Full Judgment Text
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PETITIONER:
EXPRESS NEWSPAPERS PVT. LTD. & ORS.
Vs.
RESPONDENT:
UNION OF INDIA & ORS.
DATE OF JUDGMENT07/10/1985
BENCH:
SEN, A.P. (J)
BENCH:
SEN, A.P. (J)
VENKATARAMIAH, E.S. (J)
MISRA, R.B. (J)
CITATION:
1986 AIR 872 1985 SCR Supl. (3) 382
1986 SCC (1) 259 1985 SCALE (2)973
CITATOR INFO :
D 1988 SC 350 (13)
R 1989 SC 997 (14)
E&D 1991 SC 855 (32)
D 1992 SC 604 (112)
ACT:
Articles 32 & 226 - Executive action challenged on
grounds of violations of Art. 14, l9(1)(a) & (g) by writ
petition Maintainability of - Issues pertaining to civil
rights arising out of contracts between parties - Whether
can be decided on mere affidavits. Held: Filing of civil
proceedings only remedy - Civil Procedure Code, 8.9.
Articles 19(1) (a) and (2) - Freedom guaranteed under
Whether comprehends freedom of press - Violation of such
freedom - How to be determined.
Articles 239(1), 53(1), 72,77, 240 & 298 - Lt. Governor
of Delhi - Whether successor of the former Chief
Commissioner of Delhi - Whether has power to deal with
allotment/lease etc. Of lands falling within Union Territory
of Delhi and which is under control and administration of
Land & Development Officer and vests in Govt. Of India,
Ministry of Works & Housing - Govt. of Part ’C’ States Act
1951, sec. 21, Proviso, Authentication (Orders & Other
Instruments) Rules 1958, Govt. Of India (Allocation of
Business) Rules 1961 & General Clauses Act 1897, s.l8.
Local Authorities
Delhi Development Act, 1957 ss.53(3)(a), 12(4), 14,41
and 2(d) - Construction of a building - Permission obtained
from competent authority under the Act - Whether it will
prevail notwithstanding anything inconsistent therewith in
any other law.
Delhi Municipal Corporation Act 1957 ss.343, 344 and
481 read with Delhi Municipal Corporation (Buildings) Bye-
laws 1959 Bye-laws 25(2) - (IV-B), 21(1), 22(V) and 2(33) -
Show cause notice for taking action u/ss.343 & 344 -
Validity of Permission already granted by competent
authority under Delhi Development Act 1957 to raise the
structure and acted upon Whether raising cf structure can be
questioned under ss.343 344 - Applicability of bye-laws -
Height of building - Restriction of
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How to be decided - Construction of press building with
increased FAR of 360 with double basement for installation
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of A printing press - Validity of - Master Plan and Town
Planning Whether construction legal and in compliance with
terms and conditions of lease deed - Notice of re-entry upon
forfeiture of lease - Validity of.
Specific Relief Act 1963, SS. 5,6 and 9 - Perpetual
lease granted to a private limited company by government for
construction of building - Provisions in lease deed for
Govt. ’s right of re-entry in case of breach of lease terms
- Whether lessor can enforce that right by resort to summary
procedure Recourse to Public Premises (Eviction of
Unauthorised Occupants) Act, 1971 - When arises - ’Public
Premises (Eviction of Unauthorised Occupants) Act, 1971,
ss.2(3), and (g) and 5.
Government Grants Act 1895, s.3 - Effect of.
Administrative Law - Mala Fides - Allegations of -
Misuse of Power in bad faith for collateral purpose -
Whether amounts to mala fide exercise of power - Burden and
nab re of proof Allegations tc be definite, specific and not
vague - Court to accept them as true, if not controverted on
affidavits.
Doctrine of ultra vires - Scope of - Fraud on power
Meaning of - Exercise of power in good faith and misuse in
bad faith - Distinction between.
Doctrine of Promissory Estoppel - Applicability of
Whether applicable against government - Limitations - What
are.
HEADNOTE:
The Central Government had in the year 1949 demarcated
the press area along the Bahadur Shah Zafar Marg, New Delhi.
It consisted of plots Nos.. 1 to 10 known as Press Enclave
as a commercial complex. These plots were alloted to various
newspapers like the Indian Express, Times of India, Patriot,
National Herald etc. Petitioner No.1, Express Newspapers
Private Ltd., engaged in the business of printing and
publishing a national newspaper, Indian Express (Delhi
Edition), was alloted plot nos 9-10 Bahadur Shah Zafar Marg,
New Delhi by an indenture styled as an "agreement for lease
executed on May 26, 1954 between the petitioner and the
Secretary (Local self-government) to the Chief Commissioner
of Delhi by the orders and directions of the President of
India for the construction of a four storeyed building meant
to be used for a newspaper.
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At the time of construction of buildings in the press
area there were no restrictions as to the Floor Area Ratio
(FAR) permissible along the Bahadur Shah Zafar Marg and the
only restriction on construction of building in that area
was that the allottees of the plots should construct
buildings up to a height of 60 feet. The Express Newspapers
Pvt. Ltd. was allowed to build upon the entire area of plots
Nos. 9 and 10 with a ground coverage of 100%, that is, edge
to edge, a structure with a minimum of five storeys
including the ground floor for the purpose of installation
of a printing press for publication of a Hindi newspaper.
This permission was granted in response to the plans
submitted by the Express Newspapers Pvt. Ltd. and approved
in writing by the Chief Commissioner of Delhi acting for
and on behalf of the lessor, that 18, the Union of India.
During the preliminary work of construction by the
Express Newspapers Pvt. Ltd. an underground sewer line was
found to be running diagonally across plot nos. 9 and 10. It
was agreed between the parties vide lease agreement dated
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November 19 1957 that in view of the underground drain
running through the plots
the Express Buildings would be constructed only to the East
of the drain till the drain was diverted. In effect, an area
of 2740 square yards to the West of the drain had to be left
open as residual plot of the land out of a total area of
5703 square yards. The Express Newspapers Pvt. Ltd.
constructed the old Express Building to the East of the
sewer line with an FAR of 260 with reference to the entire
plot leased to lt i.e.. plots Nos. 9 ant 10 although the
building occupied only half of the area. On March 17, 1958
another perpetual lease was executed by Assistant Secretary
(LSG) to the Chief Commissioner, Delhi by the order and
direction of the President of India demising on behalf of
the Union of India in perpetuity the Nazul land described
therein in consideration of payment of a premium and yearly
rent. Likewise, the earlier agreement dated November 19,
1957 80 also the supplementary agreement of May 26, 1954
were also executed by the salt Officer in the same manner.
Both the agreements stipulated that the rules, regulations
ant laws of the Municipal Corporation of Delhi relating to
buildings which may be in force from time to time shall be
confirmed to by the lessee.
On November 6, 1959 all functions relating to
administration of leases of Government lands in Delhi were
transferred from the Chief Commissioner of Delhi (LSG) to
the Ministry of Works 6 Housing.
In the year 1977, petitioner No.l, the Express
Newspapers Pvt. Ltd., approached the Municipal Corporation
of Delhi for
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shifting the sewer line outside plots 08. 9 and 10 and also
moved the lessor, the Union of India, Ministry of Works and
housing for grant of requisite sanction to construct the new
Express Building with an FAR of 40. The Chief Engineer,
Delhi Water Supply ant Sewage Disposal Undertaking granted
approval to the diversion of the sewer line at the cost of
petitioner No-l. Thereafter, petitioner No.1, informed the
Ministry of Works and Housing about the aforesaid approval
granted by the Municipal l Corporation of Delhi and
requested the Ministry for advice on the FAR permissible for
the said building. The matter was processed in the Ministry
of Works and Housing at various leveling ultimately on
October 21, 1978, the Vice-Chairman , Delhi Development
authority took the following decision (a) to amalgamate
plots Nos.9 and 10.and taking into account the existing
built-up area would permit the FAR of 360 overall; (b) to
allow the residual area of plots Nos.9 and 10 to be built
in line with the Times of India and Shama Building; (c) to
exclude the basement from the calculation of the FAR
provided the basements are for office purposes; (d) to per
lt permit on the service road in the same manner as it was
for the other building in this line. The Vice-Chairman
further directed that the aforesaid order was to be treated
as one under special appeal. He accordingly gave instruction
for issuing ’No Objection’ to petitioner No-l for
construction on the residual area and to make a reference-
to the Government of India asking for confirmation of the
action proposed in view of the order of the Minister for
Works and Housing to clear the cases immediately and to
obtain his ex post facto sanction. On November 4, 1978 the
Joint Director (Buildings) Delhi Development Authority
issued a "No Objection Certificate to the petitioners and
the Ministry of Works ant Housing granted it ex post facto
approval on November 24, 1978. Thereafter, petitioner KNOB
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constructed its new Express Building.
On February 17, 1980, respondent No.2 Jagmohan assumed
office at the Lt. Governor of Delhi and on the same evening,
he summoned the Commissioner of the Municipal Corporation of
Delhi and called for the files relating to the construction
of the new Express Building at Bahadur Shah Zafar Marg, New
Delhi. On the next day, the necessary files were made
available. On February 20, 1980, some important files of the
Delhi Development Authority relating to the Express
Buildings were sent to respondent No.2. On February 29,
1980, respondent No.2 through the Commissioner MUNICIPAL
Corporation of Delhi caused the locks of the office and
cupboards of the Zonal Engineer (Building) to be broken open
to
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take away the file relating to the new Express Building. On
March 1, 1980 respondent No.2 convened a press conference in
which he handed over a press release alleging (1) that the
new Express Building put up by the petitioner FAS in
contravention of law in several respects; (11) that he had
ordered an inquiry to be made by a committee of three of his
subordinate officials and (111) that the new Express
Building might have to be demolished. On the same day,
although the relevant files had been removed from his
office, the Zonal Engineer (Buildings), City Zone, Municipal
Corporation of Delhi served a notice on petitioner No.1, to
show cause why action should not be taken for demolition of
the Express Buildings under 88. 343 and 344 of the Delhi
Municipal Corporation Act, 1957. On March 4, 1980, a second
press release was issued from the Raj Nivas, to justify the
action of respondent No.2 in initiating the inquiry. The
issue of show cause notice again figured in a third press
release dated March 8, 1980. The Ministry of Works and
Housing also submitted the files relating to the
construction of the New Express Building to respondent No.2
on March 7, 1980. On March 1, 1980 the Engineer Officer in
the Land and Development Office under the Ministry of Works
and Housing also issued a notice to the petitioners to show
cause within 30 days as to why the property should not be
re-entered under clause 5 of the perpetual lease on the
grounds: (1) that the construction of the New Express
Building was without permission from the lessor under the
terms of lease; (ii) that the plans were not submitted for
the sanction under the terms of lease by the lessor; and
(iii) that the plans were in contravention of cl.2(5) and
2(14) of the lease deed. On March 12, 1980 at a specially
convened Press Conference, respondent No.2 released the
report of the Committee of his subordinates which
substantiated the view of respondent No.2 and also found
that petitioner No.1 was liable to pay Rs. 35 lacs as
conversion charges.
The petitioners challenged the validity of the
aforesaid two notices before the Supreme Court under Art.32
of the Constitution on the grounds: (i) That the Lt.Governor
appointed by the President under Art. 239(1) of the
Constitution 18 an Administrator and he discharges such
functions as are entrusted to him by the President of India
and in the absence of a notification under Art. 239(1), the
Lt. Governor cannot usurp the functions of the Union of
India in relation to the properties of the Union: (11) that
the Lieutenant-Governor 1 not a successor of the Chief
Commissioner of Delhi. There was notification issued by the
President under Art. 239(1) of the Constitution for
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the conferral of any power on the Lt. Governor to administer
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the lease in question; (ill) that lt is inconceivable that
after October 1, 1959 when the administrative control over
the Land Development Officer was transferred from the Delhi
Administration to the Ministry of Works Housing and by
virtue of a notification issued under Art. 299(1) the
Secretary, Ministry of Works Housing was made the competent
authority tc act for the President with regard to any
contract, grant or as assurance or property of the Union,
the Lt.Governor could still arrogate to himself the powers
of the Union of India, Ministry of Works Housing in relation
to the lease; (lv) that respondent No.2, Jagmohan, is
actuated with personal bias against the Indian Express which
had published an article in the Indian Express in April 1977
with regard to his role during the period of Emergency in
Turkman Gate demolitions. The proposed action of re-entry by
the lessor i.e. the Union of India Ministry of works &
Housing at the instance of the Lt. Governor of Delhi is an
act of political vendetta. The impugned notices have been
issued with an evil eye and an unequal hand and with a
deliberate design to compel the petitioners to close down
the Express Group of Newspapers in general and the Indian
Express in particular. The said notice are ex-facie illegal
and without prediction and are contrary to facts and legal
provision . The arbitrary and discriminatory initiation of
executive action under the guise of alleged infraction of
the terms of the lease auditor the Master Plan of Delhi and
or the Municipal building bye-law is violative of the
petitioners’ fundamental rights under Arts.14,19(1) (a) and
19(1)(g) of the Constitution; (v) that the impugned notice
issued by the Zonal Engineer (Building) City Zone, Municipal
Corporation of Delhi Dated March 1,1980 was illegal and void
as he did not apply his mind at all to the question at issue
but merely issued the same at the instance of respondent
No.2. The construction of the said building was not without
or contrary to the sanction referred to in s.336 or in
contravention of any of the provisions of the Act or bye-
laws mate thereunder; (vi) that the erection of the double
basement or a working platform in a printing press like the
Express Newspapers Pvt. Ltd. is a compoundable deviation
from the sanctioned plan and the insistence of the Municipal
Corporation of Delhi to demolish the same suffers from the
vice of hostile discrimination. (vii) that the construction
of the new express Building its an increased FAR of 360 was
in conformity with clause 2(5) of the perpetual lease dated
March 17,1958 inasmuch as it was with the express sanction
of the lessor i.e. the Union of India. In terms of the
Government of India (Allocation of Business Rule, 1961 as
well
388
as under a notification issued under Art.299(1), the
Ministry of Works & Housing with the Minister at the head
was and is the ultimate authority responsible to deal with
the property of the Union and to enter into all contractual
obligations relating thereto. The Minister had not only full
authority, power and jurisdiction to grant permission to the
petitioners to construct
the new Express building with an increased FAR of 360 with
a double basement for the installation of the printing
press, but the action taken by the then Government was in
good faith after taking into consideration all the
circumstances attendant at all levels. (viii) that there
could be no objection to the construction of the new Express
Building with an increased FAR of 360 as it allowed the
residual area of plots Nos. 9 and 10 to be built in line
with other building along the Bahadur Shah Zafar Marg.
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Further, the Master Plan for Delhi subsequently approved by
the Central Government in the year 1962 does not mention the
pre area on the Bahadur Shah Zafar are comprising of the
press enclave. although specified as a commercial area, it
is not listed in the list of already built-up commercial
areas because it is relates to the walled city of old Delhi.
The Zonal development plan for D-II area within which the
pre- plots are located also permitted an FAR of 400 for the
press area in the Bahadur Shah Zafar marg. Therefore , all
that the then Minister for Works & Housing did was to
restore to the petitioners the right that they acquired
under the perpetual lease dated March 17, 1958 i.e. to be
treated alike alongwith other plot-holders in that area and
a denial of such equal terms would be opposed to the
principles of equality besides being violative of Art.14 of
the Constitution. (ix) That the Express Building at 9-10
Bahadur Shah Zafar Marg forms the nerve-centre of the
Express Group of Newspapers as the editorials and the
leading articles of the Indian press are sent out and the
editorial policy laid down from Delhi office to ten centres
all over India. In this factual background, the impugned
notices have a direct impact on the freedom of the press and
being in excess of governmental authority and colourable
exercise of statutory powers, are liable to be struck down
is offending Art.l9(1)(a) red with Art.14 of the
Constitution. (X) that the lessor i.e. the Union of India is
estoppel by the doctrine of promissory estoppel and cannot
therefore go back upon all assurances given and actions
taken by the previous government, particularly when the
petitioners had acted upon the decisions so reached and had
constructed the new Express Building with a cost of
approximately Rs. 1.30 crores by February 1980 which at
present would cost more than Rs 3 crores.
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It was contended on behalf of respondent No.1, the
Union of India; (1) that the right to occupy the land leased
for the construction of a building for installation of a
printing press is not within Art. 19(1)(a) nor within Art.
19(1)(g) but such a right is derived from a grant or
contract; (2) That the right arising out of a statute or out
of a contract cannot be a fundamental right itself. Once a
contract is entered into or a grant is mate, the rights and
obligations of the parties are not government by Part III of
the Constitution but by the term of the document embodying
the contract or the grant, and any complaint about its
breach cannot be a matter for grant of a writ, direction or
order under Art. 226 of the Constitution, such less and.
Art.32, ant since the petitioners are seeking to enforce a
contractual right, lt cannot be decided on a petition under
Art. 32 of the Constitution. (3) That the content of Art.
