Marvel Landmarks Pvt. Ltd. vs The State Of Maharashtra And Ors on 7 April, 2026

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    Bombay High Court

    Marvel Landmarks Pvt. Ltd. vs The State Of Maharashtra And Ors on 7 April, 2026

       2026:BHC-AS:16466
    
    
                                                                                           901-F-J-WP-12121-2024.doc
    
    
    
                                         IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                                      CIVIL APPELLATE JURISDICTION
    
                                          WRIT PETITION NO. 12121 OF 2024
                            Marvel Landmarks Pvt. Ltd.                    ...Petitioner
                                       Versus
                            The State of Maharashtra & Ors                                       ...Respondents
    
    
                                Mr. Amit Gharat, for Petitioner.
                                Mr. Abhishek Kothari a/w Monish Jain & Gaurav Nashikkar, i/b
                                M J Partners, for Respondent No.5.
                                Mr. R.S. Pawar, AGP for the Respondent-State.
    
    
                                                CORAM                :    SOMASEKHAR SUNDARESAN, J.
    
                                                RESERVED ON          :    January 22, 2026
                                                PRONOUNCED ON :            April 7, 2026
    
                           Judgement:
    
    

    1. Rule. Rule is made returnable forthwith. By consent of the

    parties, heard finally.

    SPONSORED

    Context and Factual Background:

    2. The Writ Petition raises an interesting question as to whether

    an order dated December 17, 2019 (” Impugned Order”) passed by the

    Learned Adjudicating Officer of the Real Estate Regulatory Authority
    Digitally

    ASHWINI
    signed by
    ASHWINI
    JANARDAN
    (“Authority”), is rendered non est by reason of the law declared by the
    JANARDAN VALLAKATI
    VALLAKATI Date:

    2026.04.07
    15:56:37
    +0530
    Supreme Court in 2021, interpreting the provisions of the Real Estate

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    (Regulation and Development) Act, 2016 (” RERA Act“). The prayer in

    this Writ Petition is to quash and set aside the Impugned Order and

    another order dated October 8, 2021 (” Recovery Order”) passed in

    recovery proceedings, on the premise that they are in conflict with the

    law subsequently declared by the Supreme Court.

    3. The relevant facts for purpose of adjudicating this Petition

    fall in a rather narrow compass and are summarized below:-

    A] A Learned Adjudicating Officer of the Authority passed the

    Impugned Order directing refund of the amount of

    Rs.1,35,99,246/- along with interest @10.20% per annum paid to

    the Petitioner, Marvel Landmarks Pvt. Ltd. (” Marvel”) by

    Respondent No.5, Mr. Siddharth Mohan Palesha, (” Flat

    Purchaser”) until realisation;

    B] The Impugned Order was not challenged within the

    statutory period available for an Appeal under Section 44 of the

    RERA Act;

    C] On October 8, 2021, on account of non-compliance with the

    Impugned Order, an order was passed for issuance of recovery

    warrant (“Recovery Order”). Execution of RERA’s order for

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    refund of monies is to be effected as if the penalties were arrears

    of land revenue under the Maharashtra Land Revenue Code,

    1966;

    D] On November 11, 2021, the Supreme Court passed a

    judgment in the case of Newtech1 which, according to Marvel,

    renders the Impugned Order and the Recovery Order non est; and

    E] According to Marvel, an Adjudicating Officer can only pass

    orders relating to compensation while an order of refund cannot

    be passed by the Adjudicating Officer, and towards this end, the

    law declared in Newtech is sought to be pressed into service.

    Core Issue:

    4. The short question to be considered for adjudicating in this

    Petition is whether pursuant to the law declared in Newtech, Marvel

    would be entitled to immunity from compliance with the Impugned

    Order on the premise that the law as declared in Newtech, has rendered

    the Impugned Order non est in the eyes of law. Put differently, the case

    of Marvel is that Newtech has rendered the Impugned Order, although

    passed in the past and having attained finality in the absence of a

    1 Newtech Promoters and Developers Pvt. Ltd. v. State of UP – (2021) 18 SCC
    1
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    challenge under a statutory appeal, even now the Impugned Order can

    be quashed as being a product of exercise of power by an authority

    without jurisdiction.

    Contentions of the Parties:

    5. Against this backdrop, I have heard at length Mr. Amit

    Gharte, Learned Advocate for Marvel and Mr. Abhishek Kothari,

    Learned Advocate for the Flat Purchasers, and, with their assistance,

    examined the materials relied upon by them in furtherance of their

    submissions.

    6. Mr. Gharte would submit that in view of the law declared in

    Newtech, this Court should declare that the Learned Adjudicating

    Officer who passed the Impugned Order was wholly without

    jurisdiction. The jurisdiction to order a refund along with interest is

    unavailable under Section 71 of the RERA Act, he would submit,

    contending therefore, that any attempt to execute the Impugned Order

    would be illegal. Mr. Gharte would also rely upon a decision of a

    Learned Division Bench of this Court in the case of Marveledge2. He

    would also draw my attention to other decisions of the same Learned

    2 Marveledge Realtors Pvt. Ltd. v. State of Maharashtra – judgement dated
    September 13, 2024 in Writ Petition No.10912 of 2022
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    Division Bench following the ruling in Marveledge, and to a decision of a

    Learned Single Judge in a Petition filed by this very Petitioner 3, wherein

    a stay was granted on an order directing refund as also an order of

    proclamation issued in recovery proceedings. A final ruling the aforesaid

    Writ Petition regard did not transpire, since the parties settled the

    dispute and the Petition was withdrawn.

