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Shri.M.R.Nageshwar vs Smt. Lalithamba
2024 Latest Caselaw 5908 Kant

Citation : 2024 Latest Caselaw 5908 Kant
Judgement Date : 28 February, 2024

Karnataka High Court

Shri.M.R.Nageshwar vs Smt. Lalithamba on 28 February, 2024

Author: B.M. Shyam Prasad

Bench: B.M. Shyam Prasad

                                      -1-




            RESERVED ON: 29.01.2024
            PRONOUNCED ON 28.02.2024


                 IN THE HIGH COURT OF KARNATAKA, AT BENGALURU

                   DATED THIS THE 28TH DAY OF FEBRUARY 2024

                                    BEFORE

                   THE HON'BLE MR. JUSTICE B.M. SHYAM PRASAD
                     WRIT PETITION NO.7755 OF 2016 (GM-CPC)

            BETWEEN:

            SRI M.R. NAGESHWAR
            S/O LATE M.R. RAMARADYA
            AGED ABOUT 55 YEARS
            RESIDING AT H. MALLIGERE VILLAGE
            DUDDA HOBLI
            MANDYA TALUK AND DISTRICT.
                                                ...PETITIONER
            (BY SRI G. BALAKRISHNA SHASTRY, ADVOCATE)
            AND:

            1.    SMT. LALITHAMBA
                  W/O SHANKUKARADHYA
                  AGED ABOUT 58 YEARS
                  RESIDING AT NO.406
Digitally
                  LEELAVATHI LAYOUT
signed by         MADDUR TOWN.
ANAND N
Location:
HIGH        2.    SRI. C.MADAPPA
COURT OF
KARNATAKA         S/O LATE SRI PAPE GOWDA
                  AGED BOUT 75 YEARS
                  R/O H. MALLIGERE VILLAGE
                  DODDA HOBLI, MANDYA TALUK
                  MANDYA DISTRICT
                  PIN NO.571 401.
                                                 ...RESPONDENTS

            (BY SRI SRINIVAS A.R., ADVOCATE FOR R1;
                SRI M.R. RAJAGOPAL SENIOR ADVOCATE FOR
                SRI H.C. SHIVARAMU, ADVOCATE FOR R2)
                           -2-




     THIS WRIT PETITION IS FILED UNDER ARTICLES
226 AND 227 OF THE CONSTITUTION OF INDIA,
PRAYING TO ISSUE A WRIT OR ANY OTHER ORDER OR
DIRECTION OF SIMILAR NATURE SETTING ASIDE THE
ORDER DATED 13.12.2013, IN EX.P.NO.109/2008
PASSED BY THE PRINCIPAL CIVIL JUDGE JUNIOR
DIVISION, MANDYA VIDE ANNEXURE-A AND THEREBY
ALLOW THE APPLICATION FILED BY THE PETITION
UNDER ORDER 21 RULE 89 AND 90 READ WITH
SECTION 151 OF CPC AND PASS SUCH OTHER
ORDER/S AS THIS HON'BLE COURT DEEMS FIT TO
GRANT IN THE CIRCUMSTANCES OF THE CASE
INCLUDING THE COSTS OF THE PROCEEDINGS IN THE
INTEREST OF JUSTICE.

    THIS WRIT PETITION HAVING BEEN HEARD AND
RESERVED   ON   29.01.2024  COMING   ON  FOR
PRONOUNCEMENT OF ORDER THIS DAY, THE COURT
MADE THE FOLLOWING:

                      ORDER

The petitioner, who is the Judgment Debtor in

Execution Case in E.P.No.109/2008 on the file of the

Prl. Civil Judge, Mandya [for short, 'the Executing

Court'], is aggrieved by the Executing Court's order

dated 13.12.2013. The Executing Court by the

impugned order has rejected the petitioner's

application under Order XXI Rules 89 and 90 of Code

of Civil Procedure, 1908 [CPC]. The petitioner's

application is for setting aside of the sale of land

measuring 05 acres 14 guntas [including 9 guntas of

kharab land] in Sy.No.160 of H. Malligere village,

Dudda Hobli, Mandya Taluk and district [the subject

property] held on 03.04.2010.

