The following shall be the conditions of auction under these rules:-
(1) Tube-well land and the tube-well shall be put up for auction in one lot or in several lots and the Collector shall be competent to withdraw any lot or lots from auction without assigning any reason.
(2) The auction price shall be the reserve price fixed by the Government under rule 7 or the price offered at the auction, whichever is higher.
(3) No person shall be allowed to bid unless he:-
(a) Deposits an earnest money amounting to 5% of the total reserve price of each tube-well and the tube well land in cash. The earnest money shall be refunded on the spot; to the un-successful bidders at the conclusion of the auction,
(b) Signs an undertaking that the tube-well land and the tube-well shall be used for the purposes of agriculture only.
(4) No person shall at any auction, retract from his bid and if any dispute arises, the tube-well land and the tube-well shall be put up to auction again at the last undisputed bid.
(5) The highest acceptable offer shall be communicated to the Collector and the sale shall not be complete unless the offer is accepted by the Collector and the same is not rejected by the State Government under sub-rule (6).
(6) The State Government reserves the right to reject any offer within a period of one month from the date of acceptance of such offer by the Collector or to withdraw any tube-well land or tube well from auction at any time before the acceptance of the offer without assigning any reason.
(7) A sum equivalent to 25% of the auction price shall be deposited in cash by the bidder immediately at the conclusion of the bid, the other 25% of the purchase price shall be paid at the time of delivery' of possession of the tubewell land and the tube-well and the balance shall be paid or deposited in cash or be paid by demand draft on a Scheduled Bank having its branch in Rajasthan within one year from the date of the communication to him of the allotment by the Collector. If the payment is not made in this manner, interest @ 9% per annum will be chargeable on such amount as remains unpaid and in addition, the State Government shall have the power to forfeit the amount received up to that time and to resume the tube-well and the tube-well land without payment of any compensation.
(8) Should any highest acceptable bidder fail to deposit 25% of the purchase price immediately at the conclusion of the bid, the amount of earnest money deposited by him under sub-rule (3)(a) shall be forfeited to the State Government and the tube-well land will be re-auctioned and any deficiency of price which result on such re-auction shall be recoverable from the defaulting bidder.