19(1)(g) of the constitution would not include the right
which 1 guarantee by other clauses of Art.19 (4). That the
argument of the petitioners that the building in question is
necessary for running the press and any statutory or
executive action to pull it down or forfeit the lease would
directly impinge on the right of freedom of speech ant
expression under Art. 19(1)(g) 18 wholly misconceived
inasmuch as every activity that may be necessary for
exercise of freedom of speech and expression or that may
facilitate such exercise or make lt meaningful ant effective
cannot be elevated to the status of a fundamental right. (5)
That the right to the land and the right to construct
buildings thereon for running a printing press are not
derived from Art. 19(1) (a) but spring from the terms of the
grant of such lands by the Government under the provisions
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of the Government grants Act, 1895 and regulated by other
laws governing the subject viz. the Delhi Development Act,
1957 the Master Plan ant the Zonal Development Plan framed
thereunder, the Delhi Municipal Corporation Act, 1957 and
the Delhi Municipal Corporation (Building) Bye-laws, 1959
which regulate construction of buildings in the Union
Territory of Delhi irrespective of the purpose for which the
building 18 constructed. (6) That the right to run a press
may be a fundamental right guaranteed under . Art. 19(1)(a)
or Art. 19(1)(g) but the right to use a particular building
for running a press is altogether another thing inasmuch as
no particular building is equally fit for the running of the
press and the person desiring to run a press or already
running the press is at liberty to acquire another suitable
building for that purpose. Further, even if the buildings in
question were necessary for the enjoyment of the rights
under Art-19(1)(a) or Art. 19(1)(R) ’a right to use a
particular building does not
390
become an integral part of the right to freedom of speech
and expression’ or the ’right to carry on any trade of
business in printing and publishing a newspaper’ and clearly
therefore the petitions under Art. 32 are not maintainable.
(7) That even on a question of fact, the direct impact of
the impugned notices will not be on the double basement
wherein printing press is installed but will be wholly or in
part on the two upper storeys which are not intended to be
used in relation to the press or for publication of the
intended Hindi newspaper but only for the purpose of letting
out the same for profit; the only other possible effect any
be the removal of the upper basement which the petitioners
call a working platform which has been constructed in
violation of the building regulations. (8) That there was no
imminent danger of demolition of the Express Building nor
was the impugned notice dated March 10, 1980 issued by the
Engineer Officer, Land & Development Office, a notice of re-
entry upon forfeiture of lease. It was merely a notice of an
exploratory nature requiring the petitioners to show cause
why the lease should not be forfeited under cl.5 of the
lease-deed for alleged breaches of cls.- 2(5) and 2(14)
thereof. The Petitioners should have therefore entered
appearance before the Land & development Officer and showed
cause against the action proposed. It was only if the Land &
Development Officer was not satisfied with their
explanation, that he would put up the papers before the Lt.
Governor for necessary action. It would then be for the
lessor i.e. the Union of India, Ministry of Works & Housing
to decide whether or not the lease should be forfeited under
cl.5 of the lease-deed. (9) That the impugned notice by the
Engineer Officer purporting to act on behalf of the lessor
i.e. the Union of India, Ministry of Works & Housing was not
based either on the report of the Three-Member Committee
obtained by the Lt.Governor or on the basis of any
communication from him, (10) That the Lt.Governor had no
powers in relation to the properties of the Union and,
therefore, the Union of India 1 not bound by the acts of
the Lt. Governor. The Lt. Governor had no power in relation
to the lease and, therefore, he could not usurp to himself
the powers and functions of the Union of India in relation
to the lease deed. However the Lt.Governor as the
Administrator had to keep himself informed and cannot be
said to have acted malafide merely because of any possible
personal malus animus on his part, if the quality of the
action was itself in complete accord with the law. (11) That
the Government itself was in possession of relevant records
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and applied its mind to them and the impugned notice issued
by the Engineer Officer who was empowered to act on behalf
of the President under Act.299(1) of the Constitution
391
having been authenticated in the manner required by
Art.77(3), it must be deemed to be the decision of the
President on the advice of the Council of Ministers as
enjoined by Art.74(2) and the Court was precluded from
making any investigation into the circumstances thereto.
(12) That it was the respondent No.2 to meet the charges of
malafides levelled against him.
On behalf of respondent No.2, the Lt.Governor of Delhi,
it was argued: (1) That the Administrator appointed by the
President under Art.239(1), as amended by the Seventh
Amendment, could be called by any designation, that the
Chief Commissioner of Delhi continued to be the
Administrator of the Union Territory of Delhi under
Art.239(1) after November 1, 1956 when the Government of
Part States Act, 1951 was replaced by 8.130 of the States
Reorganisation Act, 1956 and that he functioned as such till
September 6, 1966 since the Delhi Administration Act, 1966
continued to use the nomenclature of Administrator appointed
by the President under Art.239(1). It was for the first time
on September 7, 966 that the Administrator of the Union
Territory of Delhi who used to be designated as the Chief
Commissioner was re-designated as the Lt.Governor. (2) that
the Lt.Governor was successor of the Chief Commissioner and,
therefore, all the powers exercisable by the Chief
Commissioner in relation to the lease vested in him. (3)
That the Lt. Governor was the alter ego of the President in
relation to such territory which he is called upon to
administer on behalf of the President. One of the primary
functions of the Lt. Governor, as the Administrator, was to
be aware of facts brought to his knowledge and therefore
respondent No.2 could not have turned a blind eye to the
action of Sikander Bakht, the then Minister for Works
Housing in making a highly fraudulent, illegal and improper
grant of sanction to petitioner No.1, the Express Newspapers
Pvt. Ltd. to build the new Express Building with an
increased FAR of 360. (4) That the Lt. Governor as the
appointed agent or nominee of the President was entitled to
act on behalf of the lessor i.e. the Union of India,
Ministry of Works & Housing in relation to the lease and
therefore, he was well within his rights (a) in calling for
and making perusal of the respective files from the Ministry
of Works & Housing Delhi Development Authority and the
Municipal Corporation of Delhi pertaining to the
construction of the Express Building with an increased FAR
of 360; (b) in constituting a Three-Member Committee to
inquire into the circumstances
392
relating to the grant of sanction by the then Minister of
Work & Housing and to take necessary steps as regards the
unauthorised construction of the new Express Building; and
(c) in forwarding the report of the Three-Member Committee
to the concerned authority, meaning the Minister for Works &
Housing for taking necessary steps. (5) that the transfer of
administrative control of the L & O on October 1, 1958 to
the Ministry of Works & Housing did not divest the Chief
Commissioner of his contractual powers given under the lease
and he alone represented the lessor i.e. the Union of India
and not the Ministry of Works & Housing (6) That being the
Lt. Governor of Delhi, he was responsible for the
administration of the Union Territory of Delhi and, as such,
he was acting within his power to direct all the authorities
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concerned to prevent violation of laws by any person or
institution. He further asserted that he, as the Lt.
Governor of Delhi, was fully competent to appoint the
Inquiry Committee under the Commissioner of Inquiry Act,
1952. (7) that the Union of India or the Lt. Governor of
Delhi never intended to inflict a reprisal on the
petitioners for the independent stand of the newspapers they
publish. (8) that the respondents had no personal animosity
towards the Express Group of Newspapers and the criminal
complaint for defamation was instituted by respondent No.2
because the Indian Express was guilty of fabricating and
publishing false, motivated, scandalous stories about
respondent No.2 and others. (9) That he had not ordered the
issuance of the notice in question and that the Land &
Development Officer was an authority independent of the
administrative control and supervision of the Lt. Governor.
As regards the impugned show cause notice issued by the
Zonal- Engineer (Building) City Zone, Municipal Corporation
of Delhi, lt was asserted that the same had been issued by
the Municipal Corporation of Delhi in exercise of its
statutory powers under 88. 343 and 344 of the Delhi
Municipal Corporation Act after verification of the
allegations. (10) That the perpetual lease-deed dated March
18, 1958 governs the relationship effectively between the
Union of India and the Lt. Governor on the one hand and the
petitioners on the other i.e... the contractual relations
between the parties. (11) That the sewer, according to the
terms of the lease-deed, could not be diverted without the
consent of the Chief Commissioner and the approval of the
Ministry of Works & Housing was a nullity being without
jurisdiction and legal competence. (12) that for the
commercial user of the residual area to be kept as ’green’
it is only the Chief Commissioner (Lt. Governor) who could
give
393
sanction to construct for the commercial user at the
residual area; the petitioners were liable to pay commercial
realization changes; and (13) that lt is for the Chief
Commissioner (Lt. Governor) to decide if the breaches were
remediable or as to the nature of the remedies required for
the breach. Since the breaches are not remediable breaches,
the impugned notice dated March 10, 1980 issued by the
Engineer Officer, L & O for re-entry upon the land on
forfeiture of the lease for breach of the conditions was
valid and proper.
Counsel for respondent No.4, Municipal Corporation of
Delhi, urged (1) that the Express Newspapers Pvt. Ltd. have
no right to construct the upper basement particularly when
the Corporation refused to accord sanction to it and that,
in any event, it was not such an unavoidable necessity as to
break the Law; and (2) that even if some receiving floor may
perhaps be necessary to receive the printed newspapers from
the machine, it would be achieved by locating the machines
on a suitable pedestal or by laying the floor of the
basement in such a manner as to discharge the newspaper on
the ground floor; and (3) that under the Master Plan and the
Building Bye-laws, not more than one basement is permissible
and that any basement more than one will have to be reckoned
for the purpose of FAR.
Counsel for respondent No.5 Land & Development Officer
contended (1) that under the terms of the lease deed of
1958, previous consent of either the President of India or
the Chief Commissioner (Lt. Governor) or such officer or
body as the lessor (President of India) or the Chief
Commissioner of Delhi authorised was necessary for building
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activity on the residual area of the plots (2740 sq. yards).
The Ministry of Works & Housing did not represent the lessor
or the Chief Commissioner and (2) that the Land 6
Development Officer is not a functionary under the Ministry
of Works & Housing. He is the officer appointed on behalf of
the lessor to administer the lease. At no stage the
petitioners approached the office of Land & Development for
permission to construct on the residual area of 2740
sq.yards to the west of the pipe-line and no approval was
obtained from the office of L & O for construction of a
building in contravention of clauses 2(5), (9) and (14) of
the lease. The so-called permissions and approvals obtained
by the petitioner- have no legal competence or authority
under the terms of the lease-deed
394
which governed the relationship between the petitioners and
respondent no.1.
Allowing the writ petitions,
^
HELD : By the Court (Per A.P. Sen, E.S. Vankataramiah &
R.B. Misra, J.)
(1) The writ petitions under Art.32 of the Constitution
must succeed and are allowed with costs. The notice issued
by the Engineer Officer, Land & Development Office dated
March 10, 1980 purporting to act on behalf of the Government
of India, Ministry of Works & Housing requiring the Express
Newspapers Pvt. Ltd. to show cause why the lessor i.e. the
Union of India, Ministry of Works & Housing should not re-
enter upon and take possession of plots nos. 9 and 10,
Bahadurshah Zafar Marg, New Delhi together with the Express
Buildings built thereon, under cl.5 of the indenture of
lease dated Mar h 17, 1958 for alleged breaches of cls.2(5)
and 2(14) thereof, and the earlier notice dated March 1,
1980 issued by the Zonal Engineer (Building), City Zone,
Municipal Corporation, Delhi requiring them to show cause
why the aforesaid buildings should not be demolished under
88.343 and 344 of the Delhi Municipal Corporation Act, 1957,
are quashed. It is declared that the construction of the new
Express Building on the residual portion of 2740 square
yards on the western side of plots no 8. 9 and 10,
Bahadurshah Zafar Marg with an increased FAR of 360 with a
double basement for installation of a printing press for
publication of a Hindi daily newspaper was with toe
permission of the lessor i.e.. the Union of India Ministry
of Works & Housing and did not constitute a breach of
clauses 2(5) and 2(14) of the lease-deed. 554 E-; 555 Al
(2) The Lt. Governor failed to make a distinction in
this case between the power with respect to the subject
’Property of the Union and the revenue therefrom’ which is
in Entry 32 of List I of the Seventh Schedule to the
Constitution and the general powers of administration
entrusted to him under Article 239 of the Constitution as
the administrator of the Union Territory of Delhi. The
property in question 18 a part of the estate of the Central
Government. Mere nearness to the seat of the Central
395
Government does not clothe the Lt. Governor of Delhi with
any power in respect of the property of the Central
Government. He can discharge only those powers which are
entrusted to him by the Constitution ant the Laws. It is
also not correct to claim that all the powers of the former
Chief Commissioner of Delhi have devolved on the Lt.Governor
and continue to vest in him. [556 B-D]
Per A.P.Sen, J.
1(i) Freedom of the press is comprehended within the
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right to freedom of speech and expression guaranteed under
Art.19(1)(a). The freedom of thought and expression, and the
freedom of the press are not only valuable freedoms in
themselves but are basic to a democratic from of Government
which proceeds on the theory that problems of the Government
can be solved by the free exchange of thought and by public
discussion of the various issues facing the nation. It is
necessary to emphasize and one must not forget that the
vital importance of freedom of speech and expression
involves the freedom to dissent to a free democracy Like
ours. Democracy relies on the freedom of the press. It is
the inalienable right of everyone to comment freely upon any
matter of public importance. This right is on of the pillars
of individual Liberty-freedom of speech, which Supreme Court
has always unfailingly guarded. Howsoever precious and
cherished the freedom of speech is under Art.19(1)(a), this
freedom is not absolute and unlimited at all times and under
all circumstances but is subject to the restrictions
contained in Art.19(2). That must be 80 because unrestricted
freedom of the press and is wholly free from restraints,
amounts to uncontrolled licence which would lead to disorder
and anarchy and lt would be hazardous to ignore the vital
importance of our social and national interest in public
order and security of the State. 474 C-D; 475 D-G
1(ii) The extent of permissible limitations on this
freedom are indicated by the fundamental law of the land
itself viz. Art.19(2) of the Constitution. But, permissible
restrictions on any fundamental right guaranteed under Part
III of the Constitution have to be imposed by a duly enacted
law and must not be excessive i.e. they must not go beyond
what is necessary to achieve the object of the law under
which they are sought to be imposed. The power to imposed
restrictions on fundamental
396
right is essentially a power to ’regulate’ the exercise of
these rights. In fact, ’regulation’ and not extinction of
that which 18 to be regulated 18, generally speaking, the
extent to which permissible restrictions any go LPN order to
satisfy the test of
reasonableness. The t. t laid down by the Supreme Court 18
whether the direct and immediate impact of the impugned
action 18 on the freedom of speech and expression guaranteed
under Art.l9(1)(a) which includes the freedom of the press.
In the instant case, the very threat 18 to the
existence of a free and independent press. The impugned
notices of re-entry upon forfeiture of lease ant of the
threatened demolition of the Express Buildings are intended
and meant to silence the voice of the Indian Express. It
must logically follow that the impugned notices constitute a
direct ant immediate threat to the freedom of the press ant
are thus violative of Art.l9(1)(a) read with Art.14 of the
Constitution. It must accordingly be held that these
petitions under Art.32 of the Constitution are maintainable.
[475 H; 476 A-C; 477 D-E]
Benett Coleman Co. Ors. v. Union of India Ors. [1973]
2 S.C.R. 757 followed.
Romesh Thappar V. State of Madras [1950] S.C.R. 594,
SAKAl Papers (P) Ltd. & Anr. v. Union of India [1962] 3
S.C.R. 842 and Express Newspapers (P) Ltd. & Anr. v. Union
of India & Ors. [1959] S.C.R. 12 at 120 relied upon.
The correctness of the landmark decision in Meneka
Gandhi’s case and the innovative constriction placed on
Art.14 In the three cases of Royal, Maneka Gandhi and
International Airport Authority (supra), which have evolved
new dimensions in judicial process, is no longer open to
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question. [472 C-D]
Meneka Gandhi v. Union of India [1978] 2 S.C.R. 621,
E.P. Boyappa v. State of Tamil Nadu & Anr. [1974] 2 S.C.R.
348 Meneka Gandhi v. Union of India (supra) and Ramana
Dayaram Shetty v. International import Authority of India
Ltd. & Ors. [1979] 3 S.C.R. 1014 affirmed.
All India Bank Employees’ Associating v. National
Industrial Tribunal & Ors. [1962] 3 S.C.R. 269 referred to.
397
(3) Even in cases involving purely contractual issues,
the settled law 18 that where statutory provisions of
public law are involved, writs will issue. [484 A]
(4) (1) Section 2 of the Government Grants Act, 1895
excludes the operation of the Transfer of Property Act, 1892
to Government grants. Section 3 declare that all provisions,
any such grant or transfer as aforesaid shall be valid NT
shall take effect according to their tenor, notwithstanding
any rule of law, statute or enactment of the Legislature to
the contrary. A series of judicial decisions pave determined
the overriding effect of s.3 making lt amply clear that a
grant of property by the Government partakes of the nature
of law since lt overrides even legal provisions which are
contrary to the tenor of the document. [478 D-E]
(4)(ii) There can be no doubt whatever on a true
construction of the impugned notice dated March 10, 1980
that the Engineer Officer, Land & Development Office
purporting to act on behalf of the lessor i.e.. the Union of
India, Ministry of Works Housing served a notice of re-entry
upon forfeiture of lease under cl.5 of the lease-deed. There
was no question of the said motley being construed to be of
an exploratory nature. Since respondent No.2 is not the
successor of the Chief Commissioner of Delhi nor has any
function in relation to the lease, there is no warrant for
the suggestion that prior approval of the Lt. Governor is a
condition precedent to the right of the lessor i.e. the
Union of India to exercise its right of re-entry upon
forfeiture of lease under cl.5 of the lease-deed. [480 B-D]
4.(iii) The Express Newspapers Pvt. Ltd. having acted
upon the grant of permission by the lessor i.e. the Union of
India, Ministry of Works & Housing to construct the new
Express Building with an increased FAR of 360 together with
a double basement was clearly not an unauthorized occupant
within the meaning of s.2(g) of the Act. The Express
Buildings constricted by Express- Newspapers Pvt. Ltd. with
the sanction of the lessor i.e. the Union of India, Ministry
of Works & Housing on plots No-. 9 ant 10 Bahadurshah Zafar
Marg demised on perpetual lease by registered lease-deed
dated March 17, 1958 can, by no process of reasoning, be
regarded as public premises belonging to the Central
Government ouster s.2(g). That being so, there is no
question of the lessor applying for eviction of the Express-
Newspapers Pvt.
