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Karna Kutty   06 June 2024

Bank auction property registration procedure

Hi sir/madam, Good day, I purchased physical possession residential bank auction property from SBI. Bank issued sale certificate to us and after that borrower put a SA in drt court, finally the judgement was favorable to bank, and borrower took all his items from the property then bank handed over the property keys to us. FYI sale amount is higher than the outstanding amount. Now bank delaying more than 2 months for property registration and informed us that original property documents are in court and judge has to put some order to release the documents which is taking time as the judge is going to retire soon like that. Kindly clarify us the registration procedure for the auction property, also whether getting original documents from court is difficult or time taking process. Currently waiting for original documents from bank and registration sir. Please guide us further proceedings in this regard.


 4 Replies

P. Venu (Advocate)     06 June 2024

Has the sale certificate been duly entered in Book No. I in terms of the provisions of Section 89(4) of the Registration Act.


Karna Kutty   06 June 2024

Hi sir ...thank you for your reply sir....Bank issued sale certificate to us and we are just keeping it for past one year sir and 2 months before only drt case closed between bank and borrower. Now we are waiting for original documents from bank sir. Sale certificate entry in book no.1 should be done purchaser sir? We are not aware of auction property buying sir.what should we do now sir. Kindly guide us. Thank you once again sir.

T. Kalaiselvan, Advocate (Advocate)     06 June 2024

The sale certificate has to be registered by bank with the jurisdictional sub registrar's office 

The original title document will be with the bank and not with the court.

The bank staff are generally lazy and reluctant to work especially when the auction sale is completed and the sale consideration amount has been received by them

If there is an inordinate delay, you may issue a legal notice to the bank to hand over the property title documents and also execute the registered sale deed in you favor.

Failing to comply with the demand made, you may drag the bank to consumer forum for deficiency in service and also for compensation for mental agony and for handing over the title documents as well as for registration formalities. 

Karna Kutty   07 June 2024

Thank you so so much for your reply sir. Thanks a lot for your well clear explanation and guidance sir.

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