Madhya Pradesh High Court
Heera Polymers Through Prop: Abdul ... vs Central Bank Of India on 13 May, 2026
Author: Anand Pathak
Bench: Anand Pathak
NEUTRAL CITATION NO. 2026:MPHC-JBP:38264
1 WP-17269-2026
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 13th OF MAY, 2026
WRIT PETITION No. 17269 of 2026
HEERA POLYMERS THROUGH PROP: ABDUL SHAFEEQ AND
OTHERS
Versus
CENTRAL BANK OF INDIA AND OTHERS
Appearance:
Shri Asheesh Poddar - Advocate for the petitioners.
Shri Kaustubh Singh - Advocate for respondents no.1 and 2.
Shri Darshan Soni - Government Advocate for the State-respondent
no.3.
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:
"(a) Seeking a writ of mandamus directing that the respondents may kindly be restrained from taking any coercive action against the petitioners in pursuance to the impugned order passed on 11.03.2026 by learned CJM, Jabalpur, till the DRT Jabalpur becomes functional.Signature Not Verified Signed by: PRASHANT SHRIVASTAVA Signing time: 15-05-2026 10:36:08
NEUTRAL CITATION NO. 2026:MPHC-JBP:38264 2 WP-17269-2026
(b) Seeking a writ of mandamus directing that this Hon'ble Court may kindly direct the respondents to give afresh notice of appropriate time before taking any action, after the DRT Jabalpur becomes functional.
(c) That the measures taken by respondent bank under section 13(2) Demand notice, may kindly be declared invalid.
(d) That the impugned order dated 11.03.2026, passed by the learned CJM Jabalpur in Case No. MJCR/2361/2026, passed under Section 14 of the SARFAESI Act and letter to respondent no.3 to take physical possession, may kindly be quashed/ set aside.
(e) That the respondents may kindly restrained from taking any further action in respect of the aforesaid secured assets by putting it in public auction or transferring it otherwise.
(f) That the respondent bank may kindly be directed to produce all the documents including the paper declaring the account NPA, before this Hon'ble Court.
(g) That the respondent bank may kindly be directed to pay compensation to the petitioners for taking harsh illegal and arbitrary impugned measures against them.
(h) That the cost of this application be awarded to the petitioners.
(i) That any other relief as may be deemed fit by the Hon'ble Court under the facts and circumstances of the case may also be granted."
2. Petitioners are the borrowers and respondent nos. 1 and 2 are creditors. Petitioners borrowed Rs.69,68,500/- from respondent to run a business. However, even after paying certain installments, they could not repay the loan amount, therefore, proceedings under Sections 13/14 of Signature Not Verified Signed by: PRASHANT SHRIVASTAVA Signing time: 15-05-2026 10:36:08 NEUTRAL CITATION NO. 2026:MPHC-JBP:38264 3 WP-17269-2026 Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short "the Act, 2002") ensued. Resultantly, respondent nos. 1 and 2 intends to auction the vacant land, 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.7,00,000/- 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 bank is ready to accommodate them.
4. Counsel for the respondent fairly submits that if the petitioners come out with a viable and workable settlement/proposal, then bank will certainly look into it. It is further submitted that since it was a vacant land, therefore, suitable condition may be imposed.
5. Considering the rival submissions and peculiar fact situation, this petition stands disposed of with following directions:-
(i). That petitioners shall deposit 50% of amount out of the borrowed amount within one month with respondent -Central Bank of India.
(ii). If amount is deposited within one month, then respondent shall Signature Not Verified Signed by: PRASHANT SHRIVASTAVA Signing time: 15-05-2026 10:36:08 NEUTRAL CITATION NO. 2026:MPHC-JBP:38264 4 WP-17269-2026 not proceed for auction. However, if the amount is not deposited within a month, then bank shall be at liberty to proceed further against petitioners as per law.
(iii). If the said amount is deposited within a month, then respondent shall permit the petitioners to hold the land 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, bank shall be at liberty to proceed as per the law and directions issued by DRT, if any.
(iv). The bank 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 favour 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.
(ANAND PATHAK) (B. P. SHARMA)
JUDGE JUDGE
ps
Signature Not Verified
Signed by: PRASHANT
SHRIVASTAVA
Signing time: 15-05-2026
10:36:08