- 1 - HC-KAR NC: 2026:KHC:15606 WP No. 7142 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF MARCH, 2026 BEFORE THE HON'BLE MR. JUSTICE M.I.ARUN WRIT PETITION NO. 7142 OF 2026 (LB-TAX) BETWEEN: 1. INTERNATIONAL ASSET RECONSTRUCTION COMPANY PRIVATE LIMITED A COMPANY INCORPORATED UNDER THE COMPANIES ACT, 1956 REGISTERED AS SECURITIZATION COMPANY AND RECONSTRUCTION COMPANY AND ALSO A FINANCIAL INSTITUTION UNDER THE RECOVERY OF DEBTS DUE TO BANKS AND FINANCIAL INSTITUTIONS ACT 1993 HAVING ITS REGISTERED OFFICE AT 406 DLF SOUTH COURT, SAKET NEW DELHI-110 017. REP. BY ITS AUTHORIZED OFFICER SMT. ARUNA MANNATH &PETITIONER (BY SRI. VIKHAR AHMED B., ADVOCATE) AND: 1. STATE OF KARNATAKA URBAN DEVELOPMENT AUTHORITY REP BY ITS PRINCIPAL SECRETARY VIKAS SOUDHA, BANGALORE-560 001. Digitally signed by GEETHA P G Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:15606 WP No. 7142 of 2026 2. COMMISSIONER GREATER BENGALURU AUTHORITY HUDSON CIRCLE, N.R SQUARE BENGALURU-560 002. 3. REVENUE OFFICER PADMANABHANAGAR DIVISION BENGALURU SOUTH CITY CORPORATION BBMP BUILDING, 1ST FLOOR ANJANEYANAGAR, JANATA BAZAR JUNCTION BANASHANKARI 3RD STAGE BANGALORE-560 085. &RESPONDENTS (BY SRI. BOPANNA BELLIAPPA, AGA FOR R1; SRI. PAWAN KUMAR, ADVOCATE FOR R2 & R3) THIS PETITION IS FILED UNDER ARTICLES 226 & 227 OF THE CONSTITUTION OF INDIA, PRAYING TO ISSUE A WRIT, ORDER OR DIRECTION IN THE NATURE OF CERTIORARI, OR SUCH OTHER APPROPRIATE WRIT, TO QUASHING THE PROCLAMATION AND WRITTEN NOTICE OF SALE OF IMMOVABLE PROPERTY DATED 30-01-2026 BEARING NUMBER RO(PDN)W-182/JAN/2025-26/PRC-006094 VIDE ANNEXURE A AND ETC. THIS PETITION COMING ON FOR PRELIMINARY HEARING, THROUGH PHYSICAL HEARING/VIDEO CONFERENCING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR NC: 2026:KHC:15606 WP No. 7142 of 2026 CORAM: HON'BLE MR. JUSTICE M.I.ARUN ORAL ORDER Proclamation and written notice of sale of immovable property has been issued by Bengaluru South City Corporation (respondent no.3) in respect of the following property (vide Annexure-A to the writ petition): Description Details Unique Property ID 29 SAS application number in Property Tax System 1500105000 Ward Number & Name 182-Padmanabhanagar(JAYANAGAR) Zone JAYANAGAR Land Area 3960 Built-up Area 4700 Address 160 & 161, 22ND MAIN RAGHAVENDRA LAYOUT PADMANABHANAGAR NORTH, 1ST CROSS, BANGALORE, 560 070 The said property belonged to one P. Panneer Selvam. The property is sought to be sold to recover a sum of Rs.3,22,701/-. 2. The petitioner is an asset reconstruction company and it's case is that the property was mortgaged as a security - 4 - HC-KAR NC: 2026:KHC:15606 WP No. 7142 of 2026 for a loan borrowed in favour of M/s. Axis Bank. As the borrower committed default in repayment of the loans, the property has been taken possession of and brought to sale under the provisions of Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. Subsequently, the bank has assigned the rights over the property in favour of petitioner herein. Thereafter, petitioner has filed necessary application for change of khata in respect of the property in its name. However, in the meanwhile the original owner committed default in payment of the tax dues, resulting in respondent no.3 initiating necessary proceedings to bring the property for sale to recover the tax dues of Rs.3,22,701/-. 3. The petitioner in the instant petition is not challenging the quantum of the alleged property tax dues in respect of the property. It's case is that, it is willing to pay the amount of Rs.3,22,701/- to respondent no.3 and respondent no.3 may be restrained from going ahead with the sale. It is also submitted that the property is worth much more than Rs.3,22,701/- and that the respondents may be directed to - 5 - HC-KAR NC: 2026:KHC:15606 WP No. 7142 of 2026 consider the request of the petitioner to change khata in the name of the petitioner in respect to the property concerned. 4. Learned counsel for respondent nos.2 and 3 upon instruction submits that, what respondent nos.2 and 3 are interested in is recovering the tax dues and they are not keen on selling the property. They further submit that, if proper documents are given by petitioner in respect of change of khata, it's request will be processed in the manner known to law and a decision will be made thereafter. 5. The interest of respondent nos.2 and 3-GBA is in recovering the tax dues and not for sale of the property concerned. There is no impediment in law for them to recover money from the petitioner. Further, if petitioner has got ownership over the property concerned, it is at liberty to make a request to respondent nos.2 and 3 for change of khata in its favour by producing necessary documents. If such a request is made, respondent nos.2 and 3 are obliged to consider the same in accordance with law. Further, the original owner is not made a party to the proceedings. Under the circumstances, it is not appropriate for this Court to give a positive direction to - 6 - HC-KAR NC: 2026:KHC:15606 WP No. 7142 of 2026 respondent nos.2 and 3 to grant khata in favour of the petitioner. It is for respondent nos.2 and 3 to decide the issue based upon the documents produced by petitioner and after hearing all parties concerned in accordance with law. 6. Hence, the following: ORDER (i) Respondent no.3 is directed to accept the payment to be made by the petitioner in respect to the property and issue necessary receipt in the name of the petitioner; (ii) Petitioner is given liberty to make necessary application to respondent nos.2 and 3 for change of khata in respect of the property into its name; (iii) If such an application is made, respondent nos.2 and 3 shall consider the same in accordance with law and if required, will hear all such other interested parties concerned before taking any decision; - 7 - HC-KAR NC: 2026:KHC:15606 WP No. 7142 of 2026 (iv) It is hereby made clear that no opinion is expressed on the ownership of the property concerned and whether the original owner P.Panneer Selvam has any right over the property or not; (v) The writ petition stands disposed of accordingly. SD/- (M.I.ARUN) JUDGE PGG List No.: 1 Sl No.: 6