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2026 Supreme(Online)(Raj) 14848

HIGH COURT OF JUDICATURE FOR RAJASTHAN

BENCH AT JAIPUR


[2026:RJ-JP:19953]


S.B. Civil Writ Petition No. 5754/2026



1. M/s. Akansha Infra Housing Project, 2-F-26, Vigyan Nagar, Kota Through Its Partner Shri Ghanshyam Gupta S/o Shri Chandmal Gupta, Aged About 61 Years, R/o 5-C, Vallabh Bari, Kota.


2. M/s. Akansha Empire, 2-F-26, Vigyan Nagar, Kota Through Its Partner Shri Ghanshyam Gupta S/o Shri Chandmal Gupta, Aged About 61 Years, R/o 5-C, Vallabh Bari, Kota.


----Petitioners


Versus


1. Kota Development Authority, Kota, Through Its Chairman, Kota Development Authority, Cad Circle, Dadabari, Kota.


2. Commissioner, Kota Development Authority, Kota Development Authority, Cad Circle, Dadabari, Kota.


3. Secretary, Kota Development Authority, Kota Development Authority, Cad Circle, Dadabari, Kota.


4. Director (Finance) Kota Development Authority, Kota Development Authority, Cad Circle, Dadabari, Kota.


5. Director (Planning), Kota Development Authority, Kota Development Authority, Cad Circle, Dadabari, Kota.


----Respondents


Connected With

S.B. Civil Writ Petition No. 5753/2026



For Petitioner(s) : Mr. Amit Jindal with Mr. Shubham Arora, Mr. Anukram Singh, Ms. Brahmi Jain, Mr. Neelam Choudhary


For Respondent(s) : Mr. Satya Narayan Kumawat, Mr. Vipin Khatri, Dr. Nitu Singh, Director (Finance), Mr. Rajeev Garg, Director (Law), KDA


HON'BLE MR. JUSTICE SAMEER JAIN


Pronounced on 16/05/2026

1 Arguments concluded on 23/04/2026
2 Judgment Reserved on 23/04/2026
3 Full Judgment or Operative Part Pronounced Full Judgment
4 Pronounced on 16/05/2026

1. In the present batch of writ petitions, the scope of the controversy involved, albeit not limited to, is broadly and predominantly defined by the challenge raised qua the arbitrary, illegal, and unilateral action of the respondents-Kota Development Authority in refusing to refund the financial deposits amounting to approximately Rs. 9.46 Crores and threatening the punitive forfeiture of the said earnest money and security deposits submitted by the petitioner pursuant to an e-auction process.

2. Consequently, considering the fact that the writ petitions warrant adjudication on common questions of law and fact; with the consent of learned counsel appearing on behalf of all the parties, S.B. Civil Writ Petition No. 5754/2026 is being taken up as the lead petition. It is cautiously clarified that any discrepancies in the present batch of writ petitions, pertain purely to the factual narratives contained therein and not vis-a-vis the questions of law to be determined by this Court; the instant judgment shall be applicable on the petition connected herein/henceforth on mutatis mutandis basis.

FACTUAL MATRIX OF THE LIS AT HAND :

3. Before adverting to the rival submissions and entering upon the arena of arguments advanced by the learned counsel for the respective parties, it is considered apposite to delineate the factual background and the circumstances, in a nutshell, which have culminated in the present adjudication:

3.1 The core of the present controversy stems from two auction notices dated 15.06.2023 (Annexure-3) and 27.06.2023 (Annexure-6) issued by the respondent-Kota Development Authority, formerly recognized and operating as the Urban Improvement Trust, Kota (for short, ‘UIT’), to auction two distinct but structurally similar commercial plots, one being Plot CP-01 (having total area of 7376 sq. meters) and other being Plot CP-02 (having total area of 7346 sq. meters) respectively situated at Village Kunhadi, Kota, Rajasthan which is located adjacent to the Pratap Smarak Commercial Scheme, Kota, Rajasthan.

3.2 Pursuant to the said e-auction notices, the petitioner entity M/s. Akansha Infra Housing Project, actively participated in the said e-auction proceedings. While the officially assessed reserve price qua both the aforesaid plots was fixed at Rs. 12,500/- per square meter, the respondents fixed the competitive bidding to start at a price of Rs. 40,000/- per square meter for the Plot CP-01 and Rs. 44,000/- per square meter for the Plot CP-02.

3.3 It is an undisputed fact that the petitioner entity deposited earnest money amounting to Rs. 59,00,800/- to participate in the e-auction proceedings for the Plot CP-01 and further deposited earnest money amounting to Rs. 64,64,500/- to participate in the auction proceedings for the Plot CP-02.

3.4 Having participated and successfully emerged as the highest bidder, the petitioner entity complied with the administrative stipulations requiring a deposit of 15% of the total final auction amount within a stringent, non-negotiable period of exactly three days following the formal conclusion of the auction proceedings.

3.5 For Plot CP-01, the petitioner deposited an initial threshold security amount of Rs. 64,64,500/- and subsequently deposited an additional sum of Rs. 3,87,42,440/- bringing the total amount deposited for Plot CP-01 to Rs. 4,46,43,240/- (Annexure-9). A parallel deposit amounting to the tune of Rs. 4,99,71,165/- (Annexure-10) was made for Plot CP-02 as well, thereby cumulatively aggregating to approximately Rs. 9.46 Crores across both the auction process.

3.6 Vide order dated 06.11.2023, allotment letter of Plot CP-01 came to be issued/transferred in favor of petitioner No.2 who is the sister firm of petitioner No.1. However, after being declared as the successful auction purchaser, the petitioners encoun

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