The Delhi Protection of Interests of Depositors (in Financial Establishments) Act, 2001

(To be published in Part IV of Dethi Gazette, Extraordinary ). Government of National Capital Territory of Delhi Wepartment of Law, Justice & Legislative Affairs) C-Wing, 8" Level, Delhi Secretariat,

In this Act, unless the context otherwise requires,— (a) “Assistant Collector” means an officer appointed as such under the Delhi Land Revenue Act, 1954 (Act 12 of 1954); (b) “Competent Authority" means the authority appointed under section 5; (c) “Delhi” means the National Capital Territory of Delhi; (d) “deposit” includes and shall be deemed always to have included any receipt of money or acceptance of any valuable commodity by any financial establishment to be returned after a specified period or otherwise, either in cash or in kind or in the form of a specified service with or without any benefit in the form of interest, bonus, profit or in any other form, but does not include — (i) amount raised by way of share capital or by way of debenture, bond or any other instrument covered under the guidelines given, and regulations made, by the SEBI, established under the Securities and Exchange Board of India Act, 1992 (15 of 1992); (ii) amounts contributed as capital by partners of a firm; (iii) amounts received from a scheduled bank or a co-operative bank or any other banking company as defined in clause (c) of section 5 of the Banking Regulation Act, 1949, (10 of 1949); (iv) any amount received from-- (a) the Industrial Development Bank of India; (b) a State Financial Corporation; (c) any financial institution specified in or under section 6 A of the Industrial Development Bank of India Act, 1964(18 of 1964), (d) any other institution that may be specified by the Government in this behalf, (v) amount received in the ordinary course of business by way of-- (a) security deposit, (b) dealership deposit; (c) earnest money; (d) advanced against order for goods or services; (vi) any amount received from an individual or a firm or an association of individuals not being a body corporate, registered under any enactment relating to money lending which is for the time being in force in Delhi; (vii) any amount received by way of subscriptions in respect of a chit; Explanation 1.-- "Chit" has the meaning as assigned to it in clause (2) of section 2. of the Madras Chit Funds Act, 1961 (Madras Act 24 of 1961) as extended to the National Capital Territory of Delhi. Explanation II. -- Any credit given by a seller to a buyer on the sale of any property (whether movable or immovable) shall not be deemed to be a deposit for the purposes of this clause; (e) “Designated Court” means the Designated Court constituted under section 10; (f) "Financial establishment” means a person or a group of persons accepting deposit under any scheme or arrangement or in any other manner but does not include a corporation or a co-operative society owned or controlled by any State Government or the Central Government or the Government of any Union territory or a banking company as defined under clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949); (g) "Government" means the Government of the National Capital Territory of Delhi; (h) “Lieutenant Governor” means the Administrator of the National Capital Territory of Delhi appointed by the President under article 239 AA of the Constitution. In this Act, unless the context otherwise requires,— (a) “Designated Court” means the Designated Court constituted under section 10; (b) “Financial Establishment” means an individual, an association of individuals, or a firm carrying on the business of receiving deposits under any scheme or arrangement or in any other manner or lending in any manner; (c) “Government” means the Government of the National Capital Territory of Delhi; (d) “Deposit” means the deposit of money either in one lump sum or by installments made with the Financial Establishment for a fixed period, for interest or for return in any kind or for any service, but does not include— (i) amounts contributed as capital by partners of a firm; (ii) amounts contributed by directors of a private company; (iii) any amount raised by way of debentures or bonds or any other security secured by a charge; (iv) any amount borrowed from a scheduled bank as defined in the Reserve Bank of India Act, 1934 (1934 of 2) or a co-operative bank as defined in the Banking Regulation Act, 1949 (1949 of 10); (v) any amount borrowed from financial institutions specified in the Industrial Development Bank of India Act, 1964 (1964 of 18) or any other financial institutions notified by the Government; (vi) any amount received from an individual or a firm or association of individuals, which is not intended for the purpose of carrying on the business of the financial establishment; (vii) any amount received as security deposit from employees, workers, or customers. Explanation.—“Deposit” of money includes any deposit of money in any name, for the purpose of any investment under any scheme or otherwise, and the provisions of the Income Tax Act, 1961 (Income Tax Act, 1961 of 43) section 2(2) in relation to person is treated as part and parcel of this Act; (e) “Competent Authority” means the authority appointed under section 4; (f) “Special Court” means the Court constituted under section 10 and shall have the same meaning as defined in (a) above.

