Delhi Municipal Corporation Act, 1957 : ss. 2(52), 2(61), 502, 507(a) – Delhi Land Reforms Act, 1954 – ss. 3(5), 150 – Delhi Development Act, 1957 – Special provisions as to rural areas – Recorded Bhumidhar sold his land in a village in Delhi to one vide registered sale deed – He again sold some portion of his land to respondents vide sale deed in 1989 and their names were mutated subsequently – Appellants case that before the said sale deed could be executed in favour of the respondents, the appellants had come into possession over the subject land – Appellant never challenged the mutation order claiming adverse possession by filing appeal u/s. 64 of the 1954 Act – Said order of mutation was set aside by Financial Commissioner holding that the said transfer was in contravention of s.33 of the 1954 Act and ordered that the land to be vested in Gaon Sabha – Challenged to, by respondent and the writ petition was dismissed – However, Division Bench held that once by issuance of a notification u/s. 507(a), the rural area-subject land is urbanised, it ceases to be rural area and be governed by the provisions of the 1954 Act in sequel thereto and proceedings under 1954 Act were non est – On appeal, held : On harmonizing the provisions of the 1954 Act and 1957 Act, once a notification has been published in exercise of power u/s. 507(a), the provisions of the 1954 Act cease to apply – In sequel thereto, the proceedings pending under the 1954 Act become non est and loses its legal significance – On facts, to do complete justice to the parties, the appellants directed to hand over physical possession of the subject land free from all encumbrances to the respondents – Constitution of India – Art.142.
Dismissing the appeal, the Court
HELD: 1.1 The combined reading of the provisions clearly indicates that the Delhi Land Reforms Act, 1954 will not cover such area as defined in the first instance which may or before the first day of November, 1956 be included in a Municipality. The ‘land’ which has been defined u/s. 3(13) provides that except in sections 23 and 24, such of the land held or occupied for purpose connected with agriculture, horticulture or animal husbandry including pisciculture and poultry farming and further includes other categories which are part of land but at the same time, it does not include land occupied by building in belts or areas adjacent to Delhi town. [Para 25][268-D-E]
1.2 ‘Delhi town’ has been defined under Section 3(5) of the Act which clearly defines that areas which immediately before the establishment of the Municipal Corporation of Delhi were included in the limits of Delhi Municipality. There is complete exclusion of the land occupied by buildings adjacent to Delhi town which falls before the establishment of Municipal Corporation of Delhi and is not a land covered for the purpose by deciding rights of the parties under tenure holder under Chapter II of the Act, 1954. [Para 26][268-F-G]
1.3 Section 150(3), (4) and (5) of the Act indicate that if the Gaon Sabha area ceases to be included in rural areas as defined in the Act, 1957 by virtue of notification under Section 507 of the Act, the Gaon Sabha shall thereupon stand dissolved or if a portion of Gaon Sabha area ceases to be included in rural areas as aforesaid, the jurisdiction of the Gaon Sabha for that area ceases in respect of that portion and for that portion stands dissolved or to that extent, the size of the Gaon Sabha stands reduced as a result of a portion ceasing to be included in rural area. [Para 27][268-G-H; 269-A]
1.4 The Act, 1957 has been primarily enacted to have a uniform body to administer the Delhi Municipal Corporation to consolidate various bodies, local authorities, looking after the municipal affairs and to centralise for better administration and to overcome the problems being faced by various authorities as well as by the public. Section 2(52) defines the ‘rural areas’ which demonstrates that the area of Delhi which immediately before the establishment of a Corporation, falls within the local limits of the District Board of Delhi, be considered to be the rural area but that shall not include such portion thereof which by virtue of notification u/s. 507 declared to be urbanized and it ceases to be included under the term ‘rural areas’ and Section 2(61) defines ‘urban areas’ as the areas of Delhi which are not rural areas. [Para 29, 30][270-C-E]
