Archive · 11 Dec 2025
High Court Orders Karnal to Clear Stalled Property Registration
The Punjab and Haryana High Court told the Karnal administration to quickly finish the registration of a property that was sold in an auction by the State Bank of India (SBI).
The bank had to sell the property because a company named Mahavir Cereals couldn't pay back a loan of Rs 8.10 crore.
The buyer, Mahadev Foods, paid Rs 7.38 crore for the property, but the local office refused to complete the paperwork because of some old tax records.
The court said this was not right and ordered the office to finish the registration within two months.
They also fined the Haryana Government Rs 25,000 for causing unnecessary delays.
The court explained that the bank's rights to the property are more important than the government's tax claims.
The Punjab and Haryana High Court ordered the Karnal sub-registrar to complete the registration of a property sold in a bank auction within two months.
The property was auctioned by the State Bank of India (SBI) to recover a defaulted loan of Rs 8.10 crore from Mahavir Cereals.
The sub-registrar refused to register the sale deed due to a revenue entry made in November 2018, which the court found unjustified.
The court quashed the 2018 revenue entry and clarified that the bank's mortgage rights take precedence over government dues.
The court imposed a cost of Rs 25,000 on the Haryana Government for causing an unjustified delay, with Rs 10,000 going to SBI and Rs 15,000 to the High Court Bar Association.
- Who
- Punjab and Haryana High Court, State Bank of India (SBI), Karnal administration, Mahadev Foods, Mahavir Cereals
- What
- The High Court ordered the Karnal sub-registrar to complete the registration of a property sold in a bank auction within two months and slapped a Rs 25,000 cost on the Haryana Government for causing an unjustified delay.
- When
- The hearing took place on Wednesday, with the auction occurring on September 21, 2021, and the sale certificate issued on September 29, 2021.
- Where
- The incident occurred in Karnal, Haryana, and the case was heard by the Punjab and Haryana High Court.
- Why
- The sub-registrar refused to register the sale deed due to a revenue entry made in November 2018, which the court found unjustified as it was made after the bank's mortgage.
- Bank
- State Bank of India (SBI)
- Loan Amount
- Rs 8.10 crore
- Auction Date
- September 21, 2021
- Auction Amount
- Rs 7.38 crore
- Sale Certificate Date
- September 29, 2021
- Revenue Entry Date
- November 2018
- Mortgage Date
- July 2013
- Cost Imposed
- Rs 25,000