Registration of sale certificate - Sub Registrar refused to register sale certificate citing arrears of tax payable to State by borrowers of mortgaged properties - Held, Sub Registrar cannot refuse to register sale certificate on ground that there is attachment order passed by Civil Court

Citation

AIROnline 2023 MAD 98

Madras High Court

(MADURAI BENCH)

D. KRISHNAKUMAR , J. and R. VIJAYAKUMAR , J.

W.P(MD) No. 29018 of 2022 D/- 12 - 1 - 2023

Branch Manager, Canara Bank, Palani Branch, Dindigul v. Sub Registrar, Palani Joint-I Sub Registrar Office, Palani, Dindigul

Registration Act (16 of 1908), S.71 - Recovery of Debts and Bankruptcy Act (51 of 1993), S.31B - Registration of sale certificate - Refusal - Bank has conducted action for sale of mortgaged properties - Thereafter, Bank issued sale certificate in favour of successful bidder

- However, Sub Registrar refused to register sale certificate citing arrears of tax payable to State by borrowers of mortgaged properties - Held, Sub Registrar cannot refuse to register sale

certificate on ground that there is attachment order passed by Civil Court - Rights of secured creditors will have priority over all other debts - Order refusing to register sale certificate, set

aside. AIR 2017 Mad 67-Relied on

 (Paras 6 , 8)