IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH C.M. No. 3377-LPA of 2011 and LPA No. 417 of 2011 Date of Decision: 21.7.2011 Smt.Prem Lata and another ....Appellants. Versus Haryana Financial Corporation and others ...Respondents. CORAM:- HON'BLE MR. JUSTICE ADARSH KUMAR GOEL, ACTING CHIEF JUSTICE. HON'BLE MR. JUSTICE AJAY KUMAR MITTAL. PRESENT: Mr. S.S. Dinarpur, Advocate for the appellants. ADARSH KUMAR GOEL, ACJ. C.M. No. 3377-LPA of 2011 Preponed to today at the request of learned counsel for the appellants. LPA No. 417 of 2011 1. This appeal has been preferred against order of learned Single Judge declining to interfere with the re-auction proceedings by the Haryana Financial Corporation for recovery of dues. 2. Case of the appellants is that they were bidders in auction of property of M/s Shankar Lal and Sons who defaulted in repayment of loan. Inspite of bid of the appellants being highest, the Financial Corporation did not accept the same and decided to put the property to auction again. LPA No. 417 of 2011 -2- 3. Learned Single Judge held that in absence of any binding contract, no right accrued in favour of the appellants merely on the ground that they had given highest bid. 4. We have heard learned counsel for the parties. 5. It is well settled that except where an action is arbitrary or malafide, concerned authority is entitled to reject even highest bid and decide to put the property to fresh auction. Reference may be made to FCI v. Kamdhenu Cattle Feed Industries, 1993 (1) SCC 71. In the present case, action of rejecting bid of the petitioner has not been shown to be malafide or arbitrary. There is, thus, no ground to interfere with the view taken by learned Single Judge. The appeal is dismissed. (ADARSH KUMAR GOEL) ACTING CHIEF JUSTICE July 21, 2011 (AJAY KUMAR MITTAL) gbs JUDGE