Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Income Tax Act 1961: Second Schedule r. 60 – Application to set aside sale of immovable property on deposit |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case(s) Referred | Referred Case 0 Referred Case 1 Referred Case 2 |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Income Tax Act, 1961: Second Schedule, r. 60 – Application to set aside sale of immovable property on deposit – Right available to the judgment debtor u/r. 60 – Held: Is a valuable right and the last resort/opportunity to the judgment debtor to save his property – It is a right available to the judgment debtor after his property is sold in a court auction – Such a valuable right available to the judgment debtor to save his property should not be affected on the technical ground and/or for the mistake and/or the bona fide mistake for which he was not at all responsible – On facts, judgment debtor filed an application u/r 60 to set aside the auction sale and in compliance thereof, deposited the amount, and the application was allowed by the Recovery Officer as also by DRAT which had set aside the sale in favour of the auction purchasers – However, the High Court while dismissing the application by the judgment debtor u/r. 60 holding that as there was a shortfall in the deposit of the amount while exercising the right u/r. 60, quashed and set aside the order passed by the DRAT and the Recovery Officer – High Court did not at all appreciate and consider the fact that for the inaccuracy and/or mistake on the part of the Recovery Officer, the judgment debtor cannot be made to suffer for no fault of his – When the substantial amount was deposited, there was no reason for the judgment debtor not to deposit the shortfall, which as such can be said to be very meagre amount – As and when the judgment debtor was made aware about the shortfall, immediately, the shortfall amount was deposited by the judgment debtor – Thus, the order passed by the High court is unsustainable, and is quashed and set aside, and that of the DRAT is restored – Recovery of Debts due to Banks and financial Institutions Act, 1993 – ss. 25 to 29. |
Judge | Hon'ble Mr. Justice M.R. Shah |
Neutral Citation | 2022 INSC 672 |
Petitioner | M/s. R.s. Infra-transmission Ltd. |
Respondent | Saurinindubhai Patel And Ors. |
SCR | [2022] 6 S.C.R. 930 |
Judgement Date | 2022-07-11 |
Case Number | 3469 |
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