UNION OF INDIA Vs. S NARAIN SINGH

JUDGEMENT

(1.) This is an appeal by the Union of India against an appellate judgment and decree of the Senior Subordinate Judge affirming the decree of the trial Court granting a declaration and issuing an injunction against the Union of India. The plaintiff is a licensed vendor of country liquor in the Province of Delhi and in the Punjab and has been one for Several years.

(2.) By a document, Exhibit P. I, notice was given for the auction of a country liquor shop situate in Katra Barian for the year beginning from 1-4-1946, to 313- 1947. The public auction was to be held on 20-3-1946, and it was so held by the Collector. It is admitted that the conditions of auction were read out to the intending bidders at the time of the auction on 20-3-1946 and they are marked as Exhibit D. W. 1/1 and only two of the conditions are relevant to the dispute :

(3.) A bid was made by the plaintiff Narain Singh. It is admitted that it was announced at the time that half the fee will have to be paid. The final bid of Narain Singh was raised to Rs. 3,72,000/-and under the orders of the Collector he was asked to deposit Rs. 1,86,000/-. Reference at this stage may be made to another condition of the auction that all bids were to be subject to the sanction of the Chief Commissioner of Delhi Province and he had the authority to reject any bid without giving any reasons and to convey this in any manner he liked.