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1991 Supreme(SC) 440

SUPREME COURT OF INDIA
S. RANGANATHAN, Ms. M. FATHIMA BEEVI AND N.D. OJHA, JJ.
H. C. Suman and another, Appellants

Versus

Rehabilitation Ministry Employees Co-operative House Building Society Ltd. New Delhi and others, Respondents.
Civil Appeal No. 3382 of 1991 (arising out of SLP (Civil) No.7846 of 1989)

Decided on 29-8-1991.
Advocates appeared
Mr. D. D. Thakur and Mr. V. C. Mahajan, Sr. Advocates, Mr. N. S. Das Bahl, Mr. D.N. Puri, Mr. Mukul Mudgal, Ms. A. Subhashini, Mr. K. Vasudev, Mr. S. Mathur, Applicant in person, Mr. Syed Ali Ahmad, Mr. Syed Tanweer Ahmed, Mr. S. Balakrishnan, Mr. M.K.D. Nambodiri, Mr. P. P. Tripathi and Ms. Sangita Garg, Advocates, with them, for the appearing parties.

Advocates:
A.Subhashini, D.D.THAKUR, D.N.PURI, K.VASUDEVA PILLAI, M.K.D.NAMBUDIRY, Mukul Mudgal, N.S.DAS BEHL, P.P.TRIPATHI, S.BALAKRISHNAN, S.MATHUR, SANGITA GARG, SYED ALI AHAMED, SYED TANWIR AHMAD, V.C.MAHAJAN

Headnote:

Co-operative Societies Act, 1972 - Section 12 - Employees of Rehabilitation - Special Leave - Eligible for membership - Order of cancellation - Appeal are that some land was proposed by Central Government to be allotted for resettlement of displaced persons. In October 1959 Rehabilitation Ministry Employees Co-operative House Building Society Ltd New Delhi respondent No. 1 was formed and incorporated - After completing necessary formalities an allotment of acres of land was made by Central Government in favor of Society which however, was subsequently cancelled on - Society challenged aforesaid order of cancellation before Delhi High Court in Writ petition which was allowed by a single Judge of that Court on - This judgment was challenged by Delhi Development Authority before High Court in Letters Patent Appeal which was dismissed by a Division Bench of High Court on January - Aggrieved by these orders Delhi Development Authority filed Special Leave Petition (Civil) of before this Court in which parties entered into a compromise inter alia providing that an area of acres of land in place of was to be allotted to Society and that membership of society was to be restricted to persons who were members as on – Held, It was held by High Court that if in pursuance of an earlier order passed by Government some person acquires a right enforceable in law said right cannot be taken away by a subsequent order under general power of rescindment available to Government under General Clauses Act and that said power of rescindment had to be determined in light of subject matter context and effect of relevant provisions of statute - View taken by High Court was upheld by this Court in report - Notification August would therefore be invalid on this ground also - In view of foregoing discussion civil appeal deserves to be dismissed - At this place court consider it proper to make a note that learned counsel for applicants in IA had attacked Notification August on two other grounds also - One was that said Notification was vitiated for breach of principles of natural justice it having taken away vested rights of applicants created by quasi-judicial order - Appeal dismissed.

JUDGMENT

OJHA, J.:—Special leave granted.

2. This civil appeal by special leave is directed against the order of the Delhi High Court dated 19th May, 1989 as clarified by order dated 24th May, 1989 in Writ Petition No. 2915 of 1988.

The facts in brief necessary for the decision of this appeal are that some land was proposed by the Central Government to be allotted for the resettlement of displaced persons. In October 1959 the Rehabilitation Ministry Employees Co-operative House Building Society Ltd., New Delhi, respondent No. 1 (hereinafter referred to as the Society) was formed and incorporated. After completing necessary formalities an allotment of 60 acres of land was made by the Central Government in favour of the Society which, however, was subsequently cancelled on 7th May, 1979. The Society challenged the aforesaid order of cancellation before the Delhi High Court in Writ - Petn. No. 654 of 1979 which was allowed by a single Judge of that Court on Ist September, 1980 (reported in AIR 1981 NOC 149 : ILR (1 980) 2 Delhi 1450). This judgment was challenged by the Delhi Development Authority before the High Court in Letters Patent Appeal No. 254 of 1980 which was dismissed by a Division Bench of the High Court on 5th January, 1981. Aggrieved by these orders the Delhi Development Authority filed Special Leave Petition (Civil) No. 3762 of 1981 before this Court in which the parties entered into a compromise inter alia providing that an area of 45 acres of land in place of 60 was to be allotted to the Society and that membership of the society was to be restricted to persons who were members as on Ist September, 1980 in accordance with the bye-laws of the Society as then prevailing. 1st September, 1980 was the date on which Writ Petn. No. 654 of 1979 giving rise to Special Leave Petition (Civil) No. 3762 of 1981 had been allowed by the High Court. In pursuance of the compromise learned counsel for the Delhi Development Authority prayed for and was granted leave on 6th May, 1982 to withdraw the said special leave petition. In consequence, the order of the High Court stood modified in the light of the compromise entered into between the parties.

3. The Society thereafter proceeded to make allotment of land to its members and draw of lots was held by the Society on 14th December, 1988. This draw of lots was challenged by the appellants before the Delhi High Court in Writ Petition No. 2915 of 1988 in which the orders appealed against were passed. In order to appreciate the nature of dispute which was raised in this writ petition with reference to the draw of lots it is necessary to advert to some more facts.

4. Appellants 1 and 2 even though employees of Rehabilitation Ministry stood posted in its subordinate offices outside Delhi. It appears that even though only such persons who were employed and posted in the Rehabilitation Ministry in Delhi itself were intended to be eligible for membership of the Society, appellants 1 and 2 were enrolled as members of the Society on 22nd November, 1972 and 11th January, 1974 respectively. Likewise, however, certain, other persons who were not employees of Rehabilitation Ministry but were employees of departments which were under the charge of the Minister/Minister of State of the Rehabilitation Ministry were also enrolled as its members by the Society.

5. With regard to such members who even though employees of the Rehabilitation Ministry were posted outside Delhi, the Union Cabinet in 1977, accepted a suggestion to enable Central Government employees serving outside Delhi to become members of co-operative housing societies in Delhi. In pursuance thereof the Lt. Governor of Delhi passed a consequential general order on 9th June, 1977 directing that the condition with regard to bona fide residents of Delhi will stand relaxed to the extent that in case the Government servant during the term of employment and with a view to settle in Delhi after retirement has become a member of a Co-operative House































































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