- 1 - HC-KAR NC: 2026:KHC:13930 WP No. 2335 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 6TH DAY OF MARCH, 2026 BEFORE THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI WRIT PETITION NO. 2335 OF 2026 (GM-DRT) BETWEEN: 1. B KANAGACHALAM S/O U P BALASUBRAMANIAM AGED ABOUT 56 YEARS FLAT NO.108, IHFD APARTMENT NO.11, VASAVI TEMPLE ROAD BANGALORE-560004. …PETITIONER (BY SRI. PRAVEEN R., ADVOCATE) AND: 1. AUTHORIZED OFFICER /AGM IDBI BANK, RETAIL RECOVERY 2ND FLOOR, IDBI HOUSE, MISSION ROAD BRANCH NO.58, MISSION ROAD, BANGALORE-560027. 2. M/S KAVI POULTRIE SMT GUIIAPRIYA PROPRIETRIX: M/S KAVI POULTRIE NO.26, 1S5T CROSS, SINDHI COLONY JC ROAD, BANGALORE - 560002 ALSO S.F NO. 165/2 OLD 165/2A NEW 818 DEVANURPUDHUR ROAD, KANJAMPATTI VILLAGE AND PANCHAYAT Digitally signed by SUVARNA T Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:13930 WP No. 2335 of 2026 POLLACHI TALUK COIMBATORE DISTRICT AND SF. NO. 258, 259, 260 PATTA NO. 643 NEAR, NEGMAM ROAD KOVIL PALAYAM. KINATHUKKADAVU TALUK COIMBATORE DISTRICT. 3. PUVI KUMAR S S/O SUGAKUMAR AGED ABOUT 45 YEARS NO.26, 1S5T CROSS, SINDHI COLONY, JC ROAD, BANGALORE - 560002 …RESPONDENTS (BY SRI. T.P. MUTHANNA, ADVOCATE) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH AND STAY THE AUCTION/SALE CERTIFICATE PROCEEDINGS IDBI ADVERTISEMENT IN INDIAN EXPRESS NOTICE/E-AUCTION DATED 25-12-2025 (AUCTION DATED 28-01-2026) UNDER SECTION 13(2) OF SARFAESI ACT, AS PER ANNEXURE-E AND UNDER SECTION 13(4) OF SARFAESI ACT, AS PER ANNEXURE- G ISSUED BY THE RESPONDENT NO.1 AS CONTRARY TO LAW AND UNENFORCEABLE AND VOID. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR NC: 2026:KHC:13930 WP No. 2335 of 2026 CORAM: HON'BLE SMT. JUSTICE LALITHA KANNEGANTI ORAL ORDER The present writ petition is filed seeking the following prayers: “WHEREFORE, the petitioners most humbly prays that this Hon’ble Court be pleased to grant/order the following relief: i) Issue writ of certiorari quashing and stay the auction/sale certificate proceedings IDBI advertisement in Indian Express notice/e-auction dated 25-12-2025 (auction dated 28-01-2026) under Section 13(2) of SARFAESI Act, as per Annexure E and under Section 13(4) of SARFAESI Act, as per Annexure-G issued by the Respondent no.1 as contrary to Law and unenforceable and void. ii) Issue writ of certiorari quashing all further proceedings initiated by the Respondent No.1 Bank pursuance to under Section 13(2) as per Annexure E and notice under Section 13(4) of the Act, as per Annexure-G as being all consequential action initiated pursuance to a notice without authority of Law as being void and not binding on the Petitioner iii) Pass such other order or orders as this Hon'ble Court deems fit to grant under the facts and circumstances of the case, in the interest of justice and equity." 2. The Co-ordinate Bench of this Court has passed order on 03.02.2026, which reads as follows: "Sri.Nagaraj Damodar, learned counsel, accepts notice for respondent No.1. - 4 - HC-KAR NC: 2026:KHC:13930 WP No. 2335 of 2026 Issue emergent notice to respondent Nos.2 and 3 returnable by 24.02.2026. The petitioner has filed this writ petition challenging the auction/sale certificate proceedings dated 25.12.2025. The petitioner in order to show his bona fide has produced two demand drafts (i) bearing No.004111 dated 03.02.2026 for a sum of Rs.1,75,42,018- 05 drawn on HDFC Bank and (ii) bearing No.515349 dated 03.02.2026 for a sum of Rs.87,60,000/-, drawn on ICICI Bank, in favour of respondent No.1. Thus, the petitioner has deposited a sum of Rs.2,63,02,018-05. Respondent No.1 is directed to accept both demand drafts forthwith. Thus, the petitioner has made out a prima facie case for grant of an ad interim order. Accordingly, respondent No.1 is directed not to confirm the sale, if not already confirmed, till the next date of hearing." 3. It is submitted by the learned counsel appearing for the respondent that the petitioner has paid the entire amount and the loan account is closed. In the light of the orders passed by the Co-ordinate Bench this Court, the respondent/Bank has accepted the said amount. 4. Learned counsel appearing for the auction purchaser seeks time stating that the learned Senior Counsel, who is engaged, is unwell. - 5 - HC-KAR NC: 2026:KHC:13930 WP No. 2335 of 2026 5. The writ petition is filed questioning the auction proceedings. Then the Co-ordinate Bench of his Court has passed an order directing the respondent/Bank to accept the amount. The entire outstanding amount is paid by the petitioner and the loan account is closed. 6. In these circumstances, if the auction purchaser is aggrieved by the any action of the Bank in closing the account by cancelling the auction, he has to avail the appropriate remedy in accordance with law. In the light of the settlement arrived at and as the entire amount has been paid, nothing remains to be adjudicated in this writ petition. 7. In that view of the matter, this Court is passing the following: ORDER i. Accordingly, the writ petition is disposed of. ii. The auction purchaser is at liberty to question the action of the respondents in cancelling the auction, in accordance with law. - 6 - HC-KAR NC: 2026:KHC:13930 WP No. 2335 of 2026 iii. All pending IAs., if any, in the writ petition shall stand closed. SD/- (LALITHA KANNEGANTI) JUDGE SMC List No.: 1 Sl No.: 4