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1986 (4) TMI 350 - SC - Indian Laws

Issues involved: The legality and validity of a Government Order permitting the sale of lands belonging to a religious endowment by private negotiations instead of public auction.

Background: The Government Order allowed the sale of lands belonging to a religious endowment to certain individuals at a specified price per acre, which was challenged by other parties willing to purchase the same lands at a higher price.

Compliance with statutory provisions: The judgment questioned whether the authority passing the order had considered the essential pre-conditions required by law, as there was no explicit mention of satisfaction in the interest of the institution or recording of reasons for deviating from the normal mode of sale by public auction.

Other facets of the case: Additional facts emerged, including the management of the endowment by a government official, ongoing litigation involving the lands, and the potential benefits of selling the lands at a higher price to generate income for the institution.

Court's directions: The Supreme Court directed that the lands be sold by public auction to ensure transparency and maximum participation, with specific conditions such as deposit requirements and minimum bid amounts. Emphasis was placed on protecting the interests of religious institutions and the need for vigilance in such matters to prevent any underhand deals or suspicions.

Conclusion: The appeal was allowed, the High Court's order was set aside, and new directions were issued for the sale of the lands through a public auction to safeguard the interests of the religious endowment.

 

 

 

 

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