The main legal point established in the judgment is the need for fair play, reasonableness, and transparency in state actions, emphasizing the duty of public authorities to act fairly and disclose all relevant reasons for their decisions.

W.P.No. 30523 of 2004 is directed against the proceedings dated 10. 2004 on the file of the second respondent whereby, the bid submitted by the petitioner for allotment of a store shed under code No. TR.020 having an area of 39,772 sq.ft. (with a shed) in the housing unit of Periyar Nagar at Pudukkottai, was rejected.

2. W.P. No. 30524 of 2004 is directed against the proceedings dated 10. 2004 on the file of the second respondent whereby, the bid submitted by the petitioner for allotment of commercial site (S.I. Code No. TR.017) having an extent of 3909 sq.ft. in the housing unit of Periyar Nagar at Pudukkottai, was rejected.

3. Factual matrix necessary for disposal of the writ petitions are as under:

.(a) In response to the notification issued by the second respondent for allotment of the public purpose site at Pudukottai neighbourhood scheme TR-020, published in Namadu MGR daily on 26. 2004 as item No. 5(a), the petitioner submitted his bid for allotment of a store shed with vacant site for an area of 39.772 sq.ft., The upset price for the said property has been fixed at Rs. 83,79,943/-and the date of opening of the tender was scheduled to be on 17. 2004. Accordingly, the petitioner submitted his bid along with a sum of Rs. 5,000/- by way of non-refundable deposit. The sealed covers so received from the tenderers were opened by the second respondent on 17. 2004, and in the public auction, along with the petitioner, two other tenderers also participated. The auction was concluded in favour of the petitioner as he happened to be the highest bidder for a sum of Rs. 84,50,000/-.

.(b) As per condition no.6 of the auction notification, successful bidder should pay 15% of the offer amount at the auction spot itself and as per the said condition, the petitioner has deposited 15% of the bid amount in cash on 17. 2004 itself and the second respondent has issued a receipt for payment of the said sum of Rs. 12,67,500/-. As per the conditions of sale, balance 35% of the bid amount has to be paid within three weeks from the date of confirmation and the remaining 50% has to be paid within six weeks. Since the petitioner did not receive any reply from the second respondent, he met the said authority on 10. 2004 and gave a representation to make the payment of the balance amount. The said representation was followed by series of representations as well as reminders addressed to the respondents. Ultimately, the petitioner received the impugned Order dated 10. 2004 cancelling the bid submitted by the petitioner and aggrieved by the said proceeding, the petitioner has filed the writ petition.

W.P. No. 30524 of 2004:

(c) In pursuance of the notification published in “Namadu MGR” on 26. 2004 with respect to the proposed tender cum auction for allotment of the commercial site at Pudukottai neighborhood scheme, the petitioner submitted his tender for purchase of an extent of 3,909 sq.ft. of land in Section 8 Code No. TR/017. As per the notification, the upset price for the said property was fixed at Rs. 7,81,800/- and the date of opening of the tender and public auction was scheduled to be on 17. 2004 and in the said auction, the sale was concluded in favour of the petitioner at Rs. 7,84,000/- and immediately, a sum of Rs. 1,17,600/-, being 15% of the bid amount, was deposited by him.

.(d) Even though the petitioner approached the second respondent for deposit of the balance amount of 35% as per the stipulation in the tender, the same was not met with success and ultimately, the petitioner received the impugned Order dated 10. 2004 whereby, the bid submitted by the petitioner was cancelled. Accordingly, the petitioner has come up with the present writ petition.

Respondents’ version:

4. In the counter affidavit filed on behalf of the respondents, it was contended that in the District of Pudukottai, Tamil Nadu Housing Board developed a comprehensive self-contained composite scheme in three stages and the said scheme covers both resi