| Case ID |
0ff6c9da-e738-4a95-8414-64ea173167bd |
| Body |
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| Case Number |
First Appeal from Orders Nos.208 and 361 of 2001 |
| Decision Date |
Jan 16, 2002 |
| Hearing Date |
Jan 16, 2002 |
| Decision |
The Lahore High Court allowed the appeals filed by Ch. Muhammad Bashir and Muhammad Idrees ul Haq, setting aside the orders of the Banking Court that had dismissed their objection petitions against the auction sale of the mortgaged property. The court ruled that both objectors had locus standi to maintain their petitions under the relevant provisions of the Civil Procedure Code. The court emphasized the need for protecting the rights of bona fide purchasers and directed the Banking Court to reconsider the objections on the merits, taking into account the state of law at the time the parties acquired their rights in the disputed property. |
| Summary |
This case revolves around the appeals regarding the auction of a mortgaged property owned by Ch. Muhammad Saleem Akhtar, which was mortgaged to CITIBANK N.A. for a significant loan. After the failure of the debtor to repay the loan, the Bank initiated proceedings to auction the property to recover its dues. The appeals were filed by Ch. Muhammad Bashir and Muhammad Idrees ul Haq, who claimed to have acquired interests in the property prior to the auction. The Lahore High Court ruled in favor of the appellants, highlighting the importance of protecting the rights of bona fide purchasers and ensuring that interests in properties are respected in the context of auction sales. The decision emphasizes the need for clear legal frameworks to safeguard innocent parties in real estate transactions. This case reflects broader trends in property law, banking law, and the principles of justice and equity that underpin these legal frameworks. |
| Court |
Lahore High Court
|
| Entities Involved |
CITIBANK N.A.,
Ch. Muhammad Bashir,
Ch. Ahmed Nadeem,
Muhammad Idrees ul Haq
|
| Judges |
JAWWAD S. KHAWAJA,
ABDUL SHAKOOR PARACHA
|
| Lawyers |
Mian Masood Javed,
Tariq Rashid Ch.,
Shahid Ikram Siddique,
Ashar Elahi,
Rana Ghulam Sarwar,
Muhammad Ramzan Qadri
|
| Petitioners |
Al Haj Chaudhry MUHAMMAD BASHIR
|
| Respondents |
2 others,
CITIBANK N.A.
|
| Citations |
2002 SLD 2206,
2002 CLD 962
|
| Other Citations |
Ajodheya Lal Mahaseth v. Mahanth Brij Kishore Dass AIR 1940 Pat. 615,
Banque Indosuez v. Muhammad Saleem 1987 CLC 795
|
| Laws Involved |
Civil Procedure Code (V of 1908),
Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act (XV of 1997),
Financial Institutions (Recovery of Finances) Ordinance (XLVI of 2001),
Transfer of Property Act (IV of 1882)
|
| Sections |
O. XXI, R. 89(1),
O. XXI, R. 90,
S.19,
S.23(1),
S.52
|