- 1 - HC-KAR NC: 2025:KHC-D:18343 WP No. 108422 of 2025 IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 16TH DAY OF DECEMBER 2025 BEFORE THE HON'BLE MR. JUSTICE ANANT RAMANATH HEDGE WRIT PETITION NO.108422 OF 2025 (GM-CPC) BETWEEN: SRI. NEELAPPA S/O. KRABASAPPA BEESAGAL, AGED ABOUT 47 YEARS, OCC: BUSINESS, R/O. BEESAGAL ONI, GAMANAGATTI, TQ. HUBBALLI-580025. …PETITIONER (BY SRI. NAVEEN CHATRAD, ADVOCATE) AND: 1. ANANTH KRISHNA S/O. M. LAXMINARAYA UPADHYA, AGED ABOUT 73 YEARS, OCC. RETIRED, R/O. MIG-II, SHRI GANESH, MAIN ROAD, NAVANAGAR, HUBBALLI-580025, TQ. AND DIST. DHARWAD. 2. MAHADEV S/O. HONNAPPA INGALAGI, AGED ABOUT 55 YEARS, OCC. BUSINESS, R/O. S.B. DODDAMANI, H.NO.318, BASAVASHRI, PANCHAKSHARI NAGAR, NAVANAGAR, HUBBALLI-580025, TQ. AND DIST. DHARWAD. …RESPONDENTS (BY SRI. ROSHAN SAHIB CHABBI, ADVOCATE FOR R1) Digitally signed by CHANDRASHEKAR LAXMAN KATTIMANI Location: HIGH COURT OF KARNATAKA DHARWAD BENCH - 2 - HC-KAR NC: 2025:KHC-D:18343 WP No. 108422 of 2025 THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO ISSUE A WRIT OR ORDER OR DIRECTION IN THE NATURE OF CERTIORARI QUASH THE ORDER DATED 03.09.2025 PASSED BY THE COURT OF II ADDITIONAL SENIOR CIVIL JUDGE AND J.M.F.C. HUBBALLI IN EXECUTION PETITION NO.190/2023 ON I.A. NO.V AND VI VIDE “ANNEXURE-A” AND CONSEQUENTLY ALLOW THE I.A. NO.V AND VI AND ETC. THIS PETITION COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: ORAL ORDER (PER: THE HON'BLE MR JUSTICE ANANT RAMANATH HEGDE) 1. This petition is filed assailing the orders dated 03.09.2025 passed on I.A.Nos.V and VI in E.P.No.190/2023 by learned II Additional Senior Civil Judge, Hubballi marked at Annexure-A, rejecting the petitioner's application to come on record in an execution proceeding and also to recall the auction sale in respect of property bearing Block No.351B, Plot No.164 measuring 1-Gunta 3-Annas in Gamanagatti village, Taluk Hubballi. 2. The petitioner claims that on 24.02.2018, the aforementioned property was mortgaged in favour - 3 - HC-KAR NC: 2025:KHC-D:18343 WP No. 108422 of 2025 of Aadhar Housing Finance. It appears that the property was put for auction under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, and property was auctioned on 20.01.2024. The petitioner claims to be the successful bidder and claims to have purchased the property and sale deed is executed on 31.01.2024. 3. In the meantime, respondent No.1 had obtained a decree for recovery of money and in terms of the judgment dated 01.08.2023 in O.S.No.381/2022, charge was created over the said property. To recover the dues, respondent No.1 herein has filed Execution Petition in Ex.P.No.190/2023 against respondent No.2 herein-the Judgment Debtor. 4. In the said proceeding, the petitioner intended to come on record contending that he has got a prior claim in view of the auction. The Trial Court has - 4 - HC-KAR NC: 2025:KHC-D:18343 WP No. 108422 of 2025 rejected the applications on the premise that the petitioner has to agitate his grievance against the Bank, which has auctioned the property. 5. Learned counsel for the respondent submits that the mortgage in favour of the financial institution is discharged before the decree passed attaching the property in favour of the plaintiff/respondent and the financial institution had executed reconveyance deed. 6. It is noticed that the said reconveyance deed is not brought to the notice of the Executing Court. 7. It is also required to be noticed that the petitioner is now disputing the alleged reconveyance deed. 8. The Court is of the view that the petitioner's claim over the property has to be adjudicated after permitting the petitioner to come on record in Execution Proceeding. The contention of the decree - 5 - HC-KAR NC: 2025:KHC-D:18343 WP No. 108422 of 2025 holder based on alleged reconveyance deed cancelling mortgage has to be considered after affording the opportunity to both parties. 9. Hence, the following: ORDER i. Writ petition is allowed in part. ii. The impugned orders dated 03.09.2025 passed on I.A.Nos.V and VI in Execution Petition No.190/2023 by the learned II Additional Senior Civil Judge, Hubballi, are set-aside. iii. The petitioner/applicant is permitted to come on record and permitted to file such application as permissible by the third party claimant as provided under order XXI of the Code of Civil Procedure, 1908. - 6 - HC-KAR NC: 2025:KHC-D:18343 WP No. 108422 of 2025 iv. If such claim is filed, the same shall be adjudicated in the manner known to law. Till then, the auction sale shall be deferred. v. The observations made in this order are only tentative. The Court has not expressed anything on the validity of the auction sale or the alleged re-conveyance deed. vi. All contentions of the parties are kept open to be decided in accordance with law. Sd/- (ANANT RAMANATH HEGDE) JUDGE AM/- CT-MCK LIST NO.: 1 SL NO.: 14