M/S. SHILPA SHARES & SECURIUTIES vs NATIONAL COOP. BANK LTD. .

The Supreme Court held that under Rule 107 of the Maharashtra Co-operative Societies Rules, 1961, the failure to pay 85% of the purchase money within 15 days renders the auction sale a nullity, as established in Manilal Mohanlal Shah v. Sardar Sayed Ahmed (AIR 1954 SC 349) and Balram v. Ilam Singh (1996 (5) SCC 705). The Court set aside the Bombay High Court's judgment, ruling that there was no valid sale of the appellant's property and directed a fresh auction sale in compliance with the prescribed procedure.