Vipin Sanghi, J.

1. The North Delhi Municipal Corporation (NDMC) has preferred the present Letters Patent Appeal to assail the order dated 26.05.2017 passed by the learned Single Judge in WP(C) No. 4764/2017. By the impugned order, the writ petition preferred by the respondent – DCM Ltd. (DCM) has been allowed. The background in which the present appeal has been preferred by the NDMC may now be narrated.

2. The respondent-DCM was running a textile mill on its land situated at Bara Hindu Rao, Kishan Ganj area, which is a parcel of approximately 63 acres. The said textile mill was constructed in the year 1889 in an area of approximately 24.55 acres. The said property also had a residential colony covering areas of 26.90 and 11.78 acres respectively.

3. After the Delhi Development Authority (DDA) was set up under the Delhi Development Act, 1957 - with the objective of carrying out planned development of Delhi, the first Master Plan as prepared by the DDA was enforced in 1962. Under the said Master Plan of 1962, the respondents’ use of its said property as a Mill became non-conforming land use. Consequently, the respondent-DCM submitted a detailed proposal for shifting of the Mill and re-development of the Mill area for group housing and Flatted Factory Complex in the year 1982, which was in conformity with the Master Plan of 1962. The DDA granted its approval to the proposal of DCM for re-development of the land into group housing complex and flatted factories vide resolution No. 26 dated 01.02.1983.

4. The respondent DCM submitted its layout plan for setting up of Flatted Factory Complex i.e. DCM Techno Plaza (in an area of approx 24.55 acres) at Bara Hindu Rao, Delhi, and a group of residential housing complex known as DCM Green Acres (in an area of approx. 26.90 and 11.78 acres) at Kishan Ganj, Delhi. However, the efforts of respondent-DCM to close the textile factory met with resistance from different quarters. Eventually, DCM was able to finally shut down the Mill. However, the DDA withdrew its ‘No Objection’ for re-development of the said land by DCM vide resolution dated 01.08.1986.

5. DCM assailed the said withdrawal of ‘No Objection’ by preferring Writ Petition (C) No. 2687/1986 before this Court. Vide judgment dated 22.05.1987, the said resolution dated 01.08.1986 of the DDA was quashed by this Court. The right of DCM to re-develop the land at Bara Hindu Rao and Kishan Ganj, in terms of the ‘No Objection’ granted in the year 1983 was upheld. The decision of this Court in WP(C) No. 2687/1987 was assailed by the DDA, as well as by the Union of India, before the Supreme Court by preferring SLPs. In those proceedings, the Municipal Corporation of Delhi (MCD) was impleaded as a party respondent by the Supreme Court.

6. During pendency of the said SLPs, on 24.11.1989 the MCD vide resolutions Nos. 1136 and 1137 approved the lay out plan proposed by the respondent DCM qua the Bara Hindu Rao and Kishan Ganj areas. As per the lay out plans, Bara Hindu Rao area was to be developed into a Flatted Factory Complex, and Kishan Ganj area was to be developed into a Group Housing Complex.

7. Before the Supreme Court, the DDA raised several objections to grant its approval to the development of its land by the respondent DCM. The Supreme Court, while dismissing the SLP/Civil Appeals vide judgment dated 13.03.1990 [reported as (1990) 2 SCC 371], took note of the said objections and, inter alia, observed as follows:

“The DDA thus requires the aforesaid objections to be first met before it could give its final approval. It is worthy of record that under interim directions of this Court, afore referred to, its approval shall proceed after the disposal of these appeals. And we feel that time for that purpose has arrived. Having heard learned counsel for the parties and having taken note of the objections above referred to, we take the view that the appeals be dismissed conveying a direction that the DDA shall grant to the DCM conditional app