DUTTA UMAMAHESWARA RAO Vs. VST CONSTRUCTION

JUDGEMENT

(1.) The present writ petition has been filed challenging the order passed by the Debts Recovery Appellate Tribunal, Kolkata, dtd. 12/8/2024, whereby the auction of the property by the respondent Canara Bank under the provisions of the SARFAESI Act made in favour of the auction purchaser from whom the petitioner had purchased the property subsequently was set aside on the ground that the sale conducted by the bank in the year, 2005, was in clear violation of Rule 8(6) as also the first proviso to Rule 9(1) of the Security Interest (Enforcement) Rules, 2002.

(2.) With a view to understand the background, in the light of which the present controversy has arisen, it is necessary to state briefly the material facts:

(3.) M/s. V.S.T.Constructions/respondent No.1 herein, availed a loan of Rs.10.00 lakhs in the year, 1999, from the Canara Bank to meet its working capital requirements. Respondent No. 2/Mrs. V. Vijayamma, is stated to have stood as a guarantor in regard to the said loan and mortgaged her house property with the bank.