- 1 - HC-KAR NC: 2025:KHC:30675 WP No. 20325 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 7TH DAY OF AUGUST, 2025 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 20325 OF 2025 (GM-RES) BETWEEN: SHREE KALIKAMBA SOUHARDA SAHAKARI SANGHA NIYAMITA NO. 48, 4TH CROSS, 1ST PHASE, 4TH STAGE, TRIVENI ROAD, YESHWANTHPUR, BENGALURU 22. REPRESENTED BY ITS CHIEF EXECUTIVE H.S. SADASHIVA, REGISTERED UNDER THE KARNATAKA SOUHARDA SHAKARI ACT, 1997. …PETITIONER (BY SRI. V. LAKSHMINARAYANA., SENIOR ADVOCATE FOR SRI VIKRAM BALAJI, ADVOCATE) AND: 1. COMPETENT AUTHORITY FOR M/S. ISHWARYA LAKSHMI CHITS PVT. LTD., BENGALURU, OFFICE OF REGIONAL COMMISSIONER, BENGALURU DIVISION, BMTC BUILDING, 2ND FLOOR, K.H. ROAD, SHANTHINAGAR, BENGALURU 560 027, Digitally signed by VANAMALA N Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:30675 WP No. 20325 of 2025 REPRESENTED BY ITS REGISTRAR, AUTHORITY GOVERNED BY THE CHIT FUNDS ACT, 1982. 2. M/S. AISHWARYA LASHMI CHITS PVT. LTD., REGISTERED UNDER THE CHIT FUNDS ACT, 1982 BENGALURU, REPRESENTED BY ITS DIRECTOR, SRI. PATEL ANAND NO. B4, ULLALU UPANAGARA, JNANABHARATHI, BANGALORE - 560 056. 3. SRI. PATEL ANAND, AGED ABOUT 47 YEARS, S/O SRI. NAGABHUSHANA, DIRECTOR OF M/S. ISHWARYA LAKSHMI CHITS PVT. LTD., BENGALURU, NO. 84, ULLALU UPANAGARA, JNANABHARATHI, YESHWANTHPUR HOBLI, BANGALORE NORTH, BANGALORE-560 056. 4. GANGAMBIKA W/O PATEL ANAND, AGED ABOUT 40 YEARS, NO. 84, ULLALU UPANAGARA, JNANABHARATHI, YESHWANTHPUR HOBLI, BANGALORE NORTH, BANGALORE-560 056. …RESPONDENTS (BY SRI.VEERESH BUDIHAL., ADVOCATE FOR R1 AND R2) - 3 - HC-KAR NC: 2025:KHC:30675 WP No. 20325 of 2025 THIS WP IS FILED UNDER ARTICLE 226 AND 227 OF CONSTITUTION OF INDIA PRAYING TO A. QUASH THE PROCEEDINGS INITIATED BY THE COMPETENT AUTHORITY BY INVOKING SECTION 5 (2) OF KPIDFE ACT OF 2004 (ACT 30 OF 2005) AS PER ANNEXURE-K AND THE ORDER DATED 01.04.2024 IN MISC NO. 91/2024 PASSED BY XCI ADDL. CITY CIVIL AND SESSIONS JUDGE (CCH-92) AT ANNEXURE-P AS THE SAME IS NOT APPLICABLE TO THE CHIT TRANSACTIONS OR A COMPANY INCORPORATED UNDER THE COMPANIES ACT TO CARRY OUT THE CHIT TRANSACTIONS COVERED UNDER CHIT FUNDS ACT OF 1982 AS AMENDED. B. DECLARE THE COMPETENT AUTHORITY I.E. THE RESPONDENT NO. 1 HAS NO JURISDICTION TO OBSTRUCT THE IMPLEMENTATION AND TO EXECUTE THE AWARD DATED 30.08.2021 (ANNEXURE-H) PASSED IN DISPUTE NO. DRD/KA. RAA. SAU. SAM. SA. 736/2020-21. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 4 - HC-KAR NC: 2025:KHC:30675 WP No. 20325 of 2025 CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD ORAL ORDER The petitioner is aggrieved by the Order dated 01.04.2024 in Miscellaneous No.91/2024 on the file of the XCI Additional City Civil and Sessions Judge, Bengaluru. The impugned order is under Section 5[2] of the Karnataka Protection of Interest of Depositors in Financial Establishments Act, 2004 [for short, 'the Act']. Sri V Lakshminarayana, the learned Senior Counsel for the petitioner, submits that the petitioner has invoked this Court's jurisdiction under Article 226 of the Constitution of India because the attachment of the petitioner's property is without jurisdiction. Sri V Lakshminarayana seeks to elaborate by relying upon Section 5 of the Act. However, Sri Veeresh Budihal, a learned standing counsel for the first respondent, points out that this order would be subject to appeal under Section 16 of the Act. - 5 - HC-KAR NC: 2025:KHC:30675 WP No. 20325 of 2025 This Court opines that if the petitioner has an appellate remedy, the question of jurisdiction as canvassed could also be considered in exercise of such jurisdiction. Hence, the petitioner is permitted to convert this petition into an appeal calling upon the petitioner to comply with the office objections if such appeal is to be listed before a division Bench. For statistical purposes, the petition stands disposed of. Sd/- (B M SHYAM PRASAD) JUDGE AN/-