R.B. Jodha Mal & Co. (P) Ltd. vs Union Of India And Others
1999 Latest Caselaw 806 Del

ORDER

C.M. Nayar, J.

1. The present petition is directed against the respondents for quashing the impugned orders dated 24/25th August, 1973 purporting to cause re-entry in respect of the property known as No.1, Retendone Road, New Delhi, (Plot No. 38 Block 1) and for quashing the demand of the respondents in so far as it relates to the ground rent at the enhanced rate of Rs. 20,147/- per annum as against Rs. 300/-per annum with regard to the above said property as contained in the letter of the respondents dated November 28,1974. The impugned order of re-entry dated 24/25th August, 1973 has been filed as Annexure G to the writ petition which reads as under :

"REGISTERED A.D. GOVERNMENT OF INDIA MINISTRY OF WORKS & HOUSING Land and Development Office, South Wing Nirman Bhavan, New Delhi-11.

     No.L-I-9/1 (38)/72                                         Dated 24.8.73/25.8.73 
 

     To 
 

     M/s.  R.B. Jodhamal & Co. (P) Ltd., (Ex-lessee)  B-31,  Connaught  

     Place, New Delhi. 
 

     Sub:-  Premises situated on Plot No. 38 Block No. 1 known  as  1,      Ratendon Roar, New Delhi. 
 

     Dear Sir, 
 

Whereas the undermentioned breaches were observed which have not been removed/regularised so far inspite of the final notice given by the lessor vide letter No. LI-9/1(38)72 dated 19.12.1972.

1. The main building is being used as office of advertising Sales Promotion Company of Hindustan Charity Trust.

2. Unauthorised construction of an area measuring 12'-9" x4'.

AND WHEREAS the replies dated 17.2.1973 and 27.3.1973 to Secy. Min. of Works & Housing Given by you were not found to be satisfactory and attracted clause 2(5) and 2(6) of the lease deed which remained unremedied.

In the circumstances the lessor, in exercise of the powers conferred on him by clause (3) of the Indenture of Lease, has reentered upon the said premises w.e.f. 25.7.1973.

Upon such re-entry of said lease and everything contained in the said Indenture of lease of the said premises, shall cease and determine and the entire plot of land forming the subject matter of the relevant lease-deed and all the building standing there-upon including all structures erection and fittings shall vest with the lessor.

Shri B.S. Sethi, Building Officer, Land and Development Office has been directed to take possession of the premises from you and he will call upon you for this purpose on 13.9.1973 at 11.00 A.M. and hence your are hereby called upon to handover peacefully the possession of the premises including land, buildings, fittings and fixtures etc. to him.

The cheque No. 086402 dated 21.5.1973 for Rs. 947.80 paise furnished to this office with letter dated 6.6.1973 is returned herewith uncashed.

Yours faithfully,

Sd/- Shital Prasad.

Deputy Land & Development Officer for and on behalf of the President of India.

Encl.

one cheque.

V.R. 2967."

2. Subsequently, the respondents wrote another Communication dated November 28, 1974 in which an order for re-entry was stated to be withdrawn on re-consideration of the matter on the terms and conditions as incorporated in that communication. This communication dated 28th November, 1974 is filed as Annexure 'K' to the writ petition.

The petitioner is aggrieved by the revised ground rent which is indicated in paragraph (f) of the above said communication which may be reproduced as follows:

"A. ......

B. ......

C. ......

D. ......

E. ......

F. Revised ground rent which is to be revised under clause 4 lease-deed.

i) Payment of revised ground rent @ Rs. 20,147/- per annum minus Rs. 300/-(original ground) from 28.11.1974 to 14.1.1975 Rs. 2656.40.

(Note: In future, the ground rent will be @ Rs. 20,147/- per annum).

3. Rule in the petition was issued and interim order of stay of dispossession was granted which continued to operate till date. The initial perpetual Lease-deed dated May 27, 1939 was executed between the Secretary of State for India in Council (Lessor) on the one part and Mr. Sardar Chand 17, Barakhamba Road, New Delhi (lessee) on the other part. The supplemental perpetual lease was executed between the President of India of the one part and M/s R.B. Jodha Mal & Co. (P) Ltd. (lessee) on the other part on December 13,1966. The short question which arises for consideration is is as to whether the respondents could increase the ground rent from the amount as referred to in the lease-deed to Rs. 20,147/- which has been claimed. Paragraph 4 of the perpetual lease reads as follows:

"4. The rent hereby reserved may at the option of the lessor be enhanced on or after the first day of January, 1966 and thereafter at the end of each successive period of not less than thirty years provided that the rent fixed at each enhancement shall in no case exceeded one third of the letting value of the site without buildings at the date on which the enhancement is made, as such letting value shall be assessed by the Collector or Deputy Commissioner of Delhi provided always that any such assessment of letting value for the purpose of this provision shall be subject to the same right on the part of the lessee of appeal from the orders of the said Collector or Deputy Commissioner and within such time as if the same were an assessment by a Revenue Officer within the meaning of Section 50 of the Punjab Land Revenue Act, 1887 (Act XVII of 1887) and the proceedings for or in relation to any such appeal shall be in all respects governed by the provisions of the said Act in the same manner as if the same had been taken thereunder."

4. The respondents have not indicated as to how they have increased the ground rent to Rs. 20,147/- as no order has been produced on record to justify the increase. The respondents can, however, increase the ground rent but only in consonance with the provision of the Perpetual Lease Deed particularly in terms of clause 4 which has been reproduced above. The respondents shall issue notice and hear the petitioner on the date and time so fixed in the notice and thereafter pass a reasoned order to assess the ground rent in accordance with law. The FDR in the sum of Rs. 39,892.27 which is deposited in this Court shall be encashed and the amount shall be paid to the respondents which will be subject to the final adjustment when the matter is decided. The present petition is allowed in the above terms.