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IN THE HIGH COURT OF JUDICATURE AT MADRAS
ANITA SUMANTH, N.SENTHILKUMAR
Everwin Group of Schools and Businesses, Rep. by B.Purushothaman, Managing Trustee of Everwin Educational and Charitable Trust – Appellant
Versus
Administrator General and Official Trustee of Tamil Nadu, City Civil Court Additional Building – Respondent
JUDGMENT :
Dr. ANITA SUMANTH., J
O.S.A.Nos. 213 and 193 of 2025 have been filed by the Everwin Group of Schools and Businesses (in short, ‘Everwin’), the former challenging order dated 05.09.2024 and the latter challenging order dated 24.04.2025.
2. O.S.A.Nos. 179, 200, 201, 199 & 187 of 2025 have been filed by those who have not participated in the auction conducted on 23.04.2025 and who are aggrieved by the process of auction.
3. The background in which these appeals arise is as follows. At the heart of the matter lies 51.87 acres of land at Ayyanambakkam Village, Chennai 95, belonging to the trust estate of Mr.C.Kandasamy Naidu. The aforesaid property is referred to hereinafter as (‘property’/ ‘subject property’) and is presently under the administration of the Administrative General and Official Trustee of Tamil Nadu (AG&OT).
4. In order to maximize the revenue for the Trust, the AG&OT has been approaching this Court regularly seeking permission to sell the lands. One such attempt was in 2022 when, after obtaining permission from this Court, paper publication had been effected on 17.06.2022 in Dinamalar. The upset rent had been fixed at a sum of Rs.20 lakhs per annum. A sum of Rs. 6
An auction sale cannot be overturned without evidence of fraud or material irregularities, prioritizing trust property protection and proper auction procedures.
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The court must supervise public auctions of Trust properties without participating as an auctioneer, ensuring adherence to established legal procedures.
The High Court exceeded its supervisory role by participating as an auctioneer in the sale of trust property, which led to annulment of the auction and subsequent orders.
Procedural lapses like short auction notice, post-facto CoC communication, single undervaluation, and lack of due diligence on encumbrances justify setting aside completed auction in personal bankrup....
Confirmed auction sales cannot be set aside for alleged inadequacy of price or lack of publicity without proof of fraud or substantial injury.
The court upheld the auction process under the SARFAESI Act, affirming that auctions must follow statutory requirements and can only be challenged on limited grounds such as fraud or procedural irreg....
A concluded contract arises from an unqualified acceptance of an offer, but acceptance of a refund can imply rescission of that contract, negating any claims for its enforcement.
when an auction sale is advertised in well known newspapers having wide circulation, those who could not come forward within the time stipulated, are required to blame themselves. If the request of t....
The highest offer received in the public auction should be accepted as a fair value unless there are allegations of fraud, collusion, etc.
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