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Abhishek Mawle (x)     14 July 2017

Auction proceedings under sarfaesi act

The Bank has acquired my property under SARFAESI Act and sold at a very low price while the S.A is pending before the DRT Court. I sent a letter to the Bank to give auction proceedings but it is refusing.How do I get the auction details as I suspect there is some fraud.


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 2 Replies

LAXMINARAYAN - Sr Advocate. ( solve problems in criminal cases. lawproblems@gmail.com)     14 July 2017

1)You can apply in the pending SA and can get all the details of auction.

2) You can also initiate action for cancellation of auction.

THERE ARE SO MANY OTHER ACTIONS BUT IT DEPENDS WHAT IS THE TOTAL AMOUNT INVOLVED. SINCE FROM DRT AND ABOVE LEGAL COSTS ARE HEAVY.

Uday (Lawyer)     30 August 2017

Normally, the property sold under the SARFAESI will be fetching a lesser price when compared to the market price. However, the financial institution cannnot sell the property below the value given by the engineer. The value should have been done by an engineer who has been registered with the Wealth Tax Authority. You can seek for the valuation report and find out whether the engineer is approved by the Wealth Tax Authority. If not, you have a good case of setting aside the sale.


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