Delhi High Court
Shobhit Sharma vs Delhi Devlopment Authority & Ors. on 22 September, 2021
$~21
*IN THE HIGH COURT OF DELHI AT NEW DELHI
% Judgment delivered on: 22.09.2021
+ W.P.(C) 8131/2021 & CM APPL.25253/2021
SHOBHIT SHARMA ..... Petitioner
versus
DELHI DEVLOPMENT AUTHORITY & ORS. ..... Respondents
Advocates who appeared in this case:
For the Petitioner: Mr. Jagjit Singh, Mr. Preet Singh and Mr. Vipin
Chaudhary, Advocates (through VC)
For the Respondent: Mr. Gaurav Dua, Mr. Arpit Chanana and Mr.
Manish Gupta, Advocates for R-1 (through VC)
Ms. Mini Pushkarna, Standing Counsel, North
DMC with Ms. Khushboo Nahar and Ms. Latika
Malhotra, Advocates for R-2 (through VC)
Ms. Nidhi Mohan Parashar with Ms. Nandita
Rathi, Advocates for R-3 (through VC).
CORAM:-
HON'BLE MR. JUSTICE SANJEEV SACHDEVA
JUDGMENT
SANJEEV SACHDEVA, J. (ORAL)
1. Petitioner seeks quashing of the award of parking contract on
license basis by the DDA to respondent No.3 and further seeks a
restraint on the North Delhi Municipal Corporation from terminating
or cancelling the contract awarded to the petitioner till the parking
contract of respondent No.3 is cancelled/adjudicated upon by this
Court.
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 1
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
2. It is the case of the petitioner that petitioner is a successful
bidder for various parking lots vide Letter of Intent dated 21.06.2021.
As per the petitioner when petitioner submitted his bids for the
parking lot there was no additional parking existing at the spot.
3. It is contended that subsequently DDA has created additional
surface parking in six plots which were handed over by the MCD to
DDA solely for the purposes of construction of a multi level parking.
4. It is pointed out that by order dated 25.01.2021 in W.P(C)
1820/2020 titled Netaji Subhash Place Traders Welfare Association
(Regd) vs. Delhi Development Authority & Ors, six plots were
directed to be handed over to DDA solely for the purpose of
construction of a multi level parking.
5. Learned counsel points out that in order dated 25.01.2021, the
assurance of DDA is noticed that within one month the plots will be
auctioned for the purposes of construction of multi level parking and
in case DDA decided to construct the parking on its own, then the
construction would commence within 3-4 months. It is pursuant to
this direction that Municipal Corporation handed over six plots to
DDA.
6. Learned counsel for the petitioner submits that DDA, instead of
constructing the multi level parking, has allotted the plots for surface
parking to respondent No.3. He submits that because of the allotment
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 2
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
by DDA and creation of additional parking, the bid submitted by the
petitioner is no longer serviceable as when the bid was submitted
there was no additional parking and now additional surface parking is
available on six more plots.
7. It may be noted for the purposes of record that the parking lots
which were allotted to the Petitioner were not taken over by the
petitioner for the above reasons and they have also been temporarily
allotted to Respondent No. 3 for a short period.
8. Learned counsel appearing for the DDA admits that the plots
were handed over to DDA for the purposes of constructing multi level
parking. He however, submits that because of certain logistic and
other administrative delays including the present pandemic, auction
for construction of the parking could not take place.
9. He further submits that since there was delay in auctioning the
contract for construction of multi level parking, an application has
been filed before the said Court for extension of time. He submits that
as the plots were lying idle and there was requirement for parking,
DDA has been allotted the parking to respondent No.3 for only a short
period of six months w.e.f. 05.04.2021 to 04.10.2021.
10. Learned counsel further under instructions submits that the
request for proposal for inviting bids for construction of multi level
parking is still in the process of finalisation and shall take about one
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 3
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
more month and thereafter bids will be invited. He submits that in this
view of the matter, the construction of parking is likely to commence
after 3-4 months.
11. Learned counsel appearing for respondent No.3 submits that
respondent No.3 is an allottee of the parking site for a short term
period. She however, submits that during the period of allotment there
was a lockdown for about 51 days because of which the parking could
not be used. Accordingly, respondent No.3 has already approached the
DDA for either refund of the parking fee paid in excess for 51 days or
for extension of the term of the agreement by 51 days.
12. Learned counsel appearing for the Municipal Corporation
submits that the land was handed over to DDA for a specific purpose
and not for the purposes of letting it out as a parking site. She submits
that originally the entire area was being maintained and managed by
the Municipal Corporation and in terms of the orders of the Court the
land was handed over to DDA only for the specific purpose of
construction of a multi level parking.
13. She submits that in view of the action of the DDA, a joint
meeting was held between the officers of the Municipal Corporation
and the DDA and minutes of meeting dated 08.09.2021 have been
drawn.
14. Learned counsel refers to the decision taken in the said minutes,
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 4
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
which are reproduced herein:-
5. After detailed discussions, the officers of North
DMC & DDA agreed on following decisions:-
a) The successful H-1 bidder/petitioner i.e. Shri
Shobit Sharma should take over the physical
possession of the parking site area admeasuring
18107 sqm from North DMC at offered price of
Rs.27,27,272/- per month after deposit of complete
amount of security deposit and FDR, because there
is no such condition in the terms & conditions of
tender document that no parking would be allowed
to run in the adjoining plots handed over to DDA
by North DMC. Further, as per terms & conditions
of tender document, the successful bidder is bound
to take possession of the site on " As is Where is
basis" and no objection shall be entertained post
the award of LoI. In case H-1 bidder does not take
possession of the site, then North DMC can offer
H-2 bidder to enter into agreement with North
DMC to run parking site at approved H-1 rate i.e.
