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SUJOY PAUL, VIVEK JAIN
Akhilesh Kumar S/o Mathura Prasad – Appellant
Versus
State of Madhya Pradesh – Respondent
ORDER :
1. The present petition has been filed by the petitioners, who are allottees of shops, which were allotted to them by Gram Panchayat, Bahoriband, District Katni. The present petition seeks to challenge the order dated 07.09.2022 (Annexure P-1) and order dated 26.05.2023 (Annexure P-2). By the order Annexure P-1, the competent authority under M.P. Lok Parisar Bedakhali Adhiniyam, 1974 (for short referred to as ‘Adhiniyam 1974’) has ordered eviction the petitioners from the shops by exercising powers under Section 5 of the said Adhiniyam, while by the order Annexure P-2, the appellate authority under the said Adhiniyam has rejected the appeal of the petitioners.
2. Learned counsel for the petitioners while assailing the orders Annexure P-1 and P-2 has stated that certain shops were constructed by Gram Panchayat, Bahoriband (respondent No. 6) and after such construction, the shops were allotted to the present petitioners by the Gram Panchayat and the allotment was on lease with monthly rent. The lease was of 35 months and contained a renewal clause after expiry of 35 months period with 10% increase of monthly rent. Learned counsel for the petitioners has submitted that the evict
The court affirmed that public auction is mandatory for property transfers by Panchayats, regardless of lease duration, and unauthorized allotments cannot create rights for allottees.
The court established that a Gram Panchayat cannot lease property constructed by another authority without following due process, including mandatory public auction.
If the impugned auction is not interfered with, it would amount to upholding partial auction and permitting perpetuation of illegality, which would be contrary to the Act and the Rules.
The court emphasized that the allotment of shops without auction was violative of statutory provisions, and the possession became illegal after the return of the security amount.
when there is a clear statutory provision in respect of the manner in which the subletting is to be dealt with, the Secretary of the Grama Panchayat is liable to follow the same.
Point of Law : Special Officer is empowered to conduct auction to the leasehold rights of the shops of the Gram Panchayat in the interest of it’s revenue in exercise of powers vested under Section 14....
The discretionary allotments made by the CMDA Chairman were invalid; any property transactions based on such allotments are unenforceable, subject to the outcomes of ongoing litigation.
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