Debts Recovery Tribunals and Appellate Tribunals
S.H.Stalin Chinnappan vs INDIAN BANK on 12 October 2026
Citations and Judicial Treatment
Cited by
0
Decisions in the index citing it
Cites
0
Decisions referred to
In this index
0
Of the decisions it cites
Overruled / Questioned
0
No negative treatment found
Loading the citing and cited decisions…
This judgment in the centre: on the left the decisions it cites, on the right the decisions citing it. Colour is the treatment; choose a decision to open it.
IN THE DEBT RECOVERY APPELLATE TRIBUNAL AT CHENNAI
IA 1421/2026 (Waiver) in A.IR:2762/2026
S.H.Stalin Chinnappan V/S INDIAN BANK & 3 ors 12/10/2026
Learned Counsel for Petitioner/Appellant and 1st Respondent Bank are present.
This appeal is filed against the interim order dated 11.9.2026 passed by the Learned Presiding Officer, DRT, Madurai in IA No. 3863 of 2026 (Stay) filed in SA No. 798 of 2026 for staying the further proceedings in SA No. 798 of 2026.
SA No. 798 of 2026 has been filed to set aside the order dated 21.8.2026 passed in Criminal M.P. No.1684 of 2026 by the Learned Chief Judicial Magistrate, Kanniyakumari at Nagercoil, and declare all actions and measures initiated by the 1st Respondent Bank under Section 13(4) and Section 14 of the SARFAESI Act, 2002, in respect of the schedule items 1 and 2 properties, as illegal, arbitrary, void ab initio, and not binding on the appellant, and for other consequential and incidental reliefs. To stay further proceedings in pursuance of the order under Section 14 of the SARFAESI Act, 2002, the stay application in IA 3863 of 2026 was filed. On dismissal of IA 3863 of 2026 (Stay), this appeal is filed.
It is the submission of the Learned Counsel for Petitioner/Appellant that Petitioner is neither a borrower nor a guarantor, but a third-party to the SARFAESI proceedings. In June, 2018, Petitioner availed a loan of Rs.50.00 lakhs from the 4th Respondent. The 4th Respondent made the Petitioner to execute two sale deeds in respect of two properties on 29.6.2018 for a consideration of Rs.40.00 lakhs and Rs.25,70,000/-, respectively, by exercising fraud and deceit on the Petitioner. Petitioner filed a civil suit in OS No.117 of 2021 on the file of Learned Principal District Judge, Kanniyakumari at Nagercoil to declare the impugned sale deeds dated 29.6.2018 bearing document Nos. 1896 of 2018 on the file of SRO, Thiruvattar, and 1974 of 2018 on the file of SRO, Thuckalay, as null and void and liable to be cancelled on the grounds of mis-representation, fraud, breach of trust, cheating and without consideration, etc, along with other reliefs. The said suit is still pending. When the civil court is seized of the matter with regard to the issue of title, the SARFAESI proceedings cannot go on, especially when the Petitioner is neither a borrower nor a guarantor, but only a third-party. The Petitioner is in continuous possession of the secured asset. In the said circumstances, Learned Counsel for Petitioner submitted that Petitioner is not liable to make pre-deposit and seeks consideration of this matter without pre-deposit. No other ground is urged for waiver of pre-deposit.
Learned Counsel for Respondent Bank submitted that he is not served with the complete typed set of papers.
Despite the directions of the Learned Chairperson, DRAT, Mumbai, who was in- charge of DRAT, Chennai, to take notice to the Respondents by Registered Speed Post, Learned Counsel for Petitioner has not produced proof of service of notice to Respondents 2 to 4.
Therefore, post the matter on 26.10.2026 for producing proof of service to Respondents 2 to 4.
If notice is not taken so far, Petitioner is directed to take notice to Respondents 2 to 4 for the hearing on 26.10.2026. Counter of R1 Respondent Bank by then.
Sd/-
Chairperson