Patil Venkanagouda Benakangouda vs The Kallappanna Awade Ichalakaranji Janata Sahakari Bank Limited

A.N. Venugopal Gowda, J.—Petitioner had availed loan from the Navakalyan Co-operative Bank Limited, Hubli, which has merged with the respondent-Bank. According to the petitioner, the entire loan amount was settled during the existence of the then Navakalyan Co-operative Bank Limited i.e., much prior to the amalgamation of the said Bank with the respondent-Bank. The respondent having issued a notice dated 29-1-2014 vide Annexure-C and also the possession notice dated 23-1-2014 under Section 13(4) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, in respect of the property shown in the schedule thereof, this writ petition was filed on 7-2-2014, to quash the Annexure-C and grant consequential reliefs. According to Sri Suresh P. Hudedagaddi, learned Advocate for the petitioner, the entire loan obligation was discharged during 2003 i.e., much prior to the amalgamation of the Navakalyan Co-operative Bank Limited, Hubli which has merged with the respondent-Bank and thus, the respondent is wholly unjustified in issuing Annexure-C and in serving the possession notice.

Concededly, the petitioner can seek relief before the Debts Recovery Tribunal as against the impugned action of the respondents, more particularly, on account of the decisions of the Apex Court in the cases of United Bank of India Vs. Satyawati Tondon and Others, ; Kanaiyalal Lalchand Sachdev and Others Vs. State of Maharashtra and Others, and in the case of GM, Sri Siddeshwara Co-operative Bank Ltd. and Another Vs. Sri Ikbal and Others, . A writ petition under Article 226 of the Constitution of India as against the impugned notice, vide Annexure-C and the enclosed possession notice cannot lie, on account of availability of the statutory remedy under Section 17 of the Act.

In the circumstances, I decline to entertain the writ petition. However, liberty is reserved to the petitioner to avail the alternative and statutory remedy, as against the impugned action of the respondents. The time taken in prosecution of this writ petition from 7-2-2014 shall stand excluded for the purpose of computation of limitation, in case the Debts Recovery Tribunal is approached for relief, on or before 14-7-2014.

Annexure-C and the possession notice produced along with this writ petition be returned to Sri Suresh P. Hudedagaddi, to enable the petitioner to avail the said statutory remedy.