THE MALLESHWARAM CO OPERATIVE BANK LTD vs Sampangi S on 29 October 2026

IN THE DEBT RECOVERY APPELLATE TRIBUNAL AT CHENNAI

R.A(SA):166/2026

The Malleswaram Co-operative Bank ltd V/S Sampangi S & 5 ors 29/10/2026

IA 1075/2026 (Stay) in RA (SA) 164/2026 & IA 1071/2026 (Stay) in RA (SA) 166/2026 : Learned counsel for the appellant/Bank in RA (SA) 166/2026, and the learned counsel for R1 to R5 in both the appeal are present. No representation for the appellant in RA (SA) 164/2026 and 6th respondent in RA (SA) 166/2026. RA (SA) 164/2025 is filed by the auction purchaser and RA (SA) 166/2025 is filed by the Bank. These appeals are filed against the final order passed by the learned Presiding Officer, DRT-I, Karnataka at Bengaluru in SA 405/2023 on 28.03.2025. It is the submission of the learned counsel for the appellant/Bank in RA (SA) 166/2026 that the SA 405/2023 has been filed challenging the auction held on 27.06.2023. SA 405/2023 was allowed primarily on the ground that publication of sale notice was not produced and there was no registration under CERSAI. He also submitted that inadvertently, the impugned sale notice was not produced. Instead of producing the publication of impugned sale notice, the publication effected in respect of earlier sale notice was produced. The secured asset was registered under CERSAI after issuance of possession notice. He further submitted that after passing the order, now the respondents are trying to cancel the sale certificate and to restore the physical possession. In this regard, miscellaneous application is filed before the DRT and it is pending. In such circumstances, learned counsel for the petitioner prays for stay of the operation of the impugned order. Learned counsel for R1 to R5 strongly opposes the contentions raised by the learned counsel for the petitioner and seeks time to file counter. In view of the grounds raised with regard to merits of the appeals and the filing of the appeals challenging the impugned order, this Tribunal directs the parties to maintain Status Quo as on today, till the disposal of the Stay application. Post the matter on 16.12.2026.

Sd/-

Chairperson