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2026 Supreme(Online)(Del) 20228

IN THE HIGH COURT OF DELHI AT NEW DELHI
Prathiba M. Singh, Vikas Mahajan, JJ
Delhi Development Authority – Appellant
Versus
Mala Sahni Seth – Respondent
CONT.APP.(C) 15/2026|CM APPL. 40235/2026|W.P.(C) 9034/2025|CM APPL. 59809/2026|CM APPL. 60136/2026|W.P.(C) 17229/2025|W.P.(C) 2651/2026



Advocates:
For the Appellants/Petitioners: Chetan Sharma, Ashish K Dixit, Umar Hashmi, Ayush Kumar, Urvi Mohan
For the Respondents: Mrinalini Sen, Gauri Rajput, C.M. Rao, Saurabh Seth, Sukrit Seth, Neelampreet Kaur, Abhiroop Rathore, Kabir Dev, Sukhvir Singh, Rajveer Pandey, Manisha Agrawal Narain

Any new policy for conversion of leasehold properties to freehold must be prospective. Pending applications where conversion charges were already deposited must be processed based on the policy prevalent at the time of the application's filing.

Headnote:(A) Administrative Law - Conversion of Property - Leasehold to Freehold - Prospective Application of Policy - Any new policy regarding conversion charges must be prospective; pending applications where charges were already deposited must be processed according to the policy prevalent at the time of application. (Para 7, 8, 10)

(B) Procedural Fairness - Delay in Processing - Non-processing of applications due to technical failures (portal downtime) cannot justify the application of revised (higher) charges to existing applicants. (Para 7, 16)

Issues: Whether a revised policy for conversion charges can be applied retrospectively to pending applications where charges have already been deposited.

Legal Category Hierarchy

  • property law
    • leasehold and freehold conversion (Para 2, 5, 6, 7, 8, 9, 10, 15, 16)
  • administrative law
    • policy making (Para 6, 10, 15, 17)
    • delay in processing applications (Para 2, 5, 9, 16)
  • practice and procedure
    • directions and orders (Para 3, 17, 18, 20)

Table of Contents

1. Leasehold to freehold conversion portal taken down — Pending applications kept on hold. (Para 2 )

2. Policy changes for conversion sought to apply retrospectively vs. prospectively — Charges revised after application filing challenged. (Para 6 , 7 , 8 , 10 )

3. Court dissatisfied with progress — No substantive policy decision despite directions and meetings. (Para 5 , 6 , 15 , 16 )

4. Conversion charges applicable as per rates on date of application, especially if charges already deposited. (Para 7 , 10 )

5. Final opportunity granted to place policy on record before next hearing — List on 28th September 2026. (Para 17 , 18 , 20 )

6. What rate of conversion charges applies when an application is pending due to authority delay?

The rates prevalent on the date of filing the application apply, especially if charges were already deposited along with the application. (Para 7 , 8 , 10 )

7. Can a revised conversion policy be applied retrospectively to pending applications?

No, such a policy is usually prospective in nature, and past applications where payments were received must be processed under the policy prevalent at the relevant time. (Para 6 , 10 )

Prathiba M. Singh, J. (Oral)

1. This hearing has been done through hybrid mode.

2. In these petitions, the issue relating to the DDA’s portal for conversion of immoveable properties from lease hold to free hold is being considered. The said portal has been taken down since February 2026 – leading to a situation wherein all applications have been kept on hold.

3. On the last date i.e., 30th July, 2026, the Court had directed for a meeting to take place between the Secretary, Department of Capital Development, MoHUA and DDA, as also any other Ministries as may be necessary.

4. The minutes of the meeting dated 14th August, 2026 have been placed on record. The said meeting is stated to have been attended by the following persons:

List of Participants :

From Ministry of Housing and Urban Affairs (MoHUA)

1 . M . D. Thara, Secretary, Department of Capital Development – On Chair

2 . Shri Manjesh Porwal, Deputy Secretary (DD-II)

3 . Shri Sanjay Kumar Upadhyay, Deputy Secretary (DD-I)

4. Shri Vinay Kumar, Under Secretary (DD-V)

From Delhi Development Authority (DDA)

1 . Shri N. Sarvana Kumar, Vice Chairman, DDA

2. Shri Ravi Shankar, Pr. Commissioner (LD)

3 . Dr. Mannan Akhtar, Commissioner (LD)

4. Shri Abhishek Anand, CAO

5. Shri Sahil Garg, Director (LC)

6. Shri A. K. Jaini, Dy. CAO (LC)

From Land and Development Office (L&DO)

1 . Shri Shyam Lal Poonia, L&DO

2. Shri Ankur Kumar Lal, Dy. L&DO

From Department of Revenue, Ministry of Finance

1 . Shri Hemraj Meeua, Under Secretary

5. A perusal of the said minutes would show that despite the previous order dated 31st July, 2026 spelling out the difficulties which are being faced due to non-processing of conversion applications from leasehold to freehold, no substantive decision has been taken by the MoHUA, DDA or L&DO. The relevant extract of the Minutes reads as under:

“4. Discussion on Simplification of Documentation: It was deliberated at length on simplification of the documentation required from applicants at the time of freehold conversion. It was noted that:

• A number of documents presently prescribed are duplicative in nature and required information already available with DDA/other agencies through other documents submitted in the same application.

• Certain documents have lost synchronisation and are no longer relevant to the conversion process in their present form.

• A number of particulars can now be verified and authenticated through online mode, obviating the need for physical submission of the corresponding documents.

5. It was agreed to and decided that the list of documents ought to be reviewed and pruned so as to remove duplication and online verification be adopted wherever feasible.

6. Discussion on Simplification of the Conversion Process: It was also discussed to rationalize and simplify the conversion process by reducing the number of procedural steps involved so as to make the process more citizen-friendly, reduce processing time, and minimise the compliance burden in terms of both procedure and documents placed on applicants.

7. Discussion on Conversion Charges: On the issue of conversion charges, it was discussed that the rates presently applicable were fixed a considerable time ago and have not been revised since then. After discussion, the following were brought out:

• The rate structure for conversion charges requires revisiting in light of the substantial period that has elapsed since the last revision.

• Any revision must have due regard to the quantum of public money/government revenue involved, while also being fair and equitable to applicants.

• This matter requires a holistic examination, encompassing both the quantum of charges and the procedure for their determination and collection rather than a piecemeal decision.

8. It was also discussed that although, conversion policy of DDA has presently been kept to on hold and under review to rationalise and simplify it, this does not restrain to leaseholder to transfer, gift, inheritance, mortgage thei

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