Constitution of India – Writ petition – Exceeding of jurisdiction by High Court – Respondent no.1-writ petitioner bought properties auctioned in pursuance of Recovery Certificate which was in favour of bank – 25% of the bid price deposited as earnest money – Respondent no.1 filed application seeking some clarity in the matter, replied by Bank – However, thereafter the Recovery Officer dismissed the application and forfeited 10% of the amount deposited– Appeal filed by respondent no.1, dismissed by DRT – Appeal before DRAT, no interim relief granted – Respondent-Bank herein sought to put the property to auction – Application to seek interim relief from the DRAT was renotified after the date of the proposed auction – Apprehending the interim relief application to become infructuous, respondent no.1 filed writ petition before High Court – Writ petition disposed of by High Court, further opportunity granted to deposit the balance amount with damages – Review petition, dismissed – On appeal by original respondent no.2-original borrower – Held: What was challenged before High Court was nongrant of interim relief pending the appeal before DRAT – However, High Court decided the writ petition as if it was considering the final decision of DRAT – Order passed by DRT confirming the order passed by the Recovery Officer forfeiting 10% amount deposited by the auction purchaser was yet to be decided by DRAT – Main appeal was yet to be decided by DRAT on merits – High Court made the proceedings before DRAT infructuous as after the impugned judgment nothing further is required to be decided by DRAT – High Court went beyond the scope and ambit of the proceedings before it and exceeded its jurisdiction – Judgment passed by High Court set aside – DRAT to decide the appeal.
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
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