U.P. AVAS EVAM VIKAS PARISHAD versus RAM KRISHNA AND ORS.

Citation: [2002] 1 S.C.R. 988 · Decided: 13-02-2002 · Supreme Court of India · Bench: G.B. PATTANAIK · Disposal: Disposed off

Judgment (excerpt)

A 
B 
U.P. A VAS EVAM VIKAS PARJSHAD 
V. 
RAM KRISHNA A:'llD ORS. 
FEBRUARY 13. 2002 
(G.B. PATTANAIK, S.N. PHUKAN AND S.N. VARIAVA, JJ.] 
Utrar Pradesh Avas Evam Vika' Parishad Adhiniyam, 1965/Uttar Pradesh 
Planning and Development Act, /'l73 Sectiuns 16, 28 and 32159 Housing 
C . scheme framed in a development area Afotijiwtion of the Scheme Subsequent 
approval of the scheme by State Government 
Validity of Held, approval by 
the State Government can be unly on the final scheme prepared after 
consideration of ubjections lo the notified scheme Under the law, no previous 
approval was warranted before the notification of the Scheme. 
D 
The disputed area of land was declared as a development area in 1974 
under the Uttar Pradesh Planning and Development Act, 1973. The Act 
repealed the earlier Act known as the Uttar Pradesh Avas Fvam Vikas 
Parishad Adhiniyam, 1965 (Adhiniyam). However, this area was exempted 
from the Act by an amendment u11der section 59 of the Act in 1976. Lnder 
the exemption, appellant-Board is authorised to initiate new housing schemes 
E in the development area with the approval of State Government under the 
Adhiniyam. In 1980, a housing scheme was notified by the appellant under 
section 28 of the Adhiniyam. The State Government approved t!te scheme 
under section 32 of the Adhiniyam in 1982. Respondents, whose lands were 
acquired by the appellant for the scheme, filed Writ Petitions in High Court 
F challenging the scheme on the ground that the scheme has been notified prior 
to the approval by the State Government. The High Court allowed the Writ 
Petitions holding th<lt only those schemes which are initiated with the prior 
approval of the State Government would be exempted under the provisions 
of the Act. 
G 
H 
In appeal, the appellant submitted that this Court in UP. Avas Evam 
Vikas Parishad and Anr. v. Friend~ Coup. Housing Society ltd. and Anr., (19951 
Supp 3 SCC 456 had already held that prior approval of the State 
Government was not necessary before initiatim1 of the scheme by a notification 
under section 28 of the Adhiniyam; and that by subsequent approval, all the 
previous acts done and actions taken get validated and the notification made 
988 
• 
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L.P. AVAS EVAM VIII.AS PARISHAU v. RAM KRISHNA 
989 
becomes valid. 
A 
-~ 
The Court referred the matter to a larger Bench consisting of three 
judges for reconsideration of the above decision holding the view that a scheme 
is initiated under section 16 and not under section 28 of the Adhiniyam as 
held previously; that it must be first approved by the State Government before 
notification of the same under section 28 of the Adhiniyam; and that the B 
subsequent approval would not cure the defect. 
"'"' 
The respondents contended that a scheme can be initiated on framing 
of the scheme under Section 16 and such a scheme should be notified by the 
,. 
appellant under Section 28 of the Adhiniyam only after the grant of prior 
~ 
approval by the State Government; that the language in the Act granting c 
exemption indicates that the initiation and approval of the scheme must be 
together; that the disputed scheme was uot initiated with the approval of the 
State Government and hence, is not covered by the exemption granted under 
the Act; that, by the operation of the Act, the provisions of the Adhiniyam 
remained suspended for the disputed land and could not be invoked by the D 
appellant and hence, the appellant had no legal authority to issue notifications 
... 
under Sections 28 and/or Section 32 of the Adhiniyam and the same were 
wholly illegal; and that there is no subsequent approval of the State 
Government contemplated under the Act or the Adhiniyam. 
Disposing of the appeals, the Court 
E 
HELD: I.I. Under the Uttar Pradesh Avas Evam Vikas Parishad 
Adhiniyam, 1965, there is no provision for sanctioning of the scheme prior to 
its notification under section 28. The question of sanction, by the Board or 
>-
the State Government, can arise only after the scheme has been notified under 
Section 28 of the Adhiniyam and objections thereon are heard and decided. F 
> 
The sanction has to be a final scheme and not to any draft scheme which has 
been framed. For purpose of granting a sanction. The Board and/or the State 
Government, has to consider not just the scheme but also the objections of 
the persons concerned. Only then the sanctioning authority can apply its mind 
as to whether the scheme is to be sanctioned a

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