IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE THOTTATHIL B.RADHAKRISHNAN TUESDAY, THE 24TH MARCH 2009 / 3RD CHAITHRA 1931 WP(C).No. 7789 of 2009(P) ------------------------- PETITIONER(S): --------------- MUHAMMEDKUTTY, S/O.ALAVI, 39 YEARS, VARAMANGALATH HOUSE,KARAKKAD, KONDOORKARA, PATTAMBI, OTTAPALAM TALUK. BY ADV. SMT.T.D.RAJALAKSHMI SRI.R.SREEHARI RESPONDENT(S): --------------- 1. STATE BANK OF INDIA,PATTAMBI BRANCH, PATTAMBI REPRESENTED BY ITS BRANCH MANAGER. 2. THE AUTHORISED OFFICER,STATE BANK OF INDIA, REGIONAL OFFICE, PALAKKAD. 3. SUB DIVISIONAL MAGISTRATE, OTTAPALAM. BY GP SRI K C SANTHOSH KUMAR THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 24/03/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: THOTTATHIL B RADHAKRISHNAN, J ........................................... WP(C).NO. 7789 OF 2009 ............................................ DATED THIS THE 24TH DAY OF MARCH, 2009 JUDGMENT The petitioner has two fold contentions. He says that the impugned action taken under Section 14 of SARFAESI Act, going by Ext.P1, issued by the third respondent, who is incompetent to do so, since it is only the District Magistrate, who could exercise the power under Section 14, is illegal. The second contention is that Ext.P3 representation to the bank for an instalment facility is not being considered. The fact that there is default in repayment of the loan amount is not disputed. The jurisdiction to invoke the provisions of SARFAESI Act is not under challenge. Obviously, therefore the limited question is only as to whether the third respondent Sub Divisional Magistrate was within the authority to act on the request of the bank under Section 14. The situation leading to Ext.P1 has been created by the District Magistrate forwarding the application of the bank to the Sub Divisional Magistrate. There is no delegation of power under Section 14 of SARFAESI Act. It has to be exercised by the District Magistrate. WP(C) 7789/2009 2 Therefore by the force of this judgment, the proceedings of the Sub Divisional Magistrate including issuance of Ext.P1 will stand quashed and the Sub Divisional Magistrate is directed to forthwith transmit the bank's application forwarded to him, back to the District Magistrate, Palakkad and the other officer will carry out the necessary exercise under Section 14 in accordance with law. It is also directed that if the petitioner deposits an amount of Rs.1,00,000/- on or before 31.3.2009 and a further amount of Rs.1,50,000/- on or before 30.4.2009, the bank will consider Ext.P3 sympathetically. Writ petition ordered accordingly. THOTTATHIL B RADHAKRISHNAN, JUDGE lgk/26/3