KAYJAY INDUSTRIES (P) LTD. vs ASNEW DRUMS (P) LTD. & ORS.

The Supreme Court held that under Section 32(8) of the State Financial Corporation Act, 1951, the Civil Procedure Code applies to proceedings for the realization of dues, making Order 21, Rule 90 applicable. The Court emphasized that a sale can be set aside for material irregularity causing substantial injury to the judgment-debtor, but mere inadequacy of price does not invalidate a court sale. The Court allowed the appeal, reinforcing that courts must realistically appraise bids and not adjourn sales indefinitely in pursuit of higher offers.