SANATHANA VADLA RAJANI Vs. UNION OF INDIA

JUDGEMENT

(1.) Heard learned counsel for petitioners, Sri M.S.Achyuth Bharathwaj, learned counsel for respondents 2 and 3 and Sri S. Lakshmikanth, learned counsel for respondent No.4.

(2.) The Army Welfare Housing Organization (AWHO) proposed to sell Ac.26.55 of land in Sy.Nos.149(C,D), 150(B2), 88, 150(B3), 150(B), 150(A) & 151 of Athivelli Village, Yellempet Mandal, Medchal District.

(3.) On 08.06.2018 an advertisement was published in the daily newspapers inviting proposals from individuals, firms, companies, Government Organizations for purchase of the said land. The last date prescribed to respond was 31.07.2018. The first petitioner herein, 4th respondent along with 17 others responded to the said advertisement offering to purchase the land mentioned above. The first petitioner offered to purchase the land at the rate of Rs.1.70 Crores per acre to the land abutting the highway and rest of the land @ Rs.1.50 Crores. 4th respondent offered uniformly @ Rs.2.60 Crores per acre. 19 bids were opened by the Board of Officers on 01.08.2018. One bid was found blank. On evaluation of 18 bids, representatives were called for a meeting. Out of 18 bids which were evaluated only 12 bidders have responded and attended the bid meeting. On consideration of the individual offers made the Board of Officers recommended the bid of 4th respondent for a total sum of Rs.68.90 Crores being the highest bid. The 4th respondent was intimated that he was the successful bidder. The Special Board of Governors in the meeting held on 11.09.2018 approved the recommendation of the Board of Officers. Accordingly, vide letter dated 18.09.2018, 4th respondent was informed about acceptance of his bid and asked to deposit 10% of the total amount offered by him as non-refundable earnest money by 03.10.2018. It appears, on a request made by 4th respondent, time to deposit earnest money was extended. So far, 4th respondent deposited Rs.17.025 crores including non-refundable advance. At this stage, first petitioner submitted a fresh offer saying that petitioner is willing to purchase land @ Rs.2.65 crores per acre. Petitioners challenge the action of 2nd respondent in not considering the offer/proposal given by the first petitioner to purchase the land @ Rs.2.65 crores per acre, even though the offer given by 4th respondent lapsed on failure to deposit the earnest money within the time granted as illegal, arbitrary and violative of principles of natural justice offending Article 14, 21 and 300-A of the Constitution of India.