IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.T.RAVIKUMAR MONDAY, THE 11TH APRIL 2011 / 21ST CHAITHRA 1933 WP(C).No. 9223 of 2011(C) -------------------------------- PETITIONER(S): ------------------- 1. S.DHARMARAJ, BARBER SHOP, PAMBANAR KARA, PAMPANAR P.O., PEERUMEDU VILLAGE & TALUK, IDUKKI DISTRICT. 2. P.RAJU @ SUBRAMONIAN, STATIONERY MERCHANT, PAMBANAR KARA, PAMPANAR P.O., PEERUMEDU VILLAGE & TALUK,IDUKKI DISTRICT. 3. RAJU SEKHAR, VEGETABLE MERCHANT,PAMBANAR KARA, PAMPANAR P.O., PEERUMEDU VILLAGE & TALUK, IDUKKI DISTRICT. BY ADV. SRI.K.R.SUNIL RESPONDENT(S): -------------------- 1. THE PEERUMEDU GRAMA PANCHAYATH,PEERUMEDU, IDUKKI DISTRICT REPRESENTED BY ITS SECRETARY - 685 530. 2. JOHNSON, S/O.DASAN, AGED 46, MELALITHA ESTATE..., PEERUMEDU POST, PIN-685 537. 3. ARUN, S/O.CHANDRAN, JANAKI NIVAS, CHAPPAKULAM, LEKSHMI KOVIL POST-685 531. 4. MONIKANTAN, S/O.DHARMARAJ, VEGETABLE MERCHANT, PAMBANAR MARKET, PEERMEDU, IDUKKI DISTRICT - 685 536. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 11/04/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: svs C.T. RAVIKUMAR, J - - - - - - - - - - - - -- - - - - - - - - - - - - - - - W.P.(C)No. 9223 OF 2011 - - - - - - - - - - - - - - - - - - - - - - - - - - - - Dated this the 11th day of April, 2011 J U D G M E N T The petitioners were tenants of shop room Nos. 1,2 and 3 respectively at Pambanar Market belonging to the first respondent Panchayat. They have been conducting business in the aforesaid shop rooms since 1999 onwards. On 28.2.2011 the first respondent Panchayat issued Ext.P1 notice calling upon interested parties for participating in the auction of the shop rooms belonging to the Panchayat including the aforesaid rooms which are in the possession of the petitioners. Subsequently, the auction was conducted. Even according to the petitioners respondents 2 to 4 are the successful bidders in the said auction. Though the petitioners have raised the contention that they are entitled to continue to occupy the said building on account of holding over tenancy in the writ petition the same was not pressed into service. When this matter is taken up for consideration today, the learned counsel appearing for the petitioner submitted that the respondents may be directed to allot the shop rooms which WPC.9223/2011 : 2 : are in possession of the petitioners to the successful bidders in the auction pursuant to Ext. P1 notice, strictly in accordance with law. It is further contended that in case respondents 2 to 4 fail to comply with the conditions of the auction and failed to deposit the auction amount on its finalization the first respondent shall not be permitted to induct the persons of choice in the said shop rooms and in such eventuality, the first respondent may be directed to conduct re-tender of the shop- rooms in accordance with the relevant rules and also under provisions of Kerala Panchayat Raj(Acquisition and Disposal of properties)Rules, 2005. Rule 7 thereunder deals with the grant of property for rent or lease on licence. According to the learned counsel for the petitioner in case of failure on the part of respondents 2 to 4 to occupy the building after complying with the conditions of the relevant provisions under the rule and in accordance with terms of Ext.P1, respondents are bound to re-tender the same in terms of the provisions under the Kerala Panchayat Raj(Acquisition and Disposal of Property) Rules 2005. Sub rule 1 to 11 of rule 7 of the Kerala Panchayat Raj(Acquisition and Disposal of Property) Rules WPC.9223/2011 : 3 : 2005 deals with various procedures to be followed in the matter. In terms of Rule 11, transfer of property of the Panchayat except in the case of renewal of licences, rehabilitation of licensees, granting of lease, letting out on rent, shall be through sale either in public auction or by inviting tenders. It is thus evident that the learned counsel for the petitioners is justified in making the aforesaid submission in view of the aforesaid provisions on the subject. Therefore, this writ petition is disposed of as hereunder:- It will be open to the respondents to finalise the auction pursuant to Ext.P1 notice in the name of the highest bidders. In case of failure on the part of the highest bidders to comply with the conditions, necessarily the first respondent has to resort to procedures specifically prescribed under the relevant rules for the purpose of re-tender of the concerned shop rooms belonging to the Panchayat. Sd/- (C.T. RAVIKUMAR, JUDGE) jma //true copy// P.A to Judge