Section 14 SARFAESI permits Magistrate assistance, including commissioner appointment and other incidental steps for possession of secured assets.

Section 14 of the SARFAESI Act is a procedural, non-adjudicatory mechanism that enables the Magistrate to assist the secured creditor in taking possession of secured assets, subject to satisfaction that statutory preconditions such as notice under section 13(2) and identifiable secured property are met. In a non-metropolitan area, the Chief Judicial Magistrate was treated as having the same territorial function as the Chief Metropolitan Magistrate for this purpose. The provision was also read to include incidental and implied powers, allowing appointment of a Commissioner and use of other effective steps, including police assistance, to secure possession.

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Issues: (i) whether the Chief Judicial Magistrate in a non-metropolitan area has jurisdiction under section 14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 to assist the secured creditor in taking possession of secured assets; (ii) whether the Magistrate acting under section 14 can appoint a Commissioner and take other incidental steps for identification and possession of the secured asset.

Issue (i): whether the Chief Judicial Magistrate in a non-metropolitan area has jurisdiction under section 14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 to assist the secured creditor in taking possession of secured assets.

Analysis: Section 14 was held to be a procedural provision under which the Magistrate only renders assistance to the secured creditor for taking possession and forwarding the secured assets. The provision does not contemplate adjudication of disputes, but it permits the Magistrate to satisfy himself that the statutory preconditions are met, including the issue of notice under section 13(2) and the identifiable nature of the secured asset. Reading the statute with the Code of Criminal Procedure, 1973, the expressions Chief Metropolitan Magistrate and Chief Judicial Magistrate were treated as synonymous for their respective territorial jurisdictions. The Court applied a purposive construction and held that there was no casus omissus, since the same office performs the relevant function in metropolitan and non-metropolitan areas.

Conclusion: The Chief Judicial Magistrate in a non-metropolitan area has jurisdiction under section 14 to render assistance for taking possession of secured assets, and the contention to the contrary was rejected.

Issue (ii): whether the Magistrate acting under section 14 can appoint a Commissioner and take other incidental steps for identification and possession of the secured asset.

Analysis: The power conferred by section 14 was held to include all incidental and implied powers necessary to make the statutory grant effective. Since the Magistrate may take or cause to be taken such steps and use such force as may be necessary, the authority need not personally undertake physical possession in every case. A Commissioner may be appointed for identification and taking possession, and police assistance or other effective measures may be used to secure compliance with the statutory mandate.

Conclusion: The Magistrate acting under section 14 can appoint a Commissioner and take incidental steps necessary for effective taking of possession.

Final Conclusion: The writ appeal, writ petitions and criminal revision petition were not sustainable, as the Magistrate's authority under section 14 extends to assistance in taking possession and to incidental measures necessary for that purpose.

Ratio Decidendi: Section 14 of the SARFAESI Act is a procedural, non-adjudicatory provision that authorises the Magistrate to render effective assistance to the secured creditor, and that authority includes incidental and implied powers necessary for taking possession of secured assets.

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