{"id":213462,"date":"2002-07-15T00:00:00","date_gmt":"2002-07-14T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/s-sathyavathi-vs-the-tamil-nadu-housing-board-on-15-july-2002"},"modified":"2016-07-10T19:21:53","modified_gmt":"2016-07-10T13:51:53","slug":"s-sathyavathi-vs-the-tamil-nadu-housing-board-on-15-july-2002","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/s-sathyavathi-vs-the-tamil-nadu-housing-board-on-15-july-2002","title":{"rendered":"S.Sathyavathi vs The Tamil Nadu Housing Board on 15 July, 2002"},"content":{"rendered":"<div class=\"docsource_main\">Madras High Court<\/div>\n<div class=\"doc_title\">S.Sathyavathi vs The Tamil Nadu Housing Board on 15 July, 2002<\/div>\n<pre>       \n\n  \n\n  \n\n \n \n IN THE HIGH COURT OF JUDICATURE AT MADRAS\n\nDATED: 15\/07\/2002\n\nCORAM\n\nTHE HONOURABLE MR.JUSTICE V.KANAGARAJ\n\nWRIT PETITION NO.25045 OF 2002\nAND\nW.P.M.P.NO.34396 OF 2002.\n\nS.Sathyavathi                                          ... Petitioner\n\n-Vs-\n\nThe Tamil Nadu Housing Board\nrep.by its Executive Engineer,\nHousing Board Shopping Complex,\nMettur Road,\nSurampatty Naal Road Junction,\nErode-638 001.                                          ... Respondent\n\n\n                Writ Petition filed under Article 226 of the  Constitution  of\nIndia praying to issue a Writ of Certiorarified Mandamus as stated therein.\n\nFor petitioner :  Mr.T.Murugamanickam\n\nFor respondent :  Mr.D.Veerasekaran\n\n\n:O R D E R\n<\/pre>\n<p>                The above writ petition has been filed praying to issue a Writ<br \/>\nof Certiorarified Mandamus to call for the records of the respondent in Letter<br \/>\nNo.R5\/9510\/90,  dated 18.8.2000 and quash the same and consequently direct the<br \/>\nrespondent to execute the sale deed in favour of the petitioner in respect  of<br \/>\nM.I.G.  Plot No.1058, Nasiyanur Road Scheme, Erode.\n<\/p>\n<p>                2.   The  case of the petitioner is that he was an allottee of<br \/>\nthe M.  I.G.  Plot No.1058 in the Nasiyanur Road Scheme of the  respondent  as<br \/>\nper  the  order  of  the respondent dated 6.5.1991 and as per the hirepurchase<br \/>\nagreement, the total cost was Rs.1,27,000\/=; that out of the said  amount,  he<br \/>\nalready  paid  a sum of Rs.69,300\/= towards advance and the rest of the amount<br \/>\nof Rs.56,700\/= was to be paid in equal monthly instalments at Rs.813\/=  for  a<br \/>\nperiod  of  ten  years  and  since  the  petitioner  paid  all  the amounts by<br \/>\nSeptember, 1997, the respondent is bound to execute the sale deed  in  respect<br \/>\nof  the  petitioner&#8217;s  plot;  that  on 18.8.2000, the respondent sent a letter<br \/>\nalong with a working sheet thereby claiming a total sum of Rs.61,350\/= as  the<br \/>\nbalance  amount to be paid by the petitioner, wherein a sum of Rs.15,860\/= was<br \/>\nincluded towards the carrying cost payable at the rate of 12% p.a.  from  1990<br \/>\ntill  the  allotment in May, 1991 and in spite of several representations sent<br \/>\non  25.8.2000,  23.9.2000,  5.10.2000,  27.6.2001  and  26.12.2001  seeking  a<br \/>\nclarification  regarding  the  figures  arrived  at  in the working sheet, the<br \/>\nrespondents have not sent any reply and hence the writ petition.\n<\/p>\n<p>                3.  During arguments, the learned counsel for  the  petitioner<br \/>\nwould  submit that as per the working sheet annexed to the impugned order, the<br \/>\ncost of the plot was determined at Rs.1,05,700\/=  instead  of  Rs.1,26  ,000\/=<br \/>\nfixed in the year 1991 and that being so, if the advance amount of Rs.69,300\/=<br \/>\nis  deducted,  the  remainder payable to the respondent Housing Board would be<br \/>\nonly Rs.36,400\/= which would have to be paid in equal monthly  instalments  at<br \/>\nRs.813\/=  instead  of Rs.56,700\/= being paid in equated monthly instalments as<br \/>\nearlier determined and therefore the instalments so far paid by the petitioner<\/p>\n<p>on the remainder of Rs.56,700\/= would  far  exceed  the  actual  remainder  of<br \/>\nRs.36,400\/= and therefore the respondent Housing Board is bound to execute the<br \/>\nsale deed in favour of the petitioner.\n<\/p>\n<p>                4.   The  learned counsel for the petitioner would also submit<br \/>\nthat the respondent does not state as to under what head the  `carrying  cost&#8217;<br \/>\nof  Rs.15,860\/=  is arrived at for a period covering March, 1990 to May, 1991,<br \/>\nwhereas the petitioner was allotted the plot only in May, 19 91 and possession<br \/>\nwas handed over only in November,  1991.    