Allahabad High Court
JANA SMALL FINANCE BANK LTD.versusSTATE OF UTTAR PRADESH AND 5 OTHERS
- Decided
Holding
The court directed the petitioner to file an application before the competent authority, which must then execute the Section 14 order within the stipulated time, subject to compliance with Section 26D and absence of legal impediment.
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’s decision in C. Bright v. District Collector (AIR 2020 SC 5747) that mandates the appointment of a nodal officer and police assistance for execution of such orders. The respondents, the State of Uttar Pradesh and others, contended that the competent authority is already obligated to ensure compliance with Section 14. The High Court held that the petitioner must first file an application before the competent authority within two weeks, and thereafter the authority must execute the order within four weeks, provided there is no legal impediment and Section 26D compliance. Accordingly, the petition was disposed with the said directions.
Issues considered
- Whether the competent authority is duty-bound to appoint a nodal officer and police force for execution of a SARFAESI Act Section 14 order as per C. Bright judgment.
- Whether the petitioner must approach the competent authority before the court can direct execution of the order.
Legislation cited
- SARFAESI Act, 2002 — s. 14, 26D
Subjects
- SARFAESI Act
- Section 14 execution
- Article 226
- Nodal Officer
- Possession of secured assets
- Supreme Court precedent
Judgment
HIGH COURT OF JUDICATURE AT ALLAHABAD
WRIT - C No. - 15449 of 2026
Jana Small Finance Bank Ltd.
.....Petitioner(s)
Versus
State Of Uttar Pradesh And 5 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
WRIC No. 15449 of 2026
2
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.
(Indrajeet Shukla,J.) (Ajit Kumar,J.)
April 23, 2026
S.P.
Digitally signed by :-
SANJAY PURI
High Court of Judicature at Allahabad
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