2. The Executing Court, on 04.12.2014, has

issued sale certificate in favour of the second

respondent [the auction purchaser] who asserts that he

is put in possession of the subject property. The

petitioner, who disputes the assertion that the second

respondent is in possession of the subject property,

has filed an application to amend this petition to

challenge the Executing Court's aforesaid order dated

04.12.2014, and on 01.12.2022, this Court has

observed that this application could be taken up along

with the writ petition for final disposal. Further, on

10.02.2020, this Court has granted stay against

dispossession from the subject property on the

condition that the petitioner shall deposit a sum of

Rs.1,50,000/- and another sum of Rs.2,67,500/-

within definite timelines. The petitioner has deposited,

with this Court, the first sum Rs.1,50,000/- by way of

a demand draft dated 18.02.2020 and the sum of

Rs.2,67,500/- by way of Demand Draft dated

07.03.2020.

3. The circumstances leading to the writ

petition and the subsequent orders as aforesaid can

be stated briefly thus. The first respondent has filed

his suit in O.S.No.285/2007 against the petitioner for

recovery of a sum of Rs.2,10,500/- along with interest

at the rate of 8% per annum. This suit is decreed on

08.08.2008, and the first respondent has filed the

subject Execution petition in E.P.No.109/2008 for

recovery of the decretal amount. The Executing

Court, after issuance of sale notice, has issued

proclamation for spot sale of the subject property on

03.04.2010 and for final bid [the Court sale] on

24.04.2010. The second respondent has offered the

highest bid at the spot sale held on 03.04.2010 but

has not deposited 25% of the amount on the same

day.

4. However, the petitioner on the same day

i.e., 03.04.2010 has filed an application with the

Executing Court for permission to deposit 25% of the

price offered on 05.04.2010 asserting that his bank

was closed early for the day before the sale

proceedings were completed because it was a

Saturday, and with the next day being Sunday, he

may be granted a reasonable time until 05.04.2010 to

deposit this amount. The Executing Court

considering such request has permitted the second

respondent to deposit 25% of the bid amount on

05.04.2010. The second respondent, in terms of

such permission, has deposited a sum of

Rs.1,26,500/- with the Executing Court on

05.04.2010.

5. In the meanwhile, a certain Sri H.K. Raju

had filed an application under Order XXI Rule 58 r/w

Section 151 of CPC, and the Executing Court has

rejected this application by its order dated

01.04.2010. The aforesaid Sri H.K. Raju has filed his

appeal in R.A.No.11/2010 calling in question this

order dated 01.04.2010, and the appellate Court on

23.04.2010, has stayed the proceedings in the

execution case until further orders. A copy of this

order in R.A.No.11/2010 is placed before the

Executing Court, and the Executing Court on

24.04.2010 has adjourned the execution proceedings

recording that the case is called twice because the

Court Sale was fixed for that day and that the learned

counsel for the aforesaid objector has placed on record

a copy of the interim order. The Executing Court has

also observed that in view of the interim order

granted, no Court Sale can be permitted.

6. The appellate Court has dismissed the

appeal in R.A.No.11/2010 by its order dated

03.12.2011, and with the dismissal of this appeal, the

first respondent has filed an application for issuance

of fresh sale proclamation. However, the Executing

Court by its order dated 23.06.2012 has rejected this

request and has directed its office to issue notice to

the second respondent, who, upon receipt of such

notice, has deposited on 25.08.2012 the balance sale

consideration of Rs.3,79,500/-. The petitioner has

thereafter filed an application under Order XXI Rule

69 of CPC to stop sale proceedings in favour of the

second respondent, and this application is essentially

filed asserting that the subject property is brought to

sale despite the interim orders granted in

R.A.No.11/2010.

