AMBICA DEVELOPERS Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) The petitioners have approached this Court against the order dated 17.3.2011 passed by the Vice Chairman and Managing Director, CIDCO revoking the permission granted to the petitioners for change of user of Plot No. 1 in Sector 1, Kharghar from commercial to commercial cum residential and directing restoration of the user of the plot for commercial purposes. The only question that arises is whether the respondents CIDCO is entitled to cancel the permission granted earlier for change of user of Plot no. 1 at Kharghar from commercial to commercial cum residential use after the CIDCO having granted such permission and the petitioners having acted on it.

(2.) Respondents CIDCO allotted plot no.1 to the petitioners for commercial use in pursuance of a tender in which the petitioners were the highest bidders. The petitioners were allotted plot after their bid of Rs. 40,00,00,000/- (Rupees Forty Crores) was accepted. The petitioners having obtained the allotment duly applied for and was granted a change of user of the plot from commercial use to commercial cum residential use by the respondents CIDCO on payment of necessary charges. The petitioners acted upon allotment and permission for change of user by making construction upto the plinth level and by entering into agreements to sell residential flats. The respondents CIDCO issued a stop work notice to the petitioners on 14.9.2010. CIDCO issued show cause notice and after considering reply filed by the petitioners cancelled the permission and directed restoration of the user for commercial purposes interalia on the ground that the permission granted earlier was illegal and CIDCO had no power to grant such permission. The said revocation order has been challenged by the petitioners.

(3.) Intending to develop the property, the petitioners on 20.11.2009 applied for plot of land held by CIDCO in pursuance of a tender for allotment of plots floated by CIDCO in respect of plots at Navi Mumbai. They invited sealed offers for acquisition of commercial plots on lease under the General Terms and Conditions prescribed for Disposal of Plots. The offerers were to make offer in the prescribed form. The said Terms and Conditions for commercial plots stipulated that the building shall be constructed for the business, Mercantile / Commercial use only. Clause 17 of the General Terms and Conditions inviting offers however clearly contemplated that any change in the use of the land shall not be made automatically but the intending lessee, if he so desires, may apply for the application to be modified and that the Corporation may at its sole discretion, apply the modification of such regulation on payment of development charges, additional premium and other charges as may be decided from time to time.