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Showing contexts for: tiic in M/S R.V.Refractories vs District Revenue Officer(Stamps) on 19 November, 2008Matching Fragments
The appeal has been filed by the auction purchaser challenging the order of the second respondent confirming the order of the first respondent.
2. The appellant is the purchaser of the property viz., land and building measuring 0.1768 acres and building thereon in Shed No.387, SIDCO Industrial Estates, Ambattur, Madras-98, comprised in S.No.144 Part, 152 Part, 153 Part, 154 Part, 157 Part and 161 Part at SIDCO Industrial Estate, Ambattur, which was originally owned by United Beverages, a partnership firm. The said property was mortgaged to M/s.Tamil Nadu Industrial Investment Corporation Limited (hereinafter referred to as TIIC) and due to the default in payment of money, the land belonging to United Beverages was brought to auction by SIDCO by exercising the power under Section 29 of Financial Corporation Act, 1951.
The appellant made some payment on 21.12.1994 and a small amount was due. On 14.9.1995, M/s.TIIC issued a letter demanding the balance of Rs.42,576/- and stated that after receiving the said amount, the land and building will be handed over. On 16.2.1996 M/s.TIIC handed over the land and building. The order of the Branch Manager of M/s.TIIC handing over the property reads as follows:-
"The Land and Building Hypothecated by M/s. United Beverages, 387, SIDCO Industrial Estate, Ambattur, Madras-98 was put on Auction Sale on 10.06.94 and this was confirmed by us on 14.07.94 for a sale consideration of Rs.10,85,000/- (Rupees Ten Lakhs Eighty five Thousand only) of which already paid 10% bid amount of Rs.1,08,500/- on 10.6.94. Since you have paid the balance bid amount of Rs.10,19,136/- with interest (Rupees Ten Lakhs Nineteen thousand one hundred and thirty six only) on 18.09.95. We hereby deliver the following Land and Building in as is where is condition.
SIDCO SHED:387, SIDCO INDL. ESTATE, AMBATTUR, MADRAS 600 098."
SIDCO executed the sale deed in favour of the appellant on 23.1.1998. M/s.TIIC issued a letter dated 12.6.2000 to the Sub Registrar, Ambattur, for the purpose of the registration stating as follows:--
"With reference to the above we are to inform you that M/s.R V Refractories was the highest Bidder of the Auction sale for Land and Shed bearing No.387, SIDCO Industrial Estate, Ambattur, Chennai-98. Accordingly the corporation had conveyed the land and shed building alone bearing No.387 SIDCO Industrial Estate by way of sale deed dated 25.03.1998 and the same is presented to you by R V Refractories for registration. This is for your kind information."
8. Appellant referred to the various proceedings of M/s.TIIC, resulting in tender-cum-public auction in which the appellant being the highest bidder stated that appellant is entitled to get the sale registered on the basis of the sale value confirmed by M/s.TIIC and paid by appellant. Since M/s.TIIC, a Government owned department has conducted the open tender-cum-auction and the appellant being the highest bidder, the value declared in the document of sale should be taken as the true market value of the property for the purpose of registration. The document presented for registration on the basis of the price confirmed and paid pursuant to the tender-cum-auction should be the basis on which the stamp duty is payable. Since the appellant had paid the stamp duty in accordance with the document of sale executed, the respondent authority cannot fix a different market value solely on the basis of the guideline value which is the case here.