 84