E. MUTHURATHINASABATHY Vs. SRI INTERNATIONAL

JUDGEMENT

(1.) Leave granted.

(2.) The two sets of appeals arise out of proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 [SARFAESI Act]. Appellants [auction purchasers, hereafter] in the lead appeals are the auction purchasers whereas Central Bank of India [secured creditor, hereafter] is the appellant in the connected appeals. They question the correctness and legality of the common judgment and order dtd. 12/4/2023 passed by the High Court of Judicature at Madras [High Court] while deciding Writ Petition Nos. 32958 of 2022 and 32016 of 2022. In substance and in gravamen, the High Court allowed two writ petitions instituted by the borrowers and the guarantor with directions, resulting in setting aside of recovery measures undertaken by the secured creditor under the SARFAESI Act including the annulment of an auction sale conducted to enforce a secured debt.

(3.) Respondent 1 is a partnership firm [firm, hereafter], whose partners are respondents 2 and 3 [borrowers, hereafter]. Respondent 4 stood as guarantor for the loan. Since the appeals emanate from the same loan transaction, the same secured assets, and a common judgment of the High Court, they have been heard together and are being disposed of by this common judgment.