    7. Mr. Gharte would further rely on a decision of the Supreme

    Court in Kiran Singh4 and in particular, Paragraph 6 thereof, which

    reads thus:-

    “6. The answer to these contentions must depend on what the position in
    law is when a court entertains a suit or an appeal over which it has no
    jurisdiction, and what the effect of Section 11 of the Suits Valuation Act is on
    that position. It is a fundamental principle well established that a decree
    passed by a court without jurisdiction is a nullity, and that its invalidity
    could be set up whenever and wherever it is sought to be enforced or relied
    upon, even at the stage of execution and even in collateral proceedings. A
    defect of jurisdiction, whether it is pecuniary or territorial, or whether it is in
    respect of the subject-matter of the action, strikes at the very authority of the
    court to pass any decree, and such a defect cannot be cured even by consent
    of parties. If the question now under consideration fell to be determined only
    on the application of general principles governing the matter, there can be
    no doubt that the District Court of Monghyr was coram non judice, and that

    3 Marvel Landmarks Pvt. Ltd. v. State of Maharashtra and Ors. – judgement
    dated July 24, 2024 in Writ Petition No.10088 of 2024
    4 Kiran Singh & Ors v. Chaman Paswan & Ors. – (1954) 1 SCC 710
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    its judgment and decree would be nullities. The question is what is the effect
    of Section 11 of the Suits Valuation Act on this position.

    [Emphasis Supplied]

    8. Based on the aforesaid reasoning, Mr. Gharte would also

    submit that, after the declaration of the law in Newtech, there are

    instances where RERA itself has not been enforcing its refund orders on

    the premise that they are a nullity. Therefore, he desires that the Writ

    Court must endorse such a position and positively declare the Impugned

    Order and the Recovery Order are a nullity.

    9. In sharp contrast, Mr. Abhishek Kothari, Learned Advocate

    on behalf of the Flat Purchaser, would submit that when the Impugned

    Order was passed, the Learned Adjudicating Officer was validly

    discharging the functions assigned to him by the Authority, and that he

    declared the refund to be due in exercise of such valid authority. Mr.

    Kothari would submit that under the provisions of the RERA Act, the

    Authority is to consist of a Chairperson and not less than two full-time

    members. Likewise, for the purposes of exercising jurisdiction under

    Section 71 of the Act, Adjudicating Officers are to be appointed by

    RERA. Regardless of whether it is an Adjudicating Officer or a Whole

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    Time Member (“WTM”) discharging the functions, it would be the

    Authority that is discharging the functions when they so act.

    10. Mr. Kothari would point to Section 30(c) of the RERA Act, to

    indicate that no act or proceeding of the Authority shall become invalid,

    merely by a reason of any irregularity in the procedure of the Authority,

    not affecting the merits of the case. He would further submit that the

    Impugned Order was amenable to an Appeal in terms of Section 43(5) of

    the RERA Act. Any person aggrieved by any direction, decision or order

    made by RERA or by an Adjudicating Officer is entitled to file an Appeal

    before the Appellate Tribunal. Such Appeal is required to be filed within

    a period of 60 days with a further extension of 60 days, during which a

    delay in filing an Appeal may be condoned by the Appellate Tribunal.

    Since Marvel did not challenge the Impugned Order at all, the

    Impugned Order became final and is executable as if it were arrears of

    land revenue, and therefore, such crystallised rights cannot be undone

    by Marvel by a subsequent judgement. In any case, Marvel has come to

    Court with significant delay from date of the Impugned Order and the

    writ jurisdiction cannot be used to re-open closed matters that have

    attained finality. Once the Impugned Order became executable as a

    decree on the expiry of 120 days from when it was passed, having

    attained finality, it would follow that even if the law declared in Newtech
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    were to be somehow adopted by Marvel, it cannot disturb positions that

    have already been crystallised and have attained finality.

    11. Even while Newtech was decided on November 11, 2021, this

    Petition has been filed only on August 26, 2024. Therefore, Mr. Kothari

    would submit that there are two layers of delay and laches that visit this

    Petition – the first is the delay from the passing of the Impugned Order

    in December 2019, by which count the delay is of nearly five years; and

    second, even after the law was declared in Newtech, Marvel has come

    nearly three years late. Therefore, Mr. Kothari would submit that this

    Court, in exercise of its discretionary extraordinary jurisdiction, ought

    not to entertain this Petition or grant any relief to a party that is taking a

    chance at disturbing crystallised rights that have already partaken the

    character of a decree.

    12. Mr. Kothari would further submit that even in the execution

    proceedings, not once did Marvel raise any issue about purportedly

    benefiting from the law declared in Newtech. In fact, it is when the

    Collector (Respondent No.3 and 4, the District Collector Pune and the

    Tehsildar, Taluka Haveli) abdicated their duties that the Flat Purchaser

    was constrained to file Writ Petition No.2271 of 2024 (” WP 2271″)

    seeking a mandamus and a direction to the Collector to deal with the

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    matter. It is in that petition that the contention of Newtech having

    denuded the Impugned Order of enforceability has been taken by this

    Petitioner. As a backlash to the filing of WP 2271, the present Petition

    has been filed in August 2024.

    13. Mr. Kothari would also point to Marvel having been admitted

    to a Corporate Insolvency Resolution Process (” CIRP”) under the

    Insolvency and Bankruptcy Code, 2016 (” IBC”) on June 13, 2025 which

    came to be withdrawn in view of a settlement being arrived at in those

    proceedings recorded before the Adjudicating Authority under the IBC.

    Yet, an Interim Application No.10471 of 2025 was filed in the WP 2271

    on July 19, 2025, claiming that Marvel was a protectee of the

    moratorium under the IBC. Even in this application, Marvel did not

    employ the stance raised in this Writ Petition, namely, that the

    Impugned Order is non est. Therefore, he would submit that this Court

    ought not to exercise its discretionary in favour of such a party.

    14. Mr. Kothari would rely on the decision of the Supreme Court

    in Saurashtra Kutch Stock Exchange5, to submit that a judicial decision,

    while retrospective, would not disturb matters that are res judicata or

    5 Assistant Commissioner, Income Tax, Rajkot v. Saurashtra Kutch Stock
    Exchange Ltd.
    – 2008 (14) SCC 171
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    where accounts have been settled in the meantime. He would rely on the

    following extracts:-

    35. In our judgment, it is also well settled that a judicial decision acts
    retrospectively. According to Blackstonian theory, it is not the function of the
    court to pronounce a “new rule” but to maintain and expound the “old
    one”. In other words, Judges do not make law, they only discover or find the
    correct law. The law has always been the same. If a subsequent decision
    alters the earlier one, it (the later decision) does not make new law. It only
    discovers the correct principle of law which has to be applied
    retrospectively. To put it differently, even where an earlier decision of the
    court operated for quite some time, the decision rendered later on would
    have retrospective effect clarifying the legal position which was earlier not
    correctly understood.

