ORDER

Leave granted.

2. This appeal by special leave arises from the order of the High Court of Punjab and Haryana in Writ Petition No. 2677/93, dated November 4, 1993. The admitted facts are that the site bearing No. 187-B, Industrial area, Chandigarh was alloted to M/s. Johnson Paints & Varnish Co. for industrial use. The allottee was Kulraj Singh Paul, S/o Sardar Gurbax Singh. The allotment came to be made in the year 1965 at a concessional rate of Rs.10/- per sq. yd. Default was committed in payment of the instalments. Consequently, the site was resumed on April 26, 1967. On payment with penal amounts prescribed under the Rules the property was handed over again to the respondent. Thereafter, since it was not constructed, the property was again resumed in the year 1981. The respondent filed the writ petition, which was dismissed. LPA was also dismissed and when the SLP was filed, this Court confirmed the order of dismissal. Thus the entitlement to the allotment became final and the controversy became quiteous.

3. Subsequently, the respondent filed an application under Rule 11-D of the Chandigarh (Sale of Sites and Building) Rules 1960 (For short, the Rules ). Rule 11-D(i) envisages that where a site has been resumed under Section 8-A of Act 27 of 1952 for any reason, the Estate Officer may, on an application, retransfer the site to the out-going transferee on payment of an amount equal to 10 per cent of the premium originally payable for such property or 1/3rd of the difference between the price originally paid and its value at the time when the application for retransfer is made, whichever is more. The other clauses are not relevant for the purpose of this case including the proviso which bears relevance provided sub-clause (1) of Rule 11-D is satisfied. Hence they are omitted. The Estate Officer had refused to make retransfer of allotment and the petition was rejected. Consequently, the respondent filed a writ petition in the High Court which was allowed directing the appellant to allot the site to the respondent. Thus this appeal by special leave.

4. Shri Arun Jaitley, learned senior counsel appearing for the appellant, contended that it would appear from the circumstances in this case that the respondent Kulraj Singh Paul is only acting for the benefit of Tejpal Singh Brar, Narindra Brar r/o 5997, Sector 18, Chandigarh. Therefore, the respondent is not a transferee. The Estate Officer is not obliged to order retransfer to the allottee Kulraj Singh Paul. In support thereof, he read out the recitals in the general power of attorney, the conditions of allotment and also the recitals in the Will purported to have been executed by Kulraj Singh Paul in favour of the aforesaid three individuals. Shri M.L. Verma, learned senior counsel appearing for the respondent contended that the condition precedent for rejection of the claim is that the third party right is created by Kulraj Singh Paul in favour of third parties. There is no evidence to establish that any third party rights have been effected by Kulraj Singh Paul. The original order of rejection does not contain any reasons. The High Court has given valid reasons in directing reallotment under Rule 11-D of the Rules. Therefore, it is not a case warranting interference.

5. The only question is: whether the High Court was justified in directing reallotment of the industrial site to the respondent? After looking into the facts and circumstances and the material before us, we are of the considered view that the High Court was not justified in giving the direction. It would appear that Kulraj Singh Paul is not acting for himself as a transferee. He appears to be acting for and on behalf of S/Shri Tej Paul Brar, Narinder Brar and Gurinder Brar, ss/o Shri Gursewak Singh Brar. It is an admitted fact that Kulraj Singh Paul is now staying with Gurusewak Singh Brar. If he really is staying as such, there is no need for him to mention in his rejoinder affidavit f