avoid disposal of government land by adopting discriminatory and arbitrary method

8/11/2019 Avoid Disposal of Government Land by Adopting Discriminatory and Arbitrary Method

1/60Page 1

REPORTABLE

IN THE SUPREME COURT OF INDIACIVIL APPELLATE JURISDICTION

Civil Appeal No.9264 of 2014(Arising out of Spei!" Le!#e Petition (C$ No% &&&' of )&)$

Cit* In+ustri!" De#e"op,entT-r% its M!n!ging Diretor . Appe""!nt (s$

Versus

P"!tinu, Entert!in,ent !n+ ot-ers . Respon+ent(s$

/ITH

Civil Appeal No.9265 of 2014(Arising out of Spei!" Le!#e Petition (C$ No%&&0 of )&)$


Versus

P"!tinu, S1u!re Trust !n+ Anr% . Respon+ent(s$

Civil Appeal No.9266 of 2014(Arising out of Spei!" Le!#e Petition (C$ No%&2) of )&)$


Versus

Poporn Entert!in,ent Corpor!tion!n+ ot-ers . Respon+ent(s$

&


2/60Page 2

JUDGENT

.!. E"BAL# J.

Le!#e gr!nte+%

% T-ese !ppe!"s !re +irete+ !g!inst t-e o,,on

3u+g,ent !n+ fin!" or+er +!te+ )&%)2%))2 p!sse+ 4* t-e

Hig- Court of Ju+i!ture !t 5o,4!* 6-ere4* Di#ision 5en-

of t-e Hig- Court -!s !""o6e+ t-ree /rit Petitions 4eing

/%P%Nos% 278'9 278: of ))0 !n+ ;7; of ))8 preferre+

respeti#e"* 4* M$ !n+ M$% 5* 6!* of t-ese 6rit petitions9 t-e

6rit petitioners -!+ -!""enge+ or+ers of !ppe""!nt? =T-e Cit*

@ In+ustri!" De#e"op,ent Corpor!tion> (in s-ort =CIDCO>$ 4*

6-i- !""ot,ent of p"ot of "!n+s to M


3/60Page 3

P"!tinu, S1u!re for est!4"is-,ent of ountr* "u4 6ere

!ne""e+%

;% T-e f!ts gi#ing rise to !fores!i+ 6rit petitions !n+

onse1uent"* present !ppe!"s !re !",ost si,i"!r% Ho6e#er9

for t-e s!Be of "!rit* f!tu!" ,!tri of e!- !ppe!" -!s 4een

,entione+ -ere sep!r!te"*%

7% T-e respon+ent? Ms instrutions9 respon+ent su4,itte+ +et!i"e+ pro3et

report% CIDCO9 4* t-eir "etter of intent9 re1ueste+ t-e

respon+ent -erein to p!* !n E!rnest Mone* Deposit of

Rs%)9''9)))


4/60Page 4

2%8%))7% On 2%'%))79 CIDCO !ppro#e+ t-e !""ot,ent of !

p"ot in f!#our of t-e !ppe""!nt !s t-e 5o!r+ -!+ not got !n*

response for si,i"!r p"ots in pu4"i ten+er% T-e tot!" "e!se

pre,iu, in respet of t-e p"ot 6!s Rs%9)'9')9)))


5/60Page 5

0% Ho6e#er9 on &%:%))09 !ppe""!nt CIDCO issue+ ! s-o6

!use notie to t-e respon+ent reg!r+ing t-e p"ot !t Airo"i

seeBing !ne""!tion of t-e !gree,ent to "e!se eeute+ in

f!#our of t-e respon+ent% T-e respon+ent su4,itte+ rep"*

to t-e s-o6 !use notie !n+ !"so soug-t infor,!tion fro,

CIDCO un+er t-e Rig-t to Infor,!tion At reg!r+ing

!""ot,ent to #!rious p!rties !n+ t-e +et!i"s t-ereon% T-e

Agree,ent of Le!se 6!s repu+i!te+ !n+ resin+e+9 !g!inst

6-i- t-e respon+ent !ppro!-e+ t-e Hig- Court 4* 6!* of

! 6rit petition%

8% T-e respon+ent? M


6/60


7/60Page 7

p!*,ent of Rs%) "!B- !"ong 6it- Rs%9289)':


8/60Page 8

t-e p"ot9 !g!inst 6-i- t-e respon+ent !ppro!-e+ t-e Hig-

Court 4* 6!* of 6rit petition%

'% T-e respon+ent? M


9/60Page 9

for !""ot,ent !t su4si+ie+ r!te in ter,s of t-e po"i*

ot-er6ise o,,eri!" r!tes 6ere to !ttr!t for su-

!""ot,ent% T-e respon+ent in ter,s of t-e "etter of CIDCO

+eposite+ ! su, of Rs%;2%0 "!B- 6it- t-e,% T-e

respon+ent got its trust +ee+ registere+ on &7t- M!*9 ))7

6-erein si Trustees 6ere !ppointe+% A,ongst ot-ers9

o43eti#es of t-e Trust !re to est!4"is- !n+ support9 ,!int!in

!n+ run sports "u49 g*,n!siu,9 -e!"t- "u49 !,use,ent

p!rB9 *og! entre9 6!ter sports et% !n+ to !rr* out

!ti#ities re"!ting t-ereto%

:% T-e respon+ent -erein 6!s !""otte+ 0)9;0) s1%,tr% "!n+

4* CIDCO for ! tot!" s!"e onsi+er!tion of Rs% ;97;9')9:))


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!""ot,ent "etter9 it 6!s speifi!""* ,entione+ t-!t p!*,ent

of "e!se pre,iu, in ! stipu"!te+ perio+ is !n essene of

on"u+e+ ontr!t% It 6!s furt-er pro#i+e+ in t-e !""ot,ent

"etter t-!t etension of ti,e ou"+ 4e gr!nte+ 6-i- 6ou"+

4e up to ; ,ont-s for p!*,ent of t-e first inst!"",ent !n+

up to &8 ,ont-s for t-e p!*,ent of t-e seon+ inst!"",ent%

It 6!s pro#i+e+ t-erein t-!t up to ; ,ont-s t-e respon+ent

6ou"+ 4e -!rge+ &; interest !n+ 4e*on+ ; ,ont-s t-e

respon+ent 6ou"+ 4e -!rge+ &8 interest for t-e eten+e+

perio+ of ti,e% T-e respon+ent on &0t- Septe,4er ))79

p!i+ t-e first inst!"",ent of Rs%&909)297))


11/60Page 11

+ou,ents to CIDCO on 0t- M!*9 ))0 e#i+ening

registr!tion of t-e Trust% Ho6e#er9 on )t- Ju"*9 ))0 t-e

respon+ent reei#e+ s-o6 !use notie seeBing !ne""!tion

of t-e !""ot,ent ,!+e in f!#our of t-e respon+ent on t-e

4!sis of S-!nB!r!n Report%

2% T-e respon+ent9 on ;r+ August9 ))09 su4,itte+ its

+et!i"e+ rep"* to t-e s-o6 !use notie -!""enging t-e

!ne""!tion of !""ot,ent of p"ot9 reiter!ting t-!t t-e

!""ot,ent 6!s in !or+!ne 6it- "!6 !s su- it ou"+ not 4e

!ne""e+% T-e respon+ent9 on 2t- Dee,4er9 ))09 6rote

"etter to t-e M!rBeting M!n!ger of CIDCO re1uesting -i, to

!ept p!*,ent of seon+ inst!"",ent 4eing t-e "!st +!te up

to 6-i- t-e etension ou"+ 4e gr!nte+ un+er t-e

!""ot,ent% Ho6e#er9 CIDCO refuse+ to !ept t-e p!*,ent%

T-e respon+ent on t-e s!,e +!te 6rote !not-er "etter

reor+ing t-e f!t t-!t CIDCO -!s refuse+ to !ept t-e

seon+ inst!"",ent !n+ t-!t t-e respon+ent 6ou"+ not 4e

&&


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"i!4"e to p!* !n* furt-er interest fro, t-e s!i+ +!te !n+ t-!t

t-e !""ot,ent ou"+ not 4e !ne""e+ on t-e groun+ t-!t t-e

p!*,ent -!s not 4een ,!+e 4* t-e respon+ent%

&)% T-e respon+ent 6!s ser#e+ 6it- t-e or+er +!te+ :t-

Apri"9 ))0 !ne""ing !""ot,ent of p"ot ,!+e in f!#our of t-e

respon+ent% 5eing !ggrie#e+ 4* t-e !fores!i+ or+er of

!ne""!tion9 t-e respon+ent -erein !ppro!-e+ t-e Hig-

Court 4* 6!* of 6rit petition fi"e+ un+er Arti"e 8 of t-e

Constitution of In+i!%

&&% /it- t-e !fores!i+ f!tu!" ,!tri9 it is !"so neess!r* to

note t-!t St!te of M!-!r!s-tr!9 6-o is -!#ing u"ti,!te

!ut-orit* !n+ po6er to ontro" !n+ regu"!te t-e !ti#ities of

p"!nning !n+ +e#e"op,ent un+er t-e M!-!r!s-tr! Region!"

!n+ To6n P"!nning At9 &288 (in s-ort9 =MRTP At>$9 in &2'&

!ppointe+ !ppe""!nt?CIDCO !s ne6 to6n p"!nning !ut-orit*

for t-e ne6 to6n ? N!#i Mu,4!i% In eerise of po6ers

&


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onferre+ 4* su4?"!use (!$ of "!use (&$ of setion &02 of

t-e MRTP At9 t-e CIDCO -!s 6it- t-e pre#ious !ppro#!" of

t-e St!te Go#ern,ent pu4"is-e+ in Ju"* &2'2 t-e Ne6

5o,4!* Dispos!" of L!n+s Regu"!tions9 &2'0 (in s-ort9 =t-e

Regu"!tions>$% T-e !fores!i+ regu"!tions9 inter !"i!9 pro#i+e

for t-e +e,!r!tion of p"ots #este+ in t-e Go#ern,ent 4*

CIDCO into +ispos!4"e p"ots -!#ing reg!r+ to t-eir sie !n+

use% T-e s!i+ regu"!tions !"so ,!Be pro#ision for on+itions

of "e!se9 ,o+e of +ispos!" !n+ for gr!nt of "!n+ for re"igious9

e+u!tion!"9 -!rit!4"e !n+ pu4"i purposes% For t-e present

purpose9 re"e#!nt one is Regu"!tion 7 of C-!pter IV9

!or+ing to 6-i- t-e Corpor!tion ,!* +ispose of p"ots of

"!n+ 4* pu4"i !ution or ten+er or 4* onsi+ering in+i#i+u!"

