Public property must be sold in a way to get best price: SC

NEW DELHI: The Supreme Court has said that it is obligatory for the authorities to sale the public property in such manner that it fetch the maximum price. The court directed the PSU, Kerala Financial Corporation to follow its guidelines for the sale of such a property to maximise the auction price.

“In the matter of sale of public property, the dominant consideration is to secure the best price for the property to be sold. This can be achieved only when there is maximum public participation in the process of sale and everybody has an opportunity of making an offer. It becomes a legal obligation on the part of the authority that property be sold in such a manner that it may fetch the best price”, said a bench comprising Justice P Sathasivam and Justice BS Chauhan in its judgement delivered on Monday.
The court said, “a highest bidder in public auction cannot have a right to get the property or any privilege, unless the authority confirms the auction sale, being fully satisfied that the property has fetched the appropriate price and there has been no collusion between the bidders”. The apex court set aside an order of the Kerala High Court. It had allowed the plea of the bidder of the property. The PSU had accepted a single bid for auction of the property.