    36. Salmond in his well known work states:

    “[T]he theory of case law is that a judge does not make law; he merely
    declares it; and the overruling of a previous decision is a declaration that
    the supposed rule never was law. Hence any intermediate transactions made
    on the strength of the supposed rule are governed by the law established in
    the overruling decision. The overruling is retrospective, except as regards
    matters that are res judicatae or accounts that have been settled in the
    meantime.”

    [Emphasis Supplied]

    15. Further reliance is placed on UP Jal Nigam6 to indicate that

    delay in approaching the Writ Court would be a material factor for not

    6 U.P. Jal Nigam v. Jaswant Singh – (2006) 11 SCC 464
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    granting relief, even if relief had been granted in earlier timely writs

    invoking the same principles of law. Various employees of the Uttar

    Pradesh Jal Nigam had been retired on superannuation at the age of 58

    years. Some of them challenged the retirement and were allowed to

    continue up to the age of 60 years. This led to Appeals in the Supreme

    Court in the case of Harwindra Kumar7, which ruled that

    superannuation would occur at the age of 60. During the pendency of

    such proceedings, a set of Writ Petitions came to be filed in the High

    Court by employees who had retired long back at the age of 58. Some of

    the petitioners who were yet to retire got relief with interim orders

    allowing them to continue in service. All the writs came to be disposed

    of in the light of the ruling in Harwindra Kumar.

    16. In appeal, the Supreme Court was faced with the question as

    to whether relief should be granted to other similarly placed persons

    who were not vigilant and did not stay alert to challenge their

    retirement and had gone on to accept the same, but much later filed

    Writ Petitions invoking the judgement in Harwindra Kumar. This was

    considered by the Supreme Court as a serious question and was

    answered in UP Jal Nigam, essentially holding that those who are not

    alert and do not come to Court in time have acquiesced in accepting

    7 Harwindra Kumar v. Chief Engineer, Karmik & Ors. – (2005) 13 SCC 300
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    their retirement without challenge in time. If they had been vigilant and

    had come to Court along with the others who eventually succeeded, they

    could have been given the same treatment but the Court should be very

    slow in granting reliefs to those who did not come in time. Therefore,

    the Court refused to come to the aid of the employees who did not

    contemporaneously approach the Writ Court on the premise that the

    discretionary power to issue a writ would not be exercised in their

    favour.

    17. Mr. Kothari would also rely upon the judgement in Bhailal

    Bhai8 whereby 31 appeals filed by State of Madhya Pradesh challenging

    disposal of petitions filed by tobacco dealers on the sales tax on tobacco

    was considered. The Supreme Court considered that a tax applicable

    before independence in the State of Madhya Bharat would have been

    saved within the saving provisions of Article 304(a) of the Constitution

    of India. It was held that the tax was in contravention of the provisions

    of Article 301 of the Constitution and had been rightly held to be invalid

    and those assessments were invalid in law. At the same time, the

    Supreme Court held (in para 17) that Article 226 is not intended to

    supersede all the modes of relief that are available to the parties and

    8 State of Madhya Pradesh & Ors. v. Bhailal Bhai & Ors. – 1964 SCC OnLine
    SC 10
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    that the power to give relief under Article 226 must necessarily factor in

    the delay on the part of the aggrieved party in seeking a special

    extraordinary remedy and the excuse presented for seeking such

    remedy. Therefore, the following extracts are noteworthy.

    At the same time we cannot lose sight of the fact that the special remedy
    provided in Article 226 is not intended to supersede completely the modes of
    obtaining relief by an action in a Civil Court or to deny defences legitimately
    open in such actions. It has been made clear more than once that the power to
    give relief under Article 226 is a discretionary power. This is specially true in
    the case of power to issue writs in the nature of mandamus. Among the several
    matters which the High Courts rightly take into consideration in the exercise
    of that discretion is the delay made by the aggrieved party in seeking this
    special remedy and what excuse there is for it. Another is the nature of
    controversy of facts and law that may have to be decided as regards the
    availability of consequential relief. Thus, where, as in these cases, a person
    comes to the court for relief under Article 226 on the allegation that he has
    been assessed to tax under a void legislation and having paid it under a
    mistake is entitled to get it back, the court, if it finds that the assessment was
    void, being made under a void provision of law, and the payment was made by
    mistake, is still not bound to exercise its discretion directing repayment.
    Whether repayment should be ordered in the exercise of this discretion will
    depend in each case on its own facts and circumstances. It is not easy nor is it
    desirable to lay down any Rule for universal application. It may however be
    stated as a general Rule that if there has been unreasonable delay the court
    ought not ordinarily to lend its aid to a party by this extraordinary remedy of
    mandamus. Again, where even if there is no such delay the Government or the
    statutory authority against whom the consequential relief is prayed for raises
    a prima facie triable issue as regards the availability of such relief on the
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    merits on the grounds like limitation the court should ordinarily refuse to issue
    the writ of mandamus for such payment. In both these kinds of cases it will be
    sound use of discretion to leave the party to seek his remedy by the ordinary
    mode of action in a Civil Court and to refuse to exercise in his favour the
    extraordinary remedy under Article 226 of the Constitution.

    [Emphasis Supplied]

    18. In support of his contention, under Section 30 of the RERA

    Act, namely, that irregularity in procedure not affecting the merits of the

    case would not invalidate the decision, Mr. Kothari would rely upon BK

    Srinivasan9 and in particular paragraph 11 which is extracted below:-

    11. The only other provision of the Act to which reference is necessary is,
    what we may call, the “Ganga” clause [ According to Hindu tradition the
    waters of the Ganga purify, cleanse the sins and remedy all insufficiencies.].

