As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you.
Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings.
If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.