PANAJI
The Bombay High Court at Goa has quashed and set aside the decision of the Goa Housing Board (GHB) to rescind sale letters granted to bidders who had successfully bid for and three commercially zoned plots in Porvorim after duly participating in an auction process.
The High Court recorded how the decision to revoke the sale letters was taken at the behest of local MLA and minister Rohan Khaunte -- and how for as long as he was in the opposition his objections were ‘considered’ but overruled but no sooner he was in the ruling, a decision was taken to revoke the sale letters.
“Rohan Khaunte, who was then in the opposition, objected to the auction a day before the auction but based on such objection, the public auction was not restrained. The detailed review of Khaunte's objection by the GHB and the bureaucrats, who found such objections untenable, was not even considered. Yet, after Khaunte was inducted into the cabinet, his objection about traffic congestion was suddenly made one of the considerations for the impugned decision,” the Bombay High Court at Goa bench of Justices M S Sonak and Bharat Deshpande ruled.
The Goa Housing Board, after complying with all legal procedures, including obtaining prior approval from the Government, auctioned plots 'G', 'H' and 'I' at Porvorim on 14.12.2021. The petitioners -- J P S Realtors, A V Estates and Veera Promenade -- were adjudged highest bidders after they bid Rs 71,000/- per square metre, Rs 37,500/- per square metre and Rs 36,000/- per square metre as against the minimum reserved price of Rs 35,000/- per square metre.
The GHB accepted the bids and even issued sale letters as contemplated by the Goa Housing Board (Registration, Allotment and Sale of Plots) Rules, 2016. The petitioners paid the entire consideration amount of over Rs 54.47 crores to GHB, which was duly received and even spent by GHB towards payment of salaries, pensionary benefits, etc., of its employees. After the entire process was practically complete, based upon purported directives of the Government, the GHB revoked/cancelled the allotment/sale of plots to the petitioners.
Precisely, a day before the scheduled e-auction, that is, on 13.12.2021, Rohan Khaunte, MLA, who was then not a part of the ruling dispensation, objected to the e-auction on the ground that commercial projects on the three plots would lead to “traffic congestion and chaos.” The objection also referred to some alleged promise made by the former Chief Minister that no commercial projects would come up on these three plots at Porvorim-Goa.
The High Court noted how for as long as Khaunte was in opposition “no action was taken by Chief Minister on such (Khaunte’s) representation, and consequently, the e-auction, as scheduled, was held on 14.12.2021.” On 15.12.2021, the GHB considered the position and resolved to accept the petitioners' bids which were the highest and above the minimum reserved price of 35,000/- per square metre determined and notified by GHB in advance.
Later that month, on 31.12.2021, Rohan Khaunte's representation was forwarded by the office of the Chief Minister to GHB for examination and necessary action. Accordingly, GHB, in its 502nd meeting held on 04.01.2022, considered threadbare Khaunte's objections and resolved to reject the same, citing several reasons.
The GHB, by its communication dated 11.03.2022, informed the Chief Minister about the Board's decision on Khaunte's objection. However, even at this stage, Rohan Khaunte was an opposition MLA and no directions were issued by the Government or the Chief Minister to restrain GHB from acting on its resolution dated 15.12.2021 or disagreeing with GHB's resolution dated 04.01.2022. Therefore, GHB accepted the full balance consideration from the petitioners. Thus, by the third week of March 2022, GHB received the full consideration of Rs 54.47 crores from the petitioners towards the sale of the three plots publicly auctioned to the petitioners.
However, the petitioners pointed out that the results of the Goa State Legislative Assembly elections were declared on 28.03.2022. Rohan Khaunte, who had joined the ruling dispensation, was elected and was soon to be inducted as Minister (Tourism) in the cabinet.
“Though no firm inference can be drawn based upon the material before us, the records bear out that soon after that, that is, on 07.04.2022, the GHB quite inexplicably referred Rohan Khaunte's objection to the Government, even though such objection was considered threadbare in the GHB's 502nd meeting on 04.01.2022 and the resolution to reject the objections was already conveyed on 11.03.2022 to the Government, for almost two months after the total consideration was received and even spent… the petitioners received a letter pointing to a “decision taken by the government”... that the said allotment of plots may be revoked.
