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clr/1966/1966_3_467.pdf

[TRIANTAFYLLIDES, J.] IN THE MATTER OF ARTICLE r 4 6 OF THE CONSTITUTION CYPRUS INDUSTRIAL AND MINING CO. LTD!, (No.l), Applicants, and THE REPUBLIC OF CYPRUS THROUGH 1. THE MINISTER OF INTERIOR, 2. T

Article 146

"; the Court proceeded to add:- "The mere fact that as a result of the decision in question of the Director an area which Applicant alleges to be part of his yard would constitute part of a road does not affect the true character of the said decision because the primary object thereof still appears to be the regulation of Applicant's civil law proprietary rights i.e. the exact boundaries of his property and not the promotion of a public purpose i.e. the widening of a road It should be observed that there may be other cases under section 61 of Cap. 224 where the primary object of the action taken is the promotion of a public purpose and in all such cases this Court would have competence under Article 146". As stated already, both parties rely on the Valana case; the Applicants contend thatthe fixing of the reserve price, in the present Case, is an act intended primarily to serve a public purpose, and the Respondent contends the contrary. Before proceeding to resolve the sub judice issue it is, I think, necessary to refer to still another decided case, to which neither of the parties has referred the Court, but which, nevertheless, concerns, as this Case does, a recourse made against action taken in relation to a sale by public auction of mortgaged property; it is the case of CJiaralambides and The Republic (4 R.S.C.C. p.24). In that case an application had been made to the Supreme Constitutional Court to grant a provisional order restraining the public sale of mortgaged property, pending the determination of the recourse, by which the decision of the District Lands Officer refusing to postpone the date of such sate was being challenged. The Court refused the provisional order applied for, on the ground that in the light of the case of Valana (supra) it had no competence to entertain the 471 1966 April 18, May 14 CYPRUS INDUSTRIAL AND MINING CO. LTD., (No.t) and THE REPUBLIC or CYPRUS THROUGH 1. THE MINISTER OF INTERIOR 2. THE PRINCIPAL LANDREGISTRY 1966 April 18. May 14 CYPRUS INDUSTRIAL AND M I N I N G CO. LTD.. (No.I) and T H E REPUBLIC or CYPRUS THROUGH 1. T H E MINISTER OF INTERIOR 2. T H E PRINCIPAL LAND RFGISTRY recourse, stating:- "the refusal of the Director involves the exercise of a power which does not have as its primary object 'the promotion of any public purpose' but it only concerns civil law rights inasmuch as it isdesigned toensure that the sale of mortgaged property takes place in a proper manner for the purpose of safeguarding the interests of the parties concerned. The said refusal, therefore, does not amount to an "act" or "decision"

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". It is, thus, necessary in the present Case, to decide whether the fixing of a reserve price, under sections 4 and 6 of Cap. 223, is action intended to serve primarily a public purpose, or action intended primarily to regulate civil law rights and to ensure the carrying out of the salebyauction of the mortgaged property of Applicants in a proper manner; only in the former case it would be an "act" or "decision"

Article 146and against which this recourse would lie.

It is, first of all, necessary to bear in mind that once an act or decision emanatesfrom an organ ofadministration then. as a rule, it is an "act" or "decision" within the ambit of a revisional jurisdiction such as the one laid down under Article 146 (vide Conclusions from the Jurisprudence ofthe Greek Council of State 1929-1959 p.228). As the fixing of the reserve price in the present Case has, no doubt, been made by an organ of administration, it follows that it should be looked upon, to begin with, as an "act" or "decision" within Article 146, unless it is established that it only amounts to action in the domain of private law. thus being outside the sphere of administration and consequently outside also the ambit of Article 146. Looking at the provisions of Cap. 223 as a whole—and particularly at its long title which reads "A law to restrict forced sales of immovable property in certain cases", and at the provisions of section 11 thereof, which renders the Law applicable to rural areas— it does appear that thefixing of a reserve price in casesof apublic salebyauction of mortgaged property is intended to ensure that rural properties shall not be allowed to be so sold at prices below their proper values. It is thus a measure intended to protect the rural community of Cyprus, by way of public policy; it is noteworthy in this respect that under Cap. 223 (see sections 4 472 and 7thereof) a reserve price may be fixed even where a sale of immovable property has been ordered by a Court and such Court has not proceeded to fix itself a reserve price(as under section 40of the Civil Procedure Law, Cap. 6). 1am, thus, of the opinion that the fixing of a reserve price under Cap. 223 is action which is primarily intended to serve a public purpose and, therefore, an "act" or "decision" in the realm of public law, and within the ambit of Article 146 of the Constitution. An analogous case which may be usefully referred to is the case of Eraclidou and The Hellenic Mining Co., Ltd. (3 R.S.C.C. p.153) where it was held that the decision of the Compensation Officer to allow or disallow a claim under the Pneumoconiosis (Compensation) Law (Law 11/60) is the decision of a person exercising administrative authority

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, because he is a "public officer whose functions have as their primary object the promotion of a public purpose" and not merely the regulation of private rights. It was so held in view of the fact that the scheme for compensation of the victims of pneumoconiosis is "an expression of governmental action and policy in a matter of vital public importance". I likewise regard the existence of provisions, such as the relevant provisions of Cap. 223, as an expression of governmental action and policy in a matter of vital public importance viz. the protection of rural debtors against possible exploitation by their creditors. For the above reasons I have reached the conclusion that the preliminary objection fails and that this recourse should proceed to hearing on its merits. The costs of the hearing. to-date, of this Case are made costs in cause, in any event not against Applicants. Order, and order as to costs, as aforesaid. 473 1966 April 18, May 14 CYPRUS INDUSTRIAL AND MINING C O . LTD.. (No.l) and THE REPUBLIC OF CYPRUS THROUGH 1. THE MINISTER OF INTERIOR 2. THE PRINCIPAL LAND REGISTRY

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AI explanation based on the official legal text. Indicative, not a substitute for legal advice.