1. Property disposal — Issuance of no-objection certificate under legislation. (Para 1 , 2 )
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1991 Supreme(SC) 241
SUPREME COURT OF INDIA
[CITED ORDER]
RANGANATH MISRA, CJI., M.H. KANIAAND KULDIP SINGH, JJ
(Record of Proceedings)
APPROPRIATE AUTHORITY, ANOTHER Petitioners;
Versus
TANVI TRADING, CREDITS (P) LTD., OTHERS Respondents.
SLP (C) No. 6304 of 1991
Decided on April 23, 1991
Under the relevant legislative scheme, the concerned authority has the option to either purchase the property or issue a no-objection certificate allowing the parties to deal with the property if the authority decides not to acquire it.
Headnote:(A) Legislation governing property acquisition - Scheme of legislation - Options available to the authority - The concerned authority has two alternatives under the legislative scheme: (i) the government could buy the property, or (ii) in the event of a decision not to buy, it must issue a "no-objection certificate" leaving it open to the parties to deal with the property. (Para 2)
Facts of the case:
A no-objection certificate was issued by the concerned authority. It was contended that the issuance of the said certificate was made under pressure and threat of contempt proceedings.
Findings of Court:
The court found that the legislative scheme provides two distinct alternatives to the authority: either to purchase the property or, if it decides not to do so, to issue a no-objection certificate to the parties.
Issues: Whether the issuance of a no-objection certificate was a valid exercise of power under the applicable legislative scheme.
Ratio Decidendi: Since the legislation allows the authority to either buy the property or issue a no-objection certificate if it chooses not to buy, the issuance of such a certificate is legally permissible. (Para 2)
Result: Special leave petition is dismissed.
Legal Category Hierarchy
Table of Contents
2. Validity of no-objection certificate — Contention regarding issuance under pressure or threat of contempt. (Para 1 )
3. The legislative scheme permits the authority to either purchase the property or issue a no-objection certificate for its disposal. (Para 2 )
4. The authority must either purchase the property or issue a no-objection certificate to allow parties to deal with the property. (Para 2 )
5. Special leave petition dismissed. (Para 2 )
6. What are the legal options for the appropriate authority regarding property under the relevant legislative scheme?
The authority may either purchase the property or, if it decides not to buy, issue a no-objection certificate which leaves it open to the parties to deal with the property. (Para 2 )
ORDER
1. Counsel for the petitioners fairly tells us that a no-objection certificate was issued as early as on 15-1-1991. The suggestion that it was under f pressure and threat of a contempt proceeding is made out from the record.
2. We agree that two alternatives are open under the scheme of the legislation: (i) the Union of India through the appropriate authority could buy the property, or (ii) in the event of its decision not to buy, it has to issue a "no-objection certificate" leaving it open to the parties to deal with the property. In that view of the matter, the High Court was right in its g conclusion. The special leave petition is dismissed. No costs.
Court Masters
