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Pavan Mutyala (Software)     27 October 2021

Sarfaesi - sro wants legal opinion from gp revenue to regis

SARFAESI - SRO wants legal opinion from GP Revenue to register our property.

Chain of events:

1. Bank advertises Property (is in Hyderabad) for auction. No court stay for the auction or on property. 

2. We bought the property on Bank auction and paid the money in full with TDS.

3. Went to SRO for registration. We pay full stamp duty and other dues. He says owner didn't do mutation. Go do it.  We went and got the mutation done (paid the previous owners mutation amount.)

4. Again came to SRO for registration, and he says Sessions court put a stay order on the property (My uncle thinks defaulter has maliciously put a case using X to create trouble, as this case was filed after we met the SRO as in Point no.3 above). The defaulter owes some money to X and hence X has obtained a stay order. And hence SRO cannot register as it will be contempt of court.

5. Back and fourth, Bank legal adviser submitted an explanation to SRO to why Sessions court does not have a say on bank auctioned properties (SARFAESI act)

6. SRO wants legal opinion from GP Revenue to register the property. It has been two weeks since bank submitted the explanation.

We don't know how long it is going to take now. 

Please guide:-
1. I feel that the SRO is well aware and feigning ignorance about SARFAESI Act. But he says it will be contempt of court if he registers the property on my name.
2. Do you want me to escalate the matter to District Registrar(Is it easy to meet the District Registrar)? 

3. or Do you want me to escalate the matter to Collector(Is it easy to meet collector)? 

Friends, as you are aware, going to courts and cases and stuff will take quite some time. So don't want to go down that path unless necessary.

Please somebody guide what to do.

PS: Some of my problem is similar to


 7 Replies

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 )     28 October 2021

When you buy a property at auction, there's always the risk that there is something hidden in the legal pack that could cost you a lot of money to put right. Covenants or loopholes can make the purchase much more complex or even risk not completing, which can have massive financial implications for you.My suggession  can file the petition with district collector. 

Pavan Mutyala (Software)     29 October 2021

Thanks Rama Chary sir.

SRO asked to get in touch with the Govt Pleader and plead our case. Hopefully he can give a positive opinion and we can go about our business. 

Rangee Suresh Kumar Singh   30 October 2021

Once the Auction is completed in your favour it is responsbility on the Part of Authorized Officer of the Bank to convery the title to the propery by registering a Sale Certificate in your name. The sub Registerar shall not enquire about the past title defects if any on the property, however the Bank is always irresonsble in not updating the Revenue/Katha records of the property before taking posessions and auction. Under the SARFASEsi proceedings thereis provision to obtaing pyshical posession under section 14 of SARFASI by filing application by bank post auiction also, in this way once District magistrate hands over physical posession SRO cannot do anything accept for registration I will give more in my subsequent post, 


Pavan Mutyala (Software)     31 October 2021

Thanks Rangee Suresh Kumar Singh sir.

Bank has the physical possession. Revenue/Katha records of the property
was not updated after bank took possession. Sub Registrar says he cannot register if there is a court stay order(irrespective of which court). What is the next step sir? I dont want court case as I fear it takes a long time.

Rangee Suresh Kumar Singh   31 October 2021

Once sale is knockded down in your favour and you have paid full sale amount ,the Bank is legaly bound to register the sale certificate in your name Sub Registrar shall not question whatsoever since SARFAESi is over riding on all the acts. Now the next question is Sub Reigistrar office is now in karnataka workintg on sofwears wherre sketch showing the name of barrower not Bank or say 11 A IS MANDATORY otherwise the computer shall reject the registration, Bank has to file Sale Certirficate on the property based on the availbe records/title and ask for endorsement, from SRO  as what exactly the SRO needs, then Bank has to follow it wiht Authorities obtain all the papers and submit for reigistration. If there are any court stay you have implead along with Bank and get vaated u will defenitely win in the court engage a good lawyer or get in touch with to my email Rsksingh122@gmail.Com I will guide u 100% u will win unless there is grave error on the part of Bank in accepting defective title property in that event also you will calim huge damages aganst the Bank. Good luck 

R.S.K.Singh Advocate SARFAESI lawyer since 6 years. 

Pavan Mutyala (Software)     31 October 2021

Thanks Rangee Suresh Kumar Singh sir, for your valuable advice.

I am going to meet the Sub Registrar tomorrow along with Bankers. Let me see what he says. Or else I will find a local lawyer(We are from Hyderabad sir).



Rangee Suresh Kumar Singh   31 October 2021

Only if there is stay from High court SRO can refuse to register District Court normally do not issue stay against the BANK under SARFAESI law i t hink  u have good case

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