MANIK CHAND SETHIA Vs. UNION OF INDIA

JUDGEMENT

(1.) BY this petition under Article 226 of the Constitution of India, the petitioner challenges an order dated August 30, 1994, passed by the Appropriate Authority, Lucknow, under Section 269UD of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), ordering the purchase of plot No. B-70, Sector 14, NOIDA, for a consideration of Rs. 14,57,149.

(2.) WE have heard Sri Ravi Kant, learned counsel for the petitioner, and Sri Shekhar Srivastava, learned standing counsel for respondents Nos. 1 and 2. No one appeared for the landlord (lessee), respondent No. 3.

(3.) THE appropriate authority has adopted a sale in respect of plot No. A-8, Sector 14, NOIDA, as an exemplar. That was a plot measuring 450 sq. mtrs. with a 2 1/2-storeyed building built thereon along with a basement and that was sold for a consideration of Rs. 44,00,000 by a sale deed dated February 28,1994. THE Valuation Officer of the Department had estimated the value of the building situate over that plot at Rs. 24,78,500 and that of the land at Rs. 19,21,500 and thus estimated the sale consideration of the land in that transaction at Rs. 4,057 per sq. mtr. To this, he added Rs. 101.43 for estimated appreciation in value on account of the time lag between February 28, 1994, and May 7, 1994, and Rs. 207.93 per sq. mtr. for the locational advantage inasmuch as the plot in question was open on two sides while the exemplar plot was open on one side only. Thus, according to the report of the Valuation Officer, the fair market value of the disputed plot of land was Rs. 4,370 per sq. mtr. while according to the sale consideration agreed between the parties, it was Rs. 3,667.69 per sq. mtr.