Only one of the three properties of Abdul Karim Telgi -- the prime accused in the fake stamp-paper racket -- that were up for auction in Bangalore on Wednesday was sold.

S Palani, tax recovery officer, Central Range-I, said Mac Charles Pvt Ltd, a concern of Le Meridian Hotels, bought the Green Halgh building on Palace Road at a reserve price of Rs 1.43 crore.

Two other properties -- Azad Point, with a reserve price of Rs 2.71 crore and Corporation building number 100, with a reserve price of Rs 2.42 crore -- found no bidders.

The I-T department had decided to auction the properties to recover tax arrears of Rs 11.85 crore from 1996 to 2003 -- tax, fine and penalty -- due from Telgi.

Telgi has disputed it and claims he owes only Rs 2.36 crore.