DINABANDU ANDREWS INSTITUTE OF TECHNOLOGY & MANAGEMENT Vs. KOLKATA METROPOLITAN DEVELOPMENT AUTHORITY AND OTHERS

JUDGEMENT

(1.) This writ petition on being moved resulted in record of submissions in order dated 19th June, 2018 as are reproduced below:

(2.) Mr. Bhattacharjee, learned senior advocate appears on behalf of petitioner and submits, it is a deemed sale. Provisions of Transfer of Property Act, 1882 would apply to the parties. He submits, the authority may at its option allow, in writing on sufficient and reasonable grounds, further time to start construction for setting up the Institute. On failure on the part of his client to start construction within time as extended or completed within three years from the date of issue of allotment letter on the plot of land, the licence can be terminated by the authority with deduction of 20% of premium as service charge. It cannot do anything else.

(3.) He refers to impugned demand dated 14th Janurary, 2010 which is a demand for penalty amount at the rate of current rate on value of the land, which, according to him, cannot be sustained as issued on the basis of either the licence or statutes. He relies on judgment of Supreme Court in Andhra Pradesh Industrial Infrastructure Corporation Limited and others v. S.N. Raj Kumar and another reported in AIR 2018 SC 1981, in particular to paragraph 16 which is set out below: