The main legal point established in the judgment is that the auction proceedings and the confirmation of sale must strictly adhere to the statutory rules, and any violation of the rules can lead to the quashing of the sale and the direction to recover the debt due to the bank.

( 1 ) PETITIONERS in this case have sought for a declaratory relief to declare that the auction proceedings held on 30-3-1999 by the second respondent in respect of the immovable property bearing t. s. No. 666/100, r. s. No. 95/100 of ward No. 6 known as "laxmi nilaya" situated opposite gand-hinaga park, gandhinagar, mannagudda, mangalore measuring about 30 cents relating to patta No. 192 pursuant to the Order dated 8-5-1998 passed by the first respondent in o. a. No. 977 of 1997 as illegal and further sought for a direction to declare that the Order dated 8-5-1998 made in the above said original application by the debt recovery tribunal as illegal vide Annexures-a and b. Further, reliefs sought for at prayer columns (b), (c) and (d) are not all required to be considered in this writ petition, as the same cannot be granted having regard to the facts and circumstances of this case.

( 2 ) CERTAIN relevant facts, which are necessary for the purpose of considering and answering the rival contentions of the parties are briefly stated as hereunder: at the instance of the first petitioner, the third respondent-bank had issued a bank guarantee to the tune of rs. 15. 00 lakhs to three different financiers. First petitioner had sought for issuance of a bank guarantee in Order to purchase timber to improve his business. The private financiers though invoked the said bank guarantee did not ensure supply of the timber to the first petitioner.

( 3 ) THE second petitioner who is the landlady of property bearing t. s. No. 66/100, r. s. No. 95/100 of ward No. 6 known as "laxmi nilaya", situated opposite gandhinagar park, gandhinagar, mannagudda, man-galore stood as guarantor to the first petitioner in respect of the said transaction.

( 4 ) THE third respondent-bank filed original suit in o. s. No. 371 of 1985 on the file of the first additional civil judge, mangalore. Same came to be decreed by judgment and decree dated 22-4-1989 as per Annexure-a. Pursuant to decree, third respondent-bank filed an execution petition in e. p. No. 94 of 1992. During pendency of the execution of the decree, the first petitioner deposited a sum of rs. 10. 00 lakhs towards the debt due to the bank. In the judgment and decree passed vide Annexure-a payment of rs. 3,59,135. 00 made by the first petitioner had been ordered for due deduction from the claim made by the third respondent-bank. In the meanwhile, pursuant to the recovery of the debts due to the banks and financial institutions act, 1993 (in short, 'act') came into force. The execution proceedings transferred on the file of the first respondent and were renumbered in o. a. No. 977 of 1997. The proceedings culminated in ex parte Order dated 8-5-1998 vide Annexure-b. It is the case of the first petitioner that as on the date of transfer of the proceedings execution petition from the court of the second additional civil judge, mangalore to the first respondent-tribunal nearly rs. 13. 00 lakhs was paid. The total amount covered under the bank guarantee is rs. 15. 00 lakhs. The claim of the bank was rs. 60,70,562-36. The tribunal, first respondent has allowed the ex parte proceedings without considering the payments made by the first petitioner during pendency of the execution petition including the bank guarantee. Pursuant to the said order, the second respondent who is the recovery officer published three public notices in udayavani, kannada daily dated 28-2-1999 22-3-1999 and 27-3-1999 vide Annexures-c, d and e respectively. It is alleged that in the first publication it does not contain any details regarding the reserved price, place of auction and the time of auction. What is mentioned in the said first notice the date of auction as 29-3-1999. In the second notice, it is shown as place of auction as vijaya bank, vijaya towers, lhh road, bangalore, date of auction was shown as 30-3-1999. In the said notice also the reserved price and the time of auction are not mentioned. In the third noti