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2021 (9) TMI 1389 - HIMACHAL PRADESH HIGH COURTRegistration of sale certificate with the Registration Authority - Bank auction - Account declared as NPA - HELD THAT:- This Court is of the view that as the petitioner has purchased the property in issue through an auction which was held under the provisions of the SARFAESI ACT, his case is squarely covered by the judgment of Hon’ble Supreme Court in B. Arvind Kumar’s case [2007 (5) TMI 657 - SUPREME COURT] and he cannot be called upon to register the sale certificate. Section 17 (1) of the Registration Act provides that the documents have to be registered, if the property to which they relate, is situated in a district in which the provisions of the Indian Registration Act are applicable. Sub-section (2) of the said Section, which starts with a non-obstetric clause, provides that nothing in Clause ‘B’ and ‘C’ of sub-section (1) shall, inter alia, apply to any certificate of sale granted to the purchaser of any property sold by a public auction by a Civil or Revenue Officer. This is specifically contained in sub-clause (xii) of sub-section (2) of Section 17 of the Act - Hon’ble Supreme Court in B. Arvind Kumar’s case has taken into consideration the statutory provisions of Section 17 (1) as also Section 17 (2) (xii) of the Registration Act,1908, while holding that when an auction purchaser derives title on confirmation of sale in his favour and as the sale certificate is issued, evidencing such sale and title, then no further deed of transfer from the Court is contemplated or required. As the petitioner herein has purchased the property in auction held by respondent No.5, under the provisions of the SARFAESI ACT, he is clearly protected by the provisions of Section 17 (2) (xii) of the Registration Act and the sale certificate does not requires any registration. The act of the respondent/State vide Annexure P-3 (Colly) and calling upon the petitioner to have the sale certificate is illegal and contrary to the provisions of Section 17 (2) (xii) of the Registration Act and therefore, not sustainable in the eyes of law. Petition allowed.
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