!pp"i!tions !s t-e Corpor!tion ,!* +eter,ine fro, ti,e to

ti,e%

&% It is t-e !se of t-e !ppe""!nt CIDCO t-!t t-e !fores!i+

ontesting respon+ents -!+ 4een ,!+e !""ot,ent of "!n+s

4* t-e !ppe""!nt pursu!nt to ! +iret !pp"i!tion 4eing ,!+e

&;


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to t-e offie of t-e t-en C-ief Minister !n+ in ot-er si,i"!r

!ses ! nu,4er of pu4"i interest "itig!tion 6ere fi"e+ in t-e

Hig- Court% Aor+ing"*9 t-e Go#ern,ent9 to !sert!in

6-et-er t-e !""ot,ents ,!+e 6ere 4on!fi+e9 +irete+ t-e

t-en A++ition!" C-ief Seret!r* to on+ut !n en1uir* to fin+

out 6-et-er t-e 5o!r+ of Diretors of CIDCO +ispose+ of

"!n+s in !or+!ne 6it- "!6% En1uir* 6!s on+ute+ 4* t-e

A++ition!" C-ief Seret!r* !n+ su4,itte+ t-e report (!""e+

S-!nB!r!n Report$% T-e en1uir* inter !"i! re#e!"e+ t-!t

su43et !""ot,ent 6!s i""eg!"9 !r4itr!r* !n+ t-e !ppe""!nt -!+

suffere+ ! fin!ni!" "oss in rores% T-erefore9 t-e !ppe""!nt

issue+ notie to t-e ontesting respon+ents !n+ u"ti,!te"*

!ne""e+ t-e su43et !""ot,ents9 6-i- "e+ to fi"ing of t-e

6rit petition% T-e 6rit petitions 6ere +is,isse+ 4* t-e Hig-

Court on t-e groun+ t-!t !"tern!ti#e re,e+* 6!s !#!i"!4"e to

t-e 6rit petitioners 4* fi"ing suits !n+ t-erefore 6rit

3uris+ition !nnot 4e in#oBe+%

&7


15/60Page 15

&;% Aggrie#e+ 4* t-e +eision of t-e Hig- Court9

respon+ents !ppro!-e+ t-is Court 4* 6!* of !ppe!"s 4*

spei!" "e!#e% T-ose Ci#i" Appe!"s 4eing Ci#i" Appe!" Nos%

27)?27& of ))' 6ere +ispose+ of 4* t-is Court re,itting t-e

,!tters 4!B to t-e Hig- Court for +ei+ing t-e 6rit petitions

on ,erits% T-e s!i+ or+er is reporte+ in Popcorn

Entertainment & Anr. vs. City Industrial Development

Corpn. & Anr.9 ())'$ 2 SCC 02;% In t-e or+er of re,!n+

t-is Court ,!+e so,e o4ser#!tions 6it- reg!r+ to t-e ,erits

of t-e !se% For 4etter !pprei!tion9 p!r! 7& !n+ 7' !re

repro+ue+ -erein 4e"o6?

41.At t-e ti,e of -e!ring9 it 6!s suggeste+

4* t-e "e!rne+ Senior Counse" for t-erespon+ent t-!t t-e !""ot,ent 6!s ,!+e6it-out !n* 3ustifi!tion !n+ t-!t t-ere 6!s !-uge +e,!n+ for su- p"ot9 it is su4,itte+ 4*"e!rne+ ounse" for t-e !ppe""!nt t-!t t-e!ppe""!nt -!s soug-t infor,!tion fro, CIDCOun+er t-e Rig-t to Infor,!tion At !s to6-et-er t-ere 6!s no !pp"i!tion pen+ing 6it-t-e, for !""ot,ent of t-e s!i+ p"ot prior in ti,eto t-e !pp"i!tion of t-e !ppe""!nt% CIDCO inrep"* -!s "e!r"* st!te+ t-!t t-ere 6!s no!pp"i!tion prior to t-e !pp"i!tion of t-e!ppe""!nt% E#en t-e !""ot,ent in f!#our of t-e!ppe""!nt 6!s ! re!sone+ !""ot,ent t!Bing intoonsi+er!tion t-e "!B of entert!in,entf!i"ities in t-e !re! !n+ t-e s!i+ issue 6!s

&0


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!"so +isusse+ in t-e 4o!r+ ,eeting 4efore t-e!""ot,ent !n+ t-ese f!ts !re "e!r fro, t-einfor,!tion pro#i+e+ to t-e !ppe""!nt un+ert-e Rig-t to Infor,!tion At% Our !ttention 6!s!"so +r!6n to t-e noting in t-e fi"e 6-i"e

onsi+ering t-e !se of t-e !ppe""!nt !n+4efore ,!Bing t-e !""ot,ent t-!t

(i$ T-ere is no ine,!


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&7% Ho6e#er9 t-is Court tooB t-e #ie6 t-!t t-e ,!tter

nee+s to 4e re,!n+e+ 4!B to t-e Hig- Court9 so t-!t t-e

Hig- Court 6i"" onsi+er !"" t-e su4,issions ,!+e 4* t-e

p!rties !n+ +ispose of t-e s!,e !fres-%

&0% T-e Hig- Court on reeipt of t-e re,!n+ or+er

proee+e+ 6it- t-e -e!ring of t-e 6rit petitions !n+ !fter

-e!ring 4ot- t-e p!rties !""o6e+ t-e 6rit petitions 4*

p!ssing t-e i,pugne+ or+er !n+ 1u!s-e+ t-e or+ers p!sse+

4* t-e !ppe""!nt?CIDCO !ne""ing t-e !""ot,ent% T-e Hig-

ourt 6-i"e p!ssing t-e i,pugne+ or+er -!s gone t-roug-

t-e ,erits of t-e !se of 4ot- t-e p!rties 4ut -e"+ t-!t t-e

o4ser#!tions ,!+e 4* t-is Court in t-e re,!n+ or+er (7&9

7;9 7'9 7: !n+ 72$ re"!ting to non?o4ser#!tions of ru"e !n+

regu"!tions !using su4st!nti!" "oss to t-e CIDCO oper!te !s

o4iter !n+ is 4in+ing on t-e Hig- Court !n+9 t-erefore9 t-e

Hig- Court -!s to f!"" in "ine 6it- t-e #ie6 epresse+ 4* t-is

&'


18/60Page 18

Court% P!r! 2' of t-e i,pugne+ or+er is 1uote+

-erein4e"o6%

2'% As !"re!+* st!te+ -erein!4o#e9 so f!r !s!tegori!" !n+ une1ui#o!" o4ser#!tions,!+e 4* t-e Ape Court re#o"#ing !roun+ t-eissues re"!ting to non?o4ser#!tion of ru"e !n+regu"!tions !using su4st!nti!" "oss to t-eCIDCO sine no ten+ers 6ere in#ite+ !n+interpret!tion of Setion ; of t-e ontr!t At!re onerne+9 t-e* oper!te !s o4iter 4in+ingon us !s su- 6e -!#e to f!"" in "ine 6it- t-e#ie6 epresse+ 4* t-e Ape Court%

&8% /e -!#e -e!r+ "e!rne+ ounse" on eit-er si+e !t "engt-%

Mr% 5%H% M!r"!p!""i9 "e!rne+ senior ounse" !ppe!ring for t-e

!ppe""!nt?CIDCO9 onten+e+ t-!t t-e Hig- Court -!s

,isonstrue+ !n+ ,isinterprete+ or+er p!sse+ 4* t-is Court

in t-e !se of Popcorn Entertainment (supr!$ in t-e first

roun+ of "itig!tion 6-ereun+er t-e ,!tter 6!s re,!n+e+ to

t-e Hig- Court for fres- onsi+er!tion on ,erits Beeping !""

ontentions open% Ho6e#er9 t-e Hig- Court -ose to restrit

itse"f to onsi+er on"* t-e groun+ for !ne""!tion of t-e

!""ot,ent t!Ben in t-e fin!" s-o6 !use notie !n+ reor+e+

&:


