Enquiry into transaction

(1) The competent authority may on receipt of an application under section 3, in the circumstances of the case deem whether the transaction of sale is of the nature specified in section 3 and that section 3 applies to such transaction, it shall after recording reasons to conduct an enquiry into such transaction in the manner as it may think fit provided. (2) The competent authority shall by a notice served on the parties to the transaction inform them to place all relevant facts and documents before it at the place and on the date and time specified in the notice. (3) The competent authority shall at the place and at the date and time specified in the notice after giving the parties an opportunity of being heard and after such enquiry as it may deem proper, decide whether the transaction of sale of movable property is of the nature described in section 3 and if it is satisfied that the sale was made under panic, it may pass an order declaring the transaction to be void.