Ministerial nature of SARFAESI section 14 proceedings: Bombay HC prescribes timelines and administrative measures for faster disposal.

Section 14 of the SARFAESI Act requires the Chief Metropolitan Magistrate or District Magistrate to assist secured creditors in taking possession of secured assets after verifying statutory compliance, and the power is ministerial rather than adjudicatory. Emphasising the need for prompt action under the special statute, the Bombay High Court prescribed a 30-day time limit for disposal of section 14 applications in Maharashtra and required implementation of section 14 orders within four weeks. It also directed supporting administrative measures, including monthly reporting, a representation mechanism, e-system implementation, and a special drive for pending matters, to streamline disposal and enforcement.

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Issues: Whether applications under section 14 of the SARFAESI Act pending before the Chief Metropolitan Magistrate or District Magistrate require expeditious disposal within a time-bound framework and whether ancillary administrative directions could be issued to streamline their disposal and implementation.

Analysis: Section 14 of the SARFAESI Act obliges the Chief Metropolitan Magistrate or District Magistrate to assist the secured creditor in taking possession of secured assets after verifying compliance with the statutory requirements. The power is ministerial and administrative in nature, not adjudicatory, and must be exercised with dispatch because time is of the essence under the special legislation. The judgment relies on the Supreme Court's interpretation that the magistracy must act promptly upon a compliant application and that objections to possession are to be dealt with under the SARFAESI framework before the Debts Recovery Tribunal. In view of the substantial pendency of such applications, the State's circular, and the need to align administrative practice with the statutory object, the Court considered it necessary to prescribe clear timelines and reporting mechanisms.

Conclusion: The Court held that section 14 applications in Maharashtra must be disposed of within 30 days of filing, orders under section 14 must be implemented within four weeks, and supporting administrative measures including monthly reporting, a representation mechanism, e-system implementation, and a special drive for pending matters were directed.

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