Harish Chand Bhatia vs New Okhla Industrial Development Authority and Others

The petitioner has sought to quash the order dated 11th December 1985 whereby the allotment of land in his favour has been cancelled by the New Okhla Industrial Development Authority, Respondent No. 1,(hereinafter referred to as ''NOIDA).

The petitioner was member of Cooperative Housing Society known as Nayabans Saraswati Sahakari Grih Nirman Samiti Limited, Muster Plan RoadII, NOIDA (in short the society). The land of the society was acquitted by Respondent No. 1. After the acquisition under the scheme framed by Respondent No. 1 certain plots were allotted to its members. The petitioner was allotted plot No. A42, Sector6. This allotment order has been cancelled by the impugned order on the ground that the petitioner had purchased share certificates, but its approval was granted in the year 1978 after cut off period i.e. 1st May 1976 and only such persons were entitled to get allotted the plots who were members prior on or before 1st May 1976.

We have heard Sri Vinod Sinha learned Counsel for the petitioner and Sri U.S. Awasthi learned Counsel for the respondents.

The question is whether the petit loner w. s member of the society on or before 1st May 1979. A person could have been member of the society on having certain share certificates. If a person transfers his share to other person, such person becomes member on transfer of the shares. One Lilawali was member of the society. She had shares in the society. She transferred her rights in favour of the petitioner on 19th April 1976. She took the amount from the petitioner on 1941976 and transferred the shares. The transfer requires approval of the society. The society granted approval of transfer of share certificates to the petitioner in the year 1978.

The contention of the petitioner is that the petitioner had already paid the amount for transfer and Lilawati had transferred her shares. The only question is with regard to approval of the society. The approval of the society may have been granted later on but the transfer had taken place on 19th April 1976. If for one reason or the other the society could not grant approval prior to 1st May 1976, the petitioner should not suffer for inaction of the society and in any case the approval should relate back to the date of transaction.

Their Lordships of the Supreme Court in Shri Bhagwan Singh v. The Chairman, NOIDA and others, JT1995 (2) SC55, held that in case the petitioner is not responsible for delay in obtaining membership beyond cutoff date, he should not suffer. In this case also the cutoff date was 1st May 1976. The NOIDA has cancelled the allotment on the ground that the petitioner was not approved for membership prior to this date.

In our view the facts of the present case are similar to the above case. The writ petition is accordingly allowed. The impugned order cancelling the allotment is hereby quashed. The respondents shall get the leasedeed registered within a month from the date of production of a certified copy of this order. Petition allowed