1. Bank.can take symbolic possession or physical possession by court order and can auction on one month notice.

2. Under rule 9 bank has to obtain a valuation report from government approved valuer in consultation with creditor.

3. Approach DRT and seek stay on Auction.

4. No it has to be properly valued.

5. Sir if tribunal is not listing and any corruption there approach high court.

One can go for quashing the auction and get stay order from High Court for NPA is shortage by 5 lakhs why Bank is asking for 45 lakhs.

Your father in law can seek stay of auction before DRT by depositing amount of Rs 5 lakhs directed by DRT 

2) bank cannot sell property below the reserve price mentioned in e auction notice 

3)if an account  has become NPA bank issues section 13(2) notice to borrower ti discharge his full liabilities within 60 days from the date of notice that should also detail out the legal consequences and penal provisions. 

Please provide more details. Has the auction been ordered by a court or drt? If yes then you can move to court file an application for stay. If not, then you can file a fresh case in court to obtain a stay. 

Dear Client, 

Under the act, bank can proceed auction but you can obtain stay on auctin notice from DRT for low valuation of property

Market value shall be consider and just for 5 lacs such high value property can not be permitted to auction and on 5 lacs 45 lacs is wrong assement.

No

No

Offer one time settlement before tribunal.

Hi, the bank can auction the property under the SARFASI act incase of NPA account .. He can make an appeal to high court against the order of tribunal court for seeking relief 

Dear Sir,

1)       Can the bank auction the property without court direction if so what is the correct legal procedure.

Ans: Yes, the Co-operative Banks have their channel of  getting Award/Decree without going to the Civil Court or Debt Relief Tribunal under the relevant Act.

2)       Can the bank offer less than the SR value is it legally correct if not what can we do to safe guard the property.

Ans: You can resist but for various reasons such decision will be taken by the concerned  authority passing the order for auction of the property.

3)       My understanding of Sarfasi act is that the bank has to sign a mutual agreement of the agreed price with the owner even before the give auction notice. If so what can we do?

Ans: No such rule apply to the recoveries by the Co-operative Banks

4)       Can bank sell the property at whatever price they are getting ?

Ans: It depends, but you can challenge the same before proper authority.

5)       He had approached Tribunal court even they tend to favor the bank only and demanding 5 lakhs to stall the process. Does not make sense.

Ans: Yes, some percentage of Award/Decree amount is to be deposited as a pre-condition before challenging such Award/Decree.

=========================================

THE KARNATAKA CO-OPERATIVE SOCIETIES ACT, 1959.