7. The Executing Court by its order dated

07.12.2012 has rejected the petitioner's application

opining that the appeal in R.A.No.11/2010 is

dismissed and it has not received any communication

about the further challenge to its initial order dated

01.04.2010. The first respondent has filed an

application under Order XXI Rule 94 of CPC

requesting the Court to issue sale certificate to the

second respondent, and when this application was

pending consideration, the petitioner has filed the

present application under Order XXI Rules 89 & 90 of

CPC for setting aside the sale asserting that the sale

will be void because the second respondent has not

deposited the entire sale price within the period

contemplated under Order XXI Rules 84 and 85 of

CPC and also asserting that the final bid is not offered

in terms of Rule 138 of Karnataka Civil Rules of

Practice, 1967 [ for short, "the Civil Rules of Practice,

1967"].

8. The circumstances that emerge from the

records as indisputable are that the second

respondent, who offered the highest bid when sale was

held at the spot on 03.04.2010, did not deposit 25% of

the price offered on the same date but has approached

the Executing Court with an application for

permission to deposit such amount on 05.04.2010

contending that his bank was closed before the sale

proceedings could be completed and the next day

[04.04.2010] was a Sunday. The Executing Court has

granted such permission, and the second respondent

has deposited this amount on 05.04.2010. The

second respondent who had to deposit the remaining

75% of the bid amount within 15 days from

03.04.2010, as required under Order XXI Rule 85 of

CPC, has not deposited the same either before such

date or 24.04.2010. The second respondent has

deposited this amount on 25.08.2012 after the

dismissal of the appeal in R.A.No.11/2010, and again

not immediately after the dismissal of the appeal but

after receipt of notice from the Executing Court in that

regard.

9. Further, it emerges that the second

respondent, who had to offer the final bid [normally

referred to as the Court Sale as against the sale at the

place of the immovable property] on 24.04.2010 as

contemplated under Rule 138 of the Civil Rules of

Practice, 1967, has not finally offered the price. The

Executing Court on 24.04.2010, has recorded that

Court Sale cannot be held because of the interim order

of stay granted in R.A.No.11/2010. This appeal in

R.A.No.11/2010 is dismissed on 03.12.2011, and

- 10 -

neither the respondents nor the petitioner has

informed the Executing Court about the dismissal of

the appeal until an application is filed by the first

respondent for issuance of fresh proclamation. It is

therefore indubitable that the petitioner has not

deposited the 25% of the sale price on the date of sale

held at the property [hence, immediately after being

declared the purchaser] or the remaining 75% within

fifteen days from the date of such sale.

10. In the light of these indubitable

circumstances, Sri G. Balakrishna Shastry, the

learned counsel for the petitioner, and Sri M.R.

Rajgopal, the learned Senior Counsel for the second

respondent, are heard for final disposal of the writ

petition in view of the following questions1:

"a) Whether the Executing Court could have permitted the purchaser to deposit 25% of the bid amount on 05.04.2010 when the

1 These questions have been proposed by Sri G. Balakrishna

Sastry for consideration as recorded by this Court on 21.03.2023, and these questions are presently rephrased as recorded above.

- 11 -

'spot sale' is held on 03.04.2010 and the requirement in law, given the provisions of Order XXI Rule 84 of CPC and the decisions thereon, including the decision of the Hon'ble Supreme Court in Manilal Mohanlal Shah And Others Vs. Sardar Sayed Ahmed Sayed Mahmad and Another reported in AIR 1954 SC 349, is that 25% of the bid amount must be mandatorily deposited immediately on the bid being accepted;

b) Whether the Executing Court could have permitted the second respondent [the purchaser] to deposit 75% of the price offered beyond fifteen days from the date of 'spot sale' or confirmed the sale without a fresh proclamation as contemplated under Order XXI Rule 69 of CPC when the second respondent had not deposited the entire sale price offered within such time, and

c) Whether, in the circumstances of the present case, the Executing Court could have issued sale certificate without the mandatory 'Court sale' as contemplated with Order XXI Rule 85 of CPC read with Rule 138 of the Karnataka Civil Rules of Practice, 1967."

