IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE THOTTATHIL B.RADHAKRISHNAN WEDNESDAY, THE 5TH NOVEMBER 2008 / 14TH KARTHIKA 1930 WP(C).No. 29687 of 2008(H) ------------------------------------ PETITIONER : ---------------- HINDUSTAN PETROLEUM CORPORATION LTD., TATAPURAM P.O., ERNAKULAM 682 018, REPRESENTED BY ITS SENIOR REGIONAL MANAGER, MR.SHUVENDU GUPTA. BY ADV. SRI.E.K.NANDAKUMAR RESPONDENTS : -------------------- 1. STATE BANK OF TRAVANCORE, CIVIL STATION BRANCH-101, KOTTAYAM 686 002, REPRESENTED BY ITS AUTHORISED OFFICER/CHIEF MANAGER. 2. CHIEF JUDICIAL MAGISTRATE'S COURT, KOTTAYAM, PIN CODE 686 002. 3. ANISH RAMAKRISHNAN, ADVOCATE COMMISSIONER, LOGOS CENTRE, KOTTAYAM-1. 4. E.T.THOMAS, ELAMTHOTTAM HOUSE, THALAPALAM VILLAGE, MELAMPARA KARA, KOTTAYAM 682 161. 5. MR.BIJU THOMAS, S/O.E.T.THOMAS, ELAMTHOTTAM HOUSE, THALAPALAM VILLAGE, MELAMPARA KARA, KOTTAYAM 682 161. ADV. SRI.VARGHESE C.KURIAKOSE - R4 SRI.SAJI VARGHESE, SC, SBT - R1 GOVERNMENT PLEADER SRI.K.C.SANTHOSH -R2 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 05/11/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 29687 of 2008(H) APPENDIX PETITIONER'S EXHIBITS : EXT.P1: TRUE COPY OF THE LAND AND SUPERSTRUCTURE LEASE AGREEMENT ENTERED INTO BETWEEN THE PETITIONER CORPORATION AND THE 5TH RESPONDENT DATED 18.10.2001 EXT.P2: TRUE COPY OF THE NOTICE DATED 10.09.2008 ISSUED BY THE COMMISSIONER APPOINTED BY THE HONOURABLE CHIEF JUDICIAL MAGISTRATE COURT TO THE PETITIONER EXT.P3: TRUE COPY OF THE REPRESENTATION DATED 25.09.2008 SUBMITTED BY THE PETITIONER BEFORE THE COMMISSIONER APPOINTED BY THE 2ND RESPONDENT EXT.P4: TRUE COPY OF THE AFFIDAVIT AND PETITION DATED 25.09.2008 FILED BY THE PETITIONER BEFORE THE HONOURABLE CHIEF JUDICIAL MAGISTRATE COURT EXT.P5: TRUE COPY OF THE SKETCH SHOWING THE INSTALLATIONS MADE ON THE LAND WHEREIN THE DEALERSHIP IS SITUATED EXT.P6: TRUE COPY OF THE STATEMENT SHOWING EXPENSES INCURRED IN THE MATTER OF ESTABLISHMENT OF THE RETAIL OUTLET -TRUE COPY- P.A. TO JUDGE pac THOTTATHIL B. RADHAKRISHNAN, J. ================================ W.P.(C).No.29687 of 2008 - H =============================== Dated this the 5th day of November, 2008. J U D G M E N T Respondents 4 and 5 availed a loan from the 1st respondent and created a security interest in its favour, by mortgage. Thereafter, respondents 4 and 5 entered into a transaction with the petitioner, a petroleum company. That lease is only after the mortgage. The security interest supercedes that lease. The proceedings initiated by the bank under the SARFAESI Act as against the debtors, is therefore in order and there is no jurisdictional error or legal infirmity in the proceedings against the security interest. The security property is therefore within the reach of the bank by recourse to SARFAESI Act. The challenge by the lessee company against such proceedings therefore fails and the writ petition is accordingly dismissed. This judgment by itself will not preclude or aid any recourse to proceedings before the Debt Recovery Tribunal under the SARFAESI Act. THOTTATHIL B. RADHAKRISHNAN, JUDGE bkn/-