Arun Kumar Goel (Retd.), President.—This appeal is directed against the order dated 19.5.2004, passed by District Forum Shimla, Camp at Solan, in Complaint No. 63/1999. By means of impugned order, complaint was allowed in the following terms:

“6. As a sequel of the above, we hereby direct the OP-corporation to refund the amount of Rs. 1,75,380/- alongwith interest at the rate of 9% per annum from the date of filing of the complaint, till actual payment is made. The litigation cost is quantified at Rs. 1000/-. These payments be made to the complainant within a period of forty five days from the date of receipt of copy of this order.

The file after due completion and after supplying the copy of this order to the parties free of costs be consigned to records room”.

2. Facts as they emerge from the record of the complaint file are, that appellant No.1 issued an advertisement for public auction of industrial plots and commercial sites at Himachal Pradesh State Industrial Development Corporation, Industrial Area, Baddi District Solan, under Self Financing Scheme. One of the plot notified in this advertisement was 238. Present appeal pertains to this plot No. 238. Terms and conditions as mentioned in this advertisement being relevant for deciding this appeal are extracted hereinbelow for ready reference:-

“100% Tax Holiday extended to Industrial Undertakings going in Production upto March 2000 in Himachal Pradesh.

Terms and Conditions:

1. The plots are being auctioned only for approved industrial activity (except plots No. 239 for Hotel Site and 6 No. shops).

2. The bidder shall have to deposit

Rs. 5,000/- in cash as registration money before taking part in the auction which is refundable to the unsuccessful bidders at the end of the auction.

3. The successful bidder shall be required to deposit 10% of the bid amount including registration money on the fall of hammer as earnest money and balance 90% shall be payable within 30 days of the date of auction failing which the earnest money of 10% shall be forfeited.

4. The successful bidder shall be required to convey the name of the firm/company together with its constitution and project report of the unit alongwith payment of 90% of the bid amount within 30 days from the date of auction.

5. The allotment of these plots shall be further governed by the terms and conditions which may be seen in the Office of the Executive Engineer, HPSIDC Limited, Baddi and shall form part of the auction. (Emphasis supplied)

The Open Public Auction shall be held on 27th November, 1998 at 11.00 a.m. in the Office premises of EXECUTIVE ENGINEER, HPSIDC LTD., INDUSTRIAL AREA, BADDI, DISTT. SOLAN H.P. The Managing Director of the Corporation/his authorized authority viz. Members of the Auction Committee reserves the right to accept/reject any bid at discretion without assigning reasons”.

3. In terms of Annexure C-1 the advertisement, auction was held on 27th November, 1998. Respondent No. 1’s bid being the highest of Rs. 17,53,800/- was accepted at the fall of hammer and he deposited 10% earnest money i.e. 1,75,380/-. In the ordinary course of things as well as per conditions supra, he was required to deposit the balance amount within 30 days after such acceptance. Admittedly needful was not done by him.

4. Whereas on the other hand vide Annexure R-II dated 14.12.1998, he was informed by the appellant to do the needful and after completing the formalities and on receipt of various payments, firm letter of allotment of plot was to be issued to him. For ready reference contents of this letter Annexure R-II are extracted below:-

“ No. HP SIDC/SFS/P-238-8132-33

Dated 14.12.98

Shri Dinesh Arora,

166, Sector-6,

Panchkulla, Haryana.

Subject :- Allotment of Plot No. 238 in Industrial Area SFS Baddi, Distt. Solan, H.P.

Dear Sir,

We are pleased to inform you that your bid for plot no. 239 measuring 2220 sq. mtr. In Industrial Area SFS, Baddi, HP has been accepted Rs. 790/- per sq. mt