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IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
ANIL KSHETARPAL
Jalandhar Transport Cooperative Society – Appellant
Versus
Ritu Chadha – Respondent
JUDGMENT :
Anil Kshetarpal, J.
After hearing learned counsel for the appellant, the following order was passed on 19.03.2025:-
"Arguments of learned counsel for the appellant have been heard at length.
The appellant herein is a judgment debtor. His property was sold in a Court auction held on 01.05.2017. He filed an application on 14.09.2017, challenging the Court auction on the ground of illegality. In the alternative, he prays for permission to set aside the sale of deposit. He tendered the auction amount (+) plus 5% by depositing a cheque. As per the Order XXI Rule 89(2) of the Code of Civil Procedure, 1908, if a person applies under Order XXI Rule 90 to set aside the sale of his immovable property, he has to first withdraw his application under Order XXI Rule 90 i.e. to set aside the same. In absence thereof, application under Order XXI Rule 89 is not maintainable.
Learned counsel for the petitioner contends that the limitation period will begin to run from the date, the sale was confirmed and not from the date of auction. He submits that the Court auction was confirmed on 30.08.2017.
On a Court question, "as to how he is reading the date of sale as date of confirmation of auction,
The limitation period for an application under Order XXI Rule 89 begins from the date of the auction, not the confirmation of sale.
The limitation for filing an application under Order XXI Rule 89 CPC is 60 days from the date of sale, and the stay period does not save the limitation.
The main legal point established is that an auction sale can be set aside if there are substantial irregularities and fraud, and the application to set aside the sale was filed within the limitation ....
Auction sales under CPC require strict adherence to mandatory deposit rules, failing which the sale is void ab initio and cannot be ratified by subsequent actions.
The court affirmed that Section 5 of the Limitation Act does not apply to applications under Order 21 Rule 90 of the CPC, emphasizing the need for timely objections in execution proceedings.
Confirmed auction sales cannot be set aside for alleged inadequacy of price or lack of publicity without proof of fraud or substantial injury.
The main legal point established in the judgment is that the sale becomes absolute only after the final disposal of ancillary proceedings, and the one-year limitation period under Article 134 of the ....
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