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[Cites 3, Cited by 0]

Madhya Pradesh High Court

Seema Gupta vs Union Bank Of India on 5 May, 2026

Author: Anand Pathak

Bench: Anand Pathak

          NEUTRAL CITATION NO. 2026:MPHC-JBP:35173




                                                                 1                              WP-15086-2026
                                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. 15086 of 2026
                                                  SEEMA GUPTA AND OTHERS
                                                           Versus
                                               UNION BANK OF INDIA AND OTHERS
                           Appearance:
                                 Shri Siddharth Shrivastava - Advocate for the petitioners (through legal aid).
                                 Shri Shreyash Dubey - Advocate or the respondent No.1.
                                 Shri Ritwik Parashar - Advocate for the respondent No.2 and 3/State.

                                                                     ORDER

Per: Justice Anand Pathak With consent, heard finally.

This petition under Article 226 of Constitution of India has been filed seeking the following reliefs :-

"(i) That, this Hon'ble court may be pleased to issue a writ in the nature of Certiorari, so as to quash and set aside the impugned order dated 07.01.2026 (Annex P/7) passed by Respondent No.2 and may also be pleased to quash impugned notice dated 23.01.2025 (Annex P/1) issued by Respondent No.1, whereby the account of the Petitioners has been illegally and arbitrarily classified as NPA, in the interest of justice.
(ii) That, this Hon'ble court may be pleased to issue a writ in the nature of Certiorari, so as to quash and set aside the impugned order dated 20.06.2025 (Annex P/3) passed by Respondent No.1, in the interest of justice.
Signature Not Verified Signed by: SANTOSH KUMAR TIWARI Signing time: 06-05-2026 11:21:15

NEUTRAL CITATION NO. 2026:MPHC-JBP:35173 2 WP-15086-2026

(iii) Any other relief which this Hon'ble Court may deem just and proper in the facts and circumstances of the case may kindly be issued in favour of the petitioner along with cost of the petition."

2. It is a submission of learned counsel for the petitioners that today respondents intend to take possession of the residential flat of petitioners and this would render them at vulnerable position because they have no other roof under which they can live. Their loan amount is raised up to Rs.9,00,000/-. Petitioners are ready to pay part of the loan amount to show their bonafides. Their anxiety is that their possession be protected till their pending application filed under Section 17 of of Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short "the Act, 2002") be decided by DRT, Jabalpur. No Presiding Officer is available and DRT is not functional, therefore, this petition is preferred.

3. Although counsel for the respondent No.1 informs this Court that total liability from different accounts of petitioners amounts to more than Rs.19,00,000/- and odd sums.

4. Considering the submissions and the fact that DRT is not functional and no Presiding Officer is available to adjudicate the application under Section 17 of Act, 2002 preferred by borrowers/mortgagers, as an interim arrangement under peculiar facts and circumstances of the case, this Court passes following order :-

(i) Petitioners shall pay Rs.1,00,000/- within fifteen days from today to the Bank.
(ii) Another Rs.2,00,000/- shall be paid within next fifteen days to the Bank.
(iii) Another Rs.3,00,000/- shall be paid by the petitioners to the Bank within two months from today.
Signature Not Verified Signed by: SANTOSH KUMAR TIWARI Signing time: 06-05-2026 11:21:15

NEUTRAL CITATION NO. 2026:MPHC-JBP:35173 3 WP-15086-2026

(iv) If amount is paid by the petitioners as discussed above, then respondents shall not dispossess the petitioners from their residential flat and they shall be permitted to stay there.

(v) Bank shall be at liberty to consider one-time settlement proposal, if any, preferred by the petitioners and same shall be accepted by the Bank as per their regulations/guidelines/rules, however, sympathetically looking to the nature of loan.

(vi) Whenever DRT becomes functional and Presiding Officer is available, then petitioners shall have to press the application under Section 17 of the SARFAESI Act, 2002 or any application for interim relief within one month from the date of assumption of the charge by Presiding Officer, if matter is not settled between the parties.

(vii) It is made clear that in breach of any condition, Bank shall be at liberty to proceed against petitioners in accordance with law.

(viii) The petitioners are directed to communicate this order to the Registrar, DRT, Jabalpur within seven working days from today.

5. Let the copy of this order be sent to Registrar.

6. With the aforesaid directions, the writ petition is disposed of in aforesaid terms.

                                    (ANAND PATHAK)                                        (B. P. SHARMA)
                                        JUDGE                                                  JUDGE
                           skt




Signature Not Verified
Signed by: SANTOSH
KUMAR TIWARI
Signing time: 06-05-2026
11:21:15