Any financial establishment, which fraudulently defaults any repayment of deposit on maturity along with any benefit in the form of interest, bonus, profit or in any other form as promised or fraudulently fails to render service as assured against the deposit, every person including the promoter, partner, director, manager or any other person or an employee responsible for the management of or conducting of the business or affairs of such financial establishments shall, on conviction, be punished with imprisonment for a term which may extend to six years and with fine which may extend to one lakh rupees and such financial establishment shall also be liable for a fine which may extend to one lakh rupees or where such deposit is quantifiable in terms of money, twice the amount involved in such default, whichever is more: Provided that in the absence of special and adequate reasons recorded in the judgement of the Court, the imprisonment shall not be less than six months and the fine shall not be less than Rs. 20,000 as against each individual and not less than one lakh rupees against such financial establishment. Explanation:--For the purpose of this section, a financial establishment, which commits default in repayment of such deposit with such benefits in the form of interest, bonus, profit or in any other form as promised or fails to render any specified service promised against such deposit, or fails to render any specific service agreed against the deposit with an intention of causing wrongful gain to one person or wrongful loss to another person or commits such defaults due to its inability arising out of impracticable or commercially not viable promises made while accepting such deposit or arising out of deployment of money or assets acquired out of the deposits in such a manner as it involves inherent risk in recovering, the same when needed, shall be deemed to have committed a default or failed to render the specific service, fraudulently.

(1) Government or the Deputy Commissioner of a revenue area of Delhi in their respective jurisdiction, suo-moto or on receipt of the complaints may cause investigation of a complaint or fraudulent transaction referred to in section 3. The Deputy Commissioner shall forward his report to the Competent Authority appointed under section 5 at the earliest. (2) Notwithstanding anything contained in any other law for the time being in force-- (i) where, upon complaints received from the depositors, or otherwise, the Government is satisfied that any financial establishment has failed,-- (a) to return the deposit after maturity or on demand by the depositor; or (b) to pay interest or other assured benefit; or (c) to provide the service promised against such deposit; or where the Government has reason to believe that any financial establishment is acting in a manner detrimental to the interest of the depositors, with an intention to defraud them and if the Government is satisfied that such financial establishment is not likely to return the deposits or make payment of interest or other benefits assured or to provide the services against which the deposit is received, the Government may-- in order to protect the interest of depositors of such financial establishments, after recording reasons in writing, issue an order by publishing it in the official Gazette, attaching the money or other property believed to have been acquired by such financial establishment either in its own name or in the name of any other person from out of the deposits collected by the financial establishment; or if it transpires that such money or other property is not available for attachment or not sufficient for repayment of the deposits, such other property of the said financial establishment or the personal assets of the promoter, director, partner, or manager or member of the said financial establishment, as the Government may think fit, (3) On the publication of the order under sub-section (2), all the properties and assets of the financial establishment and the persons mentioned therein shall forthwith vest in the Competent Authority appointed by the Government pending further order from the Designated Court. (1) Notwithstanding anything contained in any other law for the time being in force, where the Government has reason to believe that any Financial Establishment is acting in a calculated manner with an intention to defraud the depositors, or if the Government is satisfied that any Financial Establishment is not likely to return the deposits or pay interest or other assured benefits, or to provide the services promised against such deposits, the Government may, in order to protect the interests of the depositors, pass an ad-interim order attaching the money or other property alleged to have been procured either in the name of the Financial Establishment or in the name of any other person from and out of the deposits collected by the Financial Establishment, or if it transpires that such money or other property is not available for attachment or not sufficient for repayment of the deposits, such other property of the said Financial Establishment or the person who is or was the promoter, director, partner or manager or member of the said Financial Establishment or person as the Government may think fit. (2) The Government may appoint a Competent Authority which may be an officer not below the rank of a District Magistrate to exercise control over the money and property attached under sub-section (1). (3) The Competent Authority shall make an application within thirty days to the Designated Court to make the ad-interim order of attachment absolute. (4) An application under sub-section (3) shall be accompanied by one or more affidavits stating the grounds on which the belief that the Financial Establishment has committed any default or is about to commit any default is founded, the amount of money or value of other property believed to have been procured out of the deposits, and the details, if any, of persons in whose names such property is believed to have been invested or purchased. (5) The Competent Authority shall make an application to any court of competent jurisdiction or tribunal or other authority having jurisdiction over the property or money attached before such court for appropriate orders. (6) The Competent Authority shall make an application to the Designated Court seeking withdrawal of the attachment if the Financial Establishment or the person concerned provides sufficient security for the repayment of the deposits.

