Abdul Kareem P vs Union Bank Of India on 1 April, 2026

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    Kerala High Court

    Abdul Kareem P vs Union Bank Of India on 1 April, 2026

    Author: Anil K. Narendran

    Bench: Anil K. Narendran

    W.A.No.824 of 2026                    1               2026:KER:29991
    
                   IN THE HIGH COURT OF KERALA AT ERNAKULAM
    
                                   PRESENT
    
                THE HONOURABLE MR. JUSTICE ANIL K. NARENDRAN
    
                                      &
    
               THE HONOURABLE MR. JUSTICE MURALEE KRISHNA S.
    
      WEDNESDAY, THE 1ST DAY OF APRIL 2026 / 11TH CHAITHRA, 1948
    
                              W.A.NO.824 OF 2026
    
                   AGAINST THE JUDGMENT DATED 26.03.2026 IN WP(C)
    
                NO.42912 OF 2025 OF THE HIGH COURT OF KERALA
    
    
    APPELLANT/PETITIONER:
    
                  ABDUL KAREEM P.,
                  AGED 58 YEARS
                  S/O.MOIDU, PULLANI HOUSE, OTHUKUNGAL P.O.,
                  MALAPPURAM, PIN - 676528
    
                  BY ADVS.
                  SRI.DINESH R.SHENOY
                  SMT.SHANTHIPRIYA D. SHENOY
                  SHRI.MOHAMED SHALI NAMSHAD
                  SMT.ANJANA A.
                  SHRI.ANANDA SUBRAMANIAM
    
    
    RESPONDENTS/RESPONDENTS:
    
          1       UNION BANK OF INDIA,
                  KOZHIKODE MAIN BRANCH, MARIAMBI BUILDING,
                  CHEROOTTY ROAD, KOZHIKODE, REPRESENTED BY ITS
                  CHIEF MANGER AND AUTHORISED OFFICER, PIN - 673001
    
          2       M/S. FOOTSTEPS,
                  DOOR NO.8/303, OQSU MINI INDUSTRIAL ESTATE,
                  NALLOOR, FEROKE, KOZHIKODE, REPRESENTED BY ITS
                  DESIGNATED PARTNER PULLANI ASSAIN, AGED 60 YEARS,
                  S/O. MOIDU, PIN - 673032
    
          3       PULLANI ASSAIN,
                  AGED 60 YEARS
                  S/O.MOIDU, PULLANI HOUSE, OTHUKUNGAL P.O.,
                  MALAPPURAM, PIN - 676528
     W.A.No.824 of 2026                         2                  2026:KER:29991
    
          4          MINI K.P.,
                     AGED 53 YEARS
                     W/O LATE.RAJEEV T.K, 15/1326, UNION HOUSE,
                     RARAMVEEDU PARAMBA, KOTTAMPARAMBU P.O., KOZHIKODE,
                     PIN - 673008
    
          5          JISHNU RAJEEV T.K.,
                     S/O LATE.RAJEEV T.K., 15/1326, UNION HOUSE,
                     RARAMVEEDU PARAMBA, KOTTAMPARAMBU P.O., KOZHIKODE,
                     PIN - 673008
    
    
                     BY ADV SRI.C. MURALIKRISHNAN (PAYYANUR)
    
    
    OTHER PRESENT:
    
                     SRI. C. MURALIKRISHNAN (PAYYANUR)
    
    
              THIS    WRIT   APPEAL   HAVING   COME   UP   FOR   ADMISSION    ON
    01.04.2026, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
     W.A.No.824 of 2026                     3                   2026:KER:29991
    
    
    
                                  JUDGMENT
    

    Anil K. Narendran, J.

    The petitioner has filed W.P.(C)No.42912 of 2025,

    SPONSORED

    invoking the extraordinary jurisdiction of this Court under

    Article 226 of the Constitution of India, seeking a writ of

    mandamus commanding 1st respondent Union Bank of India

    to consider and pass orders on Ext.P7 representation dated

    09.05.2025 and grant at least 12 equated monthly instalments,

    after hearing the petitioner and the 2nd respondent, within a

    time frame to be fixed by this Court, before any coercive

    proceedings are undertaken by the bank under the provisions

    of the Securitisation and Reconstruction of Financial Assets

    and Enforcement of Security Interest Act, 2002 (SARFAESI

    Act).

    2. The learned Single Judge, by the impugned

    judgment dated 26.03.2026, dismissed the writ petition,

    without prejudice to the contentions and right of the petitioner

    to avail the statutory remedy. Paragraphs 3, 4 and also the

    last paragraph of that judgment read thus;

    “3. The learned counsel for the 1st respondent
    vehemently opposed entertaining this writ petition and
    granting the reliefs to the petitioner since, he has an
    W.A.No.824 of 2026 4 2026:KER:29991

    efficacious alternative remedy before the DRT.

