QUANTUM REAL ESTATE AND PROPERTY DEVELOPMENT INDIA PRIVATE LIMITED Vs. BAY ORIENT REALTY PRIVATE LIMITED

JUDGEMENT

(1.) The first petitioner, a real estate development company, along with the second petitioner, entered into an Agreement of Sale dated 24.2.2006 in respect of a land owned by the respondent, admeasuring 36.28 grounds situated in Velachery Main Road, Guindy, Chennai for a total consideration of Rs.24,77,00,000/- at the rate of Rs.68,23,457/- per ground. A sum of Rs.30,00,000/- was paid under the agreement towards the first instalment.

(2.) The said property had a number of issues, including a prior sale agreement of the respondent with Mrs. Rema Gopinathan Nair dated 20.12.1999; mortgage over a portion of the property with M/s. Ind Bank Housing Limited; disputes with Madras Race Club; encroachment and illegal occupation; and tax arrears.

(3.) In order to settle the issue with the first purchaser, a payment of Rs.3.66 Crores was made to the said Rema Gopinathan Nair, followed by another payment of RS.2.44 Crores under an affidavit-cum-receipt for part-payment of April, 2006. In terms thereof, M/s. Rema Gopinathan Nair discharged, cancelled and settled her rights under the sale agreement dated 20.12.1999 and thus, to that extent, the agreement inter se the parties stood complied with.