2008 Supreme(SC) 1300

2008(6) Supreme 308
SUPREME COURT OF INDIA
Tarun Chatterjee and Harjit Singh Bedi, JJ.
Manjul Srivastava — Appellant
versus
Govt. of U.P. & Ors. — Respondents
Civil Appeal No. 1758-1759 of 2002
Decided on : 29-08-08

Important Point
The amount of interest to be awarded for refund of any amount deposited by the candidate would depend upon the facts and circumstances of each case.

Headnote:Monopolies & Restrictive Trade Practices Act, 1969 – Unfair trade practices – Appellant applied for allotment of a residential plot in Govindpuram Housing Scheme pursuant to an advertisement of GDA –Issue of a Reservation Letter by GDA to appellant reserving plot Category – D in appellants name further requiring her to deposit entire balance amount of Rs. 62,240/- towards estimated cost – Inspite of deposit of entire balance amount with the GDA appellant not put in possession of any plot whatsoever – Application by appellant before Commission, alleging that cancellation of allotment by GDA was not only arbitrary but also unfair and illegal, and amounted to “unfair trade practice” under the Act. – Rejected by Commission – Appeals thereagainst – Held Commission was justified in rejecting claim of appellant – The plot in question was a category of plot (Category D) which was only reserved for appellant – Final allotment was to be made as regards specific plots only after lottery related to such allotment was made – No dispute that in draw of lottery, appellant was unsuccessful as her name did not figure in the same – Clause 9.10 of the Brochure of the GDA clearly stipulated that candidates who were not allotted any plot, would be entitled to get refund of entire amount deposited with GDA and also reserved amount with interest at the rate of 5%, if such amount was kept with the GDA for less than one year-Since appellant was not allotted any plot and only a plot was reserved subject to holding of a lottery for the specific plots for allotment, appellant not acquired any legal right to such plot, and only she was held entitled to get refund of her amount deposited with GDA – However since appellant deposited entire amount as directed by GDA in year 1989 and order of cancellation of reservation of a plot in favour of appellant was made after more than seven years – Hence held that respondent was liable to pay interest not at the rate of 5% but at the rate of 18%. (Paras 12 to 16)

       Facts of the Case :

       1.Appellant herein in the instant case applied for allotment of a residential plot in Govindpuram Housing Scheme pursuant to an advertisement of GDA. A Reservation Letter was issued by GDA to appellant reserving plot Category - D in appellants name further requiring her to deposit entire balance amount of Rs. 62,240/- towards estimated cost.Inspite of deposit of entire balance amount with the GDA appellant not put in possession of any plot whatsoever. An Application was filed by appellant before Commission, alleging that cancellation of allotment by GDA was not only arbitrary but also unfair and illegal, and amounted to “unfair trade practice” under the Act. Said application was rejected by Commission.

       2.Present appeals have been filed against said order of Commission.

       Findings of the Court :

       Held Commission was justified in rejecting claim of appellant. The plot in question was a category of plot (Category D) which was only reserved for appellant .Final allotment was to be made as regards specific plots only after lottery related to such allotment was made. No dispute that in draw of lottery, appellant was unsuccessful as her name did not figure in the same. Clause 9.10 of the Brochure of the GDA clearly stipulated that candidates who were not allotted any plot, would be entitled to get refund of entire amount deposited with GDA and also reserved amount with interest at the rate of 5%, if such amount was kept with the GDA for less than one year. Since appellant was not allotted any plot and only a plot was reserved subject to holding of a lottery for the specific plots for allotment, appellant not acquired any legal right to such plot, and only she was held entitled to get refund of her amount deposited with GDA. However since appellant deposited entire amount as directed by GDA in year 1989 and order of cancellation of reservation of a plot in favour of appellant was made after more than seven years .Hence held that respondent was liable to pay interest not at the rate of 5% but at the rate of 18%.

       Result : Appeals allowed in part.