    Section 76-J which provides for “Validation of acts and proceedings”. It is
    as follows:

    “76-J. Validation of acts and proceedings.–No act done or
    proceeding taken under this Act shall be questioned on the ground
    merely of,

    (a) the existence of any vacancy in, or any defect in the constitution of
    the Board or any Planning Authority;

    (b) any person having ceased to be a member;

    (c) any person associated with the Board or any Planning Authority
    under Section 4-F having voted in contravention of the said section; or

    (d) the failure to serve a notice on any person, where no substantial
    injustice has resulted from such failure; or
    9 B. K. Srinivasan & Ors. v. State of Karnataka – (1987) 1 SCC 658
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    (e) any omission, defect or irregularity not affecting the merits of the
    case.

    19. Mr. Kothari would submit that the provisions of Section 76-J

    extracted in the aforesaid case were a “Ganga Clause” which is meant to

    cleanse and purify any insufficiency and that is precisely what is codified

    in Section 30(c) of the RERA Act. Towards this end, he would submit

    that at the relevant time RERA had issued Circular No.7 of 2017 dated

    July 24, 2017 stipulating the Standard Operating Procedure for dealing

    with complaints by Flat Purchasers. The said circular provides that once

    a complaint is received online, it is automatically assigned by the

    software to the Chairperson and the two WTMs, and where a person

    seeks compensation, the case would then be transferred by them to an

    Adjudicating Officer. He would submit that this Standard Operating

    Procedure was essentially based on the law as it then stood and was then

    understood. In any case, the declaration of the law in Newtech came

    much later. Therefore, Mr. Kothari would contend, even if it were to be

    declared that the process adopted by the Authority was declared to be in

    conflict with the requirement of law, such a procedural outcome would

    be saved by the codified position obtaining from Section 30(c) of the

    RERA Act. Mr. Kothari would also point out that in accordance with the

    rules made under the RERA Act, namely, the Maharashtra Real Estate
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    (Regulation and Development) Rules, 2016, a specific Form-M is

    stipulated for complaints to be made to the Authority. The Flat

    Purchaser had made a complaint in Form-M. This complaint was

    therefore processed by the Authority and since it had prayers for

    compensation as well as for refund, the Authority was entitled to validly

    assign the case to an Adjudicating Officer. If that process is considered

    improper by a reading of the law in Newtech, he would submit that the

    Impugned Order which is on merits, stands protected by Section 30(c).

    ANALYSIS AND FINDINGS:

    Scheme of RERA Act:

    20. Before dealing with the aforesaid contentions, a broad

    understanding of the scheme of the RERA Act would be in order. The

    following provisions of the RERA Act are noteworthy.

    21. Section 18 stipulates the substantial rights of an allottee of a

    unit upon non-performance by the promoter of a project, including the

    return of amounts paid to the promoter of a project :

    18. Return of amount and compensation.–(1) If the promoter fails to
    complete or is unable to give possession of an apartment, plot or building,–

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    (a) in accordance with the terms of the agreement for sale or, as the
    case may be, duly completed by the date specified therein; or

    (b) due to discontinuance of his business as a developer on account of
    suspension or revocation of the registration under this Act or for any
    other reason,

    he shall be liable on demand to the allottees, in case the allottee wishes to
    withdraw from the project, without prejudice to any other remedy available,
    to return the amount received by him in respect of that apartment, plot,
    building, as the case may be, with interest at such rate as may be prescribed
    in this behalf including compensation in the manner as provided under this
    Act:

    Provided that where an allottee does not intend to withdraw from the
    project, he shall be paid, by the promoter, interest for every month of delay,
    till the handing over of the possession, at such rate as may be prescribed.

    (2) The promoter shall compensate the allottees in case of any loss caused
    to him due to defective title of the land, on which the project is being
    developed or has been developed, in the manner as provided under this Act,
    and the claim for compensation under this subsection shall not be barred by
    limitation provided under any law for the time being in force.

    (3) If the promoter fails to discharge any other obligations imposed on
    him under this Act or the rules or regulations made thereunder or in
    accordance with the terms and conditions of the agreement for sale, he shall
    be liable to pay such compensation to the allottees, in the manner as
    provided under this Act.

    [Emphasis Supplied]

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    22. It is clear that Section 18 is the substantive statutory right to

    protections when the allottee of premises is a victim of non-

    performance. The protections include a full refund and termination of

    contract; specific relief of the contract with statutory interest for the

    delayed performance; compensation due to defect in title without being

    impeded by limitation; and compensation in terms of other provisions

    of the RERA Act.

    23. Section 21 deals with the composition of RERA (the phrase

    used for it is “Authority”) while Section 25 provides for administrative

    powers of the Chairperson. Essentially, RERA comprises a Chairperson

    and at least two WTMs, with the Chairperson being the chief executive

    and administrative head of RERA. These provisions read thus:

    21. Composition of Authority.–The Authority shall consist of a
    Chairperson and not less than two whole time Members to be appointed by
    the appropriate Government.

    25. Administrative powers of Chairperson.–The Chairperson shall have
    powers of general superintendence and directions in the conduct of the
    affairs of Authority and he shall, in addition to presiding over the meetings
    of the Authority, exercise and discharge such administrative powers and
    functions of the Authority as may be prescribed.

    [Emphasis Supplied]

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    24. Section 28 envisages the role of other officers and employees

    of RERA. When read with Section 71, which provides for appointment of

    a judicial officer for purposes of adjudicating claims for compensation.

    The Adjudicating Officer appointed by RERA under Section 71, when

    read with Section 28(2) would inexorably point to the Adjudicating

    Officer being an employee of RERA. These provisions read thus:

    28. Officers and other employees of Authority.–(1) The appropriate
    Government may, in consultation with the Authority appoint such officers
    and employees as it considers necessary for the efficient discharge of their
    functions under this Act who would discharge their functions under the
    general superintendence of the Chairperson.

