Case Note & Summary
The appeal arose from a dispute involving the Bihar State Housing Board and the respondent concerning the allotment and transfer of a flat. The respondent's husband had applied for a flat under a scheme in 1972, and after his death in 1991, the flat was transferred to the respondent in 1998. In 2006, the Board raised a demand for outstanding dues, prompting the respondent to file a writ petition challenging the demand. The learned single Judge quashed the demand and directed a Vigilance inquiry into the Board's conduct. The Board appealed against this order, arguing that the inquiry was unwarranted. The Supreme Court noted that the learned single Judge's directions for a Vigilance inquiry were based on general findings from other cases and lacked specific complaints. The Court confirmed the relief granted to the respondent but set aside the directions for the Vigilance inquiry, stating that such inquiries should only be ordered based on specific allegations and adequate materials. The appeal was allowed to this extent, with no order as to costs.
Headnote
A) Administrative Law - Writ Jurisdiction - Justification for Vigilance Inquiry - Constitution of India, Article 226 - The learned single Judge issued directions for a Vigilance inquiry into the Board's affairs based on general observations without specific complaints. The Supreme Court held that such directions were not justified as they lacked adequate materials and were based on assumptions rather than specific allegations (Paras 10-11).
Issue of Consideration
Whether the learned single Judge was justified in directing a Vigilance inquiry against the Board and its officials.
Final Decision
The Supreme Court allowed the appeal to the extent that the directions for a Vigilance inquiry were set aside, while confirming the relief granted to the respondent regarding the quashing of the demand notice.
Law Points
- Writ jurisdiction
- Demand notice
- Transfer of property
- Vigilance inquiry
- Mismanagement of affairs



