The Punjab and Haryana High Court addressed the legal right of a ...

Court Rules HUF Can Challenge Property Auctions; Declares Auction Void Due to Fictitious Tax Demand and Lis Pendens.

June 3, 2024

Case Laws Income Tax HC

The Punjab and Haryana High Court addressed the legal right of a Hindu Undivided Family (HUF) to challenge auction proceedings of properties owned by the HUF. The court held that the HUF had the legal standing to challenge the auction, rejecting objections raised by auction purchasers. The court found the auction proceedings null and void due to a fictitious tax demand and invoked the principle of lis pendens. It ruled that no rights were created in favor of auction purchasers who proceeded with knowledge of pending legal proceedings. The court ordered restoration of the properties to the HUF, declaring any subsequent transfers void. Income Tax Authorities were directed to refund auction proceeds with interest and pay costs to the petitioner. The court emphasized the need for a new interpretation of auction laws, citing relevant Supreme Court precedents. The judgment rendered the assessment order and interest demand null and void.

View Source

← Previous Next →

The Punjab and Haryana High Court addressed the legal right of a ...

Court Rules HUF Can Challenge Property Auctions; Declares Auction Void Due to Fictitious Tax Demand and Lis Pendens.

June 3, 2024

Case Laws Income Tax HC

You may also like:

The court dismissed the petition challenging the auction process for sale of the property and seeking refund of the purchase price paid by the petitioner as the...

This case deals with the levy of deficit stamp duty and penalty in a court-conducted auction sale. The key points are: In a court-supervised auction sale, the stamp...

The auction sale notice for the immovable property of the society under liquidation was published with a lower valuation and upset price. Despite being aware of the...

Recovery of VAT from the purchaser of property in Auction - Attachment of mortgaged properties - It is hereby declared that the respondent No.2 had the first charge over...

Recovery of Tax - Attachment and auction of property - Right of buyer of property in Auction - the dues as claimed by the respondent no.2, being a charge on the...

CESTAT determined that while rejection of declared transaction value of imported thoroughbred horses under Rule 10A of Customs Valuation Rules, 1988 was justified due to...

Right of the auction purchaser - Validity of Auction of properties of borrower by the Bank - Borrower sold the property subject to decision of DRT before auction by Bank...

Right of the auction purchaser of the property - Right of the Defaulter of Loan / Borrowers to redeem the secured property - in accordance with the unamended Section...

NCLAT dismissed the appeal challenging the auction notice and denied stay of the impugned order. The Tribunal found no procedural flaws in the liquidation process,...

Right of Auction Purchaser of property - Recovery of Outstanding dues of Bank and tax dues under the VAT / sales tax act - Priority of claims - Attachment order - The...

IBC - Auction sale - The outstanding dues of the property tax relating to period prior to sale confirmation are thus dues that are akin to claim of an unsecured creditor...

Sale proclamation /auction of property by department to collect tax - limitation in Rule 68B of the Schedule II - the attachment of the immovable properties was ordered...

Appellant challenged the auction sale of shares by the Liquidator, claiming undervaluation and lack of proper valuation, as shares were sold only at book value despite...

Recovery of tax dues - priority of charges - Right of auction purchase of property - Auction by the Secured Creditors - the inaction or negligence or non-performance on...

Recovery of tax dues - Right of auction purchaser of the property - Since the petitioner had purchased in the auction sale conducted by the bank under the provisions of...

Quick Updates: