SAI MARUTHI CONSTRUCTIONS Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) This Writ Petition for mandamus is filed to declare the action of respondent No.4 in addressing a letter, dtd. 10/8/2018, to respondent No.3 - Joint Registrar, Nallapadu of Guntur District, not to alienate the property covered by Sy.No.123 and 124 in Plot No.201, bearing H.No.26/46/137 in an extent of 213.8 Sq. Yards, as illegal and consequently sought direction to respondent No.3 not to abide by the said letter.

(2.) Heard learned counsel for the petitioner, learned Assistant Government Pleader for Revenue appearing for respondent Nos.1 to 3 and learned Government Pleader for Commercial Tax appearing for respondent No.4.

(3.) Originally Mr. Y. Madhusudhana Reddy and Y. Bhupalreddy formed into a partnership firm under the name and style "M/s. Sri Narayana Traders" and did business in selling tobacco. They availed loan from Dhanalakshmi Bank by mortgaging the property in the name of the firm, to the Bank. As they committed default in discharging the said loan amount, it appears that the Bank has sold away the said property that was mortgaged for realization of the loan amount from the said M/s.Sri Narayana Traders. The petitioner has participated in the auction held by the Bank and purchased the said property from the Bank in the year 2013 i.e., on 4/12/2013 under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act (for short, "SARFAESI Act"). The Bank has also registered the sale deed in favour of the petitioner in respect of the said property. So, the petitioner became absolute owner of the said property. The petitioner has also subsequently entered into development agreement with the builder and constructed apartments in the said property and also sold away some flats in it.