M G Ashwatha Shastri vs Canara Bank on 1 February, 2011

[Cites 13, Cited by 2]

Karnataka High Court

M G Ashwatha Shastri vs Canara Bank on 1 February, 2011

Bench: Ashok B.Hinchigeri

I
IN THE HIGH COURT OF KARNATAKA AT EANGALORE

GATES THIS THE 1?'? DAY OF FEBRUARY, 2011

BEFORE

THE HC)E\i'E5LE MR. JUSTICE ASHOK B. HINCHIGLé§'E':'  A.

R.F.A,No.iG28/2010 (INJ)
BETWEEN: 1

M13. Ashwatha Shastri,

S/0 M.N.G.Shastri,

Aged about 39 years,

R/at No.158, V  

3"' Cross, Dattatreya Extensic;---m_,fi 1

Kempegowda Nagar,      

Bangalore --=-- 560 019.     '     Appeilant

(By S_ri3--_.:VVi:§7a'3?__a  C3_.:S'S{..VV)i3. Ci'v:3<fate)

AND:

1. Canara Bank,» . ,_ 
Chamarajpe"t..Branc'h,  V '
Ci"1ar:3ai*¢:jpei:, "  '

   S60 
»¥{ep'mse'nted by its Autherised Officer.

 2. A %'A,nd{hr.é *aé~:: L<, 

H  R,Layoui_ Branch,
_ Ban"g.alo,--a_'@'. -. 
x._Repres5ented by its Authorised Officer.

 " ''i£A,\} Ramakrishna,
. :3,/ci:i'E<'; Vittat Nayak,

  Aggeé about 39 years.

 E<:k\f¢Ra§hakr&§§'ma,

SXG KgVitta¥ Nayak;
Aged amps: 3?' years'



3%

 §3§"'QC&&€iiii"i§§) avaiied ef the

S. K.\.!. Qepaiakrishna,
S/'0 i<;.\!ittai Nayak,
Aged about 36 years.

A}! the respendents 3 to S are
Residing together at M0158,
3" Cross Road,

Dattatreya Extension,
Kempegowda Road,
Bangalore -~ 560 019.

(By Sri 0. Ashwathappa, VAdvoECa_te'--fo'r R-3,'  .. " 
Sri P. Chandrashei<ar._Shetty,_for   
Sri A. Kuriiaravei, A€fvo~r:a't»es for R;?.).._   

This Regular First Appeal is fiAie--d.fe--nder Section 96 of the
CPC against orders, dated 2;5_.'2.01O passe.di_iVn--,O.S.No.274:7/09
on the file of the X111 Additionaid Ciit$«'r._C':'Evvii Budge,' Mayo Haii unit,
Bangaiore aiiowing theI,A.i\io,}j};V"f%.ied__ufideiiorder 7 Ruie«11(d)
of CPC rejecting the 43):i"cii_i'it f;E'fed"b\g thievi»-plaintiff; therein as the
same is barred under ;$E;.eciori--. 35? "of the 'S"Avi2.E~AESI Act: and the

appeiiant here'iii"i'rv9EE3"&'.&s S.et'«.is."V%&3i_de' t'i"i'e"~a§bOVe order remand the
matter to the Eoweir*{_?o_w~tV for fresh adjudicatioii by caiiing the
i_.C.Rs. ' ' V "    

This Reguuliiai-r_Vh%Fvirst._A{;.oe'a:i..'i'coming on for Admission this
day, the (ice: rt _de1ive..rec'i"the foliowingz

3 D MENT

Tihis V§sr~.Vd~€rected against the order passed by the

:'v.:AACVo:irt Q?-..__the'.~~Xi)ZiIAiAdditional City Civii Judge, Mayo Halt,

  "'i3.'a'Ai1e'e!ore (cieeizzj on I.A.No.II Err C"}.S.?\io.27'417/O9.

