No Right To Redemption After Issuance Of Sale Certificate To Auction Purchaser: SC [Read Judgment]

If there remained no subsisting mortgage, it is difficult to fathom what was to be redeemed, the bench observed.The Supreme Court, in Allokam Peddabbayya vs Allahabad Bank, has held that if the right to redeem stood extinguished by operation of law under proviso to Section 60 of the Transfer of Property Act, 1882, prior to the period of limitation, it cannot be contended that the right. The Supreme Court, in Allokam Peddabbayya vs Allahabad Bank, has held that if the right to redeem stood extinguished by operation of law under proviso to Section 60 of the Transfer of Property Act, 1882, prior to the period of limitation, it cannot be contended that the right could nonetheless be enforced any time before the expiry of limitation of 30 years. The high court upheld the appellate court reversal of the findings of trial court, holding that consequent to the auction sale and issuance of sale certificate along with possession delivered, the original mortgagors were no more the owners of the property and there stood no debt to be redeemed on the date of filing of the suit. Dismissing the appeals, the court held that the plaintiffs lost the right to sue for redemption of the mortgaged property by virtue of the proviso to Section 60 of the Act, no sooner that the mortgaged property was put to auction sale in a suit for foreclosure and sale certificate was issued in favour of the defendant.