In Brief
Borrowers defaulted on mortgage loans and the bank exercised powers under SARFAESI Act to auction the mortgaged property. The property was sold in public auction in December 2005 and sale certificate issued in January 2006. The borrowers thereafter attempted to pay the outstanding dues through various invalid means (third-party account deposits, cheques, demand drafts) post-auction. The Supreme Court held that the sale becomes final upon issuance of sale certificate without requiring registration; the mortgagor's redemption right must be exercised before the auction date by valid tender. Since the borrowers failed to make valid pre-auction tender and their post-auction attempts were improper, their redemption right was extinguished. The appeals were dismissed.
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