(1) Government shall while issuing the order under sub-section (2) of section 4, appoint any of its officers not below the rank of a Group ‘A’ officer as the Competent Authority to exercise control over the money and the properties attached by the Government under section 4. (2) The Competent Authority shall apply within forty five days from the date of the publication of the said Order, to the Designated Court, supported by one or more affidavits stating the grounds on which the Government has issued the said order under section 4 and the amount of money or other property believed to have been acquired out of the deposits and the details, if any, of persons in whose name such property is believed to have been invested or acquired or any other property attached under section 4, for such further orders as found necessary. (3) The Competent Authority may also make an application to any Special Court or Designated Court or any other Judicial Forum established or constituted or entrusted with the powers by any other State Government or the Government of any Union territory for adjudicating any issue or subject matter pertaining to money or property or assets of financial establishment under any similar enactment and, where there is no such Designated Court or any other Judicial Forum in respect of money or property or assets belonging to or ostensibly belonging to a financial establishment or any person notified under this Act situated within the territorial jurisdiction of that Designated Court or any other judicial forum, as the case may be, for passing appropriate orders to give effect to the provisions of this Act. (1) The Competent Authority shall have all the powers as are vested in a Civil Court under the Code of Civil Procedure, 1908 (5 of 1908) while trying a suit. (2) The Competent Authority shall take into its custody or control all the money or property attached under section 4. (3) The Competent Authority may take such steps as it considers necessary for the preservation, maintenance and control of the attached property. (4) The Competent Authority shall seek permission from the Designated Court, notwithstanding any other law, to sell the attached property for the realization of the amount due to the depositors.

(1) Without prejudice to the generalities of sub-section (1) of section 5, the Competent Authority may carry out the purpose of this Act. (2)(i) On receipt of order of appointment, the Competent Authority shall take such necessary actions as is necessary or expedient for taking physical possession of all the monies, properties and assets of the concerned financial establishment expeditiously and the Competent Authority shall have all the powers which are necessary for the aforesaid purpose. (ii) Without prejudice to the generality of the powers vested under sub-clause (i) of this sub-section, the Competent Authority shall be entitled to- (a) require assistance of any police officer or any other authority or person and on such requisition it shall be the duty of the police officer or such other authority or person to extend necessary assistance; (b) open bank accounts in any scheduled commercial bank and credit all monies realized and operate the bank accounts while dealing with the money received in his capacity as Competent Authority; (c) require any person believed to be in possession or control over any money, property or assets of the financial establishment, to furnish necessary information; to hand over possession of such assets to the competent authority and such person shall comply with the requisition without any loss of time; (d) appoint legal practitioner or chartered accountant or any other person whose services are necessary for taking possession of assets and realization of the assets of the financial establishment; (e) sell, receive, transfer, endorse or otherwise deal with any marketable security or negotiable instrument belonging to or in the control of the financial establishment and give proper discharge for the same; (f) sell, transfer or otherwise realize any movable or immovable property belonging to or in the control of the financial establishment either by public auction or with the prior approval of the Designated Court by private arrangements: Provided that the perishable items of assets shall be sold by public auction as soon as the Competent Authority deems fit. (g) make payment as per the orders passed by the Designated Court from the bank accounts, and (h) do all and every act and deed which would be necessary for the speedy realization of the assets of the financial establishments. Explanation: For the purpose of this section, the expression “financial establishment” includes the directors, promoters, managers or member of said establishment or any other person whose property or assets have been attached under section 4.

