Full Judgment Text
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NON REPORTABLE
2023 INSC 922
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO. OF 2023
(arising out of SLP(C) No. 4050 of 2023)
JAMMU DEVELOPMENT AUTHORITY APPELLANT(S)
VERSUS
S. PARAMJEET SINGH & ANR. RESPONDENT(S)
WITH
CIVIL APPEAL NO. OF 2023
(arising out of SLP(C) No. 9019 of 2023)
O R D E R
Civil Appeal @ SLP(C) No. 4050/2023
Leave granted.
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This appeal by the Jammu Development Authority takes exception
to the judgment dated 02.12.2022 passed by the High Court of Jammu
& Kashmir and Ladakh at Jammu.
Respondent no. 1 - S. Paramjeet Singh had participated in a
public auction held on 12.04.1999. His bid of Rs.8,30,000/- (Rupees
eight lakhs thirty thousand only) for purchase of plot no. 244,
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Sector 1/Sector 1A, Trikuta Nagar Housing Colony, Jammu , was
accepted. By letter of intent dated 26.05.1999, the JDA had called
Signature Not Verified
Digitally signed by
Deepak Guglani
Date: 2023.10.18
10:34:18 IST
Reason:
upon respondent no. 1 - S. Paramjeet Singh to deposit 50% of the
premium within 30 days from the date of issue of the letter of
1 For short, “JDA”.
2 For short, “Subject Property”.
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intent, and the balance 50% within 60 days thereafter. In case of
default beyond six months, interest at the rate of 18% per annum
would be charged. Further, on failure, the allotment shall be
cancelled, and the earnest money and the first installment shall
stand forfeited.
Respondent no. 1 - S. Paramjeet Singh deposited 50% of the
premium of Rs.4,15,000/- (Rupees four lakhs fifteen thousand only)
within 30 days after issue of the letter of intent dated
26.05.1999. He did not pay the balance 50% of the premium.
It is the case of the appellant – JDA that a number of letters
were written to Respondent no. 1 - S. Paramjeet Singh to pay the
second installment/balance payment, to which Respondent no. 1 - S.
Paramjeet Singh did not respond. Respondent no. 1 - S. Paramjeet
Singh denies having received these letters/communications. We have,
however, one letter written by Respondent no. 1 - S. Paramjeet
Singh, dated 23.05.2001, which refers to the communication dated
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02.05.2001 , wherein he was asked to make the balance payment of
50% of the premium.
Balance 50% of the premium amount was not deposited till
2010.Earlier JDA had cancelled the allotment. Accordingly, the
appellant – JDA issued an advertisement on 09.12.2010 for a fresh
auction, which was published/advertised on 11.12.2010 in
newspapers. Immediately thereupon, Respondent no. 1 - S. Paramjeet
Singh filed Original Writ Petition (OWP) no. 1483/2010 before the
High Court in December 2010.
The appellant – JDA had conducted the fresh auction and had
3 Letter No. JDA/T.N. 244/114 dated 02.05.2001.
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received a bid of Rs.38,00,000/- (Rupees thirty eight lakhs only)
from respondent no. 2 – Vivek Mahajan.
In view of the aforesaid facts, we fail to understand how
Original Writ Petition (OWP) no. 1483/2010 was allowed and LPA No.
58/2022 filed by the JDA was dismissed, with the observation that
the allotment in favour of Respondent no. 1 - S. Paramjeet Singh
survives and should be acted upon. The defaults and failure to pay
the consideration on the part of Respondent no. 1 - S. Paramjeet
Singh are apparent and do not even warrant elucidation.
Original Writ Petition (OWP) no. 1483/2010 preferred by S.
Paramjeet Singh should have been dismissed.
It is pointed out to us that respondent no. 2 – Vivek Mahajan
had deposited an earnest money of Rs.2,71,000/- (Rupees two lakhs
seventy one thousand only). The balance money has not been paid. We
are also of the opinion that given the time lapse, the plot should
be re-auctioned.
To balance out the equities, we direct that respondent no. 2 –
Vivek Mahajan will be refunded Rs.2,71,000/- (Rupees two lakhs
seventy one thousand only) along with simple interest at the rate
of 15% per annum.
Earnest money paid by the respondent no. 1 - S. Parmjeet Singh
will be forfeited and will not be refunded. Rs.4,15,000/- (Rupees
four lakhs fifteen thousand only), less the earnest money deposited
by Respondent no. 1 - S. Paramjeet Singh, will be refunded to him
with simple interest at the rate of 8% per annum with effect from
01.01.2001.
The impugned judgment is set aside and the appeal is allowed
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and disposed of in the above terms.
Pending application(s), if any, shall stand disposed of.
Civil Appeal @ SLP(C) No. 9019 of 2023
Leave granted.
The appeal is disposed of in terms of the order passed today
in civil appeal arising out of SLP(C) no. 4050/2023.
Pending application(s), if any, shall stand disposed of.
.................J.
(SANJIV KHANNA)
.................J.
(S.V.N. BHATTI)
NEW DELHI;
OCTOBER 13, 2023.