- 1 - HC-KAR NC: 2025:KHC:29970 WP No. 23220 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 4TH DAY OF AUGUST, 2025 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 23220 OF 2025 (GM-RES) BETWEEN: M/S IINSPIRA B M CONSTRUCTIONS LLP A PARTNERSHIP FIRM, HAVING ITS OFFICE AT NO.35, RAJA SABHA BUILDING, GROUND FLOOR, KASTURBA CROSS ROAD, OFF LAVELLE ROAD, BENGALURU 560 001 REP BY ITS DESIGNATED PARTNER MR. ARAVINDA MS. …PETITIONER (BY SRI. G. KRISHNA MURTHY, SENIOR ADVOCATE FOR SRI. DEEPAK BASAVARAJ.,ADVOCATE) AND: 1. CANARA BANK HAVING IT OFFICE AT ARM-1 BRANCH, 2ND FLOOR, NO.56, SPENCER TOWER, MG ROAD, BENGALURU 560 001 REPRESENTED BY ITS MANAGER. 2. CHIKKANARAYANA REDDY S/O LATE NANJUNDA REDDY, Digitally signed by VANAMALA N Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:29970 WP No. 23220 of 2025 AGED ABOUT 91 YEARS, 3. MRS. SHOBHA D/O SRI CHIKKANARAYANA REDDY, AGED ABOUT 58 YEARS, 4. MRS NEELAMMA D/O SRI CHIKKANARAYANA REDDY, W/O LATE MURALI, AGED ABOUT 44 YEARS, 5. MASTER BHARATH, S/O LATE MURALI, AGED ABOUT 17 YEARS, 6. MASTER DEEKSHITH S M, S/O LATE MURALI, AGED ABOUT 15 YEARS, RESPONDENT NOS. 5 AND 6 ARE MINORS ARE REPRESENTED BY THEIR NATURAL GUARDIAN I.E. THEIR MOTHER NEELAMMA (RESPONDENT NO.4) 7. MR RAVI N, S/O SRI CHIKKANARAYANA REDDY, AGED ABOUT 46 YEARS, 8. MR PRAVEEN KUMAR S/O LATE RATHNAMMA, AGED ABOUT 42 YEARS, BENGALURU -562 125. 9. MRS YASHODHAMA, D/O LATE NANJUNDA REDDY, AGED ABOUT 67 YEARS, - 3 - HC-KAR NC: 2025:KHC:29970 WP No. 23220 of 2025 RESPONDENT NOS. 2 TO 9 ALL ARE RESIDING AT SARJAPURA VILLAGE, SARJAPURA HOBLI, ANEKAL TALUK, BENGALURU URBAN DISTRICT, BENGALURU - 562 125. 10. M/S MANAR DEVELOPERS PRIVATE LIMITED, HAVING ITS OFFICE AT NO.1090/1, 2ND FLOOR, 18TH CROSS, SECTOR III, H.S.R. LAYOUT, BENGALURU 560 102 REPRESENTED BY ITS MANAGING DIRECTOR, MMK DURRANI. 11. MR INDU SHEKAR RAJU DIGALA S/O NOT KNOWN, AGED ABOUT MAJOR,10 R/A NO.9/1, LINGESHWARANAGAR, AVILALA THIRUPATI, ANDHRA PRADESH 517 501. 12. MANU SMRITHI RAO, W/O INDU SHEKAR RAJU DIGALA, AGED ABOUT MAJOR, R/A NO.9/1, LINGESHWARANAGAR, AVILALA THIRUPATI, ANDHRA PRADESH - 517 501. 13. D DHANJAYA RAJU, S/O NOT KNOWN, AGED ABOUT MAJOR, R/A NO. T 9-1, LINGESHWARANAGAR, SAI NAGAR, THIRUPATI RURAL, CHITHOOR DISTRICT, ANDHRA PRADESH - 517 501. - 4 - HC-KAR NC: 2025:KHC:29970 WP No. 23220 of 2025 14. SRI RAJA PAMIDIMUKKALA, S/O HANUMANTHA RAO P, AGED ABOUT MAJOR, R/A NO.1-55, AGRARAHAM ROAD, BRAHMESHWARAM, DUTTALUR, MADHU GARDENS, ANDHRA PRADESH - 524 228 ERUKOOLU, NELLORE DISTRICT. 15. PARUCHURI SIVANAGESWARA RAO, S/O P SHESHA RAO, AGED ABOUT MAJOR, R/A NO.1-55, AGRARAHAM ROAD, MADHU GARDENS, BRAHMESHWARAM, DUTTALUR, ERUKOOLU, NELLORE DISTRICT, ANDHRA PRADESH - 524 228. 16. M/S AADWAY CONSTRUCTIONS HAVING ITS OFFICE AT NO.101, NEXT TO BIRYANI ZONE, 124/3, DODDAKANENAHALLI JN, SARJAPURA MAIN ROAD, BENGALURU 560 035 REPRESENTED BY ITS MANAGING PARTNER, MR. JAI PRAKASH P. …RESPONDENTS (BY SRI.VIGNESH SHETTY., ADVOCATE FOR R1) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO-QUASH THE E-AUCTION SALE NOTICE DATED 14.07.2025 ISSUED BY THE R1 BY WAY OF PAPER PUBLICATION IN THE BENGLAURU EDITION OF THE HINDU NEWSPAPER - 5 - HC-KAR NC: 2025:KHC:29970 WP No. 23220 of 2025 DATED 14.07.2025 AS PER ANNEXURE -A; DIRECTING THE R1 TO CONSIDER THE REPRESENTATION DATED 26.07.2025 GIVEN BY THE PETITION AS PER ANNEXURE -R. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD ORAL ORDER The petitioner, a limited liability partnership firm, is aggrieved by the first respondent's action under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 [for short, 'the SARFAESI Act']. The first respondent has caused e-auction sale notice on 14.07.2025 under Section 13 of the SARFAESI Act stipulating that certain properties owned by the private respondents are mortgaged and it will be brought to sale on 31.07.2025. - 6 - HC-KAR NC: 2025:KHC:29970 WP No. 23220 of 2025 Sri G. Krishna Murthy, the learned Senior Counsel for the petitioner, submits that the petitioner is a bonafide purchaser of the property and if bonafides can be established, the first respondent cannot be permitted to continue with the proceedings under the SARFAESI Act including the notified auction sale under such an agreement. When queried on why this Court must not relegate the petitioner to avail alternative remedy under Section 17 of the SARFAESI Act, the learned Senior Counsel submits that this Court could but ensuring that there is no precipitation for a limited period of time so that the petitioner’s remedy is not brought into jeopardy. These submissions are considered, and this Court must observe that if sale is completed in terms of the impugned sale notice and the purchaser has tendered the amount, the sale could be confirmed with issuance of sale certificate as well. Without information in this regard, this Court cannot interfere - 7 - HC-KAR NC: 2025:KHC:29970 WP No. 23220 of 2025 with the proceedings. Therefore, the petition is disposed of reserving liberty to the petitioner, subject to all just exceptions in law, to avail alternative remedy under the SARFAESI Act. SD/- (B M SHYAM PRASAD) JUDGE SA ct:sr