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Madras High CourtWP/24176/2018disposed of

M/S.Equitas Small Finance v. The District Collector Cum

2018-09-14Honourable Mrs Justice S. Ramathilagam,Honourable Mr Justice M. Venugopal3 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED 14.09.2018

CORAM

THE HON'BLE Mr. JUSTICE M.VENUGOPAL and THE HON'BLE Mrs. JUSTICE S.RAMATHILAGAM W.P.No.24176 of 2018 and W.M.P.No.28175 of 2018 M/s.Equitas Small Finance Bank Ltd., having office at No.769, Spencer Plaza, Phase II, 4th Floor, Anna Salai, Chennai - 600 002, Rep. By its Legal Manager, Mr.D.Vimalan.

.. Petitioner Vs 1.The District Collector Cum District Magistrate, District Collector Office, Tiruvannamalai District.

2.M.Shanmugasundaram 3.S.Ambiga 4.Andiselvam .. Respondents Petition filed under Article 226 of the Constitution of India, praying to issue a WRIT OF MANDAMUS directing the District Collector cum District Magistrate, Tiruvannamalai to expeditious disposal of the Application filed by the Petitioner bank under Section 14 of the SARFAESI Act filed on 02.01.2018 in vide Lr.No.C4/1339/2018 dated .02.2018 on merits within a time limit as may be fixed by this Court in a time bound manner of the said petition.

For Petitioner : Ms.R.Mahamandra Rajalakshmi for Mr.K.Govindarajan For 1st Respondent : Mr.J.Pothiraj Special Government Pleader

O R D E R

[Order of the Court was made by M.VENUGOPAL, J.] Heard the Learned Counsel for the Petitioner. Mr.J.Pothiraj, Learned Special Government Pleader takes notice for the 1st Respondent.

2.To avoid an avoidable delay, notice to the Respondents 2 to 4 is dispensed with. No counter is filed on behalf of the 1st Respondent.

3.According to the Petitioner, the Respondents 2 to 4 approached the Petitioner/Bank for a Secured Loan for their business requirements by mortgaging their property and at the request of the Respondents 2 to 4, they had granted financial assistance to them. As a matter of fact, the Respondents 2 to 4 had failed to make payment of the outstanding amount in respect of the financial assistance provided by the Petitioner/Bank. The loan account of the Respondents 2 to 4 was classified as 'Non Performing Assets'. A Statutory Notice under Section 13(2) of the SARFAESI Act, 2002 was issued on 19.04.2017 among other things calling upon the Respondents 2 to 4 to repay a sum of Rs.86,22,333/- as on 19.04.2017 for discharging their liabilities in full within 60 days from the date of statutory notice.

The Respondents 2 to 4 had neither responded nor paid the amount due to the Petitioner. Hence, the Petitioner has preferred an application dated 02.01.2018 under Section 14 of the SARFAESI Act, 2002 before the 1st Respondent/ District Collector cum District Magistrate, Tiruvannamalai District seeking to take actual possession of the secured assets from the Respondents 2 to 4.

4.It comes to be known that based on the application of the Petitioner dated 02.01.2018, the 1st Respondent/District Collector had addressed a communication in Lr.No.C4/1339/2018, dated .02.2018 to the Tahsildar, Vandavasi with a request to verify with the Revenue Records and conduct a detailed enquiry on the petition and send a report with copies of necessary documents and Revenue Records within a week.

5.The main grievance of the Petitioner is that even though a week's time had elapsed from the date of communication viz., . 02.2018 addressed by the 1st Respondent/District Collector cum District Magistrate, Tiruvannamalai to the Tahsildar, Vandavasi, there is no significant progression in the subject matter in issue, as on date the said application of the Petitioner dated 02.01.2018 is pending.

6.In view of the fact that the application of the Petitioner dated 02.01.2018 is pending on the file of the 1st Respondent/ District Collector cum District Magistrate, Tiruvannamalai, at this stage, this Court, without delving deep into the merits of the matter and also not expressing any opinion about the subject matter in issue, simpliciter, directs the 1st Respondent to dispose of the application of the Petitioner dated 02.01.2018 on merits within a period of four weeks from the date of receipt of copy of this order.

7.With the above direction, the Writ Petition is disposed of. No costs. Consequently, connected Miscellaneous Petition is closed.

Sd/- Assistant Registrar(CS IX) //True Copy// Sub Assistant Registrar Sgl To The District Collector Cum District Magistrate, District Collector Office, Tiruvannamalai District.

+1cc to Mr.K.Govindarajan, Advocate, S.R.No.63665 +1cc to the Government Pleader, S.R.No.64136 W.P.No.24176 of 2018 SJ(CO) rrs 04/10/2018