THE HONOURABLE SRI JUSTICE GODA RAGHURAM AND THE HONOURABLE SRI JUSTICE NOUSHAD ALI Writ Petition No. 5769 of 2010 Dated: 12-3-2010 Between: V.Vanaja …Petitioner and Vijaya Bank rep. by its Chairman, M.G.Road, Bangalore and others …Respondents. Order: (Per Hon’ble Sri Justice Goda Raghuram) In substance, the Tender-cum-open auction notification dated 9-2-2010 by the 4th respondent, in so far as the property in Plot No. 23 in Sy.No. 35 of an extent of 300 Sq. yards at AOC Centre, West Marredpally, Secunderabad, is concerned, is assailed in this writ petition. The petitioner claims to be the purchaser of this property under a registered agreement of sale-cum-GPA (with possession) dated 10-11-2008 executed by the alienor Kanwarjeet Singh s/o Surender Singh. The petitioner claims to have entered into the transaction for a consideration of Rs. 62.00 lakhs and to have been put in possession of the property by her alienor. The petitioner admits to be aware that the property was under mortgage with the 1st respondent-Bank in its Public Garden Road Branch for a loan availed by her alienor from the said Bank. The petitioner also admits to have paid Rs. 5.00 lakhs through a cheque dated 1-10-2008 to the Bank towards partial discharge of the loan availed by the alienor. The petitioner does not assail the proceedings initiated by the Bank against the alienor/borrower for bringing the secured asset to sale after obtaining possession under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (for short ‘the Act’). Presumably after initiation of preliminary proceedings under Section 13 (2), 13 (4) or 14 of the Act, the respondent- Bank has notified several properties including the property in question for sale by the Tender-cum-open auction notification, under Rule 9 of the Security Interest (Enforcement) Rules, 2002 (for short ‘the Rules’). The singular contention pleaded and urged on behalf of the petitioner by the learned counsel Sri Machavaram is that the petitioner had purchased the property from her alienor Kanwarjeet Singh for a value arrived at, on the basis of the market value certificate issued by the Sub-Registrar, Bowenpally which values the property at Rs.39.00 lakhs while the sale notification specifies the reserved price at Rs.25.00 lakhs. The petitioner neither asserts nor establishes that the secured creditor, the respondent-Bank has not followed the provisions of Rules 8(5) and 8 (6) of the Rules, namely obtaining a valuation certificate from an approved valuer or issuing a notice to the borrower, before proceeding to notify the property for sale, under Rule 9 of the Rules. There is no provision in the Act or the Rules which enjoins the secured creditor to obtain a valuation certificate from the Registration Department. The valuation registers initiated or maintained by the Registration Department are for the purpose of guiding the Registering Officers in the matter of levying and collecting stamp duty and registration fee at the time of registration of instrument. Per se, these valuation certifications by a Sub- Registrar do not have a broader or wider trajectory. The provisions of the Act or the Rules do not recognise nor enjoin obtaining a market value certificate from the State Registering Officers as a condition precedent for proceeding further towards sale of the secured asset. On the aforesaid analysis, this Court finds no infirmity in the sale notification qua the singular contention raised. No other point is urged except the petitioner pleading that he would stand to lose considerably if the property were to be sold at the reserved price fixed in the sale notification. The reserve price is at any rate the base price. The factual grievance of the petitioner, on the aforesaid analysis, has no legal basis nor does the writ petition. The writ petition is accordingly dismissed at the stage of admission. No costs. ______________________ GODA RAGHURAM, J _________________ NOUSHAD ALI, J 12th March, 2010. GRR THE HONOURABLE SRI JUSTICE GODA RAGHURAM AND THE HONOURABLE SRI JUSTICE NOUSHAD ALI Writ Petition No. 5594 of 2010 (Order of the Bench delivered by Hon’ble Sri Justice Goda Raghuram) Dated: 11-3-2010