- 1 - HC-KAR NC: 2025:KHC:29424 WP No. 28886 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 30TH DAY OF JULY, 2025 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 28886 OF 2023 (GM-RES) BETWEEN: 1. M/S SRIVEN PROPERTIES A PARTNERSHIP FIRM REGISTERED UNDER SECTION 58 OF THE INDIA PARTNERSHIP ACT 1932, HAVING ITS OFFICE AT SRIVEN RAG LANDMARK, 5TH FLOOR, NO.2, WILSON GARDEN, HOSUR ROAD, BENGALURU 560027, REP HEREIN BY ITS PARTNERS, SRI T J RAGHAVENDRA MURTHY, S/O SRI THIMMAIAH, AGED ABOUT 51 YEARS, AND SMT C R MADHU, W/O SRI T J RAGHAVENDRA MURTHY, AGED ABOUT 43 YEARS, NO.1088, SRIVENI MANSION, NEAR MANIPAL HOSPITAL, BEML 5TH STAGE, RAJARAJESHWARINAGAR, BENGALURU 560098 2. SRI T J RAGHAVENDRA MURTHY S/O SRI THIMMAIAH, Digitally signed by VANAMALA N Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:29424 WP No. 28886 of 2023 AGED ABOUT 51 YEARS, PARTNERS, M/S SRIVEN PROPETIES, R/AT NO.1088, SRIVENI MANSION, NEAR MANIPAL HOSPITAL, BEML 5TH STAGE, RAJARAJESHWARINAGAR, BENGALURU 560098 3. SMT C R MADHU W/O SRI T J RAGHAVENDRA MURTHY, AGED ABOUT 43 YEARS, PARTNERS, M/S SRIVEN PROPETIES, R/AT NO.1088, SRIVENI MANSION, NEAR MANIPAL HOSPITAL, BEML 5TH STAGE, RAJARAJESHWARINAGAR, BENGALURU 560098 …PETITIONERS (BY SRI. ANANDARAMA K., ADVOCATE) AND: 1. STATE BANK OF INDIA STRESSED ASSETS RECOVERY BRANCH, HAVING ITS OFFICE AT NO.11/90, 3RD FLOOR, OPPOSITE TRUST WELL HOSPITAL, NEAR OLD SHIVAJI THEATER, J C ROAD, BENGALURU 560002, REP BY ITS AUTHORISED OFFICER, AND CHIEF MANAGER - 3 - HC-KAR NC: 2025:KHC:29424 WP No. 28886 of 2023 2. STATE BANK OF INDIA LOCAL HEAD OFFICE AT NO.65, 2ND FLOOR, ST MARKS ROAD, BANGALORE 560001, REP BY ITS CHIEF GENERAL MANAGER …RESPONDENTS (BY SRI. NANDISH PATIL., ADVOCATE) THIS WP IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE DEMAND NOTICE BEARING A/C NO. CC38487539025, GECL 39430366660 DATED 02.06.2023 (ANNEXURE-H) ISSUED BY THE RESPONDENT NO.1 HEREIN UNDER SECTION 13(2) OF THE SARFAESI ACT; QUASH THE POSSESSION NOTICE BEARING A/C NO. CC38487539025, GECL 39430366660 DATED 14.09.2023 (ANNEXURE-K) ISSUED BY RESPONDENT NO.1 HEREIN UNDER SECTION 13(4) OF THE SARFAESI ACT READ WITH RULE 8(1) OF THE SECURITY INTEREST ENFORCEMENT RULES, 2002; DIRECT THE RESPONDENTS TO CONSIDER THE REPRESENTATION DATED NIL (ANNEXURE-J) SUBMITTED BY THE PETITIONERS TO REGULARIZE THE LOAN ACCOUNTS IN ABL-CRE LOAN ACCOUNT BEARING A/C NO. 38487539025 AND GECL LOAN ACCOUNT BEARING A/C NO. 39430366660. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 4 - HC-KAR NC: 2025:KHC:29424 WP No. 28886 of 2023 CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD ORAL ORDER The petitioner, who has availed a business loan and is in default from the respondents, is aggrieved by the possession notice dated 14.09.2023 issued under Section 13(4) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 [for short, 'the SARFAESI Act'] read with Rule 8(1) of the Security Interest Enforcement Rules, 2002. This Court has granted interim order subject to the petitioners depositing 20% of the outstanding amount within a certain schedule observing that any failure would amount to vacating of the interim order. The petitioners have now filed an application for directions to the respondents to consider their representation, and this representation is to permit them to sell the secured assets. - 5 - HC-KAR NC: 2025:KHC:29424 WP No. 28886 of 2023 Mr. Anandarama K, the learned counsel for the petitioners, submits that the representation does not specifically refer to Section 13(13) of the SARFAESI Act, but it would be open to a borrower like the petitioners, who have received notice under Section 13(2) of the SARFAESI Act, to make an application with the respondents for permission to sell the secured assets so that the best price is realised for the benefit of securing repayment of the loan. The learned counsel submits that if the permission is granted by the respondents, the petitioners will ensure that the agreed price is transferred directly to the loan account. Mr. Nandish Patil, the learned counsel for the respondents, is heard in the light of this turn of events. The learned counsel is categorical that the representation given will be considered in accordance with law and expedited measures taken to ensure - 6 - HC-KAR NC: 2025:KHC:29424 WP No. 28886 of 2023 that the secured assets are liquidated to recover the loan. In the light of the afore, the petition stands disposed of calling upon the respondents to consider the petitioners' representation as contemplated under Section 13(13) of the SARFAESI Act, but observing that this direction shall not in any manner impede the respondents from acting in accordance with law. SD/- (B M SHYAM PRASAD) JUDGE RB