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IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
K.LAKSHMAN
Bhagwati Devi Baldwa – Appellant
Versus
State of Telangana – Respondent
ORDER :
K. LAKSHMAN, J.
The issues involved and the reliefs sought in the present writ petitions are similar. Therefore, they are being decided together vide the present common order.
2. Heard Sri E.Ajay Reddy, learned Senior Counsel representing Ms. E.Anisha Reddy, learned counsel for the petitioner in W.P.No.27310 of 2024, Sri M.Hareesh Kumar, learned counsel for the petitioner in W.P.No.26832 of 2024 and Sri A.Sudharshan Reddy, learned Advocate General appearing for respondents.
3. The brief facts are that Respondent No. 2 had issued an e- auction notification dated 04.08.2023 for sale of 17 open plots in Budvel Village, Rajendra Nagar Mandal. In the said e-auction notification, Respondent No. 2 advertised that the plots offered for sale were owned by the Government of Telangana and were ‘100% encumbrance free’. The notification stated that the earnest money deposit was Rs. 3,00,00,000/- (three crore only) and the first installment (33% of the sale amount) was to be paid within 07 days of the date of issuance of letter of offer and the second and final installment (the balance sale amount) was to be paid within 30 (thirty) days from the date of auction. Clause 14 (ii) of the Special
The State must disclose pending litigation affecting auctioned properties; failure to do so constitutes arbitrary action, entitling buyers to refunds.
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....
Presence of an arbitration clause would oust jurisdiction under Article 226.
The main legal point established is that a buyer's knowledge of encroachment and pending litigation, as disclosed in the E-tender document, precludes the claim of ignorance and supports the interpret....
A seller in a property auction must disclose encumbrances; failure to do so can lead to liability, but changed circumstances may alter obligations.
Auctioned properties must be free from encumbrances, and buyers are entitled to interest on delayed refunds, reinforcing the obligation of fairness by authorities.
Under the Enforcement Rules, a period of 15 days is prescribed for payment of the balance sale consideration. Rule 9(4) of the Enforcement Rules after its amendment with effect from mandated that any....
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