Authority: Supreme Court of India
Order Date: 10-09-2026
Case Overview
- Petitioners: Bishwajeet Singh & Anr.; Respondents: Sangram Vijay Singh & Ors.
- Dispute stems from a civil suit filed in 1988 concerning Property No. 54, Friends Colony (East), New Delhi.
- Preliminary decree (1997) and final judgment (2007) mandated auction of the suit property and distribution of sale proceeds among shareholders.
- Petitioners sought exclusive physical possession of their 50% share, relying on a High Court order dated 05‑11‑2019 that suggested alternatives to auction.
- The High Court (Single Judge) rejected this on 15‑02‑2023, reaffirming that the decree required sale; the Division Bench dismissed the petitioners' execution appeal on 01‑05‑2024.
- The Supreme Court appointed Advocate Commissioner Ms. Sanya Shukla (with an architect and structural engineer) on 04‑10‑2024 to assess feasibility of physical partition.
- The Commissioner’s report concluded that partitioning the property into four shares by metes and bounds would destroy the superstructure and value, rendering it infeasible.
Final Outcome
1. Fresh Public Auction Ordered – Court directed a fresh auction (order dated 10‑09‑2025) and recorded Respondent No. 1’s undertaking to hand over vacant possession within one month of sale confirmation.
2. Publication Requirement – Advocate Commissioner to publish auction notice in The Times of India and two major Hindi newspapers; auction to be conducted within six weeks of receipt of the order.
3. Fees – Total Rs 10,00,000 to be paid to the Advocate Commissioner (Rs 5,00,000 fee + Rs 5,00,000 for auction costs), borne equally by petitioners and respondents.
4. Earnest Money Deposit – Registry instructed (order dated 17‑03‑2026) to receive earnest money for the auction.
5. Auction Conducted – On 17‑06‑2026, the Advocate Commissioner conducted the public auction. The winning consortium comprised Scindia Investments Private Limited and Gupta Machine Tools Private Limited, submitting a bid of Rs 232,50,00,000 (Rs 232.5 crore). The full consideration was deposited with the Court Registry.
6. Petitioners’ Attempts to Modify – Petitioners sought to modify the 10‑09‑2025 auction order (order dated 29‑07‑2026) and were given opportunities to match the bid or present higher offers. An intended purchaser, ALTO Housing LLP, was allowed to deduct the petitioners’ 50% share and deposit the remainder by 31‑08‑2026, but failed to do so.
7. Final Confirmation – On 10‑09‑2026, the Court confirmed the sale in favour of the successful bidding consortium, noting the petitioners’ failure to deposit any amount or present a viable alternative.
8. Interlocutory Application No. 193170/2026 – Filed by the consortium seeking directions for execution and registration of sale deeds.
9. Sale Deed Execution – Court ordered two separate sale deeds:
- Sale Deed 1: to Scindia Investments Private Limited for ~2,450 sq yd (63.57% of land).
- Sale Deed 2: to Gupta Machine Tools Private Limited for ~1,404 sq yd (36.43% of land).
10. Stamp Duty & Registration – All stamp duty, registration fees, and related charges to be borne by the respective consortium members in proportion to their ownership; no deduction from the Rs 232.5 crore auction consideration.
11. TDS Deduction – Under the Income Tax Act, 1% TDS to be deducted from the gross purchase price at the time of disbursement to the four co‑owners. The Registry shall deposit the TDS with the Income Tax Department and issue Form 16B certificates.
12. Distribution of Net Sale Consideration – After TDS, the net proceeds are to be disbursed as follows:
- 31.218% to Mr. Bishwajeet Singh (Petitioner No. 1).
- 18.782% to the legal representatives of Late Mrs. Vijay Kumari (Petitioner No. 2).
- 25% equally to the legal representatives of Late Mr. Bikramjit Singh (Respondents Nos. 1‑3).
- 25% to be retained by the Registry in a short‑term interest‑bearing fixed deposit with a nationalised bank, pending determination of legal heirs of the deceased widow Late Mrs. Madhuri Singh.
13. Counsel Fee – Rs 2,00,000 to be paid to the counsel appearing for the Advocate Commissioner, borne proportionately by the four shareholders.
14. Vacant Possession – Respondent No. 1, currently occupying the premises, is directed to hand over peaceful vacant possession to the consortium’s authorized representatives within one month of receipt of this order. Failure to do so will invite police assistance (SHO of Friends Colony East) upon written request.
15. Demolition Rights – Upon receipt of possession, the consortium may demolish the existing superstructure at its own cost, complying with municipal and environmental regulations.
16. Disposition of Applications – The Special Leave Petition is disposed of; Interlocutory Applications No. 193912/2026, 191544/2026 (impleadment) are allowed; IA No. 209715/2026 disposed of; any pending applications stand disposed of.
Topics: Property Auction, Court Order, Sale Deed Execution