Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002
Section 17—Challenge to sale certificate issued in favour of auction purchaser dismissed on ground of limitation—Appeal—Interim order passed by the DRAT stayed by High Court—Reason for providing a time limit of 45 days for filing an application under Section 17 can easily be inferred from the purpose and object of the enactment—It is unfortunate that proceedings where a property that has been brought to sale and third party rights created under the provision of the Act, have remained inconclusive even after a decade—Though the Special Leave Petition was pending since the last five years, the Apex Court at the stage of admission had granted a stay of the impugned order, the consequence of which would be that the High Court’s interim order has not come into operation—Effect of interim order passed by the Apex Court is that the order of DRT upholding the dismissal of the application under Section would continue to operate—High Court was not justified in staying the operation of DRAT which came to the conclusion that there was no error apparent on the face of record for the DRT to invoke the review jurisdiction and recall it’s order dismissing the application under Section 17 of the Act—Impugned judgment set aside—Appeal allowed.
[Paras 11 to 15]