    4. I find considerable force in the submissions made by
    the learned counsel for the 1st respondent. The
    Honourable Apex Court in a catena of decisions,
    including the decisions in Phoenix ARC Pvt. Ltd. v.
    Vishwa Bharati Vidya Mandir and others
    [2022
    KHC OnLine 6040], South Indian Bank Ltd. (M/s.)

    v. Naveen Mathew Philip [2023 KHC OnLine 6435]
    and PHR Invent Educational Society v. UCO Bank

    [2024 KHC OnLine 6208], have categorically held
    that writ petitions against SARFAESI proceedings must
    not be entertained since, the aggrieved persons have
    an alternative and efficacious remedy before the DRT.
    In such circumstances, this writ petition is dismissed
    without prejudice to the contentions and right of the
    petitioner to avail the statutory remedy.”

    3. Challenging the judgment dated 26.03.2026 of the

    learned Single Judge, the appellant-petitioner is before this

    Court in this writ appeal, invoking the provisions under Section

    5(i) of the Kerala High Court Act, 1958.

    4. The learned counsel for the appellant-petitioner

    would submit that the learned Single Judge dismissed the writ

    petition without properly considering the contentions raised by

    the petitioner, even without granting a breathing time to the

    petitioner to avail the statutory remedy.

    5. On the other hand, the learned counsel for the 1 st
    W.A.No.824 of 2026 5 2026:KER:29991

    respondent bank would point out that the total amount

    outstanding as on 26.03.2026 in the cash credit facility availed

    by the appellant-petitioner comes to Rs.50,05,750/-. The 3rd

    respondent had earlier approached this Court in

    W.P.(C)No.18220 of 2025, which was disposed of by Ext.P5

    judgment dated 19.05.2025. Thereafter, the 4th respondent

    filed W.P.(C)No.23285 of 2025, which was disposed of by

    Ext.P8 judgment dated 27.06.2025. On account of the default

    committed by the borrowers in payment of the monthly

    installments, the bank proceeded with the coercive steps

    under the SARFAESI Act, which cannot be interfered with in a

    writ petition filed under Article 226 of the Constitution of India.

    6. In United Bank of India v. Satyawati Tondon

    [(2010) 8 SCC 110], a Two-Judge Bench of the Apex Court

    held that if the 1st respondent guarantor had any tangible

    grievance against the notice issued under Section 13(4) of the

    SARFAESI Act or the action taken under Section 14, then he

    could have availed remedy by filing an application under

    Section 17(1) before the Debts Recovery Tribunal. The

    expression ‘any person’ used in Section 17(1) is of wide

    import. It takes within its fold, not only the borrower but also
    W.A.No.824 of 2026 6 2026:KER:29991

    the guarantor or any other person who may be affected by the

    action taken under Section 13(4) or Section 14. Both, the

    Tribunal and the Appellate Tribunal are empowered to pass

    interim orders under Sections 17 and 18 and are required to

    decide the matters within a fixed time schedule. It is thus

    evident that the remedies available to an aggrieved person

    under the SARFAESI Act are both expeditious and effective.

    7. In Satyawati Tondon [(2010) 8 SCC 110], on

    the facts of the case at hand, the Apex Court noted that the

    High Court overlooked the settled law that the High Court will

    ordinarily not entertain a petition under Article 226 of the

    Constitution if an effective remedy is available to the

    aggrieved person and that this rule applies with greater rigour

    in matters involving recovery of taxes, cess, fees, other types

    of public money and the dues of banks and other financial

    institutions. While dealing with the petitions involving

    challenge to the action taken for recovery of the public dues,

    etc. the High Court must keep in mind that the legislations

    enacted by Parliament and State Legislatures for recovery of

    such dues are a code unto themselves, inasmuch as, they not

    only contain comprehensive procedure for recovery of the
    W.A.No.824 of 2026 7 2026:KER:29991

    dues but also envisage constitution of quasi-judicial bodies for

    redressal of the grievance of any aggrieved person. Therefore,

    in all such cases, the High Court must insist that before

    availing the remedy under Article 226 of the Constitution, a

    person must exhaust the remedies available under the

    relevant statute.

    8. In South Indian Bank Ltd. v. Naveen Mathew

    Philip [(2023) 17 SCC 311], in the context of the challenge

    made against the notices issued under Section 13(4) of the

    SARFAESI Act, the Apex Court reiterated the settled position

    of law on the interference of the High Court invoking Article

    226 of the Constitution of India in commercial matters, where

    an effective and efficacious alternative forum has been

    constituted through a statute. In the said decision, the Apex

    Court took judicial notice of the fact that certain High Courts

    continue to interfere in such matters, leading to a regular

    supply of cases before the Apex Court. The Apex Court

    reiterated that a writ of certiorari is to be issued over a

    decision when the court finds that the process does not

    conform to the law or the statute. In other words, courts are

    not expected to substitute themselves with the decision-

    W.A.No.824 of 2026 8 2026:KER:29991

    making authority while finding fault with the process along

    with the reasons assigned. Such a writ is not expected to be

    issued to remedy all violations. When a Tribunal is constituted,

    it is expected to go into the issues of fact and law, including a

    statutory violation. A question as to whether such a violation

    would be over a mandatory prescription as against a

    discretionary one is primarily within the domain of the Tribunal.

