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2025 Supreme(P&H) 998

PUNJAB AND HARYANA HIGH COURT AT CHANDIGARH
SURESHWAR THAKUR, VIKAS SURI, JJ.
M/s Bedi Hospital - Appellant
Vs.
Chandigarh Administration And Another - Respondent 
CWP No. 2811 of 2023 (O&M)
Decided On : 01-04-2025

Advocates:
Advocate Appeared:
For the Appellant :Mr. Puneet Bali, Senior Advocate with Mr. Piyush Aggarwal, Advocate, Mr. Aakash Sharma, Advocate and Mr. Anmol Chandan, Advocate
For the Respondent:Mr. Amit Jhanji, Sr. Standing Counsel with Mr. Sumeet Jain, Addl. Standing Counsel and Ms. Eliza Gupta, Advocate Mr. Kanwaljit Singh, Senior Advocate with Mr. Munish Kapila, Advocate

JUDGMENT :

Sureshwar Thakur, J.

Through the instant writ petition, the petitioner seeks the quashing of the letter dated 27.1.2023 (Annexure P-13), wherebys after execution of the agreement to sell and the depositing of the entire sale consideration, the respondents concerned, have allegedly unilaterally cancelled the bid contract in respect of Nursing Home Site No. 4, Sector 33-C, Chandigarh. Furthermore, the petitioner also seeks the quashing of the letter dated 9.2.2023 (Annexure P-24), wherebys the agreement to sell dated 28.10.2022 has been cancelled by the respondents.

Brief facts of the case

2. It is averred in the instant petition, that respondent No. 2 published a notice dated 31.8.2022 (Annexure P-1) for conducting an eauction of commercial and nursing home sites on freehold basis in Chandigarh. The general terms and conditions (Annexure P-2) of the eauction were uploaded on the e-auction website. Subsequently on 4.9.2022, respondent No. 2 issued a corrigendum wherebys, the last date for payment of Earnest Money Deposit (EMD, and, for submission of the documents, was extended upto 13.10.2022. As per the said corrigendum, the auction was scheduled to be held from 18.10.2022 till 20.10.2022. It is further averred in the instant petition, that as per e-auction notice, there were two nursing home sites, which became offered for sale on freehold basis i.e. Nursing Home Site Nos. 3 and 4, both located at Sector 33-C, Chandigarh, and having same measurement i.e. 744.44 sq. yds each, besides having same reserve price of Rs. 6,91,75,598/- each. The petitioner applied for participating in the e-auction of both the sites (supra) and on 20.9.2022, the petitioner deposited Rs. 27,67,024/- as advance EMD, being 2% of the reserve price of the said sites.

3. It is further averred, that e-auction of the above sites were started on 18.10.2022 and the same went on till 20.10.2022. The petitioner was the highest bidder for site No. 4 with a bid of Rs. 12,58,75,598/-, which was duly accepted by the respondent concerned, and, the acknowledgment for Award of subject sites was issued in favour of the petitioner vide intimation letter dated 20.10.2022 and e-mail dated 21.10.2022. On 21.10.2022, the petitioner deposited the 25% of the bid amount i.e. Rs. 3,05,16,488/- with respondent No. 2. Since the petitioner had already deposited Rs. 13,83,512/- as advance EMD, therefore, the total amount deposited by the petitioner stood at Rs. 3,19,00,000/-. Subsequently, on 28.10.2022, in compliance of sub-clause (1) of Clause VI of the general terms and conditions, respondent No. 2 executed an agreement to sell (Annexure P-9) with the petitioner. Though, as per Clause V of the general terms and conditions, the remaining 75% of the bid amount was to be deposited within a period of 90 days from the date of the auction, yet the petitioner deposited the balance amount i.e. Rs. 9,39,75,598/- on 16.11.2022, which was much in advance before the deadline for the deposit being made i.e. on 15.12.2022. Therefore, 100% of the bid amount i.e. Rs. 12,58,75,598/- stood deposited by the petitioner.

4. Furthermore, it is averred in the petition that as per sub-clause (4) of Clause VI of the general terms and conditions, sub-clause whereof becomes extracted hereinafter, upon receipt of the full consideration amount, an allotment letter was to be issued by respondent No. 2 in favour of the petitioner, wherebys the petitioner was to be called upon to execute a conveyance deed in form C'.

''Upon the receipt of full consideration money, the Estate Officer shall issue allotment letter to the intending purchaser giving the terms and conditions of the allotment and calling upon him to execute conveyance of deed in Form C'. These documents shall be issued/executed by the Estate Office and the purchaser, within a period of 30 days from the date of issue of the allotment letter. The allottee shall bear all the expenses occurring for the registration and stamp duty etc."

5. Vide e-mail d

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