AIR 2010 SUPREME COURT 939 ::2010 AIR SCW 1191 ::(2010) 1 WLC(SC)CVL 287 ::2010 (3) SCC 247 ::(2010) 2 RecCivR 191 ::(2010) 2 Scale 214 ::2010 (79) ALR SOC 18 (SC) ::(2010) 2 LandLR 384 ::(2010) 2 ICC 585 ::(2010) 2 Pun LR 606 ::(2010) 87 AllIndCas 248 (SC)

Supreme Court Of India

(From : 2009 (4) Pun LR 9)

Hon'ble Judge(s): G. S. Singhvi, A. K. Ganguly , JJ

Capital of Punjab (Development and Regulation) Act (27 of 1952) , S.22— Chandigarh (Sale of Sites and Buildings) Rules (1960) , R.7A(2)— Surrender of plot allotted - Levy of penalty - Surrender made after taking possession - 5% penalty u/S.7A(2) becomes leviable - Fact that surrender was made within 180 days of allotment, irrespective - Appellant surrendering plot after taking possession - Inadvertently only 2.5% penalty was levied - Demand of balance penalty raised after more than 2 yrs. - Held on facts was improper. 2009 (4) Pun LR 9, Reversed. Constitution of India , Art.14, Art.12— Rule 7-A(1) is attracted if the transferee who has paid 25% of the premium of the site, surrenders the same within 180 days of the allotment and that too before possession of the site is offered by the competent authority. In such a case, the surrender can be accepted by the competent authority subject to deduction of penalty @ 2.5% of premium. If the surrender is made after the possession is offered by the competent authority, penalty @ 5% of the premium is leviable in terms of sub-rule (2) of Rule 7-A irrespective of the fact that the surrender is made within 180 days. To put it differently, if a transferee who has paid 25% of the premium and to whom possession is offered by the competent authority, surrenders the site then penalty @ 5% of the premium is levia....