Answer : Chief Metropolitan Magistrate or District Magistrate can take possession of a residential premises by ousting a tenant who is living there with his family.

Answer : Previously, there was some confusion as to whether a tenant can file an application in Debts Recovery Tribunal under Section 17 of the Sarfaesi Act, 2002 to protect his tenancy rights. However, Sub- Section 4A was inserted in Section 17 Sarfaesi Act, 2002 in the year 2016. Section 17(4A) of Sarfaesi Act, 2002 provides that on an application filed by a tenant under Section 17 of Sarfaesi Act, 2002, the Debts Recovery Tribunals shall have jurisdiction to examine whether lease or tenancy – 

has expired or stood determined; or

(b) is contrary to section 65A of the Transfer of Property Act, 1882 (4 of 1882); or

(c) is contrary to terms of mortgage; or

(d) is created after the issuance of notice of default and demand by the Bank under sub-section.

Answer: There are a number of decisions of the Supreme Court of India about the status of a tenant under Sarfaesi Act, 2002. In the case of Bajrang Shyam Sunder Agarwal Versus Central Bank of India reported in (2019)9 Supreme Court Cases Page 94, Supreme Court made a detailed discussion about the subject and held as follows :- 

Page 103 Para12 - Issuance of Section 13(2) notice extinguishes the right of the mortgagor to lease the property under Section 65A of Transfer of Property Act. 

Page 107 Para 24.1 –  If a valid tenancy under law is in existence even prior to the creation of the mortgage, the tenant’s possession cannot be disturbed by the secured creditor by taking possession of the property. The lease has to be determined in accordance with Section 111 of Transfer of property Act for determination of leases. In the case of a pre-mortgage tenancy, it will be presumed that the Bank has knowingly taken the risk. In such a situation, the rights of a rightful tenant cannot be compromised under the Sarfaesi Act proceedings.

Page 107 Para 24.2 – Tenancy after mortgage but just before Section 13(2) has to satisfied the conditions of Section 65A of Transfer of property Act.

Page 107 Para 24.3- If a tenant claims that he is entitled to possession for more than one year, it has to be supported by a registered instrument. If the tenant relies on unregistered instrument or an oral agreement, the tenant is not entitled to possession for more than the period prescribed under Section 107 of Transfer of Property Act.