W.P. No.36325 of 2024 etc. IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 09.07.2025 CORAM : THE HON'BLE MR.K.R.SHRIRAM, CHIEF JUSTICE AND THE HON'BLE MR.JUSTICE SUNDER MOHAN WP Nos.36325, 36332 and 36338 of 2024 W.P.No.36325 of 2024: Asset Reconstruction Company (India) Ltd ARCIL Retail Loan Protfolio -045-B-Trust, Registered Office: The Ruby, 10th Floor, 29 Senapati Bapat Marg, Dadar(W), Mumbai - 400 028, Branch Office at: 1G, 1st Floor, Century Plaza, No.560-562, Anna Salai, Teynampet, Chennai - 600018, Rep. by its Authorised Officer, Vijayaraj.J Petitioner(s) Vs 1. Nirupa, W/o.Umesh, No.34/51D, Umasankar Nagar, Hosur - 635709. Also at UNR Bus Services, No.34/51d, Umasankar Nagar, Hosur - 635 709. __________ https://www.mhc.tn.gov.in/judis W.P. No.36325 of 2024 etc. 2. Yatishbabu.U, S/o.Umesh, No.34/51D, Umasankar Nagar, Hosur - 635 709, Also at My Builders and City Developers, No.14/7C, N.Balu Complex, Periyar Nagar, Railway Station, Ring Road, Hosur -635 107. Respondent(s) WP No. 36332 of 2024: Asset Reconstruction Company (India) Ltd ARCIL Retail Loan Protfolio -045-B-Trust, Registered Office: The Ruby, 10th Floor, 29 Senapati Bapat Marg, Dadar(W), Mumbai - 400 028, Branch Office at: 1G, 1st Floor, Century Plaza, No.560-562, Anna Salai, Teynampet, Chennai - 600018, Rep. by its Authorised Officer, Vijayaraj.J Petitioner(s) Vs 1. Gowesback.A, S/o. Aseenabi, No.16, Gokule Street, Denkanikottai, Krishnagiri - 636 107, Also at Mehaboob Engineering Works, No.16, Gokule Street, Denkanikottai, Krishnagiri - 636 107. __________ https://www.mhc.tn.gov.in/judis W.P. No.36325 of 2024 etc. 2. Shameem Taj, W/o.Gowesback, No.16, Gokule Street, Denkanikottai, Krishnagiri - 635107. Respondent(s) WP No.36338 of 2024 Edelweiss Asset Reconstruction Company Limited, Acting in its capacity as Trustee of EARC Trust SC 370, having its Registered Office at Edelweiss House, 1st Floor, Off CST Road, Kalina Mumbai Pincode – 400 098, through its Authorized Officer, S.Harish Kumar, having their Regd.Office at Edelweiss House, Off CST Road, Kalina, Mumbai - 400 098. Petitioner(s) Vs 1. C.Senthil Kumar, S/o.Chinnappa Chetty, 4/50, Madarahalli, Pochampalli-Taluk, Village Krishnagiri, Near Mariyamman Temple, Pincode - 632503. Also at S.No.338/1, Sub-Divison S.No 338/1A1, Nagampatty Village, Madarahalli Pochampalli Taluk, Krishnagiri District, Pincode - 632503. 2. Valarmathi, W/o.Senthilkumar, 4/50, Madarahalli, Pochampalli-Taluk, Village Krishnagiri, Near Mariyamman Temple, Pincode - 632503. Also at S.No.338/1, Sub-Divison S.No 338/1A1, __________ https://www.mhc.tn.gov.in/judis W.P. No.36325 of 2024 etc. Nagampatty Village, Madarahalli Pochampalli Taluk, Krishnagiri District, Pincode - 632503. Respondent(s) PRAYER in WP No. 36325 of 2024: Petition filed under Article 226 of the Constitution of India seeking issuance of a writ of certiorarified mandamus calling for the records relating to the impugned order dated 14.03.2024 in Section 14 Application filed before the Chief Judicial Magistrate Court, at Krishnagiri in CNR NO. TNKI020006512024 and in filing no. CRL.MP.SR.No.651 of 2024, quash the same and directing the Chief Judicial Magistrate Court, at Krishnagiri to number and dispose the Section 14 application field by the petitioner vide CNR No. TNKI020006512024 and Filing No.CRL.MP.SR.651.2024 dated 22.01.2024. PRAYER in WP No. 36332 of 2024: Petition filed under Article 226 of the Constitution of India seeking issuance of a writ of certiorarified mandamus calling for the