The main legal point established in the judgment is that the failure to comply with the mandatory provisions of Rule 57 and 58 of the Second Schedule to the Income Tax Act, 1961 renders the auction sale invalid and forfeits the claim to the properties.

C.NAGAPPAN, J.

1. The petitioners have sought for issuance of a Writ of Certiorari to quash the order dated 22. 2007 passed by the Debt Recovery Appellate Tribunal, Chennai in MA.No.90 of 2006.

2. The facts which led to the filing of the writ petition are as follows. The first respondent is a Partnership Firm and respondents 2 and 3 are its partners. The first respondent availed loan from the fourth respondent Bank to the limit of Rs.90 lakhs on 9. 1991. The respondents 2 and 3 also created equitable mortgage on their properties by depositing the title deeds for the said loan. There was default in repayment and for recovery, the fourth respondent herein filed Original Application in O.A.No.238 of 1998 on the file of Debts Recovery Tribunal at Chennai and it was re-numbered as O.A.No.1098 of 2001.

3. Respondents 1 to 3 were set exparte on 22. 1999 and exparte Decree also came to be passed on 20.9.1999. The respondents 1 to 3 filed Application in I.A.No.2240 of 1999 for setting aside the exparte order and Application in I.A.No.2606 of 1999 for setting aside the exparte Decree. The Applications were dismissed for default on 20.11.2001. The respondents 1 to 3 herein filed I.A.Nos.897 and 898 of 2001 to restore the Interlocutory Applications in I.A.Nos.2240 and 2606 of 1999 and they were dismissed on 5. 2002.

4. In the meanwhile, in execution of the Recovery Certificate, the immovable property was brought to sale by public auction held on 3. 2003 and the petitioners herein took part in the auction and purchased the property. The respondents 1 to 3 filed I.A.No.146 of 2003 for setting aside the auction held on 3. 2003 and I.A.No.150 of 2003 seeking for not to confirm the sale. The Debts Recovery Tribunal passed a conditional order, dated 4. 2003 in I.A.No.150 of 2003 to defer the confirmation of sale on condition the respondents 1 to 3 paying a sum of Rs.10 lakhs to the Bank or to the Recovery Officer on or before 24. 2003. The Tribunal dismissed I.A.No.146 of 2003 on 14. 2003 as not maintainable. When the matter was called on 24. 2003, the respondents 1 to 3 sought for extension of time and the Debts Recovery Tribunal rejected the request and allowed the Recovery Officer to proceed further in accordance with law. Sale Certificates were issued to the petitioners on 25. 2003.

5. The respondents 1 to 3 herein filed appeal in IN.No.197 of 2003 challenging the orders passed by the Debts Recovery Tribunal-II, Chennai in I.A.Nos.897 and 898 of 2001 and the Debts Recovery Appellate Tribunal, by order dated 28. 2003 directed the appellants therein/respondents 1 to 3 herein to pay requisite Court fee if they want to challenge the final order of Debts Recovery Tribunal. Challenging the abovesaid order of the Appellate Tribunal, the respondents 1 to 3 herein filed Writ Petition in W.P.No.28235 of 2003 without notice to the Court auction purchasers viz. the petitioners herein and this Court by Order dated 110. 2003 set aside the exparte Decree passed by the Debts Recovery Tribunal subject to payment of costs of Rs.10,000/-to the fourth respondent Bank. The order was complied with and the Original Application is still pending.

6. Challenging the Order of this Court in W.P.No.28235 of 2003, the fourth respondent Bank has preferred Special Leave Petition before the Supreme Court and it was dismissed by Order dated 7. 2004. Thereafter, the fourth respondent Bank filed Review Application No.13 of 2004 and the petitioners herein filed Review Application No.19 of 2004 seeking for review of the Order dated 110. 2003 passed in W.P.No.28235 of 2003 and this Court dismissed the Review Applications by Order dated 10. 2004 by observing that the auction purchasers are free to represent their case before the Debts Recovery Tribunal in the main Original Application.

7. Based on the above observation, the petitioners herein filed Application in I.A.No.20 of 2005 on the file of Debts Recovery Tribunal-II, Chennai seeking for delivery of possess