Karnataka HC Stays SBI's Actions on Guarantee in State Bank Of India vs M/S Patel Engineering
Parties Involved
State Bank Of India
M/S Patel Engineering Limited
AI Summary
The Karnataka High Court upheld the order of the lower court that temporarily restrains State Bank of India from taking any action regarding the corporate guarantee provided by Patel Engineering Limited until the resolution of the ongoing suit. This decision prevents SBI from pursuing recovery actions related to the guarantee during the pendency of the case.
Bench
Reconstruction of Financial Assets
PresidingGulam Mustafa
Anekal Taluk
Bengaluru
Bank mayrank as creditor
Bank may receive
Bank may enforce
Order Text
State Bank Of India vs M/S Patel Engineering Limited on 17 February, 2026 -1- COMAP No. 372 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF FEBRUARY, 2026 PRESENT THE HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE AND THE HON'BLE MR. JUSTICE C.M. POONACHA COMMERCIAL APPEAL NO. 372 OF 2024 BETWEEN: 1. STATE BANK OF INDIA HAVING ITS OFFICE AT: STRESSED ASSETS MANAGEMENT BRANCH STATE BANK OF INDIA 2ND FLOOR, OFFICE COMPLEX BUILDING LHO CAMPUS, #65, ST. MARK'S ROAD BENGALURU - 560 001 REP. BY ITS AUTHORISED SIGNATORY MR. SAMJI SUDARSHAN ...APPELLANT (BY SRI LOMESH KIRAN N., ADVOCATE) AND: Digitally signed by PRABHAKAR SWETHA KRISHNAN 1. M/S. PATEL ENGINEERING LIMITED Location: High HAVING ITS REGISTERED OFFICE AT: Court of PATEL ESTATE ROAD Karnataka JOGESHWARI (W) MUMBAI - 400 102 REPRESENTED BY ITS AUTHORISED SIGNATORY MR. BABA SAHEB GHORPADE ...RESPONDENT (BY SRI K.G. RAGHAVAN, SENIOR ADVOCATE FOR SRI MANU PRABHAKAR KULKARNI, ADVOCATE) -2- COMAP No. 372 of 2024 THIS COMMERCIAL APPEAL IS FILED UNDER SECTION 13 (1A) OF THE COMMERCIAL COURTS ACT, 2015, PRAYING TO CALL FOR RECORDS FROM THE FILE OF THE LXXXV ADDITIONAL CITY CIVIL AND SESSIONS JUDGE, BENGALURU., IN COM. OS NO.1159/2023. (b) PASS AN ORDER TOWARDS SETTING ASIDE THE IMPUGNED ORDER DATED 25.07.2024 PASSED BY THE HON'BLE LXXXV CITY CIVIL AND SESSIONS JUDGE, BENGALURU (COMMERCIAL COURT -CCH-86), ON IA NO.2 UNDER ORDER 39 RULES 1 AND 2 R/W SEC.151 OF CPC ., 1908, IN COM. OS NO.11...
