2012 (10) TMI 271

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....he present application has been filed by the applicant, who was the second highest bidder in the auction conducted by this court on October 13, 2011, for refund of its earnest money. 2. The facts of the present application are that on October 13, 2011, this court after conducting an auction had accepted the highest bid of Rs.42,00,000 of M/s, Manasvi Realtors P. Ltd., whereas the applicant, bei....

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.... to withdraw the offer until the sale is finalised by the hon'ble court. In case he withdraws from the sale, the entire earnest money shall stand forfeited. 13. That the earnest money deposited by the unsuccessful tenders shall be returned to them by the official liquidator without any inter-est. However, the earnest money deposited by the second highest bidder shall be refunded only after the ....

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....second highest bidder, i.e., the applicant for depositing the bid amount as per the terms of the sale notice. 4. On December 22, 2011, when this court was informed by the official liquidator that even the applicant had defaulted in making payment of the bid amount, the applicant's earnest money was directed to be forfeited in terms of clause 14 of the terms and conditions of sale notice. 5. ....

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.... An acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not afterwards." 6. Mr. Mayank also submitted that by virtue of section 457(2E) of the Companies Act, 1956, the applicant was at liberty to withdraw its bid three days prior to the date of closing of the bid. 7. However, this court is unable to accept the submissions....