CHOLAMANDALAM INVESTMENT AND FINANCE COMPANY Vs. DISTRICT MAGISTRATE

JUDGEMENT

(1.) The present petition under Article 226 of the Constitution of India is preferred by the petitioner seeking following reliefs:

(2.) Precisely stated facts of the case, giving rise to the present petition are that petitioner is a financial institution as defined under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (hereinafter referred to as "the Securitization Act"). Petitioner company extended the loan facility to the borrower in lieu of property mortgaged by the borrower. Thereafter, since borrower failed to pay the loan amount, therefore, petitioner issued a notice under Sec. 13(2) of the the Securitization Act but borrower did not chose to repay the loan amount. Therefore, petitioner moved an application under Sec. 14 of the the Securitization Act before the District Magistrate, Gwalior for taking possession of the property from the borrower. That application was allowed on 5/1/2023 directing the concerned Tahsildar to take possession of the property under mortgage.

(3.) Despite the order of District Magistrate, Gwalior, since possession of the property was not handed over to the petitioner, therefore, petitioner preferred writ petition No.17288/2023 and thereafter Contempt Petition 2252/2024 before this Court and ultimately possession was handed over to the petitioner on 30/7/2024. However, borrower and his family members again reentered into the possession of the mortgaged property on the pretext of removing their belongings from the mortgaged property and thereafter, not ready to vacate the mortgaged premises. Petitioner again approached the respondents authorities but they denied to help the petitioner on the pretext that the order of District Magistrate, Gwalior dated 05-01- 2023 has already been executed and now they cannot re-execute the said order. Therefore, petitioner is before this Court.