1.5 Once there is a notification issued by the competent authority in exercise of power under Section 507(a) which is a special provision in reference to rural areas, such of the rural areas cease to be included therein upon issuance of the notification and shall thereafter include in and form part of the urban areas in terms of the notification. Sub-clause (b) and (c ) of Section 507 deals with the nature of grant of exemption or levy of taxes for such of the areas falling within the scope and ambit of the Act, 1957. At the same time, Section 502 only provides that this Act (Act 1957) shall not be construed authorizing disregard to any law for the time being in force and rightly so for the reason, that scope and ambit of the Act, 1954, in no manner, has to be disregarded by the provisions of the Act, 1957. [Para 31, 32][270E-H]
1.6 Delhi Development Act, 1957 now here makes a distinction in the nature of land whether it is rural or urban, as the case may be. The DDA Act, 1957 is enacted with an object of development of Delhi according to sanctioned plan and for matters ancillary thereto. If the term ‘development’ as defined under Section 2(e) of the DDA Act is considered, it clearly notifies that such of the area which has been declared to be a development area under Section 12, after publication in the official gazette, shall be considered a development area within the purport of the Act and it is a complete code in itself for the purpose of disposal of land. The expression ‘land’ in Section 2(l) is in reference to the Land Acquisition Act, 1894. DDA Act is only for the purpose of development of Delhi according to the sanctioned master plan and zonal development plan notified under Section 7 of the Act and for matters ancillary thereto regardless of fact whether it is a rural area or urbanized which is for different purposes covered by the provisions of the Act, 1954 and Act 1957. [Para 33, 35][271A-C; 272-F-G]
1.7 After harmonizing the provisions of the Act, 1954 and Act 1957, once a notification has been published in exercise of power u/s. 507(a) of the Act, 1957, the provisions of the Act, 1954 cease to apply. In sequel thereto, the proceedings pending under the Act, 1954 become non est and loses its legal significance. [Para 36][272-G-H]
1.8 The respondents purchased the subject land from M (recorded Bhumidhar) by a registered sale deed in 1989 and subsequently,mutation also, at one time, was opened in their names. Later, they were compelled to file a civil suit in the year 1990 for taking over possession of the subject property in question. It reveals from the record that after a few rounds of litigation, the Financial Commissioner set aside the order of mutation, the matter later travelled to the Division Bench of the High Court of Delhi and it was held that once the rural area is urbanized by issuance of notification under Section 507(a), it ceases to be governed by the provisions of Act, 1954. [Para 40, 41][273-G-H; 274-A-B]
1.9 Even after upholding the judgment of the Division Bench of the High Court it gives a fresh life to the respondents to go ahead in taking possession of the subject property despite the fact that registered sale deed was executed in their favour by M (Bhumidhar) but they are still deprived of possession and the defence of the appellants in counter is that they are in possession of the subject land by adverse possession. At the same time, this Court may also record that the registered sale deed executed in favour of the respondents by M (Bhumidhar) was never the subject matter of challenge and no such proceedings are pending in the Court of law. [Para 42][274-B-D]
1.10 The civil suit filed at the instance of the respondents for taking possession of the subject land which is pending for the last 32 years has not started its journey as yet and this is called the travesty of injustice to a person who is indisputedly the title holder still unable to enjoy the property. In the given facts and circumstances, in exercise of the power under Article 142 and to do complete justice to the parties, the appellants are directed to hand over physical possession of the subject land free from all encumbrances to the respondents within the stipulated period. [Para 43, 44][274-D-G]
Om Prakash Agarwal and Others v. Batara Behera and Others (1999) 3 SCC 231 : [1999] 1 SCR 969 – held inapplicable.
Umed Singh v. Govt. of NCT of Delhi and Others 1997 SCC Online Del 842 – disapproved.
Smt. Indu Khorana v. Gram Sabha and Others 2010 SCC Online DEL 1334 – approved.
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