IN THE HIGH COURT OF JUDICATURE AT MADRAS
S.M. SUBRAMANIAM, J.
M. Yogalakshmi – Petitioner
Versus
The Tamil Nadu Housing Board and Others – Respondents
W.P. No. 10998 of 2011
Decided On : 11-11-2021
Constitution of India, 1950 - Article 226 - Writ of Mandamus - Hire Purchase System – Refund of forfeited amount - Husband of petitioner applied for allotment of a flat under High Income Group in Respondents Board - Respondent issued a letter of cancellation, stating that husband of petitioner has not paid amount as per allotment order in full and further, attendant forfeiture is also effected - Order of allotment indicates that allotment is made in favour of husband of petitioner under Outright purchase system, giving preference of allotment of over Hire Purchase System - Petitioner states that husband of petitioner approached Government and Government also permitted husband of petitioner to pay Firm cost by installments - Forfeited amount is to be refunded to petitioner – Respondents admit husband of petitioner failed to pay cost within a period of one month and paid a sum of Rupees One Lakh beyond period stipulated in allotment letter - Respondents invoked forfeiture clause and there is no infirmity as such – Held, allotment order was issued in name of husband of petitioner - Husband of petitioner paid a sum of Rs. 1,00,000/- Housing Board also invoked forfeiture clause during relevant point of time - Petitioner filed present petition after demise of her husband and after a lapse of about 15 years from date of allotment and 14 years from date of payment of amount - Though petitioner states that intimation regarding forfeiture was given, this Court is of opinion that husband of petitioner as well as petitioner would have been aware of this factum a long before - Forfeiture clause was invoked based on terms and conditions stipulated in allotment order and there is no infirmity as such - Writ Petition dismissed.
JUDGMENT :
S.M. SUBRAMANIAM, J.
Prayer: Writ Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Mandamus, directing the first respondent to refund the forfeited amount of Rs. 1 lakh, which was paid as ‘deposit’ in respect of “Flat No. H.40/F2 in 102 H.I.G. Scheme at Thiruvanmiyur Extension” which was allotted to petitioner's (late) husband or alternatively a Flat may be allotted for the same cost after adjusting the deposit of Rs. 1/- Lakh available with the respondents - in the vicinity of the flat already allotted to him.
1. The relief sought for in the present writ petition is to direct the 1st respondent to refund the forfeited amount of Rs. 1 lakh which was paid as ‘deposit’ in respect of “Flat No. H.40/F2 in 102 H.I.G. Scheme at Thiruvanmiyur Extension” which was allotted to petitioner's (late) husband or alternatively a Flat may be allotted for the same cost after adjusting the deposit of Rs. 1/- Lakh available with the respondents in the vicinity of the flat already allotted to him.
2. The petitioner states that her husband Late Mr. K. Muthuvel was working in the Police Department and retired as Additional Superintendent of Police and died on 02.02.2011. The husband of the writ petitioner applied for allotment of a flat under High Income Group in the Respondents Board in Besant Nagar Division, Adayar Division, Chennai-600020 through Hire Purchase System.
3. The grievances of the petitioner is that the allotment was made under the Hire Purchase System, determining the cost of the Flat as Rs. 6,96,386/-. The 2nd respondent issued a letter of cancellation, stating that the husband of the petitioner has not paid the amount as per the allotment order in full and further, the attendant forfeiture is also effected. The petitioner states that on 04.03.1996, the husband of the writ petitioner paid a sum of Rupees One Lakh to the respondents.
4. Perusal of the allotment order, which is enclosed in Page No. 6 of the typed set of papers along with the writ petition dated 09.11.1995, reveals that the purchase was not under the Hire Purchase System but under Outright purchase system. Therefore, the petitioner has wrongly proceeded with the writ petition on the ground that the allotment was made under the Hire Purchase System. The order of allotment indicates that the allotment is made in favour of the husband of the writ petitioner under Outright purchase system, giving the preference of the allotment of over Hire Purchase System.
5. Thus, it is clearly states that the Firm Cost of the Flat is to be paid within one month from the date of receipt of allotment letter, failing which, the allotment will be cancelled straight way without any further intimation to the allottee. Accepting the terms and conditions of the allotment, the husband of the writ petitioner paid the amount. However, the petitioner herself has stated that the payment was made only in the year 1996 beyond the period of one month as contemplated under the allotment letter dated 09.11.1995. Therefore, the respondents have invoked the forfeiture clause and forfeited a sum of Rs. 1,00,000/-
6. The learned counsel for the petitioner states that the husband of the writ petitioner approached the Government in the year 1999 and the Government also permitted the husband of the petitioner to pay the Firm cost by installments. Thus, the forfeited amount is to be refunded to the petitioner.
7. The learned counsel appearing on behalf of the respondents/Housing Board objected the said contentions by stating that the allotment was made on Outright purchase system and as per the allotment order, the husband of the petitioner ought to have paid the entire Firm cost within a period of one month from the date of receipt of the allotment letter. Admittedly, the husband of the petitioner failed to pay the cost within a period of one month and paid a sum of Rupees One Lakh only on 04.03.1996, beyond the period stipulated in the allotment letter. Thus, the respo
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