- 1 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 31ST DAY OF JULY, 2025 PRESENT THE HON'BLE MRS. JUSTICE ANU SIVARAMAN AND THE HON'BLE MR. JUSTICE RAJESH RAI K MISCELLANEOUS FIRST APPEAL NO. 3134 OF 2024 (KPIDFA) C/W MISCELLANEOUS FIRST APPEAL NO. 2482 OF 2024 WRIT PETITION NO. 28406 OF 2023 (GM-RES) IN MFA No. 3134/2024 BETWEEN: THE COMPETENT AUTHORITY, FOR SRI GURUSARVABHAUMA SOUHARDA CREDIT CO-OPERATIVE LIMITED, BENGALURU AND ADDITIONAL REGIONAL COMMISSIONER, OFFICE OF THE REGIONAL COMMISSIONER, BENGALURU DIVISION, BMTC BUILDING, 2ND FLOOR, K H ROAD, SHANTHINAGAR, BENGALURU 560027 …APPELLANT (BY SRI. VEERESH R BUDIHAL, ADVOCATE) AND: 1. SRI. GURUSARVABHAUMA SOUHARDA CREDIT CO- OPERATIVE LIMITED REPRESENTED BY ITS ADMINISTRATOR, SRI SHYAM PRASAD, Digitally signed by PANKAJA S Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 SHANKARPURAM NO 28 SHANKAR MUTTA ROAD BANGALORE 560004 2. SRI G KRISHNAN S/O P B GOPAL RAO AGED ABOUT 58 YEARS, RESIDING AT NO 5/31A, KORKALA STREET, SALEM, TAMILNADU 636004 …RESPONDENTS (BY SRI. S.P. SHANKAR, SR, COUNSEL FOR SRI. PHANIRAJ KASHYAP, ADVOCATE FOR THE PROPOSED LRS OF R2) THIS MFA IS FILED U/S.16 OF THE KARNATAKA PROTECTION OF INTEREST OF DEPOSITORS IN FINANCIAL ESTABLISHMENTS ACT, AGAINST THE ORDER DT.13.03.2024 PASSED IN MISC.NO.1298/2023 ON THE FILE OF THE XCI ADDITIONAL CITY CIVIL AND SESSIONS JUDGE, AND SPECIAL JUDGE FOR KPIDFE CASES, BENGALURU, (CCH-92), DISMISSING THE PETITIONS FILED U/S.5(2) OF THE KPIDFE ACT,2004. IN MFA NO. 2482/2024 BETWEEN: SRI. GURU SARVABHAUMA SOUHARDA CREDIT CO OPERATIVE LTD SHANKARAPURAM NO.28, SHANKAR MUTTA ROAD, BANGALORE 56004, REPRESENTED BY ITS ADMINISTRATOR SHRI SHYAM PRASAD ...APPELLANT (BY SRI. MANJUNATH NAYAK AND SRI. VEERESH R BUDIHAL, ADVOCATES) - 3 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 AND: 1. COMPETENT AUTHORITY FOR SRI GURUSARVABHAUMA SOUHARDA CREDIT CO-OPERATIVE LIMITED, BANGALORE AND ADDITIONAL REGIONAL COMMISSIONER OFFICE OF REGIONAL COMMISSIONER, BANGALORE DIV ,BMTC BUILDING, 2ND FLOOR, K.H ROAD, SHANTHINAGAR, BENGALURU-560 027 2. G KRISHNAN S/O P B GOPAL RAO AGED ABOUT 58 YEARS, R/O NO.5/31A, KORKALA STREET, SALEM-363 004, TAMIL NADU 2(a) HEMAMALINI.V W/O LATE KRISHNAN.G, AGED ABOUT 58 YEARS 2(b) AASHIK ANIRUDH K S/O LATE KRISHANA G AGED ABOUT 24 YEARS ALL ARE RESIDENTS OF 5/278 KARKANA STREE JUNCTION, MAIN ROAD, SALEM-636 004. ...RESPONDENTS (BY SRI. S.P. SHANKAR, SENIOR COUNSEL FOR SRI. PHANIRAJ KASHYAP, ADVOCATE FOR THE PROPOSED LRS OF R2, SRI. VEERESH R BUDIHAL, ADVOCATE FOR R1) THIS MFA IS FILED U/S.16 OF THE KARNATAKA PROTECTION OF INTEREST OF DEPOSITORS IN FINANCIAL ESTABLISHMENTS ACT, AGAINST THE ORDER - 4 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 DT.13.03.2024 PASSED IN MISC.NO.1298/2023 ON THE FILE OF THE XCI ADDITIONAL CITY CIVIL AND SESSIONS JUDGE, AND SPECIAL JUDGE FOR KPIDFE CASES, BENGALURU, (CCH-92), DISMISSING THE PETITIONS FILED U/S.5(2) OF THE KPIDFE ACT,2004. IN WP NO. 28406/2023 BETWEEN: SRI. KRISHNAN G AGED ABOUT 62 YEARS, S/O P.V GOPAL RAO, R/AT NO 5/310 A, KARKANASTREET, SALEM-636 004, TAMILNADU, ALSO RESIDING AT #35, 3RD CROSS, 1ST MAIN, ITTAMADU, BSK III STAGE, BANGALORE-560 085 ...PETITIONER (BY SRI. S.P. SHANKAR, SENIOR COUNSEL FOR SRI. PHANIRAJ KASHYAP, ADVOCATE) AND: 1. THE COMPETENT AUTHORITY SRI GURU SARVABHAUMA SOUHARDA, CREDIT CO-OPERATIVE LTD, REG/U KAR. CO-OPERATIVE SOCIETY ACT, 1959 REP. BY ADDITIONAL REGIONAL COMMISSIONER ADMIN AND DEVELOPMENT REGIONAL COMMISSIONER OFFICE BANGALORE DIVISION BANGALORE, 2ND FLOOR, BMTC BUILDING, K.H ROAD, SHANTHINAGARA, BANGALORE-560 027 1(a) HEMAMALINI.V W/O LATE KRISHNAN.G AGED ABOUT 58 YEARS - 5 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 1(b) AASHIK ANIRUDH K S/O LATE KRISHNAN G AGED ABOUT 24 YEARS ALL ARE RESIDENTS OF 5/278 KARKANA STREET JUNCTION MAIN ROAD SALEM-636 004. 