After making a report as per section 7, the Competent Authority shall make an application to the Designated Court seeking permission to make payment to the depositors from out of the money realized. While making such application, the Competent Authority shall assess the liability to the depositors and the other liabilities and in case the money realized or realizable is not sufficient to meet the entire liability, make a submission to the Designated Court seeking permission for making payment to the depositors and disburse the money as per the orders of the Designated Court. (1) The Designated Court may, on the application of the Competent Authority, appoint a Special Officer to manage the assets of the Financial Establishment. (2) The Special Officer appointed under sub-section (1) shall have the power to: (a) take possession of the assets; (b) distribute the proceeds among the depositors as per the directions of the Designated Court. 8. (1) For the purpose of this Act, the Government may, with the concurrence of the Chief Justice of the High Court, by notification, constitute one or more Special Courts for such area or areas or such case or group of cases, as may be specified in the notification. (2) Each Special Court shall be presided over by a Judge to be appointed by the Government with the concurrence of the Chief Justice of the High Court.

(1) Upon receipt of an application under section 5, the Designated Court shall issue to the financial establishment or to any other person whose property is attached and vested in the Competent Authority by the Government under section 4, a notice accompanied by the application and affidavits and of the evidence recorded, if any, calling upon the said establishment and the said person to show cause on or before a date to be specified in the notice, why the order of attachment should not be made absolute. (2) The Designated Court shall also issue such notice to all other persons represented to it as having, or being likely to claim, any interest or title in the property of the financial establishment or the person to whom the notice is issued under sub-section (1), calling upon all such persons to appear on the same date as specified in the notice and make objection if they so desire to the attachment of the property or any portion thereof, on the ground that they have an interest in such property or portion thereof. (3) Any person claiming an interest in the property attached or any portion thereof may, notwithstanding that no notice has been served upon him under this section, make an objection as aforesaid to the Designated Court at any time on or before the specified date before an order is passed under sub-section (4) or sub-section (6). (4) The Designated Court shall if no cause is shown and no objections are made on or before the specified date, under sub-section (1), forthwith pass an order making the order of attachment absolute, and issue such direction as may be necessary for realisation of the assets attached and for the equitable distribution amongst the depositors of the money realised from and out of the property attached. (5) If cause is shown or any objection is made as aforesaid, the Designated Court shall proceed to investigate the same, and in so doing, as regards the examination of the parties and in all other respects, the Designated Court shall, subject to the provisions of this Act, follow the summary procedure as contemplated under the Code of Civil Procedure, 1908(5 of 1908) and exercise all the powers of a Court in hearing a suit under the said Code. Any person making an objection shall be required to adduce evidence to show that at the date of the attachment he had some interest in the property attached. (6) After investigation under sub-section (5), the Designated Court shall pass an order as early as possible preferably within one year of the reference of the case to it, either making the order of attachment passed under sub-section (2) of section 4 absolute, or varying it by releasing a portion of the property from attachment or canceling the order of attachment. (5) If cause is shown or any objection is made as aforesaid, the Designated Court shall proceed to investigate the same, and in so doing, as regards the examination of the parties and in all other respects, the Designated Court shall, subject to the provisions of this Act, follow the summary procedure as contemplated under the Code of Civil Procedure, 1908(5 of 1908) and exercise all the powers of a Court in hearing a suit under the said Code. Any person making an objection shall be required to adduce evidence to show that at the date of the attachment he had some interest in the property attached. (6) After investigation under sub-section (5), the Designated Court shall pass an order as early as possible preferably within one year of the reference of the case to it, either making the order of attachment passed under sub-section (2) of section 4 absolute, or varying it by releasing a portion of the property from attachment or canceling the order of attachment: Provided that the Designated Court shall not release from attachment any interest which it is satisfied that the financial establishment or the person referred to in sub-section (1) has in the property unless it is also satisfied that there will remain under attachment an amount or property of value not less than the value that is required for re-payment to the depositors of such financial establishment. (7) Where an application is made by any person duly authorized or constituted or specified by any other State Government or the Government of any Union territory under similar enactment empowering him to exercise control over any money or property or assets attached by that State Government or the Government of a Union territory, the Designated Court shall exercise all its powers, as if, such an application were made under this Act and pass appropriate order or direction on such application so as to give effect to the provisions of such enactment. 11. (1) Any Financial Establishment or person whose property has been or is about to be attached under this Act may, at any time, apply to the Special Court for permission to furnish interest bearing security in lieu of such attachment and if the Special Court is satisfied with the nature of the security and its value, it may accept such security and upon such acceptance of the security, release the property from attachment. (2) The Special Court may, on the application of the Competent Authority or of the person whose property has been attached, order such arrangement to be made for the management and control of the property as the Special Court may think best suited to the needs of the case. (3) The Special Court shall have the power to pass an order for the sale of the asset of a Financial Establishment which is attached under the provisions of this Act.

