JUDGMENT

THOMMEN, J.:— Special leave is granted in Special Leave Petition (Civil) No. 5275 of 1988 and we now proceed to dispose of the appeal.

2. This appeal arises from the judgment and order dated 25th March, 1988 of the Karnataka High Court in Writ Petition No. 15996 of 1981 filed by the lst respondent who claims to espouse a public cause in what is styled as a public interest litigation.

3. The appellant, Rajatha Enterprises represented by K. V. Shivakumar is a contractor in whose favour, pursuant to tender notification dated 17-8-1979, a lease was granted by the Karnataka Government in terms of lease deed dated 22-12-1979 whereby the appellant undertook to construct at 8/12/1, Old Taluk Kutchery Road, Chickpet, Bangalore City a shopping complex-cum-school on the basis of a licence granted by the Corporation of the City of Bangalore (the Corporation). The appellant commenced the construction of the building. The legality of the licence was questioned by the lst respondent, S. K. Sharma in the Karnataka High Court in Writ Petition No. 15996 of 1981 alleging that the licence was granted in violation of the provisions of the Karnataka Municipal Corporations Act, 1976 (the Corporati