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2025 DAILYLAW 30395 (AP)

.Mr. Akula Sreenath, v. The Authorised Officer,

WP/22343/2024 · 2025-02-24

Dhiraj Singh Thakur, Ravi Cheemalapati

body2025

Judgment text

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IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI :C (Special Original Jurisdiction) MONDAY, THE TWENTY FOURTH DAY OF FEBRUARY |o TWO THOUSAND AND TWENTY FIVE PRESENT HONOURABLE THE CHIEF JUSTICE SRI DHIRAJ SINGH THAKUR ★ AND HONOURABLE SRI JUSTICE RAVI CHEEMALAPATI WRIT PETITION NO: 22343 OF 2024 Between: 1. Mr. Akula Sreenath, S/o Akula Rangaiah, Aged 48 years, Hindu R/o Ayyappa Towers,. Flat No. 7, Floor, Near Masjid, 2nd Street, Takkemitta, Nellore 524 003, SPSR Nellore District 2. Mrs. Akula Sunetha, W/o Akula Sreenath, Aged 40 years, Hindu R/o Ayyappa Towers, Flat No. 7, 1st Floor, Near Masjid, 2nd Street, Takkemitta, Nellore 524 003, SPSR Nellore District ...PETITIONERS AND 1. The Authorised Officer, Canara Bank, Regional Office, Ritwik Enclave, AK Nagar, SPSR Nellore 524 004 2. The Branch Manager, Canara Bank, Magunta Layout Branch, Plot No. 468/B, Kings Court Avenue, Magunta Layout, Nellore SPSR Nellore District ...RESPONDENTS Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate writ order or direction more particularly one in the nature of a writ of Mandamus declaring the action of the respondents in classifying the petitioners loan account as Non - Performing Asset (NPA) on 10.04.2023 through demand notice dated 15.04.2023 without there being any default and conducting E-Auction dated 28.08.2024, V by confirming sale in pursuance of E Auction sale Notice 16.07.2024 without jurisdiction under Sec 13 (2) of the SARFAESI Act,2002, arbitrary, illegal contrary to the ambit, scope of the SARFAESI ACT,2002 and contrary to the provisions of Article 21 and 300-A of the constitution of India, consequently quash all the proceedings initiated by the respondents without jurisdiction under the SARFAESI ACT, 2002 against the loan account of the petitioner, in the interest of justice. are and lA NO: 1 OF 2024 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to stay all further proceedings in pursuance to the E-Auction dated 28.08.2024 and refrain the respondents from taking physical possession to an extent of 16-1/2 Ankanamsor 132 Sq. Yards and together D.No.25-3- 1163 of RCC Building situated in Nellore Bit- 1 Area, S.No. 2007, C-Block, Pragathi Nagar, No. 77-A, and accept the EMI towards the loan account of the petitioner, in the interest of justice. Counsel for the Petitioners: M/s. Y. L. SIVA KALPANA REDDY Counsel for the Respondent Nos.1 & 2: T B L MURTHY The Court made the following: ORDER APHC010439052024 IN THE HIGH COURT OF ANDHRA PRADESH Sr.No:-35 AT AMARAVATI [3483] SMS WRIT PETITION NO: 22343 of 2024 Mr. Akula Sreenath, and Others ...Petitioner(s) Vs. The Authorised Officer and Others ...Respondent(s) ********** Advocate for Petitioner: Y L Siva Kalpana Reddy T B L Murthy Advocate for Respondent: CORAM :THE CHIEF JUSTICE DHIRAJ SINGH THAKUR SRI JUSTICE RAVI CHEEMALAPATI DATE : 24th February 2025 PC: The present writ petition has been filed against the action taken by the respondent Canara Bank under the provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (hereinafter, referred to as “the Act”) primarily on the ground that the Bank had failed to discharge its statutory obligation of considering the objections filed to the notice under Section 13(2) of the Act. 2 i HCJ a RC, J W.P. No: 22343 of 2024 2. The petitioners’ case is that objections to the notice, dated 15.04.2023 were sent to the respondent Bank on 26.05.2023 on which no decision was taken at all. 3. The stand of the Bank is that no objections were received by the Bank as alleged by the petitioners. However, it is stated that a communication dated 03.02.2024, was received by the respondent Bank along with the copy of the objections, dated 26.05.2023, which was much beyond the period of sixty days, which was prescribed under Section 13(2) of the Act and hence, it is stated that by that time, the Bank had already proceeded to take action under the provisions of the Act and that there was no occasion for the Bank to consider the objections alleged to have been filed to the notice under Section 13(2) of the Act. 4. Learned counsel for the petitioners has not placed on record any verifiable material to suggest that in fact, the petitioners had submitted their objections within the time prescribed to the notice under Section 13(2) of the Act with a view to support and buttress their claim that despite the objections were filed, the same had not been considered by the Bank. On the other hand, the petitioners have only placed on record the subsequent communication, dated 03.02.2024, which receipt thereof is not denied by the Bank. I* i:.#" 3 R / HCJ a RC, J W.P. No: 22343 of 2024 A perusal of the postal receipt annexed with the petition also reflects the same to contain the date as 03.02.2024. Had the petitioners in fact filed the objections to the notice under Section 13(2) of the Act, they ought to have placed a similar postal receipt to support the factum of having actually filed the objections. In the absence of any verifiable material, it is difficult to believe that the petitioners had indeed responded to the notice under Section 13(2) of the Act and therefore, the argument that the objections were never considered 5. cannot be accepted on its face value. We are told that the petitioners had already approached the Debts Recovery Tribunal by way of S.A. No.414 of 2024 in which the relief as prayed for by the petitioners in I.A. No.2404 of 2024 after consideration, has been refused and the application is dismissed. » 6. Be that as it may, we do not find any merit in the present petition, which is, accordingly, dismissed. No costs. Pending miscellaneous applications, if any, shall stand closed. SdZ-B.PRASADA RAO ASSISTANT REGISTRAR //TRUE COPY// SECTION OFFICER To, 1. One CC to M/s.Y. L. Siva Kalpana Reddy, Advocate [OPUC] 2. One CC to Sri T. B. L. Murthy, Advocate [OPUC] 3. Three CD Copies. ssb HIGH COURT DATED:24/02/2025 ORDER ^ofanoT?:^ WP.No.22343 of 2024 I S MAR 2025 e>\ Sy Current Section . DISMISSING THE W.P. WITHOUT COSTS