SUNEEL MEHRA Vs. STATE OF H.P.

JUDGEMENT

(1.) In this writ petition under, Articles 226/ 227 of the Constitution, the petitioner has challenged the validity of the order dated 8th January, 1993 of the Municipal Corporation, Shimla (In short the Corporation) whereby two shop Nos. 18 and 19 in Padam Dev Shopping Complex were allotted on lease in favour of M/s. V. K. Thapar Hosiery Mills (respondent No. 3).

(2.) The Corporation intended to construct a Shopping Complex known as Pt. Padam Dev Commercial Complex on the northern side of the Ridge at Shimla. According to the petitioner, the Corporation issued an advertisement during the year 1984 offering to allot shops in the said Complex at the rate of Rs. 20 per sq. ft. and invited those persons who were desirous to take these shops on rent on deposit of Rs. 45,000 as security. The said Shopping Complex was completed in 1992. The Corporation settled the matter by issuance of due publicity. On 6th December, 1991 and 7th December, 1991, an auction notice was published in two dailies, namely, The Tribune and Dainik Punjab Kesari newspapers The date of public auction was fixed for 21st December, 1991. In response to this auction, six shops including shop Nos. 18 and 19, the subject -matter of this petition, were allotted to the highest bidders. According to the petitioner, some of the shops which were still vacant were to be advertised and put to auction. Consequently, open bid was held and the remaining shops were allotted to the highest bidders in 1992.

(3.) The petitioner claims that on 6th January, 1993, he reliably learnt that two shops located in the first floor of the Complex were going to be vacated by the earlier allottee Dr. (Mrs.) Tara Kaundal and the Corporation was going to rent out the same to respondent No. 3 without advertising and inviting open offers from the interested persons. He claimed to have made two applications dated 6th January, 1993 (Annexure P -l and P -?) to the Commissioner and Mayor of the Corporation showing his willingness to take on lease shop Nos. 18 and 19 in the said Complex. Through these applications he offered to take the shops on lease at Rs. 31.25 per sq. ft. or 0.10 paise per sq. ft more than that offered by respondent No. 3. The petitioner alleged that he had been visiting the office of the Corporation to make enquiries in this regard but no satisfactory reply was ever given to him. He, therefore, on 13th January, 1993 again submitted applications (copies Annexures P -3 and P -4) to the Commissioner and Mayor reiterating his previous offer to pay 0.10 paise per sq. ft. over and above the offer of any body else. He also requested to be called for negotiations, if considered necessary. The petitioners version is that inspite of all this, the Corporation maintained complete silence on the matter and kept the entire affair as a guarded secret. On 16th January, 1993, the petitioner again went to meet the Mayor for the purpose of making necessary enquiries about the matter, but to his surprise it was disclosed to him by the Mayor that the shops in dispute had already been allotted to respondent No. 3 at Rs. 32 per sq. ft. The petitioner specifically enquired from the Mayor as to how all this had been done, since he had very clearly offered 0.10 paise over and above what had been offered by respondent No. 3, for which the Mayor had no reasonable explanation to offer.