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2017 Supreme(All) 1189

ALLAHABAD HIGH COURT
ARUN TANDON AND RITU RAJ AWASTHI, JJ.
NATTHI MAL AND OTHERS - Petitioners
Versus
STATE OF U.P. AND OTHERS - Respondents
(Public Interest Litigation (PIL) No. 20754 of 2010, decided on 17th July, 2017)

Advocates:
Counsel :
Saroj Yadav for the Petitioners; C.S.C., Anuj Kumar, Prashant Shukla and Prem Chand for the Respondents.

Headnote:U.P. Municipalities Act, 1916—Sections 124, 127 and 296—Transfer of Property vested in the Board Rules, 1973—Rule 3—Lease—Municipal Board—Acquisition of land by Nagar Palika Parishad under Land Acquisition Act, 1894—Leased out to respondent No. 4 for setting up of an Educational Institution—Such lease granted without any advertisement and without any public auction—Cancellation of lease held, not illegal—Acquisition proceedings under Land Acquisition Act were bad—If respondent No. 4 proposed to retain leased land must make payment of compensation in terms of Right to Fair Compensation and Transparency in Land Acquisition and Rehabilitation and Re-settlement Act, 2013. [Paras 40 to 46]

       Result; Petition Allowed.

       

JUDGMENT

By the Court.—Heard Sri Saroj Yadav and Sri Rahul Mishra, Advocates on behalf of the writ petitioners, Sri Shashi Nandan, Senior Advocate assisted by Sri Prashant Shukla Advocate on behalf of respondent No. 4 and Standing Counsel on behalf of respondent No. 1. Nobody is present on behalf of respondent No. 2 nor anybody is present on behalf of respondent No. 3 despite counter-affidavit having been filed on their behalf.

2. This public interest litigation has been filed by 5 persons, resident of different areas in the district of Bulandshahr and some of whom are stated to be residing within the territorial limit of Nagar Palika Parishad Anoopshahr, District-Bulandshahr.

3. Petitioners claim to be public spirited persons. By means of the present writ petition they seek quashing of the lease deed dated 26th June, 2009 executed by the Municipal Board, Anoopshahr, Bulandshahr in favour of respondent No. 4, namely, Jai Prakash Sewa Sansthan, having its registered Head Office at J.A. House 63, Basant Lok, Basant Vihar, New Delhi and the corrigendum issued in that regard dated 22.2.2010. A further prayer has been made for quashing of the Government Order dated 29th May, 2009 after summoning the same.

4. The petitioner before this Court contends that 40 acres of land under the control and management of the Nagar Palika Parishad Anoopshahr within the territories of National Capital Region, close to Delhi, has been leased out in favour of respondent No. 4 i.e. M/s. Jai Prakash Sewa Sansthan an associate of J.P. Industries under the impugned lease deed only because of political connections with the party in power in the State at the relevant time. It has been stated that this 40 acres of land has been given on lease for 90 years on a paltry sum of Rs. 40,000/- per annum. The purpose disclosed in the lease deed, for the use of the land, is for setting up of an educational institution. The Nagar Palika Parishad is stated to have obtained an approval from the State Government through Principal Secretary (Nagar Vikas Vibhag) dated 28/29th May, 2009 for transfer of such 40 acres land.

5. Petitioners contend that despite best efforts the permission granted by the State Government has not been made available to them. An application under Right to Information Act (Paragraph 6 of the writ petition) was also filed. Relevant portion of the resolution made by the Nagar Palika Parishad for the lease being executed in favour of respondent No. 4 has been enclosed as Annexure-6 to the present writ petition. In paragraph 4 it has been mentioned that respondent No. 4 is a public trust having its head office at J.A. House 63, Basant Lok, Basant Vihar, New Delhi.

6. According to the petitioners such lease has been granted without any advertisement and without any public auction being held for the purpose of settling the premium/rent for the grant of lease rights. It is explained to the Court that no public participation was invited in the matter of grant of such huge chunk of land to a private trust. The entire transaction is a sham hit by Article 14 of the Constitution of India.

7. It is further stated in paragraph 20 that the circle rate applicable in respect of the agricultural holding in the area was Rs. 37 lacs per acre, while the market value would work out to Rs. 1 crore per acre, yet for a very nominal sum of money the Nagar Palika Parishad has transferred the land under its management and control to respondent No. 4 causing loss not only to the municipal board but ultimately to the public at large.

8. The Writ Court while entertaining the present writ petition issued notices to the respondents vide order dated 20.4.2010. In response thereto counter-affidavit has been filed by the Nagar Palika Parishad, Anoopshahr and respondent No. 4. The State has chosen to keep silent and has not responded to the writ proceedings. The Gaon Sabha has t






































































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