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Delhi Development Authority Vs. Shashi Rani - Court Judgment

LegalCrystal Citation
SubjectCivil
CourtDelhi High Court
Decided On
Case NumberRegular Second Appeal No. 183 of 1973
Judge
Reported in1976RLR208
ActsDelhi Development Act, 1957 - Sections 22(3); Code of Civil Procedure (CPC), 1908 - Sections 9; Indian Contract Act, 1872 - Sections 5
AppellantDelhi Development Authority
RespondentShashi Rani
Advocates: Keshav Dayal,; R.K. Khanna,; Ram Pal,;
Excerpt:
.....of such deposit had amounted to revocation of the contract, irrespective of the fact if the same was withdrawn at the instance of the other party or independently - further, the person who had not sought the refund of earnest money could continue to be entitled to the benefits of the contractthe court adjudged that it was a legal right of the plaintiff-respondent to see that the appellant, delhi development authority acted according to the law under section 9 of the civil procedure code, 1908 - - (1) it is next submitted that the plaintiff respondent does not have legal right in the matter and the lower appellate court was clearly in error in holding that the matter had been concluded by a contract or that the plaintiff- respondent had acquired any right in the land. equity and good..........the party is bound to obey the same and even the administrative directions must be obeyed by the public authority. i hold that the plaintiff is legally entitled to maintain the suit and keep the appellant within the bounds of law. in fact the appellant had really determined to sell the land in dispute by public auction and it is only after the institution of the suit and even after the passing of the decree by the lower appellate court that the learned counsel for the appellant has rightly conceded that the appellant will not sell the plot of laud by public auction and will dispose it off in accordance with the scheme on the terms and conditions mentioned in ex. d-l/c. (3) there is one aspect of the matter which needs more comments. the learned counsel for the plaintiff respondent on.....
Judgment:

B.C. Misra, J.

(1) It is next submitted that the plaintiff respondent does not have legal right in the matter and the lower appellate court was clearly in error in holding that the matter had been concluded by a contract or that the plaintiff- respondent had acquired any right in the land. In my opinion the right that the plaintiff- respondent possesses is to see that qua her the appellant acts according to law and the statutory scheme framed under Section 22 of the Development Act and the appropriate rules and directions of the Lt. Governor. The respondent is feeling aggrieved by the non-allotment of the polt of land in dispute and she certainly has a right to see that the appellant performs its duties in her favor according to law. equity and good conscience. I have found that the appellant was legally wrong in trying to sell these plots of land by public auction and its counsel has conceded to set this wrong right. The appellant was also wrong in treating the waiting list closed without any valid reason or any legal authority. I have also found that the appellant was wrong in picking and choosing persons out of the waiting list according to its own private notions and it must act according to law as pointed out by me. All these duties the appellant is bound to perform, and it is, thereforee, the legal right of the plaintiff respondent to see that the appellant acts according to law qua her and qua the plot of land in dispute. In the suit the plaintiff respondent had claimed to be entitled to the allotment and I have found her legal rights on the basis of evidence on record and the admitted documents placed by the appellant Authority on the file.

(2) Mr. Kirpal has cited Sukhdev Singh V. Bhagatram Sardar Singh Baghuvanshi & others, 1975 (1) S.L.R. 605, and also Dr. Amarjit Singh V. The State of Punjab 1965 (1) S.L.R. 171, to support (he proposition that where a scheme is statutory, the party is bound to obey the same and even the administrative directions must be obeyed by the public authority. I hold that the plaintiff is legally entitled to maintain the suit and keep the appellant within the bounds of law. In fact the appellant had really determined to sell the land in dispute by public auction and it is only after the institution of the suit and even after the passing of the decree by the lower appellate court that the learned counsel for the appellant has rightly conceded that the appellant will not sell the plot of laud by public auction and will dispose it off in accordance with the scheme on the terms and conditions mentioned in Ex. D-l/C.

(3) There is one aspect of the matter which needs more comments. The learned counsel for the plaintiff respondent on 20th February, 1975 made a proposal without Prejudica to her rights and contentions that the plaintiff would be prepared to pay the current reserved price instead of the reserved price prevailing at the date of cause of action in respect of the plot of land in dispute or any other plot in the said scheme. The current price, I am told, is much higher than the price prevailing at the date of cause of action but the learned counsel for the appellant after taking considerable time to consider the matter, expressed inability of the appellant Authority to accept the same which has chosen to bear loss to its public funds rather than to allot the plot of land to the plaintiff-respondent, Mr. Kirpal, counsel for the plaintiff-respondent has suggested that the appellant and its officers are for some reasons interested in alloting the plot of land in dispute to the person at Seriall No. 28 in the waiting list and not to the plaintiff-respondent and that they have been feeling aggrieved and annoyed with the respondent who has filed the suit and drawn the appellant in litigation. Support for this suggestion of the respondent is found in the fact that the file and the original application of the plaintiff respondent is surprisingly not traceable while a letter of Seriall No. 28 has been filed which purported (to be written in April 1975 by B.R. Gupta in reply to letter dated 30th January, 1971) that Mr. R.N. Kakkar had directed allotment of some plot to Smt. Shashi Rani whose name was at Seriall No. 41, and 42 whereas his name was at Seriall No 28. The appellant has taken the trouble to file a copy of the said letter though never sent a reply to the said person that he had withdrawn his earnest money long ago and so was not entitled to be considered. It is in deed strange how this gentleman came to know of the decision of Mr. Kakkar in 1975 and he woke up 4-5 years later after he had enjoyed an interest on the earnest money refund of which he had obtained. It is, however, not necessary for me to comment on the suggestion of Mr. Kirpal and I am unable to say whether or not the same is correct hut it is certainly true that the respondent has succeeded in the suit to prove the illegality and infirmities of the appellant in trying to sell the plot of land in dispute (out of the ones reserved for allotment by draw of lots) by public auction contrary to the directions of the Lt. Governor and the statutory scheme ; and it has also been shown to be in error in closing the waiting list arbitrarily though proceeding to make allotment evea after the closure. This can afford a ground for annoyance to the appellant. Perhaps, the officers of the appellant Authority are not annoyed and it has been suffering from some misapprehension about the correct legal position and I hope and trust that after the sams has been cleared by this judgment the appellant Authority will act according to law and justice and fair play without prejudice, favor and ill-will.

(4) The lower appellate court has, after reversing the decree of the court of first instance, passed a decree directing the defendant-Authority to allot the plot in dispute to the plaintiff. In my opinion, the decree as such is not correct. The suit was not instituted for specific performance of the contract nor could the civil court direct the allotment of a plot to the plaintiff in a suit instituted for the grant of mandatory injunction without determining her eligibility. This decree will, thereforee, be suitably varied.

(5) As a result, in substitution of the decree of the lower appellate court, it is decreed that the appellant and its officers and servants are restrained from disposing of the plot of land in dispute (namely A-S4 meisuring 200 sq. yds falling in the Wazirpur Residential Scheme, Phase-1, Delhi) by public auction or in any other manner except by drawing of lots as laid down in the Scheme and they are further directed to allot the said plot of land to those applicants in the Seriall order in the waiting list whose offer and earnest money were still alive and subsisting with the appellant and further not to allot it to any of these persons who were not eligible or who had obtained the refund of their earnest money either of their own accord or at the instance of the appellant and whose earnest money was no longer available with the appellant as on the date of institution of the suit.


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