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AHMEDABAD URBAN DEVELOPMENT AUTHORITY versus MANILAL GORDHANDAS AND ORS.

Citation: [1996] SUPP. 6 S.C.R. 79 · Decided: 11-09-1996 · Supreme Court of India · Bench: A.M. AHMADI · Disposal: Appeal(s) allowed

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Judgment (excerpt)

• 
• 
AHMEDABAD URBAN DEVELOPMENT AUTHORITY 
A 
v. 
MANILAL GORDHANDAS AND ORS. 
SEPTEMBER 11, 1996 
[AM. AHMADI, CJ. N.P. SINGH AND 
SUJATA V. MANOHAR, JJ.] 
Gujarat Town Planning and Urban Development Act, 1976 : Sections 
17(1)(c), 9 to 17, 20 and 124. 
B 
c 
Town Pla1111i11g-Development Plan-Sanction of-State Govemment 
accorded sa11ction to Draft Development Plan submitted by Mu11icipal Cor-
poration under Bombay Town Planning Act, 1954-Subsequently 1976 Act 
came into force and repealed earlier Bombay A ct-{]rban Development 
Authority submitted Development Plan to State Govemment for sanction 
which covered area included in Draft Development Plan submitted by D 
Municipal C01poratio11-Held : sanction of Plan submitted by Municipal 
Corporation without co11sideli11g Pla11 submitted by Urban Development 
Authority was without application of mind-Provisions of Bombay Act incon-
sistent with provisions of Gujarat Act-Therefore, deeming fiction in S.124(2) 
would not apply and Plan submitted under repealed Act not deemed to be 
submitted u11der Gujarat Act-Final development pla11 i11 respect of area 
withi11 C01poration came into force on date of sam;tio11 of draft developme11t 
plan submitted under Gujarat Act-Hence, pe1iod of 10 years mentioned liz 
S.20(2) must be computed from that date-Bombay Town Pla11ning Act, 
1954. 
E 
F 
Administrative Law : 
Judicial review-Mala fide excercise of power--Held: It must be shown 
that power was excercised with ulte1ior motive only to defeat statutory rights 
of perso11s biterested. 
G 
The Bombay Town Planning Act, 1954 regulated the town planning 
activity within the area falling within the jurisdiction of the local authority 
in the State including the Municipal Corporation. On 15.1.1976 the Cor-
poration submitted a revised development plan for tbe area falling within 
the limits of the Corporation to the State Government for its sanction. On H 
79 
.... 
80 
SUPREME COURTREPORTS (1996) SUPP. 6 S.C.R. 
A 
19.6.1976 the Gujarat Town Planning and Urban Development Act was 
enacted which came into force on 30.1.1978. On that very date Ahmedabad 
Urban Development Authority (AUDA) was constituted under Section 22 
of the said Act. Section 124(1) of the said Act repealed the Bombay Town 
Planning Act, 1954. 
B 
By a notification dated 12.8.1983 the State Government sanctioned 
the revised development plan submitted on 15.1.1976 by the Corporation 
under the Bombay Town Planning Act, 1954. AUDA prepared a draft 
development plan in accordance with the provisions of the Gujarat Town 
Planning Act and submitted to the State Government for sanction on 
C 23-7-1981. It also included the area covered by the Corporation. The State 
Government sanctioned the draft development plan submitted on 23.7.1981 
by the appellant AUDA on 2.11.1987 including for the areas within the 
Corporation in respect of which the draft development had been sanc-
tioned by the State Government by aforesaid notification dated 12.8.1983. 
D 
According to the writ petitioners respondents, as the draft develop-
ment plan which had been submitted. on 15.1.1976 and sanctioned on 
12.8.1983 by a notification saying that the sanction plan would come into 
force with effect from 16.9.1983, the period of 10 years as specified in 
Section 20(2) of the Gujarat Town Planning Act would have to be counted 
E 
with effect from 16.9.1983 so far as the area covered by notification dated 
12.8.1983 was concerned. They claimed that within the aforesaid period of 
10 years from coming into force of the final development plan neither t~e 
lands in question covered by that notification were acquired by agreement 
nor any proceedings under the Land Acquisition Act, 1894 were com-
menced. Thereafter, they issued notices and on expiry of the period of six 
F 
months from the date of service of such notices it was claimed on their 
behalf that the designation of the land had lapsed. This found favour with 
the High Court. Being aggrieved the appellant-ADDA preferred the present 
appeal. 
G 
Allowing the appeal, this Court 
HELD : 1.1. The State Government could not have sanctioned the 
draft development plan submitted by the Municipal Corporation on 
12.8.1983 because the Gujarat Town Planning Urban Development Act, . 
1976 had come into force on 30.1.1978, and Section 124(2) of the Gujarat 
H Town Planning Act shall not save the plan submitted by the Corporation, 
AHMEDABAD URBAN DEV. AlJTHORITY v. MANUAL GORDHANDAS 
81 
provision

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