M.R.AGNIHOTRI, J. - (1.) This petition has been filed by M/s. Urban Improvement Company (P) Ltd., (hereinafter referred to as 'the Company') registered under the Companies Act, 1956, through Shri K. S Bhatnagar, Chairman of the Company, and formerly Chairman of the Company Law Board and Secretary to Government of India petitioner No. 1, and Green Fields Plotholders' Association (Regd.) petitioner No. 2. The company was formed in 1953 and in 1961-62, it purchased about 440 acres of land from the District Board, Gurgaon, for developing a residential complex called "Green Fields Colony". The approval to develop the colony was obtained from the District Board, Gurgaon in March 1961. About 3,500 plots were carved out and most of them were sold out soon thereafter. In 1963, the Company applied for grant of permission to develop the Colony under the Punjab Scheduled Roads and Controlled Areas Restriction of Unregulated Development Act, 1963, which permission was granted in 1969 by the present State of Haryana, after it came into existence with effect from 1/11/1966. In 1971, the Haryana Restrictions of (Development and Regulation of Colonies) Act, 1971, was enacted and the petitioner Company sought permission for developing the colony under that Act. The same was also granted in 1973. However, the said Act of 1971 was later on struck down by the Punjab and Haryana High Court which necessitated the enactment of the new Act, called, the Haryana Development and Regulation of Urban Areas Act, 1975 (Haryana Act No. 8 of 1975), which is in force today.
(2.) Now, under the Act of 1975, the Company was required to seek exemption from obtaining license in terms of Section 9(2) of the said Act. This application of the Company for the grant of exemption was still pending when on 23/06/1976, the Company Law Board of the Government of India, Ministry of Law and Justice (Department of Companies Affairs), in exercise of the power conferred by sub-section (1) of Section 408 of the Companies Act, 1956, appointed the following persons to hold the office of Directors of the Company for a period of three years to effectively safeguard the interests of the Company and the public interest:- 1. Lt. Genl. R. N. Batra, President, Plotholders Association. 2. Sh. R. K. Khanna, Chartered Accountant, New Delhi. 3. Sh. Lalit Bhasin, Advocate, Supreme Court, 10, Haily Road, New Delhi. 4. Sh. S. P. Mitra, Advocate, Supreme Court, K. 57, Jangpura Extn., New Delhi-14. 5. Sh. O. P. Bhardwaj, Addl. Director, Urban Estate, Govt. of Haryana, Chandigarh. Thereafter, the Government of Haryana granted the necessary exemption to the Company on 5/04/1982, under Section 23 of the Act of 1975, for setting up the residential colony, namely, Green Fields Colony, in the urban area of Faridabad, on certain terms and conditions. The petitioner company was also required to execute an undertaking regarding furnishing of Bank guarantee towards the cost of development work, and pay for external water supply, etc., which it accordingly did pay on 12/04/1982. Thereafter in 1983, the Company deposited a sum of Rs. 65,00,000.00 towards service charges and water charges by way of first instalment, along with furnishing of the Bank guarantee to the tune of Rs. 15 lacs. The zoning and other service plans which were also submitted by the Company, were also accepted by the State Government, being found technically in order. Despite all this, the external development work was not initiated by the State Government nor were the zoning and other service plans approved. In the meantime, on 20/04/1988, the State Government demanded an unconditional undertaking from the Company to pay the revised external development charges as and when they were to be worked out. The State Government further intimated to the petitioner company that the zoning and service plans would be approved only after the payment of the revised external development charges was made. When repeated representations made by the Company for the approval of the zoning and other service plans did not bring any result, the Company approached this Court by filing the present writ petition.
(3.) During the pendency of the writ petition, the State Government on 7/01/1992, intimated to the petitioner the revised external development charges at the rate of Rs. 3.68 lacs per gross acre. On receipt of the aforesaid communication, the Company requested for reconsideration of the decision. It was thereupon that the State Government on 14/09/1992, agreed to accept the payment of external development charges in eight equal six monthly instalments of Rs. 12.5 per cent each, along with 21 (18+3) per cent. The petitioner company on 13/10/1992, moved a Civil Miscellaneous Application seeking permission to deposit Rs. 3,75,34,900.00 towards the first and second instalments at the rate of 25 per cent of the net amount payable through Fixed Deposit Receipt in the name of the Registrar of the High Court. Soon thereafter, another Civil Miscellaneous Application (No. 362 of 1993) was filed by the Company on 6/01/1993, seeking permission to deposit the second instalment of Rs. 1,87,68,000.00 through the Fixed Deposit Receipt in the name of the Registrar. These amounts stand deposited as aforesaid.;