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2025 Supreme(Del) 850

2025:DHC:109
IN THE HIGH COURT OF DELHI AT NEW DELHI
MANOJ JAIN, J.
Lachman Dass – Appellant
Versus
Delhi Development Authority – Respondent
W.P. (C) No. 1508 of 2014, C.M. APPL. No. 6456 of 2015, C.M. APPL. No. 8555 of 2019
Decided On : 10-01-2025
Advocates Appeared : 
For the Appellant : Ujala Vishnoi
For the Respondents : Shahana Farah, Sanna Harta

Cancellation of allotment without proper documentation or consideration of the claimant's history violates principles of natural justice and constitutes a deprivation of vested rights.

Headnote:(A) Delhi Development Authority Act - Rehabilitation policy for victims of 1984 riots - Allotment of plot revoked without just cause - Petitioner, granted alternate plot for loss of business due to riots, entitled to possession after providing evidence of previous business operations - DDA's cancellation of allotment found to be arbitrary and unjust. (Paras 5, 26, 45)

(B) Natural Justice - Principle of due process requires notice and opportunity to respond - DDA failed to provide fair opportunity to establish claim. (Paras 14, 45)

(C) Vested Rights - Once an allotment is made and payment received, it creates a vested right that cannot be revoked arbitrarily. (Paras 10, 45)

Facts of the case:
The petitioner had his hardware store in Zakhira which was destroyed in the 1984 riots. He was allotted an alternative plot in compensation. DDA revoked this allotment citing insufficient documentation despite acknowledging his status in a survey of affected persons.

Findings of Court:
The court found there was no justification for DDA’s actions, emphasizing the necessity for the agency to act in accordance with its own rehabilitation policy.

Issues: Whether the cancellation of the allotment by DDA was justified and whether the due process was followed.

Ratio Decidendi: The court concluded that the DDA acted arbitrarily in cancelling the allotment without providing adequate justification and failing to take into account the purpose of the rehabilitation policy.

Result: Petition allowed. The DDA was ordered to restore possession of the plot to the petitioner.

Table of Content
1. revocation of allotment of shop. (Para 1 , 2 , 3)
2. impact of the 1984 riots on petitioner. (Para 4 , 5 , 6 , 7)
3. background on dda's allotment decision. (Para 8 , 9 , 10 , 11)
4. petitioner's claims against dda actions. (Para 12 , 13 , 14 , 15)
5. dda's justification for withdrawal of allotment. (Para 19 , 21)
6. dda's rehabilitation policy for riot victims. (Para 24 , 25 , 27)
7. importance of survey documentation. (Para 30 , 31 , 32 , 34)
8. evidentiary support for petitioner's claims. (Para 36 , 37 , 38)
9. limitations on document requirements for allotment. (Para 40 , 41 , 42)
10. court's ruling on improper cancellation of allotment. (Para 45 , 46)
11. court's directives for dda's compliance. (Para 47 , 48 , 49 , 50)

JUDGMENT :

MANOJ JAIN, J.

1. Petitioner impugns order dated 21.10.2010 passed by Delhi Development Authority whereby allotment of shop situated at Mangol Puri Industrial Area, which had been allotted to him on 16.04.1985, has been revoked.

2. Petitioner was, earlier, running his business of hardware under the name of style of M/s L.D. Hardware Store.

3. He was doing his such business from a shop bearing no. 16-B situated at Zakhira Chowk, Near Railway Bridge, Delhi.

4. After the unfortunate assassination of the then Prime Minister Smt. Indira Gandhi in the year 1984, widespread riots took place in the capital- city and in the carnage known as "1984 riots" various residences, shops and other premises were burnt.

5. Admittedly, various such shops situated in Zakhira area also bore the brunt of mob-fury and were gutted.

6. Petitioner filed a complaint with local Police Station about the fact that his workshop had been completely burnt in the riots and various articles were either intentionally removed or were missing. He, therefore, prayed that the matter may be investigated.

7. Petitioner also got himself registered for grant of assistance with the concerned Relief Commissioner, Delhi.

8. According to petitioner, Delhi Development Authority (DDA) floated a scheme for the rehabilitation of the victims of "1984 riots." He was, eventually, allotted alternate plot of land measuring 20 square metres approximately, bearing no. 253, Block BC, Mangol Puri Phase-II Industrial Area, Delhi at a total cost of Rs. 12,000/- on perpetual leasehold basis, in lieu of his aforesaid burnt shop.

9. Such allotment was made by DDA in his favour on 16.04.1985.

10. The communication, in this regard, clearly recorded that DDA had decided to allot the aforesaid alternate plot of Mangol Puri in lieu of Zakhira shop and he was directed to deposit the amount as mentioned in the aforesaid communication. He was also asked to submit copies of challans of payment, undertaking and following documents:-

i. Attested and certified to be true copy of partnership deed as on the date of application for allotment and as at present (each and every page including reverse page.)

ii. Attested and certified to be true copy of dissolution deeds, if and (each and every page including reverse page.)

iii. Affidavit to the effect that there is no change in the constitution of the firm since the date of application for allotment or since.

11. It is not in dispute that pursuant to the aforesaid allotment, petitioner had made requisite payment and also submitted requisite affidavits and undertaking. He also submitted other documents including copy of ration card, indemnity bond etc.

12. However, in the year 1989, he received a communication from DDA that since he had not submitted the documentary proof of old site at Zakhira, the allotment made in his favour has been withdrawn.

13. The petitioner made representation to the Additional Commissioner (Lands) claiming that the allotment has been cancelled in an unjustifiable manner and also sent copies of letters sent to him by his bank at his old site of Zakhira, receipt of membership fee issued by the local traders' association and also letter received by him from his father at Zakhira address. DDA asked him to indicate hi

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