- 12 -

11. Sri G. Balakrishna Shastry submits that it

is mandatory that 25% of the price offered at the time

of sale must be made immediately thereafter and it

would also be mandatory that the remaining 75% of

the price offered should be deposited within a period

of 15 days, and if there is a breach of these

stipulations, there cannot be a sale. Sri G.

Balakrishna Shastry, relying upon the decision of the

Hon'ble Supreme Court in Gas Point Petroleum

India Limited Vs. Rajendra Marothi and Ors2,

contends that the second respondent must fail at the

first hurdle because he has not deposited 25% of the

sale immediately on completion of the sale of the

subject property at the spot on 03.04.2010. In

response, Sri M.R. Rajagopal, relying upon the

decision of the Hon'ble Supreme Court in Rosali V.

Vs. Taico Bank and Ors3, submits that the

requirement in law to deposit immediately on

declaration of sale must be construed as requiring

2 (2023) 6 SCC 391 3 (2009) 17 SCC 690

- 13 -

that deposit must be made within a reasonable time

and that what is reasonable time will depend upon the

facts and circumstances of each case.

12. These decisions in Gas Point Petroleum

India Limited [supra] and Rosali V. [supra] are in the

light of the decision in Manilal Mohanlal Shah Vs.

Sardar Syed Mahmed [supra], and in this earlier

decision the Hon'ble Supreme Court has opined that

there can be no sale in favour of the purchaser unless

25% of the price offered is deposited in the first

instance and the balance 75% is deposited within 15

days, and if there is any failure in these regards, the

sale proceedings will be a complete nullity. This

proposition is affirmed in both the aforesaid decisions,

but insofar as the meaning that should be ascribed to

the expression immediately as found in Order XXI

Rule 844 of CPC, the Hon'ble Supreme Court in

4 Rule-84. Deposit by purchaser and re-sale on default.- (1) On every sale of immovable property the person declared to be the purchaser shall pay immediately after such declaration a deposit of twenty-five per cent. on the amount of his purchase-money to the officer or other person

- 14 -

Rosali V. [supra], after referring to the decision in

Manilal Mohanlal Shah [supra], has opined thus:

30. While applying the principles of interpretation, the courts are also required to keep in mind the following two well-settled principles of law: (i) Actus curiae neminem gravabit (an act of court shall prejudice no man) (see Satyabrata Biswas v. Kalyan Kumar Kisku [(1994) 2 SCC 266] , Ram Chandra Singh v.

Savitri Devi [(2003) 8 SCC 319] , Board of Control for Cricket in India v. Netaji Cricket Club [(2005) 4 SCC 741] and Union of India v. Pramod Gupta [(2005) 12 SCC 1] ); and (ii) Lex non cogit ad impossibilia (the law does not compel a man to do that what he cannot possibly perform). (See Ram Chandra Singh [(2003) 8 SCC 319] and Board of Control for Cricket in India [(2005) 4 SCC 741] .0

31. The term "immediately", therefore, must be construed having regard to the aforementioned principles. The term has two meanings. One, indicating the relation of cause and effect and the other, the absence of time between two events. In

conducting the sale, and in default of such deposit, the property shall forthwith be re-sold.

(2) Where the decree-holder is the purchaser and is entitled to set-off the purchase-money under rule 72, the Court may dispense with the requirements of this rule

- 15 -

the former sense, it means proximately, without intervention of anything, as opposed to "mediately". In the latter sense, it means instantaneously. The term "immediately", is, thus, required to be construed as meaning with all reasonable speed, considering the circumstances of the case. (See Halsbury's Laws of England, 4th Edn., Vol. 23, Para 1618, p. 1178.)

