HARDIT SINGH GREWAL Vs. PUNJAB STATE

JUDGEMENT

(1.) Petitioners Harjit Singh Grewal and others own land within municipal limits of Ludhiana including the land measuring 57 Kanals 10 Marlas in village Taraf Kara Bara. A notice under Section 36 of the Punjab Town Improvement Act, 1922 (hereinafter referred to as the Act) by the Ludhiana Improvement Trust, Ludhiana, was published in the Punjab Government Gazette dated 28th of March, 1975, to the effect that a Development-cum-Housing Accommodation Scheme for Economically Weaker Section on Pakhowal Road, had been framed for an area measuring 8.4 acres. This area of 8.4 acres includes the land measuring 57 Kanals 10 Marlas belonging to the petitioners. It was mentioned in the notice that any person having any objection to the Scheme could forward the same in writing within 30 days of the publication of the notice. In response to the notice, the petitioners filed objections on 3rd April, 1975.

(2.) Meanwhile the Urban Land (Ceiling and Regulation) Act, 1976 (Act No. 33 of 1976) (hereinafter referred to as the Central Ceiling Act), came into force on 17th February, 1976, and became applicable to the land situate within the municipal limits of Municipal Committee, Ludhiana. Section 20 of the Central Ceiling Act confers powers on the State Government to exempt any land from the operation of this Act. In exercise of the powers referred to above, the Government of Punjab issued an order dated 20th/21st April, 1977, exempting the vacant land in excess of the ceiling limit held by the petitioners which included the land which had already been included in the Scheme published by the Improvement Trust referred to above. However, a condition was imposed in the exemption order that the said land could only be used for the purpose of building houses for Ex-Servicemen, War-widows and their first degree relations. Copy of this exemption order is attached with the writ petition as Annexure 'P-3'.

(3.) The petitioners filed another set of objections on 21st April, 1977, objecting to the inclusion of their land in the Scheme published by the Improvement Trust. It was brought to the notice of the Trust that the land in question having been specifically exempted from the provisions of the Central Ceiling Act should be excluded from the Scheme and the Scheme should be amended so as to exclude the land of the petitioners. On the representation of the petitioners the Improvement Trust vide its resolution No. 51 dated 27th April, 1977, resolved to abandon the Scheme and to make a reference in this regard to the State Government for its approval. The Chairman of the Trust vide his letter dated 2nd May, 1977, conveyed to the petitioners' Special Attorney Shri D.S. Grewal, about the decision of the Trust to abandon the Scheme. The State Government did not approve the proposal of the Trust to abandon the Scheme vide its letter dated 2nd/3rd June, 1977, copy of which is Annexure 'R-2/3', filed with the return of the Trust. As is clear from the undisputed facts, which emerge from the return filed by the Trust, at the relevant time when the abandonment of the Scheme was favourably considered by the Trust, Shri Shiv Singh was the Chairman of the Trust. On 5th July, 1977, Shri Shiv Singh resigned from the Chairmanship of the Trust. This was followed by the resignations of four other members of the Trust on 9th July, 1977. Their resignations were accepted on 13th July, 1977. On 19th July, 1977, the Deputy Commissioner, Ludhiana was appointed as Ex-Officio Chairman of the Trust. The tenure of the remaining Trustees expired on 3rd September, 1977. As is provided in the Act, to constitute a valid meeting, quorum of three members is necessary. As a consequence of the above mentioned events, the Trust became defunct in the sense that there were no three members who could attend the meeting and only the Chairman was carrying on the day-to-day work of the Trust. Shri Gurdip Singh, respondent No. 3, was appointed Chairman of the Trust on 21st September, 1977 and the remaining members of the Trust were appointed on 21.2.1978, who joined on 27th February, 1978. The Deputy Commissioner, Ludhiana, who was Ex-Officio Chairman of the Trust, wrote back a letter dated 5th August, 1977, copy of which is Annexure 'R-2/4' with the return of the Trust, to the Government that the Scheme in question may be abandoned. No reply was received from the Government in this regard. On 3rd March, 1978, the Trust in its meeting decided to cancel resolution No. 51 dated 27th April, 1977, recommending the abandoning of the Scheme to the State Government and decided to proceed further with the Scheme on merits as earlier directed by the State Government in June, 1977. It was, therefore, resolved that telegraphic as well as registered notices be issued to petitioners to present themselves before the Trust on 10th March, 1978 at 3.30 P.M. so as to afford them an opportunity of being heard in support of the objections which the petitioners had filed in response to the notice issued under Sections 36 and 38 of the Act. Consequently, telegraphic as well as registered notices were sent to the petitioners through their Special Attorney Shri D.S. Grewal. In reply to the notices, Shri D.S. Grewal, Special Attorney of the petitioners filed another objection petition dated 8th March, 1978, in which in addition to reiterating the other objections, he prayed that since the time at his disposal was very short, therefore, he was unable to contact and get instructions from the petitioners who were away and requested that at least two months' time be given to him for filing the objections. It is pertinent to note that none of the petitioners appeared in person before the Trust on 10th March, 1978, nor any prayer was made in any written application that the petitioners be given a personal hearing. The Trust did not agree to the extension of time as the last date before which the Scheme could be approved or rejected by the Government was approaching near. The Scheme was to be finalised within three years of its publication in view of the decision of this Court in Harbans Kaur and others v. Ludhiana Improvement Trust and others, 1973 PunLJ 250 and the same had to be approved if it was to be enforced before 25/26th March, 1978. The Trust in its meeting held on 10th March, 1978, after coming to the conclusion that there was no force in the objections filed by the petitioners, resolved to forward the Scheme to the State Government in accordance with the provisions of Section 40(2) of the Act. Consequently, the Scheme was forwarded to the State Government. Before the State Government could pass final orders, the petitioners approached this Court by way of this writ petition. A notice of motion was issued on 16th March, 1978. This Court directed that further proceedings might continue but the final approval to the Scheme be not given by the Government meanwhile. Since the last date of limitation was approaching nearer, the State Government approached this Court for the modification of the stay order. The learned counsel for the parties agreed that the stay order granted by this Court on 16th March, 1978, be vacated and that the Government, if so advised, may sanction the Scheme sent to it by the Improvement Trust and that till the final disposal of the writ petition or till any further order is passed by the Bench at the time of the motion hearing of the petition, no further proceedings shall be taken by the Government. It was also agreed to on behalf of the Government that no proceedings shall be taken for cancellation of the exemption granted to the petitioners under the Central Ceiling Act. This is so clear from the order of the Bench dated 23rd March, 1978. The State Government approved the Scheme vide its order dated 26th March, 1978. The petitioners then filed the amended petition on 1st April, 1978, challenging the Scheme.