398
Ltd. under 6.5(1) of the Public Premises (Eviction of
unauthorized Occupants) Act, 1971 nor has the Estate Officer
any authority or jurisdiction to direct their eviction under
sub-s.(2) thereof by summary process. Due process of law in
a case like the present necessarily implies the filing of
suit by the lessor i.e. the Union of India, Ministry of
Works & Housing for the enforcement of the alleged right of
re-entry if any, upon forfeiture of lease due to breach of
the terms of the lease. However, the Government has the
power to take recourse to the provisions of the Public
Premises (Eviction of Unauthorized Occupants) Act, 1971
where admittedly there is Unauthorized construction by a
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lessee or by any other person on Government land which is
public premises within the meaning of s.2(e) and such person
is in unauthorized occupation thereof. [484 E-F; 485 A-D]
Bishan Das & Ors. v. State of Punjab & Ors. [1962] 2
S.C.R. 69 affirmed.
Wazir Chaud v. State of H.P. [1955] 1 S.C.R. 408 & Ram
Prasad Narayan Sahi v. State of Bihar [1953] S.C.R. 1129
relied upon.
State of Orissa v. Ram Chandra Dev A.I.R. 1964 S.C. 685
criticised.
5(i) Under the Constitution of India, Delhi became a
Part ’C’ State w.e.f. January 26, 1960 and it was provided
by Art. 239(1) that a State specified in Part ’C’ of the
First Schedule shall be administered by the President acting
to such extent as he thinks fit through a Chief Commissioner
or Lt. Governor to be appointed by him. [491 E-F]
Art. 239(1) of the Constitution differed from the
provision contained in s.94(3) of the Government of India
Act. 1935 to the extent that the appointment of a Chief
Commissioner or Lt. Governor as an Administrator
irrespective of the designation and entrustment of powers,
functions and duties to him by the President, were not to be
in his discretion but had to be exercised on the advice of
the Council of Ministers. Except for this, 8.94(3) of the
Government of India Act, 1935 and Art.239(1) of the
Constitution as enacted were identical in respect of the
provisions for the administration of Delhi as a Chief
399
Commissioner’s province under the 1935 Act and as a Part ’C’
State under the Constitution, by the Governor-General under
28.94(3) and under Art. 239(1) by the President acting to
such extent as he thought fit, ‘through the Chief
Commissioner or the Lt. Governor as an Administrator
irrespective of the designation 491 H; 492 A-B]
5(ii) Art. 239(1) of the Constitution was amended by
the Constitution (7th Amendment) Act, 1956 w.e.f. November
1, 1956 and for the words ’through a Chief Commissioner or a
Lt. Governor to be appointed by him’ in Art.239(1) as
originally enacted, the words substituted are ’through a-n
administrator appointed by him with such designation as he
may specify’. Therefore, the Administrator appointed by the
President under Art. 239(1) whether with the designation of
the Chief Commissioner or of the Lt. Governor could exercise
only such powers, functions and duties as were entrusted to
him by the President i.e. there have to be specific
entrustment of powers by the President under Art.239(1).
From November l, 1956 Part ’C’ States ceased to exist by
virtue of the Seventh Amendment and in their place Union
Territories were substituted in the First Schedule to the
Constitution, including the Union Territory of Delhi i.e.
the territories which immediately before the commencement of
the Constitution were comprised in the Chief Commissioner’s
province of Delhi. [493 A-B; D-E; 493 F-G]
5(iii) On October 1, 1959 decision was taken by the
Government of India to transfer. the administrative control
of the office Of Land & Development Officer, New Delhi from
the Delhi Administration to Ministry of Works, Housing &
Supply w.e.f. October l, 1959. This decision was duly
communicated to the Chief Commissioner of Delhi and to the
Land & Development Officer, New Delhi. The President of
India on February 1, 1966 issued an order under Art.299(1)
of the Constitution which inter alia directed that in the
case of Land L Development Office (1) all contracts and
assurances of property relating to batter falling within the
jurisdiction of Land L Development Officer, (2) all
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contracts, deeds and other instruments relating to ant for
the purpose of enforcement of the terms and conditions of
the sale/lease-deed of the government property in Delhi/New
Delhi, etc. made in exercise of the executive power of the
Union may be executed on his behalf by the Land &
Development Officer. Therefore, neither the Chief
400
Commissioner nor the Lt. Governor hat anything to do with
the Office of the Land & Development or the administration
of nazul lands in the Union Territory of Delhi after October
1, 1959. They have not been conferred any authority by the
President under Art. 299(1) to enter into any contracts mate
in the exercise of the executive power of the Union or to
act ’on behalf of’ the President in relation to such
contract or assurance of property i.e. to act on behalf of
the President for the enforcement of the terms ant
conditions thereof. There is also no notification under Art.
239(1) by the President vesting Chief Commissioner or the
Lt. Governor with any power, functions and duty in relation
to the property of the Union Territory of Delhi. [495 C-D;
F-G; E; 497 A-B]
5(iv) It would therefore, appear that the territory of
Delhi as a Part ’C’ State under the First Schedule to the
Constitution was a separate and distinct constitutional
entity as from that of a Chief Commissioner Province under
the Government of India Act, 1935, and this is equally true
of the Union Territory of Delhi. It must logically follow
that with the transformation of the territory of Delhi from
a Chief Commissioner’s Province under s.94(3) of the
Government of India Act, 1935 into that of a Part ’C’ State
under the Constitution and after the seventh Amendment into
the Union Territory Delhi, the office of the Chief
Commissioner of Delhi disappeared and that of an
Administrator appointed by the President under Art.239(1)
with such designation as he may specify, came into
existence. The necessary concomitant is that the
Administrator of the Union Territory of Delhi derived only
such powers, functions ant duties as were entrusted to him
by the President under Art.239(1). [501 C-E]
5-(v) There was no Order in Council issued by the
Governor General under 8.94(3) of the Government of India
Act, 1935 nor any Order issued by the President under Art.
239(1) of the Constitution investing the Chief Commissioner
of Delhi to deal with the property of the Union. The matters
relating to the property of the Union of India are included
in the seductive power of the Union under Art.53 of the
Constitution read with Art.298 which expressly provides that
the seductive power of the Union shall extent to the
acquisition, holding ant disposal of
401
property and the making of contracts for any purpose. Such
executive power of the Union is vested in the President
under Art.53(1) and shall be exercised by him either
directly or through officers subordinate to him in
accordance with the Constitution. All executive actions of
the Government of India shall be expressly taken in the name
of the President under Art.77(1). Under cl.(2) thereof,
orders and other instruments made and executed in the name
of the President shall be authenticated as may be specified
in rules to be made by the President i.e. in the manner
specified under the Authentication (Orders and other
Instruments) Rules, 1958 framed under Art. 72(2). In terms
of the Government of India (Allocation of Business) Rules,
1961, all matters relating to the property of the Union,
allotment of Government lands in Delhi, administration of
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Government estates under the control of the Ministry of
Works & Housing and the administration of the Land &
Development office, are matters exclusively vested in the
Ministry of Works & Housing vide Entries 1,6 and 23(1) in
the Second Schedule under the head ‘Ministry of Works &
Housing’. In the light of the said directive, as further
confirmed by the constitutionally enacted regulations, the
power over the allotment of nazul lands, administration of
leases in Delhi and the control and administration of Land &
Development office in particular and the property of the
Union in general are subjects vested solely under the
control of the Ministry of Works & Housing. In the premises,
by such transfer of authority, the Chief Commissioner of
Delhi and necessarily his successor, the Lt. Governor,
became bereft of his powers to control and administer the
lease and any attempt by respondent No.2 to set up a claim
that the Lt. Governor is the authority empowered to
administer the lease is wholly frivolous and untenable and
must be rejected. [502 F; 503 A-C; E-G]
Mohd. Maqbool Damnoo v. State of Jammu & Kashmir [1972]
2 S.C.R. 1014 & Edward Mills Co. Ltd. Beawar Ors. v. State
of Ajmer & Anr. [1955] 1 S.C.R. 735 distinguished.
6(i)The impugned notices dated March 1, 1980 and March
10, 1980 were not issued bona fide in the ordinary course of
official business for implementation of the law or for
securing justice but were actuated with an ulterior and
extraneous purpose ant thus were wholly mala fide and
politically motivated. [519 C]
6(ii)Fraud on power voids the order if it is not
exercised bona fide for the end design. There is a
distinction
402
between exercise of power in good faith and misuse in bad
faith. The former arises when an authority misuses its power
in breach of law, say, by taking into account bona fide, and
with best of intentions, some extraneous matters or by
ignoring relevant matters. That would render the impugned
act or order ultra vires. It would be a case of fraud on
powers. The misuse in bad faith arises when the power is
exercised for an improper motive, say, to satisfy a private
or personal grudge or for wreaking vengeance of a Minister.
A power is exercised maliciously if its repository is
motivated by personal animosity towards those who are
directly affected by its exercise. Use of a power for an
‘alien’ purpose other than the one for which the power is
conferred is mala fide use of that power. Some is the
position when an order is made for a purpose other than that
which finds place in the order. The ulterior or alien
purpose clearly speaks of the misuse of the power. [507 F-H]
6(iii) It is not for the parties to say what is
relevant or not. The matter is one for the Court to decide.
Mala fides on the part of the Government in power or its
functionaries would be sufficient to invalidate the impugned
notices. [505 F]
6(iv) The petitioners have alleged several facts
imputing improper motives which have not been specifically
denied and there is only a bare denial with the assertion
that the facts are not relevant. Mere denial of allegations
does not debar the courts from inquiring into the
allegations. It is quite evident that no action was
contemplated against the Express Newspapers Pvt. Ltd. by any
of the respondents prior to February 17, 1980. Respondent
No.2 upon assumption of his office as the Lt. Governor of
Delhi on that day immediately set on a course of action
against the Indian Express which culminated in the issue of
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the impugned notices. It cannot be doubted that is
initiative to call for the files from the Municipal
Corporation relating to the construction of the new Express
Building was an action of his own not provoked by anyone,
much less at the instance of respondent No.1, the Union of
India, Ministry of Works & Housing. The sequence of events
set in motion immediately after his assumption of office as
the Lt. Governor demonstrate the extent to which and the
keenness with which he pursued the matter. It would appear
that the entire administrative machinery was geared into
action by respondent no.2 and he ‘activated’ the taking of
steps culminating in the issue of the impugned notices. [509
A-B; 515 A-B]
403
6(v) The dominant purpose which actuated respondent
no.2 in initiating governmental action was not so much for
implementation of the provisions of the Master Plan or the
Zonal Development Plans framed under the Delhi Development
Act or the observance of the relevant Municipal Bye-laws
under the Delhi Municipal Corporation Act, but to use these
provisions for an ‘alien’ purpose and in bad faith i.e. for
demolition of the Express Buildings with mark of retribution
or political vendetta for the role of Indian Express during
the period of Emergency and thereafter and thereby to bring
about closure of the Indian Express. [512 D-E]
6(vi) It was Somewhat strange that the Land &
Development Officer who was a minor functionary of the
Ministry of Works & Housing should have filed a counter
supporting the action of respondent no.2. There is no doubt
that the Land & Development Officer deliberately made an
inaccurate statement that he is not under the administrative
control of the Ministry. [518 B]
6(vii) The contention that there was imminent danger of
demolition of the Express. Building nor was the impugned
notice by the Engineer Officer a notice of re-entry upon
forfeiture of lease, is against the very terms of the
impugned notice. There is a categoric averment that the
grant of sanction by the then Minister for Works & Housing
was illegal, improper and irregular. It is therefore futile
to contend that the impugned notice dated March 10, 1980 was
not a notice of re-entry upon forfeiture of lease but merely
a notice of an exploratory nature requiring Express
Newspapers Pvt. Ltd. to show cause why the lease should not
be forfeiture under cl.5 of the lease-deed. [518 C-E]
C.S. Rowjee & Ors. v. A.P. State Road Transport
Corporation [1964] 4 S.C.R. 330 relied upon.
S. Pratap Singh v. State of Punjab [1964] 4 S.C.R. 733
JUDGMENT:
L.R. [1904] A.C. 515 relied upon.
Short v. Poole Corporation L.R. [1926] Ch.D. 66,
Lazarus Estates Ltd. v. Beasloy [1956] 1 Q.B. 702 at pp.712-
13, Dr. Ram Manohar Lohia v. State of Bihar & Ors. [1966] 1
S.C.R. 708 & State of Punjab v. Ramjilal & Ors. [1971] 2
S.C.R. 550 relied upon.
Barium Chemicals Ltd. & Anr. v. The Company Law Board
[1966] Supp. S.C.R. 311 relied upon.
404
Judicial Review of Administration Action, 4th Edn.
pp.335-36 and by Prof De. Smith and H.W.R. Wade’s
Administrative Law, 5th Edn. pp.42, 348 and 369 referred to.
7(i) The construction of the new Express Building with
an increased FAR of 360 for starting a Hindi Newspaper and
the installation of the printing press in double basement
was allowed by the Delhi Development Authority, in
accordance with the provisions of the Master Plan. [520 H]
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7(ii) The Press Enclave on Bahadurshah Zafar Marg
otherwise known as the Mathura Road Commercial Complex is
not a ‘development area’ within the meaning of s.2(3) of the
Delhi Development Act, 1957. The Master Plan does not
prescribe any FAR for the press enclave situate on Mathura
Road commercial area nor does such area fall within the
‘already built-up commercial are ‘as defined in the Master
Plan i.e. commercial area falling within the walled city of
Old Delhi. Apparently, the contention that the FAR of no
commercial area in Delhi can exceed 400 is wholly
misconceived inasmuch as the Master Plan in express terms
permits FAR of the commercial areas in Minto Road and Ranjit
Singh Road at 400. The Zonal Development Plan for the D-II
area approved by the Central Government in November 1966
mentions four commercial areas, namely (1) Asaf Ali Road
commercial area (2) Minto Road commercial area (3) Mathura
Road commercial area, and (4) Circular Road commercial area
(opposite Ramlila Ground). Although in the Zonal Development
Plan for D-II area, Asaf Ali Road commercial area is
described as fully developed with no room for expansion, the
FAR of which is admittedly 400, there could be still a
further increase in FAR subject to payment of premium. This
could only be under the provisions of the Zonal Development
Plan for D-II area and therefore it must logically follow
that the FAR prescribed in the Zonal Development Plan for
Mathura Road commercial area where the press enclave is
situate is 400. The press area is not far from Asaf Ali Road
commercial area. It not only falls in the same D-II area but
is treated as part of a complex of four commercial areas in
the Zonal Development Plan for D-II area. This press area is
not even described as fully commercialized. If FAR 400 is
prescribed and allowed for asaf Ali Road commercial area
which is fully developed, it could not possibly be
impermissible for the press area which although fully
commercialized was still not fully developed. [520 D; 524 C-
E; 526 D-G]
7(iii) The floor area ratio or FAR is the restriction
on the number of floors in a building with reference to the
plot area. Where FAR is not specified in the Master Plan
which
405
admittedly is the case in regard to press area on
Bahadurshah Zafar Marg, the only bye-law applicable would be
bye-laws 21 and 22. Bye-law 21(1) restricts the height of a
building to 70 feet. This height is to be measured from the
centre of the adjacent portion of the ‘nearest street’.
Admittedly as is clear from the sanction plan, the height of
the new Express Building is about 47 feet. The adjacent
portion which is the service road is on level with the
plinth of the additional construction. Taking Mathura Road
as the ’nearest street’ the level of Mathura Road stretches
from 2 ft. to 5 ft. higher than the plinth level of the
additional construction. In any view of the matter, the
additional construction could therefore be permissible if it
did not exceed a height of 63 feet. This is because of bye-
law 21(1) and also because of FAR with which is linked the
ground floor coverage is not specified in the Master Plan.
In order to avoid congestion the maximum height is further
restricted under bye-law 22 in proportion to the width of
the abutting street. In the instant case, Mathura Road which
is the abutting street measure in width 150 feet. This is
apart from the immediately abutting service road which, even
if reckoned as an abutting street, is 63 feet in width.
Therefore, applying bye-law 22(4) read with bye-law 21(1),
it is the service road of the street that governs the height
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of the buildings in the press area as well as the number of
floors, the minimum floor height being already specified in
bye-law 19. The restriction on the height of buildings is
therefore governed by the width of the street subject to the
maximum height of 70 feet and this is the measure adopted
where FAR for a particular area is not specified in the
Master Plan. [529 C, E-F; 530 A-C; F-H; 531 A]
7(iv) Bye-law 25(2)(IV-B) only applies to "already
built up commercial areas as indicated in the Master Plan
such other areas as may be declared as commercial areas by
the appropriate authority from time to time. The list of
already build-up commercial area as defined in the Master
Plan admittedly does not include the press area on the
Mathura Road. At the time of construction of buildings in
the press area, there were also no restrictions as to the
FAR along the Mathura Road and the only restriction on
construction of such buildings was that the allottees of the
plots in the press area should construct buildings upto a
height of 60 ft. [533 E-F]
7(v) It must therefore be held that the permission
granted by Sikander Bakht, the then Minister for Works &
Housing for the construction of the w Express Building with
an increased FAR of 360 with a double basement for
Installation of the printing press was not in violation of
the Master Plan for Delhi or the Zonal Development Plan for
D-II area or the Delhi Municipal Corporation
406
(Buildings) Bye-laws, 1959 inasmuch as ex facie by-law 26
read with 25(2)(IV-B) was not applicable to the press area
on the Mathura Road. Admittedly, the Master Plan does not
prescribe any FAR for the Press enclave. The Zonal
Development Plan for the first time prescribed FAR for the
four commercial areas for general business and commercial
areas. All these commercial areas fall within D-II area for
which the Zonal Development Plan prescribes an FAR of 400.