The Hon'ble Supreme Court in Gas Point Petroleum

India Limited [supra] has also referred to the decision

in Rosali V. [supra], and the efficacy of the

proposition that the deposit [payment] under Order

XXI Rule 84 of CPC must be within a reasonable

period is not jeopardized. As such, the facts and

circumstances in the present case are examined to

ascertain whether the second respondent has

deposited 25% of the sale price within reasonable

time.

13. The auction for the sale of the subject

property at the place of the property is held on

03.04.2010 after 12.00 p.m., and the second

respondent, who has offered the highest bid, has

- 16 -

immediately thereafter [i.e., on the same day] has filed

an application with the Executing Court stating that

he must be permitted to deposit 25% of the amount

on 05.04.2010 because the bank is already closed and

the next day is a Sunday. The Executing Court has

allowed the application, and petitioner has deposited

25% of the sale price on 05.04.2010. This Court,

given these circumstances, must opine that the

petitioner has indeed deposited 25% of the price

offered within a reasonable time. Therefore, the

petitioner cannot succeed on the ground that 25% of

the sale price is not deposited immediately after the

auction on 03.04.2010.

14. If the provisions of Rule 84 of Order XXI of

CPC stipulate that the purchaser shall pay

'immediately after declaration', a deposit of 25% of the

amount of the purchase money to the officer or the

other person conducting the sale, the provisions of

- 17 -

Rule 855 of Order XXI of CPC stipulate that "the full

amount of the purchase-money" shall be paid by the

purchaser "into the Court before the Court closes on the

15th day from the sale of the property". The only

exception is the right to claim the advantage of set-off

under Rule 72 of this Order. The proposition that is

underscored by the Supreme Court in each of the

aforesaid three decisions is that there cannot be any

sale in favour of a purchaser if there is failure to

deposit the balance sale price within 15 days and non-

payment of the price on the part of the defaulting

purchaser renders the sale a complete nullity with the

Courts being bound to resell the property. The

stipulation that the balance sale price must be

deposited within 15 days from the date of the sale is

5 Rule 85. Time for payment in full of purchase money

-The full amount of purchase-money payable shall be paid by the purchaser into Court before the Court closes on the fifteenth day from the sale of the property:

Provided that, in calculating the amount to be so paid into Court, the purchaser shall have the advantage of any set- off to which he may be entitled under Rule 72

- 18 -

thus declared mandatory by the Hon'ble Supreme

Court in Manilal Mohanlal Shah [supra]:

"Having examined the language of the relevant rules and the judicial decisions bearing upon the subject we are of opinion that the provisions of the rules requiring the deposit of 25 per cent. of the purchase money immediately on the person being declared as a purchaser and the payment of the balance within 15 days of the sale are mandatory and upon non-compliance with these provisions there is no sale at all. The rules do not contemplate that there can be any sale in favour of a purchaser without depositing 25 per cent of the purchase money in the first instance and the balance within 15 days. When there is no-sale within the contemplation of these rules, there can be no question of material irregularity in the conduct of the sale. Non-payment of the price on the part of the defaulting purchaser renders the sale proceedings as a complete nullity. The very fact that the court is bound to re-sell the property in the event of a default shows that the previous proceedings for sale are completely wiped out as if they do not exist in the eye of law.............."

15. This Court must therefore opine that the

purchaser after the immediate deposit of the first 25%

- 19 -

of the sale price must, within 15 days from the date of

auction, deposit the full purchase price to secure the

right to purchase the property sold in auction subject

to any order that may be made to set aside the sale.

The purchaser cannot hold back from depositing

fearing a precipitation or for any other reason. As

such, the second respondent [the purchaser] should

have deposited the 75% of the purchase price within

15 days from 03.04.2010. Even if there is stay of

further proceedings in the execution case, the second

respondent should have necessarily deposited 75% of

the sale price on or before 18.04.2010 and the failure

to so deposit jeopardizes his right to purchase.

