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Rajesh Dhoka (owner)     11 October 2010

stamp duty

I have purchased one flat in Mumbai, which was sold under SARAFAESI Act, 2002 by one of the Nationalised Bank.

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I was not the direct bidder in the Auction process. The person who had won the auction has nominated me as a Transferee. Bank has also issued directly to me a "Sale Certificate" Under Section 13 of the SARAFAESI Act, 2002, Which is duly registered and paid stamp duty.

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If we talk in a proper way, the first agreement should have happened between the bidder and Bank and than second agreement should have been between me & that bidder.

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But agreement between the bank and that bidder never happened. Is it liable to pay stamp duty  although on that?

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Does it becomes the case of invasion of stamp duty ? if yes than under the law who is the invader of the stamp duty. Will I be the defaulter for non payment of stamp duty ?

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For the purpose of my safety should I pay double stamp duty to avoid any future problem that may arise to me?

 

Kindly help me, Thanks in advance


 



Learning

 3 Replies

M. A. Khan (advocate)     11 October 2010

Once sale certificate issued by bank in your favour and the same was stamped and registered, no need for Ist bidder to pay stamp duty.  Under auction sale, bank does not enter into any kind of agreement, all they do is to issue sale certificate, which itself is muniment of property.

1 Like

TVD Rajkumar (Advocate)     12 October 2010

"I have purchased one flat in Mumbai, which was sold under SARAFAESI Act, 2002 by one of the Nationalised Bank." Was this a public auction or private treaty..

Rajesh Dhoka (owner)     12 October 2010

it was a public auction


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