Rs.27,27,272/- per month.
b) Delhi Development Authority has awarded the
short-term contract till October, 2021 to the
existing contractor selected by North DMC
namely, Shri Vijay Kumar Gupta at the approved
rates under agreement with North DMC. However,
since North DMC has approved new contract rates
of Rs.27,27,272/- per month after floating latest e-
tender of area admeasuring 18107 sqm which
comes to Rs.150.61 per sqm per month, therefore
DDA shall charge not less than this amount from
Mr. Vijay Kumar Gupta for the period of
agreement w.e.f. 21.6.2021 (the date of LoI issued
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 5
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
to H-1 bidder by North DMC).
c) Further, in case of any further delay in the project
of construction of multi level parking, DDA shall
first offer the parking site to the existing contractor
of North DMC at that time at the approved rates of
North DMC. In case of denial by the parking
contractor of North DMC, DDA would be at
liberty to provide the parking site to any parking
contractor at their own.
d) With effect from 21.6.2021 (the date of LoI issued
to H-1 bidder) and till the decision of Hon'ble
Court and further handing over/taking over of
parking site by the H-1 bidder, the existing
contractor of North DMC i.e. Shri Vijay Kumar
Gupta to be allowed to run the parking site of
North DMC of area admeasuring 18107 sqm at the
rate of Rs.150.619 per sqm per month which comes
to Rs.27,27,272/- per month."
15. It is apparent from the minutes of meeting that the subject plots
were handed over to DDA for the limited purpose of constructing a
multi level parking. There was no option granted to the DDA to let out
the said area for the purposes of creating a surface parking.
16. However, since the period for which the contract has been
awarded by DDA, is only a short period of six months and is expiring
on 04.10.2021, this Court is refraining from commenting further on
the validity or otherwise of the said allotment to respondent No.3 by
the DDA.
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 6
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
17. As per the minutes of meeting it has been decided that after the
contract awarded to respondent No.3 is over, the said six additional
plots would also be offered to the petitioner at the same rate at which
petitioner has bid for the other plots. In case petitioner/existing
contractor of North DMC fails to accept the offer, then DDA would
be at liberty to provide the parking site to any other parking contractor
of their own.
18. Learned counsel for the petitioner under instructions submits
that petitioner is willing to accept the additional plots also at the same
rate at which he has furnished a bid to the Municipal Corporation for
the other plots.
19. Learned counsel for the petitioner further undertakes that on
05.10.2021 simultaneously with the handing over of possession of all
the parking sites including the six sites allotted to respondent No.3,
petitioner shall comply with the letter of allotment and shall furnish
the requisite security deposit/bank guarantees and the license fee as
agreed upon.
20. He further undertakes that as soon as the contract for the six
parking sites is auctioned by the DDA and possession is to be handed
over for the purposes of construction, petitioner undertakes to vacate
and hand over the possession to the contractor of DDA for the said
purpose.
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 7
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
21. The undertaking is accepted.
22. The claim of respondent No.3 with regard to refund of the
license fee for the period of 51 days, when lockdown was imposed,
does not arise for consideration in this petition. Respondent No. 3 is at
liberty to raise the said dispute in appropriate forum.
23. Further, clause (d) of para 5 of the minutes of meeting requires
respondent No.3 to pay the same rate as has been offered by the
petitioner for the other parking lots also temporarily allotted to
Respondent no. 3.
24. Learned counsel for respondent no. 3 submits that as
respondent No.3 was not a party to the said meeting and has also not
submitted the same rate, he is not liable to pay the enhanced rate and
is liable to only pay the rate at which the allotment was made.
25. This dispute also does not arise for consideration in these
proceedings and it would be open to the parties i.e. DDA, Municipal
Corporation and respondent No.3 to have the said inter-se dispute
adjudicated in appropriate forum. The issue is accordingly left open.
26. Further, learned counsel for respondent No.3 submits that as
respondent No.3 was not a party to the meeting and was never served
with the copy of the minutes prior to today, respondent No.3 is not
agreeable to pay the enhanced sum of Rs.27,27,272/- per month and is
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 8
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
willing to offer the rate as per her agreement and in case the
Corporation is insistent upon the enhanced rate, then respondent No.3
is willing to hand over the possession of all the parking sites (six
allotted by DDA and the additional sites allotted by North MCD)
today itself.
27. The statement is taken on record.
28. In view of the above statement, it would be open to the
Municipal Corporation to take a view in the matter and in case
Municipal Corporation decides to accept the surrender of possession
by respondent No.3 at an earlier date, they are at liberty to do so.
29. Learned counsel for the petitioner submits that in case all the
plots are offered to the petitioner even before 05.10.2021, petitioner is
willing to take the same as per his above undertaking.
30. The Statement is also taken on record.
31. The Petition is accordingly disposed of in the above terms.
SANJEEV SACHDEVA, J.
SEPTEMBER 22, 2021/rk
Signature Not Verified
W.P(C) 8131/2021 Digitally Signed 9
By:JUSTICE SANJEEV
Digitally Signed By:KUNAL SACHDEVA
MAGGU Signing Date:22.09.2021
Signing Date:23.09.2021 08:12:28 23:43
This file is digitally signed by PS
to HMJ Sanjeev Sachdeva.
