PHONIX PROPERTIES PRIVATE LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) This petition under: Article. 226 of the Constitution of India seeks a writ of certiorari to quash the impugned orders dated July 3, 1987. July 6, 1987 and July 10, 1987 cancelling the bids allotments of the petitioners of plots Nos. 80, 81, 82 and 158, Transport Centre, Rohtak Read, New Delhi and forfeiting the earnest money deposited by the petitioners at the time of auction of each plot.

(2.) The Delhi Development Authority (hereinafter referred to as the Authority) issued a public notice for auction of. com mercial plots for shops/offices, godowns, workshops, nursing home and cold storage. The terms and conditions of allotment by auction of perpetual lease-hold tights in the plots have been framed under the Delhi Development Authority (Disposal of Developed Nazul Land) Rules, 1981 (for short called the Rules) framed in exercise of the powers conferred by Clause (j.) of subsection 2) of Section 56 read with sub-section (3) of Section 22 of the Delhi Development Act, 1957 (for short called the Act).

(3.) The terms and conditions provide, inter alia, that the officer conducting the auction could normally accept, subject to confirment on by the Vice-Chairman, the highest bid offered at the fall of hammer at the auction, and the person whose bid has been, accepted is required to pay as earnest money a sum equivalent to 25 per cent of his/her bid eithci in cash or by bank draf' in favour of the Authority. When the bid is confirmed by the Vice-Chairman of the Authority the intending allottee is to be informed of such acceptance in writing and the intending allottee is required, within 90 days thereof, to pay to the Authority, the balance 75 per cent amount of the bid in cash, or by bank draft in favour of the Authority. Another condition is that the allottee may, with previous consent of the Authority in writing sell or transfer the floor space to be constructed on the plots meant for shops/offices only. The written consent can be granted on such terms and conditions and payment of charges as contained in the Brochure of terms and conditions of auction.