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TMI Blog2024 (10) TMI 974X X X X Extracts X X X X X X X X Extracts X X X X ..... ount due and payable to the 4th respondent bank, including interest, was deposited by the 1st and 2nd respondents with the High Court within three months from filing the Writ Petition. There is no doubt that the appellant must be compensated as he was deprived of using the amount of Rs.81,20,000/- from 21st July 2019 till the date of actual refund due to no fault on his part. As stated earlier, the amount was transferred by the 3rd respondent to the 4th respondent on 13th October 2022. The appellant was entitled to receive interest on the said amount of Rs.81,20,000/- at the rate of 6 per cent per annum from the date of deposit of the said amount till the date of refund. It is an admitted position that the 3rd respondent conducted the aucti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Co-operative Societies and Recovery Officer. The dispute was allowed. The 4th respondent was held entitled to a sum of Rs.21,92,942/- with further interest and costs from the borrowers. In recovery proceedings, on 10th June 2019, a sale proclamation was issued by the 3rd respondent for the sale of property held by the 1st and 2nd respondents. The value of the property subject matter of auction was fixed at Rs.80,67,500/- . The sale proclamation of the auction sale fixed on 22nd July 2019 was published in the local newspapers on 4th July 2019. In the auction sale, the highest bid of Rs.81,20,000/- offered by the appellant was accepted. A sale confirmation certificate was issued on 5th September 2019 by the 3rd respondent to the appellant. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... which was dismissed by the judgment dated 5th September 2022. 6. The decisions of the learned Single Judge and the Division Bench are the subject matter of challenge in this appeal. 7. Though the direction to set aside the auction sale was challenged in this appeal, as can be seen from the order dated 17th March 2023 passed by this Court, notice was issued only on the issue of adequately compensating the appellant. The said order records that the 4th respondent bank retained the sum of Rs.81,20,000/- paid by the appellant from 21st July 2019. Order dated 4th January 2024 records the statement of the learned counsel appearing for the 4th respondent that the amount deposited by the appellant was received by the said respondent on 13th Octobe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 13th October 2022. CONSIDERATION OF SUBMISSIONS 11. We have perused the impugned judgments. The learned Single Judge, in paragraph 7 of the impugned judgment, has noted that within a period of three months from the date of filing of the Writ Petition, the 1st and 2nd respondents deposited the due amount of Rs.25,61,400/- in the Court. The learned Single Judge observed that the award against the 1st and 2nd respondents was in the sum of Rs.21,92,942/- along with interest at the rate of 15 per cent and costs. Accordingly, the 1st and 2nd respondents had deposited a sum of Rs.25,61,400/- in terms of the award. Therefore, the learned Single Judge concluded that the 1st and 2nd respondents were not wilful defaulters. The learned Single Judge pla ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on equitable considerations, as the entire amount due and payable to the 4th respondent bank, including interest, was deposited by the 1st and 2nd respondents with the High Court within three months from filing the Writ Petition. 13. Therefore, there is no doubt that the appellant must be compensated as he was deprived of using the amount of Rs.81,20,000/- from 21st July 2019 till the date of actual refund due to no fault on his part. As stated earlier, the amount was transferred by the 3rd respondent to the 4th respondent on 13th October 2022. 14. In our view, the appellant was entitled to receive interest on the said amount of Rs.81,20,000/- at the rate of 6 per cent per annum from the date of deposit of the said amount till the date of r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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