' IJAZ AHMED CHAUDHRY, J.---Through the present petition under sections 11 and 17 of the Punjab Undesirable Co-operative Societies (Dissolution) Act, 1993, Bashir Ahmad petitioner seeks a direction to the Punjab Co-operative Board for Liquidation to execute the formal sale deed in favour Of the petitioner.
2. Briefly the facts of the case are that National Industrial Cooperative Finance Corporation Limited (defunct company) owned shop No,53 measuring 14 x 10 feet situated on the ground floor of Sadiq Plaza, Shahrah-e-Quaid-i-Azam, Lahore. The said Co-operative Finance Corporation on 21-9-1991 entered into an agreement to sell the said shop to the petitioner for a total consideration of Rs,8,40,000. The said amount was paid by the petitioner through advice No,483777 dated 15-9-1991 prepared by encashment of SMRs of sister-in-law of the petitioner bearing Nos.315029, 378490, 323905, 382802, 263256, 355408, 2633-32, 385706, 309383 and 287235. In pursuance of the aforesaid agreement to sell possession of the shop in question was handed over to the petitioner and since then he is in its physical possession through his tenants. On 16-5-1992, on the promulgation of the Punjab Undesirable Co-operative Societies (Dissolution) Ordinance, 1992 the above mentioned National Industrial Cooperative Finance Corporation Limited was declared an undesirable cooperative society and the same ceased to function under section 12 of the said Ordinance, as such, all its assets, properties, securities, deposits etc., vest in the Registrar Co- operative Societies. Subsequently after the promulgation of the Punjab Undesirable Co-operative Societies (Dissolution) Act 1993 the said society was taken over by the Punjab Co-operative Board for Liquidation. On 27-10-1991 the petitioner filed his claim before the Registrar Co-operative Societies but on the establishment of the Board under section 5 of the Act ibid petitioner filed his claim before the Board on 16-11-1993 for the issuance of No Objection Certificate for execution of the sale deed, in response to which the claim of the petitioner was accepted and he was directed to deposit 2% Liquidation charges within fifteen days to proceed further in the matter. On 5-9-2007 the requisite amount of Rs,16800 was deposited in the relevant account of the respondent-Board in the Bank of Punjab. After doing of the needful by the petitioner the respondent-Board did not get the Sale deed executed in favour of the petitioner. Hence the present petition.
3. Learned counsel for the petitioner contends that since he is bona fide purchaser of the shop in question for valuable consideration, therefore, he is entitled for the execution of the sale deed; that the respondent-Board has executed sale deeds in favour of a number of persons similarly placed, as such, the petitioner is being treated by the respondent-Board discriminately; that respondent No,2 never disputed valid assignment of the SMRs in favour of the petitioner and she also never filed any claim whatsoever regarding aforesaid SMRs before the respondent-Board; that the possession of the shop in question has already been handed over to the petitioner on execution of the agreement to sell in the year 1991 and that the respondent Board after receiving, 2% liquidation charges from the petitioner and issuance of the NOC in his favour is duty bound to get the sale deed executed in favour of the petitioner.
4. Learned counsel for the respondent-Board while opposing this petition contends that the amount alleged to have been paid by the petitioner through advice No,483777 dated 15-9-1991 through SMRs held by his sister-in-law is not legal and valid for the reasons that the sale of properties of the defunct corporation was prohibited vide notification No,5015-91/ 2006-ST(I) dated 28-7-1991 issued by the Board of Revenue and third party SMRs were not admissible, as such, the petitioner was not at all entitled for issuance of No Objection Certificate as well as execution of sale deed of the shop in question.
5. I have heard the learned counsel for the parties and also perused the available record. The record shows that on 21-9-1991; National Industrial Cooperative Finance Corporation Limited (defunct company) entered into an agreement to sell shop No,53 measuring 14 x 10 feet situated on the ground floor of Sadiq Plaza, Shahrah-e-Quaid-i-Azam, Lahore with the petitioner for a total consideration of Rs,8,40,000. The petitioner paid the said amount through Advice No,483777 dated 15-9-1991 prepared by enchashment of SMRs held by sister-in-law of the petitioner. The possession of the said shop was delivered to the petitioner which is still in his possession. Thereafter the said society was declared undesirable on the promulgation of the Punjab Undesirable Co-operative Societies (Dissolution) Ordinance 1992 which was subsequently became Punjab Undesirable Co- operative Societies (Dissolution) Act, 1993 and all the assets and liabilities of the defunct cooperative societies vest in the Punjab Co-operative Board of Liquidation. After the aforesaid change, the petitioner made an application to the respondent-Board for issuance of NOC for execution of the sale deed which was issued, in response to which the petitioner deposited 2% liquidation charges with the respondent-Board on 5-9-2007, as such, the petitioner is entitled for execution of the sale deed in his favour.
6. As far as the argument of the learned counsel for the respondent-Board that SMRs of a third party cannot be accepted is concerned, the SMRs of sister-in-law of the petitioner were encashed and as per policy/scheme of the PCBL itself envisaged in the circular dated 30-1-2005 approved by the then Cooperative Judge SMRs of near relatives/family of the loanee are acceptable, as such, the argument of the learned counsel for the respondent-Board has no force at all.
7. The other argument of the learned counsel for the respondent-Board about the prohibition imposed on the sale of properties of defunct corporation vide notification No,5015-91/2006-ST(1) dated 28-7-1991 has also no force for the reason the aforesaid notification itself shows that the Board of Revenue, Punjab had issued instructions that no sale/disposal of the properties/assets of such corporations/finance cooperative societies or their mortgage in favour of scheduled Banks, Development Finance Institutions and any other lending Agency may be registered and no such mutation should be attested without No Objection Certificate from the Registrar Cooperatives, Punjab, Lahore and prior permission from the Board of Revenue Punjab and had not prohibited the sale of the assets but only attached a condition of NOC with it.
8. In view of the above it is crystal clear that the petitioner is entitled for execution of the sale deed in his favour regarding, shop in question as the respondent Board itself admitted in its reply that the total consideration in cash was paid. The respondent-Board is denying a valid legal right accrued in favour of the petitioner on the basis of mere technicalities and those technicalities are not of such a character which could brush aside the claim of the petitioner. Since the petitioner is a bona fide purchaser for value having possessed the shop in question uptil now under the aforesaid agreement to sell, therefore, he is entitled for the execution of the sale deed.
9. For what has been discussed above, I allow this petition and direct the respondent-Board to perform its legal obligation in completing the process for final disposal of the shop in question in favour of the petitioner within, a period of three weeks from today.