Synopsis

The appellant (Radiance Realty Developers) had filed a suit for recovery of money against the first respondent (M. Rekha) for unpaid construction costs. During the pendency of the suit (before the suit was even numbered), the appellant filed an interlocutory application under Order XXI Rule 46 of the Code of Civil Procedure, 1908, seeking to attach a debt allegedly owed by the second respondent (Punjab National Bank) to the first respondent. The Commercial Court rejected the application, holding that Order XXI Rule 46 applies only in execution proceedings (after a decree is passed), not in original suits. The High Court dismissed the appeal, affirming that the provision is part of the execution scheme and cannot be invoked at the pre‑decree stage. The court also noted that the appellant was not a secured creditor and had no privity with the bank.

Court: High Court of Judicature at Madras
Coram: C.V. Karthikeyan & K. Kumaresh Babu, JJ.
Date: April 2, 2026
Citation: 2026:MHC:1328
Core Law: Civil Procedure Code, 1908 – Order XXI Rule 46 (attachment of debt in execution); Commercial Courts Act, 2015 – Section 13; SARFAESI Act, 2002.

2. Legal Framework

• Code of Civil Procedure, 1908: Order XXI Rule 46 – attachment of debt, share, or other property not in the possession of the judgment debtor (execution stage); Section 51 – powers of court to order execution; Order XXI Rule 11 – application for execution.

• Commercial Courts Act, 2015: Section 13 – appeals against orders of Commercial Courts.

• SARFAE

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