The division judge bench of Justice Uday Umesh Lalit, Justice Indira Banerjee, and Justice K.M. Joseph of the supreme court of India in the case of New Okhla Industrial Development Authority (NOIDA) Vs Kendriya Karamchari Sehkari G.N. Samiti & Ors directed NOIDA to make allotments of multi-storeyed flats in favor of 844 persons; with each of those flats admeasuring about 1800 square feet.
BRIEF FACTS
The factual matrix of the case is that the present appeal at the instance of NOIDA is the result of the Writ Petitions filed by Kendriya Karamchari Sahkari Grih Nirman Samiti Limited (‘Respondent-Society’, for short) challenging the orders passed in Ceiling proceedings holding that there were excess lands in the hands of said Respondent–Society which vested in the State. As per the authorities, the two grounds on which the transfers in favor of the cooperative society were made illegal are-
- The lands vested in the State Government because such transfers were made in violation of Section 154 of the U.P. Zamindari Abolition and Land Reforms Act, 1950 (the "U.P. Act," for short).
- The second objection pertains to the applicability of Ceiling Law in terms of which any holding greater than 12.5 acres would vest in the State Government.
Further, the inquiry was undertaken by Dr. Prabhat Kumar, Deputy Chief Executive Officer of NOIDA, who recommended the cancellation of allotment made in favor of said members of the Respondent Society. Thereafter, the show cause notices were issued for canceling all such installments which were challenged before the high court.
The learned counsel appearing on behalf of the respondent- society has contended that the extent of land acquired by the Society prior to 03.06.1981 was 99.28 bigas though after 03.06.1981 the holding of the Society as on 27.02.1988 had risen to the level of 202.04 bighas. It was further submitted that Khodaiji Committee Report in terms of which 40% of the developed land would be made over, the entitlement of the Society will translate to 39.71 bighas = 24.82 acres. Though the initial membership of the Society was stated to be 2149 members, after the process of verification and re-verification the list of 1053 members was finalized as disclosed in letters addressed to the Assistant Registrar (Co-operatives). Even out of 1053 members 76 members had encashed their cheques while 133 persons had sold their interest in favor of transferees. At last, it was submitted that against the entitlement of 24.82 acres, the interest of 977 members may need to be taken care of.
The learned counsel appearing on behalf of the NOIDA has contended that initially, allotment letters were issued to 1754 members of the Society, based on the premise that the entitlement of the Society governed by Khodaiji Committee formula would be in respect of 299 bighas. However, after certain complaints were received, Prabhat Kumar Committee was constituted which went into the issues of membership as well as holding of the Society. Various show cause notices were issued to the concerned persons whereafter the allocation made to 1754 persons was canceled. Further, 133 persons had sold away their interest without taking due permission from NOIDA, their transferees cannot claim any benefit.
COURT’S OBSERVATION
The hon’ble apex court observed that it is clear that NOIDA is agreeable to re-lay part of Sector 43 and to make allotments of multi-storeyed flats in favor of 844 persons; with each of those flats admeasuring about 1800 square feet.
The top court directed NOIDA to extend to said 844 persons the benefit, and the price of the land shall be fixed by NOIDA purely in accordance with its extant policy and the applicable norms. Further, at this stage, we must also deal with the claim of 133 persons who have acquired by transfer, the interest of the erstwhile members. NOIDA shall look into their claims and if satisfied, may grant them similar benefits as would be extended to 844 members.
CASE NAME- New Okhla Industrial Development Authority (NOIDA) Vs Kendriya Karamchari Sehkari G.N. Samiti & Ors
CITATION- CIVIL APPEAL NO.____ ___ OF 2022
CORUM- Justice Uday Umesh Lalit, Justice Indira Banerjee, and Justice K.M. Joseph
DATED- 22.09.22
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