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SURESHWAR THAKUR, KULDEEP TIWARI
Vikas Gram Udyog Samiti – Appellant
Versus
State of Punjab – Respondent
JUDGMENT
Sureshwar Thakur, J.
Factual Background.
The petitioner was the highest bidder in respect of auction which became held on 31.10.2019, in respect of shamlat deh lands. However, since in terms of clause 4 (6) of the Gram Panchayat Lands Lease Policy dated 09.05.2014 (hereinafter for short called as 'the lease policy', as formulated in terms of Rule 6(3) of the Punjab Village Common Lands (Regulation) Rules, 1964, hereinafter in short refer to as 'the 1964 Rules', thus, approval thereto was required to be granted by the Government concerned. However, since no approval thereto became granted, thus, the petitioner has accessed this Court, rather for a mandamus being made, upon the respondents concerned, to grant the requisite approval, to the auction, as became held on 31.10.2019, whereby the petitioner's highest bid became accepted.
2. Apart from the above mandamus, being asked for by the petitioner in the instant petition, a further prayer/relief, as asked for in the petition, relates to the quashing of the auction, as became conducted on 08.11.2019, in respect of the shamlat deh lands, whereby the co-respondent No.7, was declared as the highest bidder.
Submissions of the learn
If the impugned auction is not interfered with, it would amount to upholding partial auction and permitting perpetuation of illegality, which would be contrary to the Act and the Rules.
Point of Law : Special Officer is empowered to conduct auction to the leasehold rights of the shops of the Gram Panchayat in the interest of it’s revenue in exercise of powers vested under Section 14....
The main legal point established in the judgment is that the auction proceedings must adhere to the procedure envisaged in the relevant laws and regulations, and must provide a reasonable period noti....
A public auction's highest bid cannot be disregarded on arbitrary bases without substantial evidence of misconduct in the auction process.
The court established that a Gram Panchayat cannot lease property constructed by another authority without following due process, including mandatory public auction.
The court held that once a bid is accepted in a public auction, it cannot be invalidated based on subsequent complaints without evidence of fraud or collusion.
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