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Supreme Court of India

D.D.A.versusBHAVANA COOP. GROUP HOUSING SOCIETY LTD.

Citation
1995 INSC 495
Decided
24 August 1995
Disposal
Appeal(s) allowed

Holding

Forfeiture to the extent of Rs.5 lakh is upheld, and the remaining deposit must be refunded to the society.

Summary

The Delhi Development Authority (DDA) appealed a Delhi High Court order concerning the forfeiture of a deposit it had taken from Bhavana Cooperative Group Housing Society Ltd. The Supreme Court examined whether the DDA could lawfully retain the entire deposit or only a portion of it. Relying on its earlier decision in D.D.A. v. Glihsthapana Cooperative Group Housing Society Ltd., the Court upheld the forfeiture to the extent of Rs.5 lakh, finding it justified under the applicable provisions. It directed the DDA to refund the remaining balance to the society within four weeks, with interest at 18% per annum if delayed. No costs were awarded, and the appeal was allowed.

Issues considered

  • Whether the forfeiture of the deposit by the Delhi Development Authority up to Rs.5 lakh is lawful.
  • Whether the balance of the deposit must be refunded to the housing society, and the terms of such refund.

Subjects

forfeituredeposithousing societyDelhi Development Authoritycivil appealrefundinterest

Judgment

A                              D.D.A.
                                 v.
              BHAVANA COOP. GROUP HOUSING SOCIETY LTD.

                                 AUGUST 24, 1995

B                 [K. RAMASWAMY AND B.L. HANSARIA, JJ.)

            Delhi Development Auth01ity-F01feiture of deposit-Upheld to the ex-
    tent of Rs. 5 lakhs-R.efwid of balance amount to Housing Socie't}'--Directions
    f or--lssued.
c            Allowing the appeal against the High Court's ,judgment, this Court

          HELD : Forfeiture to the extent of Rupees five lakhs is upheld.
    The appellant authority shall refund the remaining amount to the respon-
    dent. [56-H; 57-A]
D
          D.DA. v. Glihsthapana Cooperative Group Housing Society Ltd., JT
    (1995) 2 S.C. 530, relied on.

             CIVIL APPELLATE JURISDICTION : Civil Appeal No. 7932 of
    1995.
E
          From the Judgment and Order dated 17.8.94 of the Delhi High Court
    in C.W.P. No. 4530 of 1993.

             V.B. Saharaya for the Appellant.

F            Ms. Sangecla Kalra anJ SuJhir Kalra (Jn-person) for the Respon-
    dents.

             The following Order of the Court was delivered :

             Leave granted.
G
          Ms. Sangeeta Kalra and Mr. Sudhir Kalra appeared on behalf of the
    Society. In view of the judgment of this Court in D.DA. v. Glihsthapana
    Cooperative Group Housing Society Ltd., JT (1995) 2 SC 530, the appeal is
    allowed and forfeiture to the extent of rupees five lakhs is upheld. The
H   remaining amount would be refunded by the appellant within a period of
                                       56
         D.D.A. v. BHAVANA CO-OP. GROUP HOUSING SOCIETY               57

four weeks from today, failing which the respondent would be entitled for   A
interest @ 18% per annum from that date till payment. In the facts and
circumstances of the case, we make no order as to costs.

T.N.A.                                                   Appeal allowed.


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