19/60Page 19

in t-e fin!" or+er% T-e Hig- Court 6ou"+ -!#e onsi+ere+ t-e

,!tter on ,erits 6it-out 4eing fettere+ or onstr!ine+ 4*

!n* o4ser#!tion of t-e Ape Court% It -!s 4een furt-er

onten+e+ on 4e-!"f of t-e !ppe""!nt t-!t t-is Court -!s

+e"!re+ t-e "!6 t-!t t-e +ispos!" of t-e St!te o6ne+ or

pu4"i propert* 4* !ution or ten+ers is ! ru"e !n+ su-

+ispos!" 4* pri#!te negoti!tion is !n eeption to 4e !r#e+

for ogent !n+ o,pe""ing re!sons to 4e reor+e+ in 6riting

!t t-e ti,e of +ispos!"% T-e "!6 so +e"!re+ is ,!n+!tor* in

its !pp"i!tion9 6!rr!nting !4so"ute !n+ i,p"iit !+-erene

t-ereto !t t-e peri" of !n* !t or o,,ission in

ontr!#ention t-ereof 4eing i""eg!" !n+ non est%

&'% Mr% 5%H% M!r"!p!""i9 "e!rne+ senior ounse" furt-er

su4,itte+ t-!t in or+er to fin+ out 6-et-er t-e 5o!r+ of

Diretors of CIDCO +ispose+ off its "!n+s in N!#i Mu,4!i in

!or+!ne 6it- "!69 t-e St!te Go#ern,ent -!+ +irete+ t-e

t-en A++ition!" C-ief Seret!r* ? Dr% D%% S-!nB!r!n to -o"+

&2


20/60Page 20

! +isreet en1uir* in t-e !ff!irs of CIDCO% T-e CIDCO

!ne""e+ t-e !""ot,ents +ue to t-e !r4itr!r* ,!nner in

6-i- t-e p"ots 6ere !""otte+ !n+ t-e "oss !use+ to CIDCO9

!n+ t-e 4!sis for o,puting t-e "oss 6!s t-e report of Dr%

S-!nB!r!n9 6-i- -!s referre+ to se#er!" !""ot,ents in t-e

#iinit* !n+ t-e offer ,!+e to 5ARC !n+ !s su-9 in t-e 6rit

3uris+ition9 t-e Hig- Court !nnot +ei+e t-e prie

pre#!i"ing in t-e !re! !t t-e ti,e of !""ot,ent% It is furt-er

onten+e+ on 4e-!"f of t-e !ppe""!nt t-!t !s per S-!nB!r!n

Report it 6!s neess!r* to !""ot t-e p"ots 4* in#iting ten+ers

!n+ testing t-e ,!rBet% H!+ it 4een +one so9 t-ese p"ots

6ou"+ -!#e fet-e+ !t "e!st fi#e ti,es gre!ter #!"ue t-!n t-e

!tu!" #!"ue reei#e+% Furt-er Mr% Ni"es- G!"!9 6-o is t-e

proprietor of M


21/60Page 21

ten+er !n+ "oss !use+ to t-e Corpor!tion% It is furt-er

urge+ t-!t t-e or+er of !ne""!tion of t-e !""ot,ent

speifi!""* st!tes t-!t t-e 5o!r+ of Diretors of t-e

Corpor!tion foun+ itse"f in su4st!nti!" onurrene 6it- t-e

fin+ings reor+e+ 4* Dr% S-!nB!r!n%

&:% Le!rne+ senior ounse" soug-t to 3ustif* t-e !tion of

CIDCO on t-e 4!sis of Setions &07 !n+ &&: of MRTP At

onten+ing t-!t t-e purpose of onstituting CIDCO is to

+e#e"op ! to6n 4* ,!Bing !""ot,ent9 !n+ in !se t-e

!""ot,ents !re !""o6e+ to 4e ,!+e in !r4itr!r* ,!nner !n+ if

su- !""ot,ents !re sust!ine+9 t-en it !,ounts +e#i!tion

fro, t-e purpose of t-e At% It is furt-er urge+ t-!t Setion

; of t-e Contr!t At !"so en#is!ges !ne""!tion on

!ount of t-e !""ot,ent

oppose+ to pu4"i po"i*% T-e !""ot,ent ,!+e 6it-out

in#iting ten+ers "e!+s to presu,ption of nepotis, et% !n+ it

&


22/60Page 22

!n on"* 4e 3ustifie+ 4* iting o,pe""ing re!sons% /-ere!s

in t-e present !se9 no re!sons 6ere ,entione+ !n+

!""ot,ents 6ere ,!+e surreptitious"* to one person%

&2% Ri#!" su4,issions -!#e 4een ,!+e 4* Mr% ViB!s Sing-

!n+ Mr% J%P% C!,!9 "e!rne+ senior ounse" !ppe!ring on

4e-!"f of ontesting respon+ents9 onten+ing t-!t t-e

!""ot,ent ,!+e in f!#our of t-ese respon+ents 6!s

!ne""e+ 4* t-e !ppe""!nt 4* issuing s-o6 !use noties

referring to S-!nB!r!n report !n+ !""eging t-!t CIDCO -!+

suffere+ "osses !n+ ,entioning t-e groun+ t-!t t-ere 6!s

non?issu!ne of ten+er 4efore ,!Bing !""ot,ent9 t-e s!,e

4eing #oi+ un+er Setion ; of t-e Contr!t At 6!s oppose+

to t-e pu4"i po"i*% Aor+ing to t-e,9 t-e Ape Court9

6-i"e re,!n+ing t-e ,!tter in t-e first roun+ of "itig!tion9 in

p!r! 7: of t-e 3u+g,ent reporte+ in ())'$ 2 SCC 02;

(supr!$ set !si+e t-e or+er of CIDCO seeBing to resi"e fro, !

on"u+e+ ontr!t in f!#our of t-e ontesting respon+ents%


23/60Page 23

It is su4,itte+ on 4e-!"f of t-e respon+ents t-!t t-e Ne6

5o,4!* L!n+ Dispos!" Ru"es !re t-e speifi ru"es go#erning

t-e +ispos!" of "!n+ to 4e +one 4* CIDCO% Ru"e 7 of t-e s!i+

Ru"es "e!r"* pro#i+e+ t-!t CIDCO -!s t-e !ut-orit* to

+ispose p"ots of "!n+ 4* pu4"i !ution or ten+er or 4*

onsi+ering in+i#i+u!" !pp"i!tion !s t-e Corpor!tion ,!*

+eter,ine fro, ti,e to ti,e% Mr% ViB!s Sing-9 "e!rne+ senior

ounse" onten+e+ t-!t one !n !""ot,ent is ,!+e in f!#our

of ! p!rt*9 CIDCO -!s no rig-t to !ne" t-e !""ot,ent on t-e

groun+ t-!t no ten+ers -!+ 4een in#ite+% A +e#e"op,ent

!ut-orit* 6-i"e !""otting "!n+ !n !""ot p"ot of "!n+ 6it-out

!""ing for ten+er or 6it-out in#iting offers fro, t-e gener!"

pu4"i if t-e st!tutor* regu"!tions reg!r+ing +ispos!" of "!n+

4* pu4"i !ut-orit* per,it t-e !ut-orit* to +o so% It is furt-er

urge+ t-!t CIDCO -!s 4een re"*ing upon t-e !fores!i+ ru"e to

3ustif*9 in #!rious !ses9 t-e !""ot,ents ,!+e in f!#our of

o,,eri!" o,p"ees9 soieties !s 6e"" !s sports

o,p"ees s!*ing t-!t su- !""ot,ent ,!+e 6it-out

;


24/60Page 24

issu!ne of ten+er 6ere 3ustifie+ !s 4eing 6it-in t-e po6er

#este+ in CIDCO un+er Ru"e 7 of t-e !fores!i+ Ru"es%

)% In support of -is ontention9 Mr% ViB!s Sing- ite+ t-e

portion of ! p!r!gr!p- of t-e +eision of t-is Court in

Kasturi Lal Laxmi Reddy vs. State of ammu &

Kas!mir9 &2:) (7$ SCC &9 6-i- is repro+ue+ -ere

% ..%/e +o not t-inB t-e St!te is 4oun+to !+#ertise !n+ te"" t-e peop"e t-!t it 6!nts !p!rtiu"!r in+ustr* to 4e set up 6it-in t-e St!te!n+ in#ite t-ose intereste+ to o,e up 6it-propos!"s for t-e purpose% T-e St!te ,!*-oose to +o so9 if it t-inBs fit !n+ in ! gi#ensitu!tion9 it ,!* e#en turn out to 4e!+#!nt!geous for t-e St!te to +o so9 4ut if !n*pri#!te p!rt* o,es 4efore t-e St!te !n+ offersto set up !n in+ustr*9 t-e St!te 6ou"+ not 4eo,,itting 4re!- of !n* onstitution!" or"eg!" o4"ig!tion if it negoti!tes 6it- su- p!rt*!n+ !grees to pro#i+e resoures !n+ ot-erf!i"ities for t-e purpose of setting up t-ein+ustr*% T-e St!te is not o4"ige+ to te"" su-p!rt* P"e!se 6!it I 6i"" first !+#ertise9 see6-et-er !n* ot-er offers !re fort-o,ing !n+t-en !fter onsi+ering !"" offers9 +ei+e6-et-er I s-ou"+ "et *ou set up t-e in+ustr*%

7


25/60Page 25

&% Referring to t-e !se of C!airman and "D# $PL Ltd.

