Kotak Mahindra Bank Ltd vs Trupti Sanjay Mehta

Kotak Mahindra Bank Ltd vs Trupti Sanjay Mehta on 2 September, 2026 Reportable 2026 INSC 943 IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION Civil Appeal No. 8531 of 2015 Kotak Mahindra Bank Limited … Appellant versus Trupti Sanjay Mehta and others … Respondents with Civil Appeal No. …………………... of 2026 (@ Special Leave Petition (C) No. 33113 of 2018) & Civil Appeal No. …………………... of 2026 (@ Special Leave Petition (C) No. 9399 of 2022) JUDGMENT SANJAY KUMAR, J 1. The issue for consideration in these appeals is whether a bank, as defined by Section 2(1)(c) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest, Act, 2002 1, can take recourse to the provisions thereof for recovery of a debt assigned to or taken over by it from a financial entity that was not governed by the Signature Not Verified Digitally signed by babita pandey Date: 2026.09.02 17:55:55 IST Reason: SARFAESI Act at the time of creation of such debt. 1 For short, ‘the SARFAESI Act’ 2. In Civil Appeal No. 8531 of 2015, Kotak Mahindra Bank Limited (KMBL) is the appellant. City Financial Consumer Finance Limited (CFCFL), a non-banking financial company (NBFC), respondent No. 3, was initially not a ‘financial institution’ notified under Section 2(1)(m) of the SARFAESI Act. During that initial stage, Amit Bipin Shah, respondent No. 4, availed a home loan from it to acquire a residential flat from Trupti Sanjay Mehta and her husband, Sanjay Walchand Mehta (together, ‘the Mehtas’), respondent Nos. 1 and …