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2023 Supreme(Del) 2934

IN THE HIGH COURT OF DELHI AT NEW DELHI
Prathiba M. Singh, J.
Narender Hooda & Ors. – Appellants
Versus
Competent Authority & Ors. – Respondents
W.P.(C) 3295 of 2020 with W.P.(C) 6724 of 2022 and CM APPL. 20416 of 2022, 41848 of 2022
Decided On : 14-02-2023

Advocates appeared:
Mr. Sunil Gupta, Senior Advocate with Mr. Shaurya Lamha, Advocate along with P-1 present in person, for the Petitioner.
Mr. Bhagwan Swarup Shukla, CGSC with Mr. Vikrant and Mr. Srawan, Advocates, for the UOI.
Mr. Shailen Bhatia, Ms. Neelam Pathak and Ms. Nandini Agarwal, Advocates, for the Respondent.
Ms. Puja Kalra, Advocate, for R-2/NDMC.
Mr. Manish K. Bishnoi, Mr. Nirmal Prasad and Ms. Pallavi Singh, Advocates, for R-5.
Mr. R. Krishnaa Morthi Advocate, for R-5.
Mr. Advitiye Tiwari, Advocate, for R-6.
Mr. Tuhin, Advocate, for R-7.
Mr. Hitesh Kumar Singh, Advocate, for R-8.
Mr. Annirudh Sharma, Administrator, Mr. Karan Bhardwaj, ASC., Ms. Sanjana Nangia, Advocate, for Mr. Sameer Vashisht, ASC, CIVIL, GNCTD.
Mr Jayesh K Unnikrishnan, Advocate, Mr. Subash Chandra Bose Gurram, Senior Scientist, CSIR-CBRI, for the Respondent.
Mr. S.K. Rout with Mr. Ganesh and Mr. Rahul Kumar, Advocates, for the Respondent.
Mr. Rahul Shukla & Mr. Akash Jandial, Advocates, for the Petitioner.
Mr. Kam Bhardwaj, ASC, GNCTD with Mr. Aayush Gautam & Mr. Kartikay Bhaskar, Advocates, for the R-1.
Mr. Rudra Dutta, Ms. Priyal Jain and Mr. Jageer Singh Dhankar, Advocates, for the R-4.

The main legal principle established in the judgment is the importance of collecting maintenance charges for ensuring basic amenities and the need for compliance with administrative orders related to the management and maintenance of the apartment complex.

Headnote:

Apartment Maintenance - Sagar Apartments - Central Goods and Services Tax Act, 2017 - [Central Goods and Services Tax Act, 2017] - The court discussed the application of the Central Goods and Services Tax Act, 2017 to the amounts received by the Administrator from the occupants of Sagar Apartments. The Administrator clarified that GST would not apply, influencing the court's decision on the matter.

Fact of the Case:

The case involves various applications related to the management and maintenance of Sagar Apartments, including amendments, clarifications, modifications, and exemptions sought by different parties. The court also addressed issues related to maintenance charges, electricity disconnection, and structural stability.

Finding of the Court:

The court directed the Administrator to issue pro tem demand notices for paying maintenance charges to the occupants and take action against those who do not comply. It also ordered the filing of final reports and orders, release of funds for building research, and submission of contractor lists. Additionally, the court addressed concerns regarding fire safety, lift maintenance, and installation of religious idols.

Issues: The main issues revolved around the collection and payment of maintenance charges, application of the Central Goods and Services Tax Act, 2017, structural stability assessment, and various administrative matters related to the management of Sagar Apartments.

Ratio Decidendi: The court emphasized the importance of collecting maintenance charges for ensuring basic amenities and addressed the need for compliance with previous orders related to maintenance payments. It also highlighted the significance of addressing fire safety concerns and ensuring proper maintenance of the apartment complex.

Final Decision: The court scheduled the next hearing for April 18, 2023, and directed the continuation of interim orders. It also instructed the parties to comply with various submissions and take necessary actions related to maintenance, safety, and administrative matters.

