( 1 ) THIS writ petition highlights the various types of difficulties that have to be faced by the Delhi Development Authority (hereinafter called the DDA ) and allottees of houses in Delhi in the implementation of the former s Self Financing Schemes (hereinafter referred to as the SFS ) which have now caught on, not only in Delhi but also elsewhere in India, as perhaps one of the practical and effective solutions to meet the country s shortage of housing accommodation and to forestall speculation and racketeering by private agencies at the cost of the ordinary citizen. The controversy arises out of the first of such schemes inaugurated by the DDA in 1977.

( 2 ) THE DDA announced in the newspapers towards the end of August, 1977 (e. g. vide hindustan Times dt. the 28th Aug. 1977) the introduction by it of a new scheme under which it sought to enable people interested in having a flat in Delhi to "own your house". Para 2 of the announcement read :

"the Scheme which will be called self Financing Housing Registration Scheme (1977) seeks financial participation of the intending purchasers during the process of the construction of flats. This would help not only in increasing the housing activity in the capital but will also help in bringing about people s involvement in DDA s housing programme. "registration under the scheme was to commence on 15-9-1977 and close on 30-11-1977. The Self Financing Scheme :

( 3 ) UNDER the scheme, the DDA proposed to construct three categories of multi-storied flats, viz. , Categories I, II and III the broad accommodation available under each of which was indicated. Persons who registered under the Scheme had to pay a sum of Rs. 10,000. 00 on registration and the "payment of cost of flat" was to be made on instalment basis according to the following schedule:

(I) 25% (including the sum of Rs. 10,000) at the time of acceptance of the application for the scheme; (ii) Half-yearly payments after the acceptance of the application in relationto the time of such acceptance : (a) 20% at the end of six months. (b) 25% at the end of one year. (c) 20% at the end of one and half years. (iii) 10% when required to take over possession.

( 4 ) THE details of the scheme were elaborated in a pamphlet issued by the DDA soon afterwards. Para 1 of the pamphlet explained :

". . . . . . . . . . THE scheme has been formulated to obtain financial participation of the intending purchasers during the process of construction, so that the flats could be constructed with people s money over and above those now being constructed with the financial resources of DDA. "it proceeded to set out the scheme of instalment payment referred to above, the registration deposit of Rs. 10,000. 00 carrying interest from a specified point of time till adjustment against the first instalment of 25% or repayment. Para 9 of the pamphlet, which is important, read as follows :

"the estimated cost of flats on each floor would be announced whenever specified schemes have been prepared taking into consideration the location of each scheme, specifications and design of flats, cost of construction prevailing at the time of the execution of the scheme, fluctuations in other cost factors. " "it proceeded to enumerate several other terms and conditions with which we are not here concerned.

( 5 ) SAKET Housing Project: The first project under the above scheme was announced in the newspapers (vide Hindustan Times dt. 30th June, 1978) at Malviya Nagar (Saket) in South Delhi. Applications were invited till 31st Aug. 1978 from persons who had registered under the scheme "for allotment of flats, garages and servant quarters of Categories I, II and III in Blocks F, H, K and N in the above locality". It was proposed to construct 796 flats as per the details given below : (See table below) The allotment was to be decided on the basis. of lots if the number of applications exceeded the number of available flats. A certain number of car/scooter gara