Research › Search › Judgment

Calcutta High Court · body

2017 DIGILAW 937 (CAL)

STATE OF WEST BENGAL v. UNION OF INDIA

2017-12-01

ARIJIT BANERJEE, JYOTIRMAY BHATTACHARYA

body2017
JUDGMENT : 1. This writ petition was filed by way of public interest litigation against the Overland Group of Companies, which were carrying on the business of chit fund. The State Government wanted certain properties of the said group of companies to be sold so that the sundry investors in the said company could be paid back some money. 2. In a Court sale, the property in question was purchased by the present applicants, being Evergreen Complex Private Limited, and others. The conveyance was executed in favour of the purchasers. When the purchasers applied for mutation of the property in their favour, the State took a stand that the property had vested in the State long ago and Overland had no title to the property which could be transferred to the purchasers. Mutation was denied. The applicants filed an application before this Court and ultimately, the applicants approached the Hon’ble Supreme Court contending that they were no more interested in the transaction and they wanted to get out of the deal with refund of the monies that they have paid for purchasing the property including the stamp duty, registration costs, panchayat tax and khajana. 3. By an order dated 20th November, 2017, the Hon’ble Supreme Court granted liberty to the applicants to file an appropriate application in this Court with a request to this Court to dispose of such application within four weeks. Accordingly, the present application has been made for refund of the consideration price along with the stamp duty, registration costs, panchayat tax and khajana payment. 4. Mr. Majumdar, learned Additional Advocate General, submits that the State Government has already filed an application for cancellation of the conveyance executed in favour of the present applicants. 5. Mr. Saha, learned senior counsel appearing for the applicants, submits that the applicants have no objection to such cancellation provided, the monies that they have shelled out are refunded to them. 6. The State’s application being GA 1898 of 2016 is also appearing in the list today. 7. Having heard the learned counsel for the parties, we are of the view that the application of Mr. Saha’s clients and the application of the State should both be allowed. Whether or not the land has vested in the State, is a dispute between the original owner of the land being the client of Mr. Basu, the learned senior counsel and the State. Saha’s clients and the application of the State should both be allowed. Whether or not the land has vested in the State, is a dispute between the original owner of the land being the client of Mr. Basu, the learned senior counsel and the State. The State is directed to inform Mr. Basu’s client and/or their learned Advocate on Record the details and particulars of the vesting proceedings of the land in question as claimed by the State, which is disputed by Mr. Basu. 8. Accordingly, GA No.3727 of 2017 and GA No.1898 of 2016 are both allowed. 9. The conveyance, executed in favour of the present applicants, stands cancelled. The Special Officer shall pay to the applicant no.1, being M/s. Evergreen Complex Private Limited, the admitted sums of Rs.4.7 crores towards the consideration price, Rs.28,20,020/-being the stamp duty and the registration fees amounting to Rs.5,17,087/-. The other sums on account of panchayat tax and khajana payment, which the applicants claim to have paid, shall be verified by the learned Special Officer and if the applicants are able to satisfy the learned Special Officer that the said two sums have also been paid by the applicants, such sums shall also be paid by the learned Special Officer to the applicants. For the purpose of making payment to the applicants, as aforesaid, the learned Special Officer shall be at liberty to encash the fixed deposits prematurely. The entire exercise shall be completed within three weeks from date. 10. If, after making all the payments out of the concerned fixed deposits in terms of this order, any amount remains in the hands of the learned Special Officer, the same shall once again be reinvested by the learned Special Officer in appropriate fixed deposit subject to further orders of the Court. 11. We have passed this order without entering into the dispute between the original owner of the land and the State regarding title to the land in question. 12. The other application, being GA 272 of 2016, is the application of the present applicants for a direction on the authorities to mutate the property in question in their favour. 13. In view of today’s order the said application has become infructuous and is disposed of accordingly. 14. 12. The other application, being GA 272 of 2016, is the application of the present applicants for a direction on the authorities to mutate the property in question in their favour. 13. In view of today’s order the said application has become infructuous and is disposed of accordingly. 14. The learned Special Officer shall make payment, as indicated above, to the applicants upon the applicants’ handing over the original deed of conveyance executed in their favour in respect of the property in question along with an affidavit stating therein that the applicants have not created any mortgage or any kind of charge or encumbrance in respect of the property in question for obtaining any financial benefit from anybody else including the banks and financial institutions. The learned Special Officer shall communicate to the concerned registrar that the deed of conveyance in question stands cancelled pursuant to this Court’s order and the registry shall keep a note to that effect. 15. Needless to say that the learned Special Officer shall make payment upon the applicants’ handing over possession of the land in question to the learned Special Officer who shall hold the same subject to further orders of the Court. GA 272 of 2016, GA No.1898 of 2016 and GA No.3727 of 2017 are, accordingly, disposed of. Let W.P. No.3794 of 1994 be listed four weeks after the Christmas vacation.