LAWS(SC)-1990-9-85

G B MAHAJAN Vs. JALGAON MUNICIPAL COUNCIL

Decided On September 13, 1990
G.B.MAHAJAN Appellant
V/S
JALGAON MUNICIPAL COUNCIL Respondents

JUDGEMENT

(1.) Petitioners seek special leave to appeal to this Court from the order dated 18-9-1989 made by the Bombay High Court, Aurangabad Bench, dismissing appellants' Writ Petition No. 2404 of 1989 in which they assailed certain contracts of the Municipal Council of Jalgaon with a Developer of real estate for the execution of a project for 'Administrative Building' and a 'Commercial Complex' on a plot of land belonging to the Municipality.

(2.) We have heard Sri R. K. Jain, learned Senior Advocate for the Petitioners; Sri K. K. Singhvi, Sri A. S. Bhasme and Dr. Y. S. Chitale, learned Senior Advocates for Respondents 1, 4, 5 and 6 respectively. Special leave granted. The main appeal is taken up for final hearing, heard and disposed of by this judgment.

(3.) The controversy relates to a project for the development of real estate sponsored by the Town Municipal Council, Jalgaon, in the State of Maharashtra. In the year 1913 the Municipal Council, it would appear, received by way of gift of a piece of land of an extent of 5 acres and 32 guntas from a certain Lila Dhar Bhatia. The land had been in the use of the Agricultural Produce Market Committee, Jalgaon, as a cotton-market and wholesale fruit and vegetable market. The Municipal Council having entertained the idea of putting the land to a better and more profitable use persuaded the Market Committee to yeild-up possession. The terms of the original gift, it would appear, stipulated conditions that the land be put to use for only as a cotton and vegetable market. In order to enable itself to put the land to uses other and more beneficial uses and to exploit the commercial-potential which the property had with the passage of time acquired, the Municipal Council appears to have approached the heirs of the original donor who appear to have agreed to amend the terms of the gift accordingly. But the permission was not without strings attached. The project as envisaged by the Municipal Council, contemplated, amongst other things, the erection of a commercial complex. The heirs appear to have bargained for and secured a benefit that they should be given five-shops free of cost in the commercial complex.