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Judgment
Gopinath P, J
The petitioner has approached this Court being aggrieved by the fact that the 1st respondent has refused to register the sale certificate issued by the petitioner under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (SARFAESI Act) to recover amounts due from one M/s M.V.Timber (a partnership firm of which one Vinil Kumar M.V and Sheena Vinil Kumar are partners and guarantors).
The property in question was purchased by the 5th respondent. Respondents 3 and 4 had obtained attachments from Sub Court, Muvattupuzha and Sub Court, Perumbavoor to recover amounts due to them from the aforesaid M.V Timber.
The learned counsel appearing for the petitioner states that the attachments obtained by respondents 3 and 4 was much after the creation of mortgage and going by the law laid down by this Court in Travancore Devaswom Board Vs. Deputy Examiner, Local Fund Audit and Others [2020 (3) KHC 129] the said attachment will have no effect on the proceedings initiated by the Bank under the provisions of the SARFAESI Act.
The learned counsel appearing for respondents 3 & 4 would submit that respondents 3 & 4 as attaching creditors have a right to challenge the proceedings initiated by the Bank, especially considering that the property was sold for a throw away price to the detriment of the attaching creditors. It is submitted that following oral directions issued by this Court, the documents relating to sale, including copy of the sale certificate have now been handed over to him and he may be permitted to challenge the sale proceedings before an appropriate forum.
Heard the learned Government Pleader also.
Having regard to the facts and circumstances of the case and taking into consideration the law laid down by this Court in Travancore Devaswom Board (supra) this writ petition is allowed, the 1st respondent is directed to register the sale certificate issued by the petitioner in favour of the 5th respondent. This shall however be subject to any right that may be available to respondents 3 & 4 to challenge the sale proceedings before any appropriate forum and in accordance with law.
This writ petition is disposed of as above.