HYDERABAD URBAN DEVELOPMENT AUTHORITY RECONSTITUTED AS HYDERABAD METROPOLITAN DEVELOPMENT AUTHORITY SECUNDERABAD AND ANOTHER Vs. IBC KNOWLEDGE PARK PVT. LTD REP BY ITS MANGING DIRECTOR YUNUS ZIA AND OTHER

JUDGEMENT

(1.) Whether, in the realm of private contracts, not involving statutory provisions, an auction purchaser who is declared successful bidder in a public auction conducted by the State through its instrumentality, for sale of land owned by it, but failed to pay the balance sale consideration in terms of the terms and conditions of agreement and provisional order of allotment, on the plea that litigation had ensued as to the title of the property, can maintain a writ petition under Article 226 of the Constitution of India for refund of the amount deposited with interest, is the question involved in this batch of appeals filed by the Hyderabad Metropolitan Development authority against the order of the learned single Judge directing refund of the amount deposited within three months. While W.A. Nos. 477, 478, 479, 480, 481, 482, 484, 485 and 954 of 2010 are directed against the common order passed in W.P. No. 18341 of 2009 and batch dated 22.4.2010, W.A. Nos. 650 and 808 of 2010 are directed against the order dated 14.6.2010 passed by the learned single Judge in W.P. Nos. 28553 and 28566 of 2009 respectively allowing the writ petitions in terms of the order passed in W.P. No. 18341 of 2009 and batch. Inasmuch as W.A. Nos. 477, 478, 479, 480, 481, 482, 650 and 808 of 2010 are filed by the Hyderabad Urban Development Authority (now reconstituted as Hyderabad Metropolitan Development Authority); W.A. Nos. 484, 485 and 954 of 2010 are filed by some of the auction purchasers in not granting interest by the learned single Judge on the amounts directed to be refunded.

(2.) Before we consider the issue, it is necessary to refer to few facts leading to the controversy:

(3.) It appears that the HMDA has also launched another project known as 'The Empire' for auction of four premium Plots of 25 acres each in Sy. Nos. 239 and 240 situated at Kokapet Village, Rajenderanagar Mandal and accordingly an advertisement was issued in Hindu on 7.12.2007 proposing to hold the auction on 20.12.2007. Rs. 12.00 crores was fixed as upset price and EMD at Rs. 7.00 crores. Pursuant to the same, the petitioner in W.P. No. 2776 of 2009 M/s Eden Buildcon Pvt. Ltd., New Delhi participated in the auction and became the highest bidder in respect of Plot No. 1 to the extent of Ac. 25.00 and accordingly confirmation-cum-provisional allotment letter dt. 12.1.2008 was issued.