(1) Where the assets available for attachment of a financial establishment or other person referred to in section 4 are found to be less than the amount or value which such Financial Establishment is required to repay to the depositors and where the Designated Court is satisfied by affidavit or otherwise that there is reasonable cause for believing that the said financial establishment has transferred (whether after the commencement of this Act) any of the property otherwise than in good faith and for consideration, the Designated Court may, by notice, require any transferee of such property (whether or not he received the property directly from the said financial establishment) to appear on a date to be specified in the notice and show cause why so much of the transferee's property as is equivalent to the proper value of the property transferred should not be attached. (2) Where the said transferee does not appear and show cause on the specified date, or where after investigation in the manner provided in sub-section (5) of section 7, the Designated Court is satisfied that the transfer of the property to the said transferee was not in good faith and for consideration, the Designated Court shall order the attachment of so much of the said transferee's property as in the opinion of the Designated Court is equivalent to the proper value of the property transferred. 12. In the trial of any case under this Act, the Special Court shall follow the procedure as is prescribed in the Code of Criminal Procedure, 1973 (2 of 1974) for the trial of cases before a Court of Session and shall have all the powers of a Court of Session under the said Code.

Any financial establishment or person whose property has been or is about to be attached under this Act may, at any time, apply to the Designated Court for permission to give security in lieu of such attachment and where the security offered and given is, in the opinion of the Designated Court, satisfactory and sufficient, it may cancel the order of attachment or, as the case may be refrain from passing the order of attachment. 13. (1) The Government shall, by notification, appoint one or more advocates who have been in practice as an advocate for not less than ten years, as a Special Public Prosecutor for the purpose of conducting cases in the Special Court. (2) Any person acting under the direction of the Special Public Prosecutor appointed under sub-section (1) shall be deemed to be a Special Public Prosecutor provided that such person has been in practice as an advocate for at least five years.

The Designated Court may, on the application of any person interested in any property attached and vested in the Competent Authority under this Act, and after giving the Competent Authority an opportunity of being heard, make such orders as the Designated Court considers just and reasonable for (a) providing for such of the property attached and vested in the Competent Authority as the applicant claims an interest in such sums as may be reasonably necessary for the maintenance of the applicant and of his family, and for expenses connected with the defence of the applicant where criminal proceedings have been instituted against him in the Designated Court under section 3; (b) safeguarding so far as may be practicable the interest of any business affected by the attachment and in particular, the interest of any partners in such business; (c) liabilities accruing to a financial establishment or person emanating out of proceedings before a Designated Court, shall be discharged in the manner prescribed by the Government out of the attached properties and assets in respect of such financial establishments or person referred to in section 4. 14. The Special Court shall, for the purpose of realising the assets of the Financial Establishment, have the powers of a Civil Court.

15. (a) Any person, including the Competent Authority, aggrieved by any order of the Special Court may prefer an appeal to the High Court within thirty days from the date of the order. (b) The High Court may entertain the appeal after the expiry of the said period of thirty days if it is satisfied that the appellant was prevented by sufficient cause from preferring the appeal in time.

The Government shall, by notification, appoint an advocate of not less than ten years standing at the Bar, as a Special Public Prosecutor or Special Government pleader for the purpose of conducting the case in the Designated Court. 16. Any proceeding under this Act shall have precedence over any other proceeding pending before any Civil Court or any other Court in respect of any matter which is the subject matter of the proceeding under this Act.

(1) The Designated Court may take cognizance of the offence without the accused being committed to it for trial and, in trying the accused person, shall follow the procedure prescribed in the Code of Criminal Procedure, 1973 (2 of 1974) for the trial of sessions cases. (2) The provisions of the Code of Criminal Procedure, 1973 (2 of 1974) shall, so far as may be, apply to the proceedings before a Designated Court and for the purposes of the said provisions, a Designated court shall be deemed to be a Court of Magistrate. 17. Save as otherwise provided in this Act, the provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or any custom or usage or any instrument having effect by virtue of any such law.

Save as otherwise provided in this Act, the provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or any custom or usage or any instrument having effect by virtue of any such law. 18. No suit, prosecution or other legal proceeding shall lie against the Government or any officer of the Government for anything which is in good faith done or intended to be done under this Act or the rules made thereunder.

No suit or other proceedings shall lie against the Government or the Competent Authority or an officer or employee of the Government for anything, which is in good faith done or intended to be done under this Act. 19. (1) The Government may, by notification, make rules for carrying out the purposes of this Act. (2) Every rule made under this Act shall be laid, as soon as may be after it is made, before the Legislative Assembly of the National Capital Territory of Delhi.

The Government may by notification in official Gazette, direct that powers exercisable by it under the Act may also be exercised by such officer as may be mentioned therein subject to such conditions if any, as may be specified therein. 20. Any Financial Establishment, which makes any default in complying with any order passed under this Act, shall be punishable with imprisonment for a term which may extend to ten years and with fine which may extend to one lakh rupees.

(1) The Government may by Notification in the official Gazette make rules for carrying out all or any of the purposes of this Act. In particular and without prejudice to the generality of the following power, such rules may provide for all or any of the following matters, namely: (a) all matters expressly required or allowed by this Act to be prescribed; (b) the procedure for attachment of property on default of return of deposit and terms and conditions, if any, required for the purpose; (c) the procedure for assessment of assets and liabilities by the Competent Authority; (d) the procedure for reporting to the Designated Court by the Competent Authority; (e) the manner in which the liabilities accruing to a financial establishment or person emanating out of the proceedings before a Designated Court is to be discharged out of the attached properties and assets in respect of such financial establishments or persons; (f) the procedure for filing appeals by the Competent Authority if aggrieved by an order of the Designated Courts; (g) the maintenance of registers and books of accounts by the financial establishments covered under this Act, the safe custody of books, papers and documents in the office of the Competent Authority and also for destruction of such books, papers and documents no longer required; (h) the auditing of the Balance Sheets and Profit and Loss Accounts. (2) Every rule made by the Government under this Act shall be laid as soon as may be after it is made before the House of the Legislative Assembly while it is in session for a total period of thirty days which may be comprised in one session or in two or more sessions, and if, before the expiry of the session immediately following, the session or the sessions aforesaid, the Legislative Assembly agrees in making any modification in the rule or the Legislative Assembly agrees that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule. 21. (1) The Government may, by notification, empower any officer to conduct investigation of offences under this Act. (2) The officer empowered under sub-section (1) shall have the powers of an officer-in-charge of a police station under the Code of Criminal Procedure, 1973.

(1) If any difficulty arises in giving effect to the provisions of this Act, the Government may, by order published in the Gazette, do anything, not inconsistent with the provisions of this Act, which appears to it to be necessary to remove the difficulty; Provided that no such order shall be made after the expiry of the period of two years from the date of commencement of this Act. (2) Every order made under this section shall, as soon as may be after it is made, be laid before the House of the Legislative Assembly.

Estate, New Delhi-110002. No. F.14 (24/LA-2001/ ESO Dated the PP pasty, 2001. The following Act of Legislative Assembly of the National Capital Territory of Delhi received the assent of the Lieutenant Governor, Delhi on the 20" July, and is hereby published for general information ;- THE DELHI PROTECTION OF INTERESTS OF DEPOSITORS (IN FINANCIAL ESTABLISHMENTS) ACT, (Delhi Act No. of 2001). (As passed by the Legislative Assembly of the National Capital Territory of Delhi on the 3" April, 2001). AN ACT {0 protect the interest of depositors (in Financial Establishments) In the National Capital Territory of Dethi BE it enacted by the Legislative Assembly of the

Delhi in the Fifly Second Year of the Republic of India as follows: ~ 1. Short titleand (1) This Act may be called the Delhi Protection of Interests of commencement. Depositors (in Financial Establishments) Act,

1. (2) It shall come into force at once.

-- Any credit given by aseller to a buyer on the sale of any property (whether movable or-immovable) shall not be