Party A is bank defaulter and bank auctions property which is bought by Party B.
Bank issues sale certificate to Party B.
Now Party B does not register that sale certificate with sub-registrar office and sells property to Party C.
Can Party C purchase, and register the property in his name ?
1. If yes, will bank become authorized seller here or Party B, I guess bank, as Party B still does not hold the clear title.
2. Will bank decline to perform registry, because as per their record Party B not C is purchaser.
3. Will sub-registrar office decline registry as Party B is 2nd owner in the chain without the registry (and they’re losing the stamp duty).
4. Will sub-registrar claim that, there were 3 owners of the property hence expect stamp duty 3 times, however if Party C registers directly then they get only 2 times.
5. Any other provision of the law or the SARFAESI act, that prevents the registry in this case ?