WPC No.10929/2008 Page 1 37 * IN THE HIGH COURT OF DELHI AT NEW DELHI + W.P.(C) 10929/2009 & C.M.No.10114/2009 SRI NIWAS ..... Petitioner Through Mr.S.K. Sinha, advocate. versus M.C.D. ..... Respondent Through Ms.Mansi Gupta, advocate. CORAM: HON'BLE MR. JUSTICE SANJIV KHANNA O R D E R % 18.08.2009 1. The Petitioner had applied for allotment of dairy plot in Ghogha Dairy Colony Project vide application dated 30.06.06 by depositing Rs. 1,20,000/-. 2. The respondent/MCD by a letter dated 29.08.2007 informed the petitioner that he has not been found running a dairy at the address as mentioned in the application form and Rs. 1,20,000/- deposited with the application form stands forfeited. 3. The only question raised in present petition is whether MCD is entitled to forfeit Rs 1,20,000/-. This issue is covered by the decision dated 08/04/08 passed in W.P. (C) No. 1294/08 titled as Rajni Gupta Vs. MCD and Anr. In the operative portion of the said judgment it was held:- “MCD is not entitled to retain the entire sale consideration received and paid by the petitioner. Section 64 of the Contract Act is applicable. The respondent is entitled to deduct the financial expenditure incurred by them on examining the applications, sending committee members for verification well as some punitive demands. MCD is entitled to set off the said amount. Keeping in view facts of the present case, I feel that interest of justice would be met if MCD is allowed to set off Rs 20,000/- for each plot measuring 60 Sq. Mtrs. and Rs 30,000/- for each plot WPC No.10929/2008 Page 2 measuring 96 Sq. Mtrs towards demands, but the balance amount should be refunded to the petitioners. The amount being forfeited is also punitive in nature and in accordance with the provisions of the Contract Act. Respondent/ MCD will refund the balance amount to the petitioner within a period of six weeks from today by crossed cheques. The respondent MCD will write letters by registered post to the petitioners calling upon them to furnish details of their bank account and personally come and collect the cheques. Payment will be made after properly identifying the person who had made the deposit. In case the MCD does not make payment within six weeks from today, it shall be liable to pay interest from the date of the order till payment @ 10% per annum.” 4. The said judgment has been upheld by the Division Bench in their judgment dated 16.12.2008. Special Leave Petition filed by the MCD is dismissed. 5. The facts of the present case are identical. The writ petition is accordingly allowed and the respondent/MCD is directed to refund the deposited amount less the amount permitted to be deducted in terms of the judgment dated 8.4.2008. The petitioner of course will have to establish and prove the deposit made and will file photocopy of documents within 15 days. The respondent/MCD will verify the documents and make payment within 6 weeks after photocopy of documents is submitted. Failure to make payment within 6 weeks from submission of documents will attract interest @10% per annum from date of this order till realization. SANJIV KHANNA, J. AUGUST 18, 2009. P