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High Court of Gujarat

MOOLSING BAHADOORSINGH CHAUHANversusAUTHORIZED OFFICER OF AUTHUM INVESTMENT AND INFRASTRUCTURE LTD.

Disposal
56-DISPOSED AT ADMISSION STAGE

Holding

The petition is disposed of without granting interim relief; the petitioner is directed to approach the Debt Recovery Appellate Tribunal within three weeks and a stay is placed on possession.

Summary

Moolsing Bahadoorsingh Chauhan filed a special civil application under Articles 226 and 227 of the Constitution seeking interim relief to restrain a bank from invoking the SARFAESI Act and taking possession of his property pending an appeal before the Debt Recovery Appellate Tribunal (DRAT). The Debt Recovery Tribunal had earlier rejected his interim application, and a magistrate had issued a notice for possession on 2 June 2026. The bank contended that it had already initiated SARFAESI proceedings and that the magistrate’s order for possession was valid. The High Court, after hearing counsel, declined to entertain the merits and disposed of the petition, directing the petitioner to approach the DRAT within three weeks and staying any possession until 2 April 2026. The Court also stayed the execution of the notice dated 18 May 2026. No substantive relief was granted, and the matter was left to the DRAT for further adjudication.

Issues considered

  • Whether the High Court should grant interim relief restraining the bank's SARFAESI actions and possession of the secured asset pending appeal before the DRAT.

Legislation cited

Subjects

SARFAESI Actinterim reliefwrit of certiorariwrit of mandamusDebt Recovery Appellate TribunalpossessionHigh Courtconstitutional remedy

Judgment

     C/SCA/7752/2026                                       ORDER DATED: 01/06/2026




           IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
             R/SPECIAL CIVIL APPLICATION NO. 7752 of 2026
================================================================
              MOOLSING BAHADOORSINGH CHAUHAN
                            Versus
         AUTHORIZED OFFICER OF AUTHUM INVESTMENT AND
                  INFRASTRUCTURE LTD. & ORS.
================================================================
Appearance:
Ms. HIMANI KINI(7489) for the Petitioner(s) No. 1
NAMAN H KINKHABWALA(8831) for the Petitioner(s) No. 1
MR V M SEVAK for the Respondent No.1
================================================================
 CORAM:HONOURABLE MR.JUSTICE L. S. PIRZADA

                                   Date : 01/06/2026

                                       ORAL ORDER


1.    By way of the present petition filed under Articles
226 and 227 of the Constitution of India, the petitioner
has approached this Court seeking the following reliefs:


            “A.         YOUR LORDSHIP be pleased to issue
            writ of Certiorari or Mandamus or any other
            writ order or direction in the nature of
            Certiorari or Mandamus and be pleased to
            restrain the Respondent No. 1 bank from
            taking any actions under SARFAESI Act as well
            as taking physical possession of properties in
            question           fixed    by    respondent      no.     3    on
            02.06.2026 or any day thereafter respectively
            as stated in Annexure-H till the adjudication of
            the        Misc.     Appeal      before    the    Ld.     Debts
            Recovery Appellate Tribunal at Mumbai.


            B.          Alternatively this Hon'ble Court be


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C/SCA/7752/2026                                     ORDER DATED: 01/06/2026




       pleased      to   pass    an     order   granting         some
       indulgence        and      accommodation             to     the
       petitioners       so     that      petitioners       in     the
       interregnum period, no coercive steps are
       taken against the petitioners till the Misc.
       Appeal be filed and heard before the Ld. Debts
       Recovery Appellate Tribunal at Mumbai.


       C.         During the pendency and till final
       disposal of this petition, be pleased to restrain
       respondent no. 1 bank from taking any further
       actions      under       SARFAESI        Act        qua     the
       petitioners in view of notice issued under
       Section 13(4) of the SARFAESI Act dated
       13.08.2025 at Annexure: D.


       D. During the pendency and till final disposal
       of    this   petition,     be      pleased     to    restrain
       respondent no. 1 bank from taking any further
       actions      under       SARFAESI        Act        qua     the
       petitioners in view of order at 27.05.2026
       Annexure: A.


       E. Be pleased to grant ex-parte ad interim
       relief in terms of prayer C and D above may be
       granted.


       F. Be pleased to grant such other and/or
       further reliefs as this Hon'ble Court may deem
       fit and proper in the facts and circumstances of


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     C/SCA/7752/2026                                    ORDER DATED: 01/06/2026




            the present case.”


2.    Heard            learned   advocate         Ms.   Himani        Kini        and
learned advocate Mr. Naman H. Kinkhabwala appearing
for the petitioner. It is submitted that the Presiding
Officer, DRT-II, Ahmedabad, vide order dated 27.05.2026
passed in S.A. No. 661 of 2026, rejected Interim
Application No. 1061 of 2026 - Exh. A/14. Aggrieved by
the denial of interim relief, the petitioner initially
intended to approach the Debts Recovery Appellate
Tribunal. However, since the Tribunal was not available,
the present petition has been preferred seeking the
aforesaid reliefs.


3.    It is further submitted that, subsequent to the
rejection        of      the     interim      application        by      DRT-II,
Ahmedabad, a notice has been issued by the jurisdictional
Magistrate at Karjan in Criminal Misc. Application No.
382 of 2025. As per the notice dated 02.06.2026,
possession of the secured asset is proposed to be taken at
2:00 p.m.


4.    Learned advocate Mr. V. M. Sevak appearing on
advance copy on behalf of respondent No. 1 submitted
that the respondent No.1-Financial Institution has already
initiated proceedings under the SARFAESI Act for taking
possession by filing an application before the competent
jurisdictional           Magistrate.         Pursuant         thereto,            the
Magistrate has passed an order for taking possession.
Therefore, no relief deserves to be granted in the present

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       C/SCA/7752/2026                             ORDER DATED: 01/06/2026




proceedings.



5.      Having considered the submissions advanced by the
learned advocates for the respective parties, this Court is
of the view that the present petition deserves to be
disposed of, without entering into the merits of the case,
with the following directions:



i.      The petitioner is hereby directed to approach the
Debt         Recovery    Appellate          Tribunal,     Mumbai             as
expeditiously as possible by following and complying all
the formalities, so that effective hearing of the Appeal
may take place by the learned Debt Recovery Appellate
Tribunal, Mumbai.


ii.     The said exercise shall have to be completed by the
petitioner within a period of three weeks from today so
that learned Debt Recovery Appellate Tribunal, Mumbai
can pass appropriate orders.


iii.    It is, however, clarified that the indulgence granted
by this Court is purely on the ground of conveniency and
thereby, needless to clarify that there shall not be any
further Indulgence by this Court.


iv.     Respondent No.1 as well as Commissioner shall not
take possession of the property of the petitioner till 02 nd
April, 2026 i.e. three weeks from today.

                              Page 4 of 5
       C/SCA/7752/2026                                                    ORDER DATED: 01/06/2026




v.       In      the      interregnum                 period         the       execution             and
operation            of      the       notice          issued          by      the       additional
jurisdictional Magistrate at Karjan in Criminal Misc.
Application No.382 of 2025 dated 18.05.2026 is hereby
stayed.


6.       With the aforesaid observations and directions, the
present petition stands disposed of.


7. Direct service is permitted today.




                                                                                 (L. S. PIRZADA, J)
STANCY GOMES


Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: STANCY GOMES(HC02364), ENGLISH STENO GRADE-II\, at High Court of Gujarat on 01/06/2026 15:19:15




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