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2026 Supreme(Del) 219

IN THE HIGH COURT OF DELHI AT NEW DELHI
PRATHIBA M. SINGH, MADHU JAIN, JJ.
 
Palika Bazar Shopkeepers Welfare Association And Ors – Petitioners
Versus
Govt. Of NCT Of Delhi - Respondent 
W.P.(C) 151 of 2026 & CM APPL. 762 of 2026, CM APPL. 7844 of 2026
Decided On : 09-02-2026
 

Advocates Appeared:
For the Petitioners: Mr. Sanjeev Ralli, Sr. Adv. with Mr. Mohit Mudgal Mr. Ravi Kant Yadav, Mr. Chetanya A. and Ms. Nivedita Sharma, Advs.
For the Respondents: Mr. Sriharsha Peechara, SC for NDMC Mr. Aditya Bharat Manubarwala, ASC, Mr. Tushar Sannu, ASC with Mr. Soumit Ganguly, Ms. Ishika Jain, Ms. Ravicha Sharma, Ms. Shruti Agarwal, Mr. Akash Sharma, Ms. Tanishka Grover, Ms. Charvi Virmani, Advs., Mr. Vikram Kumar Yadav, Joint Director Enforcement, Mr. Bibhuti Bhushan Mishra with Mr. Dhruv Chauhan, Ms. Niharika Punn. Mr. Himanshu Mishra, Mr. Shivam Mishra, Mr. Rahul, Mr. Siddharth Gupta and Mr. Anubhav Gupta, Advs.

The court reinforced the necessity for local authorities to enforce no-vending schemes effectively, emphasizing zero tolerance for illegal encroachments and the importance of public spaces.

Headnote:(A) Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014 - The scheme by NDMC establishing Connaught Place as a no-vending zone, approved by the Supreme Court - Court found the NDMC and Delhi Police ineffective in enforcing the anti-encroachment measures, leading to illegal hawking - The Court directed urgent compliance with Supreme Court orders and warned authorized officials for inaction. (Paras 4, 14, 28)

(B) Jurisdiction of Court - Court emphasized its role in ensuring compliance with legislative mandates and protecting public spaces from unlawful encroachment by vendors. (Para 14)

Facts of the case:
The petitioners, a shopkeepers' association, sought directions against illegal street vending in Connaught Place, re-iterating earlier schemes that designated the area as a no-hawking zone.

Findings of Court:
The court noted the utter failure of NDMC and Delhi Police in managing encroachments and enforced a zero-tolerance policy towards illegal vendors.

Issues: The validity of NDMC's scheme and the effectiveness of enforcement mechanisms against illegal vendors.

Ratio Decidendi: The NDMC must take proactive measures to prevent illegal encroachments, not merely rely on the police or paperwork while failing to fulfill its legal duties.

Result: Directions issued to ensure strict compliance and set deadlines for stakeholder meetings to address vendor issues.

Table of Content
1. approval of non-vending zones by the supreme court. (Para 2 , 3 , 4)
2. petitioner's claim regarding non-compliance. (Para 5 , 6)
3. court's disapproval of respondent's excuses. (Para 8 , 9 , 14)
4. role and responsibility of authorities. (Para 10 , 12 , 13)
5. preliminary status of town vending plan. (Para 20 , 21 , 22)
6. opportunity for stakeholder input. (Para 23 , 24 , 26)
7. disposition of petition with open rights. (Para 29 , 30)

JUDGMENT :

Prathiba M. Singh, J.

1. This hearing has been done through hybrid mode.

2. The prime locality of Connaught Place including Palika Bazaar is the subject matter of this petition. As always, the two stakeholders who have competing interests are the shopkeepers on the one hand and street vendors on the other.

3. A scheme had been prepared by the New Delhi Municipal Council (hereinafter, ‘NDMC’) way back in 2007 namely, ‘Scheme for Street Vendors in N.D.M.C Area’, declaring the areas namely, Connaught Place, Connaught Circus (i.e., Rajiv Chowk and Indira Chowk) as No-hawking and No vending areas. The relevant portion of the said scheme reads as under:

“Non-vending areas:-

4.2 In view of the fact that NDMC is a security sensitive area, no squatting shall be allowed on the roads and the areas specified hereunder:-

- The areas covered by Lutyens’ Bungalow Zone (LBZ) as specified in the Zonal Development Plan (Zone-D)

- Areas in Rajiv Chowk and Indira Chowk.

- Areas around Supreme Court, Chankyapuri Foreign Mission Area.

- Areas near the Delhi Metro Rail Corporation Stations.

- However, in these areas, wherever the built up units like kiosks, stalls etc. have been constructed by NDMC, the same shall be allowed to continue. If Vending Committee feels that this area be extended, it can do so after issuing a public notice”

4. The said scheme was approved by the Supreme Court in its decision in Sudhir Madan & Ors. v. MCD & Ors, 2007 SCC OnLine SC 758 wherein vide judgment dated 17th May, 2007, it was observed as under:

“28. The New Delhi Municipal Committee has also submitted its Scheme. We have considered the Scheme submitted before us. The area which falls under NDMC does not create problems such as those in the areas under MCD. However, in the said Scheme reference has been made to persons who do not have permission under Section 225 or licence under Section 330 of the NDMC Act, 1994 but who are unauthorisedly continuing to carry on business as hawkers/street vendors. They have been described as those who are “tolerated” in the NDMC area. We fail to understand why any person who violates the law should be tolerated. Either they should be compelled to obey the law or the law may be suitably amended, if it is found to create undue hardship. The problems need to be addressed by the legislature or the rule-making authority. We, therefore, observe that if it is felt that the persons who fall in this category require special protection, the Act may be suitably amended to cover their cases or else the number of such illegal squatters may increase from time to time.

29. There has been no serious objection to the Scheme submitted by NDMC which is a comprehensive scheme. Certain directions have, however, been sought for from this Court. We approve the Scheme submitted by NDMC.”

5. Thus, the declaration of these areas as no vending zones was approved by the Supreme Court. The said judgment has also been reiterated by various orders passed by the Co-ordinate Benches of this Court including in W.P.(C) 11669/2021, titled New Delhi Traders Association v. New Delhi Municipal Corporation & Ors. whereby in order dated 11th October, 2021, it was directed as under:

4. The petitioner – which is the association of traders of shop owners/operators in the Connaught Place (CP) area, i.e., Rajiv Chowk and Indira Chowk, have preferred the present writ petition to seek directions to the respondents to ensure that illegal hawking and squatting/ vending activities in No Hawking and No Vending areas of Connaught Place and Con

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