NDLI: Lal Bahadur Shastri Educational Society & Anr. Vs. Delhi Development Authority & Ors.

Content Provider	Supreme Court of India
e-ISSN	30484839
Language	English
Access Restriction	NDLI
Subject Keyword	Interest – Claim for on refunded amount – Propriety
Content Type	Text
Resource Type	Law Judgement
Jurisdiction	India
Act(s) Referred	Delhi Development Act, 1957 (61 of 1957)
Case(s) Referred	Referred Case 0 Referred Case 1 Referred Case 2 Referred Case 3
Case Type	Appeal
Court	Supreme Court of India
Disposal Nature	Appeal Disposed Off
Headnote	Issue for consideration: Claim for payment of interest on refundof the amount deposited by the appellants-charitable institutions with therespondent to avail the benefi t of the construction based on additional FAR,if justifi ed.Interest – Claim for, on refunded amount – Propriety:Held: On facts, as on the date when the writ petition was fi led andthe petitioner had voluntarily off ered to deposit the amount, the amountwas to be paid and recoverable under the notifi cation dated 10.10.2008 and23.12.2008 if the benefi t of additional FAR was to be availed – Petitionersbeing desirous of availing the same and to proceed with the constructionon obtaining the Sanctioned Plan in-curred the expenditure by off ering todeposit the amount and avail the benefi t instead of awaiting adjudication andthereafter availing – Thus, when as on the date the deposit was made, thenotifi cation remained valid and even subsequently there is no declaration thatthe notifi cation and the demand made is illegal, but through the subsequentnotifi cation an exemption was granted by the respondents themselves to acertain category of institutional plots to avail additional FAR without levyingsuch charges – Thus, the circumstances in which the deposit was made isnot in a situation where the appellant suff ered any loss due to the ‘Act ofCourt’ – Further, insofar as the respondent is concerned, the notifi cationproviding for additional FAR charges was in force on the date when thedeposit was made – Even though in the interim order dtd.07.05.10 passedby the High Court there was an indication that the question of refund of amount with interest would be examined at the stage of conclusion of thewrit petitions, on facts, when there was no adjudication and determinationwith regard to the right of the appellant and a declaration that the amountwas illegally demanded and retained by the respondent, either the directionto pay interest or to compensate in any other manner for the pendente liteperiod would not arise. [Paras 13 and 14]Contempt petition – Scope – Amount refunded:Held: In a circumstance where subsequently the amount has beenrefunded and the contempt, if any, to that extent is purged, the ultimateconclusion to dispose of the contempt petition by the High Court is justifi ed– No error committed – However, insofar as the contention relating to theretention of the money belonging to the appellant in the second of the casesherein subsequent to the expiry of the period indicated in the order dated27.08.2012 passed in W.P. (C) No.2823 of 2010 before the High Court andas to whether such retention has caused loss to the appellant and converselythe benefi t derived from the same by the respondent, if any, and the mannerin which the same is to be compensated or not as also the rate at which itis to be done are matters which would have to be considered in appropriateproceedings and in accordance with law wherein the parties will avail allopportunities to put forth their contentions and place material – Therefore,in a similar manner in which the appellants in the fi rst of the appeals haveavailed their remedy, it would be open for the appellant in the second of theappeals also to avail the remedy before the appropriate forum, in accordancewith the law – All contentions of both parties in that regard are left open.[Para 16]
Judge	Hon'ble Mr. Justice Ajjikuttira Somaiah Bopanna
Neutral Citation	2023 INSC 797
Petitioner	Lal Bahadur Shastri Educational Society & Anr.
Respondent	Delhi Development Authority & Ors.
SCR	[2023] 11 S.C.R. 835
Judgement Date	2023-09-05
Case Number	5647

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