Bombay High Court

MOTILAL OSWAL HOME FINANCE LTD THRU OFFICERversusMAHADEV ALO GHARAT AND ANR

Decided: 7 September 2026
Disposal: Disposed Off

Holding

The Court held that the DRT‑II as in‑charge of DRT‑III must immediately take up and dispose of Interim Application No. 2117/2026, with a deadline of 31 Oct 2026.

Summary

Motilal Oswal Home Finance Ltd, a secured creditor, challenged an ad‑interim order dated 22‑Feb‑2026 passed by the Debt Recovery Tribunal (DRT‑II) that restrained it from proceeding with auction steps in a securitisation case. The petitioner had filed Interim Application No. 2117/2026 in the same DRT proceeding seeking to vacate that order, but the DRT had not scheduled a hearing and had slated it for December 2026. The High Court noted that the respondents were not present before the DRT and that the petitioner was already aggrieved by the interim order. The Court directed the DRT‑II, acting as in‑charge of DRT‑III, to take up the interim application immediately and to dispose of it by 31 Oct 2026. Accordingly, the writ petition was disposed with the direction to expedite the DRT hearing.

Issues considered

Whether the High Court can direct the Debt Recovery Tribunal to hear and dispose of the interim application seeking vacatur of the ad‑interim order immediately, rather than defer it to a later date?

Subjects

secured creditor
Debt Recovery Tribunal
interim order
auction
writ petition
expeditious hearing
securitisation
High Court

Judgment

                                                                                  23-WP-11656-2026.doc



                                IN THE HIGH COURT OF JUDICATURE AT BOMBAY

                                         CIVIL APPELLATE JURISDICTION
                                        WRIT PETITION NO. 11656 OF 2026
                   Motilal Oswal Home Finance Ltd Thru                      … Petitioner
                   Officer
                               Versus
SWEETY
RAJU
                   Mahadev Alo Gharat and another                           … Respondents
BHALERAO
                                                       ******
Digitally signed
by SWEETY
RAJU
BHALERAO
Date: 2026.09.08
                   Mr. Umar F. Azam, a/w Authorised Officer Varun Prakash, for Petitioner.
14:44:20 +0530

                   None for Respondents.
                                                       ******
                                                    CORAM : MANISH PITALE &
                                                            SHREERAM V. SHIRSAT, JJ.
                                                       DATE : 07th SEPTEMBER 2026.
                   PC:


                   1.     The Petitioner is a secured creditor, aggrieved by order dated
                   22/02/2026 passed by Debts Recovery Tribunal – II, Mumbai as in-charge of
                   DRT-III in Securitisation Application No. 561 of 2025.


                   2.     The impugned order appears to be an ad-interim order restraining the
                   Petitioner from taking further steps action or further steps regarding auction
                   proceedings.


                   3.     If the Petitioner is aggrieved by the order on merits, an appeal could
                   be filed before the Debts Recovery Appellate Tribunal. But it is brought to
                   our notice that the Petitioner has filed an application bearing Interim
                   Application No. 2117/2026 in the pending securitisation application, for
                   vacating the impugned order dated 22/02/2026. This Court is informed that
                   despite mentioning the said application for listing and urgent orders, DRT-II

                    Bhalerao                                                                       1
                                                                 23-WP-11656-2026.doc


as in-charge of DRT-III, Mumbai has not been able to take up the said
application for orders.


4.      We are further informed that now the said interim application along
with the pending securitisation application is directed to be listed on
08/12/2026.


5.      We find that in the impugned order dated 22/02/2026, it is recorded
that none was present on behalf of the Respondents, i.e. the Petitioner in this
petition and the order obviously appears to be an ad-interim order. Since the
Petitioner is aggrieved by the same and it has already filed the aforesaid
application for vacating the said order, we are of the opinion that the DRT
should hear the aforesaid application at the earliest and not relegate hearing
of the said application along with securitisation application in December
2026.


6.      In view of the above, the writ petition is disposed of by directing DRT-
II as in-charge of DRT-III, Mumbai to immediately take up pending Interim
Application No. 2117/2026 in Securisation Application No. 561/2025 for
consideration and orders. The hearing of the said interim application is
expedited and DRT-II as in-charge of DRT-III, Mumbai is directed to ensure
that Interim Application No. 2117 of 2026 is heard and disposed of
expeditiously and in any case on or before 31st October 2026.




 (SHREERAM V. SHIRSAT, J.)                          (MANISH PITALE, J.)




 Bhalerao                                                                         2

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