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2013 (10) TMI 1262

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..... public streets etc. for the benefit of the residents of the municipal area. For fulfilling its obligation under the 1920 Act and carrying out the duties and functions which may be entrusted to it under Schedule XII of the Constitution, respondent No.2 requires substantial fund. The contribution made by the State Government to municipal bodies, like, respondent No.2 is negligible. Therefore, they are required to augment the sources by grant of lease etc. of their properties by auction or by adopting appropriate mechanism consistent with the doctrine of equality and no fault can be found with the exercise undertaken by respondent No.2 to invite tenders for holding auction for the open spaces available in Doraisamy Reddiar Market - there cann .....

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..... by the District Authorities and the consent given by the Board of Revenue, the Government of Tamil Nadu issued G.O. Ms. No.819 dated 2.4.1980 and placed at the disposal of Tambaram Municipality (respondent No.2) land measuring 3.65 acres comprised in Survey No.323/1 and 0.25 acres comprised in Survey No.323/1A1A1B of Tambaram Village. This was subject to the special condition that it should only lease the land to the encroachers and should not sell the same to them at any time. After 22 years of the placement of land at its disposal by the State Government, respondent No.2 issued notice dated 9.5.2002 inviting sealed tenders for grant of leasehold rights for the year 2002-2003 for six items mentioned in the enclosure attached with the no .....

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..... cture has changed hands and there are transfer of assessments as well as could be seen from the annexure to this Counter Affidavit. 8. I submit that Street lights and Roads are provided by this Municipality to the Daily Market and roads were also relied in 1999 at the cost of Rs.80,00,000/- (Rs. Eighty lakhs only). I most respectfully state that the levy of property tax on the superstructure would not confer any right on the petitioners/others. The Municipality has never granted any lease in favour of the petitioners at any point of time and it has farmed out the right to collect a daily fees for occupation for that day's occupation. The Municipality has not granted any permission to put up any superstructure much less a planning permissi .....

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..... ard Shri V. Giri, learned senior counsel appearing for the appellant and Shri R. Nedumaran, learned counsel for the respondents and carefully perused the record. It is not in dispute that the open spaces available at Doraisamy Reddiar Market is public property. Therefore, the same cannot be disposed of by private negotiations and the members of the appellant, who have unauthorisedly occupied the open spaces cannot be allowed to retain those spaces. Respondent No.2, which is an institution of self- Government (Article 243P(e) read with Article 243Q of the Constitution), is required to undertake and execute several schemes i.e. water-supply, lighting, drainage, sewerage, laying and maintaining of public streets etc. for the benefit of the res .....

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..... of U.P. (1991) 1 SCC 212, LIC v. Consumer Education and Research Centre (1995) 5 SCC 482 and New India Public School v. HUDA (1996) 5 SCC 510 and held: "65. What needs to be emphasised is that the State and/or its agencies/instrumentalities cannot give largesse to any person according to the sweet will and whims of the political entities and/or officers of the State. Every action/decision of the State and/or its agencies/instrumentalities to give largesse or confer benefit must be founded on a sound, transparent, discernible and well-defined policy, which shall be made known to the public by publication in the Official Gazette and other recognised modes of publicity and such policy must be implemented/executed by adopting a non-discrimina .....

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..... to the society except by way of auction. Nevertheless, it is necessary to observe that once a piece of land is earmarked or identified for allotment to institutions / organisations engaged in any such activity, the actual exercise of allotment must be done in a manner consistent with the doctrine of equality. The competent authority should, as a matter of course, issue an advertisement incorporating therein the conditions of eligibility so as to enable all similarly situated eligible persons, institutions/organisations to participate in the process of allotment, whether by way of auction or otherwise. In a given case the Government may allot land at a fixed price but in that case also allotment must be preceded by a wholesome exercise consi .....

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