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Madras High CourtWP(MD)/32427/2025dismissed

R.Subiramani v. The District Collector/Inspector Of Panchayat

2025-11-14Honourable Ms. Justice P.T. Asha6 pages

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED: 14.11.2025

CORAM

THE HONOURABLE MS.JUSTICE P.T.ASHA Writ Petition(MD)No.32427 of 2025 and W.M.P(MD)No.25533 & 25535 of 2025 R.Subiramani ..Petitioner Vs 1.The District Collector/inspector of Panchayats, Collectorate, Madurai.

2.The Assistant Director of Panchayat, Collector Office Campus, Madurai District.

3.Executive Officer Alanganallur Town Panchayat, Alanganallur, Madurai District.

..Respondents Prayer: Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of Certiorarified Mandamus to call for the records of the impugned letter issued by the 3rd respondent herein in Na.Ka. No.77/2025 dated 15.10.2025 with respect to shop No.14 (wrongly stated as shop No.11) Southern side complex, Dr. Ambedkar Bus Stand Alanganallur and quash the same as illegal and further direct the 3rd respondent herein to confirm the auction and issue key shop No.14, Southern side complex, Dr.Ambedkar Bus Stand Alanganallur by considering petitioner's representation dated 16.10.2025. 1/6

For Petitioner : Mr.S.Vashik Ali For Respondents : Mrs.S.Jeya Priya, Govt. Advocate for R1 Mr.M.Lingadurai, Spl. Govt. Pleader for R2 & R3

ORDER

This writ petition has been filed seeking issuance of a Writ of Certiorarified Mandamus to call for the records relating to the impugned letter issued by the third respondent in Na.Ka.No.77/2025 dated 15.10.2025, to quash the same as illegal, and to consequently direct the third respondent to confirm the auction and hand over the key of Shop No. 14, Southern Side Complex, Dr. Ambedkar Bus Stand, Alanganallur, by considering the petitioner's representation dated 16.10.2025.

2. The petitioner submits that he participated in an auction conducted by the third respondent on 07.10.2025 for leasing certain shops situated at Dr. Ambedkar Bus Stand, Alanganallur Town Panchayat, for a period of three years. The auction covered South Side Shop Nos. 1, 2, 3, 10, 11, 14, 15 and East Side Shop No.1. The petitioner claims that he was the highest bidder for South Side Shop No.14 and had deposited the earnest 2/6

money as required. According to the petitioner, despite being the successful bidder, the key was not handed over and subsequently the allotment was cancelled by the impugned letter dated 15.10.2025. Aggrieved by the said communication, the petitioner has approached this Court.

3. The respondents contend that the impugned communication was issued strictly in accordance with Alanganallur Town Panchayat Council Resolution No.488 dated 15.10.2025. It is submitted that, as per the guidelines issued by the Public Works Department, a minimum monthly rent (upset price) had been fixed for each shop and only bids exceeding the said minimum rent were eligible for confirmation. The bids received for South Side Shop Nos. 11 and 14 were below the minimum rent fixed by the Public Works Department. Therefore, the Town Panchayat Council resolved to cancel the auction in respect of those shops and to conduct a re-auction, in order to safeguard public revenue. It is further submitted that the petitioner did not acquire any vested right, as the auction was never confirmed.

4. It is a settled principle of law that mere participation in an auction or being the highest bidder does not confer an indefeasible or vested right to allotment, unless the auction is confirmed by the competent authority. Confirmation of auction is always subject to statutory rules, tender conditions, and approval by the competent authority. 3/6

5. In the present case, the records clearly reveal that the Town Panchayat Council, which is the competent authority, passed Resolution dated 15.10.2025, deciding to cancel the auction for Shop Nos. 11 and 14 on the ground that the bids were below the minimum rent fixed by the Public Works Department. The decision was taken uniformly and in public interest. This Court finds that the said decision is based on financial prudence and statutory compliance, aimed at protecting public revenue. Such administrative decisions, unless shown to be vitiated by mala fides or statutory violation, do not warrant interference under Article 226 of the Constitution of India. This Court finds no illegality, arbitrariness, or procedural impropriety in the impugned letter dated 15.10.2025.

6. Accordingly, this writ petition is dismissed. However, it is clarified that the earnest money deposit already paid by the petitioner shall be considered for the re-tender, and therefore, the petitioner need not pay the earnest money deposit again. The petitioner shall be permitted to participate in the re-tender, and the tender authorities shall quote the upset price in the tender notification. No costs. Consequently, connected miscellaneous petitions are closed.

14.11.2025 NCC : Yes/No Index : Yes/No Internet:Yes skn 4/6

To 1.The District Collector/inspector of Panchayat, Collectorate, Madurai.

2.The Assistant Director of Panchayat, Collector Office Campus, Madurai District.

3.Executive Officer Alanganallur Town Panchayat, Alanganallur, Madurai District.

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P.T.ASHA, J.

skn Writ Petition(MD)No.32427 of 2025 and W.M.P(MD)No.25533 & 25535 of 2025 14.11.2025 6/6