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SARDAR NIRMAL SINGH (DEAD) THR. LRS. versus BHATIA SAFE WORKS & ANR.

Citation: [2016] 2 S.C.R. 183 · Decided: 03-03-2016 · Supreme Court of India · Bench: DIPAK MISRA · Disposal: Disposed off

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Judgment (excerpt)

[2016) 2 S.C.R. 183 
SARDAR NIRMAL SINGH (DEAD) THR. LRS. 
v. 
BHATIA SAFE WORKS & ANR. 
(Civil Appeal No.1178 of2007) 
A 
MARCH 03, 2016 
B 
[DIPAK MISRA AND SHIVA KIRTI SINGH, JJ.] 
U.P. Zamindari Abolition of Land Reforins Rules, 1952 - rr. 
285B and 285C - Property put for auction for realization of land 
revenue - Auction sale made in favour of appellant - Challenge to, 
C 
on the ground of non-compliance of the proper.procedure while 
conducting the auction - Single Judge of the High Court ajfirining 
the order of the Board of Revenue, set aside the auction sale made 
in favour of the appellant - On appeal held: When steps are taken 
for putting a property for auction for realization of land revenue, 
they are required to be strictly guided by the Rules as the whole 
D 
conduct of the auction is governed and controlled by the Rules -
An auction without following the rules is legally unacceptable and 
also absolutely contrary to the fundamental principles of holding 
auction - On facts, the c01i1pete111 authority did not follow the due 
procedure as per Rules - Competent Authority to refimd the amount 
E 
deposited by the appellant before the authority with 5% interest per 
annum. 
Disposing of the appeal, the Court 
HELD: The Competent authority did not follow the due 
procedure as per Rules. Auction was held within one day after 
F 
the notice was issued. Rule 28SA to 28SC of the U.P. Zamindari 
Abolition of Land Reforms Rules, 1952 deal With the procedure 
for putting the property in auction. On a perusal of the said Rules, 
it is demonstrable that the proclamation has to be issued in a 
·particular Form 34 and it is incumbent on the Collector to give 
the estimated value of the property calculated with the Rules in 
Chapter XV of the Revenue Manual. It is submitted that there 
has been no estimation of the value and no notice was given to 
the respondent. The Board of Revenue has clearly ruled that the 
auction procedure has not been followed. The conclusion arrived 
G 
at by the Board of Revenue ·is absolutely infallible. When steps H 
183 
184 
SUPREME COURT REPORTS 
[2016] 2 S.C.R. 
A are taken for putting a property for auction for realization of land 
revenue, they are required to be strictly guided by the Rules as 
the whole conduct of the auction is governed and controlled by 
the Rules, the authority conducting the auction must acquaint 
itself with every facet of the rules and proceed so that the matters 
B are not procrastinated on such counts. An auction without 
following the rules is legally unacceptable and also absolutely 
contrary to the fundamental principles of holding auction. The 
authority holding the auction should bear in mind that his action 
has serious effect and, therefore, no impropriety or violation can 
be allowed to usher in. The Competent Authority is directed that 
C 
the amount deposited by the appellant before the authority should 
be refunded with 5% interest per annum. [Paras 14, 151 [191-H; 
192-A-E, G] 
D 
E 
F 
G 
Ram Swaroop vs. Board of Revenue 1999 RD 291; Rao 
Mahmook Ahmad Khan through their L.R. vs. Ranbir 
Singh & Ors. 1995 (2) SCR 230 : 1995 { 4) Suppl. SCC 
275; Stale of Uttar Pradsesh & Ors. vs. Swadeshi Polytex 
Limited & Ors. (2002) 12 SCC 596; Ram Kishun & Ors. 
vs. State of Uttar Pradesh & Ors. 2012 (6) SCR 105 : 
(2012) 11 SCC 511;Manilal Mohan/al shah vs. Sardar 
Sayed Ahmed Sayed Mohmade AIR 1954 SC 349 : 1955 
SCR 108 - referred to. 
Case Law Reference 
1999 RD 291 
referred to. 
Para4 
1995 (Z) SCR 230 
referred to. 
Para 9 
c2002) 12 sec 596 
referred to. 
Para9 
2012 (6) SCR 105 
referred to. 
Para9 
1955 SCR 108 
referred to. 
Para 12 
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 1178 
OF2007 
From the Judgment and Order dated 19.04.2005 in Civil Misc. 
Writ Petition No. 54478 of 2004 passed by the High Court of Uttar 
Pradesh at Allahabad 
Ms. Manjeet Chawla, Adv., for the Appellants. 
Ms. Indu Malhotra, Sr. Adv., Vinay Garg, Adarsh Upadhyay, Vikas 
H Mehta, Advs., for the Respondents. 
SARDAR NIRMAL SINGH (DEAD) THR. LRS. v. BHATIA 
I 85 
SAFE WORKS 
The Judgment of the Court was delivered by 
A 
DIPAK MISRA, J. I. The present appeal, by special leave, is 
directed against the judgment and order of the learned single Judge of 
the High CourtofJudicature at Allahabad passed in Civil Misc. No.54478 
of 2004 whereby the said court has affirmed the order of the Board of 
Revenue which had held that the auction sale made fo favour of the 
B 
appel

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