Whether a case is false or not let it be decided by court. As such there is no bar in selling property under litigation but it is law that out come of case will affect such sale means that court order shall be applicable on such property.
I just do not understand, what is your compulson to purchase such a property. In case you wish to purchase with Bank loan, do not think that Banks get the matter thoroughly investigated through their Panel Lawyer.
Whey to invite trouble trying to purchase a property which is in litigation?