NALIN VIRJEE SHAH Vs. NARAYAN RAMCHANDRA MHATRE

JUDGEMENT

(1.) ADMIT The learned Counsel for the Respondents waive service. By consent taken up for hearing and final disposal.

(2.) IN these proceedings, an order dated 29th September, 2001, passed by the learned 2nd Joint Civil Judge, Senior Division, Thane, is sought to be impugned, In a suit for specific performance which was filed by the Appellant, the learned Trial Judge has rejected an application for the grant of an interim injunction. In these circumstances, the ad -interim injunction which had been granted on 29th March, 2001 came to be vacated. In the proceedings before this Court, the earlier ad -interim order of the learned Trial Judge was extended by an order dated 28th November, 2001 and has since continued to hold the field during the pendency of the appeal.

(3.) IN pursuance of a policy of the Government of Maharashtra, CIDCO started allotting lands under what is known as the Gaothan Extension Scheme to those whose lands were acquired for the purposes of the new town and, it is common ground that the extent of allotment is equivalent to 12.5% of the lands which were acquired. The First Respondent who is the Original First Defendant in the suit, was in anticipation of the allotment of 1500 sq. mtrs. of land by CIDCO. Two agreements were entered into, the first dated 2nd July, 2000 and the second of 11th October, 2000. The suit for specific performance, it must be noted, is in respect of the second of the aforesaid agreements. The first agreement dated 2nd July, 2000 was entered into between the Appellant as the proposed purchaser, First Respondent and Respondent Nos. 3, 4, 5 and 7. The agreement records that the vendors have been cultivating various agricultural lands of their ancestral ownership and agricultural lands in the ownership and possession of the family had been acquired by the State Government for the New Bombay Project. In pursuance of the scheme of the State Government, CIDCO had issued a letter dated 26th June, 2000 in pursuance of which the process of granting plots was complete and within a period of a few days, a lease agreement was to be made with CIDCO. The agreement recites that the land to be allotted by CIDCO, admeasuring 1550 mtrs. was agreed to be sold to the Appellant at a consideration of Rs. 85 lakhs. There is no dispute about the fact that in pursuance of the aforesaid agreement, an amount of Rs. 50,000/ - was initially paid by way of a cheque dated 2nd July, 2000 and an amount of Rs. 51.000/ - in cash. The agreement stipulated the manner in which the balance of the consideration would be liable to be paid. Clause 5 of the agreement recites that a separate agreement would be made within a period of 15 days from obtaining the possession of the plot from CIDCO and under Clause 8, it was recited that a Power of Attorney would be entered into so as to enable the Appellant to develop the property.