 T. '2,,V "T'ﬁ€ facts of the case in brief are that the respondent

5 and one mere parser: (who was not made a gate; te fiiiarzcéai assistance from the it «_ ¥?,.esVf:ie.:_2denVts es;

3 respondent i\Jes.1 and 2. As the security fer the repayrrient: ef the learn, they have aiso mortgaged the siiit schedule property. As the said berrowers Committed defatift in the pa\;me.ifit~.._of ameurits, the entire man was recalied. The respo.ri_d.enit'jiiigjs-:1"_ and 2 initiated the proceedings imdermtifie SeCii'ri-i;iii$v?iti'<§n'--_ari_d it Reconstruction of Financial Assets anc£"».:En1iorr€:errient.'es"Se'ei.,ii*ityé Interest Act, 2802 ('SARFAESI ACft'«...f0rVsi1ort), Tidev.s_pVpeIIavnt.:V:i» ciaiming to be the tenant approachg§:'~~i¢;'ifi'eggixrii seeking the reiief of permanent injunctitirr"res't:rait'ni.ng--_t§ti.e'respondents from interfering with the peaceftit;3.esse'ssieri enjoyment of the suit schedii|_ei ' proceedings, the resp0ndent7,I_\io._1--eappiicatien invoking Order VII Ruie 11(5) of cpcirorihevi the plaint. The Triai Court, by its orderpidated ailoviied the said LA. and rejected the . .. ..... ..

"'i.'?.i_'rei._a'y;ia'V'v.i<iir*i"iar G5,, the iearned courisei for the Vi":'a€9i3eIiant""siibtpitsgthat Section 34 at the SARFAESI Act does not t.enaVi'it from fiiirig a suit for here injunction. He submits tr'*§e"r'e:iiariCe upon the deeisitin ef the apex court iii the ease rri-.A':emA CHEMICALS LTEL, v, UNION 9F mmitx AND i"-o"'iieu*ri«iees teeerteé in AIR 2004 st 23%., is mi siisteirnabie, because in the said reported case, only bankers and borrowers were irwoived; in the instant casg the suit is féieo by a tenant.

4. He submits that the respondent N05,: and 2 loose the gundas to forcébty throw the appeiiant outeofy "

scheduie property.

5. Relying on this Court's_ decision in_t§o,'ae"'€§'ase i~iUTCHISON essmz scum LIMf'f.TE"D v. Garter: SANVK or= INDIA represented by its'*~~Autﬁ'o'iree§:!.' officer' 8L another reported En ILR 20.07 KAR H4_3r5_2%'t'h'eféVs.t.,.5'.¢§é:s}J__'that under the proceedings of the take at the most the symbolie the actuai possession without fofloraiirag of iaw. Nextiy, he aiso brought: ttfgm},f r1toti<oeV"'ttie eeéeivsion of the Caicutta High Court cese «oVtm§9v!Al\&AGER, um BANK v. SAMAR sA;ir<Aar1As€i)«vr..or,}:seRs reported in AIR 2008 CALCUTTA 9.

"VVt_AA"'3*I;e reIev_ant__~';;:§r~aAgraphs of the said decision are extracted ' H"t§'iet.eE's'1§3e30W:'v... "

Name of the provisions of the safe' Act authorises tee bank to recover possess/'on from .3 tenant Uﬂdéf the V' Wborrewer in 5 mortgaged orooerty in the process of recovery of its mixes from it borrower: if that be so; tire iﬁg.

the 5 bank Cannot evict the tenant of a borrower from a mertgaged ereeerty by virtue of any of the prevveiens of the said Act and if any action of the bank which is not"--- eroteetee' under the Sééfd eet, is chaiienged by suehj"et: '~.._t"'-- tenant in e suit, such ehafienge (rennet he hefd__tb"<f_ie ~ '4 barred under the provision of Section I J' of the se7r'c:f"',¢§;ct_.

12. ACCordr'ngfy, this Com hoici,<;»~th.«3t the s'm?1,»as" . framed by the pie:'ntiff/opposite part}/=.{s n;3ttt;iiarfe;a1i .A the provisien of the said Act. {The feareed ?"rr'af'V_"_;I;,{{:tge hghtfy hefd that the suit is me:'nte£nabfe"'and' :fVhVe.:,t:é'ieji"n'tVVV cannot be rejected. " t i

