Land Conversion

JUDGMENT :

B.R. GAVAI, J.

1. Leave granted.

2. The present set of appeals challenge the common judgment and order passed by the Division Bench of the High Court of Bombay at Aurangabad, dated 4th July 2019, thereby partly allowing the petition filed by the respondents/landowners challenging the notification dated 18th August 2004, whereby respondents’/landowners’ land was converted to ‘residential/commercial zone’ from ‘no development/green zone’ subject to appellant’s receiving 10% as ‘amenity space’ and 10% as ‘open space’ of the total land area.

3. The appellant in both appeals is Shirdi Nagar Panchayat (hereinafter referred to as “the Municipal Council”). Respondent Nos. 1 and 2 in the appeal arising out of SLP (C) No. 19401 of 2019 are the original landowners (hereinafter referred to as “the landowners”) and respondents in the appeal arising out of SLP (C) No. 19730 of 2019 are the plot holders/subsequent purchasers (hereinafter referred to as “the plot holders”).

4. The facts, shorn of unnecessary details, giving rise to the present appeals are as under:

4.1 On 15th December 1992, a Development Plan for the Municipal Council was approved. Therein the disputed property admeasuring 4 Hectares and 12 R (Survey No. 103) was shown as a “Green Zone”/ “No Development Zone.” On 30th September 2000, a proposal regarding the conversion of land from a ‘No Development Zone’ to a ‘Residential Zone’ including the disputed property was published and objections were invited.

4.2 On 18th August 2004, the Government issued a notification converting some land from ‘No Development Zone’ to ‘Residential Zone’ subject to the Municipal Council receiving 10% compulsory ‘open space’ and 10% as ‘amenity space’ free of charge. Apart from this, the area for the road was also to be transferred.

4.3 Thereafter, the landowners sought permission from the Town Planning Authority for the development of the plot, and the same was granted. On 27th March 2006, the landowners executed an agreement with the Municipal Council, thereby assigning and giving possession of 4133.25 sq. mtrs. as ‘open space’, 4126.50 sq. mtrs. as ‘amenity space’ and 7560.09 sq. mtrs. as ‘internal road’ area to the Municipal Council out of the total land. Further, the landowners gave ‘No Objection’ if the same was recorded with the revenue department.

4.4 On 12th January 2007, final sanction was granted to the layout by the Municipal Council. After the final sanction was granted, another agreement was entered into between the parties dated 18th September 2007. On the same day, the Municipal Council sanctioned the layout submitted by the landowners subject to the terms and conditions mentioned therein.

4.5 After execution of the said agreement, the name of the Municipal Council was entered in the revenue records insofar as amenity space is concerned. Thereafter, the landowners divided/converted the sanctioned layout into 65 plots and sold the same to various plot holders.

4.6 In 2012, when the Municipal Council sought possession of the property, the landowners filed a civil suit seeking perpetual injunction along with an application seeking a temporary injunction against the Municipal Council. The application seeking temporary injunction was rejected by the trial court. The same was appealed before the District Court which was also dismissed vide order dated 14th January 2015. Aggrieved thereby, the landowners approached the High Court by filing a writ petition. Vide order dated 17th January 2018, the High Court granted permission to withdraw the writ petition.

4.7 During the pendency of the said civil suit, the landowners approached the Sub-Divisional Officer (for short ‘SDO’) challenging the mutation entry whereby the Municipal Council was inducted as owner of the ‘open space’ and ‘amenity space’ in the revenue record. Vide order dated 12th August 2015, the SDO rejected the appeal filed by the landowners. The said order was challenged before the Additional Collector, Ahmednagar, and thereafte