Tender Form to participate in a Foreclosure Sale

Several of you have wondered about the Tender Form required to participate in the bank auction.

So here I'm posting the general format of the Tender Form ... so you can familiarize yourself with the basic rules of the tender.

ABC Institution

Branch, City

TENDER FORM

(Annexure)

               The undersigned being the Authorized Officer of ABC Institution, Branch, City. Under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (Act 54/2002), 2002 and in exercise of powers conferred under Section 13(2) of the Act read with Rule 3 of the Security Interest (Enforcement) Rules 2002,  issued a demand notice dated (Demand Notice Date) calling upon the Borrower (Borrower Name) , to repay the amount mentioned in the notice being Rs.(Due Amount) as on (Date till which Due Amount has been calculated) with further interest within 60 days from the date of receipt of the said notice.

                As the borrower has failed to repay the amount I, as the authorized officer has taken physical possession of the property, mortgaged to the bank, situated at       (---Address---)                (---Property Details---) belonging to Borrower in the name of (Borrower/Property Owner) , fully described in the schedule hereunder  (referred as scheduled property) in exercise of powers conferred under Section 13(4) of the Act read with rule 8 of the rules and issued another notice giving 30 days time to the borrower to clear the liabilities of the Institution and redeem the property mortgaged to the Institution.

               As the borrower has failed again to repay the dues I, as an Authorized Officer obtained the estimated value of the schedulrd property in exercise of powers conferred under rule 8(5) of the rules, and popose to sell the schedule property by way of sealed tender under rule 8(5)(b) of the rules in as is where is condition on (Auction Date) at (Time).

               Public Notice calling for bidders/Tenders to purchase the schedule property is published in “Newspaper” City edition on (Publication Date).

Tender Conditions

1. The schedule property can be inspected by the tender form holders from (inspection Dates) between (---Time---), with prior appointment with authorized officer, ABC Institution.

2. Reserve price for the scheduled property is Rs.(Reserve Price )/- (Rupees Reserve Price Only). The persons who intends to purchase the schedule property may submit sealed tender to the Authorized Officer, ABC Institution in person or by register post so as to reach on or before Time on (Last date of submission of tender) along with an Earnest Money Deposit of Rs.(EMD Price)/- (Rupees EMD Price Only) by the way of DD/PO favoring ABC Institution, Branch, City payable at city.

3. Sealed tenders will be opened on (---Opening Date---) at (---Time---) by the Authorized Officer of ABC Institution. Thereafter, the tenderers present will be permitted to bid among themselves. The highest Tender/bid shall be declared as successful Tendered Bidder.

4. The successful tenderer bidder should deposit 25% of the bid amount by the way of advance inclusive of the EMD amount on the sale being confirmed in his favor and balance of the bid amount shall  be paid within 15 days from the date of opening of tenders. In default, advance amount paid shall be forfeited.

5. The Earnest Money Deposit of Rs.(EMD Amount)/- (Rupees EMD Amount Only) will be refunded to all unsuccessful bidders on the very same day by way of Bankers Cheque / DD.

6. All legal charges for conveyance, stamp duty and registration as applicable and incidental expenditure shall be borne by the successful bidder.

7. Any statutory dues or other dues namely municipal taxes, electricity charges, maintenance charges, etc. will be borne by the purchaser.

8. The Authorized Officer has every right to stop or postpone the tender/auction sale without assigning any reason.

9. ABC Institution reserves the right to cancel/accept/reject/alter/modify terms and conditions of tenders/offers at any time without assigning any reason.

10. The scheduled property is offered for sale is in as is where is condition and quantity or condition of scheduled property can’t be questioned by any bidder/tender at any time.

 

SCHEDULE PROPERTY

All that is part and parcel of the property consisting of (---Address---)(---Details---) bound by:

North:

South:

East:

West:

Authorized Officer

ABC Institution

I Accept

Name/Seal/Signature of the Tenderer

Date:

OFFER TO PURCHASE

From,

To,

The Authorized Officer,

ABC Institution.

Dear Sir,

 Sub: Tender for the purchase of (---Adderss---)(---Details---)

Ref: Your Adv in “______” City edition on ________.

I/We ______________________ (Fill in full Address and Tel No) offer to purchase the property mentioned in the subject tender for a consideration of Rs.______ (Rs._________)Subject to terms and conditions of tender.

I submit :-

DD No. ___________ dated _______ for Rs. ______ /- drawn on _____________ Bank ________ Branch favoring ABC Institution as Earnest Money Deposit.

I have perused the terms and conditions of the Tender mentioned in the Annexure and agree to abide by the same.

DATE:

PLACE:

SIGNATURE

Use the below link to download the PDF of this form.

Click to Download

This Tender Form is the most basic form containing only the basic rules which are followed by all the Banks.

The form can contain anywhere from 1-50 pages make sure you read all of it as there are various rules/guidelines which change with bank to bank.

The Form can coast anywhere from Rs.1-100/-

For any further quires contact me at bhargav@foreclosureindia.com or leave a comment.