JUDGMENT

M.M. DAS, J. — The dispute raised in the present writ appli¬cation lies within a narrow compass. For appreciating the respec¬tive contention of the parties, it is necessary to state the facts in brief:

2. The opp.party No.1 being the Bhubaneswar Development Authority (for short, ‘the B.D.A.’) introduced a commercial scheme at Chandrasekharpur, Bhubaneswar known as “District Cen¬tre” covering an area Ac.35.52 decimals of raw land consisting of (A) approximately 144 nos. of constructed shop-cum-residences in the ground-floor, 72 residential units in the Ist floor and 72 units in the second floor (B) Pindi 96 nos. in 8 blocks having 12 pindies in each block (C) commercial plots as per Annexure-I of the Brochure consisting of 290 plots of different sizes for being utilized for construction of commercial units cost of which was worked out in Annexure-I of the Brochure and (D) other plots and bigger plots for various other purposes like Clinic, Petrol Pump, Restaurant, Cinema Hall etc. as listed under Annexure-II of the Brochure. In the said scheme, applications were invited from interested persons and the last date for making such application was fixed as 16.1.1993.

3. The petitioner’s case is that in the year 1998, he came to know that a plot of land for construction of Cinema Hall under the aforesaid scheme introduced by the B.D.A. was still lying vacant as there was no response for the same. The petitioner made an application to the Vice Chairman, B.D.A. for allotment of the said plot of land for construction of the Cinema Hall under the Self Financing Commercial Scheme expressing his willingness to pay the entire cost of land as fixed by the B.D.A. within a maximum period of three months. The B.D.A. through its Allotment Officer in its letter dated 24.8.1998 intimated the petitioner that his application for allotment of the said plot has been allowed and the petitioner has been provisionally allotted the plot bearing No.306 measuring 24,152 sqr. ft. and the cost of the said plot is Rs. 10,43, 482/- and it being a corner plot, the petitioner is required to deposit further amount of Rs.5000/-, thus, totalling to a sum of Rs.10,48,482/- towards the cost of the plot of land within three months from the date of issue of the said letter. It was stipulated that failing such payment, the petitioner would be liable to pay interest @ 16.5% per annum. It was also mentioned in the said letter that the petitioner would also be liable to pay interest as late comer to the above scheme, which will be intimated later on. The petitioner deposit¬ed the entries amount of Rs.10,48,482/- in three instalments and intimated the B.D.A. that he has paid the entire amount towards the cost of the plot making a request to hand over possession of the same to him in the letter dated 11.11.1998 under Annexure-2. Thereafter, the B.D.A. in its letter 4.1.1999 intimated the petitioner that he is required to pay a further sum of Rs.3,90,103/- towards interest as late comer to the scheme. The petitioner made a representation to the Secretary B.D.A. stating that levy of interest on the petitioner as late comer is wholly unjust, improper and illegal specially when the petitioner has deposited the entries cost of the land as stipulated in the provisional allotment letter. However, the B.D.A. without acced¬ing to the request of the petitioner in its letter dated 9.8.1999 intimated him that he is to pay interest to the tune of Rs. 4,23,628/- failing which more interest will be charged. The petitioner again represented before the B.D.A. But the B.D.A. increased the demand of interest in letter dated 7.7.2000 to an amount of Rs.4,80,233/-. It appears that the petitioner continued to resist such claim of the B.D.A. resulting in another letter from the B.D.A. dated 16.9.2002 wherein the interest demanded was Rs. 6,18,888/- and it was stated that failing to pay such inter¬est, the allotment of the plot of land made in favour of the petitioner would be cancelled. T