TMI Blog1996 (3) TMI 569X X X X Extracts X X X X X X X X Extracts X X X X ..... . 2. The said Trust had framed a scheme known as Central Avenue Scheme and plot No. 57 in Circle No. 7/12 was leased out to C.P.Syndicate, Nagpur. However, the aforesaid C.P. Syndicate on 30.10.1957 transferred its right, title and interest in the lease-hold to the appellant No. 1, Laxmikant. The other appellants are brothers of appellant No. 1. One of the conditions imposed by the Trust in respect of the aforesaid lease was that the construction should start within four years from the date of the agreement of lease and it should be completed within three years thereafter. As this condition was not complied with, a notice was issued to the appellants alongwith other defaulters as to why the lease be not cancelled. Show cause was filed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... petition, so that further action could be taken. The appellants withdrew the said writ petition on 30.9.1980. Thereafter, a meeting of the Board of the Trust was held on 27.2.1981 to consider the question as to whether the highest bid of the respondent be rejected and the plot be reinstated in favour of the appellants. The relevant part of the resolution says : The Board, therefore, decided by majority of votes that the highest bid of Shri S.S. Bhojwani, Chief Promoter, Indus Co-Operative Housing Society Ltd., received in the auction should be rejected and the plot should be reinstated in favour of the original allottees Shri Laxmikant Itkelwar and others on the following terms and conditions.... This very resolution has been quashe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s that under conditions prescribed therein a lower bid may be accepted or the land in question may be withdrawn from auction. It will be proper to refer to the finding of the High Court in respect of the auction so held : It is also clear that unless the third bid is accepted, there is no completed contract and the question of enforcement of any rights under the contract does not arise in the present case. If it is brought to the notice of this Court that statutory Body like the Nagpur Improvement Trust is refusing to perform its statutory obligation, then certainly this Court can entertain a petition to find out whether that grievance be redressed or not. In my opinion, therefore, no such question of any enforcement of a contract or ri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... date of the letter informing confirmation of the auction bid in the name of the person concerned'. Admittedly, no such confirmation letter was issued to the respondent. Condition Nos. 5, 6 and 7 are relevant: 5. The acceptance of the highest bid shall depend on the Board of Trustees. 6. The Trust shall reserve to itself the right to reject the highest or any bid. 7. The person making a highest bid shall have no right to take back his bid. The decision of the Chairman of the Board of Trustees regarding acceptance or rejection of the bid shall be binding on the said person. Before taking the decision as above and informing the same to the individual concerned, if the said individual takes back his bid, the entire amount remitt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the conditions of the sale which had been notified before the public auction was held. 6. The learned Counsel appearing for the respondent urged that in view of the statutory provision of Rule 4(3) it was not open to the Trust to prescribe the conditions of auction referred to above. The respondent having participated at the said public auction on basis of those conditions which were in nature of supplementary provisions for holding the auction could not be questioned by the respondent. The High Court, was not justified in quashing the resolution dated 27.2.1981 of the Trust, to reinstate the plot in question in favour of the appellants on conditions mentioned in the said resolution. That decision had been taken by the Board of Trustees ..... X X X X Extracts X X X X X X X X Extracts X X X X
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