Full Text
NATIONAL INVESTOR FORUM ..... Petitioner
Through : Counsel (appearance not given.)
Through : Mr. Harpawan Kumar Arora & Mr. Prashant Chauhan, Advocates for the
Committee/GFIL in CM APPL.9657/13
HON'BLE MR. JUSTICE NAJMI WAZIRI MR. JUSTICE NAJMI WAZIRI
CM No.9657/2013 (for confirmation of auction sale)
JUDGMENT
1. This is an application seeking confirmation of auction sale by the applicant/Committee, GFIL for two properties situated in Ambala. The applicant submits that advertisements were issued on 13.5.2013 inviting sealed bids for auction of three properties in Haryana: one in Panchkula district and two in Ambala district. The application seeks 2013:DHC:6387-DB confirmation apropos the latter two i.e. (i) Property No.2: Agricultural Land measuring Approx.99 Kanal & 3 Marla situated in Village Dangdehri, Tehsil & District Ambala (Haryana) and (ii) Property No.3: Agricultural Land measuring Approx. 22 Kanal & 19 Marla situated in Village Dangdehri, Tehsil & District Ambala (Haryana). The advertisements were issued in (1) The Chandigarh Tribune, (2) Dainik Bhaskar (Ambala) and (3) Amar Ujjala (Chandigarh).
2. According to the Committee, these newspapers have wide circulation in the areas concerned. A reserve price was mentioned against each of the properties. Bids were received and were processed for property numbers 2 and 3 only. For the former, two bids were received: one from M/s. Regent Land Holdings Pvt. Ltd. and the other from M/s. Vinod Rice Mills Pvt. Ltd. The latter’s bid was for Rs.5,51,00,000/- (Rupees Five crore and Fifty One lakh only). As per procedure, the lower price bidder was offered to revise his bid but he declined to do so. Accordingly, the bid of M/s. Vinod Rice Mills Pvt. Ltd. was accepted. Confirmation of the same is sought in these proceedings.
3. Apropos property No.3, eleven bids were received, the highest of which was Rs.1,10,00,100/- (Rupees one crore ten lakh and one hundred only). Thereafter inter se bidding/open bidding was conducted between the parties. It ultimately went in favour of Smt. Indra Jain wife of Sh. Rajender Kumar Jain for Rs.2,25,00,000/- (Rupees two crore twenty five lakhs only).
4. The Chairman of the Committee, through his affidavit, has explained the co-relation between the reserve price of the properties which were advertised, successive scaling down of the reserve price and the corresponding bids which were accepted. He explains that the property Nos.[2] and 3 were first advertised on 3rd July, 2011 with reserve prices of Rs.20 crores and Rs.[5] crores, respectively. However, since no bids were received for either of them, the Committee reconsidered the reserve prices of both on the basis of the Collector rate of gairmumkin agricultural land in Dangdehri village, District Ambala which was Rs.12 lakhs per acre for the year 2012-13. Accordingly, revised bids with a reserve price of Rs.[8] crores and Rs.[2] crores respectively were invited through advertisement dated 24.3.2012. Again no bids were received. As a result, the reserve prices were further reduced to Rs.[5] crores and Rs.[1] crore respectively. The affidavit further states that initially the Committee had envisaged the market price to be Rs.1.[5] crore per acre. The basis for this expectation was the sale of lands admeasuring 77 Killas and 9 Killas respectively through public auction to M/s. Amartex Industries Ltd. for Rs.70.25 crores and Rs.9.25 crores respectively in December 2006 and January,
2007. However, the reason for lack of similar robust response for the two properties in question is explained as under:
5. The Committee argues that for the Property No.3 although Collector rate is Rs.12 lakhs per acre, the open bid fetched nearly seven times more than that i.e. Rs.81.81 lakhs per acre.
6. As regards property No.2, the amount fetched by it is nearly four times the Collector rate i.e. Rs.44.52 lakhs per acre. The manner of the bidding has already been discussed hereinabove. In this regard, the Committee points out that:
7. This Court has considered the facts of the case and the manner in which tender was published, sealed bids received, assessed, then put to open bidding and the highest bidder being selected in this manner. The returns fetched for the two properties in question are four to seven times higher than the relevant Collector’s rate. The bid rates appear to be influenced by the peculiar location of the two lands and their appurtenant circumstances. The Court finds the process to be fair and the assessment by the applicant to be reasonable. Accordingly, the Court grants permission for the confirmation of sale of the two properties. The application is allowed.
NAJMI WAZIRI (JUDGE) S. RAVINDRA BHAT (JUDGE) DECEMBER 11, 2013 ak