- (1.) HEARD Mr.Dipak Seth, learned Counsel for the petitioner and Mr.A.P. Singh, learned Counsel for the Housing Board.
(2.) BY means of instant writ petition, the petitioners pray for quashing the order dated 20.10.1997, contained in Annexure No.19 to the writ petition, whereby the opposite parties had cancelled the allotment made in favour of the petitioner -firm. Further, they pray for quashing the impugned order dated 21.10.1997 passed by the opposite party No.3, pursuant to the decision by the respondent No.2, contained in Annexure No.20 to the writ petition.
(3.) THE petitioner -firm is engaged in the business of developing colonies. At the time of floating a Housing Scheme in the city by the respondent No.1, known as Indira Nagar Yojna, the respondents constructed a cluster of shops. In this backdrop, in Sector 20, the respondents constructed a cluster consisting 12 shops, measuring area 240 sq. mtr. To dispose of the aforesaid twelve shops in Sector 20 alongwith the shops in the other Sectors, the respondents advertised for the sale of shops by auction and during the period 1993 -96, they fixed 18 times for auction of shops. As the necessary auction was unsuccessful, the Government issued an order dated 5.2.1996 and thereafter on 11.3.1996 directing that all such undisposed properties should be sold by calculating their original costs and keeping the reserve price equal to the original cost of construction. Pursuant to this, the Board has issued an order dated 15.5.1997 providing that the cost of such properties should be done calculating the original cost of construction plus the present cost of land. Since the respondents were not able to dispose of the shops alongwith appurtenant land in question, the Board put up the property again for auction on four occasions in the year 1997. During the span of four years, the respondents received only one bid of Rs.2.65 lakhs and that too for only one shop bearing No.20/1. Thereafter, the petitioner -firm came into the picture and it offered to purchase the entire cluster consisting of 12 shops alongwith the appurtenant land for a sum of Rs.31,86,000/ - as against the reserved price of Rs.31,74,000/ - and the petitioner firm tendered a sum of Rs.3,18,000/ - being 10% of the total value of the cluster consisting of 12 shops alongwith the appurtenant land. Apart from this, the petitioner -firm deposited the yearly rent on 17.9.1997. Thereafter, a formal letter of allotment issued and Highre Purchase Agreement executed on 8.10.1997. Subsequently, the possession of shops was delivered to the petitioner -firm on 14.10.1997. When the petitioner preferred several representations for delivering the possession of land appurtenant to shops allotted to the firm, the Housing Commissioner has cancelled the allotment vide order dated 20.10.1997. In compliance of the Housing Commissioner's Order dated 20.10.1997, the opposite party No.3 passed an order dated 21.10.1997. In the meantime, when the Parishad has forcibly taken the possession and destroyed the property of the firm, it filed an FIR. Learned Counsel for the petitioner submits that though the Parishad has entered into Hire Purchase Agreement and delivered the possession of the shops in question, yet the same has been cancelled without any rhyme and reason. Further, before cancelling the allotment, no opportunity of hearing was afforded. Since the right has been transferred in favour of the petitioner and it is obligatory on the part of the opposite parties to afford an opportunity of hearing before cancelling the allotment order.;