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2012 (8) TMI 1187 - SC - Indian LawsAllotment of Commercial Plots by way of Auction - Delayed in payment of installments - Liability to pay interest - Terms and condition of the allotment letter binds both the parties - In present case, since PUDA had failed to provide the basic amenities, Respondents were not legally obliged to pay interest, penal interest, penalty etc. on the delayed installments. PUDA submitted that the electrical works had been completed by 24.12.2002, public health works had been completed by 22.11.2002 and the development of the commercial pocket had been completed by 20.12.2002. On getting possession after payment of 25% of the total cost, Respondent raised construction on the allotted site in the year 2002. HELD THAT:- There was no dispute that the plots were auctioned on 16.3.2001 on the basis of the terms and conditions stipulated therein. Clause 25 is the most important clause, which binds both the parties, the Respondents had accepted the commercial plots with the open eyes, subject to the conditions. that after having accepted the offer of the commercial plots in a public auction with a super imposed condition i.e. on "as is where is" basis and after having accepted the - terms and conditions of the allotment letter, including installment facility for payment, Respondents cannot say that they are not bound by the terms and conditions of the auction notice, as well as that of the allotment letter. On facts also, court have found that there was no inordinate delay on the part of PUDA in providing those facilities. Hence, the High Court was not justified in holding that the Respondents are not liable to pay the interest, penal interest and penalty for the period commencing from 1.6.2001 to 31.12.2002 for the belated payment of installments. Consequently, the judgments of the High Court are set aside and the writ petitions would stand dismissed and the appeals would stand allowed as above. There will be no order as to costs.
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