In Brief
This consolidated appeal concerned whether Chief Judicial Magistrates have the power to process secured creditors' (primarily banks) applications for possession of mortgaged assets under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. Different High Courts had taken conflicting positions. The Supreme Court held that a Chief Judicial Magistrate, as a judicial officer, is competent to entertain such applications under Section 14 of the 2002 Act. The Court found that Section 37 allows continued application of Criminal Procedure Code provisions, the 2002 Act is supplementary rather than derogatory, and the tribunal retains adjudicatory power to invalidate any improper action by secured creditors.
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