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Friday, October 9, 2020

Seth Group and Mittal Group - Contempt of Court . Both, the Seth Group and Mittal Group entered into a Memorandum of Settlement (MOS) dated 4.5.2015, which ultimately was made a part of this Court’s order dated 5.5.2015,disposing of Writ Petition (Criminal) No. 5 of 2015 and Writ Petition (Criminal) No. 11/2015. Non­compliance of the order passed by this Court in the aforesaid writ petitions is the subjectmatter of the present contempt petition

Seth Group and Mittal Group - Contempt of Court .   Both, the Seth Group and Mittal Group entered into a Memorandum of Settlement (MOS) dated 4.5.2015, which ultimately was made a part of this Court’s order dated 5.5.2015,disposing   of   Writ   Petition   (Criminal)   No.  5   of   2015  and   Writ Petition (Criminal) No. 11/2015.   Non­compliance of the order  passed by this Court in the aforesaid writ petitions is the subjectmatter of the present contempt petition = It is specifically observed that any non­compliance of the aforesaid directions as well as the directions in the earlier order dated 24.04.2020 shall be viewed very seriously, warranting action under the Contempt of Courts Act.


REPORTABLE

IN THE SUPREME COURT OF INDIA

CIVIL ORIGINAL JURISDICTION

CONTEMPT PETITION(C) NO. 34/2016

IN

WRIT PETITION(CRIMINAL) NO.5/2015

Ashish Seth …Petitioner

Versus

Sumit Mittal and others                     …Alleged Contemnors

J U D G M E N T

M.R. SHAH, J.

The dispute is between the two groups – Seth Group and

Mittal Group.   Both, the Seth Group and Mittal Group entered

into a Memorandum of Settlement (MOS) dated 4.5.2015, which

ultimately was made a part of this Court’s order dated 5.5.2015,

disposing   of   Writ   Petition   (Criminal)   No.  5   of   2015  and   Writ

Petition (Criminal) No. 11/2015.   Non­compliance of the order

passed by this Court in the aforesaid writ petitions is the subject

matter of the present contempt petition No. 34/2016 initiated by

the Seth Group.  After considering the rival submissions and the

relevant clauses in the MOS dated 4.5.2015 and after considering

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the obligations of the Seth Group and the obligations of the Mittal

Group under MOS dated 4.5.2015 and after having noted and

considered   the   material   on   record,   this   Court   in   the   earlier

detailed order dated 24.4.2020 specifically held that the Mittal

Group have deliberately and wilfully not fulfilled their obligations

which are required to be fulfilled under MOS dated 4.5.2015.

This Court also opined that as such Mittal Group have rendered

themselves liable for the action under the Contempt of Courts

Act.     However,   before   taking   any   further   action,   this   Court

granted further two months’ time to the Mittal Group, namely,

Shri Sumit Mittal, Shri Madhur Mittal and TFIPL, to fulfil their

part of obligations under MOS dated 4.5.2015, more particularly,

(i) To pay the entire EDC liability of TFIPL with interest in

relation to license Nos. 34, 35 and 36 other than the

share of the EDC liability which the Seth Group has

undertaken to pay as per Clause 1.2 of the MOS; 

(ii) As per Clause 1.2, EDC liability of the Seth Group is to

the extent of Rs.25,27,92,000/­, out of the total EDC

liability of TFIPL in relation License Nos. 34, 35 and 36

as on 24.03.2015 together with interest accrued thereon

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from 24.03.2015. Therefore, the Seth Group shall make

the entire payment of Rs.25,27,92,000/­ along with the

interest accrued thereon from 24.03.2015 towards their

EDC liability in respect of License Nos. 34, 35 and 36 of

2007; 

(iii) The Mittal Group is hereby further directed to renew the

license Nos. 34, 35 and 36 of 2007; to execute GPA by

TFIPL (as per Clause 5.3), Board Resolution by TFIPL

for   availing   benefit   under   EDC   Relief   Policy   (as   per

Clause   1.2.1),   NOC   without   any   conditions   (as   per

Clause 8) to the Seth Group;

(iv)   Thereafter, the DTCP to bifurcate the Seth Group’s

portion of the land in accordance with law and as per

the policy and/or the rules and regulations, if any. It is

also   observed   that   it   will   be   open   to   the   respective

parties to avail the benefit of the applicable EDC Relief

Policy,   which   may   be   considered   by   the   DTCP   in

accordance with the applicable EDC Relief Policy, if any.