records relating to the impugned order dated 14.03.2024 in Section 14 Application filed before the Chief Judicial Magistrate Court, at Krishnagiri in CNR No.TNKI020006532024 and in filing no. CRL.MP.SR.No.653 of 2024, quash the same and directing the Chief Judicial Magistrate court, at Krishnagiri to number and dispose the Section 14 application field by the Petitioner vide CNR No. TNKI020006532024 and filing No.CRL.MP.SR.653.2024 dated 22.01.2024. PRAYER in WP No. 36338 of 2024: Petition filed under Article 226 of the Constitution of India seeking issuance of a writ of certiorarified mandamus calling for the records relating to the impugned order dated 14.03.2024 in Section 14 Application filed before the Chief Judicial Magistrate Court, at Krishnagiri in CNR NO. TNKI020109442023 and in filing no. CRL.MP.SR.No.10917 of 2023, quash the same and directing the Chief Judicial Magistrate court, at Krishnagiri to number and dispose the Section 14 application field by the petitioner vide CNR No. TNKI020109442023 and filing No.CRL.MP.SR.10917.2023 dated 21.07.2023. __________ https://www.mhc.tn.gov.in/judis W.P. No.36325 of 2024 etc. For Petitioner(s): Ms.K.Indhumathi COMMON ORDER (Order of the Court was made by the Hon'ble Chief Justice) Petitioners are impugning orders dated 14.3.2024 passed by the Chief Judicial Magistrate, Krishnagiri, by which petitioners' petitions have been rejected while considering the issue of maintainability. The Chief Judicial Magistrate has held that petitioners are not entitled to invoke the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (“the SARFAESI Act”) against respondents therein. For passing the said order, the Chief Judicial Magistrate has relied upon a notification dated 24.2.2020 issued by the Ministry of Corporate Affairs. 2. The Chief Judicial Magistrate has, however, not explained as to how the said notification is applicable. The said notification applies only to non-banking financial companies as defined in Clause (f) of Section 45-I of the Reserve Bank of India Act, 1934. __________ https://www.mhc.tn.gov.in/judis W.P. No.36325 of 2024 etc. 3. It is petitioners' case that petitioners will be covered under a notification dated 18.12.2015 issued under sub-clause (iv) of clause (m) of sub-section (1) of Section 2 of the SARFAESI Act. Counsel states that Shriram Housing Finance Limited and Magma Housing Finance, which feature at S.Nos.32 and 16, respectively, of the said notification dated 18.12.2015 have assigned to petitioners the loans disbursed by them together with all its rights, title and interest in the financing documents and any underlying security interests, pledges and/or guarantees in respect of such loans. 4. What has been assigned is a financial asset as defined under the SARFAESI Act. None of these points have been considered by the Chief Judicial Magistrate. 5. We, therefore, quash and set aside the impugned orders dated 14.3.2024 and remand these matters to the Chief Judicial Magistrate for de novo consideration. Petitions are disposed of accordingly. There shall be no order as to __________ https://www.mhc.tn.gov.in/judis W.P. No.36325 of 2024 etc. costs. (K.R.SHRIRAM, CJ.) (SUNDER MOHAN, J.) 09.07.2025 Index : Yes/No Neutral Citation : Yes/No sasi To: The Chief Judicial Magistrate Krishnagiri. __________ https://www.mhc.tn.gov.in/judis W.P. No.36325 of 2024 etc. THE HON'BLE CHIEF JUSTICE AND SUNDER MOHAN,J. (sasi) WP Nos.36325, 36332 and 36338 of 2024 09.07.2025 __________ https://www.mhc.tn.gov.in/judis