- (1.) This judgment disposes of two appeals. The first appeal has been preferred from an order dated 14th September, 1998 by which the learned Judge taking company matters dismissed an application filed by the appellants for recalling the confirmation of sale held by the Court in favour of the respondent No. 2. The Second appeal has been preferred from an order also dated 14th September,1998 directing the appellant No. 1 to process the mutation application made by the respondent No. 2 expeditiously and preferably by 8 weeks from the date of the order "and to make necessary orders in accordance with law".
(2.) The dispute centers around Plot No. 13A, Block 4, Asaf Ali Road, New Delhi (referred to as the premises). The Premises belong to the Government of India. The premises were placed at the disposal of the Delhi Improvement Trust (DIT).
(3.) Sometime prior to 1954 DIT invited bids for perpetual lease/purchase of intra alia the premises. India Electrical Works Ltd. (referred to as a Company) submitted a bid. This was accepted by the DIT. The company paid the entire consideration money and an agreement for lease was executed on 9th April, 1956 between the DIT and the company. The agreement provided that the company could enter on the land for the purpose of building an executing works thereon in the manner agreed upon between the parties. The company was required to carry out various works on the land as also take steps preparatory to the construction on the land. The relevant clauses of this agreement for the purpose of this appeal are set out below : "Clause 7(a) Without prior permission in writing of the Trust the said intended lease shall not alienate, partition, subdivide or part with possession of, the said land in any manner whatsoever. (b) Without first obtaining the consent in writing of the Trust the said intended lessee shall not transfer the rights in the said land unless the building as provided in Clause (2) hereof is created on the said land. Clause 8. Till such time as the building operations are begun in accordance with Clause(2) of the agreement the said intended lessee shall pay to the Trust for each quarter of the year or a part thereof, in advance from the date of this agreement such sum as may be fixed by the Trust for keeping the site along and also during this period shall permit the Trust to lease the said land for grazing or for grass outing on such terms as may be decided upon by the Trust and the income from such leasing will be the property of the Trust. Clause 12. Upon production of the said intended lessee of a certificate dated and signed by the Chairman of the Trust of such officer of the Trust or authority as may be authorised in this behalf certifying that the building has been constructed upon the said land in accordance with the provisions of Clause (2) read with SCHEDULE II of this agreement and provided the other conditions of this agreement have been duly observed, and in the event of any recoveries having been made in accordance with the provisions of this agreement out of the said security so deposited as aforesaid, upon payment by the said intended lessee of such sums as is required to make up the full sum of Rs. 44,214.12 payable by the said intended Lessee by way of premium as herein before mentioned, the Trust will grant or cause to be granted to the said intended lessee and the said intended Lessee shall accept a lease of the building to be granted as aforesaid and of the said pieces of land in perpetuity from the 4th day of December, one thousand nine hundred and fifty four at the yearly rent of Rs. 1,105.6 only or such other sum as may hereinafter be assessed under the covenants and conditions contained in the printed form of lease attached hereto payable half yearly in advance without any deduction whatsoever to the Lamberdar of the area appointed by the Trust on the First day of April and October of each and every year in respect of the proceeding half year AND ALSO PAYING unto the Trust in any event of the first half year not expiring on the 31st day of March, or the 30th day of September of that year proportionate part of the rent for the fraction of the first half year.";