    The issues governing waiver, acquiescence and estoppel are

    also primarily within the domain of the Tribunal. The object

    and reasons behind the SARFAESI Act are very clear as

    observed in Mardia Chemicals Ltd. v. Union of India

    [(2004) 4 SCC 311]. While it facilitates a faster and

    smoother mode of recovery sans any interference from the

    court, it does provide a fair mechanism in the form of the

    Tribunal being manned by a legally trained mind. The Tribunal

    is clothed with a wide range of powers to set aside an illegal

    order, and thereafter, grant consequential reliefs, including

    repossession and payment of compensation and costs. Section

    17(1) of the SARFAESI Act gives an expansive meaning to the

    expression ‘any person’, who could approach the Tribunal.

    9. In Naveen Mathew Philip [(2023) 17 SCC
    W.A.No.824 of 2026 9 2026:KER:29991

    311], the Apex Court noticed that, in matters under the

    SARFAESI Act, approaching the High Court for the

    consideration of an offer by the borrower is also frowned upon

    by the Apex Court. A writ of mandamus is a prerogative writ.

    The court cannot exercise the said power in the absence of

    any legal right. More circumspection is required in a financial

    transaction, particularly when one of the parties would not

    come within the purview of Article 12 of the Constitution of

    India. When a statute prescribes a particular mode, an

    attempt to circumvent that mode shall not be encouraged by

    a writ court. A litigant cannot avoid the non-compliance of

    approaching the Tribunal, which requires the prescription of

    fees, and use the constitutional remedy as an alternative. In

    paragraph 17 of the decision, the Apex Court reiterated the

    position of law regarding the interference of the High Courts

    in matters pertaining to the SARFAESI Act by quoting its

    earlier decisions in Federal Bank Ltd. v. Sagar Thomas

    [(2003) 10 SCC 733], United Bank of India v. Satyawati

    Tondon [(2010) 8 SCC 110], State Bank of Travancore

    v. Mathew K.C. [(2018) 3 SCC 85], Phoenix ARC (P) Ltd.

    v. Vishwa Bharati Vidya Mandir [(2022) 5 SCC 345] and
    W.A.No.824 of 2026 10 2026:KER:29991

    Varimadugu Obi Reddy v. B. Sreenivasulu [(2023) 2 SCC

    168] wherein the said practice has been deprecated while

    requesting the High Courts not to entertain such cases. In

    paragraph 18 of the said decision, the Apex Court observed

    that the powers conferred under Article 226 of the Constitution

    of India are rather wide, but are required to be exercised only

    in extraordinary circumstances in matters pertaining to

    proceedings and adjudicatory scheme qua a statute, more so

    in commercial matters involving a lender and a borrower, when

    the legislature has provided for a specific mechanism for

    appropriate redressal.

    10. In view of the law laid down by the Apex Court in

    Satyawati Tondon [(2010) 8 SCC 110] and reiterated in

    Naveen Mathew Philip [(2023) 17 SCC 311], if the

    appellant-petitioner has any grievance against the

    proceedings initiated by the secured creditor under Section 13

    or Section 14 of the SARFAESI Act, he could have availed the

    statutory remedy by filing an application under Section 17 of

    the said Act before the Debts Recovery Tribunal.

    11. When the remedy available to an aggrieved person

    under Section 17 of the SARFAESI Act is both expeditious and
    W.A.No.824 of 2026 11 2026:KER:29991

    effective, as held by the Apex Court in Satyawati Tondon

    [(2010) 8 SCC 110], the borrower, the guarantor or any

    other person who may be affected by the action taken by the

    secured creditor under Section 13 or Section 14 of the

    SARFAESI Act have to approach the Debts Recovery Tribunal

    availing the statutory remedy provided under Section 17 of

    the said Act, instead of invoking the writ jurisdiction of this

    Court under Article 226 of the Constitution of India.

    12. Viewed in the light of the law laid down in the

    decisions referred to supra, we find absolutely no grounds to

    entertain this writ appeal, since W.P.(C)No.42912 of 2025 filed

    by the appellant-petitioner is not maintainable under Article

    226 of the Constitution of India.

    In the result, this writ appeal, which is nothing but an

    abuse of the process of court, fails and the same is accordingly

    dismissed.

    Sd/-

    ANIL K. NARENDRAN, JUDGE

    Sd/-

    MURALEE KRISHNA S., JUDGE

    MIN



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