FAKHRUDDIN Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioner claims to be owner of plot Survey No.5-5-38 (Old No.1919) bearing CTS No.144/53 at Kranti Chowk Aurangabad within the municipal limits of Aurangabad Municipal Corporation. The plot admeasures approximately 2108 square meters. The petitioner contends that a lease of land of the subject plot was executed by him in favour of "ESSO Standard Eastern Inc.", a Corporation, which was operating in India and was dealing in business of petroleum products. The lease was executed on 1-12-1962 between the parties on rent of Rs.250/- per month. The company was running a petrol pump either itself or through some dealer. The lease agreement was to be in operative at the first instance specifically for a period of ten years. Under clause (d) of the agreement it was stipulated that on the written request of the lessee, the lessor would extend the period of lease for a further period of ten years from the expiry of the said term on the same rent. The petitioner stated that on 11-8-1972 the ESSO Company exercised its option and requested to continue the said lease. The lease was continued and by a communication dated 12 th May 1982 the petitioner renewed the lease for a further period of ten years. The Company thereafter again requested to extend the period for further ten years commencing from 12-5-1982 but the petitioner was not ready to continue the lease period. The petitioner sent notice under section 106 of the Transfer of Property Act read with section 80 of the Code of Civil Procedure to the respondent No.1 i.e. Union of India, the Ministry of Petroleum as well as to respondent 5 WP No.3555/1994 No.3 Company, namely, Hindustan Petroleum Corporation Limited (HPCL). The petitioner 's contention is that the request for extension of lease period by the respondent No. 3 through communication dated 12-5-1982 was illegal and the petitioner was terminating said tenancy as the petitioner himself intended to raise some construction on the said plot.

(2.) The petitioner states that the respondent No.3 informed that they had already requested for extension of further period from 1-10-1982. The company exercised its power under section 5(2) and 7(3) of the Esso (Acquisition of Undertakings in India) Act 1974. According to the petitioner, the respondent No.3 - HPCL was successor in title of the Esso company and as per the agreement of lease the respondent No.3 ought to have vacated the premises in the month of December, 1982. It is alleged that the respondent No.3 and its officers were interested in continuing the lease illegally and mala fide only to help respondent No.5 dealer who was running petrol pump on behalf of respondent No.3 - Corporation. The petitioner states that there was no other reason for respondent No.3 6 WP No.3555/1994 to request for continuation of lease than to favour the dealer. The original petitioner Fakruddin Haidar Ali died and his represented by his legal representative.

(3.) The petitioner further stated that he filed Regular Civil Suit No.587 of 1983 terminating the tenancy. By a judgment and order dated 19-8-1989 the Civil Court held that the lease was still subsisting and did not come to an end. The suit was dismissed. Being aggrieved by the said judgment and decree the petitioner preferred an appeal being Regular Civil Appeal No.244 of 1989 before the District Court Aurangabad. By a judgment and order dated 2-11-1991 the learned Additional District Judge allowed the appeal of the petitioner. The respondent No.3 being aggrieved by the said judgment and decree preferred Second Appeal No.134 of 1992. The petitioner contends that initially the stay was refused in the proceedings of the second appeal but in the Letters Patent Appeal Stamp No. 17574 of 1992 stay was granted in favour of the respondent No.3 - company. From the proceedings of LPA it is gathered that by an order dated 6-8-1993 the Division Bench of this Court (Coram: V.V. Kamat & A.A.Halbe, JJ.) 7 passed following order :