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2009 Supreme(Kar) 240

IN THE HIGH COURT OF KARNATAKA AT BAN GALORE
(DIVISION BENCH)
P.D. DINAKARAN, C.J. AND Y.G. SABHAHIT, J.
P. THIMMANAIAK AND OTHERS - APPELLANT
Vs.
STATE OF KARNATAKA AND OTHERS - RESPONDENT
Writ Appeal Nos. 1196 and 2276 to 2279 of 2008 (LB-RES) and Writ Appeal Nos. 1195.2274 and 2275 of 2008 (LB-RES).
Judgment and order dated 18-6-2008 in W.P. Nos. 17199 and 22999 of 2005 and 545 of 2006, affirmed.
Decided on : 2 April, 2009

Advocates appeared:
Sri R. Subramanya for M/s Ashok Haranahalli Associates, Advocates for Appellants in W.As; B. Veerappa, Additional Government Advocate for Respondents-l to 4 in W.A. No. 1196 of 2008 and 2276 to 2279 of 2008 and for Respondents-1 to 3 in W.A. Nos. 1995, 2274 and 2275 of 2008;M/s. P. Nataraju Associates, Advocates for Respundent-4 in W.A. Nos. 1195, 2274 and 2275 of 2008;M/s. Chandru and S. Shekar Associates, Advocates for Respondents-5 to 8 in W.A. Nos. 1195,2274 and 2275 of 2008.

Headnote:KARNATAKA PANCHAYAT RAJ ACT, 1993 - Section 209 & Proviso (since deleted): [P.D. Dinanaran, CJ and V.G. Sabhahit,J] Powers of the Gram Panchayat to dispose immovable property - Proposal of Gram Panchayat to dispose of certain sites - Resolution - Highest bid by petitioners -Taluk Panchayat confirming the bid - Zilla Panchayat suspending the proposal of Gram Panchayat -Confirmed by Government -Writ petition -Petition dismissed by Single Judge - However, taking into consideration the subsequent amendment to Section 209 of the Act, Single Judge has reserved liberty to the Grama Panchayat to redo the entire process of securing necessary permission for the formation of the layout, and disposal of the sites strictly in accordance with law and the rules and if the petitioners stand to benefit, the Grama Panchayat shall accordingly adjust the amount deposited by the petitioners in the auction in the year 1998 and if they do not stand to the benefit, the Grama Panchayat is directed to refund the monies in deposit to such of those petitioners, with interest at 12p.a., on the said sum, without any delay - Writ appeal - Held, Section 209 of the Karnataka Panchayat Raj Act, 1993 deals with the procedure to be followed in the matter of acquiring, holding and disposing of the property both movable and immovable property of Grama Panchayat. The proviso to Section 209 was deleted by Amendment Act 37 of 2003 but on the date of the impugned initiation of action to dispose of the immovable property owned by the Grama Panchayat the proviso was very much in operation. As per the proviso to Section 209 what is required is the prior sanction of the Taluk Panchayat before initiating any action for the disposal of the property both movable and immovable and not a post approval. Very initiation of the proposal to dispose of the properties owned by the Grama Panchayat is without jurisdiction as rightly held by the Single Judge. In those circumstance where the very initiation of action to dispose of the property owned by the Grama Panchayat is without jurisdiction as the same is contrary to the proviso given to Section 209 of the Act, the Single Judge held that they are not entitled to claim any opportunity of being heard, of course, following the decision of the Apex Court in the in the case of Union of India & anr. vs W.N. Chadha, AIR 1993 SC 1082. Petitioners are not entitled to have an opportunity of being heard before cancelling the bid which is contrary to the proviso to Section 209 of the Act.

JUDGMENT

P.D. Dinakaran, C.J.:

Since both the appeals arise out of a common order dated 18th June, 2008 made in W.P. No. 17199 of2005 connected with W.P. Nos. 22999 of 2005 and 545 of 2006, by consent both the appeals are heard and disposed of together.

2. The unsuccessful writ petitioners are appellants herein. For the purpose of convenience the parties are arrayed as per the ranking in the writ petition.

3. In the writ petitions, the petitioners have challenged the cancellation of the allotment of sites to the petitioners who claim to be landless, by proceedings dated 5th September, 2005 under the following facts and circumstances of the case:

The 4th respondent-Grama Panchayat issued a public notice on 9th November, 1998 proposing to dispose of certain sites belonging to the Grama Panchayat, to which, the petitioners offered the highest bid. Based on the highest bid offered, the Taluk Panchayat by order dated 11th January, 1999 confirmed the bids, but the same came to suspended by the Zilla Panchayat by proceedings dated 16th March, 1999, as a result, the matter reached the Government and the Government by order dated 7th June, 2005 confirmed the order of suspension of Zilla Panchayat suspending the public notification issued proposing to sell the impugned property, the allotment and the consequential disposal of sites to the petitioners by impugned proceedings dated 5th September, 2005. Hence the writ petitions.

4. The petitioners contend that they having got confirmed the bid in their favour by resolution of the Taluk Panchayat dated 11th January. 1999, they are entitled for an opportunity of being heard before cancelling the same.

5. The respondents contend that the petitioners are not entitled for any notice or an opportunity of being heard as the very proposal to sell the property by the Grama Panchayat by issuance of public notice itself is illegal and contrary to the provisions of the Karnataka Panchayat Raj Act, 1993 (for short hereinafter referred to as the "Act"). The issuance of notice to sell the property and the proposal to allot and the consequential resolution proposing to dispose of the property of Grama Panchayat are all nothing but nullity in the eye of law as there is a gross violation of Section 209 of the Act.

6. The learned Single Judge after hearing both the parties dismissed the writ petitions. Hence, the present writ appeals.

7. Both the learned Counsel for the petitioners and the learned Additional Government Advocate reiterated the submissions that were made before the learned Single Judge. The learned Counsel for the petitioners also brought to our notice the proceedings of the Taluk Panchayat dated 11th January, 1999 where the Taluk Panchayat by resolution No.4 approved the proposal for disposing of the impugned properties as per resolution dated 9th November, 1998, which reads as follows.-

4. Details of The meeting considered the proceedings of applications the Trinive Gram Panchayat Meeting

received from dated 10-9-1998, and approved the

Grama Panchayat resolution to distribute sites and also proceedings of the Ripponpete Grama Panchayat dated 25-11-1998, wherein the resolution to allot sites in alienated Survey No. 41 was also considered and approved and Secretaries of both the Gram Panchayats are required to again examine and take further action (Action: Secretaries, Grama Panchayat, Trinive and Ripponpete)

8. We have given our careful consideration to the submission of the learned Counsel appearing for the parties.

9. It is an admitted fact that Grama Panchayat proposed to dispose of the property owned by the Grama Panchayat by issuing a public notice dated 9th November, 1998 and pursuant to the said notice, the petitioners offered their sale consideration and the same was accepted by resolution dated 11th January, 1999 by the Taluk Panchayat. But the Zilla Panchayat by order dated 16th March, 1999 suspended the proposal for disposal of immovable property in favour of the petitioners by the Gra











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