[535 E-F]
8(i) The non-obstante clause in section 53(A)(l) of the
Delhi Development Act clearly gives an overriding effect to
the sanction granted by the Delhi Development Authority for
the construction of the new Express Building with an
increased FAR of 360 and a double basement for Installation
of printing press or the working platform. The effect of
grant of such permission by the Authority was to modify the
sanctioned plans of the Municipal Corporation to that .
tent. That apart the term development as defined in section
2(t) of the Act includes . the carrying out of
buildings........ in, on, over or under land in any building
etc. and is wide enough to include the structures. in
question. As the Authority approved each of these structures
for which the impugned show cause notice under ss. 343 and
344 of the Delhi Municipal Corporation Act, 1957 had been
Issued by the Zonal Engineer (Buildings), City Zone,
Municipal Corporation, it is clear that he had acted beyond
his authority and power. [537 A-C]
8(ii) There is no dispute that all the structures are
below the ground. The main purpose of the upper basement
i.e. a working platform measuring 6000 sq.ft. was meant to
work the printing press. If the upper basement or the
working platform constructed by the Express Newspapers Pvt.
Ltd. is demolished, the Installation of the printing press
itself in the lower basement with the sanction of the Delhi
Development Authority under the appropriate statutory
provision would be nullified and the Express Newspapers Pvt.
Ltd. would not be in a position to operate the printing
press at all. Without the water storage tank the Express
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Newspapers Pvt. Ltd. would not get the completion
certificate and it is difficult to understand how the
underground tunnel passage, to connect the old and new
Express Building would cause traffic hazard. At any rate,
such minor deviation would not result in a demolition of the
Express Building. The manner in which the impugned notice
was got issued by the Municipal Corporation at the direction
of respondent no.2 shows that it was done with an ulterior
purpose. The illegality of the action is writ large and the
manner in which it was done creates a ground for belief that
the action was motivated. [538 C-E]
407
8(iii) It 18 evident from page 16 of the Printed Master
Plan and the Zonal Development Plan for D-II area at pages
935 and 936 that semi-basement, meaning a second basement is
permissible under the Master-Plan as well as the Zonal
Development Plan. The Bye-laws of the Delhi Municipal
Corporation do not prohibit second basement and on the
contrary bye-law 54 use the term ‘basements’. Moreover,
double basements have, in fact, been permitted in the case
of many hotels by the Delhi Development Authority. [543 B-D]
8(iv) It is difficult to conceive how the huge printing
press with a height of 24 ft. could be placed on a pedestal
or be laid on the floor of the basement in such a manner as
to discharge the newspapers on the ground floor. It is
common ground that there is a working platform in all the
other printing presses in the same line of buildings like
that of the Times of India, the National Herald, Patriot and
the old Indian Express Building . In all these buildings,
the printing presses are Installed in the lower basement
and there is an over-hanging platform in the printing press
in each of the buildings to receive the printed material.
Therefore, there is no Justification of the working
platform. If the Municipal Bye-laws do not permit the
construction of a double basement then they would be clearly
violative of Art.14, 19(1)(a) and 19(1)(g) of the
Constitution. [543 F-H; 544 A]
9(i) The basic principle of estoppel is that a person
who by some statement or representation of fact causes
another to act to his detriment in reliance on the truth of
it is not allowed to deny it later, even though it is wrong.
Justice here prevails over truth. Estoppel is often
described as a rule of evidence, but more correctly it is a
principle of law. As a principle of common law it applies
only to representation about past or present facts. But
there is also an equitable principle of ‘promissory
estoppel’ which can apply to public authorities. [545 E-F]
9(ii) In public law, the most obvious limitation on the
doctrine of estoppel is that lt cannot be evoked 80 as to
give an overriding u power which lt does not in law possess.
In other words, no sextuple can legitimate action which 18
ultra vires. Another limitation is that the principle of
estoppel does not operate at the level of Government policy.
Estoppels have however been allowed to operate against
public authority in minor matters of formality where no
question of ultra vires arises. [548 A-C]
In the instant case, the then Minister for Works &
Housing acted within the scope of his authority in granting
permission of
408
the lessor i.e. the Union of India, Ministry of Works &
Housing to the Express Newspapers Pvt. Ltd. to construct new
Express Building with an increased FAR of 360 with a double
basement for inst installation of a printing press for
publication of a Hindi newspaper under the Rules of Business
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framed by the President under Art.77(3). Therefore, the
doctrine of ultra vires does not come into operation. In
view of this, respondent no.1 the Union of India is
precluded by the doctrine of promissory estoppel from
questioning the authority of the Minister in granting such
permission. In that view, the successor Government was
clearly bound by the decision taken by the Minister
particularly when it had been acted upon- [548 D-Fl
Robertson v. Minister of Pensions L.R. [1949] I K.B.
227, Union of India & Ors v. M/s Indo-Afghan Agencies Ltd.
[1968] 2 S.C.R. 366 & Century Spinning & Manufacturing Co.
Ltd. & Anr. v. Ulhasnagar Municipal Council & Anr. [1970] 3
S.C.R. 854 M/s.Motgilal Padampat Sugar Mills co, (P) Ltd. v.
State of Uttar Pradesh & Ors. [1980] 3 S.C.R. 689 referred
to.
Maritime Elec. Co. v. General Dairies Ltd. [1937] A.C.
610 P.C. & Southend-on-Sea Corporation v. Hodgrem (Wickford)
Ltd. [1962] 1 Q.B. 416 distinguished.
Judicial Review of Administrative Action 4th Edn. p.103
by Prof. De Smith & Administrative Law 5th Edn. p.232 by
Prof. H.W.R. Wade, relied upon.
(10) The Express Newspapers Pvt. Ltd. are liable to pay
conversion charges in terms of cl(7) of the lease-deed and
it is directed that the Union of India, Ministry of Works &
Housing shall enforce its claim for recovery of conversion
charges by a duly constituted suit or by making a law
prescribing a forum for adjudication of its claim. It is
also directed that the Municipal Corporation of Delhi shall
compound the construction of the double basement of w
Express Building, the excess basement beyond the plinth
limit and the underground passage on payment of the usual
composition fee. [555 B-C
Per Venkataramish J.
1(i) The material available is sufficient to hold that
the impugned notices suffer from arbitrariness and non-
application of mind. They are violative of Article 14 of the
Constitution. Hence they are liable to be quashed. It is not
necessary therefore to express any opinion on the
contentions based on Article 19(1)(a) of the Constitution.
[556 F]
409
1(ii) The said notices were issued by the authorities
concerned under the Pressure of the second respondent. The
question whether the notices should be issued or not does
not appear to have been considered independently by the
concerned administrative authorities before issuing them.
[555 F]
1(iii) The Lt. Governor failed to make a distinction
between the power with respect to the subject ’Property of
the Union and the revenue therefrom’ which is in Entry 32 of
List I of the Seventh Schedule to the Constitution and the
general powers of administration entrusted to him under
Article 239 of the Constitution as the Administrator of the
Union Territory of Delhi. The property in question is a part
of the estate of the Central Government. Mere nearness to
the seat of the Central Government does not clothe the Lt.
Governor of Delhi with any power‘ in respect of the property
of the Central Government. He can discharge only those
powers which are entrusted to him by the Constitution and
the laws. Moreover, all the powers of the former Chief
Commissioner of Delhi have not devolved on the Lt. Governor
and continue to vest in him. [556 B-D]
2(i) The question arising out of the lease, such as,
whether there has been breach of the covenants under the
lease, whether the lease can be forfeited, whether relief
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against forfeiture can be granted etc. are foreign to the
scope of Article 32 of the Constitution. They cannot be
decided just on affidavits. These are matters which should
be tried in a regular civil proceeding. One should remember
that the property belongs to the Union of India and the
rights in its cannot be bartered away in accordance with the
sweet will of an officer or a Minister or a Lt. Governor but
they should be dealt with in accordance with law. At the
same time a person who has acquired rights in such property
cannot also be deprived of them except in accordance with
law. The stakes in this case are very high for both the
parties and neither of them can take law into his own hands.
[1556 H; 557 A-B]
2(ii) No opinion is expressed on the rights of the
parties under the lease and all other questions argued in
this case. They are left open to be decided in an
appropriate proceeding. It is however, open to both the
parties if they are so advised to take such fresh action as
may be open to them in law on the basis of all the relevant
facts including those which existed before the impugned
notice dated March 10, 1980 was issued by the Engineer
Officer of the Land and Development Office to vindicate
their respective rights in accordance with law. This order
is made without prejudice to the rights of the Union
Government to
410
compound the breaches, if any, committed by the lessee and
to regularise the lease by receiving adequate premium
therefor from the 1. see, if lt 18 permissible to do 80.
[557 C-E]
2(iii) It 18 open to the Delhi Municipal Corporation to
examine the matter afresh. independently and to take such
action that may be open to it in accordance with law. The
Delhi Municipal Corporation may, if so advised instead of
taking any further action against the petitioners permit the
petitioners to compound the breaches, if any, committed by
them in accordance with law. [557 E-F]
Per Misra. J.
1(i) The impugned notices threatening re-entry and
demolition of the construction are invalid and have no legal
value and must be quashed for reasons detailed in the two
judgments. [557 H]
1(ii) The other questions involved in the case are
based upon contractual obligations between the parties.
These questions can be satisfactorily and effectively dealt
with in a properly instituted proceeding or suit and not by
a writ petition on the basis of affidavits which are so
discrepant and contradictory. [558 A-B]
2. The right to the land and to construct buildings
thereon for running a business si not derived from Article
19(1)(a) or 19(1)(g) of the Constitution but springs from
the terms of contract between the parties regulated by other
laws governing the subject, viz., the Delhi Development Act,
1957, the Master Plan, the Zonal Development Plan framed
under the Delhi municipal Bye-laws, 1959 irrespective of the
purpose for which the buildings are constructed. Whether
there has been a breach of the contract of lease or whether
there has been a breach of the other statutes regulating the
constriction of buildings are the questions which can be
properly decided by taking detailed evidence involving
examination and cross-examination of witnesses. [558 B-D]
&
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ORIGINAL JURISDICTION : Writ Petition Nos.535-539 of
1980.
AND
Review Petition No. 670 of 1985
(Under Article 32 of the Constitution of India)
F.S. Nariman, P.H. Parekh, Arun Jately and Pinaki Misra
for the Petitioners.
411
Lal Narayan Sinha, M.M. Abdul Khader, Miss A.
Subhashini, C.V. Subba Rao and P.P. Singh for Respondent
No.1.
Dr. L.M. Singhvi, Miss A. Subhashini and Roshan Lal
Tandon for Respondent No. 2.
Dr. L.M. Singhvi and Miss A. Subhashini for Respondent
No. 5.
Dr. L.M. Singhvi, Miss A. Subhashini and Abishek Manu
Singhvi for Respondent No.6.
The following Judgments were delivered by :
SEN, J. These petitions under Art. 32 of the
constitution are by petitioner no.1, the Express Newspapers
Pvt. Ltd., which is a company incorporated under the
companies Act, 1956 engaged in the business of printing and
publishing the national newspaper the Indian Express (Delhi
Edition) from the Express Buildings at 9-10, Bahadurshah
Zafar Marg, New Delhi, held on a perpetual lease from the
Union of India under a registered indenture of lease dated
March 17, 1958. It is a wholly owned subsidiary of
petitioner no.2, the Indian Express Newspapers (Bombay) Pvt.
Ltd. Of which petitioner no.3 Ram Nath Goenka is the
Chairman of the Board of Directors. Petitioner no.4 Nihal
Singh was the then Editor-in-chief of the Indian Express and
petitioner no.5 Romesh Thapar was the Editor of the Seminar
published from the Express Buildings.
Respondent no.1 is the Union of India, no.2 is
Jagmohan, Lt. Governor of Delhi, no.3 the Municipal
Corporation of Delhi, no.4 the Zonal Engineer (Buildings),
no.5 the Land & Development Officer, etc.
The petitioners challenge the constitutional validity
of a notice of re-entry upon forfeiture of lease issued by
the Engineer Officer, Land & Development Office, New Delhi
dated March 10, 1980 purporting to be on behalf of the
lessor i.e.. the Government of India, Ministry of Works &
Housing, New Delhi. The said notice required petitioner
no.1, the Express Newspapers Pvt ., New Delhi to show cause
why the Union of India should not re-enter upon and take
possession of the demised premises i.e. plots nos. 9 and 10,
Bahadurshah Zafar Marg together with the Express Buildings
built thereon under cl.5 of the aforesaid indenture of lease
dated March 17, 1958 for the alleged breach of cls. 2(14 and
2(5) of the lease-deed. They also challenge the validity of
an earlier notice dated March 1, 1980 issued by the Zonal
Engineer (Buildings), Municipal Corporation, City Zone,
412
Delhi to petitioner no.1, the Express Newspapers Pvt.Ltd.,
New Delhi to show cause why the aforesaid buildings being
unauthorized should not be demolished under ss. 343 and 344
of the Delhi Municipal Corporation Act, 1957.
The petitioners allege that the impugned notices of re-
entry upon forfeiture of lease and of threatened demolition
of the Express Buildings at Bahadurshah Zafar Marg, New
Delhi which constitute the nerve center of the newspaper the
Indian Express which has the largest combined circulation
among all the daily newspapers in India and is published
simultaneously from eleven cities in the country, are wholly
mala fide and politically motivated. They further allege
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that the impugned notices constitute an act of personal
vendetta against the Express Group of Newspapers in general,
and Ram Nath Goenka, chairman of the Board of Directors in
particular, and are violative of Arts. 14, 19(1)(a) and
19(1)(g) of the Constitution. We are informed that a
teleprinter is installed at the Express Buildings at
Bahadurshah Zafar Marg from where the Delhi edition of the
Indian Express is published and the editorials, editorial
policies and leading articles are transmitted to ten cities
all over India from where the other editorials of the Indian
Express are published simultaneously every day, namely,
Ahmedabad, Bangalore, Bombay, Chandigarh, Cochin, Hyderabad,
Madras, Madurai, Vijayawada and Vizianagaram.
The issues raised in this case are far-reaching in
significance to the maintenance of our federal structure of
Government. It necessarily involves a claim by the Lt.
Governor of Delhi that he has the power and authority to
administer properties of the Union of India within the Union
Territory of Delhi which he is called upon to administer.
The questions presented are whether the Lt. Governor of
Delhi could usurp the functions of the Union of India,
Ministry of Works & Housing and direct an investigation into
the affairs of the Union of India i.e. question the legality
and propriety of the action of the then Minister for Works &
Housing in the previous Government at the Centre in granting
permission to the Express Newspapers Pvt. Ltd. to construct
the new Express Building with an increased FAR of 360 with a
double basement for installation of a printing press for
publication of a Hindi Newspaper on the western portion of
the demised premises i.e. plots nos. 9 and 10, Bahadurshah
Zafar Marg, New Delhi with the Express Buildings built
thereon.
The Lt. Governor asserts that he has the power and
authority to administer the properties the Union of India in
the Union Territory of Delhi. The further question is
whether the
413
grant of sanction by the then Minister for Works & Housing
and the consequential sanction of building plans by him of
the new Express Building was contrary to the Master Plan and
the Zonal Development Plans framed under the Delhi
Development Act, 1957 and the municipal bye-laws, 1959 made
under the Delhi Municipal Corporation Act, 1957 and
therefore the lessor i.e. the Union of India had the power
to issue a notice of re-entry upon forfeiture of lease under
cl.5 of the indenture of lease dated March 17, 1958 and take
possession of the demised premises together with the Express
Buildings built thereon and the Municipal Corporation had
the authority to direct demolition of the said buildings as
unauthorized construction under ss. 343 and 344 of the Delhi
Municipal Corporation Act, 1957. The ultimate question is
whether the threatened action which the petitioners
characterise as arbitrary, illegal and irrational was
violative of Art. 19(1)(a) read with Art. 14 of the
Constitution.
History of the matter :
FACTS OF THE CASE
The facts are somewhat involved and present a feature
which is rather disturbing. It would be convenient to set
forth the facts relating to the impugned notices-
Put very briefly, the essential facts are these. On
February 17, 1980, respondent no.2 Jagmohan assumed office
as the Lt. Governor of Delhi. That very evening which was a
Sunday, he summoned the Commissioner of the Municipal
Corporation of Delhi and called for the files relating to
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the construction of the new Express Building at Bahadurshah
Zafar Marg, New Delhi. On the next day i.e. On the 18th
morning, the files relating to the grant of sanction for the
construction of the same were made available to him. On
February 20, 1980, some important files of the Delhi
Development Authority relating to the Express Buildings were
sent to respondent no .2. On February 29, 1980, respondent
no.2 through the Commissioner, Municipal Corporation of
Delhi caused the locks of the office and cupboards of the
Zonal Engineer (Building) to be broken open to take away the
files relating to the new Express Building. Immediately
thereafter i.e. On March 1, 1980 respondent no.2 convened a
press conference in which he handed over a press release
alleging that the new Express Building put up by the
petitioners was in contravention of law in several respects.
The press release stated inter alia that :
414
1. The government had been receiving complaints
that additional space was sanctioned to the Indian
Express Buildings in total disregard of the
provisions of the Master Plan, zonal regulations
and Municipal Corporation bye-laws.
