High Court of KeralaSingle JudgeDismissed

Stephy K Regi Medha B.S. v. State of Kerala and Others

Case / Petition Number:CRL.M.C. No.9492 of 2023
Neutral Citation:/

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • P. V. Kunhikrishnan
Judgment Date
2023-12-12
Court Decision / Holding
This Criminal Miscellaneous Case is dismissed.
Final Disposition
Dismissed

Parties to the Case

Appellants / Petitioners

  • Stephy K Regi Medha B.S.

Respondents

  • State of Kerala represented by Public Prosecutor, High Court of Kerala
  • The South Indian Bank Ltd., Regional Office at Regency Square, K.K. Road, Collectors P.O., Kottayam, PIN 686002
  • Honey Binu Augustine, W/o. Binu Augustine, Elampasseril House, Pravithanam P.O., Bharanangangan Village, Meenachil Taluk, Kottayam District, PIN 686651
  • Cini Augustine, aged 45 years, D/o. Late Augustine Joseph, Elampasseril House, Pravithanam P.O., Bharanangangan Village, Meenachil Taluk, Kottayam District, PIN 686651

Legal Representation & Advocates

Counsels for Petitioners

  • • George Mathew
  • • M. Sasikumar an
  • • Elsa Denny Pindis
  • • Sunil Kumar A.G
  • • Mathew K.T.
  • • George K.V.

Counsels for Respondents

  • • Sunil Shankar (Senior Counsel for The South Indian Bank)
  • • Sanal P Raj
  • • Vidya Gangadhararan(K/000424/2020)

Case Synopsis & Summary

This Criminal Miscellaneous Case arises from a SARFAESI-related eviction dispute in which Stephy K Regi Medha B.S. (the applicant) challenges Annexure A4, an order dated 04.11.2023 passed by the Chief Judicial Magistrate, Kottayam in MC 638 of 2022, which permitted eviction of respondents in the secured asset matter. The petitioners seek to quash the CJM’s order to safeguard ends of justice, arguing that the SARFAESI proceedings initiated against them require a proper challenge in the appropriate forum and that a Sub Court injunction restraining eviction (CMA 18/23 in CMA 18/23, Sub Court, Pala) should have overriding effect. On 09.11.2023, this Court admitted the Crl.M.C. and stayed dispossession for 30 days to enable the petitioners to pursue legal remedies. A report from the Chief Judicial Magistrate, Kottayam indicates that the Sub Court’s injunction restrains the bank’s possession and that the order under challenge is subject to the due process of law. The Court cautions about judicial discipline in handling civil orders produced before another court and notes that such civil orders may be void or not have overriding effect. It ultimately holds that the SARFAESI process must be challenged in the appropriate forum and relies on the Supreme Court decision in M/s. Phoenix ARC Pvt. Ltd. v. B. Ganesh Moorthi to deny further extension, dismissing the Crl.M.C.

Provisions of Law Cited

SARFAESI Act – Section 34SARFAESI Act – Section 35

Legal Doctrines & Maxims

  • Ends of justice
  • Judicial discipline
  • Overriding effect of court orders

Submissions & Arguments

Contentions of Appellants / Petitioners

The applicants submitted that Annex A4 (04.11.2023 CJM order in MC638/2022) should be quashed to meet ends of justice. They argued that a stay of dispossession was already granted for 30 days, and that a Sub Court injunction in CMA 18/23 restrained eviction, which should not be overridden by civil court orders. They contended that SARFAESI proceedings must be challenged in the proper forum and that any action by the bank without due process would be improper.

Contentions of Respondents

The respondents contended that the SARFAESI proceedings against the petitioners had been initiated and that they must pursue remedies in the appropriate forum. They argued that the 30-day stay had expired and that due process through the Commissioner was permissible, notwithstanding any injunction, and that the civil court order could not override SARFAESI actions.

Cited Precedents (3)

Case NameCitationTreatmentExplanation
Muhammad Rafeeq & Another v. Bank of Baroda & Another2010 (1) KLJ 605PositiveCited as authority for SARFAESI interplay with injunctive orders and enforcement actions under sections 34-35.
Sasi & Another v. Housing Development Finance Corporation Ltd. & Others2010 (3) KLJ 154PositiveCited in the context of SARFAESI remedies and due process considerations.
M/s. Phoenix ARC Pvt. Ltd. v. B. Ganesh Moorthi & AnotherSLP Nos. 22093-22094 of 2022PositiveCited to emphasize that no further extension can be granted, aligning with Supreme Court guidance in stay extensions in SARFAESI matters.

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Extracted Judgment Text

Exact text extracted from official judgment records.

