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1977 Supreme(Guj) 1

Gujarat High Court
Judgename :A.M.AHMADI, S.OBUL REDDY
BHOR INDUSTRIES LIMITED - Appellant
Versus
STATE - Respondent
S.C.A. 1871 of 1973
Decided On : 01/10/1977

Advocates Appeared: G.N.DESAI, G.N.SHAH, N.M.DOSHI

Headnote:

Bombay Provincial Municipal Corporations Act 1949 - Section 3 - Companies Act 1956 – Land included within limits of Baroda Municipal Corporation - Lands were lying within Gram Panchayat and hence Development Commissioner of Gujarat Government in Panchayat Department issued a notification Gujarat Act excluding aforesaid areas proposed to be included within limits of Baroda Municipal Corporation from Gram Panchayat - By notification issued by Government of Gujarat areas within the limits Baroda Municipal Corporation were invited to submit their objections to Collector of Baroda within two months from said notification - Held, Counsel petitioners namely that recovery of duty for the period cannot be upheld even view that court take in respect of imposition and recovery of duty for period commencing from resolution also shows that duty was levied at rates mentioned in Appendix A of framed Act for period that factory area petitioners was outside city limits and therefore there can be no doubt that while passing this resolution Corporation never considered question of imposing duty within said area - Reliance was however placed by advocate for respondent Corporation Act which proclaims that provisions of Appendix shall apply to constitution Corporation and other matters specified therein - In instant case it is an admitted fact that no duty was levied factory area of petitioners before its inclusion within Corporation limits by notification with effect -Therefore attempt on advocate for the respondent Corporation to save duty collected from petitioners for period from must fail - Court are therefore of opinion that collection of duty for aforesaid four months is clearly contrary to law - fails and the petition

A. M. AHMADI, S. OBUL REDDI, J.

( 1 ) THE petitioners Nos. 1 2 and 3 are Companies incorporated under the Companies Act 1956 The petitioner No. 4 is an Association of industrial concerns located in Jambuva and Maneja areas of District Baroda comprising 18 industries set out in Ann. A appended to the petition. Petitioners Nos. 1 2 and 3 have their industries in villages Makarpura Jambuva and Maneja of district Baroda.

( 2 ) BY a notification dt. August 18 1972 entitled proclamation (Ann. B) the Government of Gujarat proposed to alter the limits of the Baroda Municipal Corporation so as to include within limits of the said Corporation the areas shown in Schedule A to the notification under sub- sec. (3) of sec. 3 of the Bombay Provincial Municipal Corporations Act 1949 (hereinafter referred to as the Act ). In Sch. A the whole of the village Maneja revenue S. Nos. 450 to 574 and 705 (in all 126) of village Jambuva and revenue S. Nos. 41 to 48 50 to 112 114 115 118 166 167 169 151 and 153 (in all 79) of village Makarpura were shown as proposed to be included within the limits of Baroda Municipal Corporation. On the date of the issuance of this notification the aforesaid lands were lying within the Gram Panchayat and hence on 16th October 1973 the Development Commissioner of the Gujarat Government in the Panchayat Department issued a notification (Ann. C) under sub-sec. (2) of sec. 9 of the Gujarat Panchayats Act 1961 excluding the aforesaid areas proposed to be included within the limits of the Baroda Municipal Corporation from the Gram Panchayat. By the notification issued by the Government of Gujarat under sub-sec. (3) of sec. 3 of the Act the persons who bad any objection to the conclusion of the aforesaid areas within the limits of the Baroda Municipal Corporation were invited to submit their objections to the Collector of Baroda within two months from the date of the said notification. In response thereto the present petitioners amongst others submitted their objections against the inclusion of the aforesaid areas and after taking them into consideration the Government of Gujarat issued the final notification dt. 15th November 1973 (Ann. D) in the Panchayats and Health Department in exercise of the powers conferred by sub-sec. (3) of sec. 3 of the Act directing that the aforesaid areas should form part of the Baroda Municipal Corporation with effect from 1st December 1973

( 3 ) SUB-SEC. (3) of sec. 3 of the Act provides that the State Government may from time to time after consultation with the Corporation by notification in the official Gazette alter the limits specified for the city under sub-sec. (1) or sub-sec. (2) so as to include therein or to exclude therefrom such area as is specified in the notification. Sub-sec. (4) of sec. 3 next provides that the power to issue notification under this section shall be subject to the condition of previous publication. Accordingly in thee present case the notification Ann. B dt. 18th August 1972 was issued by the Government of Gujarat and objections were invited from all persons to the proposed inclusion. After these objections were received and considered as stated earlier the final notification-Ann. D came to be issued under sub-sec. (3) of sec. 3 of the Act.

( 4 ) THE petitioners filed a Special Civil Application No. 1667/73 in this High Court challenging the inclusion of the aforesaid areas within the city limits of Baroda Municipal Corporation and their exclusion from the Gram Panchayats on several grounds. During the pendency of the said proceedings the present writ petition was filed wherein also amongst other contentions the petitioners have contended that the inclusion of the aforesaid areas within the city limits of Baroda Municipal Corporation is illegal and bad in law. Subsequently the earlier Spl. C. A. No. 1667/73 came to be dismissed in limine and hence it is not necessary for us to go into this contention which has been raised incidentally by way of repetition in this















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