Created by Fuzzy Cloud

Allahabad High Court

JANA SMALL FINANCE BANK LTDversusSTATE OF UTTAR PRADESH AND 6 OTHERS

Decided

Holding

The Court held that the petitioner must first apply to the competent authority, which is then directed to execute the Section 14 order in accordance with the Supreme Court’s C. Bright decision and Section 26D of the SARFAESI Act.

Summary

The petitioner, Jana Small Finance Bank Ltd, filed a writ petition under Article 226 seeking a direction to the competent authority to execute its Section 14 order dated 27 December 2021 for possession of secured assets. The petitioner relied on the Supreme Court judgment in C. Bright v. District Collector (AIR 2020 SC 5747) which mandates the appointment of a nodal officer and police assistance for execution of such orders. The respondents argued that the competent authority is already obligated to ensure compliance with Section 14. The High Court directed the petitioner to file an application before the competent authority within two weeks, and thereafter the authority must execute the order within four weeks, adhering to the Supreme Court precedent and ensuring compliance with Section 26D of the SARFAESI Act. The Court disposed of the petition with these directions, noting no legal impediment to execution.

Issues considered

  • Whether the competent authority must be directed to appoint a nodal officer and police force for execution of a Section 14 SARFAESI order as per C. Bright judgment.
  • Whether the petitioner is entitled to a writ directing execution of the order dated 27 December 2021.
  • Compliance of the execution process with Section 26D of the SARFAESI Act.

Legislation cited

Subjects

  • SARFAESI Act
  • Section 14
  • Section 26D
  • possession
  • secured creditor
  • Article 226
  • Supreme Court precedent
  • execution of order
  • nodal officer

Judgment

                                                    HIGH COURT OF JUDICATURE AT ALLAHABAD

                                                                WRIT - C No. - 15448 of 2026

                                    Jana Small Finance Bank Ltd
                                                                                                             .....Petitioner(s)
                                                                             Versus
                                    State Of Uttar Pradesh And 6 Others
                                                                                                           .....Respondent(s)

                                    Counsel for Petitioner(s)                         :   Rajesh Kumar Srivastava
                                    Counsel for Respondent(s)                         :   C.S.C.

                                    Court No. - 1
                                                           HON'BLE AJIT KUMAR, J.
                                                           HON'BLE INDRAJEET SHUKLA, J.

                                    1. Heard Shri R.K. Srivastava, learned counsel for the petitioner and Shri P.K. Shahi,
                                    learned Standing Counsel for the State respondents.

                                    2. By means of this petition filed under Article 226 of the Constitution, petitioner has
                                    prayed for a direction to the competent authority under Section 14 of SARFAESI Act,
                                    2002 to get his order dated 27th December, 2021 executed for delivery of possession
                                    of the secured assets in favour of the secured creditor.

                                    4. It is contended by learned counsel for the petitioner that in the light of the judgment
                                    of Supreme Court in the case of C. Bright v. The District Collector & others, AIR
                                    2020 SC 5747, it is the duty of the competent authority to provide for a Nodal Officer,
                                    may be Sub Divisional Magistrate or any other revenue authority and also necessary
                                    police force to get the order passed under Section 14 executed in accordance with law.

                                    5. Learned Standing Counsel submits that if the petitioner approaches the authority,
                                    the authority shall ensure the compliance of the order passed under Section 14 of
                                    SARFAESI Act, 2002.

                                    6. In view of the above, we dispose of this petition with a direction to the petitioner to
                                    file an application before the competent authority within a period of two weeks from
                                    today and in the event if such application is filed as directed herein above, the
                                    competent authority shall ensure that the order passed under Section 14 of SARFASIA
                                    Act, 2002 dated 27th December, 2021 gets executed in accordance with law and in the
                                    light of the judgment of Supreme Court in the case of C. Bright (supra) within a
                                    further period of four weeks, if otherwise, there is no legal impediment and there is a
                                    compliance of Section 26D of SARFAESI Act, 2002.

                                    April 23, 2026
                                    S.P.
                                                                                   (Indrajeet Shukla,J.) (Ajit Kumar,J.)




Digitally signed by :-
SANJAY PURI
High Court of Judicature at Allahabad


Continue reading with your account

Sign in to read the full judgment. It’s free.

Sign in to read

Checking your session…

For a signed copy suitable for filing, refer to the court's website.