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IN THE HIGH COURT OF JUDICATURE AT MADRAS
M.DHANDAPANI
R. Ganesh Babu – Appellant
Versus
Managing Director, Tamil Nadu Housing Board – Respondent
| Table of Content |
|---|
| 1. cost fixation process under hire purchase scheme (Para 1 , 2 , 3 , 3 , 4 , 5 , 6 , 7 , 8) |
| 2. arguments against additional costs and interest (Para 10 , 11 , 12 , 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22) |
| 3. court's analysis of agreements and obligations (Para 24 , 25 , 26 , 27) |
| 4. delayed final cost and interest liability (Para 30 , 31) |
| 5. final directions regarding cost and interest (Para 32) |
ORDER :
1. The final cost arrived at by the respondents claiming it to be additional cost in respect of the flats sold to the respective petitioners which was allotted pursuant to the advertisement published during the year 2014 and 2015 under the Hire Purchase Scheme is put in issue before this Court through the present petitions.
2. The facts in a nutshell, as could be culled out from the writ petitions, is summarised as under:-
The Tamil Nadu Housing Board (for short ‘the Board’) invited applications under the Hire Purchase Scheme on 21.7.2014, which was concluded on 19.8.2014. In view of the lesser takers, the advertisement was once again republished between July and September, 2015. The flats were constructed in four categories, viz., HIG, MIG-I, MIG-II and LIG with the
The court ruled that while the final cost for the flats was justified, the imposition of interest for delayed payment was arbitrary as the delay was caused by the Board.
Enhancement of Cost – enhancement of cost, rate of instalments and alteration in the terms and conditions by the Authority at the time of allotment of the houses/flats is not arbitrary
Conditional sale deed execution pending appeal on housing scheme cost dispute.
Judicial review in pricing disputes is limited, and cost revisions are governed by contract law.
Allotment of plot – Additional price can be demanded in case there is enhancement in cost of land awarded by competent authority under Land Acquisition Act.
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