6. He aiso sought to d*;=e'i"¢_AsQpejpt't"ftQtrf1.;he Madras High Court's decision in the case'.vw-eft_STATeE' OF" INDIA v. GOPAL AL1As"'ne§eAi3m Arm Azvefnen reported in AIR 2009 Madra:$.é5'O', 'Th»e":r"eEexzetnntiitjiigrtion of the said judgment is extracted hereini'3teE,ew: A t _ t__The e'fore.s::e.*'d ;9revr's;'en of law is nothing to theﬁireyer sought for in the suit since the has not sought for an injunction aeefnstt e.h3}V'f;:r.&>ceedings under the SeCurit:'setien Act, . -- The'.4';:ra;?er'r:$t the first respondent/plaintiff is that he ' "--._VV"shojuld be evicted forcibly or /f/egaffy except under L ';:f:1e;t*t1;iI?€>Cees ef haw. He being the tenant of the premises % -- re-Zehtttied to seek fnjeh::t:'on even egeinst the fendtore' er' thee preperty that he sheufd net be evicted exceet under etee ereeees ef few. Hence it is eeen to the revzsien grzetzeeher te take e_eer:::en'ete iegef eetéeh egeihet the 6:

resﬁendent as gaer £314; 22:7 ew'c::f him fmm the suit ﬁfﬁﬁéffﬁf, Ever: :3' the sass': is cfecreed, if is aniy aga;'ns:" iiiegaf avicffan, which Wis? :30: affect any fegai action being taken its evfct the respandent/gsfasmifi Evan by an una'ezTa§<ing' T '»T. given by the petiriener that the ,0eifit:'oner herein wi§{'..;§%§}i"'-:44"'. di§;a0sse3$ the respmndenr harem excepi" z.:na'e,e"*.. dagié'-t i"

§!'OC&§S af iaw, the Csurt beiow can :"&.::':ﬁsﬁ£:j"'VV._i9f;§e::' . undertai<:"ng and dispase the suit', sfrz5émt}1'¢:«,ssjc:'ope;«::éf"'tf7eV saftis ifmited." " ' " " 'V "P. Per ccmtra; Sri D. Ashwatﬁa_;§'p.a;, thé EVa_a2":3Vé»d_ C*ﬁ:_:u';=:se;*i: fer * L' the respondent No.1 subrnitsﬁhat tIf}Ve----7f'riéai"'€?;0urt' h'as_pHa§sed the right order foiiewing the Eaw Supreme Court in Mard£a"s (,e;'ug_3r'a}. ""<iésVé{:, that as the apzgsaitant hai':~; a.lEeA_qf eLd_€r§a2%d;«.%fh-e__ cam: Court dees not get the jazrisdictian t<i'vv.tfy'. aina/"£1'js;§"u--t_é'; which is amenable to the prgwisiorésgckf the SARV;VSAESIV' Act' He read out para 42 of the A{peg':ceg;'%t's:"éie::§:sa«:;r~a in the case of BNITED BANK or INDIA v. S3£TY'A_EAfA9fI.. i'A.N£30N Am: omens resorted in (2910) 3 110}--- It ég foimiws:

.. f'_42. here is anather reasan why the fmgaugnectf Grcfer "'--V s;;f:;_3 a}?';:' be set aside, If Resgondarzt I had any iangibie _' §;fie§*}:snca agagnsz ihe rmtice fssuecf wafer Swzfan 13(4) car " -»v-attierg iakerz zgrmer Seztzioz": 1-4, {her} 5% cause' have avaifear' ramédy 5;» ﬁifag an apgffaatfon zgrzaer Saciim z,?(,:;, The sziﬁresgim ":33?-gr ,3a:er$s3:2" as 3 in Secféary 3€;?'{2} ES as' wide a 7 import. It takes within its foid, not aniy thé borrower but .3350 the guarantor or any ether person whe may be affected by the action taken under Section 13(4) or Secrtiorﬂ-.9 14, Both, the 7"r;'buna! and the Appeffate Tribunal empowered ta pass interim orﬁers under Se<:t!c>ns .;. 18 and are required to decide the matters witfjv{n "-3' fi>§_edL' time scheduie, It is thus evz'dant.:'tf1e.::« tfig-:» rf émé;fié;s._'_}_ avaiiabie to an aggrieved persm uncégr t§2'ef;Ak2F'A'ES;Z AA are both expeditious and effectiye._f'

8. Drawing support from of the decision, he submits that used in Section 17(1) of the AS ARFAEVSVI "ACtv __itT:c;f--~«t,t¢¥;3tt»§:Qvt§i?;/e nature. It inckucies not only this: ébtﬁf-§"O'Né.F, imt a'E'sQ g'uVar:-mtor and a tenant 1200.

