- 1 - HC-KAR NC: 2026:KHC:30128 WP No. 29425 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF JUNE, 2026 BEFORE THE HON'BLE MR. JUSTICE M.I.ARUN WRIT PETITION NO. 29425 OF 2025 (CS-RES) BETWEEN: 1. GIRIYAPPA S/O KANTYA MUGERA, AGED ABOUT 47 YEARS, NAYIMARU HOUSE, MOGRU POST AND VILLAGE, BELTHANGADY TALUK, DAKSHINA KANNADA - 574 214. 2. ANANDA, S/O KANTYA MUGERA, AGED ABOUT 40 YEARS, NAYIMARU HOUSE, MOGRU POST AND VILLAGE, BELTHANGADY TALUK, DAKSHINA KANNADA - 574 214. …PETITIONERS (BY SMT. SHWETHA NAYAK N., ADVOCATE FOR SRI. DHANANJAY KUMAR, ADVOCATE) AND: 1. STATE OF KARNATAKA, DEPARTMENT OF CO-OPERATIVE SOCIETIES, VIDHANA SOUDHA, BANGALORE - 560 001. Digitally signed by V MANJUSHA BAI Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:30128 WP No. 29425 of 2025 2. SUDHANA VIVIDHODDESHA SAHAKARI NIYAMITHA, (SOCIETY REGISTERED UNDER KARNATAKA CO-OPERATIVE SOCIETIES ACT) HAVING ITS OFFICE AT KAMATH SHOP FLOOR, OPPOSITE CORPORATION BANK, MAIN ROAD, BELTHANGADY, DAKSHINA KANNADA - 574 214. REP. BY ITS GENERAL MANAGER. 3. AUTHORISED OFFICER, SUDHANA VIVIDODDESHA SAHAKARI NIYAMITHA, KAMATH SHOP FLOOR, OPPOSITE CORPORATION BANK, MAIN ROAD, BELTHANGADY, DAKSHINA KANNADA - 574 214. 4. PODIYA, W/O DHARMESH K, AGED MAJOR, R/AT NO.2-71, PACCHADKA HOUSE, MOGRU POST AND VILLAGE, BELTHANGADY TALUK, DAKSHINA KANNADA - 574 214. 5. RAMESHA, S/O HUKRA AGED MAJOR, R/AT NO. 3-104, NEERKAJE HOUSE, ILANTHILA POST AND VILLAGE, DAKSHINA KANNADA - 574 214. 6. PIJINA MUGERA, S/O PIJINA MUGERA, - 3 - HC-KAR NC: 2026:KHC:30128 WP No. 29425 of 2025 AGED MAJOR, MOGRU 11-19, MOGRU POST AND VILLAGE, BELTHANGADY TALUK, DAKSHINA KANNADA - 574 214. 7. NARAYANA, S/O MAYILA, AGED MAJOR, MOGRU 11-182, MOGRU POST AND VILLAGE, BELTHANGADY TALUK, DAKSHINA KANNADA - 574 214. …RESPONDENTS (BY SRI. YOGESH D. NAIK, AGA FOR R1 TO R3) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITTUION OF INDIA PRAYING TO QUASH ALL FURTHER PROCEEDINGS PURSUANT TO THE SALE NOTICES IN BEARING NO. 532/2010-11 DATED 18/04/2025 ISSUED BY THE RESPONDENT SOCIETY VIDE ANNEXURE-A AND A1 AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE M.I.ARUN - 4 - HC-KAR NC: 2026:KHC:30128 WP No. 29425 of 2025 ORAL ORDER The petitioners have challenged the recovery proceedings initiated by respondent No.2 - Society pursuant to a default committed in respect to loan advanced. The proceedings have been initiated under the provisions of the Karnataka Souhardha Sahakari Act, 1997 (for short, 'the Act'). 2. It is seen that the petitioners are having an alternative and efficacious remedy under Section 46 of the Act. However, this Court had passed an interim order dated 17.10.2025 which reads as under: "Learned Additional Government Advocate is directed to take notice for respondent No.1 - State. Heard learned counsel for the petitioners and learned Additional Government Advocate for respondent No.1 on the interim prayer relied by the petitioners. It is noticed that the petitioner Nos.1 and 2 admit availing of the loan. He also admit that they have not repaid the loan amount as undertaken. The petitioners admit that the proceedings was initiated - 5 - HC-KAR NC: 2026:KHC:30128 WP No. 29425 of 2025 against them and they have participated in the said proceedings. The award came to be passed determining the amount that is payable. Now the sale notices came to be issued, which is impugning in this writ petition. As per the award, the petitioner No.1 is liable to pay Rs.3,32,594/- and petitioner No.2 is liable to pay the principle amount of Rs.2,65,403/-. There shall be stay of sale notices subject to deposit of the principle amount before respondent No.2 within 15 days from today. Learned counsel for the petitioners prays for six weeks time to deposit the amount. It is made clear that the order of stay shall come into force from the date of compliance of the condition. Issue notice to respondent Nos.2 to 7." 3. Having noticed that the petitioners are having an alternative and efficacious remedy, the Writ Petition is hereby dismissed, reserving liberty to the petitioners to approach the Appellate Authority in the manner known to law. However, the interim order granted by this Court on - 6 - HC-KAR NC: 2026:KHC:30128 WP No. 29425 of 2025 17.10.2025 shall continue for a further period of four (4) weeks from today. 4. It is hereby made clear that no opinion is expressed on the merits of the case and if an appeal were to be filed, the Appellate Authority shall decide the same in the manner known to law, without being influenced by any of the observations made herein above. 5. The petitioners shall also be entitled to the benefit of Section 14 of the Limitation Act, 1963, if any appeal were to be filed by them. 6. The Registry is directed to return back the original / certified copy of the documents filed by the petitioners after due verification. Sd/- (M.I.ARUN) JUDGE MCR List No.: 1 Sl No.: 9