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SARFAESI -- Auction sale -- Non-compliance with Rule 9 -- Payment of sale consideration beyond prescribed period without written extension -- Sale liable to be set aside.

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A. Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002), Sections 13(4) and 13(8) -- Security Interest (Enforcement) Rules, 2002, Rules 8 and 9(3), (4) and (5) -- Auction sale -- Successful bidder required to deposit 25% of sale price immediately and balance consideration within 15 days of confirmation of sale or within such extended period as may be agreed in writing -- Requirements mandatory and go to root of validity of sale -- Balance 75% of bid amount paid beyond prescribed 15-day period -- No written agreement extending time between secured creditor and auction purchaser -- Sale stands vitiated and liable to be set aside -- Subsequent confirmation of sale cannot cure statutory non-compliance.

(Paras 25-42)

B. Security Interest (Enforcement) Rules, 2002, Rule 9(4) -- Auction sale -- Extension of time -- Written agreement -- Extension of time for payment of balance sale consideration must be founded on written agreement between parties -- Waiver or extension cannot be presumed in absence of material on record.

(Paras 32, 33)

C. Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002), Sections 13(4) and 13(8) – Security Interest (Enforcement) Rules, 2002, Rule 8, 9(3), (4) and (5) – Auction sale set aside for statutory non-compliance – Auction purchaser entitled to refund of entire bid amount with interest @ 7% per annum from dates of deposit till payment.

(Para 42)

D. Constitution of India, Article 142 -- Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002), Sections 13(4) and 13(8) -- Security Interest (Enforcement) Rules, 2002, Rules 8 and 9(3), (4) and (5) -- Auction sale -- Balance 75% of bid amount paid beyond prescribed 15-day period – Auction sale set aside for statutory non-compliance -- Legal heir of guarantor granted one-time opportunity to redeem mortgage upon payment of dues.

(Paras 43 to 46)