Back
IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
SHEEL NAGU, C.J., SANJIV BERRY
Anil Dhawan – Appellant
Versus
Bank Of India, Through Its Authorized Officer – Respondent
JUDGMENT :
SANJIV BERRY, J.
1. The petitioner herein has preferred the instant writ petition under Article 226/227 of the Constitution of India seeking direction to the respondent-Bank to deliver land and building including plant and machinery placed in Khasra No.20/1 and 22/1/2, which were shown by the officials of the Bank on the date of inspection of the property, i.e. on 26.05.2022 and which was approved in pursuant to the sale notice dated 19.04.2022 with date of auction as 30.05.2022 (Annexure P-1). Alternatively seeking refund of earnest money being 25% of the bid amount deposited by the petitioner with 15% interest per annum.
2. In nut shell, the contention of the petitioner has been that he has been successful bidder qua the property mentioned in Lot No.1 and Lot No.2 auctioned by the respondent Bank in the auction held on 30.05.2022 in pursuance to the auction notice dated 19.04.2022 (Annexure P-1). Prior to the auction, the petitioner inspected the properties on 26.05.2022 and the Bank had shown the area intended to be sold through the said auction to the petitioner which depicted the land and building, plant and machinery of rice sheller and flour mill, and that the entire
The seller must disclose material defects affecting property usability, failure of which constitutes misrepresentation and gives rise to legal recourse.
A bank's misrepresentation of property details in an auction can invalidate the sale, and forfeiture of the deposit is unjustified if the sale is characterized by a lack of fair disclosure.
Suppression of pending litigation in the e-auction notice by a secured creditor is improper and violates the duty to disclose encumbrances and pending litigation as per the Securitization and Reconst....
The seller's duty to disclose material defects and encumbrances in property sales is paramount, and failure to do so can invalidate the sale.
The specific and stringent conditions of an auction sale notice, the waiver of statutory rights by the purchaser, and the inapplicability of precedent in determining the legal position under the SARF....
Secured creditors must fully deliver the auctioned property and disclose material defects; failure to do so incurs liability for damages, including refunds with interest.
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
