DILIP KUMAR SINGH Vs. ALLAHABAD BANK

JUDGEMENT

(1.) THEY are heard. The present Appeal is preferred by the appellant, who is the borrower, under Section 18 of the SARFAESI Act, 2002 challenging the order passed by the Tribunal on 31st October, 2012 in S.A. No. 181/2011. By this order the securitisation application preferred by the appellant has been dismissed. The relevant facts for adjudication of the present case are that the appellants were granted the housing loan by the respondent -Bank, but the same was not paid, therefore, the Bank proceeded to take action by issuing notice under Section 13(2) of the SARFAESI Act, 2002. In spite of the notice, the loan was not paid, therefore, the Bank proceeded to take recourse under Section 13(4) of the SARFAESI Act, 2002. The house in question which was the secured asset was put to auction and the reserve price was fixed for a sum of Rs. 8.00 lacs.

(2.) THE appellant has filed the sale proclamation on record and according to the condition No. 2, the persons who are willing to participate in the auction, shall pay 10% of the reserve price in the name of the Authorized Officer of the respondent -Bank, as earnest money.

(3.) ACCORDING to the respondent -Bank, on 18th June, 2011 the respondent No. 3 deposited a sum of Rs. 1.22 lacs and 10% of earnest money i.e. Rs. 80,000/ - was also included which was received by the Bank, which according to the Bank, was 25% of the sale price, and the balance amount of 75% which was for a sum of Rs. 6.19 lacs was deposited on 21st June, 2011.