This Court specifically directed that the entire exercise shall

be completed within a period of two months from the date of

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lifting lockdown in the concerned area, failing which this Court

shall proceed to pass appropriate further order/orders under the

Contempt of Courts Act for non­fulfilment of the obligations by

the respondents – Shri Sumit Mittal, Shri Madhur Mittal and

TFIPL.

2. It appears that despite the above specific directions, license

numbers 34, 35 and 36 of 2007 are not renewed by the Mittal

Group and because of the non­renewal of the aforesaid licensees,

even the balance amount of EDC liability has not been paid by

the Seth Group and even the Mittal Group has also not paid their

liability   towards   the   EDC   in   respect   of   the   aforesaid   license

numbers   34,   35   and   36   of   2007   and   therefore   the   ultimate

sufferer is the home buyers who are waiting for their homes.

3. Seth Group has filed Interlocutory Application No. 78952 of

2020 for the following reliefs:

i) allow the present application and direct that in the

event the Mittal Group still fails to comply with its obligations

under   the   MOS   dated   04.05.2015,   as   reiterated   in   the

directions of this Court dated 24.4.2020, the bifurcation and

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renewal of license Nos. 34, 35 and 36 of 2007 be granted in

favour of the Seth Group, subject to any further conditions;

ii) direct that consequent to the bifurcation and renewal

of licenses in question, the Seth Group shall handover the

apartments to the flat buyers within a time bound manner,

under the control and direction of Director General Town and

Country Planning, Haryana.

4. Mittal  Group has  also  filed  Interlocutory  Application  No.

96206 of 2020 and have prayed for the following reliefs:

i) direct Seth Group to comply clause 1.2 (to the extent

of providing Bank Guarantee) and clauses 1.3 and 1.4 and

all other formalities as contained “para­17” of the order dated

05.05.2015 and to furnish the requisite documents to the

Maximal Infrastructure Pvt. Ltd. as entailed in the Check­List

formulated by DTCP for renewal of license, in a time bound

manner;

ii) direct other developers, namely, Official Liquidator of

Triveni   Infrastructure   Development   Company   Limited

(presently company is under liquidation), PAL Infrastructure

Pvt. Ltd., ORS Infrastructure Pvt. Ltd. and Heritage Cottage

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Pvt. Ltd. to comply with all formalities as contained in the

Check­List for renewal of license and furnish the requisite

documents to the Maximal Infrastructure Pvt. Ltd. in a time

bound manner.

5. It is the case on behalf of the Seth Group that the Mittal

Group is deliberately and wilfully and with malafide intention

creating   the   hurdles   in   getting   the   aforesaid   three   licensees

renewed.  It is submitted that unnecessarily the Mittal Group is

asking the Seth Group to furnish the requisite documents to the

Maximal Infrastructure Pvt. Ltd. as entailed in the Check­List

formulated by the DTCP for renewal of licensees.  It is submitted

that   unnecessarily   the   Mittal   Group   is   insisting   the   other

developers,   namely,   the   Official   Liquidator   of   Triveni

Infrastructure   Development   Company   Ltd.,   PAL   Infrastructure

Pvt. Ltd., ORS Infrastructure Pvt. Ltd. and Heritage Cottage Pvt.

Ltd. to comply with all formalities as contained in the Check­List

for renewal of license and furnish the requisite documents to

Maximal Infrastructure Pvt. Ltd.   It is submitted that even the

Mittal Group is also not paying their liability towards the EDC,

though   specifically   directed   by   this   Court   in   its   order   dated

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24.04.2020.  It is submitted that the Mittal Group is required to

pay the entire renewal license fee charges and because of nonpayment of the renewal license fee charges and non­submission

of the relevant documents and/or asking the documents from the

Seth   Group,   though   not   required,   licensees   are   not   being

renewed.     It   is   submitted   that   so   far   as   the   Seth   Group   is

concerned, they have already fulfilled their obligations under the

MOS dated 4.5.2015 and have already paid the huge amount and

despite the same they are not getting any benefits and therefore,

it is prayed to grant the reliefs prayed in IA No. 78952 of 2020.

