Section 12 in Andhra Pradesh Forest Contract (Disposal of Forest Produce) Rules, 1977
12. Payment of amount after knocking down and consequences of default.
- (i) Where the sale amount is Rs.1,000 or less, the full sale amount less the Earnest Money Deposit already paid shall be paid by the successful bidder immediately after the bid is knocked down in his favour of the open auction sale.(ii)When the bid knocked down exceeds Rs.1,000 the amount payable immediately on the sale being knocked down shall be ¼th of the bid or Rs.10,000 whichever is less, less the Earnest Money Deposit;Provided, however, that a sum of Rs.1,000 shall be immediately paid if the bid amount is less than Rs.4,000.(iii)If sub rules (i) and (ii) are not complied with, the Earnest Money Deposit paid may be forfeited and the sale cancelled and in that event the successful bidder shall have no right whatsoever on the sale unit and such unit may be resold. If the amount obtained in the resale is less than the original sale amount, the original successful bidder shall be liable to pay the difference. If, however, the resale amount be higher he shall not be entitled to any benefit from such resale.(iv)The Divisional Forest Officer may revoke the orders of forfeiture of the amounts, cancellation of the sale and the resale, if the defaulter applies subsequently, but before resale, and after payment of the amount as required under the sub rule (i) or (ii) as the case may be and a penalty amount equal to 5% of the amount payable under sub rule (i) or (ii) as the case may be.(v)The amount paid including the Earnest Money Deposit shall be returned if the sale is not confirmed and such amount shall not bear any interest.
