The Kerala High Court has held that a person who participated in an auction sale can always participate in re auction after the cancellation of the auction.
Joyal Antony and Rajeesh P, the petitioners offered a bid for the purchase of certain articles confiscated by the 1st respondent – Commissioner of Customs; but alleged that the subsequent auction was conducted without following the applicable basic principles. Amidst the various allegations, they assert that the auction was closed before the scheduled time and thus that the price now quoted is woefully insufficient. They resultantly pray that the respondents be directed to conduct a re-auction of the articles in question.
Smt.Thanuja George appearing for the 1st respondent, prayed that only if the petitioner is willing to outbid the highest bidder, be the interim order extended. Sri.Abdul Rasac –counsel for the petitioner, submitted that his client is willing to negotiate with the 1st respondent.
In the afore circumstances, the Court once granted the liberty to 1st respondent to call the highest bidder and the petitioner and negotiate between them to obtain the highest value. The resultant report will be produced before the Court for finalising this issue.”
Smt.Thanuja George submitted that her client has taken a decision to cancel the auction with respect to Lot Nos.2, 6, 7 and 8; and to conduct a fresh auction and to requisition the 2nd respondent for such purpose.
Since the petitioners can always participate in the re-auction, as and when it is conducted, Justice Devan Ramachandran closed the writ petition.
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