SWATANTER KUMAR, C. J. :-

Section 126 of the Maharashtra Regional and Town Planning Act, 1966 (hereinafter referred to as "the Act") empowers a planning authority, development authority or, as the case may be, any appropriate authority to acquire land which is required or reserved for any public purpose specified in any plan or scheme framed under the Act and after the publication of a draft regional plan. This acquisition could be by different modes specified under the provisions of the said section. A land which is allotted or designated for any specified purpose in any plan under the Act if not acquired within ten years from the date on which the final regional plan or final development plan comes into force and if the acquisition proceedings of such land under the Land Acquisition Act are not commenced within the said period, it gives a right to the owner or any person interested in the land to serve a notice under section 127 of the Act on the planning authority, development authority or, as the case may be, any appropriate authority to that effect. If, within six months from the date of service of such notice, the land is not acquired or steps as aforesaid are not taken, the acquisition shall be deemed to have lapsed and land shall be deemed to be released from such reservation, allotment or designation, section 127 of the Act thus carves out an exception to the proceedings taken under section 126 of the Act and also provides legal right and consequences which shall flow favourable to the owner/person interested in the land in the event of default of the concerned authority to take steps as contemplated under the provisions of the Act. The short and simple question that requires determination in the facts of the present case is in regard to the judicial interpretation and application of the provisions of section 127 of the Act. In other words, whether the provisions of section 127 of the Act are mandatory or directory and whether substantial compliance of the provisions of section 127 of the Act would provide the owner or person interested in the land with the benefit and consequences as against strict compliance thereof.

2. The petitioner is a Private Limited Company incorporated under the provisions of the Indian Companies Act, 1956. The petitioner is the owner of a leasehold plot of land bearing C.S. No. 464 of Mazgaon Division, Dr. Mascaranhas Road, Mumbai, admeasuring about 1916.02 sq. mtrs., hereinafter referred to as "the said land". According to the petitioner, respondent No.4, Municipal Corporation of Greater Bombay, is a statutory body and a planning authority under the Act for Greater Bombay. Respondent No.5 is stated to be the designated officer of respondent No. 4 concerned with the planning and development of the city of Bombay. The said land has been under reservation for playground under the revised sanctioned development plan for the Bombay City from 1991. As no acquisition proceedings were commenced in relation to the said land within the stipulated period of 10 years from the date on which the said development plan came into force, the petitioner through its Advocate on 29th September, 2004 served a notice upon the Corporation under the provisions of section 127 of the Act. The period of six months as contemplated under section 127 of the Act expired on 29th March, 2005. The petitioner again through its Architects served a letter upon respondent No.5 stating that the period of six months had expired and the petitioner had not heard anything from the Corporation. In addition to writing the letter dated 31st March, 2005, vide notice dated 24th September, 2005, the petitioner's Advocates informed the Corporation that the reservation had lapsed and the petitioner was free to deal with the property in accordance with law pursuant to their purchase notice. Thereafter the petitioner also claims that it had submitted plans for the building to be constructed on the said land on 24th September, 2005 and r