01Facts
The petitioners challenged the Chief Judicial Magistrate, Kawardha’s ex parte order dated 11 September 2026 under Section 14 of the SARFAESI Act, 2002, directing delivery of possession of the secured asset to the respondent-finance company.
¶ 1 · ¶ 3They submitted that they had filed a securitisation appeal, Diary No. 3639/2026, but it and their application for interim relief had not been heard because of difficulties in the functioning of the Debts Recovery Tribunal; matters relating to DRT Jabalpur were being dealt with by DRT Ahmedabad.
¶ 3They sought protection against coercive steps pending consideration of the appeal and interim application.
¶ 2–302Issues
i.Whether interim protection against coercive steps should be granted while the petitioners’ securitisation appeal and application for interim relief remained pending before the Tribunal.
¶ 3–5ii.Whether the petitioners should first seek urgent hearing and interim relief from the competent Tribunal.
¶ 4–603Law Applied
The proceedings arose from an application under Section 14 of the SARFAESI Act, 2002, pursuant to which the Chief Judicial Magistrate had directed delivery of possession of the secured asset.
¶ 3The Court proceeded on the basis that the pending securitisation appeal and application for interim relief were matters for the competent Tribunal to consider; it expressed no view on the merits of the appeal and directed that the Tribunal consider the applications in accordance with law.
¶ 4, 6Provisions in the judgment · 1 · Linked ones open on LawLens
Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 Section 14
04Reasoning
Since the petitioners’ securitisation appeal and interim-relief application were already pending before the competent Tribunal, the Court considered it appropriate for them to seek an urgent hearing there rather than determine the merits of the dispute in the writ petition.
¶ 3–4In view of the stated difficulty in securing a hearing and the circumstances of the case, it granted temporary protection against coercive steps to allow the petitioners time to approach the Tribunal.
¶ 3, 505Holding
The petition was disposed of with a direction that the petitioners file an application seeking urgent hearing before DRT Ahmedabad (In-charge DRT Jabalpur) within 15 days.
¶ 5The respondents were directed not to take coercive steps against the petitioners for 15 days from the date of the order.
¶ 5The Court clarified that it had expressed no opinion on the merits and left consideration of the urgent-hearing and interim-relief applications to the Tribunal in accordance with law.
¶ 6Original Court PDF
SMT. LALITA BAI JAINvsINDIA SHELTER FINANCE CORPORATION LTD.
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