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Prakash R. Gupta vs Lonavala Municipal Council & Ors

Supreme Court2 December 2008Aftab Alam · Markandey Katju

Ratio decidendi

The rule this decision rests on

Where land reserved under a development plan under the Maharashtra Regional and Town Planning Act, 1966 is not acquired by agreement within ten years from the date on which the final plan comes into force, and no proceedings for acquisition under that Act or the Land Acquisition Act, 1894 are commenced within that period, the owner may serve notice on the Planning Authority requiring acquisition within six months. If the land is neither acquired nor steps for its acquisition commenced within those six months following notice, the reservation lapses and the land is released to the owner as available for development. Section 49 of the Act, which prescribes different conditions and no ten-year period, does not operate to prevent the lapse of a reservation otherwise governed by Section 127.

Written by Miss Lucy from the judgment below, not taken from a headnote.

Judgment

As delivered

IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO.7801 OF 2002

Prakash R. Gupta ...Appellant(s)

Versus

Lonavala Municipal Council & Ors. ...Respondent(s)

ORDER

Heard learned counsel for the parties.

This appeal has been filed against the impugned judgment of the Division

Bench of the High Court, dated 9th November, 2001. The detailed facts are given in

the impugned judgment of the High Court and it is not necessary for us to repeat the

same here except where necessary for deciding the appeal.

The appellant is the owner of the land in dispute. His land was reserved

under a development plan for a certain college but that college got disaffiliated.

Thereafter, a minor modification under Section 37 of the Maharashtra Regional and

Town Planning Act, 1966 (in short, 'the Act') was issued and it was said to be allotted

to the present respondent No.3.

However, it appears that the land was not acquired within the ten year

period mentioned in Section 127 of the

..2/-

-2-

aforesaid Act. Section 127 states as under:

"Lapsing of reservations

If any land reserved, allotted or designated for any purpose specified in any plan under this Act is not acquired by agreement within ten years from the date on which a final Regional plan, or final Development plan comes into force or if proceedings for the acquisition of such land under this Act or under the Land Acquisition Act, 1894, are not commenced within such period, the owner or any person interested in the land may serve notice on the Planning Authority, Development Authority or as the case may be, Appropriate Authority to that effect; and if within six months from the date of the service of such notice, the land is not acquired or no steps as aforesaid are commenced for its acquisition, the reservation, allotment or designation shall be deemed to have lapsed, and thereupon the land shall be deemed to be released from such reservation, allotment or designation and shall become available to the owner for the purpose of development as otherwise, permissible in the case of adjacent land under the relevant plan."

It is not disputed that the land was not acquired within ten years from the

date on which the final Regional plan or final Development plan came into force and

no proceedings for acquisition of such land under the Land Acquisition Act were

commenced within the aforesaid period of ten years. After the said period of ten

years, the appellant, who was the owner of the land, served a notice on respondent

No.1 as required by Section 127 calling upon the said authority to acquire the said

land within six months or take steps within that period, but neither was the land

...3/-

-3-

acquired within the further period of six months nor were any steps taken to acquire

it. Hence, in our opinion, the reservation lapsed and the land has to be released in

favour of the appellant.

The High Court, however, has taken the view that in view of Section 49 of the Act, there is no lapse of the reservation. We do not agree. In our opinion, the

scheme contemplated by Section 49 is totally different from that contemplated by

Section 127. In Section 49, there is no period of ten years as mentioned in Section

127. In Section 49, the owner has to satisfy one of the three conditions mentioned

therein which is not so in Section 127. Thus, reference to Section 49 by the High

Court was, in our opinion, totally misconceived and uncalled for.

In view of the above, we allow this appeal and set aside the impugned

judgment of the High Court and direct that the land in question shall be released

forthwith in favour of the appellant.

No order as to costs.

...................J. (MARKANDEY KATJU)

...................J. (AFTAB ALAM) New Delhi, December 02, 2008.

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