IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) MONDAY, THE FIFTEENTH DAY OF SEPTEMBER TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MR JUSTICE V.V.S.RAO WRIT PETITION No.27141 of 2005 Between: 1 N. Ramesh Kumar, S/o. N. Rangaiah, R/o. Flat No. 204, M.N.R. apartment, H.No.12-11- 171/1/10, Uppar Basthi, Namala Gundu, Secunderabad. 2 A. Srinivas, S/o. A. Venkatadri, R/o. Flat No.102, M.N.R. Apartment, H.No.12-11- 171/1/10, Uppar Basthi, Namala Gundu, Sec'bad. ..... Petitioners AND 1 Punjab & Sind Bank, rep. by its Manager, Office at First Floor, Panchasheel Towers, M.G.Road, Secunderabad. 2 P. Lingads, S/o. P. Laxmaiah, R/o. Flat No.301, Manasa Residency, Upper Basthi, Mamalagundu, Secunderabad. .....Respondents Petition under Article 226 of the constitution of India praying that in the circumstances stated in the Aﬃdavit ﬁled herein the High Court will be pleased to issue Writ order or direction more particularly one in the nature of Writ of Mandamus, declaring the action of the 1st respondent in trying to illegally evict the petitioners from Flat Nos.204 and 102, M.N.R. Apartments, H.No.12-11-171/1/10, Upper Basthi, Namala Gundu, Secunderabad, under the cover of possession notice dt. 5.1.2005 issued to the 2nd respondent U/Sec. 13(4) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 as illegal, arbitrary and further direct the 1st respondent bank not to evict the petitioners from the property without following the due process of Law, and to grant such other relief or reliefs as this Hon'ble Court deems fit and proper in the circumstances of the case. Counsel for the Petitioner: MR.C.RAGHU Counsel for the Respondents: MR. DEEPAK BHATTA CHARJEE The Court made the following: THE HON’BLE SRI JUSTICE V.V.S.RAO WRIT PETITION No.27141 of 2005 ORDER: Petitioners ﬁled writ petition seeking a writ of Mandamus declaring action of ﬁrst respondent Bank in trying to evict petitioners from Flat No.204 and Flat No.102, M.N.R. Apartment, H.No.12-11-171/1/10, Uppar Basthi, Namala Gundu, Secunderabad, as illegal and arbitrary. Though interlocutory matter, W.P.M.P.No.34861 of 2005 for an order of injunction against ﬁrst respondent, is coming before this Court, the matter is involved a short question, heard ﬁnally and is being disposed of by this order. First respondent Bank initiated action under Section 13(2) of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act, for short). Second respondent who is borrower, did not comply with the procedure under Section 13(2), leading to action/notice under Section 13(4) of SARFAESI Act read with Rule 8(1) of Security Interest (Enforcement) Rules 2002 (Security Rules, for short). Petitioners are tenants of two ﬂats belonging to second respondent. They allege that without there being due compliance with requirement of Section 14 of SARFAESI Act and Rule 8 of Security Rules, ﬁrst respondent Bank took symbolic possession and is trying to sell away property. Petitioners have ﬁled suits being O.S.No.980 of 2005 and obtained ad interim injunction orders. In spite of the same, as there is eminent danger of being evicted, they ﬁled present writ petition. First respondent has ﬁled counter aﬃdavit, inter alia, stating that as second respondent failed to pay the amount, action was initiated under SARFAESI Act, that pursuant to action under Section 13(4) of the Act, Executive Magistrate took possession. The matter is heard today. Learned Standing Counsel for ﬁrst respondent Bank has placed before this Court a communication dated 12.9.2008 stating that possession of property is still with Bank since 22.3.2007 and the said property has not been sold so far. There is alternate remedy for petitioners under Section 17 of SARFAESI Act before jurisdictional Debt Recovery Tribunal. In view of the fact that possession is already taken and petitioners as tenants have right to appeal, this Court is not inclined to interfere in the matter. Giving liberty to petitioners to prefer appeal within two weeks from today, the writ petition is dismissed. ______________ (V.V.S.RAO, J) September 15, 2008 NOTE: Dispatch order copy tomorrow. (By order) YS 1 Punjab & Sind Bank, rep. by its Manager, Oﬃce at First Floor, Panchasheel Towers, M.G.Road, Secunderabad. 2. Two C.D. Copies.