Extracted from the PDF above. The PDF is authoritative.
APHC010034862026
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3558] THURSDAY,THE TWENTY NINETH DAY OF JANUARY TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SRI JUSTICE CHEEKATI MANAVENDRANATH ROY THE HONOURABLE SRI JUSTICE TUHIN KUMAR GEDELA WRIT PETITION NO: 2335/2026 Between:
1. SMT REDDY BHARATHI, W/O REDDY SURYA RAO, AGED 45 YRS , R/AT FLAT NO.GF-1 OF REDDY WINS CASTLE-1 D.NO.11-74 , PLOT NO. MIG-112, P.M., PALEM , RATNAGIRI HOUSING BOARD COLONY MADHURUVADA VISAKHAPATNAM 530012
2. SRI REDDY SURYA RAO, S/O REDDY DEMUDU, AGED 50 YRS , R/AT FLAT NO.GF-1 OF REDDY WINS CASTLE- 1 D.NO.11-74 , PLOT NO. MIG-112, P.M., PALEM , RATNAGIRI HOUSING BOARD COLONY MADHURUVADA , VISAKHAPATNAM530012
...PETITIONER(S) AND
1. UNION OF INDIA, MINISTRY OF FINANCE REPRESEMTED BY ITS SECRETARY SASTRY BHAVAN, NEW DELHI. 110001
2. AXIS BANK LIMITED, REP., BY ITS AUTHORISED OFFICER, MR CHOKKAKULA VARUN PRAJNA VARDHA S/O C VENKAT RAO, AGED 42 YRS OFFICE AT D.NO.43-9-141, 4TH FLOOR, SRI GAYATRI TOWERS DONDAPARTHY VISAKHAPATNAM.530016
3. SMT P YUGA LAKSHMI, ADVOCATE COMMISSIONER (APPOINTED BY CHIEF JUDICIAL MAGISTRATE, VISAKHAPATNAM 530002 IN CRLP NO.277/2025)
4. THE STATION HOUSE OFFICER, ANANDAPURAM POLICE STATION VISAKHAPATNAM. 530052,
5. BRAHAMAYYA SAPE, S/O (LATE) S. APPALASWAMY, AGED 50 YRS , Q.NO. MIG-17 , AUTO NAGAR, GAJUWAKA , B.H.P.V. POST, VISAKHAPATNAM 530012.
...RESPONDENT(S): 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 toMay be Pleased to Issue a Writ or Order or Direction more particularly one in the nature of a Writ of Ceritorari to Call for the records
2 CMR,J & GTK,J W.P.No.2335 of 2026
peraining to the Impugned proceedings in CRL MP No.277/2025 Order dt.07/01/2026 passed by Chief Judicial Magistrate, Visakhapatnam the Petition filed by the 2nd Respondent Bank Under Section 14 of SARFEASI Act physical possession of the Property bearing Flat No. GF-1 in Ground Floor of Reddy Twins Castle 1 D.No.11-74 Plot No MIG 112 S.No.46 of Pothinamallayyapalem Village, Housing Board Colony, Visakhapatnam even though on the same subject matter and on the same relief against the same property petition pending before the very same Court in CRL MP No.2118/2019 it is nothing but an Illegal, Unlawful, Violation of the SARFEASI Act , Violation of Principles of Natural justice there by to Quash the proceedings in CRL MP No.277/2025 including the Order dt.07-01-2026 on the file of Chief Judicial Magistrate, Visakhapatnam by Allowing the Writ Petition and to pass such 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 May be Pleased to dispense with filing of Certified Copy of Crl M.P. No.277/2025 on the file of Chief Judicial Magistrate,Visakhapatnam including the order passed dt.07- 01-2026 pending disposal of the main Writ Petition pending disposal of the above writ petition and pass such IA NO: 2 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 May be Pleased to STAY of all the further proceedings in CRL MP No.277/2025 including the operation of the Order dt.07-01-2026 on the file of Chief Judicial Magistrate, Visakhapatnam pending disposal of the main Writ Petition pending disposal of the above writ petition and pass such Counsel for the Petitioner(S):
1.
R SIVA SAI SWARUP Counsel for the Respondent(S):
1. The Court made the following:
3 CMR,J & GTK,J W.P.No.2335 of 2026
ORDER: (Per Hon’ble Sri Justice Cheekati Manavendranath Roy) Heard learned counsel for the petitioners.
2. The present writ petition is filed challenging the order passed in Crl.M.P.No.277 of 2025 dated 07.01.2026 passed by the learned Chief Judicial Magistrate, Visakhapatnam, to take possession of the secured asset under Section 14 of the Act, on the ground that the said order was obtained by suppressing the earlier order of taking possession of the secured asset by the bank through the Court.
3. If that be the grievance of the writ petitioners, they can challenge the said impugned order before the Debts Recovery Tribunal under Section 17 of the Act. It is contended by the learned counsel for the petitioners that, as per the judgment of the High Court of Allahabad passed in the case of M/s Hinduja Housing Finance Limited vs. State of U.P. and 3 Others1, that the Debts Recovery Tribunal cannot entertain the said writ petition for want of jurisdiction. We have gone through the said judgment.
4.
Learned counsel for the petitioners has drawn our attention to paragraph No.26 of the said judgment. But as can be seen from the paragraph No.26 of the said judgment, it is held that “the legislature has consciously ensured that collateral challenges do not impede the enforcement process, reserving such issues for adjudication before the Debts Recovery Tribunal under Section 17 of SARFAESI Act”.
5. Therefore, the said judgment is contrary to the argument addressed by the learned counsel for the petitioners that the Debts Recovery Tribunal has no jurisdiction to entertain the dispute. In fact, in the said
judgment, it is clearly held that adjudication of such issues is to be made by the Debts Recovery Tribunal under Section 17 of the Act. Therefore, we are not inclined to entertain the writ petition.
1 Writ-C.No.42608 of 2025
4 CMR,J & GTK,J W.P.No.2335 of 2026
6. Therefore, the Writ Petition is disposed of with a direction to the petitioners to avail their remedy under Section 17 of the SARFAESI Act before the Debts Recovery Tribunal. There shall be no order as to costs.
7. As a sequel, Miscellaneous Applications pending, if any, shall stand closed.
_________________________________________ CHEEKATI MANAVENDRANATH ROY, J
________________________ TUHIN KUMAR GEDELA, J Date : 29-01-2026 BMS