6. On   the   other   hand,   Shri   Ranjit   Kumar,   learned   Senior

Advocate appearing on behalf of the Mittal Group has submitted

that for getting license numbers 34, 35 and 36 renewed the

requisite documents as entailed in the Check­List formulated by

the DTCP are required to be furnished and the Seth Group is not

furnishing the requisite documents and therefore there is a delay

in   getting   the   aforesaid   licensees   renewed.     It   is   submitted

therefore that as such the Seth Group is responsible for not

getting the licensees renewed.

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6.1 Shri Ranjit Kumar, learned Senior Advocate appearing on

behalf of the Mittal Group has further submitted that after the

order dated 24.04.2020 passed by this Court, with respect to the

EDC liability, the DTCP has come out with a new OTS Scheme,

i.e., “Samadhan Se Vikas”.  It is submitted that the Mittal Group

is   ready   and   willing   to   avail   the   new   One   Time   Settlement

Scheme – “Samadhan Se Vikas”.  It is submitted that the amount

due and payable under the new scheme has been computed by

the DTCP in the last communication dated 17.09.2020.

7. Having heard the learned counsel for the respective parties

and considering the earlier order passed by this Court dated

24.04.2020, it cannot be disputed that as directed by this Court

the Mittal Group is to renew license numbers 34, 35, and 36 of

2007 and for which the application is to be submitted by the

Mittal  Group –  TFIPL.   For the  licensees to  be renewed, the

license renewal fee is required to be paid and only thereafter on

payment of EDC by the respective groups – Seth Group and

Mittal Group, as determined in the order dated 24.04.2020 and

on payment of other charges due and payable under the law, the

aforesaid   license   numbers   34,   35   and   36   of   2007   can   be

8

bifurcated.  So, first of all, the renewal license fee is required to

be paid.  It is the case on behalf of the Seth Group that they are

not required to pay any renewal license fee and it is the liability

of  the  Mittal  Group  to  pay the renewal  license  fee, which is

disputed by the Mittal Group.

7.1 Now so far as the liability to pay the renewal license fee is

concerned,   the   relevant   clauses   of   MOS   dated   4.5.2015   are

required to be considered and they are clause nos. 1.3, para 2,

para 5.4, 17 and 18, which are as under:

“1.3 Pay   License   Fee   to   “Directorate   of   Town   and   Country

Planning” (DTCP) Haryana as under:

1.3.1 The Seth Group shall pay Rs.1,46,58,000/­ (Rs. One

Crore Forty Six Lacs and Fifty Eight thousand only) to TFIPL in

the form of Demand Draft drawn in favour of “Directorate of

Town and Country Planning” Haryana towards License Renewal

Fee in respect of License Nos. 34, 35, & 36 of 2007 to the TFIPL

on   or   before   21.06.2015   for   forwarding   the   same   to   DTCP,

Haryana on 21.06.2015 together with the balance license fee

made available by Mittal Group in terms of the clause 5.4 below.

2. The amount to be paid by Seth Group towards License Fee

under Clause 1.3 and the Bank Guarantee to be furnished by

Seth Group towards IDW, under Clause 1.4 above, includes not

only the liability of Seth Group in that behalf, but also that of

M/s Pal Infrastructure & Developer Pvt. Ltd. (for short “Pal”),

M/s ORS Infrastructure Pvt. Ltd. (for short “ORS”) and M/s

Heritage Cottages Pvt. Ltd. (for short “Heritage”) to the extent of

Rs.53,11,000/­   (approx.)   towards   license   fee   liability   and

Rs.1,69,83,000/­   (approx.)   towards   IDW   Bank   Guarantee

amount.   Mittal Group have also similarly borne part of the

liability of Pal, ORS and Heritage. As and when, Pal, ORS and

Heritage, contribute their share of the License Fee and furnish

their Bank Guarantee for the IDW amount, the Seth Group and

Mittal Group will be entitled to the refund of the excess License

Fee   paid   by  them   and  also   for   restriction   of   the   IDW   Bank

9

Guarantee   to   the   amounts   actually   due   by   them,   by

substituting/replacing the Bank Guarantees of Seth Group and

Mittal Group by the Bank Guarantees of Pal, ORS and Heritage.

