GHANSHAM DASS SETH Vs. UNION OF INDIA

JUDGEMENT

(1.) . The petitioner No.2, who is the owner of plot No. 32, Lajpat Nagar, Part -I, New Delhi is aggrieved by the issuance of the letter dated 16.5.2002 by the respondent whereby she has, inter alia, been asked to make the payment of Rs.24,42,227.00 by way of penalty for belated construction from 1.7.1977 to 31.12.2003 within thirty days failing which her case for grant of `No Objection Certificate' in respect of the said premises would be closed. The case of the petitioner No.2 is that penalty for belated construction for the period 1.7.1977 to 31.12.2003 cannot at all be charged at least during the period within which the Urban Land (Ceiling & Regulation) Act, 1976 (hereinafter referred to as the said Act) was in operation. The petitioners' case is that under the said Act there was a prohibition on construction and, accordingly, the petitioner could not carry out any construction during that period and consequently no penalty could be imposed on the petitioner in respect of such period.

(2.) It is clear that the said Act came into operation in Delhi with effect from 17.12.1975 as indicated in Section 6 thereof. The said Act continued to apply and operate till its repeal on 22.3.1999 by virtue of the Urban Land (Ceiling & Regulation) Repeal Act, 1999. It is the petitioners' contention that during this period, i.e. 17.2.1975 to 22.3.1999 the petitioners could not contruct on the said plot in view of the prohibition under the said Act. If at all any penalty was to be charged it could be charged for the period subsequent to 22.3.1999.

(3.) The brief facts of the case are that the said plot No. 32 and adjoining plot No. 33 were subject matter of a Lease Deed dated 28.10.1959. The lessee sold plot No. 32 to the petitioner No.2. After purchase of the said plot the petitioner No.2 sought mutation of the property in her name. The property was inspected and it was found that despite there being a clause in the lease that construction would be carried out within twenty four months, no construction had been made thereon. Thus, by a notice dated 3.4.1975 the respondent (being the lessor) re-entered the premises, i.e. plot No. 32 and directed the lessee to hand over vacant possession of the same on 19.5.1975. The breaches were thereafter regularised on payment of penalty of Rs.5,854.00 upto 30.6.1974. The re-entry was, therefore, cancelled. The payemnt of the penalty amount as well as amount of ground rent and interest thereon was made on 10.6.1975.