In Brief
A guarantor mortgaged property to secure an educational loan. After the account turned into a non-performing asset, the bank initiated auction proceedings under the SARFAESI Act. The mortgagor offered to pay the dues after the sale was confirmed but before the registered sale deed was executed. The Supreme Court held that the right of redemption must be exercised before the date fixed for sale or transfer under Section 13(8) of the SARFAESI Act. Once the sale was confirmed and registered, the right to redeem was extinguished. However, the Court ordered refund of the mortgagor's deposit with interest.
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