N. MADHAVAN Vs. DEBT RECOVERY APPELLATE TRIBUNAL

JUDGEMENT

(1.) The proprietor of the 6th respondent in this writ petition namely P.K.Selvaraj is the brother-in-law of the petitioner and the 6th respondent was granted secured overdraft limit of Rs.5 lakhs from the 5th respondent bank on 13.8.2002 and the petitioner herein stood as a guarantor and pledged his property therefor and created an equitable mortgage in respect of the immoveable property consisting of a land and residential building situate at New SF.No.47/5A Plot No.23, Old Door No.4/A/23, New Door No.5/14 NGGO's Colony, Chinnamudalaipatti Village, Namakkal Taluk and District.

(2.) The original borrower/6th respondent had committed default in payment of dues and therefore the loan account was declared as non performing asset and a notice under section 13(2) of the SARFAESI Act was issued on 28.2.2004 and it was followed by a possession notice, issued under section 13(4) of the said Act. It appears that the immovable property offered by the petitioner herein, by way of equitable mortgage was brought for sale and it was sold in favour of one Karthik Raja on 27.5.2009 and sale certificate was also issued in favour of auction purchaser on 12.2.2010.

(3.) The petitioner herein through his minor son Ilamparuthi has filed a suit for partition in O.S.No.210 of 2007 on the file of District Munsif Court, Namakkal, wherein, the minor son of the petitioner took a stand that the property in question was not mortgaged for family necessity and it would not be binding on it and the said suit came to be dismissed on 9.2.2011 and the same has become final.