2014 Supreme(AP) 946
HIGH COURT OF ANDHRA PRADESH
AMESH RANGANATHAN, J.
Venkatrayapuram Industrial Area Township rep., by its Member & Temporary
Chairman, K. Rama Seshayya & Others
Versus
Government of A.P. rep., by its Principal Secretary, Panchayat Raj & Rural Development Department & Others
Writ Petition No. 9784 of 2013
Decided on : 09-09-2014
For the Petitioners: C.V. Mohan Reddy, Learned Senior Counsel
appearing on behalf of M.R.K. Chakravarthy, Learned Counsel. For the Respondents:Learned Special Government Pleader for Learned Advocate General, B.D. Maheswara Reddy, K. Chidambaram, Dasari SVVSV Prasad, Advocates.
Headnote:
Gram Panchayat Act - Section 5 - Constitution of India,1950 - Article 14 – Municipal Administration - Cancelling - Petition is filed to declare Panchayat Raj and Rural Development - Municipal Administration and Urban Development Department and all subsequent proceedings of respondents cancelling Industrial Area Township and merging it with Municipality including resolution as illegal mollified contrary to law without jurisdiction and in violation of Article of Constitution of India - Several other industries were thereafter established in said village either by it or by its group companies - A vast extent of acres became an industrial area with employees colonies - On demand for constitution of an industrial township in terms - District Collector issued a show cause notice - This Court by order directed that elections to Gram Panchayat be held after deletion of said industrial area - After consultation with State Election Commission State Government issued Panchayat Raj and Rural Development Department for constitution of Industrial Area Township said G.O. records that township was being separated from Gram Panchayat – On death of their nominees in township committee some of industrial undertakings sent names of their new nominees - Held, Special Government Pleader would submit that all issues were considered and a decision was taken based on majority opinion of township proposal for merger which culminated in passing of impugned order was made only after five of six members of township present at meeting had passed a majority resolution agreeing for merger of township with Municipality prescribed quorum for commencing and holding a meeting is one-third of total strength Rule this requirement has been complied with as of members present had resolved to merge township with municipality meeting of township committee was scheduled to be held on a Sunday only to facilitate presence of respondent who were then a Member of Legislative Assembly and a Member of Parliament in view of on-going Assembly and Parliament sessions; no objection was raised - Petitioner who was acting as Chairman of township committee on this aspect at any point of time this plea is only an afterthought has been raised only to scuttle process of merger as was unsuccessful in opposing resolution passed by Township Committee and statutory Rules have not been violated by respondents - Petition allowed
W.P. No.9784 of 2013 is filed to declare G.O.Ms. No.101, Panchayat Raj and Rural Development dated 18.03.2013, G.O.Ms. No.194, Panchayat Raj and Rural Development dated 26.03.2013, G.O.Ms. No.123, Municipal Administration and Urban Development Department dated 26.03.2013 and all subsequent proceedings of the respondents, cancelling the Venkatrayapuram Industrial Area Township and merging it with Tanuku Municipality including resolution No.96 dated 23.03.2013, as illegal, malafide, contrary to law, without jurisdiction, and in violation of Article 14 of the Constitution of India.
Facts, in brief, are that Andhra Sugars Limited established a Sugar Factory in Mandapaka village in the year 1947. Several other industries were, thereafter, established in the said village either by it or by its group companies. A vast extent of 400 acres became an industrial area with employees’ colonies. On demand for the constitution of an industrial township, in terms of Section 5 of the A.P. Gram Panchayat Act, (hereinafter called the “1994 Act”), the District Collector issued a show cause notice to the Mandapaka Gram Panchayat. This Court, by order in W.P. No.5888 of 1988 dated 26.03.1992, directed that elections to Mandapaka Gram Panchayat be held after deletion of the said industrial area. After consultation with the State Election Commission, the State Government issued G.O.Ms. No.712 Panchayat Raj and Rural Development Department dated 13.11.1995 deleting an extent of Ac.395.79 cts from Mandapaka Gram Panchayat, for constitution of the Venkatrayapuram Industrial Area Township (hereinafter called the “township”). Thereafter the township was declared and constituted, under Section 5 of the 1994 Act, vide G.O.Ms. No.159, PR & RD dated 02.04.1998 which was published in the A.P. Gazette dated 06.04.1998. The said G.O. records that the township was being separated from Mandapaka Gram Panchayat, (then in Tanuku Mandal of West Godavari District), for better administration and development of the industrial area consisting of Andhra Sugars Limited and other associated industrial concerns. G.O.Ms. No.195 dated 12.06.2001 was issued enhancing the area of the township to Ac.401.59 cts. In compliance with Section 5(3) of the 1994 Act the Government, vide G.O.Ms. No.300, Panchayat Raj & Rural Development dated 10.07.1998 (published in the A.P. Gazette on 17.07.1998), constituted the township committee which, thereafter, continued to function as a local authority under the 1994 Act.
The Tanuku Municipal Council passed a resolution dated 15.09.2009 for merger of the township with Tanuku Municipality. The township committee held a Gram Sabha on 02.10.2009 wherein a unanimous resolution was passed opposing the merger. The township committee also passed a resolution on 05.10.2009 opposing the merger. Both these resolutions were sent to the competent authority. G.O.Ms. No.119, Panchayat Raj and Rural Development dated 27.03.2010 was issued by the State Government reconstituting the Township committee. On its validity being challenged, by petitioners 2 to 4 herein, the said G.O. was suspended by the order of this Court in W.P.M.P.No.9848 of 2010 in W.P.No.7674 of 2010 dated 08.04.2010. On the death of their nominees, in the “township committee”, some of the industrial undertakings sent the names of their new nominees. As no orders were passed thereon, W.P. No.31464 of 2011 was filed by the industrial undertakings which was disposed of by order dated 23.01.2012.
The 3rd respondent issued proceedings dated 04.08.2012 appointing Sri B.S.S. Krishnamohan as the Secretary of the Industrial Area Township under the supervision of the 5th respondent. The said appointment was subjected to challenge before this Court, and an interim order was passed in W.P. No.33612 of 2012 dated 28.08.2012. By his letter dated 25.08.2012, the 5th respondent requested the 3rd respondent to de-notify the township under Section 5(2) of the 1994 Act. The 3rd respondent, by memo dated 2