Punjab-Haryana High Court
Sh. Chander Mani vs The Haryana Urban Development ... on 9 March, 1990
Equivalent citations: (1990)98PLR6
JUDGMENT S.S Sodhi, J.
1. The controversy here is with regard to the enhanced price claimed by the Haryana Urban Development Authority (hereinafter referred to as 'HUDA') from persons to whom it had allotted residential sites in the Urban Estate, Kurukshetra. According to the terms and conditions on which the allotment was made (as set out in the letters of allotment similar in terms and content to annexure P/1)- 10 percent, of the price was payable with the application for allotment and another 15 percent thereof within 30 days of the allotment, the balance being payable either in lump sum within 90 days of the allotment or in six half-yearly/annual instalments, but with interest thereon at the rate of 10 percent per annum Interest however, accruing only from the date of offer of possession of the plot. The fist instalment being payable on the expiry of six months/one year of the issue of the letter of allotment.
2. In the context of the issue raised Clause-9 of the Letter of Allotment (annexure P/1) deserves pointed attention. This reads as under:--
"9 The above price is tentative to the extent that any enhancement in the cost of land awarded by competent authority under the Land Acquisition Act shall also be payable proportionately, as determined by the authority. The additional price determined shall be paid within 30 days of its demand".
3. Further, there is provision for the imposition of penalty and resumption of the plot under Section 17 of the Haryana Urban Development Authority Act, 1977 and Regulation 12 of the Haryana Urban Development (Disposal of land and plots) Regulations 1978, for non-payment of instalments within the stipulated time.
4. The compensation payable for the land acquired by it for the urban estate concerned, having been enhanced by the Court, HUDA in turn now seeks to pass on this burden to the persons to whom plots had been alloted by it, by claiming enhanced price from them in terms of Clause-9 of the letter of allotment, annexure P-1, The demand Notice annexure P/2 issued in this behalf calls upon the petitioners to pay the enhanced price within 30 days of the issue of the notice failing which 15 percent interest perannum would be chargeable thereon, besides action being initiated under Section 17 of the Haryana Urban Development Authority Act, 1977 and Regulations--12 of the Haryana Urban Development (Disposal of land and plots) Regulations, 1978.
5. Counsel for the petitioner Mr. V.K. Bali, did cot doubt HUDA'S right and authority to demand enhanced price, but the rigor of the Demand Notice, namely, the amount being payable within 30 days and the thretened consequence flowing from its nonpayment within the period fixed is what invited serious challenge, particularly, on the ground that, whereas she original price could be paid in instalments spread over a period of three or six years as the case may be, here entire amount of the enhanced price is payable within just 30 days Counsel, in this context, adverted to the not uncommon instances of the price enhanced by the Courts being considerably higher than that originally offered for the land acquired by the Land Acquisition Collector. Further, it was pointed out that whereas in terms of the letters of allotment, interest on the price mentioned therein became payable only from the date of the offer of possession of the plot, interest on this enhanced price, on the otherhand, becomes payable immediately on the expiry of 30 days of the demand notice, regardless of the offer of delivery of possession of the plot.
6. The Advocate General, Haryana very fairly took up the matter with the authority concerned and as a result thereof, HUDA has now agreed to permit payment of the enhanced price in instalments in the following manner :--
(a) Where the enhancement is Payment in lump-sum within 30
10% of the original price of days of the issue of demand
the plot. notice.
(b) Where the enhancement is (i) First 10% within 30 days of
more than 10% but less than the issue of demand notice.
30% of the price of the plot.
(iii) Second 10% or part thereof
within 6 months of the issue
of notice.
(c) Where the enhancement is Payment may be made as
more than 30% but less than follows :
60%. (i) First 12% within 30 days of
the issue of notice.
(ii) Second 12% within 6
months of the issue of
notice.
(iii) Third 12% within one year
of the issue of notice.
(iv) Fourth 12% within one &
half year of the issue of the
notice.
(v) Fifth 12% or part thereof
within two years of the
issue of notice.
(d) Where the enhancment is Payment may be made as
more than 60% of the origi- follows :
nal cost of the plot. (i) First 15% within 30 days of
the issue of notice.
(ii) Second 15% within 6
months of the issue of
notice.
(iii) Third 15% within one year
of the issue of notice.
(iv) Fourth 15% within 11/2 years
of the issue of notice.
(v) Fifth 15% within two years
of the issue of notice.
(vi) Sixth 15% within 21/2 years
of the issue of notice.
(vii) Seventh 15% within three
years of the issue of notice.
Interest at the rate of 15% per annum may be charged on the balance amount in view of the faet that HUDA is paying interest @ 15% on enhanced compsnsation as per new Land Acquisition Act".
7. The facility extended to the petitioner to pay the enhanced price demanded in this manner is obviously just and reasonable and no ground therefore, survives to challenge the mode and manner of the recovery of it.
8. Mr. Ram Lal Gupta, counsel for the petitioner in C. W. P. 110(nic)6 and 11571 of 1988 on his part sought to question the ground that it comprised not only the enhanced compensation for the land acquired that HUDA had been called upon to pay, but also development charges thereon. This, the Advocate General, Haryana after obtaining instructions from the authority concerned, has categorically denied. It was clearly stated by him that development charges did not constitute component of the enhanced price demanded from the petitioner.
9. It follows, therefore, that the petitioners are liable to pay the enhanced price demanded from them, but they shall be at liberty to pay it within 30 days of the date of this order or in instalments as per the mode accepted and agreed to by HUDA. This bunch of writ petitions is disposed of accordingly. In the circumstances, there will be no order as to costs.