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High Court Of Delhi
R.K.DEKA - Appellant
Versus
UNION OF INDIA - Respondent
L.P.A. 47 of 1984
Decided On : 07/10/1991
LETTERS PATENT APPEAL - SUBJECT - LAND AND DEVELOPMENT OFFICER - ACT SECTION LIST - URBAN LAND (CEILING AND REGULATION) ACT 1966 - SUMMARY - The Central Govt. announced a scheme in early 1978 for allotment of residential plots to non-resident Indians living abroad. The objective of the scheme was to facilitate the non-resident Indians living abroad to build residential houses in India and thereby satisfy their natural urge to own property in their own country. The scheme was introduced in Delhi on an experimental basis. Non-resident Indians living abroad, who did not own residential plots/houses/flats either in their own name or in the name of their family members, (as defined in the Urban Land (Ceiling and Regulation) Act 1966) were eligible to apply for allotment of plots under the scheme.
Fact of the Case:
The petitioners applied separately under the scheme and along with their application forms transmitted the amount of Rs. 10,000.00 in foreign exchange towards earnest money as required under the scheme. The proposed draft of lease agreement were also received by the Land and Development Officer from the various applicants along with their initials thereon. It is the case of the petitioners that after having made the applications, they made enquiries from the Land and Development Officer about the likely date of alltoment of the plots. On these enquiries they were informed that the development of the area had been taken up and the allotment of plots would follow soon.
Finding of the Court:
The learned single Judge was pleased to dismiss the writ petitions holding that the considerations which weighed with the Govt. in dropping the scheme were in public interest, viz. , inadvisability of frittering away scarce national resources in a non-priority scheme. The learned single Judge also noticed that there was a sharp increase in land prices and the cost of development for which it was considered inequitable to allot land at the rate of Rs. 200.00 per sq. yd. to non-resident Indians who are among the affluent sections of people. These reasons were considered by the learned single Judge to be germane and sound for the variation of the earlier executive decision of the announcement of the scheme.
Issues: Whether the doctrine of promissory estoppel can be invoked in the present case?
Ratio Decidendi: The doctrine of promissory estoppel is an equitable principle. It cannot be enforced where its enforcement results in inequity. In the present case comparative equities have to be seen. While considering equity in favour of petitioners, who are comparatively smaller in number and belong to an affluent class, the inequity visited upon the general section of the Indian Society consisted of poor people has to be seen. Impact of enforcement of the doctrine on public interest cannot be ignored. Equity, in the circumstances of the present case, demands that the Govt. decision of dropping the scheme which is solely based on public interest, be upheld. To hold otherwise would result in unnecessary drain on our otherwise already scarce resources.
Final Decision: The appeal fails and is hereby dismissed leaving the parties to bear their own respective costs.
( 1 ) THIS Letters Patent Appeal is directed against the judgment of a learned single Judge of this court dated 27th April, 1984 (reported in AIR 1984 Delhi 413 ). By the said judgment, writ petitions filed on behalf of the petitioners challenging the legality of the decision of the Government in dropping a scheme for allotment of land in Delhi to non-resident Indians, living abroad, were dismissed. The petitioners feeling aggrieved have filed the present appeal.
( 2 ) THE facts necessary for purposes of decision of the present appeal are that the Central Govt. announced a scheme in early 1978 for allotment of residential plots to non-resident Indians living arbroad. The objective of the scheme was to facilitate the nonresident Indians living abroad to build residential houses in India and thereby satisfy their natural urge to own property in their own country. The scheme was introduced in Delhi on an experimental basis. Non-resident Indians living abroad, who did not own residential plots/houses/flats either in their own name or in the name of their family members, (as defined in the Urban Land (Ceiling and Regulation) Act 1966) were eligible to apply for allotment of plots under the scheme. However, persons working for the Indian Foreign Services were not eligible to take benefit under this scheme. This was a scheme under the control of Land and Development Officer under the Ministry of Works and Housing Govt. of India. The brochure for the scheme stated that the land under this scheme was located at Badarpur Mehrauli Road, New Delhi. The objective of the scheme as stated in the brochure reads :
"this scheme is intended to facilitate non- resident Indians living abroad to build residential houses in India and thus to satisfy their natural urge to own property in their own country and to settle down therein whenever they wish to do so. As it is difficult, for such persons living abroad to acquire properties through Govt. auctions or private dealers, it has been decided to frame a scheme which will facilitate this. The scheme will, for the present, be introduced in Delhi on an experimental basis. "
( 3 ) THE mode of payment under the scheme was required to be as under:
"the price of the plot (the premium) and the cost of construction on the plot shall be payable in foreign exchange to be converted into Indian rupees specifically for this purpose by its sale through the Reserve Bank of India or its authorised dealers. The annual ground rent and the share of Government in the unearned increase in the value of land on its transfer shall be payable in Indian rupees. If, however, the leasehold rights of the lessee in the plot allotted are transferred or assigned to another non-resident Indian residing abroad, the share of the Govt. in the unearned increase for the value of land on such transfer or assignment shall be payable in foreign exchange in the manner prescribed above. "
( 4 ) THE Government had to develop the land and carve out the plots before allotment to the prospective allottees under the scheme.
( 5 ) ON the question of price of land and cost of construction, the brochure contained the following information:
"v. Price of Land and Cost of Construction. The entire price of land and the cost of construction is payable in foreign currency. The total permissible covered area for a plot of 400 sq. yds. (334,452 sq. metres) is 4050 sq ft. (376. 25 sq. metres) and the approximate total cost of construction Rs. 2,43,000 (estimated @ Rs. 60 per sq. ft. ). These rates are tentative and subject to variation depending on the rate prevailing at the time of construction, and the specifications adopted. It will be permissible for allottees to construct the house to any specifications that may be approved by the local body. The plots will be allotted on lease-hold basis at the reserve price of Rs. 200. 00 per sq. yd. (Rs. 239. 20 per sq. metre ). The price of the plot will be payable in lump sum within a period of 3 months from th
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