CUTTACK: The Orissa High Court on Wednesday stayed the e-auction sale of properties of loan defaulters by banks and suspended functioning of the Court till April 15 in view of the total lockdown to check spread of coronavirus.
The Court, which functioned through video conferencing on the day, took up five petitions challenging the notices issued by banks for e-auction sale of properties of loan defaulters. After hearing the counsels of the petitioners, the Court passed a common order on the five petitions.
In the order, the division bench of Acting Chief Justice Sanju Panda and Justice KR Mohapatra said, “All the e-auction and auction which are going to be held by the banks and the financial institutions within the jurisdiction of this Court shall remain stayed till April 15 along with the e-auction sale notices issued by the banks/financial institutions issued in the five cases.”
“All the interim orders, which are to expire during the lockdown period, passed by the Single Bench as well as Division Bench of this Court are extended till April 15,” the Court further said.
In the five cases, the petitioners had challenged the notices issued by Canara Bank and Allahabad Bank for e-auction sale of properties of loan defaulters under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act.On March 23, the High Court had suspended its functioning till March 31 following the lockdown order of the State Government.