    (2) The salary and allowances payable to, and the other terms and
    conditions of service of, the officers and of the employees of the Authority
    appointed under sub-section (1) shall be such as may be prescribed.

    71. Power to adjudicate.–(1) For the purpose of adjudging compensation
    under sections 12, 14, 18 and section 19, the Authority shall appoint, in
    consultation with the appropriate Government, one or more judicial officer
    as deemed necessary, who is or has been a District Judge to be an
    adjudicating officer for holding an inquiry in the prescribed manner, after
    giving any person concerned a reasonable opportunity of being heard:

    Provided that any person whose complaint in respect of matters covered
    under sections 12, 14, 18 and section 19 is pending before the Consumer
    Disputes Redressal Forum or the Consumer Disputes Redressal Commission
    or the National Consumer Redressal Commission, established under section
    9
    of the Consumer Protection Act, 1986 (68 of 1986), on or before the
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    commencement of this Act, he may, with the permission of such Forum or
    Commission, as the case may be, withdraw the complaint pending before it
    and file an application before the adjudicating officer under this Act.

    (2) The application for adjudging compensation under sub-section (1),
    shall be dealt with by the adjudicating officer as expeditiously as possible
    and dispose of the same within a period of sixty days from the date of receipt
    of the application:

    Provided that where any such application could not be disposed of within the
    said period of sixty days, the adjudicating officer shall record his reasons in
    writing for not disposing of the application within that period.

    (3) While holding an inquiry the adjudicating officer shall have power to
    summon and enforce the attendance of any person acquainted with the facts
    and circumstances of the case to give evidence or to produce any document
    which in the opinion of the adjudicating officer, may be useful for or relevant
    to the subject matter of the inquiry and if, on such inquiry, he is satisfied that
    the person has failed to comply with the provisions of any of the sections
    specified in sub-section (1), he may direct to pay such compensation or
    interest, as the case any be, as he thinks fit in accordance with the provisions
    of any of those sections.

    [Emphasis Supplied]

    25. Section 81 of the RERA Act provides for RERA delegating

    authority to any officer, by general or special order to carry out its

    functions under the Act, except for the power to make regulations under

    the Act. This provision reads as follows:

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    81. Delegation.–The Authority may, by general or special order in writing,
    delegate to any member, officer of the Authority or any other person subject
    to such conditions, if any, as may be specified in the order, such of its
    powers and functions under this Act (except the power to make regulations
    under section 85), as it may deem necessary.

    [Emphasis Supplied]

    26. The scheme of the aforesaid provisions is clear – the RERA is

    essentially a regulatory authority established under the RERA Act. The

    design of RERA as a regulator is quite akin to the design of many

    regulators, where the three pillars of State are rolled into one body

    corporate. RERA has law-making powers under Section 85, and

    therefore, Section 81 makes it clear that such legislative function has to

    be carried out without any delegation of such power to any officer of

    RERA. The quasi-judicial powers includes the power to award

    compensation, where an adjudicatory role has to be played – for this

    purpose, to maintain separation of powers and judicial independence,

    the Adjudicating Officers who are appointed are meant to have judicial

    experience and are appointed to play such adjudicatory function.

    27. Administrative oversight over them would still be with RERA,

    with the Chairperson at the helm of affairs, but the Adjudicating Officers

    need to discharge a quasi-judicial role independently, and therefore the

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    separation of powers is evident from Section 71 of the Act. All the rest of

    the functions, which include registration and regulation of a nature of

    prudential regulation and enforcement are executive functions, which

    are to be run under the overall superintendence of RERA (namely, the

    Chairperson and at least two WTMs) with such functions being carried

    out by officials and employees of RERA.

    28. What becomes clear is that the adjudication of compensation

    is something that an Adjudicating Officer alone can deal with while

    other powers, save and except the power to make subordinate

    legislation, may be exercised by any officer to whom such power is

    assigned by RERA. The matter in hand involves the Impugned Order

    having been passed for issuance of a refund, and such power having

    been exercised by an Adjudicating Officer. This is not a case of an

    officer who is not a judicial Adjudicating Officer having granted

    compensation – something directly contrary to the statutory scheme of

    the RERA Act.

    Analysis of Newtech:

    29. Against this backdrop, the contention about Newtech having

    implications for this Petition needs to be examined to answer whether

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    the exercise of power of directing a refund can ever be effected by an

    Adjudicating Officer. In Newtech, complaints were instituted by home

    buyers for refund of the investments made by them in the units

    developed by the promoters of the project in question. An order of

    refund was passed by a WTM. The promoter of the project challenged

    the direction in the Allahabad High Court on the ground that the WTM

    had no jurisdiction to issue orders of refund and only the Adjudicating

    Officer could issue such an order. The High Court rejected the writ

    petitions and the matter reached the Supreme Court, which dismissed

    the appeals challenging the High Court judgement. When doing so, the

    Supreme Court, among others framed the following question:

    2. Whether the Authority has jurisdiction to direct return/refund of the
    amount to the allottee under Sections 12, 14, 18 and 19 of RERA or the
    jurisdiction exclusively lies with the adjudicating officer under Section 71 of
    RERA?

    [Emphasis Supplied]

    30. After analysing the contentions of the parties, answering that

    the WTM has the authority to direct a refund, the Supreme Court

    concluded thus:

    85. From the scheme of the Act of which a detailed reference has been
    made and taking note of power of adjudication delineated with the Regulatory

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    Authority and adjudicating officer, what finally culls out is that although the
    Act indicates the distinct expressions like “refund”, “interest”, “penalty” and
    “compensation”, a conjoint reading of Sections 18 and 19 clearly manifests
    that when it comes to refund of the amount, and interest on the refund amount,
    or directing payment of interest for delayed delivery of possession, or penalty
    and interest thereon, it is the Regulatory Authority which has the power to
    examine and determine the outcome of a complaint. At the same time, when it
    comes to a question of seeking the relief of adjudging compensation and
    interest thereon under Sections 12, 14, 18 and 19, the adjudicating officer
    exclusively has the power to determine, keeping in view the collective reading
    of Section 71 read with Section 72 of the Act. If the adjudication under
    Sections 12, 14, 18 and 19 other than compensation as envisaged, is extended
    to the adjudicating officer as prayed that, in our view, may intend to expand
    the ambit and scope of the powers and functions of the adjudicating officer
    under Section 71 and that would be against the mandate of the 2016 Act.

