{"id":232836,"date":"2008-03-27T00:00:00","date_gmt":"2008-03-26T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/punjab-urban-planning-dev-vs-gurmail-singh-ors-on-27-march-2008"},"modified":"2015-11-09T04:14:50","modified_gmt":"2015-11-08T22:44:50","slug":"punjab-urban-planning-dev-vs-gurmail-singh-ors-on-27-march-2008","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/punjab-urban-planning-dev-vs-gurmail-singh-ors-on-27-march-2008","title":{"rendered":"Punjab Urban Planning &amp; Dev. &#8230; vs Gurmail Singh &amp; Ors on 27 March, 2008"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">Punjab Urban Planning &amp; Dev. &#8230; vs Gurmail Singh &amp; Ors on 27 March, 2008<\/div>\n<div class=\"doc_author\">Author: R.V.Raveendran<\/div>\n<div class=\"doc_bench\">Bench: R V Raveendran, P. Sathasivam<\/div>\n<pre>           CASE NO.:\nSpecial Leave Petition (civil)  2426 of 2007\n\nPETITIONER:\nPunjab Urban Planning &amp; Dev. Authority\n\nRESPONDENT:\nGurmail Singh &amp; Ors\n\nDATE OF JUDGMENT: 27\/03\/2008\n\nBENCH:\nR V Raveendran &amp; P. Sathasivam\n\nJUDGMENT:\n<\/pre>\n<p>J U D G M E N T<br \/>\nNon Reportable<\/p>\n<p>SPECIAL LEAVE PETITION (Civil) NO.2426 OF 2007<\/p>\n<p>R.V.RAVEENDRAN, J.\n<\/p>\n<p>\tThe petitioner (Punjab Urban Planning &amp; Development Authority<br \/>\n&#8216;PUPDA&#8217; for short) allotted Site No.SCF 83 in Mohali in favour of the<br \/>\nrespondents, on acceptance of their bid of Rs.15,10,000\/- for the said site at<br \/>\nan auction held on 10th August, 1994. The letter of allotment dated<br \/>\n29.5.1995 took note of payment of Rs.3,77,500\/- (payment of 25% of the<br \/>\nprice) and permitted the respondents to pay the balance of Rs.1132500\/-<br \/>\ntowards price and Rs.283125\/- towards interest upto 10.8.1998 at 10% per<br \/>\nannum, in four equated instalments on 10.8.1995, 10.8.1996, 10.8.1997 and<br \/>\n10.8.1998. The letter of allotment required PUPDA to deliver the possession<br \/>\nof the site to the allottee within three months.\n<\/p>\n<p>2.\tThe Estate Officer of PUPDA made an order dated 21.7.1997<br \/>\nresuming the site on the ground that the respondents had failed to pay the<br \/>\ninstalments. The respondents challenged the order of resumption before the<br \/>\nAppellate Authority contending that they could not pay the instalments, as<br \/>\nPUPDA had not delivered possession of the site. To show their bona fides<br \/>\nthey sought the permission of the Appellate authority to deposit<br \/>\nRs.1415625\/- being the balance of price and interest, in terms of the letter of<br \/>\nallotment. On such permission being granted, the respondents deposited the<br \/>\nsaid amount on 16.8.2001. The Appellate Authority by order dated<br \/>\n13.12.2001 set aside the resumption order and restored the allotment of the<br \/>\nsite in favour of the respondents and directed the Estate Officer to inform<br \/>\nthem about the amount of interest\/penalty payable in respect of the delayed<br \/>\npayments.\n<\/p>\n<p>3.\tThe respondents challenged the order of Appellate Authority in<br \/>\nrevision. The Revisional Authority by order dated 26.8.2003 held that the<br \/>\nrespondents were not liable to pay any interest\/penalty for the period when<br \/>\npossession was not delivered. He directed the Estate Officer to deliver the<br \/>\nsite to the respondent and reschedule the instalments from the date when<br \/>\npossession was handed over. In pursuance of the said order, possession was<br \/>\ndelivered to the respondents on 6.1.2004. The said order was belatedly<br \/>\nchallenged by the PUPDA before the High Court in the year 2006. The High<br \/>\nCourt has rejected the writ petition as having no merit.\n<\/p>\n<p>4.