- 1 - HC-KAR NC: 2025:KHC-D:17209 WP No. 107753 of 2025 IN THE HIGH COURT OF KARNATAKA,AT DHARWAD DATED THIS THE 3RD DAY OF DECEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE M.NAGAPRASANNA WRIT PETITION NO. 107753 OF 2025 (GM-DRT) BETWEEN: 1. IMRAN B. BAGWAN (CO-APPLICANT), S/O. LATE BASIRAHAMAD M BAGAWAN (APPLICANT), AGED ABOUT 40 YEARS, OCC. BUSINESS. 2. JAVEED BASHIRSAB BAGWAN (CO-APPLICANT), S/O LATE BASIRAHAMAD M. BAGAWAN (APPLICANT), AGED ABOUT 38 YEARS, OCC. BUSINESS. 3. IRFAN B. BAGWAN (CO-APPLIANT), S/O LATE BASIRAHAMAD M BAGAWAN (APPLICANT), AGED ABOUT 42 YEARS, OCC. BUSINESS. ALL ARE RESIDING AT PLOT NO.205 AND 206, SHIVAJI NAGAR, ASAD KHAN SOCIETY, BELAGAVI – 590 001. …PETITIONERS (BY SRI. K. H. BAGI, ADVOCATE) AND: 1. THE AUTHORISED OFFICER, SMFG INDIA HOME FINANCE CO. LTD., (FORMERLY FULLERTON INDIA HOME FINANCE CO. LTD.) REGISTER OFFICE AT COMMERZONE IT PARK, TOWER B, 1ST FLOOR, NO.111, MOUNT POONAMALLEE ROAD, PORUR CHENNAI – 600 116, T.N. STATE. 2. SMFG INDIA HOME FINANCE CO. LTD., (FORMERLY FULLERTON INDIA HOME FINANCE CO. LTD.), CIRCLE OFFICE AT N M COMPLEX, NO.6, 1ST FLOOR, Digitally signed by VISHAL NINGAPPA PATTIHAL Location: High Court of Karnataka, Dharwad Bench, Dharwad - 2 - HC-KAR NC: 2025:KHC-D:17209 WP No. 107753 of 2025 SERVICE-ROAD REMEO LAYOUT, HAMPI NAGAR, ADJ TO ATTIGUPPE METRO STATION, VIJAY NAGAR, BANGALORE 560 040, REP. BY AUTHORIZED OFFICER. 3. THE AUTHORISED OFFICER, SMFG INDIA HOME FINANCE CO. LTD., (FORMERLY FULLERTON INDIA HOME FINANCE C. LTD.) OFFICE AT FIRST FLOOR, CTS NO. 1373, RAJAMANI COMPLEX, OPP CITY ARCADE, MUTHOOT FINANCE RAMLINGKHIND GALLI, BELAGAVI 590 002. …RESPONDENTS (BY SRI. SACHIN C. ANGADI, ADVOCATE FOR R1 TO R3) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF CERTIORARI TO QUASH THE PUBLIC AUCTION SALE OF NOTICE DATED 27.09.2025 VIDE ANNEXURE-F ISSUED BY RESPONDENT NO. 2 AND 3 BY ALLOWING THIS WRIT PETITION IN THE INTEREST OF JUSTICE AND EQUITY. ISSUE A WRIT OF MANDAMUS OR DIRECTION TO THE BANK NOT TO TAKE COERCIVE STEPS AGAINST THE PETITIONERS FOR RECOVERY OF LOAN AMOUNT AND GRANT SOME MORE INSTALLMENTS FOR REPAYMENT OF THE LOAN AMOUNT AND ETC., THIS WRIT PETITION, COMING ON FOR PRELIMINARY HEARING THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR NC: 2025:KHC-D:17209 WP No. 107753 of 2025 ORAL ORDER (PER: THE HON'BLE MR. JUSTICE M.NAGAPRASANNA) 1. The petitioners are before this Court seeking the following prayer: “A. Issue a writ of certiorari to quash the public auction sale of notice dated 27.09.2025 vide Annexure-F issued by respondent no. 2 and 3 by allowing this writ petition in the interest of justice and equity. B. Issue a writ of mandamus or direction to the Bank not to take coercive steps against the petitioners for recovery of loan amount and grant some more installments for repayment of the loan amount. C. Pass any other orders deem fit under the circumstances of the case in the interest of justice and equity.” 2. The learned counsel Sri. Sachin C. Angadi, appearing for the respondent Nos.1 to 3, submits that the auction did not take place on the intended date on account of the interim order subsisting in the case at hand. 3. In that light, the date of auction having spent itself, the petition is rendered infructuous and is liable to be disposed of as having become infructuous. - 4 - HC-KAR NC: 2025:KHC-D:17209 WP No. 107753 of 2025 4. The learned counsel appearing for the petitioners submits that the petitioners have paid Rs.24,00,000/- out of the total loan amount of Rs.39,00,000/- availed. Therefore, the respondent–Bank shall take note of the fact that a sum of Rs.24,00,000/- has already been deposited by the petitioners, if and when any further steps are initiated to secure the asset under the SARFAESI Act. 5. The learned counsel for the petitioners further submits that the petitioners would also submit a representation seeking a One-Time Settlement (OTS) before the Bank. While this Court cannot issue a mandamus directing the respondent– Bank to accept the One-Time Settlement, if such representation is submitted, it is open to the Bank to consider the same in accordance with law, more so in the light of the fact that the petitioners have already deposited Rs.24,00,000/- out of the Rs.39,00,000/- availed. 6. With the aforesaid observations, the petition stands disposed of. 7. The learned counsel appearing for the petitioners further submits that possession of the house has been taken and the petitioners are on the streets. In light of the fact that - 5 - HC-KAR NC: 2025:KHC-D:17209 WP No. 107753 of 2025 Rs.24,00,000/- has already been paid, the Bank shall consider re-delivery of possession to the petitioners in accordance with law. Sd/- (M.NAGAPRASANNA) JUDGE AC/CT-ASC List No.: 1 Sl No.: 47