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State of Tamilnadu - Section

Section 121 in Tamil Nadu Co-operative Societies Rules, 1988

121. Rule for seizure and sale of movable property.

- In the seizure and sale of movbable property, the following rules shall be observed:-
(1)
(a)The Sale Officer shall, after giving previous notice to the decree-holder, proceed to the place where the judgement-debtor resides or the property to be distrained is situated and serve the demand notice upon the judgement-debtor if he is present. If the amount due together with the interest and all expenses be not at once paid, the Sale Officer shall make the distress and shall immediately deliver to the judgement-debtor a list or inventory of the property distrained and an intimation of the place, day and hour at which the distrained property will be brought to sale if the amounts due are not previously discharged.
(b)If the judgement-debtor is absent, the Sale Officer shall serve the demand notice on some adult member of his family, or on his authorised agent, or when such sendee cannot be effected, shall affix a copy of the demand notice on some conspicuous part of his residence. If the amount due together with the interest and all expenses be not at once paid, the Sale Officer shall proceed to make the distress and shall fix the list of the property attached on the usual place of residence of the judgement-debtor endorsing thereon the place where the property may be lodged or kept and an intimation of the place, day and hour of sale if the amounts due are not previously discharged.
(2)
(a)After the distress is made, the Sale Officer may arrange for the custody of the attached property with the decree-holder or otherwise.
(b)If the Sale Officer requires the decree-holder to undertake the custody of the property, he shall be bound to do so and any loss incurred owing to his negligence shall be made good by the decree-holder. If the attached property is livestock, the decree-holder shall be responsible for providing the necessary food therefor.
(c)The Sale Officer may, at the instance of the judgement-debtor or of any person claiming an interest in such property, leave it in the village or place where it was attached, in the charge of such judgement-debtor or person if he enters into a bond in the form specified by the Registrar with one or more sufficient sureties for the production of the property at the place of sale when called for.
(3)The distress shall be made after sunrise and before sunset and not at any other time.
(4)The distress levied shall not be excessive, that is to say, the property distrained shall be as nearly as possible proportionate to the sum due by the defaulter together with interest and all expenses incidental to the distraint, detention and sale.
(5)If crops or ungathered products of the land belonging to a judgement-debtor are attached, the Sale Officer may cause them to be sold when fit for reaping or gathering or at his option, may cause them to be reaped or gathered in due season and stored in proper place until sold. In the latter case, the expense of reaping or gathering and storing such crops or products shall be defrayed by the owner upon his redeeming the property or from the proceeds of the sale in the event of its being sold.
(6)The Sale Officer shall not work the bullocks or cattle, or make use of the goods or effects distrained; and he shall provide the necessary food for the cattle or livestock, the expense attending which shall be defrayed by the owner upon his redeeming the property, or from the proceeds of the sale in the event of its being sold.
(7)The Sale Officer may force open any stable, cow-house, granary, godown, out-house, or other building, and he may also enter any dwelling house, the outer door of which may be open, and may break open the door of any room in such dwelling house for the purpose of attaching property belonging to a judgement-debtor and lodged therein, provided always that it shall not be lawful for the Sale Officer to break open or enter any apartment in such dwelling house appropriated for the occupation of women except as hereinafter provided.
(8)
(a)Where the Sale Officer may have reason to suppose that the properly of a judgement-debtor is lodged within a dwelling house, the outer door of which may be shut, or within any apartments appropriated to women which, by the usage of the country are considered private, the Sale Officer shall represent the fact to the officer-in-charge of the nearest police station.
(b)On such representation, the officer-in-charge of the said station shall send a police officer to the spot in the presence of whom the Sale Officer may force open the outer door of such dwelling house in like manner as he may break open the door of any other room within the house.
(c)The Sale Officer may also, in the presence of the police officer, after due notice given for the removal of women and, after furnishing means for their removal in a suitable manner (if they be women of rank who according to the customs of the country cannot appear in public) enter the rooms for the purpose of dis training the judgement-debtor's property, if any, deposited therein, but such property', if found, shall be immediately removed from such rooms, after which they shall be left free to the former occupants.
(9)The Sale Officer shall, on the day previous to and on the day of sale, cause proclamation of the time and place of the intended sale to be made by beat of drum in the village in which the judgement-debtor resides and in such other place or places as the Registrar may consider necessary to give due publicity to the sale.
(10)No sale shall take place until after the expiration of the period of fifteen days from the date on which the sale notice has been served or affixed in the manner specified in sub-rule (1), provided that where the property seized is subject to speedy and natural decay, or where the expenses of keeping it in custody are likely to exceed its value, the Sale Officer may sell it at any time before the expiry of the said period of fifteen days unless the amount due is sooner paid:Provided that where the property attached under section 167 is subject to speedy and natural decay or where the expenses of keeping it in custody are likely to exceed its value, the Sale Officer may sell it at any time before the expiry of the said period of fifteen days or before an order is made under subsection (1) of section 87 or decision is passed or order is made or an award is given under section 90 or contribution is determined under clause (b) of sub-section (2) of section 139 and deposit the sale proceeds less costs in the nearest Government treasury unless the amount specified in the order of attachment is paid earlier.
(11)At the appointed time, the property shall be put up in one or more lots, as the Sale Officer may consider advisable, and shall be disposed of to the highest bidder:Provided that it shall be open to the Sale Officer to decline to accept the highest bid where the price offered appears to be unduly low or for other reasons:Provided further that the Registrar or the Sale Officer may, in his discretion, adjourn the sale to a specified day and hour, recording his reasons for such adjournment. Where a sale is so adjourned for a longer period than seven days, a fresh proclamation under sub-rule (9) shall be made unless the judgement-debtor consents to waive it.
(12)No person shall be allowed to bid in the auction unless he remits with the Sale Officer such amount as may be fixed by him towards earnest money deposit:Provided that where the decree-holder is the bidder and is entitled for set off the purchase money, the Sale Officer shall dispense with the requirements to this sub-rule.
(13)The earnest money deposit of the unsuccessful bidders shall be refunded to them immediately after the sale is over. The earnest money deposit of the successful bidder shall be adjusted towards the purchase money.
(14)Where the property may sell for more than the amount due, the excess amount, after deducting the interest and the expenses of process and other charges, shall be paid to the judgement-debtor.
(15)The property sale price shall be paid for, in cash at the time of sale or as soon thereafter, as the officer holding the sale shall appoint and the purchaser shall not be permitted to carry away any part of the property until he has paid for it in full.
(16)Where the purchaser may fail in the payment of the money, the property shall be re-sold and the earnest money deposit of the defaulting purchaser shall be forfeited to Government after defraying therefrom the expenses of the re-sale.
(17)Where it is proved to the satisfaction of any Civil Court of competent jurisdiction that any property which has been distrained under these rules, has been forcibly or clandestinely removed by any person, the Court may order forthwith such property to be restored to the Sale Officer.
(18)Where prior to the day fixed for the sale, the judgement-debtor or any person acting on his behalf or any person claiming an interest in the property attached, pays the full amount due including interest, batta and other costs incurred in attaching the property, the Sale Officer shall cancel the order of attachment and release the property forthwith.
(19)The movable properties mentioned as exempt from attachment under the proviso to sub-section (1) of section 60 of the Code of Civil Procedure, 1908 (Central Act V of 1908) shall not be liable to attachment or sale under these rules.
(20)Where 'the property attached under this rule is ordered to be released and the person entrusted with the custody of such property refuses or fails to release the property, any Civil Court of competent jurisdiction may, on an application made to it, enforce the order of the Sale Officer for release of the property as if it were an order passed by that Court.