    [Emphasis Supplied]

    31. Marvel relies primarily on the last part of Paragraph 85

    extracted above i.e. observations about adjudication of facets other than

    compensation by the Adjudicating Officer. Based on these observations,

    Marvel contends that the Supreme Court has squarely held that the

    Adjudicating Officer could never exercise any power other than

    adjudication of compensation and that such adjudication would expand

    the ambit and scope of the functions of the Adjudicating Officer under

    Section 71 of the RERA Act and be contrary to the mandate of the RERA

    Act.

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    32. In Newtech, the Supreme Court was dealing with a

    contention that the WTM could never exercise the power to direct a

    refund. The analysis and findings of the Supreme Court in Newtech,

    essentially are responsive to whether the WTM could have exercised

    jurisdiction to direct a refund. The Supreme Court was not dealing with

    a contention that the Adjudicating Officer could be delegated the power

    to direct a refund. Therefore, in my view, one must not lose the nuance

    with which the binding precedential nature of contents of Newtech must

    be discerned. What constitutes a precedent is subject matter of

    numerous well-settled iterations by the Supreme Court. The following

    extract from Ravi Ranjan10 should suffice:

    It is well settled that a judgment is a precedent for the issue of law that is
    raised and decided. The judgment has to be construed in the backdrop of the
    facts and circumstances in which the judgment has been rendered. Words,
    phrases and sentences in a judgment, cannot be read out of context. Nor is a
    judgment to be read and interpreted in the manner of a statute. It is only the
    law as interpreted by in an earlier judgment, which constitutes a binding
    precedent, and not everything that the Judges say.

    [Emphasis Supplied]

    10 Ravi Ranjan Developers Pvt. Ltd. Vs. Aditya Kumar Chatterjee – 2022 SCC
    OnLine SC 568
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    33. Seen in that light, in Newtech, the Supreme Court essentially

    held that the WTM can indeed exercise the power to direct a refund.

    The Supreme Court did not at all venture into what the Adjudicating

    Officer cannot do. The Supreme Court only repelled the contention of

    the appellants before it that the Adjudicating Officer alone could deal

    with adjudication of a refund, and in that context indicated that

    extrapolating adjudication of issues beyond compensation may expand

    the ambit and scope of the Adjudicating Officer’s powers under Section

    71 of the Act. The Supreme Court took care to state that the

    extrapolated jurisdiction of the Adjudicating Officer ” as prayed” by the

    appellants in Newtech, may expand the ambit and scope of the powers

    and functions under Section 71 of the RERA Act. The Supreme Court

    was not dealing with a case of a positive delegation to the Adjudicating

    Officer under Section 81 of the Act.

    34. I have already extracted and discussed Section 71 of the Act

    above – that provision exclusively confers adjudication of compensation

    on the Adjudicating Officer. It preserves this subject for that officer’s

    jurisdiction alone. It is not a provision that limits what else may be

    delegated to the Adjudicating Officer, in particular, when one reads it

    with Section 81 of the RERA Act, which is also extracted and analysed

    above.

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    35. Under Section 81, any power and function of RERA other

    than the legislative function may be delegated to any officer of RERA.

    The Adjudicating Officer is but an officer of RERA. It would follow that

    there is a power to delegate any of RERA’s powers and functions to the

    Adjudicating Officer. What the scheme of the RERA Act prohibits is the

    delegation of the power to adjudicate compensation, exercisable solely

    by the Adjudicating Officer to any other officer because that would be

    contrary to the requirement that quasi-judicial adjudication of

    compensation must necessarily vest in the Adjudicating Officer, who is

    meant to be a judicial officer.

    36. In that light, another question framed by the Supreme Court

    in Newtech – about delegation of powers – becomes relevant. It is as

    follows:

    3. Whether Section 81 of RERA authorises the Authority to delegate its
    powers to a Single member of the Authority to hear complaints instituted
    under Section 31 of RERA?

    [Emphasis Supplied]

    37. In dealing with the aforesaid question, the Supreme Court set

    out the following analysis:

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    86. It is the specific stand of the respondent Authority of the State of Uttar
    Pradesh that the power has been delegated under Section 81 to the Single
    Member of the Authority only for hearing complaints under Section 31 of the
    Act. To meet out the exigency, the Authority in its meeting held on 14-8-2018,
    had earlier decided to delegate the hearing of complaints to the Benches
    comprising of two members each but later looking into the volume of
    complaints which were filed by the homebuyers which rose to about 36,826
    complaints, the Authority in its later meeting held on 5-12-2018 empowered
    the Single Member to hear the complaints relating to refund of the amount
    filed under Section 31 of the Act.

    107. Pursuant to the delegation of power to the Single Member of the
    Authority, complaints filed by the allottees/homebuyers for refund of the
    amount and interest under Section 31 of the Act came to be decided by the
    Single Member of the Authority after hearing the parties in accordance with
    the provisions of the Act.

    111. Section 81 of the 2016 Act empowers the Authority, by general or
    special order in writing, to delegate its powers to any member of the
    Authority, subject to conditions as may be specified in the order, such of the
    powers and functions under the Act. What has been excluded is the power to
    make regulations under Section 85, rest of the powers exercised by the
    Authority can always be delegated to any of its members obviously for
    expeditious disposal of the applications/complaints including complaints filed
    under Section 31 of the Act and exercise of such power by a general and
    special order to its members is always permissible under the provisions of the
    Act.

