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2026 DAILYLAW 11299 (AP)

SIMHAPURI MINERALS v. Union of India

WP/25107/2026 · 2026-09-16

Battu Devanand, Tuhin Kumar Gedela

body2026

Judgment text

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APHC010461052026 IN THE HIGH COURT OF ANDHRA PRADESH (Special Original Jurisdiction) THURSDAY, THE 17 THE HONOURABLE SRI JUSTICE BATTU DEVANAND THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA WRIT PETITION NO: 25107 OF 2026 Between: 1. SIMHAPURI MINERALS, Rep. by its Managing Partner, Madduri Swarna Latha, Door No. 3-6-2, Rajeev Nagar, Near RTC Busstand, Muthukuru, Nellore, Andhra Pradesh-524344. 2. Smt. Madduri Swarna Latha,, W/o. Yamala Murali K years, Door No. D2-31, AP GENCO, A Colony, Nelaturu, Nellore, Andhra Pradesh-524347. 1. Union of India, Represented by its Secretary, Finance Department, North Block, New Delhi 110001. 2. Axis Bank Limited, Vijaya No. 30-22-79, Sri Towers, 1st Floor, Eluru Road, Seetharampuram Circle, Vijayawada, Andhra Pradesh 3. The Branch Manager, Axis Bank Limited, Harbour Heights, Muthukur Main Road, Opp. Panchayat O Pradesh-524344. IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) THURSDAY, THE 17th DAY OF SEPTEMBER 2026 PRESENT THE HONOURABLE SRI JUSTICE BATTU DEVANAND THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA PETITION NO: 25107 OF 2026 1. SIMHAPURI MINERALS, Rep. by its Managing Partner, Madduri Swarna 2, Rajeev Nagar, Near RTC Busstand, Muthukuru, 524344. 2. Smt. Madduri Swarna Latha,, W/o. Yamala Murali Kumar, aged about 50 31, AP GENCO, A Colony, Nelaturu, Nellore, Andhra ...Petitioners AND 1. Union of India, Represented by its Secretary, Finance Department, North 2. Axis Bank Limited, Vijayawada Branch, Rep. by its Authorized Officer, D. 79, Sri Towers, 1st Floor, Eluru Road, Seetharampuram Circle, Vijayawada, Andhra Pradesh-520002. 3. The Branch Manager, Axis Bank Limited, Harbour Heights, Muthukur Main Road, Opp. Panchayat Office, Nellore, SPSR Nellore District, Andhra IN THE HIGH COURT OF ANDHRA PRADESH THE HONOURABLE SRI JUSTICE BATTU DEVANAND THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA 1. SIMHAPURI MINERALS, Rep. by its Managing Partner, Madduri Swarna 2, Rajeev Nagar, Near RTC Busstand, Muthukuru, umar, aged about 50 31, AP GENCO, A Colony, Nelaturu, Nellore, Andhra ...Petitioners 1. Union of India, Represented by its Secretary, Finance Department, North wada Branch, Rep. by its Authorized Officer, D. 79, Sri Towers, 1st Floor, Eluru Road, Seetharampuram Circle, 3. The Branch Manager, Axis Bank Limited, Harbour Heights, Muthukur Main ffice, Nellore, SPSR Nellore District, Andhra 4. The Debts Recovery Tribunal, Rep. by its Registrar, At.D.No.31-31-21, Chitralaya Road, Daba Gardens, Visakhapatnam, Andhrapradesh-530020 ...Respondents Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased toissue an appropriate writ order direction more particularly one in the nature of writ mandamus to declare the action of the 2nd respondent in initiating proceedings under section 14 of the SARFAESI Act, 2002 in pursuance of order dated 22.06.2026 in C.F. No. 820/2026 in CrI.M.P. No. 338 of 2026 on the file of Principal Senior Civil Judge-cum-Chief Judicial Magistrate, SPSR Nellore District at Nellore against the petitioners herein for taking physical possession of the mortgaged residential house property (Subject property) pending disposal of the Stay petition I.A. No. 3808 of 2026 in S.A. No. 282 of 2026 on the file of the Honble Debt Recovery Tribunal at Visakhapatnam is illegal, arbitrary, unilateral, unjust, unconstitutional, without authority of law, high handed discrimination and violative of the principles of natural justice and violative of the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 and rules framed thereunder besides violative of article 14, 19(1)(e), 21 and 300-A of the Constitution of India, and consequently, to quash and set aside the impugned order dated 22.06.2026 including the SARFAESI proceedings initiated by the 2 nd Respondent against the Petitioners, under section 14 of the SARFAESI Act and direct the 2nd Respondent to restore the Account of the Petitioners and to follow due process of law under the SARFAESI Act and Rules framed thereunder IA NO: 1 OF 2026 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased tay of all further proceedings pursuant to the Order dated 22.06.2026 in C.F. No. 820/2026 in CrI.M.P. No. 338 of 2026 on the file of Principal Senior Civil Judge-cum-Chief Judicial Magistrate, SPSR Nellore District at Nellore pending disposal of this writ petition and/or pass Counsel for the Petitioners: PONNAM RAVINDRA BABU Counsel for the Respondents: KUNUKU RAJA SEKHAR Counsel for the Respondents: The Court made the following order: THE HONOURABLE SRI JUSTICE BATTU DEVANAND THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA WRIT PETITION NO: 25107 OF 2026 ORDER: (Per Sri Justice Battu Devanand) Heard Ms. B. Sofiea, learned counsel, representing Sri P. Ravindra Babu, learned counsel for the petitioners and Mr. Vipin Viswas, learned counsel, representing Mr. Kunuku Rajasekhar, learned counsel, appearing for respondent Nos. 2 & 3 and perused the material available on record. 2. Petitioners are the borrowers. They availed loan from the respondent No.2 - bank. Petitioners bank account is classified as NPA. Respondent No.2 initiated proceedings under the S.A.R.F.A.E.S.I. Act, 2002. In that process, the respondent No.2 filed a petition under Section 14 of the S.A.R.F.A.E.S.I. Act, 2002 before the Principal Senior Civil Judge-cum-Chief Judicial Magistrate, SPSR Nellore District at Nellore. 3. By an order dated 22.06.2026, the Chief Judicial Magistrate, Nellore, passed order and issued warrant to the Advocate Commissioner to take the physical possession of the mortgaged property. Consequently, the Advocate Commissioner issued notice without mentioning the date of the notice or without mentioning the date of execution of the warrant. 4. Challenging the order dated 22.06.2026 in Crl.M.P.No.338 of 2026 of the Principal Senior Civil Judge-cum-Chief Judicial Magistrate, Nellore District at Nellore and also the notice issued by the Advocate Commissioner, the petitioner approached DRT, Visakhapatnam by filing S.A.No.282 of 2026 on 24.08.2026, along with Securitization Application, the petitioner also filed an application in I.A.No.3808 of 2026 seeking stay of proceedings to take physical possession of the mortgaged property by the Advocate Commissioner. 5. Pursuant to the orders of the Chief Judicial Magistrate, Nellore District at Nellore, in the said S.A., notice is ordered to the respondents and it is adjourned three times. Finally for service of notice to the respondents, the S.A. is posted to 04.11.2026. 6. Having considered the submissions of the respondent counsel and upon careful examination of the material available on record, it is an admitted fact that the petitioner approached DRT, Visakhapatnam by filing S.A.No.282 of 2026 and it is pending. The stay petition filed in I.A.No.3808 of 2026 is also pending. Both these applications filed against the order passed by the learned Judicial Magistrate, Nellore District at Nellore appointing the Advocate Commissioner to take physical possession of the mortgaged property and the notice issued by the Advocate Commissioner to take physical possession of the mortgaged property. 7. As and when the petitioner availed the remedy available under Section 17 of the S.A.R.F.A.E.S.I. Act, 2002, the petitioner is not entitled to approach this court by filing the Writ Petition under Article 226 of the Constitution of India seeking the same relief. 8. It is settled law that as and when the petitioner approached DRT seeking same relief, he is not entitled to invoke the extraordinary jurisdiction under Article 226 of the Constitution of India by filing a Writ Petition before this court for the aforesaid reasons, this Writ Petition fails. 9. Accordingly, this Writ Petition is dismissed. There shall be no order as to costs. As a sequel, all pending miscellaneous applications, if any, shall stand closed. ____________________ BATTU DEVANAND, J _______________________ TUHIN KUMAR GEDELA, J Dated: 17.09.2026 TJN/SZT 79 THE HONOURABLE SRI JUSTICE BATTU DEVANAND THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA WRIT PETITION NO: 25107 OF 2026 Dated: 17.09.2026 TJN/SZT HIGH COURT OF ANDHRA PRADESH : AT AMARAVATI WRIT PETITION NO: 25107 OF 2026 PROCEEDING SHEET SL. NO. DATE ORDER OFFICE NOTE 17.9.2026 DEV, J & GTK, J The Writ Petition is dismissed. (Vide Separate Order) _______ DEV, J _______ GTK, J TJN/SZT