HARIDWAR SINGH Vs. BAGUN SUMBRUI

JUDGEMENT

(1.) The appellant filed a writ petition before the High Court of Patna praying for quashing an order passed by the Minister of Forest. Government of Bihar, on December 13, 1970, and for issue of a writ in the nature of mandamus directing the respondents 1 to 5 to give effect to the previous order of the Minister of Forest dated November 27, 1970. The writ petition was heard by a Division Bench of the Court and the petition was dismissed. This appeal, by special leave, is from that judgment.

(2.) There is a bamboo coup known as "Bantha Bamboo coup" in Chatra North Division of Hazaribagh district. On July 22, 1970, the Forest Department of the Government of Bihar advertised for settlement of the right to exploit the coup by public auction. The auction was held in the office of the Divisional Forest Officer on August 7, 1970. Five persons including the appellant participated in the auction. Though the reserve price fixed in the tender notice was Rupees 95,000/-, the appellant's bid of Rupees 92,001/-, being the highest, was accepted by the Divisional Forest Officer. The petitioner thereafter deposited the security amount of Rs. 23,000/- and executed an agreement. The Divisional Forest Officer reported about the auction sale to the Conservator of Forests, Hazaribagh Circle, by his letter dated August 25, 1970. As the price for which the coup was provisionally settled exceeded Rs. 50,000/-, the Conservator of Forests forwarded the papers regarding the auction sale to the Deputy Secretary to Government of Bihar, Forest Department, for confirmation of the acceptance by the Government. Since the provisional settlement was made for an amount less than the reserve price, the matter was also referred to the Finance Department. The Finance Department invited comments from the Divisional Forest Officer as to why the settlement was made for a lesser amount. The Divisional Forest Officer, by his letter dated October 30, 1970, submitted his explanation for the provisional settlement at an amount below the reserve price. When the matter was pending before the Government, the appellant expressed his willingness to take the settlement at the reserve price of Rs. 95,000/-, by his communication dated October 26, 1970. The appellant thereafter filed an application on November 3, 1970, praying for settlement of the coup on the basis of the highest bid. The Minister of Forest, by his proceedings dated November 27, 1970, directed that the coup may be settled with the highest bidder, namely the appellant at the reserve price. A telegram was sent by the Government to the Conservator of Forests, Hazaribagh Circle on November 28 1970 with a copy of the same to the Conservator of Forest, Bihar, confirming the auction sale to the appellant at the reserve price of Rs. 95,000/-. As no intimation was received by the Divisional Forest Officer, he did not communicate the proceedings of the Minister to the appellant. One Md. Yadub, Respondent No. 6, filed a petition on December 4, 1970, before the Government of Bihar, Respondent No. 1, offering to take the settlement of the coup in question for Rs. 1,01,125/-. A telegram was sent by the Government on December 5, 1970, to the Divisional Forest Officer, directing him not to take any action on the basis of the telegram dated November 28, 1970, sent to him in pursuance of the proceedings of the Government dated November 27, 1970. That telegram was received by the Divisional Forest Officer on December 10, 1970 and the Divisional Forest Officer, by his letter dated December 10, 1970, informed the Government that the previous telegram dated November 28, 1970, was not received by him and so its content was not communicated to the appellant. The whole matter was thereafter placed before the Minister of Forest and the Minister by his proceedings dated December 13, 1970, cancelled the settlement of the coup with the appellant and settled the same with Respondent No. 6 for Rs. 1,01,125/-. The Government thereafter sent telegrams on December 21, 1970, to the Conservator of Forests and the Divisional Forest Officer, informing them that the coup had been settled with Respondent No. 6. The Divisional Forest Officer, by his letter dated December 23, 1970, directed Respondent No. 6 to deposit the security amount and to pay the first installment. Respondent No. 6 deposited the same and executed an agreement.

(3.) The contention of the appellant in the writ petition was that there was a concluded contract when the bid of the appellant was accepted by the Divisional Forest Officer though that was subject to confirmation by the Government and that when the Government confirmed the acceptance by its proceedings dated November 27, 1970, it was no longer within the power of Government to make the settlement of the coup upon the 6th Respondent by its proceedings dated December 13, 1970. It was also contended in the alternative that the settlement of the coup in favour of the 6th Respondent was in violation of statutory rules and, therefore, in any event, that settlement was invalid.