vs. S.P. %ururaa and ot!ers9 )); (:$ SCC 08'9 Mr% Sing-

onten+e+ t-!t non?f"o!ting of ten+ers or not -o"+ing of

pu4"i !ution 6ou"+ not in !"" !ses 4e +ee,e+ to 4e t-e

resu"t of t-e eerise of t-e eeuti#e po6er in !n !r4itr!r*

,!nner% T-e po6er of !ne""!tion un+er Setion ; of t-e

Contr!t At is on"* !#!i"!4"e to t-e Court !n+ on t-e

onept of sep!r!tion of po6er t-e s!i+ po6er is not

eeris!4"e 4* eeuti#e uni"!ter!""* 6it-out referring to t-e

Court% It -!s 4een furt-er onten+e+ t-!t !"t-oug- t-roug-

t-e i,pugne+ or+er t-e Hig- Court -!+ 1u!s-e+ t-e

!ne""!tion or+er9 on"* CIDCO -!s preferre+ !ppe!" 6-ere!s

t-e St!te of M!-!r!s-tr! !epte+ t-e i,pugne+ or+er !n+

-!s no grie#!ne 6it- t-e 1u!s-ing of t-e or+er !ne""ing

t-e ontesting respon+ents> !""ot,ent%

% It -!s furt-er 4een onten+e+ t-!t t-e ru"es

pro#i+e for t-ree ,et-o+s of +ispos!" i%e% 4* ten+er9 4*

0


26/60Page 26

pu4"i !ution or 4* onsi+ering in+i#i+u!" !pp"i!tions !n+

CIDCO #i+e #!rious 4o!r+ reso"utions -!#e speifi!""*

pro#i+e+ t-e e!t ,et-o+ of +ispos!" for #!rious t*pes of

p"ots% CIDCO -!s !or+ing"* fr!,e+ t-e L!n+ Priing !n+

L!n+ Dispos!" Po"i* !s !ppro#e+ 4* #!rious 4o!r+

reso"utions 6-erein #!rious !tegories of p"ots !re

,entione+% In t-e !se of o,,eri!" p"ots 6-ere FSI &%0 is

per,itte+ t-e "!n+ prie r!te +eter,ine+ un+er t-e po"i* is

70) of t-e reser#e prie !n+ t-e ,et-o+ of +ispos!" is 4*

ten+er !n+ in t-e !"tern!ti#e !t fie+ r!te% Si,i"!r"* for

!""ot,ent of ,u"tip"e9 t-e r!te speifie+ un+er t-e po"i* is

!t reser#e prie !n+ t-e ,et-o+ of +ispos!" is upon re1uest

!t fie+ r!te or 4* o,petiti#e 4i++ing% T-e t6o +ifferent

,et-o+s of +ispos!" 4et6een ! o,,eri!" !""ot,ent !n+

t-e !""ot,ent for ,u"tip"e is signifi!nt 4e!use in t-e !se

of o,,eri!" !""ot,ent9 4* ten+er is t-e first ,et-o+ of

+ispos!" presri4e+ !n+ !t fie+ r!te is t-e !"tern!ti#e

,et-o+ of +ispos!" presri4e+ 6-ere!s in t-e !se of

!""ot,ent for ,u"tip"e

8


27/60Page 27

t-e first ,et-o+ !n+ 4* o,petiti#e 4i++ing is t-e

!"tern!ti#e ,et-o+ of !""ot,ent% Furt-er,ore9 !""ot,ent in

t-e !se of M


28/60Page 28

Development Corpn. of "a!aras!tra Ltd.# ())'$ &)

SCC 8'79 -!s -e"+ t-!t one !n !""ot,ent -!+ 4een ,!+e in

f!#our of ! p!rt*9 CIDCO -!s no rig-t t-ere!fter to !ne" t-e

!""ot,ent on t-e groun+ t-!t no ten+ers -!+ 4een in#ite+%

CIDCO -!+ po6er to ,!Be !""ot,ent 6it-out !""ing for

ten+er un+er Ru"e 7 !n+ it ou"+ not 4e s!i+ t-!t t-e

!""ot,ent in f!#our of Suni" P!nn!"!" 5!nt-i! 6!s in !n*

,!nner ontr!r* to t-e ru"es for ,!Bing su- !""ot,ent%

7% It -!s !"so 4een onten+e+ on 4e-!"f of t-e ontesting

respon+ents t-!t !or+ing to t-e infor,!tion pro#i+e+ to

t-e respon+ents un+er t-e Rig-t to Infor,!tion At9 ! pu4"i

uti"it* p"ot -!s ne#er 4een put to ten+er 4* CIDCO +uring t-e

perio+ 6-en !fores!i+ !""ot,ents -!+ 4een ,!+e in f!#our

of t-e respon+ents% Aor+ing to t-e infor,!tion pro#i+e+9

!""ot,ent to 08 !""ottees -!#e 4een ,!+e 6it-out in#iting

ten+ers !s per L!n+ Priing !n+ L!n+ Dispos!" Po"i* !n+ t-e

prie -!rge+ is !s per t-e po"i* !s !ppro#e+ 4* 5o!r+

:


29/60Page 29

reso"utions% T-ese !""ot,ents 6ere not srutinie+ 4* Dr%

S-!nB!r!n !n+ not for,e+ p!rt of t-e en1uir* report%

Furt-er,ore9 S-!nB!r!n report -!+ 4een prep!re+ e?p!rte

i%e% 6it-out issuing notie to t-e respon+ents% Cop* of s!i+

report 6!s not furnis-e+ to t-e respon+ents eit-er !"ong

6it- s-o6 !use notie or 4efore !ne""!tion or+er 6!s

p!sse+ !"t-oug- +e,!n+e+ 4* t-e respon+ents in t-eir

rep"*9 in 6-i- it 6!s speifi!""* ,entione+ t-!t t-e fin!"

rep"* ou"+ 4e gi#en on"* !fter t-e entire report 6!s gi#en to

t-e, !"ong 6it- t-e ,et-o+o"og* use+ 4* S-!nB!r!n to

!rri#e !t t-e !""ege+ "osses% It is onten+e+ t-!t t-e

!ne""!tion or+er is #iti!te+ 4eing in #io"!tion of prinip"es

of n!tur!" 3ustie9 for -!#ing 4een p!sse+ 6it-out gi#ing !

op* of t-e S-!nB!r!n report9 6-i- -!+ 4een prep!re+

4e-in+ t-e 4!B of t-e ontesting respon+ents%

0% Upon perus!" of notie it is "e!r t-!t its ontents !re

si,i"!r in !"" t-ese !ppe!"s% T-e !ppe""!nt CIDCO referre+

t-e S-!nB!r!n Report in 6-i- it 6!s o4ser#e+ t-!t t-e

2


30/60Page 30

!""ot,ents 6ere ,!+e in f!#our of t-e respon+ents in !n

!r4itr!r* ,!nner 6it-out !""ing upon to s-o6 !use !s to

6-* su- !""ot,ent s-ou"+ not 4e repu+i!te+ -!#ing 4eo,e

#oi+ on t-e t-rust of Setion ; of t-e In+i!n Contr!t At9

&:'% For 4etter !pprei!tion p!r! &7 of t-e s-o6 !use

notie is repro+ue+ -erein4e"o6?

T-e 5o!r+ of Diretors of t-e Corpor!tion !t its,eeting -e"+ on 8t- June9 ))0 onsi+ere+ t-ereo,,en+!tions of Dr% D%% S-!nB!r!n9 t-e t-en!++ition!" C-ief Seret!r* !n+ +iretions of t-e St!tego#ern,ent !n+ !s +irete+ ,e to !"" upon *ou to s-o6!use 6-* t-e Corpor!tion s-ou"+ not resin+ or repu+i!tesu- !""ot,ent -!#ing 4eo,e #oi+ on t-e t-rust ofSetion ; of Contr!t At &:' 6-i- +e"!res t-!t !nAgree,ent -!#ing its o43et or onsi+er!tion to +efe!tpro#ision of t-e "!6 or oppose+ to pu4"i po"i* !s +e"!re+4* t-e Hon>4"e Supre,e Court !s !fores!i+ is #iti!te+ 4*i""eg!"it* !n+ is "i!4"e to 4e +e"!re+ #oi+%

8% Setion ; of t-e In+i!n Contr!t At9 &:' re!+s !s

un+er?

%&a' (o)*i+e,a'io) a)+ o-e('* a,e la/fl#a)+ /&a' )o'%KT-e onsi+er!tion or o43et of !n

!gree,ent is "!6fu"9 un"ess

It is for4i++en 4* "!6 or

;)


31/60Page 31

is su- of su- ! n!ture t-!t9 if per,itte+9 it6ou"+ +efe!t t-e pro#isions of !n* "!6 or isfr!u+u"ent or

in#o"#es or i,p"ies9 in3ur* to t-e person orpropert* of !not-er or

t-e Court reg!r+s it !s i,,or!"9 or oppose+ topu4"i po"i*%

In e!- of t-ese !ses9 t-e onsi+er!tion oro43et of !n !gree,ent is s!i+ to 4e un"!6fu"% E#er*!gree,ent of 6-i- t-e o43et or onsi+er!tion isun"!6fu" is #oi+%

'% 5efore +e!"ing 6it- t-e "eg!"it* !n+ #!"i+it* of t-e

notie !fores!i+9 6e s-!"" first 6is- to ,ention so,e of t-e

re"e#!nt f!ts?

A% In+isput!4"* !pp"i!tions 6ere ,!+e 4* t-e

respon+ents to t-e t-en C-ief Minister for !""ot,ent of

p"ots of "!n+ in 1uestion%

5% On t-e !pp"i!tion su4,itte+ on 4e-!"f of M


32/60Page 32

!pp"i!tion for !""ot,ent of p"ot for t-e onstrution of

,u"tip"e?u,?entert!in,ent entre !t Airo"i% T-e

!ppe""!nt CIDCO !e+e+ to t-e re1uest of Mr% Ni"es-

G!"! !n+ !""otte+ t-e p"ot fo""o6e+ 4* "e!se !gree,ent

D% T-e s!,e person Ni"es- G!"! for,e+ ! Trust !""e+

P"!tinu, S1u!re Trust t-roug- one of its Trustees D!,3i

un6!r3i G!"! !n+ ,!+e ! t-ir+ !pp"i!tion for

!""ot,ent of p"ot !t -!rg-!r Hi"" for t-e onstrution of

ountr* "u4 !n+ p!i+ p!rt of t-e !,ount fie+ for su-

!""ot,ent !n+ rest of t-e !,ount 6!s to 4e p!i+ in

inst!",ents% T-e ,!tter is pen+ing !n+ fin!" "e!se

+ee+ -!s not 4een eeute+%

:% No6 t-e i,port!nt 1uestion t-!t nee+s onsi+er!tion is

!s to 6-et-er t-e !""ot,ents of #!"u!4"e "!n+ 4* CIDCO to

one person in +ifferent !p!it* for t-e purposes ,entione+

!4o#e9 t-!t too 4* entert!ining pri#!te !pp"i!tions9 !re

!r4itr!r*9 i""eg!" !n+ fr!u+u"ent !n+ !g!inst t-e pu4"i po"i*

!s onte,p"!te+ un+er Setion ; of t-e In+i!n Contr!t At%

;


33/60Page 33

2% In t-e ourse of !rgu,ent9 Mr% ViB!s

Sing-9 "e!rne+ senior ounse" !ppe!ring for t-e respon+ents

in !"" t-e t-ree !ppe!"s fi"e+ ! o,pi"!tion of +ifferent

+ou,ents in"u+ing Ru"es !n+ Regu"!tions%

;)% Regu"!tion 7 "!*s +o6n t-e ,o+e !n+ ,!nner of

+ispos!" of "!n+ 4* t-e Corpor!tion% T-e s!i+ pro#ision

e,po6ers t-e Corpor!tion to +ispose of "!n+s 4* pu4"i

!ution or ten+er or onsi+ering in+i#i+u!" !pp"i!tions !s

t-e Corpor!tion ,!* +eter,ine fro, ti,e to ti,e%

Regu"!tion 7 re!+s !s un+er?

