- 1 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF FEBRUARY, 2026 BEFORE THE HON'BLE MR. JUSTICE ASHOK S.KINAGI WRIT PETITION NO. 21184 OF 2025 (GM-DRT) BETWEEN: 1. M/S ARUNACHALESWARA TRANSLOGISTICS INDIA PVT. LTD., REPRESENTED BY ITS DIRECTOR SRI A. SURESH KUMAR, S/O LATE ANJANAREDDY, AGED 45 YEARS, RESIDING AT NO.2, 2ND CROSS, 1ST MAIN, LAKKASANDRA, BENGALURU-560030. 2. SRI. A. SURESH KUMAR, S/O. LATE ANJANAREDDY, AGED 45 YEARS, RESIDING AT NO.2, 2ND CROSS, 1ST MAIN, LAKKASANDRA, BENGALURU-560030 …PETITIONERS (BY SRI. D R RAVISHANKAR, SR. COUNSEL FOR MS./SMT. SIRI RAJASHEKAR, ADVOCATE) AND: 1. THE AUTHORIZED OFFICER IDFC FIRST BANK LIMITED, Digitally signed by KIRAN KUMAR R Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 (FORMERLY IDFC BANK LIMITED) REGISTERED OFFICE AT KRM TOWERS, 7TH FLOOR, NO.1, HERRINGTON ROAD, CHELPET, CHENNAI-600031. AND ALSO, AT KCA ENCLAVE, 2ND FLOOR, NO.582, 80 FEET ROAD, POLICE STATION ROAD, KORAMANGALA, BENGALURU-560095. 2. SRI.RADHA KRISHNA CHINNAPPA (AUCTION PURCAHSER SALE CERTIFICATE DT.29.06.2022 RS.99,29,280/-) S/O. SRI.CHANNAPPA, AGED 47 YEARS, RESIDING AT NO.594, CENTRAL JAIL ROAD, 6TH CROSS, HOSAROAD, CHENNAKESHAVA NAGAR, BENGALURU-560100. 3. SRI. P.V. BABU (SALE AGREEMENT HOLDER DT. 11.07.2022- RS.2,10,00,000/-) S/O. SRI VENKATASWAMY AGED ABOUT 46 YEARS, RESIDING NO.67, PARAPPANA AGRAHARA, ELECTRONIC CITY POST, BENGALURU-560 100. 4. SRI.KIRAN. H.V. (SALE AGREEMENT HOLDER DT.11.07.2022 RS.2,10,00,000/-) S/O. LATE H.M.VENKATAPPA REDDY, AGED ABOUT 34 YEARS, RESIDING AT HALANAYAKANAHALLI, - 3 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 CARMELARAM POST, SARJAPURA ROAD, BENGALURU-560035 5. SMT. KAVITHA V REDDY W/O. SRI A RAMA REDDY AGED ABOUT 43 YEARS (PURCAHSED FOR RS.4,78,09,510 ON 03.04.2024 FROM R-2, R-3 AND R-4) RESIDING AT NO.479, 13TH MAIN, 3RD BLOCK, KORAMANGALA BENGALURU-560 034 ALSO AT M/S RELIABLE DEVELOPERS REP BY ITS PROPRIETRIX, SMT.KAVITHA V.REDDY, 3RD AND 6TH FLOOR, NO. 16 AND 16/2, RELIABLE PHOENIX TOWER, MUSEUM ROAD, BANGALORE-560 001 6. SMT. MARY INFANTA W/O. MR. MOHAMMAD RAHIMAN AGED ABOUT 33 YEARS (PURCHASED FOR RS.1,29,60,000/- ON 28.05.2024- 30 X 40 SITE) RESIDING AT NO. 123, ALICE JANE LN BUDA, TEXAS, USA-78610 REPRESENTED BY HER GPA HOLDER SMT. LILLY PUSHPAM W/O. SRI SATHIYANATHAN AGED ABOUT 61 YEARS RESIDING AT NO.255/31, METHA NAGAR 1ST CROSS, EAST THIRUVAGOUNDANUR - 4 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 SURAMANGALAM, SALEM, TAMIL NADU-636 005 …RESPONDENTS (BY SRI. SURESH V, ADVOCATE FOR R1, SRI. V B SHIVAKUMAR, ADVOCATE FOR R5, R2, R3, R4 AND R6 ARE SERVED) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO (1) QUASH AND SET ASIDE THE IMPUGNED ORDER DATED 13.06.2025 PASSED BY THE HON'BLE DRT-II, BENGALURU IN S.A. NO. 198/2024 (PRODUCED AS ANNEXURE - A), AND AS A CONSEQUENTIAL RELIEF TO SET ASIDE THE SALE CERTIFICATE ISSUED IN FAVOUR OF 2ND RESPONDENT AUCTION PURCHASER REGISTERED AS BGR-1-02520-2022-23 IN C.D.NO.BGRD 1198 OF BOOK NO.1, DT.29.06.2022 (2) ISSUE A WRIT OF MANDAMUS OR ANY OTHER APPROPRIATE WRIT, ORDER OR DIRECTION DECLARING THAT ALL THE SUBSEQUENT SALE MADE BY THE 2ND RESPONDENT IN FAVOUR OF 3RD AND 4TH RESPONDENT AND SALE MADE BY 2ND, 3RD AND 4TH RESPONDENT IN FAVOUR OF 5TH RESPONDENT AND SALE MADE BY THE 5TH RESPONDENT IN FAVOUR OF 6TH RESPONDENT, ARE ALL NULL AND VOID, ETC. