CHANNABASAVE GOWDA Vs. STATE OF MYSORE

JUDGEMENT

(1.) The appeal is by the first plaintiff against the judgment and decree in OS.No.3 of 1967 on the file of the Court of the Civil Judge, Tumkur, Respondent-1 to 3 are defendants-1 to 3 in the Court below. The 4th respondent is plaintiff No.3.

(2.) The Town Municipal Council of Turuvekere at its meeting held on 7-6-1962 resolved to sell a site within the Municipal limits for construction of a cinema theatre to one Mylaraiah at an upset price of Rs. 12,000. Plaintitt-1 and some members of the public represented to the Government that if the site had been sold in public auction it would have fetched a higher Price. On a consideration of that representation, the Government, by its order dated 6-10-1962 directed the Municipal Council to sell the site in question in public auction on the condition that plaintiff-1 should deposit a sum of Rs. 15,000 as his initial bid. Accordingly, plaintiff-1 deposited a sum of 15,000 as his initial bid. Thereupon, auction was held but no higher bids were offered. Therefore, the bid of plaintiff-1 for Rs. 15,000 was accepted and the sale in his favour was confirmed by the Govt. It was a term of the sale that the purchaser of the site should put up a cinema theatre on the site purchased within two years of the sale. The sale deed executed by the Municipality is dated 22-6-1963.

(3.) Plaintiff-1 submitted plans for construction of a cinema theatre, but the District Magistrate, Tumkur, rejected his application for grant of a "No- objection certificate" on the ground that the site was not suitable for construction of a cinema theatre. The District Magistrate, who is the competent authority to grant 'No Objection Certificate' found that the site was insufficient to comply with the requirements of the law governing the grant of 'No-objection Certificate' for construction of permanent cinema theatres. Thereupon, plaintiff-1 issued a notice that the sale is liable to be avoided as one of the terms of the sale deed could not be carried out. Thereafter, a suit was brought for cancellation of the sale deed dated 22-6-1963 and for a decree against the defendants to pay the plaintiffs a sum of Rs. 15,000 paid as the price for sale together with interest and certain incidential charges; in addition to the sum of Rs. 15,000 claimed in restitution, the plaintiffs claimed the value of the stamp-paper for the sale deed amounting to Rs. 825, registration charges of Rs. 80 and a further sum of Rs. 3,252 alleged to be the amount expended by the plaintiffs in connection with the preparation of plans for obtaining 'No-objection Certificate' and other incidental expenses. Defendant-1, the State, contended that it is not a necessary party to the suit. Defendant-2 and 3 were the contesting defendants.