2. The Lt. Governor had ordered an inquiry into
the grant of sanction of the building plans in
January 1979 by the Municipal Corporation for the
construction of the new Express Building and had
entrusted the inquiry to a Building and had
entrusted the inquiry to a committee of three of
his subordinate officials.
3. The committee had been asked to submit its
report within three days and the authorities of
the DDA and the MCD had been separately directed
to extend all co-operation to the committee and
made available all relevant files and connected
papers.
4. The Commissioner of the MCD had been separately
adviced to take immediate action in regard to the
unauthorized deviations made from the sanctioned
plan in the construction of the new Express
Building.
The Lt. Governor also held out a threat at the press
conference that the new Express Building might have to be
demolished. The holding of the press conference was
broadcast over the All India Radio within an hour and within
two hours the Delhi Doordarshan telecast the same and read
out the contents of the press release. It also exhibited the
film both of the press conference as well as of the new
Express Building.
On the same day i.e. On March 1, 1980, although the
relevant files had been removed from his office, the Zonal
Engineer (buildings), City Zone, Municipal Corporation
served a notice on petitioner no.1 the Express Newspapers
Pvt. Ltd. to show cause why action should not be taken for
demolition of the Express Buildings under 88. 343 and 344 of
the Delhi Municipal Corporation Act, 1957. It reads as under
:
Number 79/B/ua/cz/80XXIII Dated 1.3.1980.
You are hereby informed that on your property
situated at Bahadurshah Zafar Marg bearing numbers 9 &
10, you have started unauthorized construction of
excess
415
basement beyond sanction and construction of
upper basement without sanction as shown red in the
sketch below.
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Therefore, I, L.S. Pal, Zonal Engineer
(Building) as authorized by the Commissioner under
D.M.C. Act, 1957 vide 8. 49 to serve upon you notice
and call upon you to appear in my office within three
days of the receipt of this notice during office hours
with all relevant records and documents relating to the
above construction to explain as to why under sub I of
clause 343 as to issuing for demolition of unauthorized
construction should not be issued.
Please further note under sub-clause I of
clause 344 you are ordered to stop construction work on
this land failing which under sub-clauses 2 and 3
action will be taken against you and the construction
will be demolished at your risk and cost.
Sd/
(L.S. Pal) Zonal Engineer (Bldg.)
Office Address : City Zone,
Municipal Corporation,
Delhi.
Served on
M/s. Indian Express Newspapers (P) Ltd. 9/10,
Bahadurshah Zafar Marg, Delhi.
Three days after i.e. On March 4, 1980, a second press
release was issued from the Raj Nivas, the official
residence of respondent no.2. It was sent by a special
courier to all newspaper offices to justify the action of
respondent no.2 in initiating an inquiry and the mode that
had been prescribed for holding the inquiry. It stated :
In regard to the unauthorized deviations from the
sanctioned plan and construction of about 23,000
sq.ft. in the lower basement and upper basement,
the spokesman indicated that the show cause notice
had been issued by the Corporation authorities.
Further action would be taken in the light of the
reply received by the party concerned.
416
Again, the issue of the show cause notice figured in
the third press release dated March 8, 1980 wherein under
the heading Additional Construction in the Indian Express
Buildings the above extract was repeated verbatim.
Respondent no.2 in his counter had asserted that the show
cause notice was issued by the Commissioner in accordance
with his STATUTORY functions after verification of the
allegations. However, it is asserted that respondent no.2
being responsible for administration of the Union Territory
of Delhi was obliged to ask all the authorities concerned to
prevent violation of lease by any person or institution.
Whereas the files of the Corporation were summoned by
respondent no.2 before the press conference on March 1,
1980, the files of the Ministry of Works & Housing were
summoned by him in the first week of March 1980. It is
admitted by the Ministry of Works & Housing that the said
files were made available to respondent no.2 on March 7,
1980. On March 7, 1980, the Land & Development Officer
acting as part of the overall plan of respondent no.2 issued
a notice of re-entry upon forfeiture of the lease signed by
the Engineer Officer in the Land & Development Officer under
the Ministry of Works & Housing purporting to act for and on
behalf of the President of India under clause XIX of the
agreement of lease alleging that there were breaches in
contravention of cl. (11) of the agreement for lease dated
May 26, 1954. This notice was later withdrawn because it was
realized that forfeiture of the lease had to be with
reference to the registered indenture of lease dated March
17, 1958 and not under cl. XIX of the agreement for lease of
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1954. On March 10,1980, the Engineer Officer in the Land &
Development Office issued a notice in supersession of the
said notice dated March 7, 1980 in these terms :
Regd.A.D.
No. L.II 10(2)/76
Government of India
Ministry of Works & Housing
Land & Development Office, Nirman Bhawan,
New Delhi,
dated the 10.3.80.
To
The Manager,
Express Newspapers Ltd.,
Post Box No. 751,
Express Building,
Bahadurshah Zafar Marg,
New Delhi.
417
Sub: Premises situated at plot nos. 9 & 10
Delhi Mathura Road, New Delhi.
Dear Sir,
I am to inform you that you have started the
construction of additional block on the land to be kept open
without taking the permission from the lessor under the
terms of lease nor the plans were submitted by you for the
sanction under the terms of lease by the lessor for the
construction of multistoreyed building over open plot which
is in contravention of clause 2(14) and 2(5) of the lease-
deed.
You are, therefore, hereby requested to show cause
within 30 days from the date of receipt of this letter to
why the property should not be re-entered under clause 5 of
the perpetual lease.
Please take notice that if satisfactory cause is
shown within the stipulated period as referred to above,
action to re-enter upon the premises will be taken against
you without any further reference to YOU.
This is in supersession of this office letter of even
no. dated 7.3.1980.
Yours faithfully,
Sd/-(R.S. Sibal)
Engineer Officer
For & on behalf of the President of India.
Tele: 388727.
On March 12, 1980 at a specially convened press
conference respondent no.2 released the report of the
committee of his subordinates. The committee in its report
substantiated the allegations which respondent no.2 had
aired at his press conference on March 1, 1980 and through
the press release dated March 4, 1980 and among other
findings recorded that the Express Newspapers Pvt. Ltd. was
liable to pay Rs.35 lakhs as conversion charges. From the
report it appears that the Land Development Officer had
been functioning in close coordination with respondent no.2
as is evident from the following extract from the report of
the Three-Member Committee:
"The representative of Land & Development Officer
who was present at the site was directed by the
Committee
418
to take measurement of the new constructions. But
the A measurement could not be completed before the
Committee left the site. Therefore. the representative of
Land & Development Officer was asked to complete the
measurement by 10.3.1980.
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It is clear that there had been no application of mind by
the Engineer Officer in issuing the show cause notice.
The recital of these events clearly shows that
respondent no.2 displayed great zeal in causing a probe into
the manner in which sanction was granted by the then
Minister for Works & Housing for the construction of the new
Express building with an increased FAR of 360 with a double
basement for installation of a printing press and the entire
administration was geared into action with lightning speed
80 as to ensure that some action or other was taken against
the Express Newspapers Pvt. Ltd. This is evident from the
fact, for instance, that he gave the Three-Member Committee
only three days to examine questions which, if they were
properly scrutinized, would require inspection of the
records from the year 1949 onwards of at least six agencies
viz. Ministry of Works & Housing, Land & Development Office
in the Ministry of Works & Housing, New Delhi Municipal
Committee, Municipal Corporation of Delhi, Delhi Water
supply and Sewage Disposal Undertaking and the Union of
India. He not only constituted a committee of subordinates
to go into the affairs of the Union of India, Ministry of
Works & Housing but also procured the files of the Central
Government. The Ministry of Works & Housing apparently made
available to the said Committee all the relevant files of
the Government pertaining to the new Express Building. There
was no confidentiality maintained. Without the express
authorization of the Government of India, respondent no.2
published the minutes of the proceedings of the Government.
After
the submission of the report by the Three-Member Committee,
he on March 14, 1980 addressed a letter to the then Minister
for Works & Housing to the effect :
CONFIDENTIAL
D.O.No.60/LG/80
March 14, 1980.
Dear Shri P.C. Sethi,
I am enclosing, for your information, a copy of the
Enquiry Report in respect of the Indian Express Building.
Some action may necessary at the Ministry’s end.
419
I am seeking legal opinion to ascertain as to what
action can be taken at this stage to salvage the situation
created by irregularities and illegalities committed in this
case. I will write to you further in the matter.
With kind regards,
Yours sincerely,
Sd/- (Jagmohan)
Shri P.C. Sethi,
Minister for Works & housing,
Nirman Bhawan,
New Delhi.
Encl: Enquiry Report
From the tenor of the letter is difficult to imagine that
the Lt. L Governor could address such a letter to a Union
Minister. On the same day, the Lt. Governor also addressed
to a letter on similar terms to the Vice-Chairman, Delhi
Development Authority and the Commissioner, Municipal
Corporation of Delhi.
Execution of agreement for lease dated May 26,
1954: Allotment of plots nos. 9 & 10, Bahadurshah
Zafar Marg to Express Newspapers Pvt.Ltd.
By an indenture styled as an ’agreement for lease’
executed on May 26, 1954 between the late Feroze Gandhi,
Managing Director, Express Newspapers Pvt. Ltd. Of the one
part and the Secretary (Local Self Government to the Chief
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Commissioner of Delhi ’by the orders and directions of the
President of India’ of the other part, the Express
Newspapers Pvt. Ltd. were allotted plots nos. 9 and 10,
Bahadurshah Zafar Marg in terms of the intended lease
entered into between the parties on November 17, 1952,
pursuant to the allotment of the said plots to the Express
Newspapers Pvt. Ltd. for construction of a four-storeyed
building meant to be used for a newspaper, installation of a
printing press therefore on the ground floor with
residential accommodation for the staff on the top.
Incidentally, the Central Government had in the year 1949
demarcated the press area along the Bahadurshah Zafar Marg
consisting of 10 plots nos. 1 to 10 known as the Press
Enclave as a commercial complex for allotment to the press
viz. to various newspapers like the Indian Express, h Times
of India, Patriot, National Herald etc. These other
420
newspapers like the Times of India, Patriot, National Herald
were also granted similar plots on the same conditions and
were allowed to build on the entire area of their respective
plots without any restrictions whatsoever. The petitioners
case is that the Express Newspapers Pvt. Ltd. was first
allotted plots no.1 and 2 but later at the request of Pandit
Jawaharlal Nehru, the Prime Minister of India, it accepted
instead plots nos. 9 and 10 as the Government required plots
nos. 1 and 2 for construction of the Gandhi Memorial Hall
known as the Pearey Lal Bhawan.
Preliminary work of construction of the Express
Buildings : Discovery of underground sewer line:
Execution of fresh lease agreement dated November
19,1957.
While the preliminary work of construction was started by
the Express Newspapers Pvt. Ltd. On the basis of the
aforesaid agreement, an underground sewer line was found be
running diagonally across plots nos. 9 and 10. Thereupon,
the parties entered into negotiations for modification of
the said agreement. It was agreed between the parties that
in view of the underground drain running through the plots,
the Express Buildings would be constructed only to the of
the drain and in such a way as to leave the drainage system
unaffected i.e. till the drain was diverted. The Express
Newspapers Pvt. Ltd. was thus disabled from building on a
substantial part of the land allotted to it until the
underground drain was realigned outside the boundary of the
two plots. In effect, an area of 2740 square yards to the
west of the drain had to be left open as residual plot of
the land out of the total area of 5703 square yards. The
agreement was embodied in a document styled as a lease
agreement executed between the parties on November 19, 1957
80 as to protect the underground sewage drain and restrict
the construction of the building to the east of the drain.
On April 11, 1956, J.N. Ambegaokar, Under Secretary to
the Government of India, Ministry of Works & Housing
addressed a letter to the Express Newspapers Pvt. Ltd. to
the following effect:
"I am directed to state that the allotment of land
to the Indian Express Newspapers on the Delhi
Mathura Road, New Delhi, has been revised on the
following d basis: (i) 2965 sq. yards to the east
of pipe line @ Rs. 1,25,000 per acre plus 2-1/2%
annual ground
421
rent thereon; (ii) 2740 sq. yards to the west of
the pipe line @ Rs. 36,000 per acre plus 2-1/2%
per acre annual ground rent thereon. In addition
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to the premium as indicated above, the following
amount should also be recovered : (a) 50% of the
ground rent of Rs. 2424 (@ 2-1/2% of the total
premium of Rs.96,955) per annum for the period
from 17.11.1952 the date of original allotment to
14.1.1956 - Rs. 3838, (b) an advance ground rent
for 1-1/2 years @ Rs. 2424 per annum - Rs. 3636."
The revised allotment was subject, among others, to the
following conditions :
The area of the west of the pipe line as mentioned
in para 1(ii) of this letter should be maintained
as an open space i.e. as lawns, paths or parking
ground. The lessor shall have the right to
construct and maintain another sewer line along
this land, if necessary."
The letter went on to say that necessary instructions
had been issued to the Chief Commissioner of Delhi in that
behalf with a request that the Express Newspapers Pvt. Ltd.
should get in touch with the Land & Development Office, New
Delhi for taking k possession of the land. It would appear
from the letter that the Ministry of Works & Housing
permitted the Express Newspapers Pvt. Ltd. to construct on
plots nos. 9 and 10 to the east of the sewer line with a
corresponding reduction in the amount of premium and ground
rent for the area west of the sewer line as compared to the
amount chargeable to the area east of the sewer line.
Execution of the indenture of lease dated March
17, 1958 and the terms thereof.
By a registered indenture of lease dated March 17, 1958
executed between the President of India of the one part and
the Express Newspapers Pvt. Ltd. Of the other part, the
Chief Commissioner of Delhi ’under the instruction of the
Government of India relating to the disposal of building
sites in the new Capital of India’ demised on behalf of the
Union of India in perpetuity the nazul land described
therein in consideration of payment of a premium of Rs.
96,955 admeasuring 1.179 acres of thereabout being plots
nos. 9, 10, Bahadurshah Zafar Marg on payment of the yearly
rent Rs.1212 stipulated therein for the h period November
17, 1952 to January 14, 1956 and thereafter @
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Rs.2424 per annum. The lease-deed inter alia provided as per
cl.2(4) that the lessee shall keep to the satisfaction of
the Chief Commissioner the area to the west of the sewer
line running diagonally on plots nos. 9 and 10 from north-
west to south-west admeasuring 2740 sq. yards as green i.e.
as open space on which on building activity was permitted.
The petitioner were charge premium at two different rates of
the leasehold premises. The premium charged was at Rs.36,000
per acre for the area west to the sewer line and for the
remaining portion, i.e. to the east of the sewer line on
which construction of the building was permitted, the price
of the land was fixed at Rs.1,25,000 per acre. It may be
mentioned that the above perpetual lease was executed by
Assistant Secretary (Local Self Government) to the Chief
Commissioner, Delhi by the order and direction of the
President of India. Likewise, the earlier agreement dated
November 19, 1957, 80 also the supplementary agreement of
May 26, 1954 to which we shall presently refer, were
executed by the said officer in the same manner. Both the
agreements stipulated (under clause V of both) that the
rules, REGULATIONS and bye-laws of the Municipal corporation
of Delhi relating to buildings which may be in force from
time to time shall be conformed by the lessee.
On November 17, 1964, a supplemental lease was executed
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between the President of India and the Express Newspapers
Pvt. Ltd. allowing the permanent change of user in respect
of one lac square feet of the total accommodation of one and
a half lac square feet i.e. two-third of the total
accommodation in the Express Buildings for general office
use, commercial or otherwise, i.e. allowing the petitioners
to sub-let upto 2/3rd of the floor area of the Express
Buildings in lieu of payment of a sum of Rs 2,23,875 by them
to the Union of India, the lessor, as an additional premium
and in consideration of their covenant to pay additional
ground rent of Rs.5,746.88p. per annum for the land demised
over and above the rent reserved by the perpetual lease. The
recital in the deed was to the effect :
The lessor doth hereby permit the lessee to use
1,00,000 (one lac) sq.feet out of the total
accommodation of 1,50,000 (one ant a half lac)
sq.ft. in the said Express Newspaper Building for
general office use commercial or otherwise,
excluding commercial ventures like hotel, cinema,
restaurant etc. and subject to the other
provisions and conditions mentioned in clause 7 of
the said lease.
423
Provided further that the lessee shall all along
continue to use at least 50,000 (fifty thousand)
sq.feet of the accommodation in the said Express
Newspaper Building for the use of press/presses,
office/offices of its newspaper, publications and
other ventures.
And that :
And this indenture further witnesseth that in
consideration of the premises, the lessee doth
hereby covenant to the that the lessee will pay an
additional ground rent of Rs. 5746.88p. per annum
as and from the 15th day of January 1960 over and
above the ground rent reserved under the said
principal lease to be paid by equal half-yearly
payments from the 15th day of July each year as
provided in the said principal lease-deed.
The effect was that the lessor i.e. the Union of India, M of
Works & Housing permitted permanent change of user of the
existing Express Building by the Express Newspapers Pvt.
Ltd. in respect of 1,00,000 sq.ft. Of total accommodation-
and it was permitted to let out 75,000 sq.ft. Of the surplus
accommodation with them to the State Trading Corporation for
a period of 3 years from February 1, 1960 @ Rs.60 per month
per 100 sq.ft. with liberty to the State Trading Corporation
to sublet any part of the area over and above its own needs.
At the time of construction of buildings in the press
area, there were no restrictions as to the FAR permissible
along with Bahadurshah Zafar Marg, also known as the Mathura
Road Commercial Complex, and the only restriction on
construction of buildings in that area was that the
allotters of the plots in the press area should construct
buildings upto a height of 60 feet. Under the agreement of
lease dated May 26, 1954, the Express Newspapers Pvt. Ltd.
was allowed to build upon the entire area of the plots in
question being plots nos. 9 and 10 with a ground coverage of
100% i.e. edge-to-edge, a structure with a minimum of five
storeys including the ground floor for the purpose of
installation of a printing press for publication of a Hindi
newspaper. This permission was granted in response to the
plans submitted by the Express Newspapers Pvt. Ltd. and
approved in writing by the Chief Commissioner of Delhi
acting for and on behalf of the lessor i.e. the Union of
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India. Such plans as
424
approved permitted construction by the Express Newspapers
Pvt. Ltd. Of a building on the entire area of plots nos. 9
and 10 with 100% ground coverage in conformity with the said
agreement. Pursuant thereto, the Express Newspapers Pvt.
Ltd. constructed the old Express Building to the east of the
sewer line with an FAR of 260 with reference to the entire
plot leased to it i.e. plots nos. 9 and 10 although the
building occupied only half of the area. After completion of
the old Express Building to the east of the sewer line on
March 14, 1958, the perpetual lease was executed on March
17, 1958, as already stated. The aforesaid supplemental
lease was also executed on November 1, 1964 permitting
change of user i.e. enabling the Express Newspapers Pvt.
Ltd. to sublet two-third of the accommodation available with
it.
At no stage did the Central Government go back upon
their solemn commitment embodied in the agreement of lease
dated May 26, 1954 under which the Express Newspapers Pvt.
Ltd. was entitled to construct a four storeyed Express
Building on the entire area of plots nos. 9 and 10. They
continued to recognize the right of the Express Newspapers
Pvt. Ltd. to revert to the terms and conditions thereof as
soon as the obstacle to further construction thereto that
had been discovered, unknown to the parties that there was
an underground sewage drain running through plots nos. 9 and
10 diagonally, was removed. In particular, they continued to
recognize the right of the petitioners to build on the land
kept as open space to the west of the sewer line, once the
drain was diverted. This would be evident from the two facts
:
1. The Union of India being the lessor left with
the Express Newspapers Pvt. Ltd. the area to the
west of the drain on a reduced premium because it
had to be kept as an open space for protection of
the drain. And
2. While nazul plots that are to be left open
are valued at Rs. 4840 per acre and ground rent is
assessed accordingly, the area to the west of the
drain was assessed at Rs. 36,000 per acre implying
thereby that it was not an area to be kept vacant
in perpetuity.
Constitutional Instruments relating to property of
the Union in the Union Territory of Delhi.
425
On November 3, 1958 the President of India in exercise
of his powers conferred by cl.2 of Art of the Constitution
issued the Authentication (Orders and Other Instruments)
Rules, 1958 relating to, and dealing with, the conduct of
business of the Government of India. In terms of the said
Rules all Secretaries of the Ministries concerned were
authorized to authenticate documents on bahalf of the
government of India. On November 6, 1959 all functions
relating to administration of leases of Government lands in
Delhi were transferred from the Chief Commissioner of Delhi
(Local Self Government) to the Ministry of Works & Housing
On January 18, 1961 the President in exercise of the powers
under Art. 77(3) of the Constitution made the Government of
India (Allocation of business Rules, 1961. Rule 2 provided
that the business of the Government of India shall be
transacted in the Ministries, Departments, Secretaries and
Offices specified in the First Schedule to the Rules. Rule 3
laid down that the distribution of subjects among the
departments shall be as specified in the Second Schedule.
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Rule 4 enjoined that the President may on the advice of the
Prime Minister allocate the business of the Government of
India among Ministers by assigning one or more departments
to the charge of a Minister. The Ministry of Works, Housing
and Supply is specified in the First Schedule at serial
no.19. Under the Second Schedule, the distribution of
subjects in the Ministry of Works, Housing and Supply is
allocated. Entries 1, 6 and 23 (a) and (1) come under the
Ministry of Works, Housing and Supply and read as under :
1. Property of the Union (not being railway,
naval, military or air force works or being the property of
the Department of Atomic Energy) except (i) buildings, the
construction of which has been financed otherwise than from
the civil works budget and (ii) buildings, the control of
which has at the time of construction or subsequently, been
permanently made over by the Ministry of Works, Housing and
Supply to another Ministry-
6.Allotment of Government lands in Delhi.
23.Administration of the Ministry and attached and
subordinate organizations, namely :
(a) Central Public Works Department;
(1) Land & Development Office.
426
In terms of the aforesaid Entries 1, 6 and 23 (a) and (1),
all matters relating to the properties of the Union
including allocation of Government lands in Delhi and the
administration of the Land & Development Office were
exclusively vested in the Ministry of Works, Housing and
Supply, later the Ministry of Works & Housing
Under Art. 299(1) of the constitution, the President
issued a notification No. GSR 585 dated February 1, 1966
supersession of the earlier notification no. 1161 dated
December 1, 1958. The Land & Development Officer under Entry
XXI, Item 7 was authorized to execute contracts assurance of
property relating to matters falling within the jurisdiction
of the Land & Development Office. The relevant Entry reads :
7. In the case of Land & Development Office :
(i) All contracts and assurances of property
relating to matters falling within the
jurisdiction of Land & Development Officer;
(ii) all contracts, deeds and other instruments
relating to or for the purpose of enforcement of
the terms and conditions of the sale/lease-deeds
of the Government Built Property in Delhi/New
Delhi;
(iii) auctioneering agreements, bonds of
auctioneers and security bonds for the due
performance of works by the auctioneers-
However, by an overriding provisions contained in Entry XII,
it was laid down that ’notwithstanding the previous
authorizations, any contract or assurance of property
relating to any matter whatsoever may be executed by the
Secretary, Special Secretary, Additional Secretary, Joint
Secretary or Deputy Secretary to the Central Government in
the appropriate Ministry or Department’. In terms of the
allocation of Business Rules of the Government of India, the
Ministry of Works & Housing was the appropriate authority
for dealing with matters relating to lease of Government
lands and in terms of the aforesaid notification no. GSR
585 issued under Art.299(1), the Secretary, Additional
Secretary, Joint Secretary, Deputy Secretary and Under
Secretary in the Ministry of Works & Housing were authorized
to execute such contracts in the name of the President of
India. It cannot therefore be doubted that the Ministry of
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Works & Housing with
427
the Minister at the head was and is the ultimate authority
responsible for the following items of work, viz. Property
of the Union, Town & Country Plaining, Delhi Development
Authority, Master Plan of Delhi, Administration of Delhi
Development Act, 1957, the Land & Development Office dealing
with administration of nazul lands in the Union Territory of
Delhi .
The Ministry of Works & Housing was and also is the
ultimate authority in respect of the powers, functions and
duties of the Delhi Development Authority as well as the
Municipal corporation of Delhi, including that of the Delhi
Water Supply and Sewage Disposal Committee of the Municipal
Corporation of Delhi.
Statutory changes subsequently brought about in Delhi.
It is common ground that the Delhi Development Act, 1957 is
the paramount law on the subject viz. implementation of the
Master Plan, Zonal Development n an and Building
Regulations, and overrides the Delhi Municipal Corporation
Act, 1957. The Delhi Development Act came into force on
December 30, 1957. The provisions of the Delhi Municipal
Corporation Act were brought into force on different dates.
S.2 which is the definition clause, Chapter II relating the
constitution of the Corporation and some other provisions
were brought into force w.e.f. January 2, 1958, 8. 512 on
February 15, 1958 and the remaining provisions including
Chapter XIV relating to building regulations were brought
into force on April 7, 1958. On September 10, 1962 the
Central Government approved the Master Plan for Delhi,
prepared by the Delhi Development Authority under s.7 of the
Delhi Development Act. The Master Plan makes specific
regulations for commercial areas and especially for already
built-up commercial areas i.e. walled city of Old Delhi. But
the press area on the Mathura Road Commercial Complex
although specified as a commercial area is not listed in the
list of already built-up commercial areas which relate to
the walled city of Old Delhi. On November 26, 1956 the
Central Government approved the Zonal Development Plan for
D-II area prepared by the Delhi Development Authority under
8.8 of the Act within which the press plots are located. It
provided for an FAR of 400 for the press area in the
Bahadurshah Zafar Marg.
The material on record discloses that the construction
of the new Express Building with an incresed FAR of 360 with
a
428
double basement was in conformity with cls. 2(5) and 2(14)
of the perpetual lease-deed dated March 17, 1958 inasmuch as
it was with the express sanction of the lessor i.e. the
Union of India. It is also quite clear that Sikander Bakht,
the then Minister for Works & Housing was throughout guided
by the officials of the Ministry particularly the Secretary,
Ministry of Works & Housing, who was the competent authority
to act for the President with regard to any contract, grant
or assurance of property of the Union relating to any manner
whatsoever in relation thereto by virtue of the notification
issued by the President under Art. 299(1) and further that
the grant of such permission was after the matter had been
dealt with at all levels an-d was in conformity with the
orders of the then Vice-Chairman, Delhi Development
Authority dated October 21, 1978 as one under ’special
appeal’.
After the formation of the Janata Government at the
Centre on March 22, 1977 the Express Newspapers Pvt. Ltd.
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moved for the removal of the legal impediment for the
construction of the Express Building to the west of the
sewer line first by moving the Municipal Corporation of
Delhi for shifting of the sewer line outside plots nos. 9
and 10 and secondly, by moving the lessor i.e. the Union of
India, Ministry of Works & housing for grant of requisite
sanction to construct the new Express Building with an FAR
of 400. On October 7, 1977 it wrote a letter to the Chief
Engineer, Delhi Water Supply & Sewage Disposal Undertaking,
Municipal Corporation of Delhi to inquire whether it was
possible to realign the underground sewer line 80 that it
would run outside their premises and were duly informed that
the sewer line could be 80 shifted. Accordingly on October
25, 1977 the Express Newspapers Pvt. Ltd. addressed a letter
to the Secretary, Ministry of Works & Housing saying that
additional construction on the western portion of plots
nos. 9 and 10 leased out was possible after the sewer line
shifted and that they were in need of a larger amount of
because they wanted to start a Hindi newspaper and were
also in need of an additional basement where the printing
press would be located. It was pointed out that because of
the underground sewer line running across these plots, no
construction could be undertaken above the sewer line as
they had to leave a safety distance of 25ft. parallel to the
same and thus the built-up area available to them was almost
reduced to half i.e. 2963 sq. yards while other presses in
the area like the Times of India, National Herald, Patriot
etc. were able to build over the entire extent of their
respective plots. It accordingly requested the lessor i.e.
the Union of India, Ministry of Works & Housing for
permission to construct on the open space admeasuring
429
2740 sq.yards on the western side of plots nos 8. 9 and 10
indicating the permissible built-up area as also the terms
on which the additional space could be 80 utilized. A copy
of the letter was marked to the Land & Development Office,
Ministry of Works Housing. On November 3, 1977 the
Secretary instructed the Joint Secretary to call a
representative of the Express Newspapers Pvt. Ltd. and the
Land & Development Officer and evolve a solution. The Joint
Secretary (Delhi Division) directed the Under Secretary
(Land Division) to do the needful. Incidentally, the
Ministry has two separate divisions, the Delhi Division and
the Land Division, both working under the control of the
Joint Secretary (Delhi Division). Delhi Division deals with
matters pertaining to the Delhi Development Authority and
Urban Development while the Land Division deals with
matters relating to allotment of government lands and
administration of lease. It follows that the Delhi Division
was competent to deal with matters relating to construction
of the new Express Building including the permissible FAR
and the grant of permission to the lessor under the lease
and the question of payment of additional premium etc. had
to be dealt with by the Delhi Division.
Accordingly, on November 14, 1977, R.K. Mishra, General
Manager and authorized representative of Express Newspapers
Pvt. Ltd. waited on the Under Secretary, (Land Division),
Ministry of Works & Housing and was verbally informed that
the requisite permission of the lessor could be sought after
the building plans were approved by the Municipal
Corporation of Delhi and it was then that they should seek
the approval of the lessor and at that time the Ministry
would intimate what additional premium, if any, was payable.
The Under Secretary also recorded a note to that effect.
Thereafter on December 7, 1977 petitioner no.3 Ram Nath
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Goenka addressed a letter to Sikandar Bakht, the then
Minister for Works & Housing drawing his attention to the
aforesaid meeting where the representative of Express
Newspapers Pvt. Ltd. had been intimated that they should
first submit their building plans to the Municipal
Corporation of Delhi and thereafter seek permission of the
lessor which would advise them of the amount of premium
payable for the change of user. He requested the Minister to
issue necessary instructions directing that the plots in the
press area should be treated as commercial complex which
entitled the plot-holders to build over the entire area of
the respective plots subject to the restriction of a height
of 60 ft. as stipulated in 1951 without any restriction as
to the area of various floors. There followed a meeting in
the Ministry of Works & Housing on December 20, 1977 when
the General Manager of Indian
430
Express and an official of the Delhi Development Authority
were present and the extent of FAR permissible was
specifically discussed. This was followed by a letter of the
General Manager dated December 23, 1977 to the Secretary,
Ministry of Works & Housing in which he referred to the
meeting where it was felt that although the press area was
not expressly mentioned in the Master Plan, it would still
fall under the general description of ’other commercial
areas’ where only an PAR of 300 was permissible and that it
would be 80 despite the fact that no such limitation existed
when the press complex was established. He referred to the
letter of Ram Nath Goenka dated December 7, 1977 to the
Minister wherein permission to build on the entire area of
the plots in question was sought. A copy of the letter was
endorsed to the Minister. On December 30, 1977 the Chief
Engineer, Delhi Water Supply & Sewage Disposal Undertaking
wrote a letter to R.K. Mishra, General Manager, Indian
Express stating that it would cost Rs. 2.5 lakhs to divert
the sewer line and that the completion of work would take
about five months after the deposit was made. This was in
reply to the letter sent by Express Newspapers Pvt. Ltd. On
October 12, 1977. Accordingly, the Express Newspapers Pvt.
Ltd. On December 31, 1977 wrote to the Deputy Secretary,
Ministry of Works & Housing that the Municipal Corporation
of Delhi i.e. the Delhi Water supply & Sewage Disposal
Undertaking had indicated that the underground drain could
be shifted 80 that it would run outside the lease hold
premises and therefore there should be no objection to the
construction of the new Express Building, and requested the
Ministry for advice on the FAR permissible for the said
building.
According to the note recorded by the Minister on the
margin of the letter of petitioner no.3 Ram Nath Goenka
dated December 7, 1977, instructions were to be issued to
the Delhi Development Authority to examine the question. On
January 7, 1977 J.B.D’Souza, Secretary, Ministry of Works &
housing recorded a detailed note and put it up to The
Minister. It appears that he discussed the case with the
Minister on the 7th and explained to him that the Express
Newspapers Pvt. Ltd. had already used up an FAR of 260 with
reference to their leasehold premises i.e. plot nos. 9 and
10 although they had occupied about half of the land with
their building. It was recorded in the note that the
assertion that others in the press area had an FAR of 500
was not factually correct. Maxi = FAR for all the press
plots was 300 and below except in the case of Times of India
where it was 304 and the National Herald where it was 306.3.
According to him, the effect of allowing the petitioners to
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erect similar building on
431
the other half would mean a rise of FAR from 300 to 400.
Perhaps an increase from 260 to 360 should be permitted if
the need for starting a newspaper in Hindi was really
genuine. The portion to the west of the sewer line was kept
as open and was being used for parking of cars, and these
would have to be parked out on the road, apart from the
extra parking need that the additional construction would
give rise to. The Minister asked the Secretary to discuss
the matter with Petitioner no.3 Ram Nath Goenka and arrive
at a suitable solution. As a result, the Secretary noted as
below :
I find it difficult to recommend the FAR requested
by Shri Goenka, as this will inevitably lead to
requests from other plot-holders, including the
Times of India, to use up their entire land area
for building upto 60 feet, which will mean in
effect a rise of FAR from 300 to 400. The effect
on parking and other requirements may not be
acceptable.
At the same time it is undeniable that Shri Goenka
is unable to retrieve from his tenants a
considerable part of his existing building, and if
his needs of starting a newspaper are really
genuine some considerable concession will be
needed. Perhaps an increase from 260 to 60 should
be permitted; with the extra basement area the
firm will build this should give it nearly 50,000
extra sq.feet of area.
On January 18, 1978, the Minister for Works & Housing
concurred with the views of the Secretary and ordered as
below:
I agree. In the circumstances stated, ’A’ above is
the farthest we should accommodate. May process
further accordingly.
The Ministry of Works & Housing by letter dated
February 2, 1978 conveyed to the Vice-Chairman, Delhi
Development Authority the decision of the Union of India to
permit the petitioners to build with an FAR of 360 as below
:
It has been decided that FAR in this case may be
increased upto 360 so that with the extra
basement area the firm would have an additional
built-up area of nearly 50,000 sq.feet. You are
requested to take necessary action in the matter.
432
Copies of this letter were endorsed to the Town &
Country Planning Organization and Officer Inchrage, Master
Plan in the Delhi Development Authority. The Additional
Secretary, (Master Plan), Delhi Development Authority
however maintained that the FAR permissible for the press
area was only 300 with 80 ground coverage, 70 on the first
floor and 50 on the second, third and fourth floors.
Another letter dated March 6, 1978 was addressed by
petitioner no.3, Ram Nath Goenka, to the Minister in which
he reiterated the earlier request made by him for allowing
the petitioners to build on 100% of the plinth area, only
with the height restriction of 60 feet. It stated that the
Minister had informed him that an order allowing the
petitioners to build upto an FAR of 360 had already been
passed and further construction beyond it would be
sanctioned later.
Immediately thereafter the Ministry of Works & Housing
took a decision adverse to the Express Newspapers Pvt. Ltd.
