IN THE HIGH COURT OF KARNATAKA AT BENGALURU
PRASANNA B. VARALE, KRISHNA S. DIXIT, JJ.
M/s. Divyajyothi Vidya Kendra, Represented By Its President Sri. M. Muninarsimha - Appellant
Versus
Karnataka Housing Board, Rep Herein By Its Commissioner and Ors. - Respondents
Writ Appeal No. 873 Of 2023 (GM-RES)
Decided On : 10-10-2023
Karnataka Housing Board Act, 1962 - The allotment of sites and execution of sale deeds are done in terms of statutory policy. The court emphasized the public law elements of the allotment and sale deed, which are subject to judicial scrutiny under Articles 226 and 227 of the Constitution of India.
Fact of the Case:
The appellant challenged the cancellation of the allotment of a land for the establishment of an educational institution. The appellant failed to construct the school building within the stipulated period. The court found that the right to education of potential students had been violated. The court referred to constitutional imperatives and previous court decisions emphasizing the importance of education. The court held that the cancellation of the allotment was justified and directed the appellant to refund the remaining amount to the respondent.
Finding of the Court:
The court declined to interfere with the learned Single Judge's order and agreed with the reasoning. The court emphasized the public nature of the property and the importance of fulfilling the purpose of the allotment. The court also considered the financial difficulty raised by the appellant but found it legally untenable as a justification for non-compliance. The court rejected the appellant's claim that construction had begun and emphasized the need for compliance within the stipulated period. The court also noted the observations made by the learned Single Judge regarding the appellant's occupation of another property and other irregularities. The court held that retaining the allotment despite breach would be against public interest and set a bad precedent.
Ratio Decidendi: The court held that the cancellation of the allotment was justified due to the non-compliance with the stipulated conditions. The court emphasized the importance of fulfilling the purpose of the allotment, particularly when it relates to the educational needs of society. The court rejected the appellant's claim of financial difficulty as a justification for non-compliance. The court also considered the observations made by the learned Single Judge regarding the appellant's occupation of another property and other irregularities. The court held that leniency in matters of breach would be placing a premium on illegality and set a bad precedent.
Result: The appeal was rejected, and the respondent was directed to comply with the order concerning the determination of forfeiture and refund of the amount. The appellant was directed to deliver possession of the property to the respondent within four weeks. Compliance of the order should be reported to the Registrar-General of the Court within six weeks.
JUDGMENT :
This intra-Court appeal seeks to call in question a learned Single Judge’s order dated 04.07.2023 whereby appellant’s W.P.No.50859/2018 (GM-RES) challenging the cancellation of allotment of the subject land has been dismissed, with a direction to the respondent Karnataka Housing Board to pass orders determining the quantum of forfeiture and refund of remaining amount to the appellant within a period of four weeks.
2. Learned Senior Advocate argues that the allotment of subject civic amenity site was made vide letter dated 16.12.2003 and that the appellant has paid the allotment price of Rs.53,10,293/-along with interest of Rs.7,11,157/-; a conditional sale deed dated 20.10.2005 has been executed and registered by the Housing Board on 20.10.2005, subject to the condition that the allottee should construct the school building within a period of 5 years and that should he fail to do it, the allotment would stand rescinded. The counsel submits that because of “shortage of funds and unavailability of loans or credit”, the structure could not be constructed though BBMP had issued the khata. He also highlights his client’s application dated 09.01.2014 for the grant of BBMP Approval and Sanction of Building Plan. Lastly, he argued that the impugned order which ignores several relevant factors that resulted into the building having not been put up within the stipulated period, have remained unconsidered and therefore the impugned order is liable to be voided.
3. Having heard learned counsel for the appellant and having perused the appeal papers, we decline indulgence in the matter being broadly in agreement with the reasoning of the learned Single Judge. Admittedly, the subject property is a huge civic amenity site formed in the layout concerned. The allotment of the same was made to the appellant vide allotment letter dated 16.12.2003 followed by the sale deed dated 20.10.2005. The allotment was for the specified purpose of establishing an educational institution by constructing a building therein within a period of five years. That has not happened, admittedly.
4. There is no dispute that the subject property is a public property that was earmarked as a civic amenity which obviously includes establishment of school. Catering education to the masses is a constitutional imperative in terms of Article 21 and 21A as expansively interpreted by the Apex Court in a catena of decisions, beginning with UNNI KRISHNAN J.P. vs STATE OF A.P., (1993) 1 SCC 645 and reiterated as recently in JANHIT ABHIYAN vs UNION OF INDIA (EWS RESERVATION), (2023) 5 SCC 1. When the State is not in a position to cater to the educational needs on its own, it does it with the mediation of private agencies and that is how the civic amenity sites are earmarked for allotment to the intending caterers. This site has remained unutilized for a period of more than two decades that is, till date after it was allotted to the appellant. As a consequence, the right to education of those who would have studied, should the school or educational institution was established in this site in terms of stipulation of allotment, has been brutalized, to say the least. All such persons are the inarticulate stakeholders in the allotment and the execution of the purpose for which such allotment was made. Had the site in question been allotted to some worthy person, that would have served the public purpose for which it was earmarked.
5. It is pertinent to reproduce what Mahatma Jyotiba Phule, a great Social Reformer of yester century in his “Shetkaryaca Asud” (1881 publication) had profoundly said in Marathi:
efrfouk uhrh xsyhA
uhfrfouk xrh xsyhA
xfrfouk foRr xsysA
foRrkfouk 'kwnz [kpysA
brds vuFkZ ,dk vfo|sus dsys
Its near English translation is “Without education, wisdom was lost; without wisdom, morals were lost; without morals, development was lost; without development, wealth was lost; without wealth, misfortune was brought upon the mistreated and the downtrodde
The cancellation of the allotment of a public property is justified when there is non-compliance with the stipulated conditions, particularly when the purpose of the allotment relates to the educatio....
Civic amenity sites can be allotted for various purposes, including religious, unless specifically reserved otherwise by formal notification.
A person who has put up construction despite restrain order, cannot claim any equity.
What is required under Rule 7 of Rules 1991 is a comparative analysis to be made of each of applicants so as to determine who is best suited to receive a lease of civil amenity site and for what purp....
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