# **`IN THE HIGH COURT OF KERALA AT ERNAKULAM`** ## **`PRESENT`** ``` THE HONOURABLE MR. JUSTICE P.V.KUNHIKRISHNAN ``` # **`TUESDAY, THE 12[TH] DAY OF DECEMBER 2023 / 21ST AGRAHAYANA, 1945 CRL.MC NO. 9492 OF 2023`** # **`AGAINST THE ORDER/JUDGMENT MC 638/2022 OF CHIEF JUDICIAL MAGISTRATE, KOTTAYAM`** ## **`PETITIONER(S)/RESPONDENTS 1,3,5 & 6:`** - **`1 BINU AUGUSTINE AGED 52 YEARS, S/O. LATE AUGUSTINE JOSEPH, ELAMPASSERIL HOUSE, PRAVITHANAM P.O., BHARANANGANAM VILLAGE, MEENACHIL TALUK, KOTTAYAM DISTRICT, PIN - 686651`** - **`2 ALEX AUGUSTINE AGED 42 YEARS, S/O. LATE AUGUSTINE JOSEPH, ELAMPASSERIL HOUSE, PRAVITHANAM P.O., BHARANANGANAM VILLAGE, MEENACHIL TALUK, KOTTAYAM DISTRICT, PIN - 686651`** - **`3 MINI AUGUSTINE AGED 49 YEARS, D/O. LATE AUGUSTINE JOSEPH, ELAMPASSERIL HOUSE, PRAVITHANAM P.O., BHARANANGANAM VILLAGE, MEENACHIL TALUK, KOTTAYAM DISTRICT, PIN - 686651`** ``` 4BIJU AUGUSTINE AGED 47 YEARS, S/O. LATE AUGUSTINE JOSEPH, ELAMPASSERIL HOUSE, PRAVITHANAM P.O., BHARANANGANAM VILLAGE, MEENACHIL TALUK, KOTTAYAM DISTRICT, PIN - 686651 ``` ``` BY ADVS. GEORGE MATHEW M.D.SASIKUMARAN ELSA DENNY PINDIS SUNIL KUMAR A.G MATHEW K.T. GEORGE K.V. ``` ``` CRL. M.C. NO.9492 OF 2023 ``` 2 ## **`STEPHY K REGI MEDHA B.S.`** - **`RESPONDENT(S)/STATE, PETITIONERS & RESPONDENTS 2 & 4: 1 STATE OF KERALA REPRESENTED BY PUBLIC PROSECUTOR,HIGH COURT OF KERALA, PIN - 682031`** - **`2 THE SOUTH INDIAN BANK LTD REGIONAL OFFICE AT REGENCY SQUARE, K.K. ROAD, COLLECTORATE P.O., KOTTAYAM, PIN - 686002`** - **`3 HONEY BINU AGED 43 YEARS, W/O. BINU AUGUSTINE, ELAMPASSERIL HOUSE, PRAVITHANAM P.O., BHARANANGANAM VILLAGE, MEENACHIL TALUK, KOTTAYAM DISTRICT, PIN - 686651`** - **`4 CINI AUGUSTINE`** - **`AGED 45 YEARS, D/O. LATE AUGUSTINE JOSEPH, ELAMPASSERIL HOUSE, PRAVITHANAM P.O., BHARANANGANAM VILLAGE, MEENACHIL TALUK, KOTTAYAM DISTRICT, PIN - 686651`** - **`BY ADVS.`** - **`SRI. SUNIL SHANKAR SC FOR SOUTH INDIAN BANK SRI. SANAL P RAJ, PP SMT. VIDYA GANGADHARAN(K/000424/2020)`** ``` THIS CRIMINAL MISC. CASE HAVING COME UP FOR ADMISSION ON 12.12.2023, THE COURT ON THE SAME DAY PASSED THE FOLLOWING: ``` ``` CRL. M.C. NO.9492 OF 2023 ``` 3 # **P.V.KUNHIKRISHNAN, J. -------------------------------Crl.M.C. No.9492 of 2023** **--------------------------------------Dated this the 12[th] day of December, 2023** ## **O R D E R** This Criminal Miscellaneous Case is filed with the following prayers; “to quash Annx.A4 order dtd. 04.11.2023 in M.C. No.638 of 2022 of the Chief Judicial Magistrate’s Court, Kottayam, to meet the ends of justice.” 2. When this Crl.MC came up for consideration, on 09.11.2023, this Court passed the following order; ## “Admit. 2. The Public Prosecutor takes notice for the 1st respondent. Adv.Sunil Sankar takes notice for the 2nd respondent. The counsel for the petitioners submitted that the respondents 3 and 4 are formal parties. 3. Admittedly, SARFAESI proceeding is ``` CRL. M.C. NO.9492 OF 2023 ``` 4 initiated against the petitioners. The petitioners have to challenge the proceedings before the appropriate court. Therefore, the petitioners have to take appropriate steps in accordance with law. To facilitate the petitioners to do the needful, taking physical dispossession of the petitioners property shall be deferred for a period of 30 days. 4. The Registry will get a report from the Chief Judicial Magistrate Court, Kottayam about the order dated 04.11.2023 in M.C.No.638/2022, in which, it is stated that the order of the Sub Court, Pala will no way affect or is having an overriding effect on the order passed by the Chief Judicial Magistrate. The circumstances by which such an order is passed should be explained. Post along with the report on 23.11.2023.” 3. It will be beneficial to extract AnnexureA4 order passed by the Chief Judicial Magistrate, Kottayam; “Petitioner is represented. Commissioner is represented. R5 represented. Commissioner produced copy of injunction order of the Sub Court, Pala restraining the petitioner bank from ``` CRL. M.C. NO.9492 OF 2023 ``` 5 evicting the respondents. The said order will in no way affect or is having an overriding effect on the order passed by this Court in the above MC. Hence, the commissioner is directed to execute the warrant and file commission report forthwith. Call on 10.11.2023.” 