$~105

* IN THE HIGH COURT OF DELHI AT NEW DELHI

+ W.P.(C) 14779/2022, CM APPLs. 45420/2022 & 45421/2022
ASHIMA GOYAL AND ORS ..... Petitioners
Through: Mr. Anil Kumar Gupta, Advocate.

versus

RESERVE BANK OF INDIA & ANR. ..... Respondents

Through: Mr. Sanjeev Bhandari and Mr. Kunal
Mittal, Advocates.

CORAM:
HON'BLE MR. JUSTICE SANJEEV NARULA
ORDER
% 19.10.2022

1. The Petitioners are co-borrowers of loan extended by Respondent

No.2 (M/s. Cholamandalam Investment and Finance Company Limited) by
mortgaging property bearing No. B-49, C.C. Colony Malka Ganj, Near Rana
Pratap Bagh, New Delhi-110007 as collateral security.
2. Due to Petitioners’ default and their loan account being classified as
an NPA, Respondent No. 2 issued a demand notice under Section 13(2) of
Securitisation and Reconstruction of Financial Assets and Enforcement of
Security Interest Act, 2002 (hereinafter ‘the Act’), followed by a possession
notice under Section 13(4) of the Act. Petitioners availed their statutory
remedy by filing a Securitization Application under Section 17 before the
DRT, which was dismissed vide order dated 14th September, 2022. Now,
Respondent No. 2 is at the verge auctioning the secured asset, which is
scheduled for 21st October 2022, hence, the Petitioner has approached this

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Digitally Signed W.P.(C) 14779/2022 Page 1 of 4
By:SAPNA SETHI
Signing Date:19.10.2022
20:57:00
 court.
3. Petitioners have an alternate statutory remedy of filing an appeal
against the order of the DRT, which has not been availed yet. Despite that,
the Petitioners seek the following prayers:
“(i) to issue appropriate writ, order or direction to the respondent no.1 RBI
to consider petitioner's request letter dated 28.09.2022 and to ensure that
respondent no 2&3 acts in accordance with its regulation and do not act
arbitrarily by auctioning the house/property of property no. B-49, C.C.
Colony Malka Ganj Near Rana Pratap Bagh, New Delhi 110007 of the
petitioner and
(ii) to grant interim stay, restraining the respondents no.2&3 against from
the proposed sale/auction dated 21.10.2022 of the house/property B-49,
C.C. Colony Malka Ganj Near Rana Pratap Bagh, New Delhi 110007 of the
petitioners, pending decision of the writ petition; and
(iii) to direct the respondents no.2&3 to consider the petitioner's request
dated 20.09.2022, render the loan accounts of the petitioner as per RBI
Guide lines and to do one time settlement with petitioner after all just
adjustments of the paid amount by the petitioner:
(iv) Further direct the respondents to provide specified detailed statement of
account of the paid and outstanding loan amount bifurcating the interest B-
49, C.C. Colony Malka Ganj Near Rana Pratap Bagh, New Delhi 110007
therein belonging to Petitioner no.3 & 4 are illegal, void ab initio and nullis
juris;
(v) Quash and set aside the impugned Notice of sale of immovable property
dated 03.10.2022 issued under rule 9(1) of) of the Security Interest
(Enforcement) Rules, 2002 (Rule 8 & 9).”

4. Having regard to the well-settled position in law regarding

maintainability of a writ petition in matters pertaining to SARFAESI Act,
the Court prima facie finds no good ground to entertain the present petition.
5. Nevertheless, Mr. Anil Kr. Gupta, counsel for the Petitioners, states at
the outset, that Petitioners are interested to settle the matter, in response to
which, Mr. Sanjeev Bhandari, counsel for the Respondent No. 2, states that
while the Respondent are interested in the same, Petitioners should first
establish their bona fides by making a deposit in a no lien account.
6. In light of the above statement, Mr. Gupta, on instructions, states that

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By:SAPNA SETHI
Signing Date:19.10.2022
20:57:00
 amount of Rs. 50 lakhs shall be deposited with this Court on or before 1st
November, 2022 and a further Rs. 50 lakhs by 30th November, 2022.
7. Next, Mr. Bhandari has expressed an apprehension that in the event
the Petitioners’ proposal does not come through, Respondent No. 2 would be
severely prejudiced on account of delay caused. He states that in such
circumstances, if settlement talks fall through, Petitioner should be liable to
pay interest for the intervening period at the rate of 12% per annum, being
the current lending rate of Respondent No. 2. Mr. Gupta is agreeable to this
suggestion.
8. In view of the above, following directions are passed:
a. The statements made by respective counsel are taken on record and
parties are held bound to the same.
b. Petitioners shall submit their settlement proposal to Respondent No.2,
within a period of fifteen days from today, setting out a detailed
repayment plan.
c. Petitioners shall deposit Rs. 50 lakhs with this Court on or before 1st
November, 2022, and a further Rs. 50 lakhs by 30th November, 2022.
d. In case the Petitioners do not make the abovementioned deposit
within, stipulated timelines, Respondent No. 2 will be free to take
action as per law.
e. In order to facilitate the settlement process, parties are referred to
Delhi High Court Mediation and Conciliation Centre. The Mediation
Centre is requested to appoint Mr. Sudhanshu Batra, Senior Advocate
as the Mediator in the present case, who is requested to conduct the
same expeditiously, and attempt to conclude, not later than 1 month
from today.

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By:SAPNA SETHI
Signing Date:19.10.2022
20:57:00
 f. In the event settlement between the parties does not fructify,
Petitioners shall be liable to pay interest at the rate of 12% per annum
on the outstanding amount of Rs. 5,26,85,370/-, from today, till date
the date final decision is taken with respect to the settlement proposal
by Respondent No. 2. The interest liability as per the above agreed
terms shall be adjusted against the deposit made by Petitioner, as
mentioned in para (b), as per directions of the Court, if and when need
so arises.
g. Considering the above stand of the parties, action of the bank of
auctioning the property shall be kept in abeyance till the next date of
hearing.
9. It is clarified that the above directions are without prejudice to the
rights of the parties.
10. List before the Mediation Centre on 28th October, 2022.
11. List before the Court for reporting of outcome of mediation, if any, on
12th December, 2022.
12. This order be given dasti under the signatures of Court Master.

SANJEEV NARULA, J
OCTOBER 19, 2022
nk

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Digitally Signed W.P.(C) 14779/2022 Page 4 of 4
By:SAPNA SETHI
Signing Date:19.10.2022
20:57:00