Report No. 27

Order XXI, rule 90

For rule 90 of Order XXI of the First Schedule to the principal Act, the following rule shall be substituted, namely:-

"90. Application to set aside sale on ground of irregularity or fraud.-(1) Where any immovable property has been sold in execution of a decree, the decree-holder, or the purchaser, or any person entitled to share in a rateable distribution of assets, or whose interests are affected by the sale, may apply to the Court to set aside the sale on the ground of a material irregularity or fraud in publishing or conducting it.

(2) ..............No sale shall be set aside on the ground of irregularity or fraud unless upon the facts proved, the Court is satisfied that the applicant has sustained substantial injury by reason of such irregularity or fraud.

(3) No application to set aside a sale under this rule shall be entertained upon any ground which could have been taken by the applicant on or before the date on which the proclamation of sale was drawn up.".

Order XXI, rule 92

In rule 92 of Order XXI of the First Schedule to the principal Act,-

(a) in sub-rule (1), after the words "the Court shall", the words and figures "subject to the provisions of rule 59" shall be inserted;

(b) for sub-rule (2), the following sub-rule shall be substituted, namely:-

"(2) Where such application is made and allowed, and where, in the case of an application under rule 89, the deposit required by that rule is made within thirty days from the date of sale, or in cases where the amount deposited under rule 89 is found to be deficient owing to any clerical or arithmetical mistake on the part of the depositor, such deficiency has been made good within such time as may be fixed by the Court, the Court shall make an order setting aside the sale:

Provided that no order shall be made unless notice of the application has been given to all persons affected thereby.".

Order XXI, rule 97

In rule 97 of Order XXI of the First Schedule to the principal Act for sub-rule (2), the following sub-rule shall substituted, namely:-

"(2) Where any such application is made, the Court shall proceed to adjudicate upon the application in accordance with the provisions herein contained.".