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    112. In the instant case, the Authority by a special order dated 5-12-2018
    has delegated its power to the Single Member for disposal of complaints filed
    under Section 31 of the Act. So far as refund of the amount with interest is
    concerned, it may not be considered strictly to be mechanical in process but
    the kind of inquiry which has to be undertaken by the Authority is of a
    summary procedure based on the indisputable documentary evidence,
    indicating the amount which the allottee/homebuyer had invested and interest
    that has been prescribed by the competent authority leaving no discretion with
    minimal nature of scrutiny of admitted material on record is needed, if has
    been delegated by the Authority, to be exercised by the Single Member of the
    Authority in exercise of its power under Section 81 of the Act, which explicitly
    empowers the Authority to delegate under its wisdom that cannot be said to be
    dehors the provisions of the Act.

    113. What is being urged by the learned counsel for the appellants in
    interpreting the scope of Section 29 of the Act is limited only to policy matters
    and cannot be read in derogation to Section 81 of the Act and the
    interpretation as argued by the learned counsel for the promoters if to be
    accepted, the very mandate of Section 81 itself will become otiose and
    nugatory.

    114. It is a well-established principle of interpretation of law that the court
    should read the section in literal sense and cannot rewrite it to suit its
    convenience; nor does any canon of construction permit the court to read the
    section in such a manner as to render it to some extent otiose. Section 81 of
    the Act positively empowers the Authority to delegate such of its powers and
    functions to any member by a general or a special order with an exception to
    make regulations under Section 85 of the Act. As a consequence, except the
    power to make regulations under Section 85 of the Act, other powers and
    functions of the Authority, by a general or special order, if delegated to a
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    Single Member of the Authority is indeed within the fold of Section 81 of the
    Act.

    115. The further submission made by the learned counsel for the promoters
    that Section 81 of the Act empowers even delegation to any officer of the
    Authority or any other person, it is true that the Authority, by general or
    special order, can delegate any of its powers and functions to be exercised by
    any member or officer of the Authority or any other person but we are not
    examining the delegation of power to any third party. To be more specific, this
    Court is examining the limited question as to whether the power under Section
    81
    of the Act can be delegated by the Authority to any of its member to decide
    the complaint under Section 31 of the Act. What has been urged by the learned
    counsel for the promoters is hypothetical which does not arise in the facts of
    the case. If the delegation is made at any point of time which is in
    contravention to the scheme of the Act or is not going to serve the purpose and
    object with which power to delegate has been mandated under Section 81 of
    the Act, it is always open for judicial review.

    117. In the instant case, by exercising its power under Section 81 of the Act,
    the Authority, by a special order dated 5-12-2018 has delegated its power to
    the Single Member of the Authority to exercise and decide complaints under
    Section 31 of the Act and that being permissible in law, cannot be said to be
    dehors the mandate of the Act. At the same time, the power to be exercised by
    the adjudicating officer who has been appointed by the Authority in
    consultation with the appropriate Government under Section 71 of the Act,
    such powers are non-delegable to any of its members or officers in exercise of
    power under Section 81 of the Act.

    [Emphasis Supplied]

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    38. Therefore, when one takes a holistic view of the analysis in

    Newtech, it is very clear that not only was the Supreme Court examining

    an issue that is fundamentally different from the factual matrix at hand,

    but also the Supreme Court made it clear that it was not dealing with

    any aspect of whether delegation to the Adjudicating Officer was valid.

    On the contrary, the Supreme Court squarely held that if and when any

    delegation under Section 81 of the RERA Act is assailed as being

    contrary to the scheme of the RERA Act, such delegation would be open

    to judicial review.

    39. Therefore, in my view, as indicated in Ravi Ranjan, extracted

    above, Newtech is not a precedent that would have a bearing on this

    factual matrix of this case. Indeed, neither should words, phrases and

    sentences in a judgement be read out of context nor should a judgement

    be read like one would read a statute.

    40. Indeed, in Issue No. 2 in Newtech, the Supreme Court was

    not dealing with a question of delegation under Section 81 of the Act,

    but was dealing with whether under the very scheme of the RERA Act

    (without any element delegation of power under Section 81), it could be

    held that the Adjudicating Officer had exclusive jurisdiction to grant

    refund. The Supreme Court answered in the negative. In Issue No. 3,

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    the Supreme Court considered the question of delegation and squarely

    answered that delegation of any power or function of RERA to any

    officer of RERA was feasible under Section 81 save and except for the

    power to make subordinate legislation.

    41. There is one other facet of Newtech that stands out, and that

    too to indicate what the power to adjudicate compensation entails, and

    what the power to direct refund does not entail. The Supreme Court

    analysed the scheme of the RERA Act to find that the exercise of power

    to adjudicate compensation necessitated conducting of a trial while in

    sharp contrast, the exercise of power to direct a refund, although strictly

    not mechanical, the kind of inquiry to be undertaken was summary in

    nature based on indisputable documentary evidence with minimal

    scrutiny and no discretion in dealing with admitted material on record.

    42. Therefore, what an Adjudicating Officer alone is empowered

    by law to do, with a careful choice of who can be an Adjudicating Officer

    (a judicial officer), other officers of RERA (who are not judicially

    trained) cannot be expected to do. On the other hand, a judicially

    trained Adjudicating Officer, in whose domain a quasi-judicial

    adjudication would lie, would be able to undertake the lesser task of

    conducting a summary procedure to decide a refund. Therefore,

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    delegation of the exercise of refund power to the Adjudicating Officer is

    not contrary to the scheme of the Act. It is the extrapolation of Section

    71 “as prayed” that was commented upon by the Supreme Court, making

    it clear that any other manner of delegation can always be judicially

    reviewed when such a delegation is made.

    43. Marvel is indeed conscious that the Supreme Court was

    dealing with a contention that the WTM could never exercise the power

    to direct a refund and that it was not dealing with a contention (such as

    the matter in hand) that the Adjudicating Officer could never be

    delegated with the power to direct a refund. Conscious that a judgement

    is a precedent for what it decides, Marvel contends that obiter dicta of

    the Supreme Court is binding on the High Court. For the reasons set

    out above, in my opinion, even the obiter dicta in Newtech is not the

    nature as sought to be canvassed by Marvel.

