MYSORE URBAN DEVELOPMENT AUTHORITY, MYSORE BY ITS COMMISSIONER Vs. STATE OF KARNATAKA REP BY ITS URDER SECRETARY URBAN DEVELOPMENT DEPT VIKAS SOUDHA, BANGALORE

JUDGEMENT

(1.) These appeals arise out of a common order dated 03/08/2010. passed by the learned Single Judge in various writ petitions filed by the allottees of sites in different layouts by Mysore Urban Development Authority (hereinafter, referred to as "MUDA", for the sake of brevity). MUDA has filed certain appeals being aggrieved by the direction of the learned Single Judge to execute the sale deeds in favour of the petitioners (allottees), within a period of two months, on satisfaction of the receipt of the entire allotment consideration, with interest at 18% for the first 90 days and thereafter, 20% till the date of payment, or the price fetched in the auction of a comparable site, whichever is higher and also by the fact that the learned Single Judge has proceeded to issue the aforesaid directions on the premise that Rule 19 of the Karnataka Urban Development Authority (Allotment of Sites) Rules, 1991 (hereinafter, referred to as the "Allotment Rules, 1991", for the sake of brevity), has fallen into desuetude or become inoperative, by lapse of time.

(2.) The allottees have also filed writ appeals being aggrieved by the aforementioned direction issued by the learned Single Judge, directing MUDA to accept the price fetched in the auction of a comparable site if the said price is higher than the allotment price and the interest thereon.

(3.) The brief facts of the case are that the petitioners applied to MUDA for allotment of sites situated in various layouts in Mysore city. They had paid the initial deposit but had committed default in payment of balance sital amount towards the allotment of sites. When they did not comply with demand notice issued by MUDA, the allotments were cancelled. It appears that the petitioners had sought for extension of time for making the balance payment but the same were turned down by MUDA. Therefore the petitioners assailed the cancellation of allotment and sought for re-allotment of the very same sites on acceptance of the balance consideration. It also transpires that the State Government had issued a letter dated 26/08/2005 (Annexure "H" to the writ petition), directing MUDA to receive from the allottees the belated payments by imposing a higher rate of interest or the price fetched in an auction whichever is higher on humanitarian basis. Accordingly, letter dated 04/03/2008 was issued by the State Government to MUDA to execute sale deeds in favour of 95 allottees who had paid sale consideration belatedly along with interest as a one-time measure. The contention of the petitioners before the learned single judge was that when 95 allottees were shown a concession of making belated payments along with interests and seeking re-allotment of the sites initially allotted in their names, the same should have been followed in so far as the petitioners are concerned, since Rule 19 of the said Rules had not been followed by the State Government in so far as 175 cases were concerned out of whom in respect of 95 allottees, the sites had been re-allotted.