SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2023 Supreme(Cal) 106

IN THE HIGH COURT AT CALCUTTA
Arijit Banerjee, Apurba Sinha Ray, JJ.
Pranab Kumar Bhattacharya & Anr. – Appellants
Versus
Steel Authority of India Limited & Ors. – Respondents
MAT 1038 of 2022
Decided On : 19-06-2023

Advocates:
Advocate Appeared:
For the Appellant : Mr. Ashit Kumar Chakraborty, Adv., Mr. Sunanda Mohan Ghosh, Adv.
For the Respondent: Mr. L.K. Gupta, Sr. Adv., Mr. Arjun Ray Mukherjee, Adv., Mr. Debapriya Mitra, Adv., Mr. Joyjeev Medhi, Adv.
For the UOI : Mr. Bhudeb Chatterjee, Adv.

Headnote:

West Bengal Cooperative Societies Act, 2006 - Section 92(3) - West Bengal Cooperative societies Rules, 2011 - Rules 117, 131(3)(a) and 138 - Whether parliamentary parochial local or otherwise which now are or shall at any time - Held, Grievance of breach of principles of natural justice it may have been proper for SAIL to afford an opportunity of hearing to representatives of concerned Housing Societies prior to taking a final decision to impose charges which are impugned in this proceedings - Court could direct SAIL to reconsider matter after giving an opportunity of hearing to representatives of housing societies - Same would be a futile formality - Appellants have also complained that SAIL has not taken into consideration the fact that the entire cost for development of the land in question has been borne by the members of the housing societies. This is not entirely correct. In the formula applied by SAIL in arriving at the amounts of charges on various accounts, SAIL has taken into consideration the development cost -Appellants also contended that in the deed of sub lease, there is no provision for imposing charges on the plot holders who wish to deal with their land. In our opinion that would not make any difference. It is a policy decision of SAIL to introduce charges for granting permission for transfer of the plots of land which are in the possession of the members of the housing societies- - Appeal Dismissed.

JUDGMENT :

Arijit Banerjee, J.

1. This appeal is directed against a judgment and order dated April 7, 2022, whereby a writ petition filed by 6 Cooperative Housing Societies (Kallol Cooperative Housing Society Limited & Ors. v. Steel Authority of India Limited & Ors.) was dismissed. The appellants were eo nominee not parties to the writ petition. They were members of the one of the writ petitioner housing societies. They have preferred the instant appeal with leave of the Court.

2. The brief facts of the case are that with a view to providing accommodation for employees/ex-employees of Steel Authority of India Limited (in short SAIL), who were employed at the Durgapur Steel Plan unit of SAIL, the State Government, at the instance of SAIL, acquired about 150 acres of un-developed land. The Government also issued ‘no objection’ to settle such land by executing leases in favour of the cooperative housing societies to be formed by the employees/ex-employees of SAIL at Durgapur.

3. A good number of housing societies were formed, having in all approximately 1876 members who are all employees /ex-employees of SAIL. In 1993 lease deeds were executed by SAIL in favour of the housing societies. Initially the grant was for 33 years, renewable for two similar periods of time.

4. Two of the relevant covenants of the lease deed that bound the lessee housing society are in sub-clauses 2 and 13 under clause 3 of the lease deed which read as follows:-

    “3(2).To pay all rates, taxes, charges including water and other service charges, duties, burdens, assessments, outgoings and impositions whatsoever whether parliamentary parochial local or otherwise which now are or shall at any time hereafter daring the said term be charged rated assessed or imposed upon or in respect of the land hereby demised or the said building/quarters and other erection that may be erected by the Lessee thereon or on the Lessor or the Lessee or the occupier in respect thereof respectively. 13.Not to use the land for any purpose other than that for which it has been demised and not to assign, transfer, mortgage or sublet or otherwise deal with or part with possession of or the lessee’s interest of and in the said land hereby demised or any part thereof or the said buildings to be erected thereon by the lessee as aforesaid and all other buildings and erections that may at any time be in or upon the said land or part thereof without previous consent in writing of the Lessor and in case of any such transfer or other dealings with the prior approval of the Lessor as aforesaid or in case of devolution of interest by operation of the law furnish the Lessor with a certified true copy of the relative document or other evidence in respect of such transaction or devolution as aforesaid within one month from the date thereof.”

5. In turn, the housing societies executed sub-leases in favour of their members. About 3 cottahs of land was allotted to each member by way of sub lease at and for “the prime cost of Rs. 1988.34/-” and payment of development costs by the sub-lease to the Sub-lessor (i.e.) by the concerned member to the concerned housing society. The sub leases were for a term of 32 years with effect from May 5, 1993. Some of the relevant clauses of a standard document of sub lease are noted below:-

    “The Sub-Lessee shall, within a period of one year from the date hereof or such further time as may be allowed in writing by the Lessor/Sub-lessor erect on the demised land buildings suitable for his/her residential purpose only with necessary erections and structures, drains, boundary walls and fences in accordance with plan, elevation and specifications which are to be approved of by the Lessor and in conformity with the provisions of any statute applicable thereto and the bye laws and regulations of the local authorities and to pay all fees and charges payable to such authorities in

            Click Here to Read the rest of this document
            1
            2
            3
            4
            5
            6
            7
            8
            9
            10
            11
            SupremeToday Portrait Ad
            supreme today icon
            logo-black

            An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

            Please visit our Training & Support
            Center or Contact Us for assistance

            qr

            Scan Me!

            India’s Legal research and Law Firm App, Download now!

            For Daily Legal Updates, Join us on :

            whatsapp-icon Back to top