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Judgment
ORDER
Learned Counsel for both sides are present.
This appeal is filed against the final order dated 29.12.2023 passed in TSA No.258 of 2023 passed by the Learned Presiding Officer, DRT-II, Chennai.
The Appellants filed the aforesaid TSA to set aside the tender cum auction sale conducted by the Respondent Bank on 15.12.2020 in pursuance of the sale notice dated 7.11.2020. In the counter filed before DRT-II, Chennai, it was stated by the Respondent Bank that the auction purchaser paid 25% of the sale amount on the date of the sale on 15.12.2020 and the rest of the sale consideration was paid on 16.12.2020. In reality, this statement was not true. The auction purchaser has not paid the 75% of the sale consideration. Learned Presiding Officer, DRT-II, Chennai dismissed TSA No.258 of 2023. Therefore, this appeal is filed.
Learned Counsel for Appellants prays for staying of the proceedings on the ground that the auction purchaser has not paid the balance 75% of the sale consideration, and on the wrong statement given by the Respondent Bank before DRT-II, Chennai with regard to this payment.
In response, Learned Counsel for Respondent Bank submitted that the statement made before DRT-II, Chennai in the counter filed with regard to the payment of balance 75% of the sale consideration was wrong. Auction purchaser has not paid the balance 75% of the sale consideration, and thus, the sale failed. 25% of the amount deposited by the auction purchaser was forfeited. Thus, nothing survives for adjudication in this appeal.
In the light of the submissions made by the Learned Counsel appearing for the Parties, this Tribunal finds that on failure of the auction purchaser in paying the balance 75% of the sale price, the sale was not concluded and the sale initiated in pursuance of the sale notice dated 7.11.2020 and held on 15.12.2020 had failed. Therefore, nothing survives in this appeal to adjudicate.
The order passed by the Learned Presiding Officer, DRT-II, Chennai in TSA No. 258 of 2023 is set aside and this appeal RA (SA) No.9 of 2025 is disposed of on the ground that the sale held on 15.12.2025 had failed because of non-payment of balance 75% of the sale consideration.
Accordingly, this appeal is allowed.
Parties are directed to bear their own costs.
Pending IAs, if any, stand closed.
In view of the disposal of appeal RA (SA) 9 of 2025, and on the peculiar circumstances of the case as narrated above, this Tribunal directs the Registry that the pre-deposit amount deposited, along with accrued interest, if any, be refunded to the Appellants.