In the event of Pal, ORS and Heritage fail or neglect to pay the

amounts due by them as aforesaid within 120 days from the

date of deposit by the Seth Group, the Seth Group is authorized

in its own name, to initiate appropriate legal proceedings against

the defaulter/s, to the extent of the amount advanced by Seth

Group along with interest, and/or in respect of Bank Guarantees

so furnished, as stated herein before.

5.4 The Mittal Group shall pay/cause to be paid the balance

license fee as well as the balance IDW Bank Guarantee (i.e. total

amount payable on account of TFIPL less the Seth Group share

as stated in Clause 1.3 and 1.4) to DTCP as per the demand of

DTCP, Haryana on or before 23.06.2015 for renewal of License

Nos. 34, 35 and 36 of 2007 in the name of TFIPL.

17. Mittal Group shall apply for renewal of license by 23.06.2015

subject to compliance of clause 1.2 (to the extent of providing

Bank Guarantee), 1.3 & 1.4 by the Seth Group.  The Seth Group

have   provided   documents/undertakings   with   respect   to   the

lands falling to share of the Seth Group under Agreement dated

15.06.2007,   i.e.   (i)   Status   of   construction/allotment   of   EWS

Flats, and (ii) Service Plan status its drawing, estimates and its

approval from HUDA, Chandigarh annexed as Annexure – 16, to

enable Mittal Group to apply for renewal of license.  Seth Group

does not have any further document in this regard, however, it is

clarified that in case any indemnity, undertaking, letter and/or

similar document is required to be executed after filing of the

application for renewal of license, pertaining to the lands falling

in the share of Seth Group under Agreement dated 15.06.2007,

Seth Group shall do the needful at the earliest if so requested by

Mittal Group.

18.   On application made for renewal of license in terms of

clause 17, Mittal Group will secure renewal of license within 90

days.     All   administrative   and   miscellaneous   charges,

compounding   fee,   penalties   and   other   charges   levied   and

payable by PAL, ORS and Heritage for renewal of license shall be

paid by the Mittal Group.   All such charges in respect of FIPL

agreement shall be exclusively paid/borne by Seth Group by

similarly paying to TFIPL immediately on being demanded.”

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7.2 It  is   required  to   be   noted   that   as  noted  in   order   dated

24.04.2020, the Seth Group earlier deposited a sum of Rs.1.47

crores towards the license renewal fees to DTCP, Haryana.  It is

also   required   to   be   noted   that   the   aforesaid   three   license

numbers 34, 35 and 36 of 2007 are with respect to the entire

48.03 acres of Sector 89 land, out of which the development

rights of only 14.80 acres have been given to the Seth Group.

Even, bifurcation of licensees shall be with respect to 14.80 acres

in favour of the Seth Group and the remaining 33.23 acres in

favour of the Mittal Group and others as under:

TFIPL

48.038 acres

Sector 89 Faridabad

| |

14.80 Acres

(Ferrous

Infrastructure

Pvt. Ltd.

14.80 Acres

(Triveni

Infrastructure

Development

Company Ltd.)

10.48 Acres

(Pal

Infrastructure

& Developer

Pvt. Ltd.)

5.50 Acres

(ORS

Infrastructure

Pvt. Ltd.

2.8

Acres

(Heritage

Cottages

Pvt. Ltd.)

  

Therefore, the liability of the Seth Group towards the license

renewal fees would be to the extent of 14.80 acres of Sector 89

land only.  However, it is required to be noted that as per clause

1.3   of   MOS   dated   4.5.2015,   the   Seth   Group   agreed   to   pay

Rs.1,46,58,000/­ to TFIPL towards license renewal fees in respect

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of license nos. 34, 35 and 36 of 2007 which included not only the

liability of the Seth Group, but also that of PAL Infrastructure

Pvt. Ltd., ORS Infrastructure Pvt. Ltd. and Heritage Cottage Pvt.