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On April 15, 1978, P.B. Rai, TCP-II put up a note objecting
to the Government decision to increase the FAR to 360 on the
ground that it was in total contravention of the Master Plan
and would have serious implications. It is a long note,
relevant part of which may be extracted :
As per Master Plan, FAR 300 in commercial areas
does not exist for any area in Delhi whatsoever.
He further stated that such a decision to permit
construction upto an FAR of 360 would not be implemented by
the Municipal Corporation of Delhi as their existing bye-
laws and rules permitted construction upto 300 only and
added that the rules and bye-laws should not be modified for
one particular case or building or for one particular
commercial area.
Upon the receipt of the TCP-II’s note, the Joint
Secretary (Delhi Division) on May 6, 1978 directed the
Deputy Secretary to put up a clear note for obtaining the
orders of the Secretary Ministry of Works & Housing and the
Minister because the petitioners wanted to build the 100
coverage, while the TCP-II’s note showed that the
permissible FAR was 300. Accordingly, the Under Secretary
put up a detailed note on May 8, 1978 explaining the various
view points, bye-laws etc. and recommended reduction of FAR
to 300. On the same day, the Deputy Secretary marked the
file to the Joint Secretary. On May 18, 1978, the Joint
433
Secretary, (Delhi Division) pointed out that the petitioners
were A not happy with E‘AR 360 against their original demand
of 500 and they now wanted FAR 430.67 while the maximum FAR
permissible was 300 as pointed out by the Secretary (Master
Plan, Delhi Development Authority. He therefore recommended
restriction of the FAR to 30 as per the bye-laws of the
municipal Corporation of Delhi and the Secretary endorsed
the said recommendation. Therefore, the Minister approved of
the restriction of the FAR to 300.
On May 19, 1978, N.E.. Botch, Vice-Chairman, Delhi
Development Authority wrote to the Joint Secretary, Ministry
of Works & Housing stating that the Government’s decision of
FAR 360 was totally unacceptable and added that ’making of
exceptions of this nature was precisely the stick with which
the Delhi Development Authority was beaten’ for its own
office building i.e. Vikas Minar which far exceeded FAR 400
and Was in breach of all building bye-laws. He accordingly
suggested that FAR 300 might be permitted with the condition
that necessary parking facilities would have to be provided.
On May 24, 1978, the Deputy Secretary recorded a note
directing that further action to implement the said decision
of the Minister to restrict the FAR to 300 may be taken by
the Land & Development Officer. On June 9, 1978, the Deputy
Secretary, Delhi Development Authority informed the Vice-
Chairman of the decision of the government restricting the
FAR to 300-
It appears that the case was revived on July 14, 1978
when Sikandar Bakht, Minister for Works & Housing wanted to
know after some representative of Express Newspapers Pvt.
Ltd. had visited his office, if the press area and the FAR
therefor were mentioned in the Master Plan and whether or
not the FAR achieved for the Express Buildings was 500, it
would not operate for fresh construction in the press area
for which the FAR was not to exceed 300. A meeting was fixed
to discuss the matter in the room of the Minister on August
18, 1978 and the following note was recorded by D’Souza,
Secretary in the Ministry of Works & Housing regarding the
discussions :
The JS(D), the Vice-Chairman, DDA and I met the
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Minister today and explained the undesirability of
allowing the Indian Express Higher FAR than
already proposed in this case, particularly the
repercussions it would have on the other occupants
of plots on this road. The Vice-Chairman suggested
434
another possibility, namely, allotting to the
Indian Express some other land where it could put
up a building. The Vice-Chairman said he would get
in touch with Shri Goenka and put this proposition
to him.
The Minister agreed with the Vice-Chairman’s,
suggestions.
On October 21, 1978, M.N. Buch, Vice-Chairman, Delhi
Development Authority took the following decisions :
"(a) to amalgamate plots nos. 9 and 10 and taking
into account the existing built-up area would
permit on FAR of 360 overall;
(b) to allow the residual area of plots nos. 9 and
10 to be built in line with the Times of India and
Shama building;
(c) to exclude the basement from the calculations
of the FAR provided the basements are not used for
office purposes;
(d) to permit parking on the service road in the
same manner as it was for the other buildings in
this line, adequate parking facilities would also
have to be provided in the set back of
approximately half portion of the line which has
been suggested by the Express Newspapers Pvt.
Ltd. in the drawings.
He further directed that the aforesaid order was to be
treated as one under special appeal. He accordingly gave
instructions for issuing ’no objection’ to the Express
authorities for construction on the residual area and to
make a reference to the Government of India asking for
confirmation of the action proposed. The Vice-Chairman in
his order mentioned that the Minister for Works & Housing
had ordered that the cases should be cleared immediately and
his ex post facto sanction obtained by the Delhi Development
Authority.
On November 4, 1978, R.D. Gohar, Joint Director
(Buildings), Delhi Development Authority addressed a letter
to the petitioners to the effect :
The plans submitted by you have been examined. I
am directed to inform you that there is no
objection to
435
amalgamation of plots nos. 9 and 10 and allowing
an overall FAR of 3.6 taking into account the
existing A FAR. In that case the existing building
line of the adjoining plots shall have to be
maintained. The basement has been excluded from
the calculation of the FAR and the installation of
Press Machinery like any other service machinery
is permitted. The parking on the service road is
permitted in the same manner as it is for other
buildings in this line. However, adequate parking
facility shall have to be provided in the open
area which may be so planned to make usable for
parking purposes.
On the detailed examination of the lay-out plan, he
observed that as per FAR of 360 construction was permitted
on 1,84,886.07 sq.feet as against the existing FAR covering
an area of 1,29,028 sq.feet i.e. the overall ground coverage
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now permitted was 13.81% i.e. 379 4.92 sq. feet. The
petitioners were directed to submit the plans to the
concerned authorities for approval. A set of plans as
submitted by the petitioners and examined ’as per norms’ was
enclosed. On November 17, 1978, the Vice-Chairman, Delhi
Development Authority addressed a letter to the Ministry of
Works Housing recommending extension of FAR from 300 to 360.
On November 24, 1978 the Government of India, Ministry
of Works & Housing addressed the following letter to the
Vice-Chairman, Delhi Development Authority :
"No.K-12016/2/78-DDA
Government of India
Ministry of Works & Housing
(Nirman Aur Awas Mantralya)
New Delhi, the 24th November, 1978.
To
The Vice-Chairman.
Delhi Development Authority,
Vikas Minar,
New Delhi.
Sub: Plots nos. 9 and 10, Bahadurshah Zafar Marg,
New Delhi - Request for additional Coverage.
436
Sir,
With reference to your D.O. Letter No. PA/VC/78/874
dated 17.11.78 and in supersession of this Ministry’s letter
of even number dated 9.6.1978, I am directed to say that, as
proposed by you, the Express Newspapers Pvt. Ltd. may be
allowed to construct on the residual plot on the basis of an
FAR 360 for the whole plots.
Yours faithfully,
sd/- (V.S. Katara)
Joint Secretary to the
Government of India.
Copies of the letter were endorsed to the Commissioner,
Municipal Corporation of Delhi, Land & Development Office,
Town & Country Planning Organisation and Express Newspapers
Pvt. Ltd. This was followed by a clarificatory letter from
the Ministry of Works & Housing to the Vice-Chairman dated
December 1, 1978 that the FAR 360 allowed excludes the
entire area of basement as per the provisions of the Master
Plan.
The permission granted by the lessor i.e. the Union of
India, Ministry of Works & Housing for the construction of
new Express Building with an increased FAR of 360 as
accorded by Sikandar Bakht, the then Minister for Works &
Housing was acted upon by the petitioners by constructing
the four-storeyed new Express Building by the end of
February, 1980. As already stated, this was done with the
sanction of the Delhi Development Authority and the
Municipal Corporation of Delhi.
Pleadings of the Parties
I. Petitioners’ Case
In the facts and circumstances hereinbefore adumbrated,
the petitioners pleaded inter alia that :
1. The proposed action of re-entry by the lessor
i.e. the Union of India, Ministry of Works &
Housing at the instance of the Lieutenant Governor
of Delhi is meant to be an act of political
vendetta. The impugned notices have been issued
with an evil eye and an unequal hand and with a
deliberate design to compel
437
the petitioners to close down the Express Group of
Newspapers in general and the Indian Express in
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particular. The said notices are ex facie illegal
and without jurisdiction and are contrary to the
factual and legal provisions. The arbitrary and
discriminatory initiation of executive action
under the guise of alleged infraction of the terms
of the lease and/or the Master Plan of Delhi
and/or the municipal building bye-laws is
violative of the petitioners’ fundamental rights
under Arts. 14, 19(1)(a) and 19(1)(g) of the
Constitution.
2. The construction of the new Express Building
with an increased FAR of 36 was in conformity with
clause 2(5) of the perpetual lease dated March 17,
1958 inasmuch as it was with the express sanction
of the lessor i.e. the Union of India. The grant
of permission by Sikandar Bakht, the then Minister
for Works & Housing to sanction the construction
of the new Express Building with an increased FAR
of 360 was in accordance with the Master Plan,
after M.N. Buch, Vice-Chairman, Delhi Development
Authority by his order dated October 21, 1978 as
one under special appeal" under the Master Plan,
Chapter II, Part A, Zoning Regulations, Item 13,
Use Zone - C-2, at p.50 directed that plots nos. 9
and 10 at Bahadurshah Zafar Marg leased to the
Express Newspapers Pvt. Ltd. should be
’amalgamated together into one plot and taking
into account the existing built-up area occupied
by the old Express Building built on the eastern
portion of the underground sewage drain with an
FAR of 260, the construction of the new Express
Building on the western portion thereof after
removal of the sewer line with an overall FAR of
360 was permissible’.
2. The then Minister for Works & Housing was
throughout guided by the officials of the
Ministry, particularly the Secretary, Ministry of
Works & Housing, who was the competent authority
to act for the President with regard to any
contract, grant or assurance of property of the
Union relating to any matter whatsoever in
relation thereto by virtue of the notification
issued by the President under Art. 299(1). In
terms of the Government of India (Allocation of
Business) Rules, 1961 as well as under
438
The aforesaid notification under Art.299(1), the
Ministry of Works & Housing with the Minister at
the head was and is the ultimate authority
responsible to deal with the property of the Union
and to enter into all contractual obligations in
relation thereto. The Minister had not only full
authority, power and jurisdiction to grant
permission to the petitioners to construct the new
Express Building with an increased FAR of 360 with
a double basement for the installation of the
printing press, but the action taken by the then
government was in good faith after taking into
consideration all the circumstances attendant at
all levels.
3. After the shifting of the underground Sewer
line outside the leasehold premises at the cost of
the petitioners to the tune of Rs.6 lakhs and on
payment of the supervision charges to the
Municipal Corporation amounting to Rs. 25,000,
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there could be no objection to the construction of
the new Express building with an increased FAR of
360 as lt allowed the residual area of plots nos.
9 ant 10 to be built in line with the Times of
India, National Herald, Patriot and other
buildings along the Bahadurshah Zafar Marg. At the
time of the grant of plots nos. 9 and 10 to the
Express Newspapers Pvt. Ltd., there were no
restrictions as to the FAR in the construction of
buildings along the Bahadurshah Zafar Marg.
Further, that the Master Plan for Delhi
subsequently approved by the Central Government in
the year 1962 does not mention the press area on
the Bahadurshah Zafar Marg comprising of the press
enclave. Although specified as a commercial area,
it is not listed in the list of "already built-up
commercial areas because it relates to the walled
city of Old Delhi. The zonal development plan for
D-II area within which the press plots are located
permitted an FAR of 400 for the press area in the
Bahadurshah Zafar Marg. In short, the submission
is that all that the then Minister for Works &
Housing did was to restore to the petitioners the
right that they acquired under the perpetual lease
dated March 17, 1958 i.e.. to be treated alike all
other plot holders in that area and a denial of
such equal terms would be opposed to the
principles of equality besides being violative of
Art. 14 of the Constitution.
439
4. The lessor i.e.. the Union of India is estopped
by A the doctrine of promissory estoppel and
cannot therefore go back upon all assurances given
and actions taken by the previous government,
particularly when the petitioners had acted upon
the decisions so reached and had constructed the
new Express Building with a cost of approximately
RS. 1.30 crore by February 1980 which at present
would cost more than Rs.. 3 crores. In substance,
the petitioners contend that where permission of
the lessor i.e. the Union of India has been
granted in relation to any property of the Union
under a lease by the authority competent i.e. the
Ministry of Works & Housing, it is not competent
for the successor government to treat such
permission as being non est and to proceed as if
no such permission or sanction had been granted.
5. The impugned notice issued by the Zonal
Engineer (Building), City Zone, Municipal
Corporation of Delhi dated March 1, 1980 upon the
Express Newspapers Pvt. Ltd. to show cause why the
Express Buildings should not be demolished under
ss. 343 and 344 of the Delhi Municipal Corporation
Act, 1957 was illegal and ineffective inasmuch as
the construction of the said building was not
without or contrary to the sanction referred to in
s. 336 or in contravention of any of the
provisions of the Act or bye-laws made thereunder.
The threat to demolish the second basement
especially when similar double basement/platform
exists in other newspaper buildings. in the press
area such as the Times of India, National Herald
Patriot etc. along the Bahadurshah Zafar Marg was
violative of Arts. 14 F and 19(1)(a) of the
Constitution. The denial of the respondents to
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allow such a double basement to be constructed by
the Express Newspapers Pvt. Ltd. in the new
Express Building clearly infringes the
petitioners’ right to free speech and expression
guaranteed under Art. 19(1)(a) which includes the
freedom of the press as otherwise the printing
apparatus installed in the lower basement would be
rendered incapable of operation and is therefore a
sine qua non for the printing and publication of
the Indian Express.
6. The erection of the double basement or a
working platform in a printing press like the
Express
440
Newspapers Pvt. Ltd. is a compoundable deviation
from the sanctioned plan and the insistence of the
Municipal Corporation of Delhi to demolish the
same suffers from the vice of hostile
discrimination. Even assuming that the municipal
bye-laws do not permit the construction of a
double basement in the press area along the
Bahadurshah Zafar Marg, such bye-laws would amount
to an unreasonable restriction on the right to
carry on the business of printing and publishing
the newspaper and thus offends Art. 19(1)(g) of
the Constitution.
7. Respondent No.2 Jagmohan, Lieutenant-Governor
of Delhi, cannot usurp the functions of the Union
of India in relation to the property of the Union
in the Union Territory of Delhi, and that the
Lieutenant Governor is not a successor of the
Chief Commissioner of Delhi. There was no
notification issued by the President under Art.
239(1) of the Constitution for the conferral of
any power on the Lieutenant-Governor to administer
the lease in question. No doubt, by virtue of the
notification issued by the President on September
7, 1966 under Art. 239(1), the Lieutenant Governor
has, subject to the like control by the President,
the same powers and functions as well as
exercisable by the Chief Commissioner with power
to administer the property of the union. There 18,
admittedly, no such notification issued by the
President under Art. 239(1) vesting either the
Chief Commissioner of Delhi or the Lieutenant-
Governor with any such power.
8. In any event, it is inconceivable that after
October 1, 1959 when the administrative control
over the Land & Development Officer was
transferred from the Delhi Administration to the
Ministry of Works & Housing and by virtue of a
notification issued under Art. 299(1), the
Secretary, Ministry of Works & Housing was made
the competent authority to act for the President
with regard to any contract, grant or assurance of
property of the Union, the Lieutenant Governor
could still arrogate to himself the powers of the
Union of India, Ministry of Works & Housing in
relation to the lease.
441
9. It is alleged that respondent no. 2 Jagmohan is
A actuated with personal bias against the Indian
Express and had filed a criminal complaint against
the Chief Editor of the Indian Express and some of
the officers of the Express Group of Newspapers
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for having published an article in the Indian
Express in April 1977 with regard to his role
during the period of Emergency in Turkman Gate
demolitions. The Express Group of Newspapers,
particularly the Indian Express, had during the
period of Emergency and immediately thereafter
openly criticized the high handed actions of
respondent no.2 Jagmohan who was the then Vice
Chairman of the Delhi Development Authority for
which he was later indicated by the Shah
Commission of Inquiry.
10. The Express Newspapers Pvt. Ltd. contend that
they having approached the Central Government for
exercise of its powers under s.41 of the Delhi
Development Act, 1954 for the issue of necessary
directions as regards the permission to build the
new Express Building with an increased FAR of 360
with a double basement for the installation of the
printing press which became necessary due to want
of any provision in that behalf in the Master Plan
and the Zonal Development Plan in regard to the
press enclave and the Central Government having
issued directions under the relevant provisions,
in terms of 8. 53(3A) of the Act, the sanction of
the plan by the Delhi Development Authority by its
letter November 4,’ 1978 pursuant to such
direction and its authentication of the building
plans approving the portions objected to by the
Municipal Corporation, Delhi, overrides and makes
irrelevant any other sanction granted by the
Municipal Corporation subject to any
qualification.
11. The impugned notice issued by the Zonal
Engineer (Building), City Zone, Municipal
Corporation of Delhi dated March 1, 1980 was
illegal and void as he did not apply his mind at
all to the question at issue but merely issued the
same at the instance of respondent no.2. Further,
the impugned notice issued by the Engineer
Officer, Land & Development Office dated March 10,
1980 purporting to act on behalf of the lessor
i.e. the Union of India was factually and
442
legally not a notice of re-entry upon forfeiture
of the lease as contemplated by cl. 5 and 6 of the
lease-deed, based as it was on non-existent
ground. Although the lease-deed permits remedy of
any breach of any of the terms thereof, the
opportunity to effect such a remedy has not been,
and as indeed it is clear, it is not intended to
be, granted to the petitioners and instead, there
is a threat of re-entry upon the leasehold
premises upon forfeiture of the lease.
