SARFAESI sale rights affirmed despite occupation issues, with undertakings directed to facilitate possession and sale completion

The bank's right to proceed under the SARFAESI Act, 2002 to sell the secured asset for recovery of dues was affirmed, and civil court jurisdiction was noted as barred by Section 34. The record also notes that prior sale arrangements had failed because vacant possession was not available, prompting the parties to propose undertakings to facilitate sale free from encumbrances and to hand over possession to the purchaser after completion. The matter was left pending for compliance through affidavits of undertaking.

---

---

Issues: Whether the bank could proceed under the SARFAESI Act, 2002 for sale of the secured asset despite occupation of the property and apprehended resistance, and whether the parties were required to file undertakings to facilitate sale.

Analysis: The order records that the bank is entitled under the SARFAESI Act, 2002 to bring the secured property to sale for realisation of its dues and that civil court jurisdiction is barred by Section 34 of that Act. It also notes that the earlier arrangement for sale had been frustrated because vacant possession was not available, and the parties stated that they would file undertakings to ensure sale free from encumbrances and hand over possession to the successful purchaser after completion of sale.

Conclusion: The bank's entitlement to proceed with sale under the SARFAESI regime was affirmed, while the matter was kept pending for further compliance through affidavits of undertaking.

---