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V Suryanarayana Raju (Managing Director)     27 July 2014

Drt auction

Hi,

I am the highest bidder for a property auctioned by Andhra Bank and paid 25% EMD.  I come across there are legal disputes with borrower hence I am not paid balance money and filed SA for refund of money.  Brief judgement is OP Bank is not entitled to forfeit the amount deposited by bidder and has to be returned along with interest as may be applicable for a term deposit - if the applicant is ready and willing to purchase the property in the present situation he may be permitted to deposit balance amount of bid for getting sale certificate executed in his favour and he is put into possession pursuant to order of CMM provided right of redemption is not exercised by the mortgagor and the borrower.

Other tenant SA judgement Tenant hast not acquired any registered deed and cannot be termed as protected tenant under the provisions of state/central Act. The present application is dismissed with costs. 

Borrower SA judgement  The conducts of borrower demonstrates that they were never serious to repay the loan liability to save their asset. Thus the SA is devoid of merit and deserved to be dismissed as such SA160 of 2013 along with connected IAs are dismissed however without costs. Borrower filed case in High court to withhold auction before the auction process, it was also dismissed.  Under these circumstances is there any chance to extend the litigations by Tenant or Borrower.  I wanted to buy a peaceful property not any litigation. What are the time limits for going to appeal by Tenant or Borrower.

Please help me in this regard.

VS Raju 9885079984



Learning

 2 Replies

T. Kalaiselvan, Advocate (Advocate)     28 July 2014

There is no question of appeal by borrower or tenant after exhausting their remedies and the appeals were decided against them.  In this case you have entered into the auction after knowing about the consequences so it is you who to make a call, if you feel that you cannot endure the unnecessary litigation, you may withdraw the security amount deposited already or if you are confident to challenge the issues subsequently, you may stay attached to it.  Do not enter into field depending on the banker's support, once the bank has received full money they will wash away their responsibilities after which it will fall on your shoulders to contest the challenges made by the borrower.

adv.raghavan (Advocate,9444674980)     30 July 2014

As rightly contended by Learned.Adv.Kalai sir, it is not advisable to get in to intricacies of borrower and  tenant. You can confine yourself to bank and its bidding process. If the bank is extending you good property you can go ahead and perform the contract, on the contrary if it is litigated property and you expect both borrower and tenant to  have a peaceful exit from the property, it is not going to happen. If they have decided to create litigation after litigation, they will do it at any cost.


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