Ullas Sebastian vs State Bank Of India

C.S Dias, J

The original petition is filed, inter alia, to direct the Debts Recovery Tribunal-II, Ernakulam, to consider Ext P5 application filed in SA No.195/2022, expeditiously and until such time to defer further coercive proceedings initiated against the petitioner by the respondents.

The petitioner’s case is that he had availed financial assistance from the first respondent – Bank – by creating an equitable mortgage. Due to reasons beyond his control, he could not pay the instalments on time. The Bank has classified the loan account as non-performing asset and has proceeded against the secured asset under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short, ‘Act’). Challenging the action of the respondents, the petitioner has preferred SA No.195/2022 before the Tribunal. Along with the Securitisation Application, the petitioner has preferred ID No.4570/2023 (Ext P5) to stay all further proceedings pursuant to the Advocate Commissioner’s notice. The petitioner prays that the Tribunal may be directed to consider and dispose of Ext P5 expeditiously. Hence, the original petition.

When the original petition came up for consideration on 28.3.2023, on the fervent plea made by the learned counsel appearing for the petitioner that the petitioner’s mother expired and the religious rituals are to be conducted in the secured asset, this Court directed the respondents to defer dispossession of the petitioner’s property for a period of one week. It was made clear that the petitioner would be at liberty to move the Tribunal and secure orders on Ext P5 application.

Heard; Sri.Baby Thomas, the learned counsel appearing for the petitioner and Sri.Jawahar Jose, the learned counsel appearing for the respondents.

Sri.Jawahar Jose, on instructions, submitted that subsequent to the interim order dated 28.3.2023, the petitioner has not moved the stay petition before the Tribunal, although the case was posted on 19.4.2023 and 7.7.2023. At this point of time, this Court may not extend the above interim order.

Having considered the pleadings and materials on record and taking note of the fact that Ext P5 application is pending consideration before the Tribunal and this Court has already passed an interim order on 28.3.2023, I deem it appropriate to direct the Tribunal to consider and dispose of Ext P5, expeditiously.

Resultantly, in exercise of the supervisory powers of this Court under Article 227 of the Constitution of India , I dispose of the original petition as follows:

(i) The Debts Recovery Tribunal-II, Ernakulam, is directed to consider and dispose of Ext P5 application, in accordance with law and as expeditiously as possible, at any rate, within a period of two weeks from the date of receipt of a certified copy of the judgment, after affording the petitioner and the respondents an opportunity of being heard.

(ii) Until such time orders are passed on Ext P5 application, further recovery proceedings shall stand deferred.