On  such  arguments,  the  learned<br \/>\ncounsel  for  the  petitioner  would pray to allow the writ petition as prayed<br \/>\nfor.\n<\/p>\n<p>                5.  On the contrary, the learned counsel appearing  on  behalf<br \/>\nof  the respondent Board would submit that the cost mentioned in the allotment<br \/>\norder as well as lease agreemetn is only  provisional  and  subject  to  final<br \/>\ndetermination and taking into considering the escalation of cost of materials,<br \/>\nthe Board  has  got right to enhance the price of the building.  In support of<br \/>\nhis contention,  the  learned  counsel  for  the  respondent  would  cite  two<br \/>\njudgments,  the  first  one  delivered by the Apex Court in <a href=\"\/doc\/624797\/\">SHIMLA DEVELOPMENT<br \/>\nAUTHORITY vs.  ASMA RANI<\/a> reported in A.I.R.  1996 SC 1591  wherein  ,  it  has<br \/>\nbeen   held  that  `the  allottees  bound  to  bear  not  only  escalation  in<br \/>\nconstruction cost but also of escalation value of  land  when  Court  enhances<br \/>\ncompensation for land acquired under Land Acquisition Act at various stages&#8217;<\/p>\n<p>                6.   The  second judgment cited by the learned cousnel for the<br \/>\nrespondent is one delivered by me, following  the  above  said  Supreme  Court<br \/>\njudgment  and a Division Bench Judgment of this Court reported in 1997 WLR 25,<br \/>\nin SHENBAGAM GARDEN HIG HOUSE ALLOTTEES ASSOCIATION, REP.BY ITS SECRETARY  vs.<br \/>\nSTATE  OF  TAMIL NADU REP.BY COMMISSIONER AND SECRETARY TO GOVERNMENT, HOUSING<br \/>\nAND URBAN DEVELOPMENT DEPARTMENT, FORT ST.   GEORGE,  MADRAS  AND  TWO  OTHERS<br \/>\nreported  in  2000  (III)  CTC  146 wherein it has been held that `the Housing<br \/>\nBoard is quite competent to  enhance  the  cost  of  the  property  since  the<br \/>\nassumption  of  the  value in the lease-cum-sale agreement is only a tentative<br \/>\none and subject to final  determination  at  the  time  of  allotment  of  the<br \/>\nbuilding&#8217;.    Citing   the  above  judgments,  the  learned  counsel  for  the<br \/>\nrespondents would pray to dismiss the above writ petition.\n<\/p>\n<p>                7.  Assessing the case in the light of the judgments cited, it<br \/>\nis clear that the Housing Board is quite competent to enhance the cost of  the<br \/>\nproperty  since the assumption of the value in the lease-cum-sale agreement is<br \/>\nonly a tentative one and  subject  to  final  determination  at  the  time  of<br \/>\nallotment of  the  building.    Th erefore, it has to be decided that with the<br \/>\nenhancement of the cost of the building materials it has become  necessary  on<br \/>\nthe  part  of  the Housing Board to enhance the cost of the building, which is<br \/>\nperfectly valid and binding on the petitioner.\n<\/p>\n<p>                For all the discussions held above, the above writ petition is<br \/>\nwithout merit and the same is dismissed accordingly.\n<\/p>\n<p>                However, in the circumstances of the case, there shall  be  no<br \/>\norder as to costs.\n<\/p>\n<p>                Consequently, W.P.M.P.NO.34396 OF 2002 is also dismissed.\n<\/p>\n<p>Index:  Yes<br \/>\nInternet:  Yes<\/p>\n<p>Rao<\/p>\n<p>To<\/p>\n<p>The Executive Engineer,<br \/>\nThe Tamil Nadu Housing Board<br \/>\nHousing Board Shopping Complex,<\/p>\n<p>Mettur Road,<br \/>\nSurampatty Naal Road Junction,<br \/>\nErode-638 001<\/p>\n<p>Order in WP.25045 of 2002 and<br \/>\nWPMP.No.34396 of 2002.\n<\/p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Madras High Court S.Sathyavathi vs The Tamil Nadu Housing Board on 15 July, 2002 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 15\/07\/2002 CORAM THE HONOURABLE MR.JUSTICE V.KANAGARAJ WRIT PETITION NO.25045 OF 2002 AND W.P.M.P.NO.34396 OF 2002. S.Sathyavathi &#8230; Petitioner -Vs- The Tamil Nadu Housing Board rep.by its Executive Engineer, Housing Board Shopping Complex, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,13],"tags":[],"class_list":["post-213462","post","type-post","status-publish","format-standard","hentry","category-high-court","category-madras-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>S.Sathyavathi vs The Tamil Nadu Housing Board on 15 July, 2002 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/s-sathyavathi-vs-the-tamil-nadu-housing-board-on-15-july-2002\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"S.Sathyavathi vs The Tamil Nadu Housing Board on 15 July, 2002 - Free Judgements of Supreme Court &amp; 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