K V SASIDHARAN PILLAI Vs. UNION OF INDIA

JUDGEMENT

(1.) Petitioners 1 to 39 are employees/retired employees of M/s. United Tropical Veneers (Pvt) Ltd (hereinafter referred to as 'the Company' for short) . The 40th petitioner is a works contractor. They approached this Court challenging the SARFAESI notice and recovery certificate issued by the DRT produced as Exts.P1 to P4 to recover the amount due to the Indian Overseas Bank. One of the prayers in the writ petition is that the petitioners may be permitted to purchase the property without any liability after fixing the amount. The petitioners also impleaded the revenue authorities as parties in the writ petition.

(2.) As seen from the counter filed by the Special Government Pleader (Taxes) , Rs.1, 29, 13, 090/- is due as on 8.2018 towards the sales tax arrears from the Company. In view of the fact that the petitioners had come forward to purchase the property and there is an apparent dispute between the State and the Bank in regard to appropriation of the amount, this Court by an order dated 11.8.2015 appointed an Advocate Commissioner to assess the value of the property with the assistance of an approved valuer. That valuation report was placed before this Court. Thereafter by an order dated 10.11.2017, this Court by an agreement of the parties, appointed the same Advocate Commissioner to sell the property. Thereafter the sale was ordered to be conducted as a revenue sale since an attachment was already prevailing as early as in 2008 effected by the revenue authority. Accordingly publication was taken out in Malayala Manorama daily and The Hindu daily news papers having circulation in all over the State. It was made clear in the order itself that the expenses for such publication shall be made from the sale proceeds. Thereafter the 40th petitioner purchased the property in auction. There were no other bidders. The 40th petitioner offered Rs.Four Crores and One Thousand as highest bid.

(3.) The Government had floated the AMNESTY Scheme to settle the liability of the defaulters of tax. The last date for applying for AMNESTY Scheme was on 30.9.2017. However, the last date for payment of the amount was on 30.6.2018. The Company has now come forward to avail AMNESTY Scheme. It is to be noted that the auction purchaser deposited the entire amount with the Indian Overseas Bank in a non lien account.