LOKPRAKASHAN LTD. Vs KANCHANBHAI KANBHAI TADVI .
Case number: C.A. No.-005692-005692 / 2001
Diary number: 9749 / 2001
Advocates: ANIP SACHTHEY Vs
REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO.5692 OF 2001
Lokprakashan Ltd. .. Appellant
Versus
Kanchanbhai Kanbhai Tadvi & Others .. Respondents
WITH
CIVIL APPEAL NO.6299-6300 OF 2001
The Sandesh Limited .. Appellant
Versus
Rameshchandra Babulal Shah & Others .. Respondents
J U D G M E N T
Dalveer Bhandari, J.
1. These appeals are directed against the judgment and
final order dated 15.6.2001 of the High Court of Gujarat
passed in Special Civil Application No.723 of 2000 along with
Special Civil Application Nos.2994 and 6470 of 1999.
2. As the common question of law is involved in these
appeals, therefore, these appeals are being disposed by a
common judgment. The facts of the Civil Appeal No.5692 of
2001 are recapitulated for properly comprehending the
controversy in the case.
3. A daily Newspaper namely ‘Gujarat Samachar’ started its
publication of a Gujarat local daily newspaper from
Ahmedabad in 1932.
4. An application was made by the appellant Lokprakashan
Limited on 19.1990 to the Municipal Commissioner for grant
of 5000 Sq. Mtrs. of land belonging to the Baroda Municipal
Corporation comprised in Final Plot No.1 of Town Planning
Scheme No.9 situated at Baroda at a reasonable price. It was
prayed in the application that the Lokprakashan daily was
publishing a Gujarati Samachar daily from Baroda for the last
seven years and as it did not have any premises of its own, it
was operating from a rented premises.
5. The Municipal Commissioner prepared a proposal for
consideration of the Standing Committee for allotment of land
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of 5000 Sq. Mtrs. at a price to be fixed by the Deputy Town
Planner for transfer of the land.
6. The proposal was considered by the Standing Committee
of the Municipal Corporation who has passed a resolution
dated 29.11.1990 bearing No. 646, inter alia resolving to
approve the proposal of the Commissioner. The resolution of
the Standing Committee was placed before the General Board
of the Baroda Municipal Corporation. There was a proposal
for confirmation and acceptance of the recommendations of
the Standing Committee and the second proposal opposing the
sale of the land to the appellant. These proposals were
considered vide Resolutions No.727 and 728.
7. It may be pertinent to mention that respondent no.1
Kanchanbhai Kanbhai Tadvi was an elected Councilor and he
was present at the meeting and both the proposals were taken
up for consideration in his presence and he voted in favour of
the proposals to accept the recommendation of the Standing
Committee for sale of the land to the appellant and opposed
the proposal for not selling the land to the appellant.
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8. The appellant on 5.1.1991 addressed a communication to
the Municipal Commissioner, Baroda Municipal Corporation,
inter alia expressing its consent to pay the price as may be
fixed by the Deputy Town Planner and also expressed its
consent to pay valuation fees on that behalf.
9. The Baroda Municipal Corporation on 7.1.1991 applied
to the Revenue Department, Government of Gujarat for grant
of exemption under section 20 of the Urban Land (Ceiling and
Regulation) Act, 1976 (hereinafter referred to as the ‘Urban
Act’) with respect to the land sold to the appellant as well as
with respect to the lands comprised in final plot No.1 of town
planning scheme No.9 originally comprised in revenue survey
No. 94. Exemption was sought for other lands to be sold to
the Indian Airlines, Baroda Urban Development Authority and
Gujarat State Fertilizers Company Ltd. as well as exemption
was sought with respect to the land to be sold to the appellant.
10. The State of Gujarat on 27.5.1993 through the Deputy
Secretary, Revenue Department, in exercise of power under
section 20 of the Act, pursuant to the proposal made for grant
of exemption to the land admeasuring 5000 Sq. Mtrs.
proposed to be sold to the appellant, granted exemption under
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section 20 the Act, subject to certain conditions stipulated in
the said order.
11. The Deputy Commissioner called upon the appellant to
pay an amount of Rs.55 lakhs towards the price of the land
valued at Rs.1100/- per Sq. Mtr.
12. The appellant, vide letter dated 26.10.1993, pointed out
that very recently an adjoining land situated in the same final
plot was sold to the Baroda Urban Development Authority at
Rs.900/- per Sq. Mtr. Therefore, considering the said price an
appropriate decision should be taken with respect to the
valuation fixed by the Town Planner at Rs.1100/- per Sq. Mtr.
13. The then Administrator of the Baroda Municipal
Corporation on 9.11.1993 addressed a communication to the
Additional Chief Secretary, Urban Development and the Urban
Housing Department pointing out that it was decided in
principle to sell 5000 Sq. Mtrs. of land to the appellant for
which the State Government had also granted exemption on
27.5.1993. It was pointed out that the nearby land situated
in same final plot No.1 adjoining the land sold to the appellant
was sold to the Baroda Urban Development Authority at
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Rs.900/- per Sq. Mtr. The Town Planning Valuation
Department had fixed the value at Rs.1100/- per Sq. Mtr., but
in view of the representation made by the appellant, it was
decided to take necessary steps on that behalf.
14. The appellant was informed by a letter dated 18.12.1993,
to deposit an amount of Rs.50 lakhs towards the consideration
of the sale price at Rs.1000/- per Sq. Mtr. as no final decision
was taken by the State Government with respect to
reconsideration of fixation of valuation and the appellant was
also asked to give a bank guarantee of Rs.5 lakhs valid for a
period of one year. The appellant was also informed that it
would be informed about the differential amount to be paid or
received by the State Government.
