Tahsildar Must Act on Section 14 Possession Orders Within 45 Days, Absent Stay or Other Impediment.

The Bank’s borrowers defaulted on secured loans, following which the Bank classified the account as an NPA and initiated enforcement proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (“SARFAESI Act”).

After issuing a demand notice under Section 13(2) and a possession notice, the Bank obtained an order under Section 14 from the District Magistrate on 16 October 2025.

The Bank then made representations to the Tahsildar seeking implementation of that order and possession of the secured asset.

Alleging that no effective action had followed, it filed this writ petition seeking directions to decide its representations.

Whether the Tahsildar should be directed to consider the Bank’s pending proceedings or representations and take consequential steps pursuant to the District Magistrate’s Section 14 order.

The proceedings arose under the SARFAESI Act, including Section 13(2), which provides for a demand notice to the borrower, and Section 14, under which the District Magistrate may assist in taking possession of a secured asset.

The Court did not interpret these provisions or rely on any cited precedent; it directed the authority to act in accordance with law, subject to the absence of a hindrance or a stay by a higher authority or competent court.

The Court noted that the Bank had obtained a Section 14 order and that its grievance was the absence of consequential action despite representations to the Tahsildar.

In light of those circumstances and the State’s position that the matter could be processed within a reasonable timeframe, the Court directed the Tahsildar to consider and decide the pending proceedings or representation and take consequential steps in accordance with law.

The direction was expressly conditional on there being no hindrance or applicable stay.

The Court expressed no view on the merits and made no order as to costs.