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Judgment
Parth Prateem Sahu, J
Petitioner has filed this writ petition seeking following reliefs.
“10.1 That, this Hon’ble Court may graciously be pleased to issue an appropriate writ, order or direction to the Tahsildar, Lormi, District Mungeli to assist in handing over lawful possession of the mortgages property to the petitioner in compliance with the order passed by Learned Chief Judicial Magistrate, Mungeli, in MJC No. 72/2025 under Section 14 of the SARFAESI Act, 2002, within a period of two weeks, in the interest of justice.
10.2 That, any other relief/ order which may deem fit and just in the facts and circumstances of the case may also be granted in favour of the petitioner with cost.”
Learned counsel for petitioner submits that petitioner is a secured creditor and on the application filed before learned Chief Judicial Magistrate, Mungeli (CJM, Mungeli) under Section 14 of the SARFAESI Act, 2002, an order was passed on 22.01.2025 in which Respondent No. 2/ Tahsildar, Lormi District Mungeli is directed to take physical possession of the secured assets as mentioned therein and hand over them to secured creditor, however, even after lapse of more nine months, the Tahsildar has not taken any step for taking possession of the secured assets and thereby the provision under the SARFAESI Act is being frustrated. He also pointed out that the petitioner has also submitted representation on 26.06.2025 before the Respondent No. 2/ Tahsildar, Lormi, District Mungeli, for initiating proceedings for taking possession of the secured assets pursuant to the order passed by CJM, Mungeli, however, till date no action has been taken.
I have heard learned counsel for petitioner.
Annexure P-1, which is an order passed by CJM, Mungeli under Section 14 of the SARFAESI Act directing Respondent No. 2/ Tahsildar to take physical possession of the secured assets is of 22.01.2025. About more than 09 months have already been lapsed and according to the submission of learned counsel for petitioner, Respondent No. 2/ Tahsildar till date has not taken any action and steps for taking physical possession of the secured assets pursuant to the order passed by CJM, Mungeli.
Hon’ble Supreme Court in R.D. Jain and Co. vs. Capital First Limited and others, 2023 (1) SCC 675 while discussion provision of Section 14 of the SARFAESI Act has observed thus:
“23. However, for taking physical possession of the secured assets in terms of Section 14(1) of the SARFAESI Act, the secured creditor is obliged to approach the CMM/DM by way of a written application requesting for taking possession of the secured assets and documents relating thereto and for being forwarded to it (secured creditor) for further action. The statutory obligation enjoined upon the CMM/DM is to immediately move into action after receipt of a written application under Section 14(1) of the SARFAESI Act from the secured creditor for that purpose. As soon as such an application is received, the CMM/DM is expected to pass an order after verification of compliance of all formalities by the secured creditor referred to in the proviso in Section 14(1) of the SARFAESI Act and after being satisfied in that regard, to take possession of the secured assets and documents relating thereto and to forward the same to the secured creditor at the earliest opportunity.
As mandated by Section 14 of the SARFAESI Act, the CMM/DM has to act within the stipulated time-limit and pass a suitable order for the purpose of taking possession of the secured assets within a period of 30 days from the date of application which can be extended for such further period but not exceeding in the aggregate, sixty days. Thus, the powers exercised by the CMM/DM is a ministerial act. He cannot brook delay. Time is of the essence. This is the spirit of the special enactment.
As observed and held by this Court in NKGSB Coop. Bank [NKGSB Coop. Bank Ltd. v. Subir Chakravarty, (2022) 10 SCC 286 : (2023) 1 SCC (Cri) 157] , the step taken by the CMM/DM while taking possession of the secured assets and documents relating thereto is a ministerial step. It could be taken by the CMM/DM himself/herself or through any officer subordinate to him/her, including the Advocate Commissioner who is considered as an officer of his/her court. Section 14 does not oblige the CMM/DM to go personally and take possession of the secured assets and documents relating thereto. Thus, we reiterate that the step to be taken by the CMM/DM under Section 14 of the SARFAESI Act, is a ministerial step. While disposing of the application under Section 14 of the SARFAESI Act, no element of quasi-judicial function or application of mind would require. The Magistrate has to adjudicate and decide the correctness of the information given in the application and nothing more. Therefore, Section 14 does not involve an adjudicatory process qua points raised by the borrower against the secured creditor taking possession of secured assets.”
In the aforementioned decision Hon’ble Supreme Court has crystlized that the provisions under Section 14 of the SARFAESI Act is a ministerial step and to decide the proceedings under Section 14 time limit fixed is 30 days and if for any reason it is to be extended, not beyond 60 days.
In the aforementioned facts of the case, instead of keeping this writ petition pending seeking reply from Respondent No. 2, I find it appropriate to dispose of this writ petition at this stage directing Respondent No. 2/ Tahsildar to take steps for taking physical possession of the secured assets pursuant to the order of learned CJM, Mungeli passed on 22.01.2025 in accordance with law, expeditiously preferably within an outer limit of 60 days from the date of receipt of copy of this order.
With the aforesaid observation and direction, writ petition stands disposed of. Certified copy as per rules.