9. He alsofead (>14: Délhi High Court's judgment in the C§§Sé«--._of !{UMA§Rv*------§-EANA v. KAMAL. KUMAR NANGIA mu cT'&ER$.:_§e:mf te».d in AIR 201:3 DELHI 210 to buttress his :i '-...ss~:.:i:;mis§§iqt§%thét"titxéiremedy open to the piaintiff - tenant is to apgzfrtjach the Debt Recovery Tribtsnai (DRT) under the SARFAESI Act. In View of the Apex C0urt's V' in the Case of Mardia Chemicais (supra), Qeihi High reftsged ta fsiiew the Caicutta High Catétfs decésitm in the .V.%;as@ 9? Manager, UCG Bank (supra; In ttzég regaré, ﬁe ﬁﬁétég iii?"

3

brought to my notice para 12 of the ﬂeiiié High Court's decision in Vicky's case, whi<:h E as foflowsz ".12. It may be pertinent to mention here that provisions of the act have been sui'fi<:ientiy oeait interoreted by not oniy the Apex Court but also by"'i{arioes L" % High Courts irzeiutiing our own High ...Cou:.'ft the . extensive examination including the t3i!'sse}:tion' ttie*-.,__ various provisions especialiy Sections 13.5 1:? and of the «' Act makes the picture very cieat.--.._;ii?_ese ,oro.yisions.:ar'e'n'ot being speoifica-tiy reoroduced herein n.oweiier,i_tne sum and substance of the section/ ;§rovisi'ai'zsy"tne parameters which emerge from these"sc%i:tioi:=s7i"s 'Cases where the property is mortgage{:'*'oi< ir§*fuVrni'si7et1ias¢:asecurity to a financial institL§ti'or§s.i:.or a"-_ba€ni<"';by"a:.'oers.o.oiAas a security for the loan;'xaynicn:i:'a's__ttieen._ him in the event of nis ciefa_uit__.in o'i'«.iret.,i_cri'3ite installment of the loan or if he o'oes-- not,oayfatiiia'ii.c:or.it his account becomes non- petformingixasset. oanio.'_i'ina:_ri'ciai institutions need not seek ordeyrgfs "tori attaomﬁnent before judgment as is done in the .,_.,;ivii~-iaw»--."untier Order"§(>tXVIII, Rule 5 of the CPC. on the Vcon'trary,,_:'t~!igi.iﬁ&:?--ni< can issue to such tiefauiter, a notice iaci'/ity and ask defauiter borrower to ciear the'--entiretnitstanding within a period of 50 days from tne ' cyoiate of issuance of such a notice and in case the tiefauiter o'o*es_ notiicomoly with the said notice then try to take the '' --.;:§ii--ys_it'ai possession of the property mortgaged or ftzrni'sheo' as a seotmity by foiiowing various steos which it mare enyisageo unoer Section 1354} of the not oy giving a poetic notice and tnereatter go to the (four: of Ciiitvi tinder % 9 Section 14 of the Act and take actual possession of the said property as a secured creditor. In this scheme of things, it has been wsoaiizeo' by the iegisiature that there may he persons other than the borrowers who may interest in the property who may have some ohje::t;'ons'__'__i' regarding the reaii'zati'on of the loan amount secured assets arid for such a person _Se.c,tion Act makes it ahundantiy ciear that any include a 'borrower' as weii asp non~t)orto;¢ter aie;oA"i'f he feeis aggrieved from any actio_ri"~V.of the bank' approach the Qeht Recovery Tribuhaa'. _w.'1i¢::h isa :;pe¢iaii;ea forum created under the itse/thhto eseeiéijeoressyai of his grievance, Further in oro'et_sto nseheme of the Act operative both fUi?C_tﬁGa'3.E1'i?"~<3VS.Air1ie?l';'.';3$""'.€§icf;éCi'l'\/E3 the juﬂsdiction of £§.'ié"§:i?i-"l'i Ceurt has"£3eeh"--spet§iﬂCaiiy barred under iithe Aet;--.i'A "COi"?jOfi:7f reading of the S5. 13, 17'-.anc1 -their/{%'ot_'VExvo_p!d.' cieariy show that even though tt;eVpiai'nt,'ff"w-Tho. claiming himself to be the tenant in respectVof__ the" 'third floor of the suit property W/'?l'(;.'L_?:"k"¥i/citi? p/edgieopvtith the defendant No. 3 as a secured ."assetVha-ortoepproachmthe Debt Recovery Tribunal in case hateitaggiii:r"eveo'----from the action of the defendant No.3 in "rest;-'hag vthe'_"p_ooiieV.notice on 25.122009 or by threatening to take poesvession of the suit property of the premises on 'x__22,03.;?vC?1';0 when the offici'a/s of the bank aiong with the =,,tie:'endan't Nos, 1 and 2 are aiiegeo' to have visited and h' 'th'r'ea.teneo' the plaintiff from being cfiepossessed. Further ' Seeti'on 34 of the act O£i5ff'3i.7 the jurisoietien of the Civii V' Wéourt thereby meaning that this Court ieprohihiteo' freon tasking cognizance of the soft fiiea' by the piaihtih' hirriseii 10 This scheme of thing has been clearly approved by the Apex Court in pares 51 and 59 of Merczfia Chemicals {AFR 2094 SC 23722) (supra), It wiii be worthwhile reproomcing-=._ hereint2eiow the relevant observations of the Apex Cour_t;«.

