Madhya Pradesh High Court
Smt Savita Choudhary vs Hinduja Housing Finance Ltd. on 5 May, 2026
Author: Anand Pathak
Bench: Anand Pathak
NEUTRAL CITATION NO. 2026:MPHC-JBP:35154
1 WP-14431-2026
IN THE HIGH COURT OF MADHYA PRADESH
AT JABALPUR
BEFORE
HON'BLE SHRI JUSTICE ANAND PATHAK
&
HON'BLE SHRI JUSTICE B. P. SHARMA
ON THE 5 th OF MAY, 2026
WRIT PETITION No. 14431 of 2026
SMT SAVITA CHOUDHARY AND OTHERS
Versus
HINDUJA HOUSING FINANCE LTD. AND OTHERS
Appearance:
Shri Dharmendra Soni - Advocate for the petitioners.
Shri Saurabh Kumar Tiwari - Advocate for respondent no.1.
Ms. Kanaklata Gaharwar - Government Advocate for the State-
respondent no.2.
ORDER
Per: Justice Anand Pathak With consent, heard finally.
Present writ petition is preferred under Article 226 of the Constitution of India seeking following reliefs:
"(i) Issue a writ in the nature of certiorari to quash the entire proceeding being undertaken by the Respondent No.1 Bank under the provision of Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 along with quashment of notices dated 07/04/2026 issued by Respondent No.2.
(ii) To grant any other relief, which this Hon'ble Court may deem fit and proper in the facts and circumstances of the case Signature Not Verified Signed by: PRASHANT SHRIVASTAVA Signing time: 07-05-2026 10:51:50 NEUTRAL CITATION NO. 2026:MPHC-JBP:35154
2 WP-14431-2026 including cost of the litigation in favour of the petitioner."
2. Petitioners are the borrowers and respondent no.1 is a creditor. Petitioners borrowed Rs.6,20,000/- from respondent no.1 upon mortgage of property. However, they could not repay the loan amount, therefore, proceedings under Sections 13/14 of Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short "the Act, 2002") ensued. Resultantly, respondent no.1 intends to auction the property, which is mortgaged by petitioners.
3. Counsel for the petitioners, at the outset, submits that an application under Section 17 of the Act, 2002 is being preferred before DRT, Jabalpur, after proceedings under Section 14 of the Act, 2002 is culminated.
However, DRT, Jabalpur being not functional, it rendered the petitioners in a vulnerable position. Apparently they are remediless. Counsel for the petitioners further informs this Court that the petitioners are ready to deposit Rs.5,00,000/- as an interim arrangement to show their bonafides and, meanwhile, their prayer for status quo be considered till DRT, Jabalpur, becomes functional. Thereafter they may press the application under Section 17 of the Act, 2002 before the said forum. They are ready to settle down the defaulted account, if respondent no.1 is ready to accommodate them.
4. Counsel for respondent no.1 fairly submits that if the petitioners come out with a viable and workable settlement/proposal, then respondent no.1 will certainly look into it. It is further submitted that since it was a landed property, therefore, suitable condition may be imposed.
5. Considering the rival submissions and peculiar fact situation, this Signature Not Verified Signed by: PRASHANT SHRIVASTAVA Signing time: 07-05-2026 10:51:50 NEUTRAL CITATION NO. 2026:MPHC-JBP:35154 3 WP-14431-2026 petition stands disposed of with following directions:-
(i). That petitioners shall deposit Rs.5,00,000/- within 45 days with respondent no.1 Hinduja Housing Finance Limited, Sagar..
(ii). If amount is deposited within 45 days, then respondent no.1 shall not proceed for auction. However, if the amount is not deposited within 45 days, then respondent no.1 shall be at liberty to proceed further against petitioners as per law.
(iii). If the said amount is deposited within 45 days, then respondent no.1 shall permit the petitioners to hold the property and auction proceedings shall not be initiated. However, once DRT, Jabalpur becomes functional, then petitioners shall have to press an application under Section 17 of the Act, 2002 within a month from the date DRT becomes functional and this interim arrangement shall be applicable and effective for one month only from the date DRT, Jabalpur becomes functional. Thereafter, respondent no.1 shall be at liberty to proceed as per the law and directions issued by DRT, if any.
(iv). Respondent no.1 is at liberty to consider the proposal for settlement offered by petitioners as per law and their relevant policy.
(v) This order is passed in peculiar fact situation and is only a transient arrangement. It does not raise any equity in forum of borrower.
6. With aforesaid expectation of early hearing of application filed by the petitioners under Section 17 of the Act, 2002 by DRT, Jabalpur, petition stands disposed of.
Signature Not Verified Signed by: PRASHANT SHRIVASTAVA Signing time: 07-05-2026 10:51:50 NEUTRAL CITATION NO. 2026:MPHC-JBP:35154 4 WP-14431-2026 (ANAND PATHAK) (B. P. SHARMA) JUDGE JUDGE ps Signature Not Verified Signed by: PRASHANT SHRIVASTAVA Signing time: 07-05-2026 10:51:50