- 1 - HC-KAR NC: 2025:KHC:20528 WP No. 8639 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 16TH DAY OF JUNE, 2025 BEFORE THE HON'BLE MR JUSTICE S SUNIL DUTT YADAV WRIT PETITION NO. 8639 OF 2025 (GM-RES) BETWEEN: 1. M/S. SREESHA EDUCATIONAL SERVICES LLP A LIMITED LIABILITY PARTNERSHIP NO. 53, 5TH 'A' CROSS, 21ST MAIN MCHS COLONY, BTM II STAGE BENGALURU - 560 076 REPRESENTED BY ITS PARTNER MR. MAHESH REDDY 2. M/S USHA EDUCATIONAL FOUNDATION A REGISTERED TRUST NO. 53, 5TH 'A' CROSS, 21ST MAIN MCHS COLONY, BTM II STAGE BENGALURU - 560076 REPRESENTED BY ITS TRUSTEE MR. MAHESH REDDY …PETITIONERS (BY SRI. MAHESH ARKALGUD SRIKANTH., ADVOCATE) AND: 1. M/S.CANARA BANK INDUSTRIAL FINANCE BRANCH NO. 91, INFANTRY ROAD BENGALURU 560 001 REPRESENTED BY ITS MANAGER …RESPONDENT (BY SRI. VIGNESH SHETTY., ADVOCATE) THIS W.P. IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA., PRAYING TO QUASH THE LETTER DTD. 05.03.2025 BEARING REF.NO. CB/CBIF/SES/003/2024- 25/PSR (ANNEXURE-H) BY ISSUING A WRIT IN THE NATURE OF Digitally signed by VIDYA G R Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:20528 WP No. 8639 of 2025 A CERTIORARI OR ANY OTHER ORDER OR WRIT, CONSEQUENLTY, ETC. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S SUNIL DUTT YADAV ORAL ORDER Petitioners have sought for setting aside of the communication at Annexure-H whereby the respondent - Bank has intimated that the proposal of the petitioners made in terms of Annexure-G was not considered by the competent authorities. 2. It is the case of the petitioners that the loan insofar as the 1st petitioner is concerned has been sought to be foreclosed as is evidenced from the request letter at Annexure-G. However, it is their request that while foreclosing such loan as regards petitioner no. 1, the collateral offered which is also a collateral offered with respect to the loan of the 2nd petitioner may be released from any liability and as regards to the loan of the 2nd petitioner. It is the further case of the petitioners that - 3 - HC-KAR NC: 2025:KHC:20528 WP No. 8639 of 2025 their representation for foreclosure of loan had been made on 10.10.2024 and any delayed response would result in petitioners paying interest. It is further submitted that petitioners have negotiated with another bank to take over the liability of the 1st petitioner's loan. It is the case of the petitioners that the primary security offered as regards the 2nd loan as is evidenced from the details of the property bearing Katha No. 4894 situated at Survey No. 143/2, Kammasandra, Anekal Taluk, Bangalore-560100, is valued at Rs.3668.38 lakhs, whereas the Additional Primary Security which is a property bearing Sy. No. 64/1 situated at Hebbagodi Village, Attibele Hobli, is valued at 30.48 crores to cover the liability of loan of the 2nd petitioner. The loan of the second petitioner is approximately about Rs.20 crores. It is submitted that there are certain exigencies which require releasing of the collateral and the request being rejected by the bank, the same is arbitrary and requires re-consideration. - 4 - HC-KAR NC: 2025:KHC:20528 WP No. 8639 of 2025 3. In light of the contentions raised, it would be appropriate for the respondent - Bank to reconsider the request of the petitioners dated 10.10.2024 not withstanding the earlier stand as prima facie there appears to be certain genuineness in the request made. Respondent - Bank is directed to reconsider the request appropriately taking note of the bonafides of the petitioners. Such a decision to be taken within a period of four weeks from today. 4. Accordingly, petition is disposed off. SD/- (S SUNIL DUTT YADAV) JUDGE VP