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2023 Supreme(AP) 775

U. DURGA PRASAD RAO, B. V. L. N. CHAKRAVARTHI
Vinjam Srinivasa Rao – Appellant
Versus
Union of India – Respondent


Advocates Appeared:
For the Petitioner: N. Subba Rao.
For the Respondent: Harinath N. Asst Solicitor General.

ORDER :

U. Durga Prasad Rao, J.

The petitioner prays for writ of mandamus declaring the action of respondents 2 and 3 in not returning the sale amount paid by the petitioner pursuant to the e-Auction notice dated 28.05.2021 in respect of the residential house in an extent of 319.89 square yards with RCC roof, ground, first and second floors covered by Door No.12-2-5/12, old ward No.4, New Ward No.10, Prakash Nagar, Narasaraopet Municipality (for short, “subject property”) as illegal and contrary to the provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short, "the SARFAESI Act") and consequently direct the respondents 2 and 3 to return the money of Rs.1,25,90,000/- with interest @ 18% p.a. to the petitioner.

2. The petitioner's case is thus :

    (a) Pursuant to the e-auction notice dated 28.05.2021 published in newspapers dated 28.05.2021 and 01.06.2021 for sale of the subject property, the petitioner participated and became the highest bidder. The respondents 2 and 3 suppressed the fact that there were several encumbrances over the subject property and auctioned the same in favour of the petitioner in a deceitful ma

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