51. "It has aiso been subrnitted that an eppieai 'V' entertaihehie before the Debts Recovery Trib'a,e.a?:'~.,ohiy . after such measures as provided in sutﬁsection' {4",i=_o.if Section 13 are taken and Section 34 t5ars7'.to"entertain Vanyvihi proceeding in respect of a matter which thehxaebt Recgsgeyry "i"ribunei or the appeiiate Ti'i'i'3't}2"IgSiV'i!» is eihpoweireoﬁ to determine: Thus before,-any act.'on.."L_or"mAeasure'is taken under subsection ('4) of .'E+'e'c'tifor;&._.zEjy "i'e_}srio*hy'tted by Mr. Saive one of the counsel for resphonofents.VVti':a.i' there wouid he no bar to apgroach :fherefo're, it cannot be Said no rerhed{{_i's ey}ai'/ahie fthe ihorrowers. We, however, " -cfo':0_te.ntion as advanced by Shri Saive is'not._correct§'v[4.fu'ii'--.,reading of Section 34 shows that the jui'£sdi"ction _of.th'e Court is barred in respect of matters ye/éhiczht Va' "Beth: éecoyery Tribune! or app-eiiate S"~._Tri'bui}ei;_..tis iempovi/e:'*eo"to determine in respect of any »,ac't'io_n tai<er;._"or__to be taken in pursuance of any power L'"con.iferred:"'.;(ntier,this Act". That is to say the ,orohibition <:o'vers evehezeltters which can be taken cognizance of by the .:iJeoV't.ai2ecovery Trihunai though no measure in that _"o'.frecti'onr--'has so far been taken under SUb-S€'CfiOI"? (4) of V.'-V'_5ec_tio.n 13: It is further to be noted that the her of ' jigrisciictioh is in respect of a proceeding which matter may it " -"hie taken to the 7'ri'oonei. Therefore, any matter in reeoect of which on eetion may be taken ea/eh ieter on? the s:3'y;'i Coort shaft have no }'uris::;fiction to entertain any E 1 ;3roeeeo'i'ng thereof. The bar of Civii Court thus e,o,oiies to all such matters which may be taken cognizance of by the Debt Recovery "tribunal, apart from those matters in which. measures have already been taken under sub»secti'on of Section 13. "' 3'59. "We may ﬁke to observe that proceediirigsﬁsndet « Section 1? of the Act, it; fe'et:v.Jare"'r:ot"._ap;3e_iietje "'V'V proceedings. It seems to be 5 mi'snon*rer.7._tn( fact--i_tJ's_the'r initiai action which is brought«.,_ before the Fo'ronj:v.._;§Vs prescribed under the Act, rei'sinj',o'i'ievance._e'g'eiE:stﬂ[the action or measures tai<e!-T.f3V '\5.ne* (.1nf\th~5ﬁt..i3arties~.to/the contract, It is the stage "€?.l'%"i'f'_"J'I'i'}'}3l g;ii'{§ceee'ing.pp!i'ke fiiing a suit in Civil Court. As a rriett'er .;?rotfeet_f}'}7gs under Section 17 of theiflct 5.;/-e e suit which remedy is oreintarilyfeyfeitaibte tiut fforfthie iseriiunder Section 34 of the Atftthe'3w.ore.sen't case. We may refer to a e'ecisi"onVV'of"t_hi"s in M/WU/SC0020/1 9?'4 :

