Notice u/s 13(2) Notice of SARFAESI Act – Alternative remedy – Limitation -- Insurance claim wrongly transferred by Bank – Default due to wrong Act of Bank -- Plea of -- Held, mainly challenged before the High Court was notice u/s 13(2) of the SARFAESI Act, High Court ought not to have entertained the writ petition -- Remedy available to the respondents/ loanee was to initiate proceedings u/s 17 of the SARFAESI Act – Respondents relegated to avail the alternative statutory remedy by way of Section 17 of the SARFAESI Act – When such proceedings are initiated, the same be considered in accordance with law and on its own merits including the case on behalf of the original writ petitioners that nothing was due and payable, if the amount received as insurance claim would not have transferred to the Working Capital Account -- Appeal allowed to the aforesaid extent -- If such proceedings are initiated within a period of four weeks, the same be dealt with without raising the dispute with respect to limitation, however, subject to compliance of other requirements under the Act.
(SC) Decided on : 12.09.2022
