| Case ID |
22a32a25-df92-4ba8-a724-98f746289e07 |
| Body |
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| Case Number |
First Appeal No.34 of 2007 |
| Decision Date |
Feb 20, 2008 |
| Hearing Date |
|
| Decision |
The Sindh High Court has allowed the First Appeal No.34 of 2007, setting aside the impugned judgment of the Banking Court. The court found that the respondents Nos.2 to 6 had no right or interest in the subject property, which was not owned by the borrower/respondent No.2. It ruled that the auction proceedings for the property, which was a public road, were illegal. Consequently, the court directed that the concerned functionaries take possession of the subject plot and that the auction price be returned to the purchaser, respondent No.7. |
| Summary |
In the case of First Appeal No.34 of 2007, the Sindh High Court addressed significant legal principles regarding the auction of public amenity land and the validity of mortgage transactions based on forged documents. The appellants, owners of industrial plots in Karachi, challenged the legality of an auction conducted on a 200 feet wide road, which they claimed was improperly mortgaged and auctioned by respondents in collusion with bank officials. The court found that the land in question was designated for public use and could not be auctioned for commercial purposes. This decision reinforces the legal protections surrounding public amenities and the necessity for proper documentation in financial transactions. The ruling emphasizes the court's role in safeguarding public interests, particularly in urban development contexts, and highlights the importance of verifying ownership and authenticity of documents in financial dealings. This case serves as a precedent for similar disputes involving public land and financial institutions, ensuring that such properties remain protected from unlawful exploitation. |
| Court |
Sindh High Court
|
| Entities Involved |
State Bank of Pakistan,
Karachi Development Authority,
City District Government Karachi
|
| Judges |
MRS. QAISER IQBAL,
SYED MEHMOOD ALAM RIZVI
|
| Lawyers |
Muhammad Mujahid for Respondent No. 1,
Sofia Saeed Shah for Respondent No. 7,
Khawaja Shamsul Islam for Appellants
|
| Petitioners |
another,
Shaikh KAMRAN SALIM
|
| Respondents |
8 others,
PRIME COMMERCIAL BANK LTD.
|
| Citations |
2008 SLD 2173 = 2008 CLD 504
|
| Other Citations |
Not available
|
| Laws Involved |
Karachi Development Authority Order (V of 1957),
Financial Institutions (Recovery of Finances) Ordinance (XLVI of 2001)
|
| Sections |
Art.40,
S.19
|