(1974) 3 SC.R_'_ 882,xVSmRt,' Bar' 1/, Vijay Ktimar & Ors., where i-.r,= _resoec:.tAof 'ori'o'i'nei and appellate ,oroceedings e 'V " ;1isti'nctic§ntAha,s been'o'rawn es foiiows:

_ basic distinction between the right of swt and theV--V't;jfgt2t of apeeai. There is an inherent right in very";ier:;on'to bring a suit of civil nature and uniess one"s "C'i"3{3i'C€... .I_t3 is no ariswer to a suit, howsoever frivolous to v~:if'ciei5rr':;..Athet the iew confers no such right to sue. A suit for _ its' 'nr2'ei'ntei'nabtiity requires no authority of few and it is VA .. werfoogh that no statute bars the suit, But the position in regertf to eppeefs is eeite the oeposite. The right ei' eeeee! i}'?!'IE'!"€5.~i no eee and therefore er: eeeee! for its ?f§§'.i1 meinta1'nabii2'ty must have the deer auzfiverify of few, That expiains why the right of appeai is described as a creature ef statute, "

10. Sri Ashwathappa submits that the posses$i.£3_i:iioiiftihieV. vacant space in question is already taken over. V' submits that the property in question is :i't%éaci=~;_s'oIci.,

11. Sri P. Chandrashekar She'tty, the, iearneo!"'CoLi..If1se.'1'3 for the respondent No.2 submits that hVe:'a-d:op.ts the of Sri Ashwathappa. He further'«-swigbn'i.Vits;.:_that--_th.e'parties who were in possession of the suit served with the notices :;efV.'the"':SARFAESI Act on 31.8.2009. 'aopeliant has never been in possession oftheu He submits that the very fiiingéof the eiollusive exercise undertaken by the erjp_e!ia'a:.t, et :.nvst.ance of the borrowers. 1'Z\"."'V'In vtheceurse of rejoinder, Sri Vinaya Kumar denies

--4%_i.i'_jt:ha_'t~.tE'ie ep;:vVeii:.snt has iost the possession. He submits that a '1._'_'_§'iL:_rfi5_erjoifiocuments are ﬂied by him to show that the appeilant ' V-:"cen'tinLies to be in possession ef the property in questien, 13

13. The respondent Nos.3 to 5 (borrowers) are served with the notices, but have remained unrepresented.

14. Whether the appeiiant is in possession schedoie orooerty, whether the possession is "

Bank, further whether it is made over to etc., are aii the questions which do this appeai. The oniy question that'fafi'§s»for.''censEde'tafi--ori''irfthe '' appeai is! whether the Trial Eoort is"'r'irjh't'i'nc_.rejectin-g the piaint on the ground that its jurisdictionis'considering this point, the advertancVefha--s 'nj.i:ad4e"'~tfC._tI're:2*eievant statutory provisions. E3'ec'tion:':34 the"'Sf\-RFAES'1"A<:t reads as foiiows:

'*3-<i!.:"§ii';r:T'_I juriscIiction.-- No civil court she/i'--c4_nai5'e x';'z_1i*i'sdi'ction' to entertain any suit or proceeding ..,tes,oect.'"-ofv any matter which a Debts ,_ARec.£j§?iery.c;Tri;i7unaAI'"or'v--the Appe/fete Tribunal is empowered ii}./«or e*[iC§'er'--ti"ifS__ACt to determine and no injunction snaii 1 court or other authority in respect of an';(__e%cti"on. or to be taken in pursuance of any power V conferfe';;tb§k".or under this Act or under the Recovery of TBei':t.s ms to Banks and Financial Institutions Act, 1993 "ts; 5'; 1 993).

