RAJINDER SINGH Vs. CHAKRAVARTI MALHOTRA

JUDGEMENT

(1.) Two questions arise in this appeal for decision :

(2.) . The premises which are a part of the compensation pool constituted under section 14 of the Displaced Persons (Compensation & Rehabilitation) Act, 1954 are occupied by the petitioners (respondents herein) as also by the appellant before us. An auction sale of the premises was first held on 12-9-1966. In the proclamation of sale the premises were wrongly described as being situated in Faiz Ganj, while in fact they were situated in Faiz Road. On 11-9-1966 one Balbir Singh sent a telegram intending to have the auction sale postponed. Subsequently, Balbir Singh in his examination as an objector in the proceedings for setting aside the sale deposed that he could not locate the site of the premises by the description given in the sale proclamation and, therefore, was denied an opportunity to bid at the auction sale. Balbir Singh and three other persons applied for setting aside the sale. On 22-8-1967 Shri S.P. Sud, Assistant Settlement Commissioner held that the sale was vitiated by the wrong description of the property due to which the objectors had suffered "substantial injury" within the meaning of the proviso to Rule 92(3) of the Rules. No appeal was filed against this order which thus became final. On 7-9-1966, Civil Writ 743-D/1966 had been filed by the respondents against the Government praying that the property should not be auctioned but should be allotted to them as they were in occupation of the property and that the intended auction of the property should not be held on that ground. This writ petition was filed before the auction sale was held and naturally the question of the auction sale being liable to be set aside under Rule 92 did not arise in that writ petition. On 3-1-1969 after the auction sale was set aside by Shri Sud, the Government filed an affidavit in the said writ petition stating that the sale, holding of which was being objected to by the petitioners therein had been set aside and, therefore, the writ petition had become infructuous. On 16-3-1970 a learned Single Judge of this court dismissed that writ petition as being infructuous. The appellant herein, Rajinder Singh, had also filed an affidavit on 15-7-1968 in the said writ petition stating that the sale having been set aside the writ petition was without any cause of action. On 11-5-1970 the appellant, Rajinder Singh, made an application to the Minister complaining that the highest bid given by him in the auction held on 12-9-1966 had been accepted and the sale should be confirmed. On 4-6-1970 Shri Sud passed another order apparently after the proceedings were revived due to the complaint made to the Minister stating that the bid of the appellant, Rajinder Singh, was rejected in view of the finding given by Shri Sud on 22-8-1967. On 20-6-1970 an appeal by the appellant against the order of Shri Sud, dated 4-6-1970 to the Chief Settlement Commissioner under section 23 of the Displaced Persons (Compensation & Rehabilitation) Act, 1954 was filed. It was dismissed on 7-6-1971. On 17-11-1971 the Central Government acting under section 33 of the Act revised both the orders of Shri Sud, dated 22-8-1967 and 4-6-1970 holding that the objectors who had sought to set aside the auction sale had not suffered any substantial injury and, therefore, Shri Sud was wrong in setting aside the sale under the proviso to Rule 92(3) of the Rules. Writ petition No. 119 of 1972 was filed by the respondents herein on 3rd February, 1972 praying that the impugned order of the Central Government passed on 17-11-1971 confirming the sale in favour of the appellant, Rajinder Singh, be quashed.

(3.) . A learned single Judge of this court allowed the writ petition holding that the auction sale held on 12-9-1966 had been vitiated and substantial injury had been caused to the objectors in the sale proceedings within the meaning of the proviso to Rule 92(3). He also held that the respondents herein were entitled to file the writ petition challenging the impugned order of 17-11-1971.