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE ASHOK S.KINAGI - 5 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 ORAL ORDER The petitioners filed this writ petition seeking the following reliefs: 1. Quash and set aside the impugned order dated 13.06.2025 passed by the Hon'ble DRT-II, Bengaluru in S.A. no. 198/2024 (produced as Annexure - A), and as a consequential relief to set aside the sale certificate issued in favour of 2nd respondent auction purchaser registered as BGR-1- 02520-2022-23 in C.D.No.BGRD 1198 of Book No.1, dt.29.06.2022, in the interest of justice and equity 2. Issue a writ of mandamus or any other appropriate writ, order or direction declaring that all the subsequent sale made by the 2nd respondent in favour of 3rd and 4th respondent and sale made by 2nd, 3rd and 4th respondent in favour of 5th respondent and sale made by the 5th respondent in favour of 6th respondent, are all null and void. 3. Pass such other and further orders or directions as this Hon’ble Court may deem just, proper, and necessary in the interest of justice and equity. 2. Brief facts leading rise to the filing of this petition are as follows: - 6 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 2.1. The petitioners availed a loan from respondent No.1 Bank and the petitioners failed to repay the loan amount. The respondent Bank initiated a recovery proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short, ‘the SARFAESI Act’) 2.2. The petitioners approached this Court in WP No.18025 of 2022 challenging the sale notice dated 26.04.2022 published in the newspaper. The Co-ordinate Bench of this Court, vide order dated 25.07.2024, disposed of the writ petition reserving a liberty to the petitioners to file an application under Section 17 of the SARFAESI Act before the Debts Recovery Tribunal (for short, ‘DRT’) within a period of 3 weeks from the date of disposal and ordered that, if such an appeal was preferred within a period of 3 weeks from that day, both the parties shall maintain status quo in all respects as of that date in relation to the subject matter and the petitioners would be entitled to the benefit of Section 14 of the Limitation Act. - 7 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 2.3. Pursuant to the liberty granted by this Court, the petitioners approached the DRT on 12.08.2024 i.e., within 3 weeks from the date of passing of the order by the Co-ordinate Bench of this Court. The DRT, without considering the said aspect, has rejected the securitisation application in SA No. 198 of 2024. The petitioners, aggrieved by the order dated 13.06.2025 passed in SA No. 198 of 2024, filed this writ petition. 3. Respondent No.5 filed a statement of objections contending that, the petitioners have preferred SA No. 198 of 2024 after a lapse of 3 weeks from the date of passing of the order in the aforesaid writ petition. Hence, the securitisation application (for short, ‘application’) filed by the petitioners is barred by time. The DRT was justified in rejecting the application, and accordingly, prays to dismiss this petition. 4. Heard the arguments of learned Senior Counsel Sri. D.R.Ravishankar for the petitioners, learned counsel - 8 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 for respondent No.1 Bank and learned counsel for respondent No.5. 5. Learned Senior Counsel for the petitioners submits that, the petitioners approached this Court in WP No. 18025 of 2022 challenging the sale notice issued by the respondent Bank on 26.04.2022. The Co-ordinate Bench of this Court, vide order dated 25.07.2024, disposed of the writ petition reserving a liberty in favour of the petitioners to file an application under Section 17 of the SARFAESI Act before the DRT within a period of 3 weeks from the date of passing of the order i.e., 25.07.2024. He submits that, the petitioners have approached the DRT under Section 17 of the SARFAESI Act on 12.08.2024. The petitioners have produced the status copy of filing the application which discloses that the petitioner had deposited the amount of Rs.16,255/- on 