CWP NO. 13985 OF 2008. ::-1-:: IN THE HIGH COURT FOR THE STATES OF PUNJAB AND HARYANA AT CHANDIGARH. C.W.P. No. 13985 of 2008. Date of Decision: 29th January, 2009. Master Nihal Singh Memorial Education Society Petitioner through Mr. Chetan Mittal, Sr. Advocate with Mr. Aman Pal, Advocate. Versus The Administrator, HUDA & Anr. ...Respondents through Mr. Manish Bansal, Advocate. CORAM: HON'BLE MR. JUSTICE SURYA KANT. 1. Whether Reporters of local papers may be allowed to see the judgment? 2. To be referred to the Reporters or not? 3. Whether the judgment should be reported in the Digest? SURYA KANT, J. [ORAL) This writ petition has been directed against a Show Cause Notice dated 20.11.2007 [Annexure P-10] served upon the petitioner whereby the HUDA Authorities have proposed imposition of penalty of Rs.1,12,50,000/-. The petitioner Trust being the highest bidder in an open auction, a High School site near Plot No. 900, Sector 43, Gurgaon, measuring 5 acres, was allotted to it for a sale consideration of Rs.40 crores. An allotment letter dated 15.2.2006 [Annexure P-1 was also issued. The petitioner has already paid a sum of Rs.10 crores towards 25% of the sale price. The following terms and conditions of allotment have some bearing on the controversy involved in this writ petition:- “4. That balance amount i.e., Rs.30,00,00,000/- of the CWP NO. 13985 OF 2008. ::-2-:: above price of the plot/building can be paid in lump-sum without interest within 60 days from the date of issue of the allotment letter in 8 half yearly installments. The first installment will fall due after the expiry of six months of the date of issue of this letter. Each installment would be recoverable together with interest on the balance price at 9% PA interest on the remaining amount as per Schedule in Para no. 26. 5. The possession of the site is hereby offered which may be taken immediately after making payment of balance 15% amount as demanded in para 4 above as the development works in the area are already completed. 6. Each installment shall be remitted to the Estate Officer and every such remittance shall be accompanied by a letter showing the full particulars of the site, i.e., the number of the plot and sector number to which the payment pertains. In the absence of these particulars the amount remitted shall not be deemed to have been received and interest @ 12% PA shall be charged for delayed period on amount mentioned in Col.4/26 of the Schedule of Payment. 7. In case the installment is not paid by the 10th of month following the month in which it falls due, the Estate Officer shall proceed to take action for imposition of penalty and resumption of plot in accordance with the provisions of Section 17 of the Act”. It transpires from the records that some Jhuggi dwellers were in unauthorized occupation of the allotted site due to which actual physical possession could not be delivered to the petitioner. On its representation, the Estate Officer, HUDA, vide memo dated 26.4.2007 [Annexure P-8] informed the petitioner that “all the Jhuggis have been removed from the site and the allottee may take CWP NO. 13985 OF 2008. ::-3-:: possession of the site on any working day”. Whereas, the petitioner asserts that even after the aforesaid communication, certain Jhuggis continued to be there at the site due to which no measurement could take place and possession could not be delivered to it, the stand taken by the respondents is otherwise. There is, however, no denial to the fact that due to non-deposit of further installments that the impugned Show Cause Notice has been served upon the petitioner by the HUDA Authorities. Notice of motion was issued and in response thereto, the respondents have filed their counter-affidavit which is taken on record. In para no. 6 thereof, the respondents have taken a categoric stand that “at present there is no encroachment on site. However, there were temporary hutments earlier which were removed immediately as soon as it came to the notice of the answering respondent......”. It, thus, appears from the stand taken by the respondents that at least till the end of April, 2007, the site was encroached upon by the Jhuggi dwellers. The petitioner in a way would be justified in delaying the payment of further installments as on account of the temporary encroachment, the petitioner was unable to utilize the allotted site for the purpose for which it was taken. It is alleged on behalf of the petitioner that even the zoning plan of the subject land has not been finalized, though this fact is controverted by learned counsel for the respondents. Having heard learned counsel for the parties for some CWP NO. 13985 OF 2008. ::-4-:: time and taking into consideration the nature of controversy, I am of the considered view that the writ petition deserves to be disposed of with the following directions:- [i] since the respondents themselves have admitted in their letter dated 26.4.2007 [Annexure P-8] that there were encroachments by the Jhuggi dwellers over the site which were later on removed and the possession could thereafter be taken, the petitioner shall not be liable to pay any interest till 30.4.2007. In other words, the respondents shall be entitled to claim interest on the delayed payments w.e.f. 1.5.2007 only; [ii] the petitioner may submit the building plans and the respondents shall be obligated to finalize the zoning plans etc. and sanction the building plans, subject to their Bye- laws, within a period of three months from the date of submission; [iii] since the respondents are ready and willing to hand- over the physical possession of the site and would also sanction the site plan within the stipulated period, as directed above, the petitioner on its turn, would be liable to pay the due installments along with interest as may be determined by the Competent Authority and subject to direction No. [i] above; [iv] in case the respondents are still not in a position to deliver the physical possession, the petitioner shall be entitled to represent to the Estate Officer, HUDA, Gurgaon to exempt it from paying the interest. Disposed of. No costs. January 29, 2009. ( SURYA KANT ) dinesh JUDGE