INDO AMERICAN HYBRID SEEDS Vs. CHANDIGARH INDUSTRIAL AND TOURISM DEVELOPMENT CORPORATION CHANDIGARH ADMINISTRATION CHANDIGARH

JUDGEMENT

(1.) The petitioner, M/s. Indo-American Hybrid Seeds, an International Organization has filed the present petition prohibiting the respondents from cancelling the permission granted to the petitioner firm to organize an exhibition in the premises of Hotel Shivalik View, a unit of Chandigarh Industrial and Tourism Development Corporation, from 1st of December, 1994 to 4th of December, 1994.

(2.) According to the averments made in the petition, in the year, 1993 the petitioner firm had rented approximately 30,000 sq. ft. vacant space inside the premises of Hotel Shivalik View respondent No. 2 towards the southern side of its premises for organising and exhibiting called Horticultural Expo-93 from March 19 to March 21 on payment of Rs. 34,500/-. It was next pleaded that the petitioner firm planned to organize a similar exhibition but on a larger scale to consolidate the gains already made in the States of Punjab, Haryana and Union Territory, Chandigarh and other surrounding States. The petitioner firm approached respondent No. 2 vide letter dated 8th of Oct. 1994 copy whereof is Annexure P-2 on the record, wherein it was proposed to organize exhibition on the same site of respondent No. 2 for the period of Ist of Dec. to 4th of Dec. 1994 so that they could put their exhibits including green house from 20th Nov. 1994 onwards and dismantle the same upto 9th of Dec. 1994. Negotiations were held between the petitioner firm through its branch office with respondent No. 2 and it was agreed that a sum of Rs. 50,000.00 will be payable for the use of the site for an area of about 20,000 sq. ft. It was also agreed that necessary facilities like access to the site, electricity and water connections will be made as in the previous year. The area of 20,000 sq. ft. was also specified by the representative of respondent No. 2 on the site and it was agreed that Rs. 10,000.00 shall be paid as security and the agreed sum of Rs. 50,000.00 will be payable before 20th of Nov. 1994. It was next pleaded that copy of granting permission by respondent No. 4 on behalf of respondent No. 2 was handed by respondent the letter No. 4 to Shri Ravinder Kumar Branch Incharge of the petitioner on 16th of Nov. 1994 (Annex. P3). In the meanwhile the required sum of Rs. 10,000.00 had been paid by way of bank draft on 10th of Nov. 1994 and cheque for Rs. 50,000.00 dated 12-11-1994 was deposited with respondent No. 2 on 14th of Nov. 1994 and both these payments have since been collected by respondent No. 2. Certificate of confirmation about encashment of Rupees 50, 000/- by respondent No. 2 issued by Canara Bank is Annexute P4 on the record. It was also pleaded that the petitioner approached Chandigarh Administration in the Electricity Department for giving electric connection at the exhibition site to facilitate the installation of the equipment and fixures of the petitioner firm so as to be ready by 1st of Dec. 1994 and that necessary electric meter has been installed by the Electricity Department on the request of the petitioner on 19-11-1994 as per Annexure P6 and that organization of the exhibition involves:--

(3.) The petitioner firm has also incurred considerable expenditure for this purpose. Large quantity of materials of the petitioner firm, the various installations equipment and cooling equipment has already reached the site and is lying at Hotel Shivalik in the exhibition premises since 20th of Nov. 1994 where work for fixing of the various equipment has started. On 20th of Nov. 1994, respondent No. 4 personally visited the site and tried to stop the work of installation at the site. It was explained to him by the representative of the petitioner firm at site that in view of the commitment made by respondents and full payment having been made it is not proper to interfere with installation work that soon a letter dated 20-11-1994 was sent by respondent No. 4 for stopping the installation work. The petitioner firm immediately sent a reply explaining the position. It was also pleaded that if the respondents withdraw the permission to use the exhibition site, the petitioner firm would suffer immense immeasurable financial loss. Apprehending that the respondent Nos. 1 to 3 would send formal communication to the petitioner firm withdrawing the permission already granted to hold the exhibition, the petitioner firm has approached this Court mainly on the ground that withdrawal of permission is arbitrary and violative of the right of the petitioner firm under Arts. 14 and 19(1)(g) of the Constitution of India.