Mohit Kumar Shah, J. – The present writ petition has been filed for directing the officials of the Bihar State Housing Board, Patna (hereinafter referred to as ‘Respondent-Board’), to execute the Conveyance Deed for final transfer of the Residential-cum- Commercial Plot No. RC-F/98 (Sector 4, Bahadurpur Housing Colony, Patna), in the joint name of the petitioners, after completing the legal formalities and payment of the registration charges.

2. The brief facts of the case are that the petitioners had purchased the prospectus on 9.5.2011, after paying its cost of Rs. 1,000/-, whereby the Respondent-Board had called for bids for purchase of 90 years lease rights, with regard to any one of the 88 residential-cum-commercial plots, situated in the major cities of Bihar, by way of auction. The petitioners had participated in the auction bid held on 6.7.2011 and were declared successful bidder qua the aforesaid plot in question and letter of confirmation dated 7.7.2011 was issued, wherein it was stated that the petitioners are entitled to allotment of Plot No. RC-F/98 (Sector-4, Bahadurpur Housing Colony, Patna) at an agreed bid amount of Rs.34,50,000/- and the schedule of payment was also mentioned therein. It is not in dispute that the petitioners had then paid the entire amount, mentioned in the letter of confirmation, within the stipulated time frame and then allotment letter dated 20.12.2011, was issued to the petitioners. It is the case of the petitioners, that the petitioners had then been requesting the officials of the Respondent-Board by writing various letters, from time to time, for executing the Conveyance/Lease Deed, however the officials of the Respondent-Board had failed to respond to the same and instead the Revenue Officer of the Respondent-Board vide letter dated 30.12.2021, had informed the petitioners that since they had not constructed the house on the plot in question, within time, a penalty to the tune of Rs.25,31,307/- has been levied hence, the same be deposited and the house be constructed within a period of one year.

3. The learned senior Counsel for the petitioners has submitted by referring to Clause 9 of the brochure annexed as Annexure-1, to the present petition that four copies of Conveyance Deed along with the copy of site plan is required to be supplied to the highest bidder, along with the demand letter, by the Respondent-board, to get the Conveyance Deed papers stamped, from the office of Collector of Stamps, whereupon the auction purchaser is required to submit Conveyance Deed within 60 days from the date of issue of the same from the Office of the Manager Estate, Bihar State Housing Board, Patna. Clause 9, further stipulates that possession of the plot will be handed over only after submission of the said documents in the Office of the Manager Estate, Bihar State Housing Board, Patna and in case execution of Conveyance Deed is not completed within a period of 2 months, on account of any lapse on part of the auction purchaser, action for cancellation of allotment of plot shall be taken.

4. The learned Senior Counsel for the petitioners has thus submitted that the officials of the Respondent-Board, despite reminders on several occasions by the petitioners had not supplied either the Conveyance Deed or the Lease Deed or the Site plan, resulting in non-execution of the Conveyance/Lease Deed, nonetheless the possession of the plot in question was handed over to the petitioners vide possession letter dated 29.12.2011. It is also submitted that since there was no lapse on the part of the petitioners, the Respondent-Board has not cancelled the allotment of plot till date. It is next contented that as per Clause 5 of the allotment letter dated 20.12.2011, the Lessee is required to start construction of building as per the approved plan within one year of the date of signing of the Lease Deed, however, in the present case, the Lease Deed is yet to be signed hence, no penalty could have been imposed for not