2. SRI GURUSARVABHAUMA SOUHARDA CREDIT CO-OPERATIVE LIMITED REG/U KAR. CO-OPERATIVE SOCIETIES ACT, 1959 REP. BY ITS ADMINISTRATOR, SRI. SHYAM PRASAD, SHANKARPURAM, NO.28, SHANKAR MUTTA ROAD, BANGALORE-560 004 ...RESPONDENTS (BY SRI. VEERESH R BUDIHAL, ADVOCATE FOR R1, R2-SERVED UNREPRESENTED) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT THE RESPONDENT TO RETURN THE PROPERTY ACQUIRED BY THE SECOND RESPONDENT VIDE SALE DEED DATED 30/12/2016. THESE APPEALS AND PETITION, COMING ON FOR REPORTING SETTLEMENT, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MRS. JUSTICE ANU SIVARAMAN and HON'BLE MR. JUSTICE RAJESH RAI K - 6 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 ORAL JUDGMENT (PER: HON'BLE MRS. JUSTICE ANU SIVARAMAN) It is submitted by the learned counsel on either side that the two miscellaneous first appeals and the writ petition have been settled between the parties. A joint memo of settlement dated 31.07.2025 is filed by them to the said effect. 2. Since the parties differ in their ranks in all these cases, for the sake of convenience, they are referred to by their names. 3. It is submitted that G.Krishnan had paid the total sum of Rs.16,92,37,500/- to the Competent Authority as the value of the properties in question and that the said amount is in the custody of the Competent Authority. 4. It is submitted that on account of joint request made by Gurusarvabhauma Souharda Credit Co-operative Limited and the legal representatives of G.Krishnan, the Competent Authority has agreed to retain the sum of Rs.16,92,37,500/- and release the properties i.e., the land bearing Sy.Nos.147/7, 147/4, 108, 115/1, 124/1, 113/1, 114/2, 124/1, 96/1, 114/1, - 7 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 107, 108/1 and 106/4 to an extent of 22.21 acres situated at Sigralahalli, Pennagram Taluk, Dharmapuri District, Tamil Nadu, from attachment and to do the acts required to handover the freehold rights of the said properties to the legal representatives of G.Krishnan, who stand impleaded by the orders of this Court. 5. Learned counsel for Gurusarvabhauma Souharda Credit Co-operative Limited in MFA.No.2482/2024, however, submits that the Sale Deeds entered into between Gurusarvabhauma Souharda Credit Co-operative Limited and G.Krishnan should stand cancelled and that all attachments over the properties should stand lifted by an order on account of settlement. 6. In the above view of the matter, the joint memo filed on 31.07.2025 is taken on record. It is recorded that the amount of Rs.16,92,37,500/- paid by G.Krishnan shall be appropriated by the Competent authority for payment to the depositors in accordance with law at the earliest. The Sale Deeds entered into between Gurusarvabhauma Souharda Credit Co-operative Limited and G.Krishnan in MFA.No.2482/2024 - 8 - HC-KAR NC: 2025:KHC:29738-DB MFA No. 3134 of 2024 C/W MFA No. 2482 of 2024 WP No. 28406 of 2023 shall be cancelled within a period of one month from the date of receipt of a copy of this judgment and all attachments over the properties in question shall stand lifted. 7. The appeals and the writ petition are accordingly disposed of in terms of the joint memo filed on 31.07.2025. SD/- (ANU SIVARAMAN) JUDGE SD/- (RAJESH RAI K) JUDGE PKS List No.: 1 Sl No.: 75