Hi, e-auctions or the notifications through newspapers

Its totally upto the banks

E auction is more transparent and efficient and rules out foul play by corrupt bank officers

Generally all auctions of mortgaged properties are done through e auction

without calling tender/ quotation, how bank will sell the property? it is true that property is mortgaged to bank and the bank is selling the same due to default of the borrower. it is also true that the bank is not the actual owner of the property, the borrower is the actual owner of the property and bank is selling it as mortgagee. so bank has no other alternative but to sell mortgage property through auction.

the bank has right to sell the property through private trite avoiding e-tender if the offer of the private person is reasonable as well as acceptable in respect of property and loan amount.

It is necessary to follow the process of e-auction subject to some variation in the local laws.

Regards

Hi

1) Ministry of Finance (MOF) Dept. of Financial Services (DFS)in the year 2012 has informed all Public Sector Banks, with a view to conduct free, fair and transparent auctions, has advised banks to conduct auction of property only through e-auction route.

2) Banks are also free to invite sealed quotations for the properties, but the sealed quotations must be opened only after the bidding in e-auction route is complete.

3) The highest bidder will be issued the sale certificate thereafter.

Hope this information is useful.

Sir there are auction in banks in both formats that is e-auction and sealed cover quotation. The e-auction is most prevelant and transparent system of auction.

Open auction and can be e auction , no sealed quotations valid.