LAWS(MAD)-2011-9-77

COMMISSIONER HR AND CE DEPARTMENT Vs. S MUTHUKRISHNAN

Decided On September 06, 2011
Commissioner Hr And Ce Department Appellant
V/S
S Muthukrishnan Respondents

JUDGEMENT

(1.) Both the writ appeals are directed against the order dated 19.4.2010 allowing the writ petition filed by the first respondent. The facts in these appeals have a history. An extent of 4.84 acres of land in S. Nos. 2750/1, 2750/2. 2751 in Block No. 75 ward No. 3 of Cuddalore O.T. belongs to Arulmigu Varadaraja Perumal Temple. Thirupathiripuliur, Cuddalore District. There was a proposal for sale of the property. One P. Arumugam submitted a proposal to purchase the property for a sum of Rs. 2,30,000/-. The said proposal was accepted and a sale deed was executed by the temple. One Thiru C.S. Dhandapani, challenged the said sale by filing an appeal before the Government under Section 34 (iv) of the H.R. & C.E. Act besides filing a writ petition in W.P. No. 6423 of 1987 to set aside the sale. In the course of the said writ petition, the said Arumugam offered a sum of Rs. 3,00,000/- for the property, which resulted in enhancing the offer by the said Arumugam to Rs. 3,05,000/- and accordingly, the writ petition was disposed. That order was questioned in writ appeal and the same was disposed of with a direction to the Government to decide the appeal filed by the said Dhandapani before the Government. That appeal was disposed of setting aside the sale, which again gave a cause to the said Arumugam to file another writ petition, which was remitted to the Government to decide the appeal afresh in the light of the observation made in the said order. That order in the writ petition was again questioned in W.A. No. 35 of 1995 and the same was disposed of by the Division Bench in judgment dated 22.3.1995 whereby, the order in the writ petition was set aside and a direction was issued for a sale of the property in public auction. Subsequently, public auction was conducted on 18.9.1995 and again, the said P. Arumugam submitted his bid for a sum of Rs. 6,09,000/-. As the said amount was far below the guide lines rate of Rs. 6,96,960/-, the auction sale was cancelled. Accordingly, another public auction was held on 1.10.2003 wherein one Padham Jalani became the highest bidder for a sum of Rs. 27,01.111/-. The said auction was again challenged by the said Arumugam and the writ petition came to be dismissed. As against that order, W.A. No. 3861 of 2003 was filed and that writ appeal was disposed of with a direction to the H.R.& C.E. Board to call for a fresh tender. Accordingly. fresh tenders were called on 31.12.2007. The first respondent submitted a bid for a sum of Rs. 5,01,16,000/-. As per the conditions of sale notice, apart from earnest money deposit of Rs. 10,00,000/-, he has also deposited 10% of the balance offered amount in a period of three days. As the confirmation was not made for quite number of days, and for that matter for number of months, the first respondent herein withdrew his bid on 19.9.2009. After the bid was withdrawn, his bid was confirmed by an order dated 27.9.2009. In terms of the sale notice conditions, he should have deposited the balance amount in a period of 30 days from 27.9.2009. On the ground that he has already withdrawn his bid, he did not deposit the balance amount. Be that as it may, the appellants herein also did not forfeit the amount deposited by the first respondent. Hence, the first respondent/successful bidder came before this Court challenging the order of confirmation, which was made after the withdrawal and consequently prayed for a direction to refund the earnest money deposit amount of Rs. 10,00,000/- and 10% of the balance amount i.e. Rs. 50,11,600/- with interest at 24% p.a.

(2.) The learned single Judge having considered the grievance, after accepting the same, directed the appellants herein to refund a sum of Rs. 60,11,600/- after adjusting a sum of Rs. 1,50,000/-, which was spent for conducting the auction. The said order is questioned by both the State as well as the H.R. & C.E. Department.

(3.) We have heard Mr. S. Kandasami, Special Government Pleader for the Temple and Mr. T. Chandrasekaran, learned Special Government Pleader for H.R. & C.E. Department.