KHAMBHALIA MUNICIPALITY Vs. STATE OF GUJARAT

JUDGEMENT

(1.) This appeal arises out of a writ application challenging a notification issued on June 14, 1965, declaring the area of Khambalia municipality in Jamnagar district to be a nagar under S. 9 (1) of the Gujarat Panchayats Act, 1961 (Gujarat Act No. VI of 1962). The Jamnagar district was formerly a part of the ; State of Saurashtra which merged in the State of Bombay in 1956. Before the merger, the State of Saurashtra adopted the Bombay District Municipalities Act, 1901 under which the town of Khambalia was constituted into a municipality. On the bifurcation of the State of Bombay , the district of Jamnagar became a part of the State of Gujarat. The Gujarat Panchayat Act, 1961 was passed on February 24, 1962. The population of Khambalia municipality according to the census of 1961 was 12,249. By a notification, dated August 17, 1962, issued under S. 9 of the Gujarat Panchayats Act, 1961, the local area within the limits of the Khambalia municipality was declared to be a nagar and the municipality ceased to exist. On February 5, 1963, upon the publication of the Gujarat Panchayats (Suspension of Provisions and reconversion of certain local areas into municipal districts) Act, 1962, the Khambalia municipality and other municipalities converted into Nagar Panchayats by notifications under S. 9 (1) of the Nagar Panchayats Act, 1961, stood revived. On February 7, 1963, the Gujarat Panchayat Laws (Amendment) Ordinance 1963 repealed S. 3 of the Gujarat Panchayats (suspension of provisions and reconversion of certain local areas into municipal districts) Act. 1962 and all the provisions of the Gnjarat Panchayats Act, 1961 became again operative. In April 1962, the State Government converted some of the revived municipalities into nagar or gram panchayats, but the Khambalia municipality was not then so converted. Meanwhile, the State Government started proceedings for the supersession of the Khambalia municipality under S. 179 of the Bombay District Municipal Act, 1901 and in this connection there was litigation between the Government and the municipality. On December 23, 1964, the Gujarat Municipalities Act, 1963 (Act No. XXXIV of 1964) was passed, and the Khambalia municipality became a municipality constituted under this Act for the Khambalia municipal borough. On June 14, 1965, the Development Commissioner, Gujarat State, issued a notification under S. 9 (1) of the Gujarat Panchayats Act, l961, declaring "the whole area of the existing limits of the Khambalia municipality in Jamnagar district" to be a nagar with effect from the date of the issue of the notification. This notification was issued by the Development Commissioner after making the prescribed enquiry under S. 9 (1). The effect of the notification was that the entire local area included within the limits of the municipal borough for which the Khambalia municipality was constituted became a nagar. On June 22, 1965, the appellants filed a writ petition in the High Court of Gujarat, praying for an order quashing the notification, dated June 14, 1965 and declaring S. 9 of the Gujarat Panchayats Act, 1961 as ultra vires and unconstitutional, and for other reliefs. The High Court dismissed this application. The appellants now appeal to this Court under a certificate granted by the High Court.

(2.) To appreciate the contentions raised by learned counsel for the appellants, it is necessary to read S. 9 of the Gujarat Panchayats Act. 1961. That section is in these terms:

(3.) Rule 2 of the Gujarat Panchayats (Declaration of nagar or gram) Inquiry Rules, 1962, prescribes the inquiry to be made by the State Government under Section 9 (1). It reads: