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SHIRDI NAGAR PANCHAYAT versus KISHOR SHARAD BORAWAKE AND OTHERS

Citation: [2023] 12 S.C.R. 545 · Decided: 22-09-2023 · Supreme Court of India · Bench: BHUSHAN RAMKRISHNA GAVAI · Disposal: Appeal(s) allowed

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Judgment (excerpt)

[2023] 12 S.C.R. 545 : 2023 INSC 851
545
CASE DETAILS
SHIRDI NAGAR PANCHAYAT
v.
KISHOR SHARAD BORAWAKE AND OTHERS 
(Civil Appeal No. 6087 of 2023)
SEPTEMBER 22, 2023
[B. R. GAVAI AND S. V. N. BHATTI, JJ.] 
HEADNOTES
Issue for consideration: The High Court by order dated 04.07.2019 
partly allowed the petition fi led by the respondents/landowners challenging 
the notifi cation dated 18.08.2004, whereby respondents’/landowners’ land 
was converted to ‘residential/commercial zone’ from ‘no development/green 
zone’, subject to appellant’s receiving 10% as ‘amenity space’ and 10% as 
‘open space’ of the total land area.
Land Use Conversion – Land owners and plot holders contended 
that the ownership of the ‘open space’ and the ‘amenity space’ vest in 
the landowners/plot holders and as such, order of the High Court needs 
no interference:
Held: The High Court was right in holding that insofar as ‘open 
space’ is concerned, it was required to be kept as ‘open space’ for use by 
the plot holders – However, insofar as the ‘amenity space’ is concerned, 
the High Court mixed it with the ‘open space’– It was to be handed over to 
the Municipal Council as one of the pre-conditions for converting the land 
from a ‘No Development Zone’ to a ‘Residential Zone’ – Not only that, but 
acting on the said Notifi cation, the landowners entered into more than one 
agreement with the Municipal Council, thereby agreeing to hand over the 
‘open space’ as well as the ‘amenity space’ to the Municipal Council – In 
the instant case, insofar as the compulsory reserved land is concerned, it 
pertains to ‘open space’ and there is no need to interfere with the fi nding 
of the High Court in that regard – However, as far as the ‘amenity space’ 
is concerned, it was on the basis of the conditions imposed by the State 
546
SUPREME COURT REPORTS 
[2023] 12 S.C.R.
of Maharashtra while converting the land, which was reserved for a ‘non-
residential’ purpose, to a ‘residential’ purpose – The landowners not only 
accepted the said condition but also acting on the basis of the same entered 
into more than one agreement with the Municipal Council transferring the 
‘amenity space’ in favour of the Municipal Council – If a Government gives 
the benefi t of development of land concerned with permission to sub-divide 
the same and uses it for commercial purpose and it, in turn, requires the 
landowner to handover part of land free of cost for public utility purpose, 
such a clause cannot be held to be illegal – As such, the High Court has 
grossly erred in allowing the writ petitions – Judgment and order dated 
04.07.2019 passed by the High Court set aside. [Paras 20, 21, 22 and 23]
LIST OF CITATIONS AND OTHER REFERENCES
Pt. Chet Ram Vashist (Dead) by LRs. V. Municipal Corporation of 
Delhi (1995) 1 SCC 47: [1994] 5 Suppl. SCR 180; A.P. State Financial 
Corporation v. GAR Re-rolling Mills and another (1994) 2 SCC 647: [1994] 
1 SCR 857; R.N. Gosain v. Yashpal Dhir (1992) 4 SCC 683: [1992] 2 Suppl. 
SCR 257; National Insurance Co. Ltd. v. Mastan and another (2006) 2 
SCC 641: [2005] 5 Suppl. SCR 704; State of Punjab and others v. Dhanjit 
Singh Sandhu (2014) 15 SCC 144: [2014] 3 SCR 1121; Union of India and 
others v. N. Murugesan and others (2022) 2 SCC 25; Narayanrao Jagobaji 
Gowande Public Trust v. State of Maharashtra and others (2016) 4 SCC 
443 – referred to.
OTHER CASE DETAILS INCLUDING IMPUGNED 
ORDER AND APPEARANCES
CIVIL APPELLATE JURISDICTION : Civil Appeal No.6087 of 2023.
From the Judgment and Order dated 04.07.2019 of the High Court of 
Judicature at Bombay at Aurangabad in WP No.2486 of 2018.
With
Civil Appeal No.6088 of 2023.
Appearances:
Sanjay Kharde, Satyajeet Kharde, Sunil Kumar Verma, Advs. for the 
Appellant.
547
Amol Gavali for M/s S-legal Associates, Hitendra Nath Rath, Ms. 
Pradnya Talekar, Shashibhushan P. Adgaonkar, Omkar Jayant Deshpande, 
Mrs. Pradnya S Adgaonkar, Rana Sandeep Bussa, Aaditya Aniruddha Pande, 
Siddharth Dharmadhikari, Bharat Bagla, Sourav Singh, Aditya Krishna, 
Advs. for the Respondents.
JUDGMENT / ORDER OF THE SUPREME COURT
JUDGMENT
B. R. GAVAI, J.
1. Leave granted.
2. The present set of appeals challenge the common judgment and 
order passed by the Division Bench of the High Court of Bombay at 
Aurangabad, dated 4th July 2019, thereby partly allowing the petition fi led 
by the respondents/landowners challenging the notifi cation dated 18th August 
2004, whereby respondents’/landowners’ land was converted to ‘residential/

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