    Case against Exercise of Discretion for a Writ:

    44. I have set out above why in my view Newtech does not

    constitute a reasonable basis for interference that the Impugned Order

    was a product of coram non judice and that it needs to be quashed at

    this distance of time, and that the Recovery Order to enforce the

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    Impugned Order deserves to be set aside. However, faced with an

    expression of the aforesaid prima facie view, Marvel would at a later

    date of hearing, point to Marveledge, where a Learned Division Bench of

    this Court had exercised discretion to quash a recovery order accepting

    the reading of the extract from Newtech as canvassed in the captioned

    Writ Petition.

    45. The second issue of delegation under Section 81 of the RERA

    Act dealt with in Newtech, does not seem to have been presented to the

    Learned Division Bench and there is no ruling on that facet of the

    matter. Be that as it may, judicial discipline would necessitate having to

    respectfully follow the approach of the Learned Division Bench, the only

    scope that remains is limited to any distinguishing features in the

    matter in hand.

    46. In this light, purely from the perspective of whether

    discretion ought to be exercised in the captioned Writ Petition, it is clear

    to me that the instant case stands on a completely distinguishable and

    different footing. It is indeed the duty of the writ court to see if the facts

    of the matter in hand would warrant exercise of discretion in the same

    manner in the particular facts of the instant case.

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    47. In that light, it is noteworthy that the Impugned Order had

    been passed in December 2019, seven years ago. The Recovery Order

    was passed in October 2021, five years ago. The Supreme Court

    judgement in Newtech was rendered in November 2021. Marvel had a

    statutory right to appeal against the Impugned Order, which it did not

    avail of. This resulted in the Impugned Order attaining finality and

    there was nothing in the then state of the law to cast any cloud over the

    Impugned Order. When Marvel participated in the enforcement

    proceedings that led to the Recovery Order, the judgement in Newtech

    had not been rendered. However, Marvel did not even table the issue –

    evidently there was no issue to table because even if Marvel is assumed

    to have known about the issues framed in Newtech, the issue was not at

    all aligned with the issue involved in the facts of the instant case.

    48. Even after the judgement was rendered in Newtech, Marvel

    did not file any writ petition seeking to rely on Newtech until nearly

    three years later, in 2024. Even if one can raise the facet of jurisdiction

    at any stage it is well settled that closed and concluded matters cannot

    be reopened on the premise that a subsequent judgement of a superior

    court has declared the law differently. Once there is a statutory period

    for an appeal and that period has expired, the order has attained

    finality. If a subsequent declaration of the law (as perceived by Marvel to
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    give it some basis to reopen the issue) is made, it would not follow that

    long-closed matters can be reopened. In this light, I am not inclined to

    exercise discretion to interfere with the finally closed Impugned Order

    as a matter of exercise of discretion in the extraordinary writ

    jurisdiction of this Court.

    49. Marvel would contend that the jurisdictional issue cuts to the

    root of the matter and it can be raised even in execution. This

    contention can always be raised in the enforcement proceedings before

    the authorities who conduct the execution. I am not inclined to exercise

    the discretion available in jurisdiction of the writ court to make an

    intervention and reopen a matter that had already attained finality way

    before Marvel started perceiving the rights purportedly flowing to it

    from Newtech. The earlier decisions are distinguishable because they

    only examined whether Section 71 of the RERA Act created a divide in

    the jurisdiction of the Adjudicating Officer ” as prayed” by the appellants

    in Newtech, and did not examine the effect of Section 81 of the Act.

    50. That apart, WP 2271 was filed by the Flat Purchaser and

    another Learned Division Bench is seized of the matter. The captioned

    Writ Petition was filed subsequently and is fomenting and creating

    multiplicity of litigation to attempt to reopen a matter that had attained

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    finality seven years ago (as of now) and five years ago (as of the time this

    Writ Petition was filed). It is also noteworthy that admittedly,

    Marveledge is an affiliate or sister concern of Marvel, it is apparent that

    Marvel has simply attempted to take a chance with this Writ Petition.

    51. This is why Mr. Kothari’s reliance on UP Jal Nigam and

    Bhailal Bhai resonates with me in the decision not to exercise discretion

    in favour of the intervention sought by Marvel in this Writ Petition. The

    law does not protect the indolent and indeed the stratagem of following

    suit after Marveledge to reopen even older cases does not appeal to me

    to issue a writ as sought by Marvel.

    52. Purely for completeness, it must be stated that Mr. Kothari’s

    contention about the “Ganga Clause” has no application to this case.

    That provision relates to defect in constitution of the relevant bench and

    is not relevant for purposes of considering the contention of inherent

    lack of jurisdiction raised by Marvel, based on the observation in

    Newtech.

    Conclusion:

    53. Therefore, to summarise, considering: (i) that the Impugned

    Order had attained finality in 2019; (ii) that the captioned Writ Petition

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    was filed nearly three years after Newtech was delivered; (iii) that the

    petition in Marveledge was filed close to the ruling in Newtech; (iv) that

    the analysis of the scheme of the RERA Act read with the interpretation

    in Newtech as set out above, does not point to an inexorable binding

    ratio or obiter having come into existence; (v) that Marveledge is

    distinguishable as explained above; (vi) that there is an inordinate and

    unexplained delay in filing the captioned Writ Petition; (vii) that

    another Learned Division Bench is seized of WP 2271 and this issue can

    indeed be gone into in those proceedings that had been initiated by the

    Flat Purchaser prior in time; (viii) and that the writ court must

    necessarily apply its mind to the matter of whether to exercise discretion

    in favour of issuance of writ, I am not inclined to use the discretionary

    writ jurisdiction in favour of Marvel to interfere with the Impugned

    Order or the Recovery Order.

    54. The Writ Petition is therefore dismissed without any

    intervention. No costs.

    55. All actions required to be taken pursuant to this order shall

    be taken upon receipt of a downloaded copy as available on this Court’s

    website.

    [SOMASEKHAR SUNDARESAN, J.]

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    April 7, 2026
    Ashwini Vallakati

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