15. The appellant forwarded a Cheque dated 21.12.1993 of
Rs.50 lakhs drawn on the Central Bank.
16. The Deputy Municipal Commissioner (Administration) of
the Municipal Corporation, Baroda on 23.12.1993 executed a
possession receipt and handed over the possession of 5000 Sq.
Mtrs. of land comprised in final plot No.1 of Town Planning
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Scheme No. 9 in accordance with the approval of the same by
the Municipal Commissioner, Baroda Municipal Corporation.
17. A letter was addressed by the Office of the Town Planning
Department, State of Gujarat on 5.1.1994 pointing out that
the price fixed by the Deputy Town Planner by his letter dated
30.8.1993 at Rs.1100/- per Sq. Mtr. was just and proper.
18. A registered ‘Deed of Sale’ was entered into between the
appellant and the Baroda Municipal Corporation on
17.4.1995. Under the delegation of powers contained under
the Bombay Provincial Municipal Corporations Act, the powers
of the Commissioner to sign the document of sale are
delegated to the Land Estate Officer who had signed the
document for sale.
19. It is submitted that the appellant had invested its
available funds in setting up other Presses at Surat, Rajkot
and Bombay and, therefore, on account of diversion of funds,
it had not been possible for the appellant to erect the Press
Building on the land in question immediately after the sale
deed was executed.
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20. One Dinesh B. Shukla, who was petitioner no. 2 before
the High Court made representation to the Chief Minister of
the State of Gujarat on 12.11.1999, inter alia seeking
cancellation of the grant of exemption granted to the appellant
by order dated 27.5.1993.
21. A petition being Special Civil Application No.723 of 2000
was filed before the High Court on 20.1.2000 praying for
issuance of a writ to set aside the order of the State
Government dated 27.5.1993 exempting the land in question
under section 20 of the Act and also to set aside the
Resolution of the General Board of the Municipal Corporation.
22. The Division Bench of the High Court in the impugned
judgment held in favour of the petitioner Corporation before it
and directed the Corporation to pay the amount paid by the
appellant with interest. Hence, these appeals.
23. According to the appellant the public interest petition
filed against him was an abuse of the process of the court
because the appellant was granted approval by the concerned
authorities almost a decade ago and thereafter the petition
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was filed with an oblique motive. This petition deserves to be
dismissed on the ground of latches alone.
24. The learned counsel appearing for the appellant relied on
the case of Narmada Bachao Andolan v. Union of India &
Others (2000) 10 SCC 664 and particularly emphasized on the
finding of this Court that just because the petition is termed
as a public interest litigation does not mean that ordinary
principles applicable to litigation will not apply.
25. According to the appellant, the impugned judgment of
the High Court is wholly unsustainable in view of the law
declared by this Court. There has been no explanation
whatsoever for an inordinate delay for more than 10 years.
The writ petition filed by the respondent deserves to be
dismissed with costs.
26. The appellant next relied on S.P. Gupta v. President of
India & Others 1981 (Supp) SCC 87, wherein it was observed
in para 24 as under:
“But we must be careful to see that the member of the public, who approaches the Court in cases of this kind, is acting bona fide and not for personal gain or private profit or political motivation or other oblique consideration. The Court must not allow its
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process to be abused by politicians and others to delay legitimate administrative action or to gain a political objective...”
27. The appellant also submitted that section 79 of the
Bombay Provisional Municipal Corporations Act, 1949,
particularly clause (c) thereof, clearly permits the Corporation
to sell immovable property even without public auction
provided the procedure is fully followed. In the instant case,
the procedure was admittedly fully followed. The price at
which the land was sold was Rs.1000/- per Sq. Mtr. and it
was not less than the then current market value because the
Town Planner had suggested Rs.1100/- per Sq. Mtr., the
adjoining plot was auctioned by the Baroda Urban
Development Authority at a price of Rs.900/- per Sq. Mtr.
Thus the price was also reasonable and not below the market
value.
28. The appellant had paid a sum of Rs.50 lakhs @
Rs.1000/- per Sq. Mtr. before this Court and thus, section 79
stands complied with.
29. The appellant also submitted that it is an established
newspaper since 1932 and this Court has clearly upheld the
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right of the newspapers under Article 19(1)(a) in a series of
judgments including the following: Indian Express
Newspapers (Bombay) Private Ltd. & Others v. Union of
India & Others (1985) 1 SCC 641; Express Newspapers Pvt.
Ltd. & Others v. Union of India & Others (1986) 1 SCC
133.
30. Therefore, even otherwise the decision to sell the land to
the appellant was to sub-serve the public interest because it is
now held that not only the Press have a right guaranteed
under Article 19(1)(a) of freedom of speech through
publication, but public at large has the right to have
information disseminated, as held in the case of Tata Press
Ltd. v. Mahanagar Telephone Nigam Ltd. (1995) 5 SCC 139.
31. The learned counsel for the appellant further submitted
that the purchase of the land has been totally in consonance
of all rules and regulations and with the approval of the
concerned authorities. All procedural formalities have been
strictly complied with. Even the sale deed was also executed
long back in the year 1995 and this petition was filed after a
gap of more than a decade with oblique motive is an abuse of
the process of the court.
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32. We have heard learned counsel for the parties. The sale
of land in favour of the appellant Newspaper, by no stretch of
imagination, can be said to be in violation of any rules or
regulations. In the facts and circumstances of the case, in our
considered view, the impugned judgment of the High Court
cannot be sustained.
33. Consequently, the appeals are allowed and the impugned
judgment of the High Court is set aside. In the facts and
circumstances of this case, we direct the parties are directed
to bear their own costs.
…….……………………..J. (Dalveer Bhandari)
…….……………………..J. (Harjit Singh Bedi)
New Delhi; August 27, 2009.
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