RAJ DARSHAN VENTURES Vs. JOINT CHARITY COMMISSIONER

JUDGEMENT

(1.) These two Writ Petitions were taken up for hearing together as the challenge therein is to the same order. As the daily board of this Court was very heavy from September, 2010 onwards, by consent of the learned counsel appearing for the parties, the Petitions were heard on some occasions after the Court hours.

(2.) The challenge in these Petitions is to the judgment and order dated 17th May, 2010 passed by the learned Joint Charity Commissioner, Mumbai. By the said judgment and order, an application made by a Public Charitable Trust (the 2nd Respondent in Writ Petition No.4273 of 2010) under Section 36(l)(a) of the Bombay Public Trust Act, 1950 (hereinafter referred to as "the said Act") has been allowed. By the impugned judgment and order, a permission has been granted to the 2nd Respondent-Trust to sell a property vesting in the said Trust to M/s. Gold Plaza Developers Private Limited (the 3rd Respondent in Writ Petition No.4273 of 2010). The Trust property has been permitted to be sold on the terms and conditions incorporated in the impugned judgment and order.

(3.) The application under Section 36(1 )(a) of the said Act was filed by the 2nd Respondent on 3rd May, 2010. In the said application, it was stated that the scheme for management of the said Trust was settled by this Court by an order dated 23rd April, 1937. Reliance was placed on Clause 29 of the Trust Deed. In the application, it is stated that Cutchi Lohana Samast Mahajan in its meeting held on 26th March, 2000 sanctioned the proposal for re-development of the Trust property being Cadestral Survey No. 126 of Mazgaon Division, admeasuring 4581.95 sq. meters consisting of structures and dwelling houses standing thereon and being occupied by about 225 tenants. In the said application, it was stated that the structures thereon have been occupied by 225 tenants and the income of the said property for the financial year ending with 31 st March, 2009 was Rs.3,18,461/- and the yearly expenses incurred on the said property were Rs.3,73,929/ -. Various details have been set out in the said application which, according to this Trust, show that there was necessity of alienating of the said property. Reliance is placed on the resolution passed in the meeting of the Board of Trustees held on 16th April, 2010 by which the Trustees resolved to sell the said property by calling offers. According to the case of the Trust, a public notice was published in daily newspapers "Indian Express" and "Maharashtra Times" on 21st April. 2010 calling for the offers. The Gold Plaza Developers Private Limited (hereinafter referred to as "the Purchaser") submitted an offer by which the Purchaser offered to pay the sum of Rs.3.51,00,000/- (Rupees Three Crores Fifty One Lacs Only) to the Trust and also offered to allot in the newly constructed property 10 rooms having carpet area of 300 sq. ft. each, one office premises admeasuring 500 sq. ft. of carpet area and a well-equipped centrally Air Conditioned Auditorium having sitting capacity of about 600 persons. Apart from the offer from the said Purchaser, there were 5 other offers received. The public notice required deposit of a sum of Rs.5,00,00,000/-(Rupees Five Crores Only) by way of Earnest Money Deposit (for short 'EMD') along with the offer. In the application made by the Trust, a prayer was made for grant of permission for sale of the said property to the Purchaser on the terms and conditions set out therein. By the impugned order, a permission was granted to sell the said property to the Purchaser. The Trustees of the said Trust executed a Deed of Conveyance dated 24th May, 2010 by which the said property was conveyed to the Purchaser. The said Deed of Conveyance was lodged for registration on the same day.