KABERI BANERJEE Vs. ORISSA STATE HOUSING BOARD

JUDGEMENT

(1.) The petitioners had applied for allotment of house to be constructed by Orissa State Housing Board. As per the Brochure it had been agreed that payment shall be made by way of instalment. Initially, a tentative price was fixed at Rs. 1,99,900/-. Subsequently, the price was increased to Rs. 2,73,370/-. The petitioners have challenged such enhancement in this writ application.

(2.) During the peridency of the writ application, the opposite, parties had reduced the price to Rs; 2,52,000/. The learned counsel appearing for the petitioners submitted that the opposite parties Have arbitrarily increased the price without any rhyme and reasqn. He has relied upon the decision reported in (1995)3 S. C. C.I (Indore Development Authority v. Sadhana Agarwal (Smt.) and ethers), wherein it has been indicated that though there may be escalation, the authority dbes not have' jurisdiction to increase the price arbitrarily. In this connection, the learned counsel for the petitioners submitted that the opposite ; parties are charging Rs. 1,96,000/- for houses under the self- financing scheme and Rs. 2,34,000/- from persons who are purchas ing 6n the basis of downright payment. Therefore, there is no justification to charge Rs. 2,52,000/- from the petitioners. It is also contended that the petitioners are also required to pay further interest.

(3.) Learned counsel for the opposite parties submitted that the amount intimated to the petitioners includes amount payable towards interest because of the deferred payment and the question of payment of further interest would arise only when there is non-payment of an instalment.