State Bank Of India vs Metta Chandra Sekhar Rao And Ors

The Supreme Court held that the High Court erred in setting aside the sale certificate based on the validity of the mortgage, which was not contested in earlier proceedings. The Court emphasized that the mortgage had been acted upon for loan sanction and that the auction purchaser, an innocent third party, had invested in the property. The Court concluded that the High Court's decision was not tenable in law, thereby allowing the appeal and reinstating the sale certificate.