Ltd. to the extent of Rs.53,11,000/­ towards license renewal fees

liability.  7.3 As mentioned in clauses1.3 and 2 of MOS dated

4.5.2015, the Mittal Group is also required to borne part of the

liability of PAL Infrastructure Pvt. Ltd., ORS Infrastructure Pvt.

Ltd. and Heritage Cottage Pvt. Ltd.  As mentioned in clause 2, as

and when, PAL, ORS and Heritage contribute their share of the

license   fee   and   furnish   their   Bank   Guarantee   for   the   IDW

amount, the Seth Group and Mittal Group will be entitled to the

refund   of   the   excess   license   fee   paid   by   them   and   also   for

restriction of the IDW Bank Guarantee to the amounts actually

due by them, by substituting/replacing the Bank Guarantees of

Seth Group and Mittal Group by the Bank Guarantees of PAL,

ORS and Heritage.  As provided in clause 2, in the event of PAL,

ORS and Heritage fail or neglect to pay the amounts due by them

within 120 days from the date of deposit by the Seth Group, the

Seth Group is authorized in its own name, to initiate appropriate

legal proceedings against the defaulter/s, to the extent of the

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amount advanced by the Seth Group along with interest, and/or

in respect of Bank Guarantees so furnished.  

Even as per clause 1.3.1, the Seth Group was required to

pay the aforesaid amount of Rs.1,46,58,000/­ to TFIPL in the

form of demand draft drawn in favour of “Directorate of Town and

Country Planning, Haryana”, together with the balance licensee

fee made available by the Mittal Group in terms of clause 5.4.

Clause 5.4 is reproduced hereinabove and as per the said clause,

the Mittal Group shall pay/cause to be paid the balance license

fee as well as the balance IDW Bank Guarantee (i.e. total amount

payable on account of TFIPL less the Seth Group share as stated

in clauses 1.3 and 1.4) to DTCP, Haryana for renewal of license

nos. 34, 35, and 36 of 2007 in the name of TFIPL.  

7.4 Even as per Clause G – Renewal of License, the Seth Group

is required to provide documents/undertakings with respect to

the lands falling to share of the Seth Group under agreement

dated 15.06.2007, i.e. (i) status of construction/allotment of EWS

flats, and (ii) service plan status, its drawing, estimates and its

approval from HUDA, Chandigarh annexed as Annexure­16 to

MOS dated 4.5.2015 to enable Mittal Group to apply for renewal

13

of   license.     Even   as   per   clause   18,   on   application   made   for

renewal of license in terms of clause 17, Mittal Group will secure

renewal of license within 90 days and all administrative and

miscellaneous   charges,   compounding   fee,   penalties   and   other

charges levied and payable by PAL, ORS and Heritage for renewal

of license shall be paid by the Mittal Group and all such charges

in respect of FIPL agreement shall be exclusively paid/borne by

Seth Group by similarly paying to TFIPL immediately on being

demanded.

7.5 Therefore, on conjoint reading of the relevant clauses of

MOS dated 4.5.2015, the liability of the Seth Group towards the

license renewal fees would be with respect to the lands falling to

the share of the Seth Group, i.e., 14.80 acres, and additionally,

the Seth Group is also required to pay ½ of the liability of PAL,

ORS and Heritage towards the license renewal fees and the Mittal

Group is liable to pay the balance license renewal fees, i.e., total

amount payable on account of TFIPL less the Seth Group share,

including   ½   of   the   total   liability   of   PAL,   ORS   and   Heritage

towards the license renewal fees.   The payment of the license

renewal fees payable by PAL, ORS and Heritage paid by the Seth

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Group and the Mittal Group, as stated hereinabove, would be as

advance and as and when PAL, ORS and Heritage contribute

their share of the license fee, the Seth Group and the Mittal

Group will be entitled to the refund of the excess license fee paid

by them.  As provided in clause 2, in the event of PAL, ORS and

Heritage fail or neglect to pay the amounts due by them, as

aforesaid, within 120 days from the date of deposit by the Seth

Group, the Seth Group is authorized in its own name to initiate

appropriate   legal   proceedings   against   the   defaulter/s,   to   the

extent of the amount advanced by the Seth Group along with

interest.

