LAWS(P&H)-2014-10-206

ASHOK KUMAR Vs. UNION TERRITORY CHANDIGARH & OTHERS

Decided On October 01, 2014
ASHOK KUMAR Appellant
V/S
Union Territory Chandigarh And others Respondents

JUDGEMENT

(1.) The challenge in the present writ petition is to an order dated 12.06.1990 of cancellation of residential site No.3408, Sector 38-D, Chandigarh measuring 528.13 square yards

(2.) The petitioner was the highest bidder of the said plot in an option auction conducted on 12.03.1988. A letter of allotment was issued on 06.05.1988 after deposit of 25% of the premium amount. The balance 75% of the premium amount was payable in three equated annual installments. However, the petitioner defaulted in making the very first installment which led to issuance of show-cause notice dated 18.02.1990 under Rule 12(3) of the Chandigarh Lease Hold of Sites and Building Rules, 1973 (for short "the Rules"). Since the petitioner failed to deposit the amount in spite of the show cause notice issued, the Estate Officer passed an order of cancellation of lease and forfeiture of 10% of the premium of the site i.e. Rs.36,600/-.

(3.) In appeal, the order was set aside by the Chief Administrator on 10.07.1991 subject to the condition that the entire outstanding amount is paid by 30.09.1991 failing which the order of the Estate Officer shall become operative. It was also observed that if the full payment is made by the committed date, the amount of forfeiture and the penalty imposed shall be reduced to 2% and the penalty imposed on first installment shall stand waived off.