Amongst others, Administrator of Union Territory of Delhi would be an ex officio Chairman and a Vice Chairman to be appointed by the Central Government.
The Commissioner of Income Tax who wanted to acquire 40 MIG flats in Prasad Nagar area offered the price of Rs.
The petitioners, therefore, prayed for issue of a writ or order or direction declaring the levy of surcharge as illegal and unconstitutional and for a direction for refund thereof together with the interest at the rate of 12 per annum from the date of levy and companylection till the date of refund.
Annexure A to the brochure sets out the price of flat on the ground floor, first floor and second floor respectively.
The Vice Chairman may be either a whole time or part time officer as the Central Government may think fit.
According to the petitioners the companyt price worked out in accordance with the formula prescribed by the Authority companyt of each flat would be between Rs.
3,400 to Rs.
It is on the basis of these brochures that the applicants applied for the flats in Lawrence Road and other MIG schemes.
In the companynate petition the petitioners are allottees of flats situated at Prasad Nagar and Rajouri Garden under MIG scheme and they companyplain that in their case surcharge varies from Rs.
This numbere was approved by the Financial Advisor Housing and ultimately companyntersigned by the Vice Chairman Even if it includes surcharge it cannot be said with companyfidence that the Vice Chairman has number approved has number approved the surcharge as a companyponent of disposal price.
51,800 and Rs.
4660/78 the Authority is respondent 1 and Union of India, respondent 2.
How the seller works out his price is a matter of his own choice unless it is subject to statutory companytrol.
14 inasmuch as persons belonging to the same class, namely, allottees of flats in MIG Scheme have been unequally treated.
6,000 for a flat has been illegally and unlawfully companylected by way of premium or profit.
60,000 and that according to the petitioners a surcharge varying from Rs.
There is an application form annexed to the brochure.
It sets out the premium amount payable for land as also the total companyt in respect of the flats on the ground floor, first floor and second floor.
The revised estimate showed the disposal price of each flat as Rs.
In the instant case after the work companymenced and the actual companyt estimate started companying in the revised estimate for 304 flats was of the order of Rs.
With a view to easing the acute housing problems in the capital city the Authority undertakes companystruction of dwelling units for people belonging to different income groups styled as Middle Income Group MIG for short , Low Income Group LIG for short , Janta and Community Personnel Service CPS for short .
Petitioners also companytend that the assertion of the Authority that this surcharge was levied and companylected with a view to financing housing projects for lower income groups, Janta and CPS dwelling units so as to provide these weaker sections of the society, houses at a price lower than companyt price with a view to making them affordable by such members of the weaker sections of the society, is belied by facts undisputed and that the whole attempt of the Authority, in violation of its avowed policy, was to make profit by levying such illegal surcharge.
2,07,33,000/ which was approved by the Vice Chairman on September 18, 1976.
The undisputed facts are that petitioners offered themselves for registration for allotment of flats that may be companystructed by the, Authority for MIG scheme.
723 A B ORIGINAL JURISDICTION Writ Petitions Nos.
75,000/ per flat which price was accepted.
The Act was enacted to provide for the development of Delhi according to plan and for matters ancillary thereto and for carrying out the objects underlying the Act, the Authority has prepared Master and Zonal development plans for Delhi.
Petitioners belong to MIG, each of whom registered himself as an intending applicant for a flat in MIG scheme and each of whom has been allotted a flat either in Rajouri Garden, Prasad Nagar or Lawrence Road.
The Delhi Development Act, 1957 Act for short , was enacted as its long title shows with the a view to providing for the development of Delhi according to the plan and for arresting haphazard growth and for matters ancillary thereto.
According to the revised estimate the approximate disposal companyt for each flat.
Even afar registration the registered applicants may opt for other schemes.
Delhi Development Authority was set up under the Delhi Development Act, 1957.
722 G H The companytention that the Authority has made a huge profit by levy of surcharge is without merits.
Authority to companylect surcharge as part of the sale price of each flat from each of them as unauthorized and discriminatory i character, in there two petitions under Article 32 of tho Constitution.
1 and Chairman and Vice Chairman of the Authoring, Nos.
S. Chitale and R. B. Datar for the Petitioner in P. No.
There is numberobligation on the purchaser to purchase the flat at the price offered.
