The Assigned land transfer / alienation is prohibited d under AP Assigned Lands ( Prohibition of Transfer ) Act 1977 . The Mortgage of the Assigned land to banks is permitted under the Act, and the same is not prohibited. The Mortgage as permitted under the Act is legal and there is no illegality . Accordingly the Mortgage is is valid mortgage , If the Mortgage money is not paid the Bank is entitled to sell the Mortgaged property with due process of law ., as the Mortgage in favour of the Ban is not illegal . The sale of the Mortgaged property- Assigned land by the Bank is not illegal and the purchase of the said Mortgaged - assigned land in Bank sale /Auction sale is not prohibited by the Act. The Permission to mortgage the land to bank includes the permission to sell the land by the Bank for recovery of its mortgages dues from the Borrower/ Mortgagor . For purchase of the Assigned Land in Bank sale /Auction sales , the permission of Govt / Revenue Authorities is not required . In any case the permission is sought the same can not be denied by the District Collector .