- (1.) THE petitioners have filed this petition challenging the validity and legality of the order dated 30th November, 1992, passed by the respondent No. 1 under sub-section (1) of section 269 UD of the Income Tax Act, 1961 whereby Flat No. 131, Ashoka Apartment, 13th Floor, along with Garage No. 12, 69 Napean Sea Road, Bombay - 400 006 was ordered to be purchased by the Central Government.
(2.) ACCORDING to the petitioners the said flat was agreed to be purchased by the petitioners from the respondent No. 3 at a fair market value; the order passed by respondent No. 1 - Appropriate Authority is in violation of the principles of natural justice i. e. by not giving reasonable opportunity of being heard and by not disclosing the material relied upon by them and referred to in the impugned order despite being called upon and on numerous other grounds. Therefore, the same is liable to be quashed and set aside.
(3.) THE facts in the case can be summed up as under:- On 9th September, 1992 the petitioners entered into an agreement for (of) sale for purchasing flat No. 131 admeasuring 2830 sq. ft. situated in Ashoka Apartment, 13th Floor along with Garage No. 16, 68, Napean Sea Road, Bombay - 400 006 with respondent No. 3 - Suchindra Bali. The price agreed upon was Rs. 1,80,00,000/ -. Out of this amount, the petitioners paid an Earnest Money Deposit of Rs. 18,75,000/- and it was agreed that the balance of Rs. 1,61,25,000/- was payable within one month of the issuance of N. O. C. by the Appropriate Authority. On 15th September, 1992 as required Form 37i was filed. Thereafter on 20th November, 1992 the Appropriated Authority issued a letter calling upon the petitioners to show cause as to why an order should not be made in accordance with the provisions of section 269-UD (1) of the Income Tax Act, to which the petitioners filed their written submission before the Appropriate Authority on 29th November, 1992 and after hearing the parties on 30th November, 1992 the Appropriate Authority passed the impugned order. On 10th December, 1992 the petitioners-purchasers filed this petition challenging the impugned order. ;