12.08.2024 and the said amount was debited from the account of one Sangamesh Badiger on 14.08.2024 and produced the copy of the current and savings account of - 9 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 one Sangamesh Badiger is produced. He submits that, the said fact was not properly appreciated by the DRT and the DRT committed an error in rejecting the application on the ground that it is barred by limitation. Hence, the impugned order passed by the DRT is not in compliance with the order passed by the Co-ordinate Bench of this Court in WP No. 18025 of 2022. Hence, on these grounds, he prays to allow the petition. 6. Per contra, learned counsel for respondent No.5 submits that, the Co-ordinate Bench of this Court passed the order on 25.07.2024 and a liberty was reserved to the petitioners to approach the DRT within a period of 3 weeks from the date of passing an order. But the petitioners approached the DRT on 03.09.2024. It is not within 3 weeks from the date of passing an order in the aforesaid writ petition. The DRT was justified in passing the impugned order. Hence, on these grounds, he prays to dismiss this petition. - 10 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 7. Perused the records and considered the submissions of the learned counsel for the parties. 8. The undisputed facts are that, the respondent Bank has initiated recovery proceedings against the petitioners by issuing the e-auction sale notice dated 26.04.2022. The petitioners, aggrieved by the sale notice, filed a writ petition in WP No. 18025 of 2022. The Co-ordinate Bench of this Court disposed of the writ petition vide order dated 25.07.2024, wherein the said petition was disposed of reserving a liberty in favour of the petitioners to file an application under Section 17 of the SARFAESI Act before the DRT within a period of 3 weeks from today i.e., 3 weeks from 25.07.2024. If such an appeal is preferred within 3 weeks, both the parties shall maintain status quo in all respects as on 25.07.2024 in relation to the subject property and also the petitioners would be entitled to the benefit of Section 14 of the Limitation Act. - 11 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 9. Pursuant to the order passed by the Co- ordinate Bench of this Court, the petitioners approached the DRT and filed the application on 12.08.2024 i.e., within 3 weeks from the date of passing of the order by the Co-ordinate Bench of this Court. The petitioners have produced a copy of the case filing receipt of the DRT, which discloses the case filing receipt date as 12.08.2024, wherein the petitioners have deposited an amount of ₹16,255/- through RTGS on 14.08.2024. 10. The petitioners have presented the application on 12.08.2024. It is well within 3 weeks from the date of passing of the order by the Co-ordinate Bench in the aforesaid petition. The DRT, without considering the said aspect, has committed an error in recording a finding that the application is filed after 3 weeks’ time as stipulated by this Court. The order passed by the DRT is arbitrary and erroneous. Hence, on this ground alone, the impugned order is liable to be quashed. - 12 - HC-KAR NC: 2026:KHC:9795 WP No. 21184 of 2025 11. In view of the above discussion, I proceed to pass the following: ORDER i. The writ petition is allowed; ii. Annexure-A dated 13.06.2025 passed in SA No. 198 of 2024 is hereby quashed; iii. SA No. 198 of 2024 is restored to its original file; iv. The DRT is directed to dispose of the application on merits in accordance with law; v. Pending IA(s) in this petition, if any, shall stand disposed of. Sd/- (ASHOK S.KINAGI) JUDGE RK : Paras 1 to 2.2 PA : Paras 2.2 to 10 List No.: 1 Sl No.: 12