M!nner of +ispos!" of "!n+ T-e Corpor!tion,!* +ispose p"ots of "!n+ 4* pu4"i !ution orten+er or 4* onsi+ering in+i#i+u!" !pp"i!tions!s t-e Corpor!tion ,!* +eter,ine fro, ti,e%

;&% T-e "!n+ Priing !n+ L!n+ Dispos!" Po"i* of CIDCO

6ou"+ s-o6 t-!t t-e o,,eri!" p"ots 6it- FSI &%09 t-!t is

p"ots for offies9 s-op9 rest!ur!nt9 s-o6roo,s et%9 is to 4e

+ispose+ of 4* ten+er


34/60Page 34

!u+itoriu,9 ,u"tip"e9 t-e!tre o,p"e et%9 s-!"" 4e

+ispose+ of on re1uest !t fie+ r!te


35/60Page 35

per L!n+ Priing !n+ Dispos!" Po"i* +uring t-e s!i+ perio+%

It 6!s !ns6ere+ t-!t ,et-o+o"og* !s per t-e urrent "!n+

priing po"i* !ppro#e+ 4* t-e 5o!r+ is on re1uest !t fie+

r!te


36/60Page 36

fruitfu" !n+9 t-erefore9 it 6!s t-oug-t fit for !""otting p"ot !t

Airo"i to ! o,petent !n+ resourefu" p!rt* on e#!"u!tion of

t-e pro3et report for ,u"tip"e !n+ !u+itoriu, !n+

entert!in,ent entre% Si,i"!r ep"!n!tion 6!s gi#en !s

!g!inst t-e !u+it o43etion in respet of !""ot,ent of p"ot to

M


37/60Page 37

;0% As notie+ !4o#e9 t-e ,!in person #i% Ni"es- G!"! !s

proprietor of t6o +ifferent o,p!nies #i%9 M


38/60Page 38

;'% It is 6e"" sett"e+ t-!t 6-ene#er t-e Go#ern,ent +e!"t

6it- t-e pu4"i est!4"is-,ent in entering into ! ontr!t or

issu!ne of "iene9 t-e Go#ern,ent ou"+ not !t !r4itr!ri"*

on its s6eet 6i"" 4ut ,ust !t in !or+!ne 6it- "!6 !n+ t-e

!tion of t-e Go#ern,ent s-ou"+ not gi#e t-e s,!B of

!r4itr!riness% In t-e !se of Raman Dayaram S!etty vs.

International Airport Aut!ority of India & 'rs.# (&2'2$

; SCC 7:29 t-is Court o4ser#e+ !s un+er?

11. To+!* t-e Go#ern,ent in ! 6e"f!reSt!te9 is t-e regu"!tor !n+ +ispenser of spei!"ser#ies !n+ pro#i+er of ! "!rge nu,4er of4enefits9 in"u+ing 3o4s9 ontr!ts9 "ienes91uot!s9 ,iner!" rig-ts9 et% T-e Go#ern,ent

pours fort- 6e!"t-9 ,one*9 4enefits9 ser#ies9ontr!ts9 1uot!s !n+ "ienes% T-e #!"u!4"es+ispense+ 4* Go#ern,ent t!Be ,!n* for,s94ut t-e* !"" s-!re one -!r!teristi% T-e* !reste!+i"* t!Bing t-e p"!e of tr!+ition!" for,s of6e!"t-% T-ese #!"u!4"es 6-i- +eri#e fro,re"!tions-ips to Go#ern,ent !re of ,!n* Bin+s%T-e* o,prise soi!" seurit* 4enefits9 !s-gr!nts for po"iti!" sufferers !n+ t-e 6-o"es-e,e of St!te !n+ "o!" 6e"f!re% T-en !g!in9t-ous!n+s of peop"e !re e,p"o*e+ in t-e St!te!n+ t-e Centr!" Go#ern,ents !n+ "o!"!ut-orities% Lienes !re re1uire+ 4efore one!n eng!ge in ,!n* Bin+s of 4usinesses or6orB% T-e po6er of gi#ing "ienes ,e!nspo6er to 6it--o"+ t-e, !n+ t-is gi#es ontro"

;:


39/60Page 39

to t-e Go#ern,ent or to t-e !gents ofGo#ern,ent on t-e "i#es of ,!n* peop"e% M!n*in+i#i+u!"s !n+ ,!n* ,ore 4usinesses en3o*"!rgesse in t-e for, of Go#ern,ent ontr!ts%T-ese ontr!ts often rese,4"e su4si+ies% It is

#irtu!""* i,possi4"e to "ose ,one* on t-e, !n+,!n* enterprises !re set up pri,!ri"* to +o4usiness 6it- Go#ern,ent% Go#ern,ent o6ns!n+ ontro"s -un+re+s of !res of pu4"i "!n+#!"u!4"e for ,ining !n+ ot-er purposes% T-eseresoures !re !#!i"!4"e for uti"is!tion 4* pri#!teorpor!tions !n+ in+i#i+u!"s 4* 6!* of "e!se or"iene% A"" t-ese ,e!n gro6t- in t-eGo#ern,ent "!rgesse !n+ 6it- t-e inre!sing,!gnitu+e !n+ r!nge of go#ern,ent!"funtions !s 6e ,o#e "oser to ! 6e"f!re St!te9

,ore !n+ ,ore of our 6e!"t- onsists of t-esene6 for,s% So,e of t-ese for,s of 6e!"t- ,!*4e in t-e n!ture of "eg!" rig-ts 4ut t-e "!rge,!3orit* of t-e, !re in t-e n!ture of pri#i"eges%5ut on t-!t !ount9 !n it 4e s!i+ t-!t t-e* +onot en3o* !n* "eg!" protetion C!n t-e* 4ereg!r+e+ !s gr!tuit* furnis-e+ 4* t-e St!te sot-!t t-e St!te ,!* 6it--o"+9 gr!nt or re#oBe it!t its p"e!sure

&% ...%%It ,ust9 t-erefore9 4e t!Ben to 4e

t-e "!6 t-!t 6-ere t-e Go#ern,ent is +e!"ing6it- t-e pu4"i9 6-et-er 4* 6!* of gi#ing 3o4sor entering into ontr!ts or issuing 1uot!s or"ienes or gr!nting ot-er for,s of "!rgesse9t-e Go#ern,ent !nnot !t !r4itr!ri"* !t itss6eet 6i"" !n+9 "iBe ! pri#!te in+i#i+u!"9 +e!"6it- !n* person it p"e!ses9 4ut its !tion ,ust4e in onfor,it* 6it- st!n+!r+ or nor,s 6-i-is not !r4itr!r*9 irr!tion!" or irre"e#!nt% T-epo6er or +isretion of t-e Go#ern,ent in t-e,!tter of gr!nt of "!rgesse in"u+ing !6!r+ of

3o4s9 ontr!ts9 1uot!s9 "ienes9 et% ,ust 4eonfine+ !n+ struture+ 4* r!tion!"9 re"e#!nt!n+ non?+isri,in!tor* st!n+!r+ or nor, !n+ ift-e Go#ern,ent +ep!rts fro, sust!n+!r+ ornor, in !n* p!rtiu"!r !se or !ses9 t-e !tion

;2


40/60Page 40

of t-e Go#ern,ent 6ou"+ 4e "i!4"e to 4e struB+o6n9 un"ess it !n 4e s-o6n 4* t-eGo#ern,ent t-!t t-e +ep!rture 6!s not!r4itr!r*9 4ut 6!s 4!se+ on so,e #!"i+prinip"e 6-i- in itse"f 6!s not irr!tion!"9

unre!son!4"e or +isri,in!tor*%

;:% In t-e !se of A(!il $!artiya )p*!o(ta Con+ress

vs. State of "ad!ya Prades! & ors.#()&&$ 0 SCC 29

t-is Court 6-i"e onsi+ering t-e 1uestion of "eg!"it* of

!""ot,ent of "!n+ 4* t-e St!te or its !genies on t-e 4!sis of

!pp"i!tions ,!+e 4* in+i#i+u!"9 o4ser#e+ !s fo""o6s?

80% /-!t nee+s to 4e e,p-!sise+ is t-!t t-eSt!te !n+


41/60Page 41

e"e,ent of f!#ouritis, or nepotis, s-!"" notinf"uene t-e eerise of +isretion9 if !n*9onferre+ upon t-e p!rtiu"!r funtion!r* oroffier of t-e St!te%

88% /e ,!* !++ t-!t t-ere !nnot 4e !n*po"i*9 ,u- "ess9 ! r!tion!" po"i* of !""otting"!n+ on t-e 4!sis of !pp"i!tions ,!+e 4*in+i#i+u!"s9 4o+ies9 org!nis!tions or institutions+e-ors !n in#it!tion or !+#ertise,ent 4* t-eSt!te or its !gen*


42/60Page 42

4e 4ot- unre!son!4"e !n+ ontr!r* to pu4"iinterest% T-e Go#ern,ent9 t-erefore9 !nnot9for e!,p"e9 gi#e ! ontr!t or se"" or "e!se outits propert* for ! onsi+er!tion "ess t-!n t-e-ig-est t-!t !n 4e o4t!ine+ for it9 un"ess of

ourse t-ere !re ot-er onsi+er!tions 6-i-ren+er it re!son!4"e !n+ in pu4"i interest to +oso% Su- onsi+er!tions ,!* 4e t-!t so,e+ireti#e prinip"e is soug-t to 4e !+#!ne+ ori,p"e,ente+ or t-!t t-e ontr!t or t-epropert* is gi#en not 6it- ! #ie6 to e!rningre#enue 4ut for t-e purpose of !rr*ing out !6e"f!re s-e,e for t-e 4enefit of ! p!rtiu"!rgroup or setion of peop"e +eser#ing it or t-!tt-e person 6-o -!s offere+ ! -ig-eronsi+er!tion is not ot-er6ise fit to 4e gi#en

t-e ontr!t or t-e propert*% /e -!#e referre+to t-ese onsi+er!tions on"* i""ustr!ti#e"*9 fort-ere ,!* 4e !n infinite #!riet* ofonsi+er!tions 6-i- ,!* -!#e to 4e t!Beninto !ount 4* t-e Go#ern,ent in for,u"!tingits po"iies !n+ it is on ! tot!" e#!"u!tion of#!rious onsi+er!tions 6-i- -!#e 6eig-e+6it- t-e Go#ern,ent in t!Bing ! p!rtiu"!r!tion9 t-!t t-e ourt 6ou"+ -!#e to +ei+e6-et-er t-e !tion of t-e Go#ern,ent isre!son!4"e !n+ in pu4"i interest% 5ut one 4!si

prinip"e 6-i- ,ust gui+e t-e ourt in !rri#ing!t its +eter,in!tion on t-is 1uestion is t-!tt-ere is !"6!*s ! presu,ption t-!t t-ego#ern,ent!" !tion is re!son!4"e !n+ inpu4"i interest !n+ it is for t-e p!rt*-!""enging its #!"i+it* to s-o6 t-!t it is6!nting in re!son!4"eness or is not infor,e+6it- pu4"i interest% T-is 4ur+en is ! -e!#* one!n+ it -!s to 4e +is-!rge+ to t-e s!tisf!tionof t-e ourt 4* proper !n+ !+e1u!te ,!teri!"%T-e ourt !nnot "ig-t"* !ssu,e t-!t t-e !tion

t!Ben 4* t-e Go#ern,ent is unre!son!4"e or6it-out pu4"i interest 4e!use9 !s 6e s!i+!4o#e9 t-ere !re ! "!rge nu,4er of po"i*onsi+er!tions 6-i- ,ust neess!ri"* 6eig-6it- t-e Go#ern,ent in t!Bing !tion !n+

7


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t-erefore t-e ourt 6ou"+ not striBe +o6ngo#ern,ent!" !tion !s in#!"i+ on t-is groun+9un"ess it is "e!r"* s!tisfie+ t-!t t-e !tion isunre!son!4"e or not in pu4"i interest% 5ut6-ere it is so s!tisfie+9 it 6ou"+ 4e t-e p"!inest

+ut* of t-e ourt un+er t-e Constitution toin#!"i+!te t-e go#ern,ent!" !tion% T-is is oneof t-e ,ost i,port!nt funtions of t-e ourt!n+ !"so one of t-e ,ost essenti!" forpreser#!tion of t-e ru"e of "!6% It is i,per!ti#ein ! +e,or!* go#erne+ 4* t-e ru"e of "!6t-!t go#ern,ent!" !tion ,ust 4e Bept 6it-int-e "i,its of t-e "!6 !n+ if t-ere is !n*tr!nsgression9 t-e ourt ,ust 4e re!+* toon+e,n it% It is ! ,!tter of -istori!"eperiene t-!t t-ere is ! ten+en* in e#er*

Go#ern,ent to !ssu,e ,ore !n+ ,ore po6ers!n+ sine it is not !n uno,,on p-eno,enonin so,e ountries t-!t t-e "egis"!ti#e -eB isgetting +i"ute+9 it is "eft to t-e ourt !s t-e on"*ot-er re#ie6ing !ut-orit* un+er t-eConstitution to 4e inre!sing"* #igi"!nt toensure o4ser#!ne 6it- t-e ru"e of "!6 !n+ int-is t!sB9 t-e ourt ,ust not f"in- or f!"ter% It,!* 4e pointe+ out t-!t t-is groun+ ofin#!"i+it*9 n!,e"*9 t-!t t-e go#ern,ent!"!tion is unre!son!4"e or "!Bing in t-e 1u!"it*

of pu4"i interest9 is +ifferent fro, t-!t of ,!"!fi+es t-oug- it ,!*9 in ! gi#en !se9 furnis-e#i+ene of ,!"! fi+es%

&0% T-e seon+ "i,it!tion on t-e +isretionof t-e Go#ern,ent in gr!nt of "!rgess is inreg!r+ to t-e persons to 6-o, su- "!rgess,!* 4e gr!nte+% It is no6 6e"" sett"e+ !s !resu"t of t-e +eision of t-is Court in RamanaD. Shetty #% International irport !thority ofIn"iat-!t t-e Go#ern,ent is not free9 "iBe !n

or+in!r* in+i#i+u!"9 in se"eting t-e reipientsfor its "!rgess !n+ it !nnot -oose to +e!" 6it-!n* person it p"e!ses in its !4so"ute !n+unfettere+ +isretion% T-e "!6 is no6 6e""?est!4"is-e+ t-!t t-e Go#ern,ent nee+ not +e!"

7;


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6it- !n*one9 4ut if it +oes so9 it ,ust +o sof!ir"* 6it-out +isri,in!tion !n+ 6it-out unf!irproe+ure% /-ere t-e Go#ern,ent is +e!"ing6it- t-e pu4"i 6-et-er 4* 6!* of gi#ing 3o4sor entering into ontr!ts or gr!nting ot-er

for,s of "!rgess9 t-e Go#ern,ent !nnot !t!r4itr!ri"* !t its s6eet 6i"" !n+9 "iBe ! pri#!tein+i#i+u!"9 +e!" 6it- !n* person it p"e!ses9 4utits !tion ,ust 4e in onfor,it* 6it- so,est!n+!r+ or nor, 6-i- is not !r4itr!r*9irr!tion!" or irre"e#!nt% T-e go#ern,ent!"!tion ,ust not 4e !r4itr!r* or !priious9 4ut,ust 4e 4!se+ on so,e prinip"e 6-i- ,eetst-e test of re!son !n+ re"e#!ne% T-is ru"e 6!senuni!te+ 4* t-e ourt !s ! ru"e of!+,inistr!ti#e "!6 !n+ it 6!s !"so #!"i+!te+ 4*

t-e ourt !s !n e,!n!tion f"o6ing +iret"* fro,t-e +otrine of e1u!"it* e,4o+ie+ in Arti"e &7%T-e ourt referre+ to t-e !ti#ist ,!gnitu+e ofArti"e &7 !s e#o"#e+ in E.P. Royappa#% Stateof #amil $a"!!n+ %ane&a 'an"hi cae9 (&2':$& SCC 7: !n+ o4ser#e+ t-!t it ,ust fo""o6

!s ! neess!r* oro""!r* fro, t-eprinip"e of e1u!"it* ens-rine+ in Arti"e&7 t-!t t-oug- t-e St!te is entit"e+ torefuse to enter into re"!tions-ip 6it-!n*one9 *et if it +oes so9 it !nnot

!r4itr!ri"* -oose !n* person it "iBes forentering into sure"!tions-ip !n++isri,in!te 4et6een persons si,i"!r"*iru,st!ne+9 4ut it ,ust !t inonfor,it* 6it- so,e st!n+!r+ orprinip"e 6-i- ,eets t-!t test ofre!son!4"eness !n+ non?+isri,in!tion!n+ !n* +ep!rture fro, sust!n+!r+ orprinip"e 6ou"+ 4e in#!"i+ un"ess it !n 4esupporte+ or 3ustifie+ on so,e r!tion!"!n+ non?+isri,in!tor* groun+%

T-is +eision -!s re!ffir,e+ t-e prinip"e ofre!son!4"eness !n+ non?!r4itr!riness ingo#ern,ent!" !tion 6-i- "ies !t t-e ore of

77


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our entire onstitution!" s-e,e !n+struture%

7)% In t-e !se of State of ,aryana vs.a+e Ram9 (&2:;$

7 SCC 0089 t-e !ution of "i1uor #en+s 4* eise +ep!rt,ent

6!s -!""enge+% Dei+ing t-e 1uestion t-is Court in p!r! :

-e"+?

....%/-en ! ru"e re1uires =pu4"iit*> to 4egi#en to !n !ution?s!"e9 6-!t is neess!ri"*

i,p"ie+ is t-!t +ue steps ,ust 4e t!Ben to gi#esuffiient"* !+#!ne inti,!tion of t-e inten+e+s!"e !n+ its ,!teri!" ter,s to t-e ,e,4ers oft-e pu4"i or9 !t "e!st9 to t-!t setion of t-epu4"i 6-i- nor,!""* eng!ges in t-e Bin+ of4usiness 6-i- is t-e su43et?,!tter of t-e!ution?s!"e% E#en t-e fi#e spei!" in#itees6ou"+ -!#e foun+ it +iffiu"t to o,e prep!re+to t!Be p!rt in t-e res!"e 6-i- 6!s -e"+ onM!* ;% T-e* 6ere not in#ite+ to ! 6e++ingfe!st% T-e* 6ere in#ite+ to !tten+ t-e res!"e of

! "i1uor #en+ !n+ it is 6e"" Bno6n t-!t ! ert!in!,ount -!s to 4e p!i+ 4* t-e suessfu" 4i++eron t-e f!"" of t-e -!,,er% /e !re !"so un!4"eto !pprei!te t-!t t-e Eise Aut-orities of t-eGo#ern,ent of H!r*!n! s-ou"+ -!#e piBe+!n+ -osen so,e fi#e p!rtiu"!r persons !sreipients of t-e notie of re!ution% Ho6 t-eirn!,es tr!nspire+ !n+ 6-!t is t-eir p!rtiu"!rst!tus9 respet!4i"it* !n+ st!n+ing in t-e "i1uortr!+e9 !re ,!tters on 6-i- no "ig-t is t-ro6n%T-ere is no ,!teri!" 4efore us on 6-i- to

+ou4t t-e integrit* of t-e !ut-orities 6-o 6ereonnete+ 6it- t-e re!ution% 5ut t-eiron+ut ,ust 4e !4o#e suspiion%

70


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7&% In t-e !se of Sac!idanand Pandey & Anr. vs. State

of -est $en+al & 'rs.9 (&2:'$ SCC 209t-is Court !fter

onsi+ering #!rious +eisions on t-is point !,e to t-e

fo""o6ing on"usion?

