Cholamandalam Finance Secures SARFAESI Action Order

Authority: High Court of Judicature at Patna

Order Date: 09-07-2026

Parties: Petitioner – Cholamandalam Investment and Finance Co. Ltd.; Respondents – State of Bihar (Principal Secretary, General Administration), District Magistrate, Rohtas, and In‑Charge Officer, District Certificate Section, Rohtas.
Nature of Proceeding: Civil writ petition seeking a direction to the District Magistrate, Rohtas, to act on a requisition filed under Section 14 of the SARFAESI Act for possession of secured assets.
Background: The petitioner had submitted a written application under Section 14 to the District Magistrate, which remained unacted upon. Counsel relied on the Supreme Court judgment in Balkrishna Rama Tarle v. Phonix ARC Private Ltd. (2023) 1 SCC 662, which held that actions under Section 14 are ministerial and must be executed without delay.
Court’s Observations: The Court accepted the submissions, reiterated the Supreme Court’s pronouncement that the District Magistrate’s duty under Section 14 is ministerial, not adjudicatory, and emphasized the need for prompt action.

The writ petition is disposed of at the admission stage.
The Court directs the District Magistrate, Rohtas, to consider the petitioner’s request under Section 14 of the SARFAESI Act and to act expeditiously, preferably within eight weeks of receipt of the order copy.
The petition stands disposed.

Topics: SARFAESI Act, Secured Lending, Court Order