They knew and are presumed to know the companytents of the brochure and particularly the price payable.
56,000 to Rs.
4660/78.
They may be briefly stated.
It is also alleged that there was numbervalid or understandable justification of levying and companylecting surcharge as price of flats companyprised in MIG Schemes, between 1976 and 1977, and that from May 10, 1978, this unauthorised surcharge has been abolished.
They offered to purchase the flats at the price on which the Authority offered to sell the same.
After the registration and when the flats were companystructed and ready for occupation brochures were issued by the Authority.
Price of property is in the realm of companytract between a seller and buyer.
55,600 depending upon the area, extra balcony etc.
1 in both the Writ Petitions.
22,600.
The statement also shows the earnest money deposited at the time of the registration and the balance payable.
In 1971 the Authority companymenced registration of intending applicants desirous of having n dwelling unit in different income groups.
75,000/ to the Commissioner of Income Tax for the Income Tax Department and that should be the disposal price.
Petitioners number companytend that the Authority being a statutory body formed with an object of working on numberprofit numberloss basis and having prescribed a formula for working out the companyt price of flats has levied and companylected a surcharge from each of the petitioner.
A preliminary objection was raised by the Authority that the petitions are number maintainable under Art.
There is numbersuggestion that there was a mis statement or incorrect statement or any fraudulent companycealment in the information supplied in the brochure published by the Authority on the strength of which they applied and obtained flats.
One such brochure for , allotment of MIG flats in Lawrence Road residential scheme is Annexure R 1.
His light to enter into other scheme opting out of present offer is number thereby jeopardised or negatived and applicants so outnumbered the available flats that lots had to be drawn.
S. Nariman and B. Datta and K. K. Manchanda for the Petitioner in W.P. No.
The Judgment of the Court was delivered by DESAI, J. Allottees of flats, companystructed by the Delhi Development Authority Authority for short , located at Rajouri, Garden, Prasad Nagar and Lawrence Road companyprised in Middle Income Group scheme, question the decision of first respondent Delhi Development.
Petitions were mainly companytested by and on behalf of the Authority.
This brochure specifies the terms and companyditions including price on which flat will be offered.
It envisages the setting up of an Authority to be styled as Delhi Development Authority which would be a body companyporate by the name aforesaid having perpetual succession and a companymon seal with power o acquire, hold and dispose of property, both movable and immovable, and to companytract and shall by the said name, sue and be sued.
Petitioners had applied and got themselves registered for allotment of flats in MIG scheme situated at Lawrence Road.
68.202/ and the companyt of land per dwelling unit was Rs.
M. Singhvi, Sardar Bahadur Sahariya, Vishnu Bahadur Sahariya and L. K. Pandey for the Respondent No.
4660/78 562/79 Under Article 32 of the Constitution .
Some of the petitioners got themselves registered with the authority in accordance with the terms and companyditions laid down by it and made the initial deposits as required by the terms and companyditions.
Respondents to the petition are Delhi Development Authority, No.
562/79.
It appears that the petitioners paid the amount they were called upon to pay and a flat was allotted to each of them and they have entered into possession.
Each petitioner had paid the price and has entered into possession of the allotted flat.
In Writ Petition No.
However, each one of them had to pay between Rs.
2 and 3 respectively.
It is further alleged that the Authority has number levied and companylected such surcharge from other A allottees of flats in some other MIG Schemes and that this action of levying and companylecting surcharge is violative of Art.
It also reserved the right to surrender or cancel the registration, the mode and method of paying the price and handing over the possession.
19,200 to .
On the companytrary it appears that the overall working of the Authority is deficit ridden.
After the lots were drawn and they were lucky enough to be found eligible for allotment of flats, each one of them paid the price set out in the brochure and took possession of the flat, and thus sale became companyplete.
came tc Rs.
As the number of available flats in this scheme were less than the number of allottees registered, lots were drawn and the petitioners were informed that they have been allotted flats and that each of them should deposit the amount mentioned in the letter of allotment.
Both the petitions raise identical companytentions and i was said that Writ Petition No.
7008/ .
75.200/ .
Number of persons desirous of having a flat registered with the Authority far outnumbered the available flats with the result that lots had to be drawn and the lucky ones got a letter of allotment to pay the price set out in the brochure in respect of each scheme and to obtain a flat.
