LAWS(DLH)-2008-7-117

JAG MOHAN SETH Vs. DELHI DEVELOPMENT AUTHORITY

Decided On July 04, 2008
JAG MOHAN SETH Appellant
V/S
DELHI DEVELOPMENT AUTHORITY Respondents

JUDGEMENT

(1.) A dispute as to the cost of a commercial flat booked by the petitioner under a "self Financing Scheme" floated by the respondent DDA has eventually culminated in an order of cancellation of the allotment. A challenge thrown to the cost of the flat, as determined by the respondent, was withdrawn by the petitioner from this Court with liberty to seek such other remedy as was open to him in law. A consumer complaint was then instituted during the pendency whereof, the DDA invited tenders for the flat in question. Aggrieved by the said tender notice, the petitioner has filed the present writ petition in which this Court has by an interim order stayed the sale of the flat to any third party. The consumer complaint filed by the petitioner has also been withdrawn in the meantime. The petitioner now argues that the flat ought to be handed over to him as he is ready to pay the revised cost demanded by the DDA. The short question that falls for consideration, therefore, is whether the order of cancellation of the allotment issued by the DDA ought to be quashed and the petitioner permitted to claim the flat in question on payment of the amount demanded by the DDA. Before we go to the merits of the contentions urged on either side, it is necessary to state the facts in some detail.

(2.) THE petitioner got himself registered under what was known as "self financing Scheme (Commercial Flats), 1984" and applied for the allotment of a category II Commercial Flat with an area of about 55 sq. mts. The estimated cost of the flat was said to be Rs. 3,25,611/ -. The flat was to be handed over by the DDA to the allottees by the year 1988. By a letter dated 10th February, 1998, the petitioner was informed by the respondent that Flat No. 5/f/208 on the second floor with an area of 57. 71 sq. mts. in Janak Puri District Centre had been allotted in his favour under the Self Financing Commercial Flats Scheme. This was followed by another letter dated 16th April, 1999 by which the cost of the flat was worked out at Rs. 26,19,630/- and the petitioner called upon to deposit the balance amount of Rs. 19,79,297/- within 30 days of the issuance of the letter. The said amount was, it appears, calculated after giving an adjustment to the petitioner of the amount paid by him towards the construction linked installment fixed by the DDA. It is common ground that the first of these installments represented 25% of the cost of the flat while each one of the subsequent four installments represented 15% of the said cost. The sixth and the final installment had, however, to be calculated on the basis of the area of the said flat after making adjustment of the amount already received. Letter dated 16th April, 1999, therefore, gave the said adjustment and raised a demand for the balance amount as indicated above.

(3.) AGGRIEVED by the demand aforementioned, the petitioner filed WP (C)No. 2969 of 1999. During the pendency of the said petition, the petitioner received a demand letter dated 10th February, 2000 whereby the price of the flat was reduced from Rs. 26,19,630/- to Rs. 15,55,458/- and the petitioner asked to deposit the balance amount of Rs. 8,55,578/- within 30 days from the date of the issue of the said demand letter. The writ petition was eventually disposed of by a single judge of this court along with 21 other connected matters by a judgment dated 16th January, 2004 holding that the same was not maintainable as the disputes between the parties fell in the realm of private law. Aggrieved by the said order of dismissal, the petitioner filed LPA No. 971 of 2004 which was dismissed as withdrawn on 5th August, 2005 with liberty to the petitioner to take appropriate steps for redressal of his grievance. By another letter dated 6th August, 2004, the respondent required the petitioner to make payment in terms of their revised letter of demand dated 10th February, 2000. The petitioner did not however accept the said demand letter and filed a complaint before the District Consumer Disputes Redressal Forum, Mehrauli. During the pendency of the said complaint, the respondent cancelled the allotment of the flat by an order dated 8th October, 2004 In June, 2006, the respondent issued a tender notice inviting bids for disposal of vacant flats including the one allotted to the petitioner. Aggrieved by the said notice, the petitioner has filed the present writ petition challenging the cancellation of his allotment and seeking a mandamus directing the respondent to issue an allotment letter upon payment by the petitioner of the amount of Rs. 15,55,458/- with nominal interest calculated from the date the revised demand was issued on 10th february, 2000.