EFCALON TIE-UP PVT LTD & ANR Vs. STATE OF WEST BENGAL AND ORS
LAWS(CAL)-2010-5-137
HIGH COURT OF CALCUTTA
Decided on May 18,2010

EFCALON TIE-UP PVT LTD And ANR; UMA ENTERPRISE And ANR Appellant
VERSUS
State Of West Bengal And Ors Respondents

JUDGEMENT

- (1.) Subject matter of challenge in these writ petitions being the same, they were taken up for analogous hearing and are decided by this common order. Sale Notice No.1/Rev/FUO of 2009-10 dated 11.2.2010 was issued by the Divisional Forest Officer, Forest Utilisation Division, Directorate of Forests, Government of West Bengal (hereafter the DFO), notifying that an auction would be conducted on 12.3.2010 in respect of disposal of 'Red Sander'. Relevant conditions of the auction, as notified by the notice referred to above, are as follows : 2. The intending purchaser is required to deposit Rs.5,00,000/- (Rupees five lacs) only as the Earnest Money. Deposit of the successful bidder will be refunded to him after deposit of 25% of the revenue and execution of agreement in term of clause-4, failing which the Earnest Money will be forfeited to Government. The E.M. Deposit of the unsuccessful bidder will be refunded in due course on application. 3. The bid will be exclusive of sales tax and other taxes and nay dues of the government. The successful bidder after acceptance of his bid will have to deposit 25% of the sale value within 5 working days and corresponding sales tax, failing which the sale will be cancelled. The 25% of the sale value will be treated as security money till the balance revenue is paid by the purchaser. This will be forfeited in case balance revenue is not paid. 5. The balance revenue of the lot including sales tax shall have to be paid in full within 30 days from the date of auction failing which the agreement will be liable for termination. 6. If the balance revenue is not paid within stipulated date, revenue may be accepted at the discretion of the undersigned with the approval of Chief Conservator of Forests/Head Quarters & Land Affairs. On special circumstances a later date of payment may be allowed on payment of surcharge of 1% of the balance amount per 30 days. However the purchaser will have no right to claim such extension after the extended time of payment of balance revenue has expired. Extension period will not in any case be allowed to exceed two months from the dated of auction.
(2.) Condition 3, it is claimed by the petitioners in both the petitions, is of mandatory character. In view of the fact that the condition was too onerous, it is further claimed by them that all the parties intending to bid and present at the time and venue of auction on 12.3.2010 requested the DFO to relax the condition and to allow the successful bidder to deposit 25% of the sale value within 10 working days, instead of 5 working days.
(3.) The petitioners in unison allege that the prayer was not accepted and the DFO required the bidders to bid without there being any relaxation/modification of condition 3. The petitioners retracted and, therefore, did not bid. However, they aver to have learnt later on that after the auction was over, condition 3 was relaxed and the highest bidder was granted 10 working days time from date of auction to deposit 25% sale value.;


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