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Madhya Pradesh High Court

Iifl Home Finance Limited Having Its ... vs The State Of Madhya Pradesh on 15 May, 2025

Author: Anand Pathak

Bench: Anand Pathak, Hirdesh

         NEUTRAL CITATION NO. 2025:MPHC-GWL:10890




                                                                   1                                   WP-17330-2025
                                IN     THE       HIGH COURT OF MADHYA PRADESH
                                                       AT GWALIOR
                                                            BEFORE
                                              HON'BLE SHRI JUSTICE ANAND PATHAK
                                                               &
                                                HON'BLE SHRI JUSTICE HIRDESH
                                                       ON THE 15 th OF MAY, 2025
                                                   WRIT PETITION No. 17330 of 2025
                             IIFL HOME FINANCE LIMITED HAVING ITS REGISTERED OFFICE AT
                                     IIFL HOUSE SUN INFOTECH PARK ROAD NO. 16V
                                                        Versus
                                     THE STATE OF MADHYA PRADESH AND OTHERS
                           Appearance:
                             Shri Ajay Sharma, learned counsel for the petitioner.
                             Shri Vivek Khedkar, learned Additional Advocate General for respondent/State.

                                                                    ORDER

Per: Justice Anand Pathak The present petition is preferred by petitioner under Article 226 of the Constitution of India seeking following reliefs :-

i) That, the CJM, Gwalior, may be directed to act in accordance with section 14 of the SARFAESI Act and the directions issued by Hon'ble Highcourt in W.P. No. 26176/2023 and dispose the same within the stipulated time limit.

ii) any other relief deemed fit and expedient in the facts of the case may also be granted to the petitioner,

2. At the outset, counsel for petitioner informs this Court that petitioner is a secured creditor and filed an application under Section 14 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act (for brevity, 'the SARFAESI Act') before CJM, Gwalior in the month of February, 2025. The matter was heard on 25.02.2025 and placed on different dates, which is the bone of contention.

3. He also raised the point that many such matters are pending at the instance Signature Not Verified Signed by: PRACHI MISHRA Signing time: 5/16/2025 11:10:31 AM NEUTRAL CITATION NO. 2025:MPHC-GWL:10890 2 WP-17330-2025 of secured creditors before CJM Court and they are awaiting disposal.

4. According to counsel for petitioner, as per Section 14 of the SARFAESI Act, such application under Section 14 the SARFAESI Act is to be decided within 60 days as an outer limit. Here much time has been consumed and the matter is still at initial stage. Learned counsel for petitioner also refers order dated 23.11.2023 passed in W.P. No.26176/2023 (Equitas Small Finance Bank Ltd. Vs. the State of M.P.) to bolster his submission.

5. After perusal of Section 14 of the SARFAESI Act and the order passed in the case of Equitas Small Finance Bank Ltd. (Supra) , it appears that concerned courts have to decide the applications under Section 14 of the SARFAESI Act within 60 days as an outer limit. Said order in Equitas Small Finance Bank Ltd. (Supra) was circulated to all CJM Courts through the Registrar General of this Court.

6. It is expected that the concerned Authority/C.J.M shall rise to the occasion and would proceed in accordance with law as per the statute and spirit of the order as echoed in case of Equitas Small Finance Bank Ltd. (Supra) .

7. The instant petition stands disposed of , accordingly.

                                     (ANAND PATHAK)                                         (HIRDESH)
                                         JUDGE                                                JUDGE
                           Prachi




Signature Not Verified
Signed by: PRACHI MISHRA
Signing time: 5/16/2025
11:10:31 AM