| Case ID |
2aa0f6e0-0aff-4af5-a1ca-3969674fdd41 |
| Body |
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| Case Number |
E.F.As. Nos.323 and 481 of 2001 |
| Decision Date |
Oct 02, 2002 |
| Hearing Date |
Oct 02, 2002 |
| Decision |
The Lahore High Court found that the Executing Court had no power to accept the bid of the lowest bidder after the highest bidders had withdrawn their offers. The court held that the proper procedure required a re-auction of the property. The decision to accept the lowest bid was deemed void ab initio and illegal, leading to the annulment of the sale in favor of the lowest bidder. The court allowed time for the appellants to satisfy the decree, but if not fulfilled, the property would be re-auctioned. The amount deposited by the lowest bidder was to be returned by the bank within one week if it had been received. |
| Summary |
This case revolves around the execution of a decree for recovery of loans under the Banking Companies Act and the Civil Procedure Code. The Lahore High Court dealt with the procedural lapses during an auction where the highest bidders withdrew their bids and the court improperly accepted a lower bid in a private auction setting. The ruling emphasizes the importance of following due process in auction proceedings to ensure fairness and legality. The court's decision to annul the sale and allow the appellants time to satisfy the decree highlights the balance between legal procedure and equitable relief. This case serves as a crucial reference for auction and execution proceedings within the banking sector, reinforcing the need for compliance with established legal frameworks. |
| Court |
Lahore High Court
|
| Entities Involved |
Not available
|
| Judges |
SAQIB NISAR,
MUHAMMAD SAYEED AKHTAR
|
| Lawyers |
Muhammad Arif Raja,
Shabbir Ahmad Khan,
Khalid Naseem
|
| Petitioners |
MUHAMMAD ISHAQ
|
| Respondents |
ALTOWFEEK INVESTMENT BANK LIMITED through Manager and Assistant Vice President and 11 others
|
| Citations |
2003 SLD 2868,
2003 CLD 264
|
| Other Citations |
Not available
|
| Laws Involved |
Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act,
Civil Procedure Code
|
| Sections |
18,
21,
V of 1908, O. XXI, R.90
|