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NEW OKHLA INDUSTRIAL DEVELOPMENT AUTHORITY & ANR. versus ARVIND SONEKAR

Citation: [2008] 6 S.C.R. 241 · Decided: 10-04-2008 · Supreme Court of India · Bench: TARUN CHATTERJEE · Disposal: Case Allowed

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Judgment (excerpt)

[2008] 6 S.C.R. 241 
~ 
NEW OKHLA INDUSTRIAL DEVELOPMENT 
A 
AUTHORITY & ANR. 
v 
ARVIND SONEKAR 
(Civil Appeal No. 5514 of 2001) 
APRIL 10, 2008 
B 
[TARUN CHATIERJEE & HARJIT SINGH BEDI, JJ.] 
Monopolies and Restrictive Trade Practices Act - ss. 10 
(a)(i)(1), 36A and 13 - Scheme of allotment of plot by Naida c 
Authorities - Allotment letter to applicant in 1993 - Allotment 
@ Rs. 36001- per sq. mtr. - Deposit of 20% allotment money 
at the said rate - Petition by applicant alleging restrictive trade 
practices and unfair trade practices and seeking benefit of old 
rate-Rs. 27501- per sq. mtr. - Upheld by MRTP Commission D 
directing the Authorities to refund the excess amount charged 
.l 
- Sustainability of - Held: Not sustainable since contract was 
concluded by execution of lease deed wherein rate was 
Rs. 36001- per sq. mtr. - In the affidavit by applicant also same 
rate was given - Applicant was not discriminated - Doctrine of E 
legitimate expectation was also not applicable - Earlier offer 
letter of 1993 to the applicant for allotment of plot@ Rs. 27501 
- per sq. mtr. could not be treated as a concluded contract, 
thus it was not an allotment letter. 
In 1993, the appellant-Neida Authorities invited 
F 
• 
't 
applications for allotment of plot to Nursing Homes and 
Hospitals. Under the Scheme, it was mentioned that the 
rate would be as prevailing at the time of allotment. The 
rate was Rs. 2750/- per sq. mtr. The respondent submitted 
the application with the registration amount of Rs. 
G 
1,00,000/-. On 21.12.1993, the appellant issued letter to the 
respondent asking him to pay certain amount but he did 
not deposit the amount. On scrutiny, the proposed site 
for allotment was not cleared. The appellant refunded the 
241 
H 
242 
SUPREME COURT REPORTS 
(2008) 6 S.C.R. 
A registration amount and the respondent accepted the 
same. In 1996, the appellant issued a fresh allotment letter 
and the allotment rate was Rs. 3600/- per sq. mtr. 
Respondent deposited 20% of allotment money, @ 
Rs. 3600/- per sq. mtr. Thereafter, the respondent filed 
B affidavit before the Authorities stating that he accepted 
the terms and conditions of the offer letter as also the rate 
at which allotment was to be made. In the Lease Deed 
executed in favour of respondent also along with the terms 
and conditions of allotment, the rate of land was @ 
C Rs. 3600/- per sq. mtr. Respondent filed petition under ss. 
10 (a)(i)(1 ), 36 A and 13 of MRTP Act before the MRTP 
Commission alleging that the action of the appellant was 
restrictive trade practices and also unfair trade practices. 
He also sought benefit of old rate Rs. 2750/- per sq. mtr as 
0 extended in case of other applicant. MRTP Commission 
allowed the petition directing the Naida Authorities to 
refund the excess amount paid by the respondent which 
was the difference of money between Rs. 3600/- per sq. 
mtr. and Rs. 2750/- per sq. mtr., to him. Hence the present 
appeal. 
E 
Allowing the appeal, the court 
HELD: 1.1 The order of the MRTP Commission 
cannot be sustained. It was clearly in error in granting relief 
to the respondent. The impugned order of the MRTP 
F Commission is set aside and the petition filed before the 
MRTP Commission by the respondent is rejected. [Para 
11] [252-A, B] 
1.2 The respondent having accepted the refunded 
G money without raising any objection could not turn 
around and say that the offer letter of 1993 was an 
allotment letter and therefore, it was a concluded contract 
between the parties. Perusal of the said letter would not 
show that it was an allotment letter. By this letter, a plot of 
land was only·offered to the respondent and there is 
H 
•. 
,. 
) 
NEW OKHLA INDUS. DEVELOPMENT AUTHORITY & 
243 
ANR. v. ARVIND SONEKAR 
nothing on record to show that the said offer letter had A 
culminated into an allotment letter. Therefore, it is difficult 
to conceive that the earlier offer letter@ Rs. 2750/- per sq. 
mtr. had culminated into a concluded contract and the 
lease deed ought to have been executed @ Rs. 2750/- per 
sq.intr. as that was the offer of the Noida authorities in the B 
year 1993. That apart, after accepting the rate of the land 
at Rs. 3600/- per sq. mtr. and executing the lease deed at 
the accepted rate and after having already paid in terms 
of the offer letter, it was not open to the respondent to 
allege that in view of the earlier concluded contract, he c 
was liable to pay@ Rs.2750/- per sq. mtr. in respe

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