SM ..._ZEc;>. It is eiso orofitebie to refer to the provisions Contained ."'~f'---«V.%V;rs--«ser:rron :2? of the SVARFAEQL' eat? 14% "17. Rightlto appeal.---- (1) Any person (incizxdmg borrower), aggriavad by any 9:' the measures referred to in sub-sactzkzm (4) of sactien 13 takan by the secured----.__ craditar or his authorised ofﬁcer under this Chapter, [ make an appfication afong with such fee, as rr7ay'=-.';_:¢3¢__'__a' ﬂrescribad] to the {Debts Recover)! Tribw'za;' jurisdiction in the matter witmn forfyrﬁfve da;g§mfro:§'7': L578 date an which such measures baa' been tafgeh ' (,7) Save as otherwise: prow'daci_in frris 'Arr, Recovery Tribunai sfzaii, as far"V'a$:"rmay b'e,__ 'c':i,i§r,?J0$2-.1' appfécarfon in accordance. Wftif?~""f.'?.éf"-- ;5rr;v':'sfor:S~--{>f.vv'Ez'f7e Recavery of Debt5 Due ars}_;fvV fnstitutionﬁ Act, 1993 (51 of 1993) anc}'_ §fhe_VrL?,fgéé tﬁ_¢ré~under. "

16. 'Thus of'j.sA:I§.EA§1S:--,AcEé§such that the civii court's juris<:1icti--on "suit in respect sf a matter which the Debt'algecoxkérffrélzﬁnai or the Appeiiate Tribunai is empowereég 1'fo'~9leter}*né~--r.1 eV2 ,_ isiousted. Further, the Iegésiature has vis'uaE»ized_Vt§1_at«.is--:)f"~-o_niy a borrower but a non--borr0wer could aiso action of the bank. And the remedy of *I__the-aggrééi;*ad'~--Vﬁe'r§on is to file the appeaf. The Deihi High Ceurt has put a meaningfui ' V-:'ir:?1._{Eéf'prV€;?z':ati€)i"': on the words 'any person' found in Sectien 17 and .hg §haid that it is iriciusive sf the berrower, guarantor, tenant GE' $5 any other person. In view of such as inclusive definition, the appeiiarit - piaihtiff has to aaproach the speciaiized forum created under the statute.

18. I are indined to agree with the Deihi decision in the case of Vicky (supra). 'v"i7i'i*e-{)e!h--i: it right reasons and foiiowing the dictum;"iaid..A_Ad"dwn*.|§ythe C€)Ui't is not persuaded to take a vi'ri;--:i>:i(:"'t.a_Ai<en.'t;\'.{_ ti'2_eiCai':c;L:'t'ta High " it Court in the case of Manager; '(5_upra').-~..

19. when the statute ote.scri't:esfa _oa:%ti.(:uEar remedy, the aggrieved party is reqti;ire_d td'ta;i<ﬁe::re.oou'ifs_e to'«that remedy oniy. Skipping or:*,_i3y_oassii*--g~.__:'ti1at~.ﬂi'ernedy, he cannot choose the remedy of fiiinorthe suit, iivhen it is expressiy barred by Segztion 34; oi' the sA'i"tiéAEs1'Aa:.

"'Th'e,_;a:;it'h:oiijties relied upon by the appeiiant"s side do ' W._..hot <:oa'i:e__"tAo the"Vi9e_s€iue of the appeiiant in any way. it Liberty is expressiy reserved to the appeiiant to avaii V"'--.:_t:;f_'_t~he'._Va'opeai remedy. The reasons given by the Triai Court for tr-e§ei:ti'hg the piaint and the reasons giver: by this Court "geoféfirmiee the Triai Cdi.iri:'s arder are oaiy for disposing of this it $6 appeal. if an appeal is ﬁieé by the appeiiant before the DRT, it shaﬁ be adjudicated on merits.

22. If the possession is not yet taken over and taken ever, the respandent N051 andﬁor 2 shait foilcawing the due garocess of Eaw.

23. Subject to the observattierjs mVar_:j_é" h@re§'r§aV%.\.{§_\}e,tjttitis appeaf is dismissed.' No erder as to _ MD

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Karnataka High Court