Authority: High Court of Judicature at Bombay

Order Date: 28 September 2026

Case Overview

  • Parties: Yogoda Satsanga Society of India (Petitioner) vs. Premkumar Devandas Kishnani (Respondent) and his heirs Neeru Prem Kishnani (Respondent No.1(a)), others (Respondent Nos.1(b), 1(c)).
  • Background: On 27 August 2004, the Debts Recovery Tribunal‑II, Mumbai (DRT‑II) passed a decree against members of the family of the late Mr. Devandas Kishnani and issued a Recovery Certificate, initiating Recovery Proceedings No. 602 of 2004.
  • In 2009, the Recovery Officer, DRT‑II attached Plot No.20/19, Ashirwad Building, 5th Floor, Tilak Road Extension, Near Ambedkar College, Wadala, Mumbai‑400031 (the "Subject Property").
  • On 23 October 2019, the Subject Property was put up for sale by e‑auction; the petitioner was declared the highest and successful bidder.
  • On 21 November 2019, Late Mr. Premkumar Devandas Kishnani filed an Interlocutory Application seeking to lift the attachment and set aside the sale; the application was rejected on 28 November 2019 and the sale was confirmed the same day.
  • A Review Application filed in January 2020 was rejected on 27 January 2020.
  • Appeal No. 8 of 2020 against the sale and related orders was dismissed by the Presiding Officer, DRT‑II on 3 November 2022.
  • Subsequently, Appeal No. 4 of 2023 (with Interlocutory Application No. 569 of 2022 for waiver of mandatory pre‑deposit under Sec 21 of the Recovery of Debts and Bankruptcy Act, 1993) was filed before the Debts Recovery Appellate Tribunal, Mumbai (DRAT).
  • DRAT allowed the waiver on 25 November 2022; the petitioner challenged this order in Writ Petition No. 424 of 2023, which the High Court quashed on 19 April 2023 and remanded for fresh consideration.
  • DRAT again allowed the waiver on 20 February 2025.
  • The petitioner then filed the present Writ Petition No. 4456 of 2026.

Settlement Terms

  • Confirmation of Auction and Withdrawal of Objections: Heirs (Respondent Nos.1(a), 1(b), 1(c)) confirm no objection to the 23 Oct 2019 auction and will unconditionally withdraw all objections, claims, applications, appeals and other proceedings, including Appeal No. 4 of 2023 before DRAT.
  • Settlement Amount: The petitioner agrees to pay INR 1,90,00,000 (Rupees One Crore Ninety Lakhs) by account‑payee cheque in favour of Respondent No.1(a) – Neeru Prem Kishnani. Payment shall be made without deduction except as required under the Income Tax Act, 2025, with TDS certificate, challan and related documents furnished within 60 days of the cheque date.
  • Handover of Cheque: The petitioner shall hand over a cheque for INR 1,88,10,000 (Rupees One Crore Eighty‑Eight Lakhs Ten Thousand) to the respondents’ advocates upon disposal of the writ petition and upon filing of the necessary applications for withdrawal of Appeal No. 4 of 2023. The advocates will hold the cheque and release it to Neeru Prem Kishnani only after the unconditional withdrawal and disposal of the appeal.
  • Additional Withdrawals: Respondents also withdraw all objections in Recovery Proceedings No. 602 of 2004 relating to the 2nd and 3rd floors of Ashirwad Building and Office No. 306, 3rd Floor, Faiz‑E‑Qutbi Building, Narsi Natha Street, Katha Bazaar, Mumbai.
  • Deletion of Respondents: The petitioner shall delete Respondent Nos.1(a), 1(b), 1(c) (listed as Respondent Nos.2(a)(i), 2(a)(ii), 2(a)(iii) in Writ Petition No. 2806 of 2026) within 60 days of execution of these terms.
  • Full and Final Settlement: Upon compliance, the respondents will have no surviving claims or objections; the dispute is fully and finally settled.

Final Outcome

  • The Court accepted the signed minutes of order and disposed Writ Petition No. 4456 of 2026, directing the parties to honour the settlement obligations; all pending applications, if any, stand disposed.

Topics: Settlement, Property Auction, Court Order