8. Now so far as the requisite documents to be supplied by the

Seth Group and the prayer on behalf of the Mittal Group in I.A.

No. 96206 of 2020 directing the Seth Group to comply with the

other  formalities   as  contained   in  para  17  of   the   order  dated

5.5.2015 and to furnish the requisite documents to the Maximal

Infrastructure Pvt. Ltd. as entailed in the Check­List formulated

by   DTCP,   Haryana   for   renewal   of   license,   in   a   time   bound

manner, is concerned, as such, the Seth Group is required to

provide documents/undertakings with respect to the lands falling

15

to share of the Seth Group under agreement dated 15.06.2007,

i.e.  (i)  status   of   construction/allotment   of   EWS   flats,   and   (ii)

service plan status, its drawing, estimates and its approval from

HUDA,   Chandigarh   annexed   as   Annexure­16   to   MOS   dated

4.5.2015 to enable Mittal Group to apply for renewal of license.

It is specifically mentioned in clause G (titled Renewal of License),

para 17, that Seth Group does not have any further documents

in this regard.  It is further clarified that in case any indemnity,

undertaking, letter and/or similar document is required to be

executed after filing of the  application for renewal  of license,

pertaining to the lands falling in the share of the Seth Group

under  agreement   dated 15.06.2007, Seth  Group  shall  do  the

needful at the earliest.

To avoid any further controversy, it will be appropriate that

the appropriate authority shall communicate to the Seth Group

and the Mittal Group within a period of two weeks from today, to

provide the documents/undertakings with respect to the lands

falling to their respective shares and the Seth Group and Mittal

Group   shall   provide   the   documents   and/or   undertakings

required by the appropriate authority, within a period of two

16

weeks from the receipt of such demand.   However, it is clarified

that it is for the TFIPL – Mittal Group to get license nos. 34, 35

and 36 of 2007 renewed and it will be responsibility and liability

of the Mittal Group to renew the aforesaid licensees.

9. Now   so   far   as   the   liability   towards   EDC   is   concerned,

directions contained in clauses 10 (i) and (ii) of our order dated

24.04.2020 are very specific and clear.   However, it is reported

that the earlier EDC Relief Policy has expired by the efflux of time

and the same has been replaced by the subsequent policy dated

6.7.2020/10.08.2020, which reads as under:

“From

Principal Secretary to Govt. Haryana,

Town and Country Planning Department

Haryana, Chandigarh.

To 

The Director, 

Town and Country Planning Department

Haryana, Chandigarh.

Memo no. Misc­SSV (EDC)­206/3536 Dated : ­ 10.08.2020

SUBJECT:­   INTRODUCTION   OF   ONE­TIME   SETTLEMENT

SCHEME   “Samadhan   Se   Vikas”   TO   ENABLE   RECOVERY

OF LONG PENDING EDC DUES.

17

In accordance with the powers conferred under Section 9­A of

the Haryana Development and Regulation of Urban Areas Act,

1975, the Governor of Haryana is pleased to notify following

One­time Settlement Scheme “Samadhan se Vikas” to enable

recovery of long pending EDC dues with the following terms

and conditions:­

1. The scheme shall be applicable in respect of full amount

outstanding on account of the EDC as well as interest and

penal interest.

(a)  In   case,   a   colonizer   deposits   100%   of   the   outstanding

Principal   Amount   against   EDC   as   well   as   25%   of   the

accumulated interest and penal interest, within a period of six

months   from   the   date   of   notification   of   this   scheme,   the

balance 75% of the accumulated interest and penal interest

shall be waived off.

