Kalu Ram Ahuja & Anr vs Delhi Development Authority & Anr

The Supreme Court held that the rejection of the highest bid for a plot by the Delhi Development Authority (D.D.A.) was arbitrary and lacked rational justification, violating principles of fair administrative action. The Court quashed the D.D.A.'s decision, allowing the appellants' writ petition and directing the D.D.A. to complete the formalities for handing over possession of the plot upon payment of the bid amount with interest. The Court emphasized the need for decisions by public authorities to be based on tangible reasons and in public interest.