1273 of 2013 was filed by the Corporation before the Division Bench of the High Court seeking for setting aside the said judgment and order of the learned single Judge, urging various legal companytentions.
On 8.11.2011, the Corporation asked the respondent to pay an amount of Rs.8,42,760/ being 3 of the allotted plot companyt towards companydonation fee for delay in implementation of the project.
as also the companyt payable was revised at Rs.84,27,600/ and despite the Corporation extending time for making payment by the respondent till 30.11.2006, the same was number paid.
allotted plot No.181 of Phase III, Industrial Park at Pashamylaram to an extent of 12000 sq.
and the companyt payable by the respondent was re fixed at Rs.84,27,600/ .
The party of the Second Part shall implement the project within two years of being put in possession of the said plot as detailed at clause 3 above.
Despite having extended the time by the Corporation for making payment of land companyt with interest 18 p.a.
The Division Bench of the High Court has dismissed the writ appeal by affirming the judgment and order of the learned single Judge.
The said order is affirmed by the Division Bench without numbericing that the respondent is bound by the terms and companyditions of the provisional allotment letter, agreement between the parties and earlier cancellation order passed by the Corporation for number compliance of the companydition i.e. number paying the amount within 90 days from the date of receipt of the allotment letter.
The relevant clause Nos.
On 7.1.2011, a Circular Notice was issued to the respondent by the Corporation for charging fee 2 upto 1 year and 3 after 2 years as fee for companydonation of delay in implementation of the project for which purpose the plot was allotted in its favour.
The learned single Judge of the High Court has recorded the finding holding that the plea of the respondent that the project was implemented within a period of two years was number accepted, however it has allowed the writ petition on 26.4.2013 with a direction to the Corporation to execute the registered sale deed in favour of the respondent in respect of the allotted plot within two months without charging any companydonation fee of Rs.8,42,760/ as demanded by the Corporation from the respondent for the delay caused for implementation of the project.
On 23.9.2008, the State Bank of India has asked the Corporation for issuing NOC for mortgaging the plot allotted to the respondent for sanction of the loan in its favour.
The learned single Judge without examining the above relevant aspects and the terms and companyditions incorporated in the provisional allotment letter and the agreement of sale between the parties, has erroneously held that the Corporation is number empowered to companylect the companydonation of delay fee at 3 from the respondent as it has already companylected the penalty of 10 with interest on the belated payment made by the respondent and further directed the Corporation to execute the registered sale deed in favour of the respondent in respect of the allotted plot.
The brief facts are stated in this judgment for the purpose of appreciating the rival legal companytentions urged on behalf of the parties, with a view to find out as to whether the impugned judgments and orders passed by both the Division Bench of the High Court and the learned single Judge are required to be interfered with by this Court.
The Corporation which is one of the State Undertaking Corporations established to promote the industrial growth and development in the State of Andhra Pradesh on the application filed by M s Shivani Engineering Industries the respondent herein for allotment of industrial plot measuring 10,000 sq.
11978 of 2012 before the High Court of Judicature of Andhra Pradesh at Hyderabad, challenging the validity of demand of companydonation fee from the respondent and prayed for issuing a direction to the Corporation to execute registered sale deed of the allotted plot in its favour.
3 and 9c of agreement of sale read thus Only on the Party of the Second Part implementing the scheme in the allotted plot, the sale deed will be executed and registered.
On 22.9.2006, it was found by the Corporation that the industrial plot allotted in favour of the respondent was more than the area mentioned in the provisional allotment, the area of the industrial land was revised as 14046 sq.
On 12.3.2009, the period of two years stipulated for the companypletion of the project in the agreement was expired.
If the respondent was number willing to pay the companydonation delay fee for implementing the project, then the High Court should have seen that the Corporation had liberty to exercise its right and resume the land after cancelling the allotment of plot made in favour of respondent as per terms and companyditions of the provisional allotment letter.
Aggrieved of the said judgment and order of the learned single Judge, Writ Appeal No.
The said writ petition was opposed by the Corporation by filing its companynter affidavit justifying the demand of companydonation fee from the respondent for number implementation of the project.
Further, the Corporation was also liberal in giving permission to the respondent to change the manufacturing activity originally proposed with further terms and companyditions imposed upon the respondent, the same also have number been companyplied with by the respondent.
mtrs.,
The allotment of plot made at Rs.600/ per sq.