(b)In case, a colonizer deposits at least 50% of the outstanding

Principal   Amount   against   EDC   as   well   as   50%   of   the

accumulated interest and penal interest, within a period of six

months   from   the   date   of   notification   of   this   scheme,   the

balance 50% of the accumulated interest and penal interest

shall be waived off;

Further, the remaining 50% of outstanding Principal Amount

shall be recoverable in four six­monthly installments along

with interest at the rate of 8% per annum on the delayed

period   and   an   additional   2%   interest   per   annum   on   the

default period; and;

the first six months period for deposit of first installment shall

start   from  the   date  of   deposit   of   50%  Principal   plus   50%

Interest and Penal Interest component.

Provided further that in case the colonizer does not clear the

entire EDC dues within the above said two year period, the

waiver of balance 50% of the accumulated interest and penal

interest shall stand annulled and the original EDC amount

and schedule shall be automatically restored less payment

made under (b) above.

Explanation:­

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Thus, no major penalty is imposed on the colonizer in case of

default of installments within the prescribed two year period

for deposit of installments.  However, in case any amount of

the balance 50% outstanding Principal Amount along with

interest is not deposited within the prescribed two year period,

the colonizer shall lose all benefits under this policy and the

original EDC schedule applicable before availing the present

policy shall stand restored and all payments received till such

date and thereafter shall be considered to have been paid

against the original EDC schedule.

2. This   is   issued   as   per   approval   received   vide   U.O.

No.9/116/2020­2 Cabinet dated 06.07.2020.

Sd/

(A.K. Singh, IAS)

Principal Secretary to Govt. Haryana,

Town & Country Planning Department

Endst.No. Misc­SSV (EDC)­206/3537       Dated: 10.08.2020

A copy is forwarded to the Secretary, Council of Minister,

Haryana   with   reference   to   their   U.O.   No.   9/116/2020­2

Cabinet dated 06.07.2020 for information please.

Sd/

(A.K. Singh, IAS)

Principal Secretary to Govt. Haryana,

Town & Country Planning Department”

Learned counsel appearing on behalf of both the parties –

Seth Group and Mittal Group have stated at the bar that they

want to avail the benefit of the aforesaid one time settlement

scheme, “Samadhan Se Vikas”, as per option 1(a) under which

their   liability   would   be   to   deposit   100%   of   the   outstanding

principal amount against EDC as well as 25% of the accumulated

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interest and penal interest, within a period of six months from the

date of notification of this scheme and the balance 75% of the

accumulated interest and penal interest shall be waived off.  The

liability of the Seth Group as well as Mittal Group (TFIPL) under

the new scheme under option 1(a), as per communication dated

17.09.2020   from   the   office   of   the   Directorate   of   Town   and

Country Planning, Haryana, is as under:

“To avail One Time Settlement Scheme, if both groups submits

mutual consent and opt under option 1(a), then the payable

amount is an under:­

(Rs.In Lacs)

Sr.

No.

Group Principal Interest Penal

Interest

Total

1. TFIPL 1773.25 29.27 766.09 2568.61

2. Seth

Group

1326.83 21.90 338.24 1686.97

Total 3100.08 51.17 1104.33 4255.58

For the aforesaid, both the groups – Seth Group and Mittal Group

are required to submit mutual consent opting the benefit of one

time settlement scheme – “Samadhan Se Vikas” under option

1(a).

10. In view of the above and for the reasons stated above, in

continuation of our earlier order dated 24.04.2020, it is further

clarified and directed as under:

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(i) that Mittal Group shall apply for renewal of license numbers

34, 35 and 36 of 2007, within a period of two weeks from today, if

not applied for renewal so far;

(ii) that the liability of the Seth Group to pay/cause to be paid

the   renewal   license   fees   would   be   proportionate   to   the   lands

falling to the share of the Seth Group, i.e., 14.80 acres under the

agreement   dated   15.06.2007.     Over   and   above   their   liability

towards the renewal license fees with respect to the lands falling

to their share, the Seth Group shall also pay ½ of the liability of

PAL, ORS and Heritage towards license renewal fees, which shall

be treated as advance and the payment towards the additional

liability of PAL, ORS and Heritage would be for and on behalf of

the aforesaid three, PAL, ORS and Heritage;

