URBAN IMPROVEMENT TRUST Vs. ORBIT ENTERPRISES

JUDGEMENT

(1.) Appellant-defendant-Urban Improvement Trust (hereafter referred as 'UIT') has preferred this second appeal under Sec. 100 CPC assailing the judgment and decree dtd. 5/1/2018 passed in Civil First Appeal No.78/2017 by the Court of District Judge, Kota affirming the judgment and decree dtd. 18/5/2017 passed in Civil Suit No.7/2014 by the Court of Additional Civil Judge No.1, Kota (South) wherein and whereunder the civil suit for declaration and permanent injunction filed by the respondent No.1-Plaintiff (hereafter referred as 'the plaintiff') was decreed.

(2.) In short the UIT had executed registered lease deed dtd. 2/3/2012 for the commercial plot measuring 1002.80 Sq. Mts. Situated near Petrol Pump, MPS Nagar, Station Road, Kota in favour of the plaintiff pursuant to the auction proceedings and possession had also been delivered whereupon the plaintiff had obtained loan from the Rajasthan Financial Corporation (RFC) after obtaining NOC from the UIT, however later on, the UIT canceled the lease deed vide order dtd. 26/12/2013. Hence, the plaintiff instituted civil suit to declare the order dtd. 26/12/2013 passed by the UIT canceling the registered lease deed of plaintiff dtd. 2/3/2012 as null and void and consequential relief for permanent injunction not to cause interference in use and occupation of the commercial plot in question. The plaintiff's suit has been decreed, however, the UIT is assailing the judgments and decree for upholding the cancellation of lease deed on the ground that the plaintiff participated in the auction proceedings in the name of partnership firm Orbit Enterprises, whereas the lease deed has been got executed in favour of M/s Orbit Enterprises & Developers Pvt. Ltd., a private limited company, hence the lease deed suffers from misstatement and misrepresentation. As such the UIT has rightly canceled the lease deed invoking the provisions of Sec. 11 ( -) of the registered lease deed dtd. 2/3/2012.

(3.) The facts of case which are required to be considered to decide the issue involved in the second appeal, succinctly stated, are as under:-