16. This Court is of the considered view that

to hold otherwise is to enable the purchaser to offer a

price and take advantage of stay of the execution

proceedings without paying the full price. The

legislature, in prescribing the definite timeline for the

deposit of the remaining sale price, could not have

intended this outcome. Further, the second

- 20 -

respondent, the purchaser in the present case who

has not deposited the entire sale price, cannot take

any advantage of the interim order of stay in

R.A.No.11/2010 inasmuch as such interim order is

granted only on 23.04.2010 after the lapse of fifteen

days from the date of sale at the property. This Court

must also observe that the second respondent has not

deposited the 75% of the purchase price even

immediately after the dismissal of the aforesaid appeal

on 03.12.2011.

17. Sri M.R. Rajagopal canvasses that this

Court must not intervene with the sale despite the

afore circumstances because the petitioner has not

challenged the Executing Court's order dated

04.12.2014 issuing the sale certificate even as on the

date of filing of the writ petition in the year 2016, and

the learned Senior Counsel emphasizes that an

application for amendment to raise the challenge to

the Executing Court's order dated 04.12.2014 is filed

only in the year 2022. However, when indubitably

- 21 -

deposit of 75% of the sale price is much after the

period of 15 days contemplated under Order XXI Rule

85 of CPC, this Court must opine that the entire sale

proceedings are rendered a nullity and therefore, the

issuance of sale certificate is without jurisdiction.

18. Further, it is not as if that the petitioner

has not raised the challenge at all until the present

amendment application in 2022, the petitioner has

filed an application under Order XXI Rules 89 and 90

of CPC which is rejected by the Executing Court by

the impugned order dated 13.12.2013. If the

Executing Court had considered the merits of the

petitioner's application in the light of the exposition by

the Hon'ble Supreme Court, the sale certificate could

not have been issued at all.

19. The petitioner, to explain the delay in filing

an application for amendment to include the challenge

to the issuance of Sale Certificate, has also relied

upon certain circumstances such as the terminal

illness of his dependents viz., his sister and mother to

- 22 -

explain why he could not completely challenge the

Executing Court's orders immediately after it was

pronounced. The petitioner has also relied upon

certain medical records. Therefore, this Court must

opine that the petitioner, though not on the first

ground [the delay in depositing 25% within a

reasonable time], must succeed on the second ground

[the delay in depositing the full purchase price within

15 days as contemplated under Order XXI Rule 85 of

CPC]. The second question is answered accordingly.

20. The provisions of Order XXI Rules 84 and

85 of CPC do not contemplate sale at the spot and

sale in the Court as two different proceedings.

However, the Executing Courts enable the sale of an

immovable property at the spot and submission of a

final bid in the Court on another day in view of the

provisions of Rule 1386 of the Civil Rules of Practice,

6 Rule 138:Sale of immovable property shall ordinarily take place at the spot, subject to the condition that the final bid shall be offered before the Presiding Officer at the Court house.

- 23 -

1967 which stipulate that the sale of immovable

property shall ordinarily take place at the spot,

subject to the condition that the final bid shall be

offered before the Presiding Officer at the Court house.

As observed by this Court in K.T. Krishnappa Vs. B

Gangappa by L.R. Siddamma & Ors7, there is

solemnity attached to the final bid to be made before

the Court for completion of the sale.

21. In the present case, on 24.04.2010, the

Executing Court has called the case twice and no

submission is made on behalf of the second

respondent confirming the sale price offered on

03.04.2010 as the final bid. Indeed, it is argued by

Sri G. Balakrishna Shastry that the Executing Court

should have permitted a third person to make offer,

but nothing is brought on record to demonstrate that

a third person was willing to make a higher offer to

purchase the property and the executing Court has

refused the same. Crucially, on 24.04.2020, it was

7 1982 (1) KLJ 356

- 24 -

the second respondent's responsibility to confirm his

offer as the final bid bringing on record the details of

the deposit of the 75% of the sale price offered.

