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2013 Supreme(MP) 494

(SUPREME COURT)
K.S. Radhakrishnan and A.K. Sikri, JJ.
Nagar Panchayat, Kurwai and another v. Mahesh Kumar Singhal and others
Civil Appeal No.7821 and 7822 of 2013 : against the order of
M.P. High Court, passed in Writ Appeal No.458 of 2007;
Decided on 6.9.2013.

Headnote:Municipalities Act, 1961 (M.P.) -- S.357(3) r/w Ss.349(2), 357(5), 358(4)(b), 358(4)(d) and 358(7)(m) -- M.P. Motor Vehicles Rules, 1994 -- Rr.203 and 204 -- Constitution (74th Amendment) Act, 1992 -- Arts.243P(e), 243Q, 243W(a)(1)(4) and Entry 17 of 12th Schedule -- municipalities can use its assets for profit to carry out various welfare activities -- can demand parking fee from vehicles for maintenance of bus stand.

       Held : Nagar Panchayat is, therefore, a unit of self-Government, which is a sovereign body having both constitutional and statutory status. Article 243Q and 243W(a)(i) and (ii) read with Entry 17, confer considerable powers on the Nagar Panchayat to carry out various schemes for economic development and social justice. Municipalities need funds for carrying out the various welfare activities and for the said purpose, it can always utilize its assets in a profitable manner to its advantage so that various welfare activities entrusted to it under law could be properly addressed and implemented. (1996)10 SCC 377 relied on. 1974 JLJ 119 (SC) and (1997)11 SCC 640 distinguished.

       uxjikfydk vf/kfu;e] 1961 ¼e-iz-½ & /kkjk 357¼3½ lgifBr /kkjk 349¼2½] 357¼5½] 358¼4½¼[k½] 358¼4½¼?k½] 358¼7½¼M½ & ¼e-iz-½ eksVj ;ku fu;e] 1994 & fu- 203 rFkk 204 & lafo/kku ¼74ok¡ la’kks/ku½ vf/kfu;e] 1992 vuqPNsn 243r¼M½] 243Fk] 243c¼d½¼1½¼4½ rFkk ckjgoha vuqlwph dh izfof”V 17 & uxjikfydk,a vusd dY;k.kdkjh fdz;kdyki djus gsrq viuh vkfLr;ksa dk Qk;ns ds fy, iz;ksx dj ldrh gS & cl vM~Ms ds j[k&j[kko ds fy, ;kuksa ls mUgsa [kM+k djus ds ‘kqYd dh ek¡x dj ldrh gSA

       vfHkfu/kkZfjr % blfy, uxj iapk;r Lok;r ‘kklu dh bdkbZ gS tks laizHkq fudk; gS ftlds ikl lkafo/kkfud rFkk dkuwuh nksuksa gSfl;r gSA vuqPNsn 243Fk rFkk 243c¼d½¼1½¼2½ lgifBr izfof”V 17 uxj iapk;r dks vkfFkZd fodkl rFkk lkeftd U;k; gsrq vusd Ldhe pykus ds fy, i;kZIr ‘kfDr;k¡ nsrs gSA uxjikfydksa dks vusd dY;k.kdkjh fdz;kdyki djus ds fy, fuf/k dh vko’;drk gksrh gS rFkk mDr iz;kstu ds fy,] ;g lnSo viuh vkfLr;ksa dk buds ykHk ds fy, Qk;nkizn jhfr ls iz;ksx dj ldrh gS rkfd fof/k ds v/khu bUgsa U;Lr vusd dY;k.kdkjh fdz;kdyki mfpr :i ls vfHkHkkf”kr rFkk fdz;kfUor fd;k tk ldsA ¼1996½10 ,l lh lh 377 voyafcrA 1974 ts ,y ts 119 ¼mPpre U;k;ky;½ rFkk ¼1997½11 ,l lh lh 640 izHksfnrA

       

JUDGMENT

Radhakrishnan, J. -- 1. Leave granted.

2. We are in these cases concerned with the question whether the appellant, Nagar Panchayat, Kurwai (in Civil Appeal No.7821 of 2013 @ SLP(C) No.20997 of 2008) is justified in demanding any fee, for the parking of the motor, trucks and buses in the bus stand, owned and maintained by the Nagar Panchayat.

3. The High Court held that Nagar Panchayat has no power to collect that amount and allowed the writ appeal against which the Nagar Panchayat has come up with this appeal.

4. The appellant in exercise of the powers conferred under section 357(3) read with section 349(2), 357(5) and 358(4)(b) and (d) of Madhya Pradesh Municipalities Act, 1961, imposed parking fee on the owners of vehicles, motors, trucks, buses, matadors etc. Following that a notice was issued by the appellant demanding Rs.20/- per day or Rs.600/- per month, imposing entry fees on motors, trucks, buses and matadors parked in the bus stand. Challenging the same, writ petition was preferred by the vehicle owners before the High Court of Madhya Pradesh at Jabalpur, seeking a writ of certiorari to quash the above mentioned bye-law and also for a direction to the Nagar Panchayat not to collect any fees from the petitioners. The learned Single Judge found no merit in the writ petition and same was dismissed on 10.7.2007. Aggrieved by the same, writ petitioners took up the matter in Writ Appeal No.458 of 2007, which was allowed by the Division Bench, holding that section 349 of Act of 1961 does not confer any power to impose the licence fees for the use of bus stand and the same is not covered under sections 358(5)(b) and (d) or (7)(m) of the Act of 1961. Respondents are merrily using the bus stand owned and maintained by the Nagar Panchayat, free of cost, not bothering about its maintenance and upkeep. The question is, can a Court, on the basis of such an interpretation sideline the larger public interest and deny the right of the Nagar Panchayat to claim parking fees which can be utilized for the benefit of people?

5. We, before examining the question, shall not forget the basic fundamental principle that nobody has a fundamental right to use the land belonging to another without the latter’s permission or paying for it, if demanded.

6. The respondents are operating their vehicles with the stage carriage permits granted by the competent authority under the Motor Vehicles Act. As per the provisions of the Motor Vehicles Act the State Government or any other authorized authority has jurisdiction to determine a place at which a motor vehicle be parked, either indefinitely or for a specified time for taking up and alighting passengers. Rule 203 and rule 204 of the Motor Vehicles Rules, 1994 provide for maintenance and management of the parking places and make the concerned local authorities responsible for the said purpose. As per the conditions of the permit they are required to commence the journey of their vehicles from the bus stand or place fixed for getting and alighting passengers. Such a condition has been imposed on the licence by the authorities under the Motor Vehicles Act since operators would commence the journey of their respective vehicles on the routes from the bus stand only and would not stop the vehicles on the streets, causing inconvenience to the public. Since vehicle operators started using the bus stand, Nagar Panchayat passed the resolution, as already indicated, charging the parking fees for the purpose of maintaining of bus stand and providing other facilities. Bus stand, as already indicated, was constructed on the land owned by the Nagar Panchayat.

7. The Constitution (74th Amendment) Act, 1992 Part IXA which deals with Municipality, came into force on 20.4.1993. Article 243P(e), 243Q and Article 243W(a)(1)(4) are relevant and hence extracted below :

“243P(e) : “Municipal” means an institution of self-Government constituted under Article 243Q.

243Q. Constitution of Municipalities. -- (1) There shall be co


























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