JUDGMENT

Prathiba M. Singh, J. (Oral)

1. This hearing has been done through hybrid mode.

CM APPL. 36306/2022 (for impleadment) in W.P.(C) 6724/2022

2. This is an application moved on behalf of Mr. Parijat Sinha, Advocate who claims to own the north portion of Space No. 5 in the stilt area of the Front Side/Block of Sagar Apartments'. His submission is that his interest would be adversely affected by the directions passed in these cases. Accordingly, he is impleaded as Respondent No. 4.

3. Let an amended memo of parties be filed within a week.

4. Application is disposed of. All contentions are left open.

CM APPL. 18016/2020 (for amendment of the prayer vol. 2) in W.P.(C) 3295/2020

5. This is an application seeking amendment of the prayer in the writ petition. The submission of Mr. Hooda, ld. Counsel is that the Petitioner primarily wished to submit before the Court that instead of any specific association, one association ought to be recognised for collecting maintenance charges and for running the management and administration of Sagar Apartments.

6. List on 18th April, 2023

CM APPL. 46418/2021 (for clarification) in W.P.(C) 3295/2020

7. This is an application seeking clarification as to whether the provisions of the Central Goods and Services Tax Act, 2017 would be applicable to the amounts being received by the Administrator from the occupants of Sagar Apartments in pursuance of the Order dated 26th October 2021.

8. Ld. Administrator submits that GST would not apply and this issue has been clarified vide order dated 21st December 2021.

9. List on 18th April, 2023.

CM APPL. 10252/2022 (for modification) in W.P.(C) 3295/2020

10. This is an application seeking modification of order dated 26th October, 2021. The Administrator shall look into the facts stated in this application and take steps in this regard. The Administrator's Status Report, dealing with the issue, shall be taken on the next date.

11. List on 18th April, 2023.

CM APPL. 10253/2022 (for exemption) in W.P.(C) 3295/2020

12. Allowed subject to all just exceptions. Application is disposed of.

CM APPL. 18104/2022 (for action) in W.P.(C) 3295/2020

13. This is an application seeking action against the defaulting residents/space owners in Sagar Apartments who have not paid maintenance charges in accordance with Para 12 of the Order of this court dated 26th October 2021 in the form of disconnection of their electricity supply.

14. This has already been dealt with in Order dated 6th January, 2023 and being considered on a continuous basis, by the Court.

15. Accordingly, the application is disposed of.

CM APPL. 18831/2022 (for orders) in W.P.(C) 3295/2020

16. This is an application seeking revival of the appointment of Mr. R.S. Chabbra, Advocate as the `Receiver'/`Administrator' to manage the affairs relating to maintenance services and security of Sagar Apartments.

17. This application is infructuous and is not pressed by the ld. Counsel for Respondent No. 5- Mr. R. Krishnaa Morthi.

18. Application is disposed of.

CM APPL. 35701/2022 (for seeking preponement) in W.P.(C) 3295/2020

19. This is an application seeking preponement of date of hearing in CM. No. 18104/2022. The matter is now being heard from time to time.

20. In view thereof, the application becomes infructuous and is accordingly disposed of.

CM APPL. 54699/2022 (for directions) in W.P.(C) 3295/2020

21. Steps have already been taken for assessing the damage and structural stability of Sagar Apartments. Directions have also been issued to Delhi Fire Service. The Contractor's list has also been called for.

22. In view thereof, list on 18th April, 2023.

CM APPL. 54700/2022 (for impleadment) in W.P.(C) 3295/2020

23. M/s Bharti Airtel Limited has been impleaded in the matter and has also entered its appearance today.

24. Thus, the application becomes infructuous and is accordingly disposed of.

CM APPL. 55860/2022 (advancement of next date of hearing) in W.P.(C) 3295/2020

25. This is an application for adv

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