\tLearned counsel for the petitioner submitted that the resumption order<br \/>\nwas quashed on a wrong assumption that the site in question was under some<br \/>\ndispute with a Gurudwara and PUPDA was not in a position to deliver the<br \/>\nsite as per letter of allotment; that the dispute with the Gurudwara was sorted<br \/>\nout prior to the auction sale and as on the date of the auction sale  and the<br \/>\ndue date for delivery of possession, there was no pending dispute and no<br \/>\nimpediment for delivery and the non-delivery was only on account of<br \/>\nrespondents failing to take possession; and that long thereafter there was<br \/>\nsome encroachment which was solely on account of respondents not taking<br \/>\npossession and committing breach; and that therefore there was no infirmity<br \/>\nin the order for resumption.\n<\/p>\n<p>5.\tWe find no merit in the contention of the petitioner. The appellate<br \/>\nauthority had also set aside the cancellation of allotment and had directed<br \/>\nrestoration of the site to the respondents and that order was not challenged<br \/>\nby  PUPDA and attained finality. It was respondents who challenged the<br \/>\norder of the appellate authority before the revisional authority, being<br \/>\naggrieved by the direction for payment of interest and penalty. We do not<br \/>\npropose to interfere with the concurrent finding of the appellate authority,<br \/>\nrevisional authority and the High Court directing restoration of the site to the<br \/>\nrespondents.\n<\/p>\n<p>6.\tLearned counsel for the petitioner next contended that the authority is<br \/>\nentitled to interest at 10% P.A. and penalty from 11.8.1998 up to the date of<br \/>\npayment. It was submitted that interest was paid only up to 10.9.1998 and<br \/>\ninterest for the balance period  that is 11.8.1998 to 16.8.2001 (date of<br \/>\npayment) was not paid. On the other hand learned counsel for the<br \/>\nrespondents submitted that the respondents had paid the full price as also<br \/>\nRs.2,83,125\/- towards interest on 16.8.2001 itself, even though the<br \/>\npossession of the site was delivered to them only on 6.1.2004; and that as<br \/>\nper the order of the revisional authority, affirmed by the High Court, the<br \/>\nrespondents are not liable to pay interest or penalty for the period during<br \/>\nwhich possession was not handed over to them, and as possession was<br \/>\ndelivered only on 6.1.2004 long after full payment on 16.8.2001, PUPDA<br \/>\nwas itself liable to refund the amount paid by Respondents towards the<br \/>\ninterest and also pay interest to respondents on the value of the site from<br \/>\n16.8.2001 to 6.1.2004. But the learned counsel for respondents submitted on<br \/>\ninstructions, that the respondents were not interested in seeking refund of<br \/>\nany amount from PUPDA and were only interested in the long pending issue<br \/>\nbeing closed.\n<\/p>\n<p>7.\tIn view of the above, it is unnecessary to examine the claim regarding<br \/>\ninterest. The petition is disposed of by recording the submission of the<br \/>\nrespondents that they will not press for refund of any part of amount paid<br \/>\ntowards interest or otherwise from PUPDA. It is needless to say that<br \/>\nPUPDA shall convey the allotted site to the respondents on fulfillment of the<br \/>\nrequired formalities. Parties to bear respective costs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India Punjab Urban Planning &amp; Dev. &#8230; vs Gurmail Singh &amp; Ors on 27 March, 2008 Author: R.V.Raveendran Bench: R V Raveendran, P. Sathasivam CASE NO.: Special Leave Petition (civil) 2426 of 2007 PETITIONER: Punjab Urban Planning &amp; Dev. Authority RESPONDENT: Gurmail Singh &amp; Ors DATE OF JUDGMENT: 27\/03\/2008 BENCH: R V [&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":[30],"tags":[],"class_list":["post-232836","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Punjab Urban Planning &amp; Dev. ... vs Gurmail Singh &amp; Ors on 27 March, 2008 - 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\/punjab-urban-planning-dev-vs-gurmail-singh-ors-on-27-march-2008\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Punjab Urban Planning &amp; 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