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IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
NAGESH BHEEMAPAKA
B. Prabhakar Rao – Appellant
Versus
Telangana Rajiv Swagruha Corporation Limited (TRSCL), Rep. by its Vice-Chairman and Managing Director – Respondent
ORDER :
Nagesh Bheemapaka, J.
Challenging the action of the 1st respondent -Telangana Rajiv Swagruha Corporation Limited (Corporation) in proposing to sell the semi- finished Flats Tower A02 in Sadbhavana Township, Pocharam Municipality as stated in the Broacher dated 10.09.2025 which flats were allotted to petitioners by the 2nd respondent, this Writ Petition is filed.
2. The undisputed factual matrix of the case is that Respondent-Corporation invited Applications in respect of unfinished towers at Pocharam for completing the work. M/s Mahanandhi Builders (the 2nd respondent) was allotted A02 Tower at Pocharam vide proceedings Lr.No. 04/TRSCLLEM/Unfinished Towers/2023 dated 07.06.2023. The 2nd respondent paid EMD and also paid part of balance amount, but did not complete the work of construction within the permitted time of four months Hence, they made Application dated 04.10.2024 for extension of time which was extended up to 05.01.2025 by Corporation's letter dated 17.10.2024.
2.1. In terms of the said allotment, the 2nd Respondent advertised that 120 flats are available for sale in A02 Tower. Petitioners purchased Flat Nos. 104, 301, 803, 804, 806, 405, 408, 204, 212, 407, 409, 405
Writ petitions are not maintainable in commercial disputes unless arbitrariness or illegality is demonstrated; contractual obligations must be fulfilled by the parties involved.
The court affirmed that disputes of a commercial nature are not within the writ jurisdiction under Article 226, emphasizing the responsibility of fulfilling contractual obligations.
The court held that administrative authorities must act within legal bounds, and their inaction in issuing NOC and executing Sale Deed was arbitrary, necessitating compliance with conditions for reli....
The cancellation of allotment was justified due to the petitioner's failure to comply with payment terms, emphasizing the importance of adhering to auction conditions and public interest.
Writ petitions can be maintained against administrative actions affecting contracts, especially when principles of natural justice and public policy are at stake.
The court emphasized the legal principles related to the disposal of public properties, legitimate expectations, and the authority's discretion in allotment decisions.
The issuance of a Letter of Award does not establish a binding contract unless all conditions are met and the Operation and Management Contract is executed.
A bidder has no enforceable rights until a tender is formally accepted, and authorities are entitled to issue fresh tenders after cancellation of previous notifications.
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