(iii) that the Mittal Group shall pay/cause to be paid the balance

license   fee   (renewal   license   fee)   (i.e.   total   amount   payable   on

account of TFIPL less the Seth Group share as stated hereinabove

including ½ of the liability of PAL, ORS and Heritage with respect

to the liability towards the renewal license fees for renewal of

license numbers 34, 35 and 36 of 2007;

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(iv) that Seth Group and Mittal Group to pay their respective

license   renewal   fees   liability  as   above   within   two   weeks   from

today without fail;

(v) that as and when PAL, ORS and Heritage contribute their

share of the license fee, Seth Group and Mittal Group will be

entitled to the refund of the excess license fee paid by them as

provided in para 2 of the MOS dated 4.5.2015.  In the event of

PAL, ORS and Heritage fail or neglect to pay the amounts due by

them as aforesaid within 120 days from the date of deposit by the

Seth Group, the Seth Group is authorized in its own name, to

initiate appropriate legal proceedings against the defaulter/s, to

the extent of the amount advanced by the Seth Group along with

interest;

(vi) that   the   Seth   Group   is   liable   to   provide

documents/undertakings with respect to the lands falling to their

share   under   Agreement   dated   15.06.2007,   i.e.   (i)   Status   of

construction/allotment of EWS Flats, and (ii) Service Plan status

its drawing, estimates and its approval from HUDA, Chandigarh

annexed as Annexure – 16 to the MOS dated 4.5.2015, to enable

Mittal Group to apply for renewal of license.     However, it is

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clarified that in case any indemnity, undertaking, letter and/or

similar document is required to be executed after filing of the

application for renewal of license, pertaining to the lands falling

in the share of Seth Group under Agreement dated 15.06.2007,

Seth Group shall do the needful at the earliest;

(vii) that the appropriate authority, i.e., DTCP, Haryana, shall

communicate the  Seth Group as well as the  Mittal  Group  to

provide/furnish the documents/undertakings with respect to the

lands falling to their respective shares.   However, it is clarified

that   the   liability   of   the   Seth   Group   to   provide

documents/undertakings with respect to the lands falling to their

share   only   and   the   liability   to   furnish/provide   the   remaining

documents/undertaking with respect to the remaining lands shall

be of Mittal Group.  The appropriate authority shall call for the

required documents/undertakings, within a period of two weeks

from   today,   so   that   further   process   for   renewal   of   license

numbers 34, 35 and 36 of 2007 may take place immediately and

Seth   Group   and   Mittal   Group   to   furnish   such

documents/undertakings, within a period of two weeks from such

demand, i.e., within four weeks from today;

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(viii) that the entire exercise of renewal of license numbers 34, 35

and 36 of 2007 shall be completed within a period of eight weeks

from today without fail.  The Mittal Group is hereby specifically

warned not to create any further hindrances in getting license

numbers 34, 35 and 36 of 2007 renewed;

(ix) the   Seth   Group   and   Mittal   Group   shall   file   specific

undertaking within a period of two weeks from today, agreeing to

pay the amount towards EDC liability under the new one time

settlement scheme – “Samadhan Se Vikas” as computed by the

District Town Planner (HQ), Directorate of Town and Country

Planning, Haryana in its communication dated 17.09.2020 (as

mentioned hereinabove) , and neither the Seth Group nor the

Mittal Group shall dispute the said computation and they shall

file   specific   undertaking   that   they   shall   make   the   payment

towards their EDC liability within the time specified in the one

time settlement scheme – “Samadhan Se Vikas”.

11. The   aforesaid   directions   are   issued   over   and   above   the

directions   issued   by   this   Court   in   its   earlier   order   dated

24.04.2020.  It is specifically observed that any non­compliance

of the aforesaid directions as well as the directions in the earlier

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order dated 24.04.2020 shall be viewed very seriously, warranting

action under the Contempt of Courts Act.

Interlocutory   Application   Nos.   96161/2020,   96206/2020,

68143/2020, 78952/2020 and 78953/2020 stand disposed off.

12. Put up after three months for reporting compliance.

………………………………J.

[ASHOK BHUSHAN]

NEW DELHI; ………………………………J.

OCTOBER  09, 2020. [M.R. SHAH]

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