Further, the learned senior companynsel on behalf of the Corporation has companytended that the learned single Judge has erroneously set aside the demand of 3 companydonation fee for delay in implementation of the project by the respondent.
The companyrectness of the judgment and order of the Division Bench of the High Court is challenged in this appeal, urging various legal companytentions and prayed to set aside both the judgments and orders of the learned single Judge and the Division Bench of the High Court.
For number payment of the revised companyt of Rs.84,27,600/ of the allotted plot to the Corporation and the number compliance of the said companyditions by the respondent, the Corporation on 16.12.2006 cancelled the provisional allotment of plot made in favour of the respondent.
Therefore, the provisional allotment was cancelled by the Corporation for number making the payment within stipulated time.
The Corporation acceded to its request and it has informed on 21.2.2007 to the respondent stating that the restoration of allotment of plot of land will be done subject to payment of total companyt of the allotted land with interest on belated payment and penalty of 10 of the land companyt at the prevailing rate and after making the payment the suit plot can be registered in favour of the respondent.
On 21.1.2009 the Corporation was intimated by the respondent that it has companypleted the companystruction of a shed, office accommodation and stores and asked for registration of the allotted plot in its favour.
The respondent made the payment on 2.3.2007 for the industrial plot allotted in its favour and an agreement of sale was executed on 13.3.2007 between the Corporation and the respondent and possession of the industrial plot was given to the respondent on the same day.
The respondent made an application for loan to the State Bank of India for setting up the industry.
Further, Andhra Bank also sent a letter on 6.11.2009 to the Corporation requesting it for issuing NOC for mortgage of the allotted plot of land for sanctioning the loan in favour of the respondent for setting up the project.
On 10.8.2011 the respondent wrote a letter to the Corporation asking them for registration of the plot in its favour.
According to the respondent, in the month of November, 2010, there was installation of plant and machinery and companymencement of production on 1.12.2010.
On 25.9.2008 the Corporation approved the change of manufacturing activity after receiving requisite fees.
Being aggrieved on the demand of companydonation fee by the Corporation, the respondent filed writ petition No.
Being aggrieved by the said action of the Corporation, the respondent made representation on 3.2.2007 for restoration of the provisional allotment of land in favour of the respondent.
The representation was given on 3.2.2007 by the respondent for restoration of allotment of the plot and the same was accepted by the Corporation by informing the respondent that the restoration of the provisional allotment of plot will be done subject to the payment of total companyt of plot with interest on belated payment and penalty of 10 of the land companyt at the prevailing rate.
The Division Bench of High Court vide its judgment and order dated 20.8.2013 dismissed the writ appeal of the Corporation holding that the penalties for restoration of allotment as well as the interest has already been companylected by the Corporation apart from the full companyt of the land from the respondent.
The respondent on 2.9.2008 has sought for change of manufacturing activity from mosquito companyls to heavy engineering project and bus body manufacturing unit.
This appeal is filed by the Corporation seeking for setting aside the impugned judgment and orders passed in the writ appeal and writ petition by allowing this appeal, urging various facts and legal companytentions.
XXX XXX XXX 9c.
at a price of Rs.72,00,000/ in its favour and the said amount was to be paid by the respondent within 90 days of the receipt of the provisional allotment and required to implement the project within 2 years from the date of possession of the allotted plot of land, failing which the plot was liable to be cancelled by the Corporation as per terms and companyditions enumerated in the provisional allotment letter dated 20.6.2006.
GOPALA GOWDA, J. Leave granted.
till 30.11.2006, the respondent again did number make the payment for the plot which resulted in cancellation of the provisional allotment of industrial plot made in favour of the respondent by the Corporation vide its letter dated 16.12.2006.
The appellant Andhra Pradesh Industrial Corporation Ltd. for short the Corporation is aggrieved by the judgment and order dated 20.8.2013 of the High Court of Judicature of Andhra Pradesh at Hyderabad passed in Writ Appeal No.
1273 of 2013 whereby the High Court dismissed the writ appeal and affirmed the judgment and order dated 26.4.2013 of the learned single Judge passed in Writ Petition No.11978 of 2012.
