The Allahabad High Court has directed the Noida Authority to pay Rs 50,000 as cost to the petitioner within a week for issuing an illegal and arbitrary recovery notice against him.
As the petitioner was dragged into unnecessary litigation by the Noida Authority, the Court directed for payment of Rs 50,000 as cost to the petitioner within a week.
The Division Bench of Justice Manoj Kumar Gupta and Justice Jayant Banerji passed this order while hearing a petition filed by Ravi Kumar Bansal.
The petition has been filed praying for quashing of the order dated 6.9.2022, whereby Noida Authority had raised a demand of Rs 1,15,32,470/- towards balance premium for the industrial shed situated in B-22, Sector 1, Noida, Gautam Budh Nagar.
On 14.11.2022, the Court passed the following order, taking notice of the submissions made by the counsel for the petitioner:
“After having heard the parties at some length, we prima facie find no justification for raising a huge payment of a sum of Rs 1 crores and odd. It is noteworthy that the civil suit filed by the petitioner was decreed on 3.12.1983 with the specific finding that the entire amount under the allotment order stood paid. The lease deed was executed in favour of the petitioner by the executing court in execution proceedings. All attempts by Noida Authority to challenge the above proceedings had failed. We call upon the Chief Executive Officer, Noida to file his personal affidavit as to how the impugned demand can be justified in face of the findings of the civil court. List as fresh on 25.11.2022. Kaushalendra Nath Singh, counsel for the respondents, undertakes to communicate the instant order to the concerned respondent for due compliance.”
In compliance with the said order, a personal affidavit was filed by Chief Executive Officer, Noida, in which the same stand was taken that a sum of Rs 1,15,32,469/- is due and payable by the petitioner towards the balance premium amount, the Court noted.
On 8.12.2022, the Court passed the following order: –
“Perused the personal affidavit filed by the Chief Executive Officer, Noida.
The affidavit mentions that Rs 1,15,32,469/ is due against the petitioner till date. Shelter has been taken behind the representation filed by the petitioner in contending that the petitioner admits that dues still remain unpaid and is ready to pay the balance amount.
On a query made from Anjali Upadhya, counsel appearing for the respondent authority, she states that the amount being demanded is towards premium which according to her is admitted to be due and payable by the petitioner.
We are not impressed by the submission. In fact, as noted in our previous order, a specific finding was returned by the civil court that the entire amount under the allotment order stood paid. The petitioner in the representation had only shown willingness to deposit lease rent for the period 1995 onwards after claiming adjustment of Rs 96,000/ deposited by him on 20.11.2014. The respondents have twisted the fact in raising an incorrect plea that the petitioner admits that amount was due towards premium.
Anjali Upadhya states that the impugned order will be recalled forthwith and the respondent authority will place before this Court only the amount due towards rent. On the above assurance, we adjourn the matter until tomorrow to be taken at 10.00 a.m Anjali Upadhya undertakes to communicate the instant order to the concerned respondents today itself.”
The Court further noted that, on December 09, Anjali Upadhyay, counsel appearing for Noida Authority, has placed on record for our perusal an order dated 8.12.2022, issued by the Noida Authority, stating that the demand has been withdrawn, having regard to the findings recorded by the Civil Court in previous litigation between the parties. The order also mentions that no amount is due and payable by the petitioner.
The Court observed that it is thus evident that Noida Authority had made a totally illegal and arbitrary demand from the petitioner. As the petitioner was dragged into unnecessary litigation by the Noida Authority, the Court directed for payment of Rs 50,000 as cost to the petitioner within a week. Following the High Court orders, the Noida CEO has withdrawn the recovery notice issued to the petitioner.
Accordingly, the Court disposed of the petition.