BIHAR STATE HOUSING BOARD Vs. KAMLA KANT SHARAN

JUDGEMENT

(1.) This Revision petition has been preferred against the order dated 24.8.1996 passed by the Sub Judge, I, Ranchi in Misc. Case No. 29 of 1995 by which the application filed by the Opposite party under Section 5 and 8 (2) of the Arbitration Act has been allowed and by revoking the authority of the appointed Arbitrator, fresh Arbitrator who happens to be the retired Judge of the Hon'ble High Court, Patna has been appointed as an Arbitrator.

(2.) The facts of the case are almost admitted. The Opposite party, Mr. Kamla Kant Sharan had applied for allotment of one M.I.G. B type house at the Harmu Housing Colony, PS-Argora on 19.4.1975. Originally first application was for L.I.G. type but considering his Income Group, he was allotted MIG-B-type house. As required an earnest money of Rs. 1500/- was deposited alongwith the application with the Board but later on, on enhancement being made by the Board the amount of earnest money to Rs. 5000/- instead of Rs. 1500/-, balance amount of Rs. 3500/- was deposited by the Opposite party.

(3.) According to the Opposite party, the Board as per Policy was to give interest at the rate of 4% per annum after 12 months of deposit of the earnest money, if the house is not allotted within 12 months till the date of allotment order of the house.