Legal Question in Banking Law in India

i bought a property in auction conducted by drt chennai it was one of the items put up for sale . i was told that i would be given sale deed on paying the entire sum but ihave been issued sale certificate only and now the bank says that two other items of borrower remain unsold and only when all the items are sold i would be given sale deed . as i want to sell the property the buyer is insisting sale deed. my query is that whether the bank can issue sale deed without selling remaing two properties of the borrower.and why should i need sale deed to sell this property is sale certificate not enough


Asked on 5/22/11, 8:01 am

1 Answer from Attorneys
J. Radhakrishnan independent Practice

I presume from your query that you have purchased the property in question in the auction conducted by the Recovery Officer of the DRT and not by the Authorized officer of the Bank under the SARFAESI Act. If that were so, no sale deed can be executed by the Bank.

The sale certificate for the property purchased by you issued by the Recovery Officer of the DRT is sufficient. A copy of the same would have been sent to the concerned Registrar's office. If it has not been sent by the R.O. request him to send one. You can have the sale certificate registered by presenting it to the Registrar's Office concerned by paying stamp duty and registration charges. You don't require a sale deed for selling the property puchased by you.

If on the other hand you have purchased the property in the auction conducted under the SARFAESI Act from the Bank, the Sale certificate issued by the A.O. of the Bank is sufficient to complete your title. You can have it registered by paying stamp duty and registration charges to the Registrar's office.

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Answered on 5/23/11, 6:28 am


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