SUBHASH SHARMA Vs. CENTRAL BANK OF INDIA

JUDGEMENT

(1.) By means of this petition the petitioner has challenged the order of the learned Executing Court whereby the learned Executing Court has held that deposit of the sale amount by cheque is not a legal deposit in terms of order dated 8.6.2005 and therefore, set-aside the sale made in favour of the petitioner (here-in-after referred to as the auction purchaser).

(2.) The undisputed facts are that the property belonging to the judgement debtor was put to sale at the instance of the Central Bank of India, Pahra, Tehsil Palampur. Only two persons bid at the auction and the auction purchaser herein was the successful bidder. He allegedly paid the entire bid money of Rs.22,000/- by a cheque. The learned trial Court held that at least 25% of the auction money was required to be deposited in cash at the time of the auction because cheque payment cannot be said to be immediate payment. This order is under challenge.

(3.) I need not go into the legal question raised before me because on perusal of the record of the Executing Court I find that in fact this cheque of Rs.22,000/- which was deposited by the auction purchaser was dishonoured and returned due to insufficiency of funds. Therefore, there was no payment at all whether of 25% or of the balance amount of 75% within 15 days of the auction. The memo of the banker of the auction purchaser i.e. Punjab National Bank is on record which shows that this cheque for Rs.22,000/- has been returned since there were insufficient funds in the account of the account holder. Therefore, there is no merit in the appeal which is accordingly rejected.