A defaulting site allottee’s allotment may be restored upon payment of 18% interest and ₹5 lakh.

The petitioner was allotted Plot No. 273 in MSK Mill, Phase II, Madarasanahalli Layout.

He made several payments towards the site value but did not pay the entire amount within the stipulated 120 days.

Respondent No. 2 cancelled the allotment on 8 February 2017 for non-payment in accordance with the agreed terms.

The petitioner sought certiorari to quash the cancellation and a direction to execute a conveyance deed.

He relied on orders granting similar relief to other allottees; respondent No. 2 submitted that the petitioner had paid the entire site value only on 17 July 2026 and accepted that comparable relief had been granted in other cases.

Whether the petitioner’s failure to pay the entire site value within 120 days barred restoration of the allotment.

Whether the petitioner was entitled to relief similar to that granted to other similarly placed allottees, subject to payment of interest and an additional sum.

The Court referred to Rule 19(1) of the Karnataka Urban Development Authorities (Allotment of Sites) Rules, 1991, as amended in 2005, which required payment within 120 days.

It also relied on the coordinate Bench decisions in Smt. Kashibai v. State of Karnataka and Another, W.P. No. 202399/2024, decided 19 November 2025, and Smt. Manjula Patil v. State of Karnataka and Another, W.P. No. 200632/2024, decided 16 April 2024, which granted restoration subject to payment of the balance site value with 18% interest and an additional Rs. 5,00,000.

The Court further referred to the direction of the Division Bench in W.A. No. 200179/2023, dated 13 August 2024, concerning the additional payment of Rs. 5,00,000.

The Court accepted that the petitioner had not paid the full site value within the 120-day period, as required by the Rules.

However, coordinate Bench decisions had granted similarly placed allottees restoration on conditions requiring payment of interest and an additional sum.

Finding the petitioner similarly situated, the Court considered him entitled to similar treatment, subject to those conditions and execution of the prescribed affidavit.

It directed the petitioner to pay interest at 18% per annum on the difference amount from the date of allotment until payment, together with Rs. 5,00,000, within three months of receiving the order, and to execute the prescribed affidavit.

Upon payment, respondent No. 2 was directed to take steps to execute the necessary deed in the petitioner’s favour in accordance with the Rules.