BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
PARESH UPADHYAY, R. VIJAYAKUMAR, JJ.
M/s. A.P. Steel & Alloys, Rep. by its Partner, D. Purushothaman & Others - Appellant
Versus
The Authorized Officer, Canara Bank, Tiruchirappalli & Another - Respondent
W.P(MD) No. 7025 of 2022 & WMP(MD) Nos. 5343, 5344 & 5346 of 2022
Decided On : 13-04-2022
Auction Sale Notice - Challenge to Auction Sale Notice - The court dismissed the writ petition challenging the auction sale notice dated 25 February 2022 as amended by notice dated 10 March 2022, stating that it would not be proper to entertain the petition at this stage.
Fact of the Case:
The petitioner challenged the auction sale notice dated 25 February 2022 as amended by notice dated 10 March 2022, seeking to quash the same as illegal and without jurisdiction and to permit the petitioner to redeem the land and machineries described in the detailed terms and conditions of the sale dated 30.03.2022.
Finding of the Court:
The court found that it would not be proper to entertain the petition at this stage and dismissed the writ petition, stating that the arguments and judgments referred to by the petitioner would not take the case any further.
Issues: Challenge to auction sale notice, legality and jurisdiction of the sale, redemption of land and machineries.
Ratio Decidendi: At this stage, it would not be proper to entertain the petition, and the arguments and judgments referred to would not take the case any further.
Final Decision: The writ petition was dismissed with no costs, and connected miscellaneous petitions would not survive.
JUDGMENT
(Prayer: Writ Petition filed under Article 226 of the Constitution of India praying for the issuance of a Writ of Certiorarified Mandamus calling for the records relating to the impugned auction sale notices issued by the first respondent in his proceedings Nil dated 25.02.2022 and 10.03.2022 and quash the same as illegal and without jurisdiction and consequently directing the respondents to permit the petitioner to redeem the land and machineries morefully described at Column 5 of the detailed terms and conditions of the sale dated 30.03.2022 annexed along with the impugned sale notices dated 25.02.2022, on payment of the entire reserve price/sale price as indicated in the impugned e-auction sale notices.)
Paresh Upadhyay, J.
1. The petitioner challenges the auction sale notice dated 25 February 2022 as amended by notice dated 10 March 2022. The prayer clause reads as under:
“Writ Petition filed under Article 226 of the Constitution of India praying for the issuance of a Writ of Certiorarified Mandamus calling for the records relating to the impugned auction sale notices issued by the first respondent in his proceedings Nil dated 25.02.2022 and 10.03.2022 and quash the same as illegal and without jurisdiction and consequently directing the respondents to permit the petitioner to redeem the land and machineries morefully described at Column 5 of the detailed terms and conditions of the sale dated 30.03.2022 annexed along with the impugned sale notices dated 25.02.2022, on payment of the entire reserve price/ sale price as indicated in the impugned e-auction sale notices.”
2. From record it transpires that, the outstanding amount, as per the impugned notice dated 25 February 2022 is Rs.30,08,51,384=90 (Rupees Thirty Crores Eight Lakhs Fifty One Thousand Three Hundred and Eighty Four and Paise Ninety only).
3. At the outset, learned advocate for the petitioner has submitted that, the sale has already taken place on 30 March 2022. There is also an averment to that effect in the affidavit filed in support of the petition.
4. We find that, at this stage, it would not be proper to entertain this petition.
5. We note that, learned advocate for the petitioner has addressed the Court at length, including by referring to decision of the Punjab and Haryana High Court in the case of Pal Alloys & Metal India Private Limited & Ors., reported in AIR 2022 P&H 23. We find that, those arguments and the said judgment, in the facts of this case and at this stage, will not take the case of the writ petitioner any further.
6. For the above reasons, this writ petition is dismissed. No costs. Consequently, connected miscellaneous petitions would not survive.
AI
The court found that it would not be proper to entertain the petition challenging the auction sale notice at this stage.
High Court lacks writ jurisdiction in factual disputes on auction validity preferring civil court adjudication.
Invoking jurisdiction under Article 226 of the Constitution of India in the circumstances of a pending SARFAESI Application before the Debts Recovery Tribunal would amount to an abuse of process of c....
The court has the discretion to provide directions for deferment of sale proceedings and allow the petitioner to seek relief under RBI guidelines.
A writ petition challenging an auction sale notice becomes infructuous and academic when the proposed auction fails to materialize and no third-party rights are created, warranting dismissal while pr....
The court considered the petitioner's willingness to pay a substantial amount of the total due within a specified timeline and provided the petitioner with the opportunity to approach the bank for lo....
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