Recovery sale must be limited to property necessary for the demand; entire-property auction without proper assessment is vulnerable to invalidation.

In recovery sales, the authority must auction only so much property as is necessary to satisfy the demand; selling the entire property, including a residential house, for a comparatively small arrear without proper assessment of extent, boundaries and value was treated as a material irregularity causing substantial injury. The record showed inadequate application of mind to the statutory requirements governing auction and confirmation, and the confirmation order was held to have been made without jurisdiction. As the arrears had already been paid and the authorities had not properly coordinated before finalising the sale, the auction notification, sale and confirmation were set aside.

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Issues: Whether the auction notification, the auction sale and the confirmation of sale were liable to be set aside for non-compliance with the statutory requirements and for sale of the entire property despite a comparatively small recovery demand.

Analysis: The recovery proceedings were found to be vitiated because the authorities notified and proceeded to auction the entire extent of land, including the residential house, for recovery of a small arrear without properly examining whether a smaller portion would have satisfied the demand. The record also showed absence of proper application of mind to the extent, boundaries and value of the property, and no satisfactory basis was shown for compliance with the statutory requirements governing auction sale and confirmation. The Court treated these defects as material irregularities causing substantial injury and held that the confirmation order was made without jurisdiction. The Court further noted that the tax arrears had been paid and the authorities had failed to coordinate before finalising the sale.

Conclusion: The auction notification, the auction sale and the confirmation of sale were illegal and liable to be set aside.

Final Conclusion: The writ petition succeeded, and the impugned recovery and auction proceedings were nullified.

Ratio Decidendi: In recovery sales, the authority must sell only so much of the property as is necessary to satisfy the demand, and a sale of the entire property without proper assessment of necessity, extent and value amounts to a material irregularity causing substantial injury and rendering the sale vulnerable to being set aside.

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