Topic
Madhya Pradesh High Court rules that borrowers must deposit 20% of dues to secure interim relief from coercive action under SARFAESI Act while appeals are pending before DRT. The order clarifies the threshold for interim protection, balancing creditor rights with borrower relief in debt recovery proceedings.
The Punjab & Haryana High Court has ruled that an executing court cannot issue a warrant of possession without independently verifying and recording concrete evidence of dispossession. This reinforces that mechanical acceptance of vague allegations violates natural justice and undermines the procedural integrity of execution proceedings, affecting decree-holders and judgment-debtors alike.
The Bombay High Court has ruled that state authorities, including the Tahsildar and police, are legally obligated to execute SARFAESI possession orders with necessary force and support, failing which the rule of law is undermined. This sets a binding precedent for secured creditors facing prolonged enforcement delays, affirming that administrative inaction cannot override judicial orders under Section 14.