4. Thereafter, when the matter came up for consideration on 23.11.2023, the case is posted to today. A report is received from the Chief Judicial Magistrate, Kottayam as directed by this Court. In the report it is stated like this; “On 04.11.2023, the commissioner produced a copy of injunction order in IA. 1/23 in CMA 18/23 dated 12.09.2023 of the Sub Court, Pala restraining the authorized officer of the petitioner bank from evicting the respondents from the plaint schedule property until further orders saying that in view of the injunction order, he could not take possession of the secured asset. Then, in view of S.34 and 35 of the SARFAESI Act and the decisions in Muhammad Rafeeq & Another vs. Bank of Baroda and Another reported in 2010 (1) KLJ 605 and Sasi and Another Vs. ``` CRL. M.C. NO.9492 OF 2023 ``` 6 Housing Development Finance Corporation Ltd. and Others reported in 2010(3) KLJ 154, as well as the fact that the petitioner bank/respondent in the Crl.MA is attempting to take possession of the secured asset from the respondents under due process of law through the commissioner deputed by this court, the order under reference in the Crl. M.C pending before the Hon'ble High Court of Kerala was passed by this court. This is most humbly submitted for kind perusal in obedience to the direction of the Hon'ble High Court of Kerala in the Order under reference.” 5. When orders are passed by one court and produced it in another court, a judicial discipline is necessary while dealing the same. When the civil court order is produced before the Chief Judicial Magistrate in this case, I am dissatisfied the way in which the learned Chief Judicial Magistrate Court dealt with the same. The orders of the civil court may be wrong or void or 7 ``` CRL. M.C. NO.9492 OF 2023 ``` may not be having overriding effect to another court’s orders. There are superior courts to correct it. Anyway, I leave it there. 6. In the order dated 09.11.2023, itself this Court clearly stated that SARFAESI proceedings is initiated against the petitioner and the petitioner has to challenge the proceedings before the appropriate court. Only to facilitate the petitioner to approach the appropriate authority, this Court stayed the dispossession for 30 days. That period is already over. No further extension can be passed by this Court in the light of the decision of the Supreme Court in **M/s. Phoenix ARC Pvt.Ltd. vs. B. Ganesh Moorthi and another SLP Nos.22093-22094 of 2022.** ``` CRL. M.C. NO.9492 OF 2023 ``` 8 Therefore, this Criminal Miscellaneous Case is dismissed. Sd/- nvj **P.V.KUNHIKRISHNAN JUDGE** ``` CRL. M.C. NO.9492 OF 2023 ``` 9 ## **`APPENDIX OF CRL.MC 9492/2023`** ## `PETITIONER ANNEXURES` ``` ANNEXURE A1TRUE COPY OF NOTICE DTD. 07.05.2022 ISSUED BY AUTHORISED OFFICER FOR 2ND RESPONDENT ``` - `ANNEXURE A2 TRUE COPY OF ORDER DTD. 24.08.2023 IN I.A. NO. 1 OF 2022 IN O.S. NO. 213 OF 2022 OF THE MUNSIFF'S COURT, ERATTUPETTA` - `ANNEXURE A3 TRUE COPY OF ORDER DTD. 12.09.2023 IN I.A. NO. 1 OF 2023 IN C.M.A. NO. 18 OF 2023 OF THE SUBORDINATE JUDGE'S COURT, PALA` - `ANNEXURE A4 CERTIFIED TRUE COPY OF ORDER DTD. 04.11.2023 IN M.C. NO. 638 OF 2022 OF THE CHIEF JUDICIAL MAGISTRATE'S COURT, KOTTAYAM` ``` RESPONDENT ANNEXURES ``` - `ANNEXURE R2(A) THE TRUE COPY OF STAY PETITION IA NO.2507 OF 2023` - `ANNEXURE R2(B) TRUE COPY OF DECLARATION DATED 29.03.2019EXECUTED BY 1ST PETITIONER AS POWER OF ATTORNEY OF 2ND PETITIONER IS PRODUCED HEREWITH AND MARKED AS ANNEXURE R2(B)` - `ANNEXURE R2(C) TRUE COPY OF DECLARATION DATED 29.03.2019 EXECUTED BY LATE AUGUSTINE JOSEPH IS PRODUCED` ``` CRL. M.C. NO.9492 OF 2023 ``` 10 ``` HEREWITH AND MARKED AS ANNEXURE R2(C). ``` RESPONDENTS EXHIBITS :NIL //TRUE COPY// PA TO JUDGE