7)% On ! onsi+er!tion of t-e re"e#!nt !sesite+ !t t-e 5!r t-e fo""o6ing propositions ,!*4e t!Ben !s 6e"" est!4"is-e+ St!te?o6ne+ orpu4"i?o6ne+ propert* is not to 4e +e!"t 6it- !tt-e !4so"ute +isretion of t-e eeuti#e%Cert!in preepts !n+ prinip"es -!#e to 4eo4ser#e+% Pu4"i interest is t-e p!r!,ount

onsi+er!tion% One of t-e ,et-o+s of seuringt-e pu4"i interest9 6-en it is onsi+ere+neess!r* to +ispose of ! propert*9 is to se""t-e propert* 4* pu4"i !ution or 4* in#itingten+ers% T-oug- t-!t is t-e or+in!r* ru"e9 it isnot !n in#!ri!4"e ru"e% T-ere ,!* 4e situ!tions6-ere t-ere !re o,pe""ing re!sonsneessit!ting +ep!rture fro, t-e ru"e 4ut t-ent-e re!sons for t-e +ep!rture ,ust 4e r!tion!"!n+ s-ou"+ not 4e suggesti#e of +isri,in!tion%Appe!r!ne of pu4"i 3ustie is !s i,port!nt !s+oing 3ustie% Not-ing s-ou"+ 4e +one 6-i-gi#es !n !ppe!r!ne of 4i!s9 3o44er* or

nepotis,.

7% In t-e !se of Padma vs. ,iralal "otilal Desarda,

())$ ' SCC 0879 t-e proess !+opte+ 4* t-e Cit* In+ustri!"

De#e"op,ent Corpor!tion for +ispos!" of "!n+ 4* 4u"B se""

78


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!,e for onsi+er!tion 4efore t-is Court9 6-en it -e"+ !s

un+er?

;7% T-ere is *et !not-er !ng"e of "ooBing !tt-e propriet* of t-e 1uestione+ 4u"B s!"e of"!n+ 4* CIDCO !n+ t-e ,!nner in 6-i- it 6!s+one% T-e "!n+ !1uire+ !n+ entruste+ toCIDCO !nnot 3ust 4e per,itte+ to 4e p!rte+6it- gui+e+ 4* t-e so"e onsi+er!tion of,one*?,!Bing% CIDCO is not ! o,,eri!"onern 6-ose perfor,!ne is to 4e !ssesse+4* t-e !,ount it e!rns% Its perfor,!ne 6ou"+4e 4etter !ssesse+ 4* fin+ing out t-e nu,4erof nee+* persons 6-o -!#e 4een !4"e to

seure s-e"ter t-roug- CIDCO !n+ 4* t-e4e!ut* of t-e to6ns-ip !n+ t-e 1u!"it* of "ifefor t-e peop"e !-ie#e+ 4* CIDCO t-roug- itsp"!nne+ +e#e"op,ent s-e,es% So "ong !ssu- o43eti#es !re fu"fi""e+ CIDCO>s oper!tionon no?profit?no "oss 4!sis !nnot 4e foun+f!u"t 6it-% T-ere s-ou"+ -!#e 4een no -urr* ont-e p!rt of CIDCO in +isposing of t-e 4!"!ne"!n+ !n+ t-!t too gui+e+ 4* t-e so"eonsi+er!tion of e!rning ,ore ,one*% E#ent-!t o43et CIDCO -!s not 4een !4"e to !-ie#e

for !t t-e en+ it -!s p!rte+ 6it- "!n+ !t ! prie"ess t-!n Rs &0)) per s1u!re ,etre K t-ereser#e+ prie% E#en if ! s!"e of "efto#er "!n+6!s ! fe"t neessit* it s-ou"+ -!#e s!tisfie+ !t"e!st t6o on+itions (i$ ! 6e""?onsi+ere++eision !t t-e -ig-est "e#e" !n+ (ii$ ! s!"e 4*pu4"i !ution or 4* ten+ers !fter gi#ing ,ore6i+e pu4"iit* t-!n 6-!t 6!s +one so !s to!ttr!t ! "!rger nu,4er of 4i++ers%

7'


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7;% In t-e !se of Centre for Pu*lic Interest Liti+ation

vs. )nion of India#()&$ ; SCC &9 t-is Court o4ser#e+ !s

un+er?

'0% T-e St!te is e,po6ere+ to +istri4uten!tur!" resoures% Ho6e#er9 !s t-e* onstitutepu4"i propert*


49/60Page 49

goo+ 4* resorting to f!ir !n+ re!son!4"e,et-o+s%

77% T-e Hig- Court in t-e i,pugne+ or+er tooB notie9 in

p!r!gr!p- :09 t-!t t-e !ppe""!nt?CIDCO trie+ to 3ustif* t-eir

!tion of !ne""!tion of !""ot,ent of p"ots on t-e fo""o6ing

re!sons%

&% Mr% Ni"es- G!"!9 t-e proprietor of M


50/60Page 50

0% A4sene of offii!" ,e,4ers in t-e 5o!r+Meeting 6-erein t-e +eisions of !""ot,ent ofp"ots to t-e petitioners 6ere t!Ben%

8% T-e !""ot,ent of p"ots of "!n+ !re

f!tu!""* for o,,eri!" purposes in t-e g!r4of onstrution of ,u"tip"ees !n+ ountr* "u46it- ! #ie6 to inure profit to t-e !""ottees%

'% T-e ,u"tip"e po"i* 6-ere4* ert!in t!4enefits 6ere gr!nte+ 6it- effet fro, *e!r)) 6ere ignore+ 6-i"e ,!Bing t-e !""ot,entof p"ots to t-e petitioners o#er"ooBing t-e+e,!n+ for ,u"tip"ees +ue to onessionsgr!nte+ 4* t-e go#ern,ent%

:% No re!sons !re to 4e foun+ to 3ustif*!""ot,ent of t-ree p"ots in f!#our of one groupof persons%

2% Refus!" on t-e p!rt of o,ptro""er ofAu+itor Gener!" to !ept t-e re!sons gi#en 4*CIDCO 3ustif*ing !4sene of "!6 suffere+ 4*CIDCO 4* #irtue of t-e su43et !""ot,ents ofp"ots to t-e petitioners%

&)% Dr% D%% S!nB!r!n report is t-e 4!sis for!"u"!tion of "oss suffere+ 4* CIDCO%

&&% Justifi!tion of t-e po6ers of t-e st!tego#ern,ent +ireting !ne""!tion of !""ot,entof p"ots on t-e 4!sis of setions &&: !n+ &07 oft-e M%R%T%P% At%

&% Surreptitious !r4itr!r* !""ot,ent ,!+e6it-out in#iting ten+ers "e!+s to t-e

presu,ption of nepotis, !n+ 4i!s et%

&;% T-e petitioners M


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-!rit!4"e trust *et t-eir !pp"i!tion for!""ot,ent 6!s onsi+ere+ 4* CIDCO f!#our!4"*%

&7% F!i"ure on t-e p!rt of t-e petitioner topro+ue !n* #!"u!tion report to 3ustif* !t 6-i-

r!te t-e !""ot,ent 6!s ,!+e 4* t-e CIDCO%

70% T-e Hig- Court inste!+ of "ooBing into t-ese !spets of

t-e ,!tter9 o,p"ete"* ignore+ t-e s!,e on t-e groun+ t-!t

in t-e s-o6 !use notie none of t-e groun+s 6ere ,!+e

4!sis of t-e or+er of !ne""!tion of !""ot,ent% In our

onsi+ere+ opinion9 t-e Hig- Court 6-i"e eerising po6er of

3u+ii!" re#ie6 is suppose+ to -!#e gone into t-e 1uestion !s

to -o6 t-e t-ree p"ots 6ere !""otte+ in f!#our of one group of

persons% T-e Hig- Court -!s "ost sig-t of t-e !+,itte+ f!t

t-!t 4* entert!ining pri#!te !pp"i!tions of t-e s!,e person

t-ree +ifferent #!"u!4"e p"ots -!#e 4een !""otte+ in +ifferent

n!,es% T-e Hig- Court fe"" in error in -o"+ing t-!t t-e

!""ot,ent of p"ots of "!n+ to t-e s!,e person 4ut in t-e

n!,es of trust is !"so 3ustifie+%

0&


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78% C-!pter 0 of Ne6 5o,4!* Ro!+ Dispos!" Ru"es9 &2'0

pro#i+es for !""ot,ent of "!n+ for re"igious9 e+u!tion!"9

-!rit!4"e et% purposes !n+ t-oug- t-e !""ot,ent of p"ots of

"!n+ for onstrution of ,u"tip"e !re tre!te+ !s !""ot,ent

for pu4"i uti"it* purposes9 in su4st!ne9 t-e !""ot,ent 1u!

t-ese !""ottees 6!s for o,,eri!" purpose% T-e !""ot,ents

6-i- !re ,!+e for t-e soi!"9 e+u!tion!"9 -!rit!4"e

purposes +o not ent!i" !n* profit to t-e !""ottees% Ho6e#er9

,u"tip"e is for o,,eri!" ep"oit!tion9 6-i- ensures profit

to t-e !""ottees !n+ t-e ,!nner of +ispos!" of "!n+s

enu,er!te+ in t-e s!i+ po"i* 4* !n+ "!rge suggests t-!t

,ost of t-e !""ot,ents -!#e to 4e ,!+e 4* in#iting ten+ers

or 4i+s%

7'% T-e +ou,ent on reor+ "e!r"* +e,onstr!tes t-!t

t-ere 6!s no +isussion !4out in+i#i+u!" ,erits of t-e

!""ottees !n+ 6!s on"* gener!" onsi+er!tion9 6-i- resu"te+

in ,!Bing !r4itr!r* !""ot,ent 6it-out going t-roug- t-e

0


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ten+er proess% T-e report of t-e Co,ptro""er !n+ Au+itor