22. The second respondent has not offered

this confirmation though the case is called twice. The

Executing Court's observation that no Court Sale can

be held because of the stay is insignificant in the light

of the petitioner's failure to confirm the bid as a final

bid. The third question is answered accordingly

holding that the petitioner must succeed on the

ground that the second respondent has not confirmed

the sale price offered at the spot as the final bid.

23. There is some controversy on the question

of possession of the subject property. The second

respondent asserts that he is in possession of the

subject property and that he has made improvements

for cultivation, and the petitioner on the other hand

asserts that he continues to be in possession of the

subject property. Sri G. Balakrishna Shastry

emphasizes that no order for delivery of possession

- 25 -

has been passed by the Executing Court as

contemplated under Order XXI Rule 95 of CPC. There

is merit in this submission as no order for delivery of

possession is placed on record. Even otherwise, with

the petitioner succeeding in the challenge to the

issuance of sale certificate, he is entitled to the

possession of the subject property without any claim

from the second respondent. The second respondent,

consequent to this order, must yield all claims to

possession of the subject property in favour of the

petitioner.

24. When there is default by the purchaser to

pay the purchase price within the period mentioned in

Order XXI Rule 85 of CPC, the discretion lies with the

concerned Court to forfeit the price paid to the

Government after defraying the expenses of the sale,

and the defaulting purchaser forfeits all claim to the

property and to any part of the sum for which the

property may be subsequently sold. In this regard,

- 26 -

this Court must refer to provisions of Order XXI Rule

86 of CPC, which reads as follows:

"86. Procedure in default of payment- In default of payment within the period mentioned in the last preceding rule, the deposit may, if the Court thinks fit, after defraying the expenses of the sale, be forfeited to the Government, and the property shall be re-sold, and the defaulting purchaser shall forfeit all claim to the property or to any part of the sum for which it may subsequently be sold."

25. The second respondent has deposited a

total sum of Rs.5,06,000/- with the Executing Court

and the petitioner has deposited a sum of

Rs.4,17,500/- with this Court. In the peculiarities of

this case where the second respondent has the

advantage of revenue entries for the subject property

and that the petitioner, notwithstanding the

circumstances that are pleaded, has not approached

this Court at the earliest, this Court is of the

considered view that the amounts deposited by the

second respondent with the Executing Court must be

- 27 -

repaid in his favour without any order on forfeiture or

defraying of costs. The amount deposited by the

petitioner in the present proceedings must be

transferred to the Executing Court for payment to the

first respondent subject to further calculation of

interest and for action as is permissible in law to

recover the entire decreetal amount from the

petitioner, including upto date interests. In the light

of the afore, the following:

ORDER

[a] The petition is allowed, and the Executing

Court's impugned order dated 13.12.2013

as also the order dated 04.12.2014 for

issuance of Sale Certificate for the subject

property in favour of the second

respondent are quashed. Consequently,

the petitioner will be at liberty to file an

application with the Executing Court for

necessary directions to the jurisdictional

Sub-Registrar to cancel the registration of

the Sale Certificate issued in favour of the

- 28 -

second respondent, and if such application

is filed, the Executing Court shall issue

appropriate directions.


  [b]     The Executing Court, upon the second

          respondent             filing        necessary

          application/Voucher          for   refund   of

Rs.5,06,000/- deposited by him in the

execution proceedings, shall order refund.

[c] The registry is directed to transmit the

amount deposited in the present case to

the Executing Court for payment to the

first respondent subject to this Court's

observations above and the petitioner's

liability to pay interest.

All the pending applications stand disposed as a

consequence of this order.

SD/-

JUDGE BL

 
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