JUDGMENT

Saurabh Banerjee, J. Appellant-bank/original defendant no.1 before the learned Trial Court has impugned the judgment dated 18.02.2020¹ whereby its application under Order VII rule 11 of the Code of Civil Procedure, 1908² in a suit for declaration instituted by respondent nos. 1, 2 and 3/original plaintiffs³ against the appellant-bank and Union of India/respondent no.4 has been rejected and a judgment under Order XII rule 6, CPC has been pronounced against the appellant bank, in favour of the respondents.

2. Facts before us disclose that one Mr. Ajay Gupta⁴ availed loan after mortgaging House No. H-208, Ashok Vihar, Phase-I, Delhi-110052⁵ with the appellant-bank. As the said original borrower defaulted in repaying the loan, appellant-bank initiated proceedings under Section 13 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002⁶ and after taking possession, issued notice for public auction. Respondents, vide e-auction dated 15.07.2016 bought the property for Rs.6,10,05,000/- and deposited 25% of the bid amount alongwith the TDS of 1% from 15.07.2016 to 17.08.2016. Sale thereof was confirmed on 25.07.2016 and th