2011 (4) TMI 1291 - SC - Indian Laws

Whether the decision of the Government of Madhya Pradesh to allot 20 acres land comprised in Khasra Nos. 82/1 and 83 of village Bawadiya Kalan, Tehsil Huzur, District Bhopal to late Shri Kushabhau Thakre Memorial Trust (for short, the Memorial Trust )/Shri Kushabhau Thakre Training Institute (respondent No. 5) without any advertisement and without inviting other similarly situated organisations/institutions to participate in the process of allotment is contrary to Article 14 of the Constitution and the provisions of the Madhya Pradesh Nagar Tatha Gram Nivesh Adhiniyam, 1973 (for short, the Act )? Whether modification of the Bhopal Development Plan and change of land use is ultra vires the mandate of Section 23A of the Act are the questions which arise for consideration in this appeal filed against the order of the Madhya Pradesh High Court dismissing the Writ Petition filed by the appellant?

Issues Involved:
1. Whether the allotment of land to the Memorial Trust without advertisement violates Article 14 of the Constitution and the Madhya Pradesh Nagar Tatha Gram Nivesh Adhiniyam, 1973.
2. Whether the modification of the Bhopal Development Plan and change of land use is ultra vires the mandate of Section 23A of the Act.

Issue-wise Detailed Analysis:

1. Violation of Article 14 and the Act:
The Supreme Court examined whether the allotment of land to the Memorial Trust without advertisement and inviting applications from other similarly situated organizations was contrary to Article 14 of the Constitution and the provisions of the Madhya Pradesh Nagar Tatha Gram Nivesh Adhiniyam, 1973. The Court highlighted that the State cannot give largesse to any person according to the whims of political entities and officers. Every action must be founded on a sound, transparent, and well-defined policy, implemented in a non-discriminatory and non-arbitrary manner. The Court emphasized that there is no provision in the Act or the Rules for allotment of land without issuing an advertisement and inviting applications. The entire process of reservation and allotment of land to the Memorial Trust was found to be fraught with illegality and favoritism, violating Article 14. The Court concluded that the allotment was arbitrary and discriminatory, thus nullifying the allotment.

2. Modification of Bhopal Development Plan:
The Court scrutinized whether the notifications issued for the modification of the Bhopal Development Plan and change of land use were ultra vires the provisions of Section 23A of the Act. The development plan is the foundation of the planned development of an area, and no one can use land for a purpose other than for which it is earmarked. The power to modify the development plan under Section 23A can only be exercised for specified purposes, such as for proposed projects of the Government of India, the State Government, or its enterprises. The modification in this case was for the benefit of the Memorial Trust, a private entity, and not for any government project or development scheme. Therefore, the modification was found to be ultra vires the provisions of Section 23A(1)(a) of the Act. The notifications dated 6.6.2008 and 5.9.2008 were quashed.

Conclusion:
The Supreme Court allowed the appeal, set aside the impugned order of the High Court, and declared the allotment of land to the Memorial Trust illegal. The Court also quashed the notifications modifying the Bhopal Development Plan and directed the Commissioner, Town and Country Planning, Bhopal, to take possession of the land and use it strictly in accordance with the Bhopal Development Plan. The State Government was directed to refund the amount deposited by the Memorial Trust within 15 days.

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