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2013 Supreme(SC) 1417

SUPREME COURT OF INDIA
G.S. SINGHVI, ANIL R. DAVE, RANJANA PRAKASH DESAI, JJ.
SMITRA JAIN - Petitioner
VERSUS
HARYANA URBAN DEVELOPMENT AUTHORITY & ANR. – Respondent
Petition(s) for Special Leave to Appeal (Civil) No(s).14864/2013
Decided On : 29-04-2013

Advocates Appeared:
For the Petitioner: Mr. Neeraj Kumar Jain, Sr.Adv. Mr. Sanjay Singh, Adv. Mr. Pratham Kant, Adv. Mr. Ugra Shankar Prasad, Adv.

The main legal point established in the judgment is that persistent default in payment and failure to challenge previous orders can preclude a party from seeking relief through a writ petition.

Headnote:

HUDA - Booth Site Resumption - Haryana Urban Development Authority Act-1977, Section 17 - The court discussed the provisions of the Haryana Urban Development Authority Act-1977, particularly Section 17, which deals with the resumption of plots for non-payment of instalments. The court also referred to the Consumer Protection Act, 1986 and its applicability to the case.

Fact of the Case:

The petitioner participated in an auction for a commercial site and was allotted a booth site subject to payment of instalments. Despite possession being offered, the petitioner failed to pay the instalments, leading to the resumption of the site by the Estate Officer. The petitioner filed complaints and appeals under the Consumer Protection Act, 1986, challenging the resumption.

Finding of the Court:

The court found that the petitioner's failure to challenge the orders of the State Commission and the Estate Officer's actions precluded her from seeking relief through a writ petition. The court also upheld the legality of the resumption of the booth site due to the petitioner's persistent default in payment.

Issues: The issues revolved around the petitioner's non-payment of instalments, the applicability of the Consumer Protection Act, and the legality of the resumption of the booth site.

Ratio Decidendi: The court held that the petitioner's failure to challenge previous orders and persistent default in payment precluded her from seeking relief through a writ petition. The court also emphasized the petitioner's obligation to pay the instalments as per the terms of the contract.

Final Decision: The special leave petition was dismissed, affirming the legality of the resumption of the booth site and denying relief to the petitioner.

ORDER :

1. The petitioner is aggrieved by order dated 1.10.2012 of the Division Bench of the Punjab and Haryana High Court whereby the writ petition filed by her was dismissed and the resumption of Booth Site No.170, Sector 31-32A, Gurgaon was upheld.

In response to an advertisement issued by Administrator, Haryana Urban Development Authority (HUDA), Gurgaon, the petitioner participated in the auction conducted on 9.2.1996 for commercial sites in different sectors of Gurgaon. She gave highest bid of Rs.11,50,000/- for the Booth Site described hereinabove. Her bid was accepted by the competent authority and the site was allotted to her subject to the terms and conditions embodied in Memo dated 27.2.1996, paragraphs 2, 3, 4, 5, 6 and 8 of which are reproduced below:

    "2. Your bid for plot No. 170 in Sector 31-32A at Gurgaon has been accepted and the plot/building, as detailed below, has been allotted to you on freehold basis as per following terms and conditions and subject to the provisions of the Haryana Urban Development Authority Act-1977 (hereinafter referred to as the Act) and the rules/regulations applicable thereunder and as amended from time to time including terms and conditions as already announced at the time of auction and accepted by you.

    No. Sector urban area Name of No. Plot Appr. In Sq. mtrs. Area the plot Price of

    31-32A Gurgaon Booth site No. 170 Dimension as Notified at 2.75x8.25 2268 Rs.11,50,000/-

    3. The sum of Rs.11,50,000/- deposited by you of bid money at the time of bid will be adjusted against the said plot.

    4. You are requested to remit Rs. 1725000/- in order to make the 25% price of the said plot/building with in 30 days from the date of acceptance of your bid. The payment shall be made by a bank draft payable to the (Line missing) and drawn on any scheduled Bank at Gurgaon. In case of failure to deposit the said amount within the above specified period, the allotment shall be cancelled and the deposit of 10% bid money deposited at the time of bid shall stand forfeited to the Authority, against which you shall have no claim for damages.

    5. The balance amount i.e. Rs.862500/- of the above price of the plot can be paid in lump sum without interest within 60 days from the date of issue of allotment letter or in 10 half yearly. The first instalment will fall due after the expiry of six months of the date of issue of this letter. Each instalment would be recoverable together with interest on the balance price at 15% interest on the remaining amount. The interest, shall, however accrue from the date of offer of possession.

    6. The possession of the site will be offered to you on completion of the development works in the area

    8. In case the instalment is not paid by the 10th of month following the month in which it falls due the Estate Officer shall proceed to take action for imposition of penalty and resumption of plot in accordance with the provisions of section 17 of the said Act."

The possession of the site was offered to the petitioner on 29.7.1996. Notwithstanding this, the petitioner did not pay the instalments of price. The Estate Officer issued notices to the petitioner under Section 17(1), (2) and (3) of the Haryana Urban Development Authority Act, 1977 (for short, ’the 1977 Act’) and ultimately resumed the Booth Site vide order dated 16.1.2002 passed under Section 17(4) of the 1977 Act. He also forfeited 10% of the total cost and refunded the balance amount.

The appeal filed by the petitioner against the resumption of booth site was dismissed by Administrator, HUDA, Gurgaon. Thereafter, the petitioner filed complaint under Section 12 of the Consumer Protection Act, 1986 (for short, ’the 1986 Act’) with the prayer that the order of resumption may be set aside and the booth site may be restored to her. By order dated 21.7.2003, District Consumer Disputes Redressal Forum, Gurgaon allowed the complaint, set aside the order of resumption and directed the respondents to hand over possession of the booth site wit

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