Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

2012 (7) TMI 1035

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... place on 29.7.2011 and the petitioner made a bid of 62 crores which being the highest was accepted. According to the terms of the auction notice, 10% of the auction price was to be deposited at the fall of hammer, 15% within 30 days and 75% balance in five equated half yearly instalments. The letter of intent was to be issued to the successful bidder within seven days and letter of allotment within 90 days thereafter. The petitioner deposited a sum of ₹ 3.2 crores at the fall of hammer and another sum of ₹ 90 lakhs on 30.7.2011 but developed second thoughts regarding the availability of infrastructure and the feasibility of the project and thus requested the official respondents to refund the money deposited by him. The re .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... this Court in CWP No.23204 of 2010 titled as Manmohan Kumar Garg and another Vs. The Assistant Estate Officer, UT, Chandigarh and others decided on 2.7.2012. On due consideration of the matter, I am of the considered opinion that a constitutional Court while exercising its powers under Article 226/227 of the Constitution of India should not feel unusually fettered by the objections of the kind raised by the respondents. It is not necessary to throw a litigation into the throes of prolonged litigation if a matter can be adjudicated upon in the exercise of the powers of this Court under Article 226/227 of the Constitution of India. The Hon'ble Supreme Court in case titled as Century Spg. And Mfg. Co.Ltd. Vs. Ulhasnagar Municipal Cou .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... upreme Court has held as under:- It is trite that if an action on the part of the State is violative the equality clause contained in Article 14 of the Constitution of India, a writ petition would be maintainable even in the contractual field. A distinction indisputably must be made between a matter which is at the threshold of a contract and a breach of contract; whereas in the former the Court's scrutiny would be more intrusive, in the latter the Court may not ordinarily exercise its discretionary jurisdiction of judicial review, unless it is found to be violative of Art. 14 of the Constitution. While exercising contractual powers also, the Government bodies may be subjected to judicial review in order to prevent arbitrariness or .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... igarh case (supra) as affirmed by this Court in Babu Singh Bains v. Union of India(1996) 6 SCC 565 may have to be considered from another angle. 41. By reason of the auction held, the land in question has been sold in favour of the appellant. A letter of allotment has been issued in terms thereof. The appellant has been put in possession of the purchased property. In law he was entitled to raise constructions and in fact he has raised a six-storeyed building. He has paid a part of the first instalment and during pendency of the proceeding before the High Court has paid a substantial amount together with interest @ 12% p.a. as enhanced from time to time. 42. The respondents were entitled to interest on the unpaid amount @ .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... dministrator so as to achieve the object of the legislation or the purpose of the administrative order, as the case may be. Under the principle, the court will see that the legislature and the administrative authority maintain a proper balance between the adverse effects which the legislation or the administrative order may have on the rights, liberties or interests of persons keeping in mind the purpose which they were intended to serve . Therefore, we find that deemed forfeiture of the amount of earnest money deposited in terms of Rule 5(ii) for failure to deposit 75% of the consideration amount violates the doctrine of proportionality as well. Thus the words appearing in Rule 5 (v) and the payment made under sub-rule (ii) shall be .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates