Supreme Court Directs Special Committee to Continue Adjudicating Pending Applications in Land Allotment Dispute - Applications Classified for Resolution by Special Committee or Court Based on Nature of Grievances. Special Committee Appointed Under Article 32 to Resolve Builder's Non-Adherence to Allotment Terms in Faridabad Residential Colony Project to Continue Dealing with Late Applications and Carve Out Own Procedure.

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Case Note & Summary

The dispute originated from M/s Durga Builders (Pvt.) Ltd.'s purchase of approximately 235 acres of land in Faridabad, Haryana for establishing a residential colony under licenses from the Director, Town and Country Planning, Haryana. The builder entered into a bilateral agreement requiring allotment of plots in three categories: 20% for economically weaker sections at subsidized rates, 25% on no profit no loss basis, and 55% in open market with profit capped at 15%. After advertisements and allotments, the builder failed to adhere to the terms, leading allottees to file petitions under Article 32 of the Constitution before the Supreme Court in 1996, registered as Writ Petition (Civil) No. 876 of 1996. In 2016, the Court appointed Mr. Justice Vikramjit Sen, retired Judge, as a single member Special Committee to resolve the issues, considering the magnitude of claims. The Committee submitted its report in January 2023, which was accepted by the Court in July 2023. However, applications from allottees who could not approach the Committee in time and those alleging grievances required further attention. The Court, after hearing the amicus curiae and counsel, classified the pending applications into two categories: those to be referred to the Special Committee for resolution and those to be adjudicated by the Court. The Court directed the Special Committee to continue dealing with applications from defaulters and those filed late, allowing it to carve out its own procedure. The decision involved examining the nature of each application to determine the appropriate forum for resolution, ensuring comprehensive adjudication of all grievances in the long-standing dispute.

Headnote

A) Constitutional Law - Writ Jurisdiction - Article 32 of Constitution of India - Land Allotment Dispute Resolution - Supreme Court appointed Special Committee to resolve disputes arising from builder's non-adherence to allotment terms - Committee submitted report but applications from allottees who could not approach Committee in time required further consideration - Court directed Committee to continue dealing with such applications and carve out its own procedure (Paras 1-8).

B) Civil Procedure - Classification of Applications - Special Committee vs Court Adjudication - Applications alleging grievances before Special Committee or requiring Court adjudication - Supreme Court examined applications with assistance of amicus curiae and classified them into those to be referred to Special Committee and those to be retained for Court's disposal - Court provided detailed lists of applications in both categories (Paras 7-9).

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Issue of Consideration

Whether pending applications from allottees in a land allotment dispute should be referred to the Special Committee for resolution or adjudicated by the Supreme Court directly

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Final Decision

Supreme Court directed Special Committee to continue dealing with applications from allottees who could not approach Committee before cut-off date and those alleging grievances, allowing Committee to carve out its own procedure, while retaining some applications for Court's disposal

Law Points

  • Supreme Court's power to appoint and continue Special Committee for dispute resolution
  • procedural classification of applications for adjudication by Special Committee or Court
  • adherence to constitutional writ jurisdiction under Article 32
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Case Details

2025 LawText (SC) (4) 128

MA.NO.1290/2022 IN WP(C)NO.876/1996 ETC. ETC.

2025-04-25

Vikram Nath

Ms. Rashmi Nandakumar, Ram Lal Roy, Ranbir Singh Yadav, Kaushal Yadav, Rakesh Kumar Singh, Vikas Upadhyay, Jinendra Jain, Purnima Jauhari, Varun Mishra, Gautam Narayan, Sanjay Jain, Piyush Sharma, Sarvam Ritam Khare, Manisha Ambwani, Aftab Ali Khan

OKHLA ENCLAVE PLOT HOLDERS WEL. ASON.

UNION OF INDIA THROUGH SECRETARY & ORS.

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Nature of Litigation

Writ petitions under Article 32 of Constitution of India filed by allottees against builder for non-adherence to allotment terms in residential colony project

Remedy Sought

Allottees sought redressal of grievances regarding non-adherence to allotment terms and resolution of disputes

Filing Reason

Builder failed to adhere to terms and conditions of allotment agreement after allottees made deposits

Previous Decisions

Supreme Court appointed Special Committee in 2016, Committee submitted report in January 2023 accepted by Court in July 2023, but applications from allottees who could not approach Committee in time and those alleging grievances required further consideration

Issues

Whether pending applications from allottees should be referred to Special Committee for resolution or adjudicated by Supreme Court directly

Ratio Decidendi

Supreme Court has power to appoint and continue Special Committee for dispute resolution in complex cases involving numerous claimants, and may classify pending applications based on nature for appropriate forum adjudication

Judgment Excerpts

M/s Durga Builders (Pvt.) Ltd. (hereinafter referred to as 'Builder') purchased approximately 235 acres of land in Faridabad, Haryana for establishing a residential colony the allottees in 1996 filed petitions under Article 32 of the Constitution of India before this Court this Court, vide order dated 27.01.2016, appointed Mr. Justice Vikramjit Sen, retired Judge of this Court, as a single member Special Committee The Special Committee will carve out its own procedure, which could be the same as before or modified as the Special Committee may decide

Procedural History

1996: Writ petitions filed under Article 32; 2016: Special Committee appointed; 2019: Court answered four questions from Committee; 2023: Committee submitted report accepted by Court; 2024: Court directed Committee to continue dealing with pending applications and classified applications for resolution by Committee or Court

Acts & Sections

  • Constitution of India: Article 32
  • Haryana Development and Regulation of Urban Areas Act, 1975:
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