Gener!" 6ou"+ s-o6 t-!t t-e re!sons gi#en 4* CIDCO !re not

!ept!4"e !n+ t-ere is "oss !use+ to t-e Corpor!tion 4*

#irtue of t-e s!i+ !""ot,ent ,!+e to t-e respon+ents%

7:% T-e Hig- Court oug-t to -!#e seen t-e !tion of t-e

t-en 5o!r+ of Diretors of CIDCO +e,onstr!ting t-!t in t-e

first ,eeting of t-e 5o!r+ itse"f t-e* "e!re+ t-e spei!"

propos!"s 6it-out onsi+ering t-e in+i#i+u!" ,erits% In t-e

,eeting9 -!r+"* !n* offii!" ,e,4ers 6ere present 6-en t-e

!""ot,ents 6ere ,!+e to t-e respon+ents%

72% St!te !n+ its !genies !n+ instru,ent!"ities !nnot

gi#e "!rgesse to !n* person !t s6eet 6i"" !n+ 6-i,s of t-e

po"iti!" entities or offiers of t-e St!te% Ho6e#er9 +eisions

!n+ !tion of t-e St!te ,ust 4e foun+e+ on ! soun+9

tr!nsp!rent !n+ 6e"" +efine+ po"i* 6-i- s-!"" 4e ,!+e

0;


54/60Page 54

Bno6n to t-e pu4"i% T-e +ispos!" of Go#ern,ent "!n+ 4*

!+opting ! +isri,in!tor* !n+ !r4itr!r* ,et-o+ s-!"" !"6!*s

4e !#oi+e+ !n+ it s-ou"+ 4e +one in ! f!ir !n+ e1uit!4"e

,!nner !s t-e !""ot,ent on f!#oritis, or nepotis,

inf"uenes t-e eerises of +isretion% E#en !ssu,ing t-!t if

t-e Ru"e or Regu"!tion presri4es t-e ,o+e of !""ot,ent 4*

entert!ining in+i#i+u!" !pp"i!tion or 4* ten+ers or

o,petiti#e 4i++ing9 t-e Ru"e of L!6 re1uires pu4"iit* to 4e

gi#en 4efore su- !""ot,ent is ,!+e% CIDCO !ut-orities

s-ou"+ not !+opt piB !n+ -oose ,et-o+ 6-i"e !""otting t-e

Go#ern,ent "!n+%

0)% Furt-er,ore9 t-is Court -!s !"re!+* st!te+ in A(!il

$!artiya )p*!o(ta Con+ress vs. State of "ad!ya

Prades! & 'rs.9 ()&&$ 0 SCC 29 t-!t t-e St!te or its

!genies or instru,ent!"ities ,ust gi#e "!rgesse foun+e+ on

! soun+9 tr!nsp!rent9 +iserni4"e !n+ 6e""?+efine+ po"i*9

6-i- s-ou"+ 4e ,!+e Bno6n to t-e pu4"i !t "!rge !n+

07


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furt-er -e"+ t-!t ! r!tion!" po"i* of !""otting "!n+ on t-e

4!sis of in+i#i+u!" !pp"i!tions !nnot +e -ors !n in#it!tion

or !+#ertise,ent 4* t-e St!te or its instru,ent!"it*9 4ringing

it to t-e Bno6"e+ge of pu4"i !t "!rge so t-!t t-e e"igi4"e

persons s-ou"+ not 4e e"u+e+ fro, "o+ging t-eir

o,petiti#e "!i,s%

0&% T-e !tion of !ne""!tion of !""ot,ent of p"ots9 !s trie+

to 4e 3ustifie+ 4* CIDCO9 6ou"+ s-o6 t-!t t-e Hig- Court

f!i"e+ to !pprei!te su- ogent re!sons in +ei+ing t-e

,!tter 6-i"e eerising t-e po6er of 3u+ii!" re#ie6% It is

,ore e#i+ent !n+ "e!r t-!t !r4itr!riness -!+ ! ro"e to p"!*

in t-e ,!tter 6-i"e !""otting t-e t-ree p"ots in f!#our of one

group of persons 6-i- ert!in"* 6ou"+ o,e 6it-in t-e

,e!ning of !r4itr!riness on t-e p!rt of CIDCO !n+ !g!inst

t-e pu4"i po"i*% Su- !n !tion on t-e p!rt of CIDCO9 it

!ppe!rs to us9 is not-ing 4ut ! f!#ouritis, 4!se+ on

nepotis, !n+ 6!s irr!tion!" !n+ unre!son!4"e !n+

00


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funtioning in ! +isri,in!tor* ,!nner !s #oie+ 4* t-is

Court in t-e !se of Raman Dayaram S!etty (supr!$%

0% Ru"e 79 to 6-i- our notie 6!s +r!6n 4* t-e "e!rne+

ounse" !ppe!ring on 4e-!"f of t-e respon+ents9 !"t-oug-

pro#i+e+ !n !ut-orit* to +ispose of p"ots of "!n+ 4* pu4"i

!ution or 4* ten+er or 4* onsi+ering in+i#i+u!" !pp"i!tions

!s t-e Corpor!tion 6ou"+ +eter,ine fro, ti,e to ti,e9 4ut

su- !tion on t-e p!rt of t-e Corpor!tion s-ou"+ -!#e 4een

t!Ben r!tion!""* !n+ !fter !pp"*ing t-e ,et-o+s 6-i- !re

,ore r!tion!" !n+ ref"et non?!r4itr!riness !n+ 6ou"+ not 4e

s,!Be+ un+er t-e "out of f!#ouritis, !n+


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nepotis, !n+ 6it-out 4eing inf"uene+ 4* !n* su- t-ing in

eerising t-e +isretion onferre+ upon CIDCO%

0;% In t-e !se of ,umanity and Anr. vs. State of -est

$en+al and 'rs.9 ()&&$ 8 SCC &09 t-is Court o4ser#e+

t-!t in t-e ,!tter of gr!nting "!rgesse9 t-e Go#ern,ent -!s

to !t f!ir"* !n+ 6it-out e#en !n* se,4"!ne of

+isri,in!tion% It 6!s -e"+ !s un+er

It is !io,!ti t-!t in or+er to !-ie#e ! 4on! fi+een+9 t-e ,e!ns ,ust !"so 3ustif* t-e en+% T-is Courtis of t-e opinion t-!t 4on! fi+e en+s !nnot 4e!-ie#e+ 4* 1uestion!4"e ,e!ns9 spei!""* 6-en t-eSt!te is in#o"#e+% T-is Court -!s not 4een !4"e to get!n* !ns6er fro, t-e St!te 6-* on ! re1uest 4* t-e!""ottee to t-e Hon>4"e Minister for Ur4!nDe#e"op,ent9 t-e Go#ern,ent gr!nte+ t-e !""ot,ent6it- re,!rB!4"e spee+ !n+ 6it-out onsi+ering !""!spets of t-e ,!tter% T-is Court +oes not fin+ !n*"egiti,!* in t-e !tion of t-e Go#ern,ent9 6-i--!s to !t 6it-in t-e +isip"ine of t-e onstitution!""!69 ep"!ine+ 4* t-is Court in ! !ten! of !ses% /e!re sorr* to -o"+ t-!t in ,!Bing t-e i,pugne+!""ot,ent in f!#our of t-e !""ottee9 in t-e f!ts !n+iru,st!nes of t-e !se9 t-e St!te -!s f!i"e+ to+is-!rge its onstitution!" ro"e%

0'


58/60Page 58

07% /e t!Be serious note !n+ epress our !nguis-9 t-e 6!*

t-e !ut-orities of CIDCO s-o6e+ un+ue f!#our to t-e

respon+ents !n+ ,!n!ge+ to !""ot t-e Go#ern,ent "!n+ in

f!#our of one person Bno6ing fu""* 6e"" t-!t t-e !fores!i+

proprietor of t-e Co,p!n*9 in +ifferent !p!it* !n+ in

+u,,* n!,es9 soug-t !""ot,ents of p"ots% T-e 6!* CIDCO

-!s 4een +e!"ing 6it- t-e Go#ern,ent propert*9 it is -ig-

ti,e9 6e o4ser#e9 t-!t not6it-st!n+ing Regu"!tion 79 !s

ont!ine+ in t-e Regu"!tions9 t-e !ppe""!nt CIDCO ,!* t!Be

!"" en+e!#our to ,!Be !""ot,ents of p"ots 4* open ten+er or

o,peting 4i+s !n+ s-!"" not t!Be !n* +eision for !""ot,ent

of Go#ern,ent "!n+ !t t-e inst!ne of t-e Ministers !n+ Hig-

Dignit!ries for !n* purposes 6-!tsoe#er%

00% T!Bing into onsi+er!tion t-e entire f!ts of t-e !se

!n+ t-e "!6 +isusse+ -erein!4o#e9 6e -!#e no -esit!tion in

-o"+ing t-!t t-e CIDCO 6!s 3ustifie+ in !ne""ing !"" t-e

!""ot,ents ,!+e in f!#our of t-e respon+ents%

0:


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08% For t-e re!sons !fores!i+9 t-ese !ppe!"s !re !""o6e+

!n+ t-e 3u+g,ent !n+ or+er p!sse+ 4* t-e Hig- Court in t-e

6rit petitions !re set !si+e% Conse1uent"*9 6e up-o"+ t-e

or+er p!sse+ 4* t-e CIDCO !ne""ing t-e !""ot,ents ,!+e

in f!#our of t-e respon+ents%

.J.3.!. E-al

.J.3Pi)ai C&a)+,a G&o*e

Ne6 De"-i9Septe,4er 89 )&7%

02


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avoid disposal of government land by adopting discriminatory and arbitrary method

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