http://dpal.kar.nic.in/pdf_files/11%20of%201959%20(E).pdf

EXECUTION OF AWARDS, DECREES, ORDERS AND DECISIONS. 99. Enforcement of charge.- Notwithstanding anything contained in Chapter IX, or any other law for the time being in force, but without prejudice to any other mode of recovery provided in this Act, the Registrar or any person subordinate to him empowered by the Registrar in this behalf, may, on the application of a co-operative society, make an order directing the payment of any debt or outstanding demand due to the society by any member or past or deceased member, by sale of the property which is subject to a charge under sub-section (1) of section 32: Provided that no order shall be made under this section, unless the member, past member or the nominee, heir or legal representative of the deceased member, has been served with a notice of the application and has failed to pay the debt or outstanding demand within seven days from the date of such service. 100. Recovery of moneys due to Societies.- (1) Notwithstanding anything contained in Chapter IX or any other law for the time being in force, on an application made by an approved society for the recovery of arrears of any sum advanced by it to any of its members on account of the financing of crops or seasonal finance and on its furnishing a statement of accounts in respect of the arrears, the Registrar may, after making an enquiry in such manner as may be prescribed, grant a certificate for the recovery of the amount stated therein to be due as arrears: Provided that if the determination of the amount due from any person to the society depends upon decisions on complicated questions of fact or law, the Registrar shall dispose of the case in accordance with the provisions of section 71 as if it were a dispute referred to him for decision under secstion 70. (2) A certificate granted by the Registrar under sub-section (1) shall be final and conclusive. The arrears stated to be due therein shall be recoverable as arrears of land revenue or according to the procedure provided in section 101: Provided that any error in such certificate may be rectified by the Registrar suo motu or on the application of the society or the member affected by the certificate. (3) It shall be lawful for the Deputy Commissioner to take precautionary measures authorised by 1 [section 188 of the Karnataka Land Revenue Act, 1964] 1 , until the arrears due to the society together with interest and any incidental charges incurred in the recovery of such arrears are paid or security for payment of such arrears is furnished to the satisfaction of the Registrar. 1959:KAR.ACT 11] Co-operative Societies 140 1. Adapted by the Karnataka Adaptations of Laws Order, 1973 w.e.f.01.11.1973. Explanation.—For the purpose of this section,— (i) “approved society” shall mean a society of such class of societies declared to be approved societies for purposes of this section by rules; (ii) “financing of crops” shall mean advancing of loans for the raising of crops during the ploughing season or later for ploughing, weeding, harvesting, purchase of seeds, manure or for such other purposes 1 [XXX]1 such loans being repayable during the season when the crops for which the loans were advanced are harvested; 1. Omitted by Act 6 of 2010 w.e.f 30.03.2010. 1 [(iii) "seasonal finance" shall mean the advancing of loans for the purposes enumerated in item (ii) above, such loans being repayable on or before the 31st March following or such other date as may be specified by the financing bank or the credit agency.] 1 1. Substituted by Act 6 of 2010 w.e.f 30.03.2010. 101. Execution of orders, etc.- 2 [(1)] 2 Every order made by the Registrar under sub-section 1 [(1)] 1 of section 69 or under section 99, every decision or award made under section 71, every order made by the Liquidator under section 74 and every order made by the Tribunal under sections 105 and 107, and every order made under section 106 or 108 shall subject to any other provision of this Act be binding on the person or co-operative society against whom the order, decision or award has been obtained or passed and shall, if not carried out,— 1. Substituted by Act 19 of 1976 w.e.f. 20.01.1976. 2. Renumbered by Act 39 of 1975 w.e.f. 23.09.1975. (a) on a certificate signed by the Registrar, or any person authorized by him in this behalf, be deemed to be a decree of a civil court and shall be executed in the same manner as a decree of such court; or (b) be executed according to the law and under the rules for the time being in force for the recovery of arrears of land revenue: Provided that an application for the recovery in such manner of any sum shall be made,— (i) to the Deputy Commissioner and shall be accompanied by a certificate signed by the Registrar or by any person authorized by him in this behalf; (ii) within twelve years from the date fixed, in the order, decision or award, and if no such date is fixed, from the date of the order, decision or award, as the case may be; or (c) be executed by the Registrar or any other person subordinate to him empowered by the Registrar in this behalf, by the attachment and sale or sale without attachment of any property of the person or a co-operative society against whom the order, decision or award has been obtained or passed. 1959:KAR.ACT 11] Co-operative Societies 141 1 [(2) (a) Notwithstanding anything contained in this Act every question relating to the execution, discharge or satisfaction of an order, decision or award referred to in sub-section (1) or relating to the confirmation or setting aside of a sale held in an execution of such order, decision or award in pursuance of clause (c) of sub-section (1), or relating to any claim or objection to an attachment of any property made under section 103 or in execution in pursuance of the said clause (c), shall be determined, by an order of the Registrar or any other person subordinate to him, empowered by the Registrar under the said clause (c) (hereinafter in this section referred to as “authorized person”) before whom such question arises. (b) (i) Where any claim is preferred against, or any objection is made to, the attachment of any property made under section 103 or in execution in pursuance of clause (c) of sub-section (1), on the ground that the said property is not liable to such attachment, the Registrar or the authorized person shall proceed to investigate the claim or objection: Provided that where the Registrar or the authorized person considers that the claim or objection was designedly or unnecessarily delayed, he shall make an order refusing such investigation; (ii) Where, upon the said investigation, the Registrar or the authorized person is satisfied that for the reason stated in the claim or objection, such property was not, at the date of the attachment, in the possession of the person or co-operative society against whom the order, decision or award has been obtained or passed (hereinafter in this section referred to as the “judgment-debtor”) or of some person in trust for the judgement-debtor or in the occupancy of a tenant or other person paying rent to the judgement-debtor or that, being in the possession of the judgement-debtor at the said date, it was so in his possession, not in his own account or as his own property, but on account of or in trust for some other person, or partly on his own account and partly on account of some other person, the Registrar or the authorized person shall make an order releasing the property, wholly or to such extent as he thinks fit, from attachment. (iii) Where the Registrar or the authorized person is satisfied that the property was, on the said date, in the possession of the judgement-debtor as his own property and not on account of any other person, or was in the occupancy of a tenant or other person paying rent to him, the Registrar or the authorized person shall disallow the claim; (iv) Where a claim or an objection is preferred, the party against whom an order is made may within a period of one year from the date of such order, institute a suit in a civil court to establish the right which he claims to the property in dispute; but, subject to the result of such suit, if any, the order of the Registrar or the authorized person shall be conclusive.] 1 1. Inserted by Act 39 of 1975 w.e.f. 01.06.1960. 1959:KAR.ACT 11] Co-operative Societies

Please immediately file an application with DRT tribunal u/s 17 of Sarfesi act against sale of property at  lower value than what it can fetch as per govt guideline value

Pray for stay of auction