II.Respondents Case
1. Respondent No.2 Jagmohan, Lt. Governor of Delhi
filed a counter on behalf of all the respondents
asserting that the perpetual lease-deed dated
March 18, 1958 was executed on behalf of the
lessor by the Assistant Secretary to the
Department of Local Self Government ’under the
administrative control of the Chief
Commissioner/Lt. Governor of Delhi’; that the
demise land is nazul land vested in the President
of India, for the management, control and disposal
of which the Land 6 Development Officer in the
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Department of Local Self Government, was created;
and that as a matter of fiscal policy, the
administrative control of the Land Development
Office, New Delhi was transferred from the Delhi
Administration to the Ministry of Works, Housing
and Supply w.e.f. October 1, 1959. It was asserted
that this transfer was ’purely on fiscal grounds’
and did not divest the Chief Commissioner/Lt.
Governor of his contractual powers, given to him
by the parties to the lease-deed, as the
representative of the President of India and the
Head of the Local Self Government. It was averred
that according to cl.2(14) of the perpetual lease-
deed the land to the west of the sewer line was to
be kept as an "open space" i.e. as lawns, paths or
parking grounds to the satisfaction of the Chief
commissioner and only the lessor or the Chief
Commissioner hat the right to interfere with the
maintenance of this area and that too only for the
purpose of laying a new sewer line along the
existing one. According to cl.2(9) thereof, no
excavation in the demise premises should be made
without the written consent of the Chief
Commissioner/Lt. Governor of Delhi. Admittedly,
443
no permission from the Chief Commissioner/Lt.
Governor pursuant to cl. 2(9) and 2(14) was
obtained by the petitioners. It was further
asserted that the sewer line, according to the
terms of the lease, could not be diverted by the
Municipal Corporation of Delhi at the cost of the
petitioners without the consent of the Chief
Commissioner/Lt. Governor. The petitioners had no
right under the lease to change the character of
this land which was to be maintained and by
suppression of material facts obtained permission
to build thereon sanction of building plans from
authorities which they knew, under the terms of
the lease was not permissible.
2. In refuting the allegations made by the
petitioners that Engineer Officer, Land 6
Development Office had at the instigation of the
Lt. Governor issued the impugned notice for
forfeiture of the lease, respondent no.2 asserted
that he had not ordered the issuance of the notice
in question and that the Land & Development
Officer was an authority independent of the
administrative control and supervision of the Lt.
Governor. It was asserted that the impugned show
cause notices were issued by authorities which are
independent of the authority of Lt. Governor or by
autonomous local bodies. It was asserted : The
impugned show cause notice by respondent no.5, the
Engineer Officer, Land & Development Office was
issued only after he came to know through Press
Reports of certain serious violations of the
lease-deed by the petitioners. The show cause
notice by respondent no.5 was issued in exercise
of powers under cl.4 of the perpetual lease-deed
dated March 17, 1958 for violation of cl. 2(5),
2(9) etc. As regards the impugned show cause
notice issued by the Zonal Engineer (Building),
City Zone, Municipal Corporation of Delhi, lt was
asserted that the same had been issued by the
Municipal Corporation of Delhi in exercise of its
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statutory powers under ss. 343 and 344 of the
Delhi Municipal Corporation Act after verification
of the allegations.
3. Respondent no.2 has sought to disown all
responsibility for the issuances of two impugned
show cause notices but asserted that being the Lt.
Governor of Delhi, he was responsible for the
administration of
444
the Union Territory of Delhi and as such he was
acting within his powers to direct all the
authorities concerned to prevent violation of laws
by any person or institution. He further asserted
that he, as the Lt. Governor of Delhi, was fully
competent to appoint the Enquiry Committee under
the Commission of Inquiry Act, 1952. It was denied
that the Union of India or the Lt. Governor of
Delhi intended to inflict a reprisal on the
petitioners for the independent state of the
newspapers they publish. It was added :
"The respondents while welcoming, creative and
constructive criticism of Government policies and
actions only expect a minimum standard of decency
and fairness from the Press.
4. It was alleged that the petitioners indulged in
all sorts of Distortions and fabrications in
criticizing the policies and actions of the Union
of India and the Lt. Governor" and despite all
this, respondent no.2 had taken an indulgent view
of these delinquencies except when he had to file
a criminal complaint against Express Newspapers
Pvt. Ltd. to uphold his self-respect and dignity ,
- and some of the petitioners have been summoned
to stand their trial by a Court of competent
jurisdiction. It is not disputed that respondent
no.2 had filed a criminal complaint in Criminal
Case No. Nil of 1979 in the Court of the Learned
Metropolitan Magistrate, New Delhi against
petitioner no. 4 for having committed alleged
offences punishable under ss. 500 and 501 of the
Indian Penal code, 1860 for having published a
news item regarding the active role played by him
in the demolition of houses near Turkman Gate in
Delhi, which rendered thousands of persons
destitutes and homeless which became the subject
of an enquiry by the Shah Commission during the
Emergency. Respondent no.2 makes a special
pleading of the demolition of the Turkman Gate
operation during the Emergency by him as Vice
Chairman of the Delhi Development Authority which
he styled as a clearance operation undertaken for
the resettlement of the vast multitude of poor
people who were victims of exploitation at the
hands of vested hands and compelled to live in
sub-standard human living conditions of dirt and
squalor stating that the
445
clearance operation was undertaken for improving
the A standard of living of the poor and their
resettlement. While admitting that he had filed a
criminal complaint against the Editors, Printers
and Publisher of the Indian Express for
defamation, he denies that the respondents had any
personal animosity towards the Express Group of
Newspapers and asserted that the criminal
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complaint for defamation was instituted because
the Indian Express was guilty of fabricating and
publishing false, motivated scandalous stories
about respondent no.2 and others.
5. Respondent no. 2 controverted that the
contractual relations between the parties were
governed by the lease agreement dated May 26, 1954
which was modified and superseded by the
subsequent lease agreement dated November 19,
1957, since this had also been substituted by the
registered perpetual lease dated March 17, 1958
which alone, according to him, governed the
relationship effectively and legally between the
Union of India and the Lt. Governor of Delhi on
the one hand and the Express Newspaper Pvt. Ltd.
on the other. It was denied that the Deputy
Secretary, Ministry of Works & housing Government
of India had any jurisdiction or authority to
permit diversion of the sewer line as he was not
authorized to represent the Central Government for
the purpose of administration of the lease and,
therefore, any attempt on the part of the Express
Newspapers Pvt. Ltd. to rely upon the agreement of
1954 or on the subsequent agreement of 1957 to
justify the action of the municipal Corporation of
Delhi in shifting the sewer line beyond the
leasehold permises was an exercise in futility. It
was asserted that cl. 2(5) of the perpetual lease
could not be availed of by the Express Newspapers
Pvt. Ltd. in the absence of a permission granted
by representative of the lessor, meaning the Chief
Commissioner/Lt. Governor or the Land &
Development Officer and, therefore, the removal of
the sewer line itself was illegal and did not
create any right in the Express Newspapers Pvt.
Ltd. to raise any construction on the land to the
west of the old sewer line which was to be kept as
"green". It was denied that by virtue of the
transfer of functions relating to administration
of leases executed on
446
bahalf of the Union of India, the Chief
Commissioner/ Lt. Governor was divested of all the
powers conferred on him by the various clauses of
the lease-deed. It was asserted that the transfer
of the functions was only "an administrative
measure to achieve the desired fiscal discipline
in the matter of administration of properties of
the Union of India. Even after the transfer of
functions to the Land & Development Officer, it
was said that all lease agreements are being
referred to the Lt. Governor of Delhi for exercise
of powers conferred on him in the lease agreement.
It is then said that :
"It is also denied that the Ministry of Works &
Housing, as such represents the lessor. It is the
Land & Development Officers the respondent no.5,
who represents the lessor (President of India) for
the execution of the leases and their
administration under Art.299(1) of the
Constitution. Statutory Bodies like the Municipal
Corporation of Delhi, the Delhi Development
Authority, the Urban Arts Commission etc. had no
power under the perpetual lease-deed of 1958 to
vary or waive the conditions of the lease."
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Upon this basis, respondents no.2 asserted that
the so-called permission obtained by the Express
Newspapers Pvt. Ltd. from the Ministry of Works &
Housing was void, illegal and without jurisdiction
and, therefore, a nullity in law.
In para 79, it is averred :
"With reference to para 27(b), lt is denied that
the Land & Development Officer is merely a
functionary under the Ministry of Works & Housing.
He is, in fact, the officer appointed on behalf of
the lessor (President of India/The Chief
Commissioner of Delhi) under the terms of the
lease for the execution of management of the
lease-deed, it is submitted that the permission
referred to by the petitioners was neither applied
for and obtained nor granted under clause 2(5) of
the lease-deed. The so-called permission, in any
case, was not addressed to be petitioner but to
respondent no.6."
447
6. After referring to the grant of permission by
the Ministry of Works & Housing and the Delhi
Development Authority, respondent no.2 averred in
para 89 :
"With reference to para 28(4) and (c) it is denied
that the breach complained of was capable of
remedy. As already stated, the so-called
permission obtained by the petitioners did not
amount to any valid permission under the terms of
the perpetual lease-deed dated March 18, 1958. It
is submitted that the petitioners were bound to
apply to the competent authority and obtain prior
approval of the lessor before commencing
construction and the petitioners knew who the
competent authority was The petitioners did not
make any application under any of the terms of the
lease-deed before co missing the breach of the
lease-deed.’
(Emphasis supplied)
The aforesaid averments clearly bring out the
stand of respondent no.2 that he alone and not the
Ministry of Works &, Housing was competent to act
on behalf of the lessor i.e. the Union of India
and this is brought out in the averment which
immediately follows:
"It is further submitted that for any breach of
clauses (3),(9) and (10) of clause 2 of the lease
deed, it was for t‘he Chief Commissioner of Delhi
to decide if the breaches are remediable and the
nature of the remedies required for the breach. If
the breaches were not remediable to the
satisfaction of the Chief Commissioner of Delhi,
he could order removal or demolition of the
construction complained of. Modification of the
layout plan, conversion of the land use and
violation of the FAR prescribed under the Master
Plan and the Municipal Bye-laws are not remediable
breaches.
7. Respondent no.2 has specifically denied that
the FAR for D-2 area which includes the Press
Enclave is 400, and asserted that for built up
areas which include partly built-up areas, the FAR
under the Municipal Building Bye-laws is only 300.
It was
448
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then asserted that the FAR for D-2 area being 300,
according to the Municipal Building Bye-laws and
the Master Plan for Delhi, the question of issue
of direction by the Central Government under s.41
of the Delhi Development Act does not arise. Even
then, it was said that the Vice-Chairman of the
Delhi Development Authority (M.N. Buch), in view
of this legal position expressed the view in his
note dated October 21, 1978 that the case of the
Express Newspapers Pvt. Ltd. should be treated as
an isolated case to bring it at par and allow the
FAR of 360 overall. According to him the reason
for this as indicated in the note was that the
order of Shri Sikander Bakht, Minister for Works &
Housing for immediate clearance of the case and
for obtaining his ex-post-facto sanction".
Respondent No.2 denied that the letters referred
to in para 30(h) and (i) of the petition could be
construed as directions of the Central Government
to the Delhi Development Authority under 8. 41 of
the Delhi Development Act. Instead of being such a
direction, the Annexure 21 was a clarification of
letter dated November 25, 1978 stating that FAR
360 was allowed excluding the basement. Annexure
22 was said to be a sanction letter issued by
respondent no.1 on January 9, 1979 in respect of
building plans submitted by the Express Newspapers
Pvt. Ltd. before respondent no.3. Even Annexure 20
which is a letter dated November 24, 1978 from the
Ministry of Works & Housing, it was said was not a
permission under s. 41 of the Delhi Development
Act as it gives the ex-post-facto sanction of the
proposal of the Delhi Development Authority
permitting FAR 360 for the Express newspapers Pvt.
Ltd. It was then added :
"With reference to para 30(j), it is denied that
the actions taken by the Ministry of Works &
Housing and the Delhi Development Authority
constituted a restoration of the rights of the
petitioners under the lease agreement of 1954, as
the agreement of 1954 was inadmissible being non-
existent and inoperative after its substitution by
the agreement of 1957 as per perpetual lease-deed
dated March 18, 1958, it was asserted that the
petitioners could construct on the residual area
of plots nos. 9 and 10 only in
449
accordance with the terms and conditions of the
lease-deed of 1958 and subject to the provisions
of the Master Plan and the Municipal Bye-laws. It
was asserted that the lease deed of 1958 envisaged
compliance with the Municipal Bye-laws for any
future constructions/additions in plots nos. 9 and
10."
8. It will be seen that the points ought to be
made out by respondents no.2 in his counter-
affidavit are :
(a) At present the perpetual lease-deed dated
March 18, 1958 governs the relationship
effectively between the Union of India and the Lt.
Governor on the one hand and the petitioners on
the other i.e. the relations between the parties.
(b) The transfer of administrative control of the
L & O on October 1, 1959 to the Ministry of Works
& Housing did not divest the Chief Commissioner of
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hi contractual powers given under the lease and he
alone represented the lessor i.e. the union of
India and not the Ministry of Works & housing
(c) The sewer, according to the terms of the
lease-deed, could not be diverted without the
consent of the Chief Commissioner (Lt. Governor)
and the approval of the Ministry of Works &
Housing was a nullity being without jurisdiction
and legal competence.
(d) For the commercial user of the residual area
to be kept a ’green’, it is only the Chief
Commissioner (Lt. Governor) who could give
sanction to construct for the commercial user at
the residual area; the petitioners were liable to
pay commercial realization charges.
(e) The Lt. Governor was a successor of the Chief
Commissioner and therefore, the powers exercisable
by the Chief Commissioner in relation to the lease
vested in him.
(f) It is for the Chief commissioner (Lt.
Governor) to decide if the breaches were
remediable or as to the nature of the remedies
required for the breach.
450
According to him, the breaches are not remediable
breaches and, therefore, the impugned notice dated
March 10, 1980 issued by the Engineers Officer, L
& DO for re-entry upon the land on forfeiture of
the lease for breach of the conditions was valid
and proper. (The learned Attorney-General has
throughout in the course of his arguments on
behalf of respondent no.1, the Union of India
maintained that the Lt. Governer of Delhi had
nothing to do with the lease and that wherever the
name of the Chief Commissioner of Delhi appears,
it should be scored out from the lease-deed.)
(Emphasis supplied)
9. One S. Rangaswami, Additional Land &
Development Officer, Ministry of Works & Housing
filed a separate counter-affidavit supporting the
stand of the Lt. Governor. It was averred in para
3 :
"The petitioners during the year 1977 applied to
the Ministry of Works & Housing for permission to
construct on the residual area of 2740 square
yards in plots nos. 9 and 10. The petitioners have
placed reliance on the letters dated June 9, 1978
from Shri L. N. Sukwami and dated 24th November
1978 from Shri V.S. Katara in the Ministry of
Works & Housing and claimed that these two letters
constituted permission to build on the residual
area of plots nos. 9 and 10. I am advised , to
state that under the terms of the lease deed of
1958, previous consent of either the President of
India or the chief Commissioner (Lt. Governor) or
such officer or body as the lessor (President of
India) or the chief Commissioner of Delhi
authorised was necessary for building activity on
the residual area of the plots (2740 sq. yards)
the Ministry of Works & Housing did not represent
the lessor or the chief commissioner.
10. It is somewhat strange that Land & Development
Officer, who is the last functionary in the
Ministry of Works & Housing should challenge the
very authority and power of the Ministry of Works
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 50 of 131
& Housing to administer the lease on behalf of the
President of India. He has also averred in para 5
:
451
"The impugned show cause notice of 10th March 1980
was issued to the petitioners under cl. 6 of the
perpetual lease for violation of sub-clauses (5)
and (14) of clause 2 of the lease-deed. The Land &
Development Officer is not a functionary under the
Ministry of Works & Housing . He officer
appointed on behalf of the lessor to administer
the lease. At no stage the petitioners approached
the office of Land Development for permission to
construct on the residual area of 2740 sq. yards
to the west of the pipe-line and no approval was
obtained from the office of L&DO for construction
of a building in contravention of clauses 2(5),
(9) and (14) of the lease. The so-called
permissions and approvals obtained by the
petitioners have no legal validity on the short
ground of lack of legal competence or authority
under the terms of the lease-deed which governed
the relationship between the petitioners and
respondent no. 1."
(Emphasis supplied)
The case has seen many twists aud turns. The hearing
commenced on April 27, 1982 and was concluded on September
22, 1983 with intermittence breaks. I regret to say that the
ambivalent attitude adopted by respondent no.1 the Union of
India and the hostility of respondent no.2 prolonged the
hearing which lasted as many as 43 days. This has resulted
in a colossal waste of public money and valuable time of the
court. On April 29, 1982 when Shri Nariman, learned counsel
for the petitioners had concluded his arguments for the day.
Shri Parasaran, the learned Solicitor General made a
statement that he wanted to obtain instructions as to
whether the impugned notices issued by the Zonal Engineer
(Building), Municipal Corporation of Delhi dated March 1,
1980 and by the Engineer Officer, Land & Development Office,
dated March 10, 1980 for the forfeiture of the lease of
plots nos. 9 and 10, Bahadurshah Zafar Marg granted by the
Government of India in favour of the Express Newspapers Pvt.
Ltd. and the threat to re-enter upon the leasehold premises
with the new Express Building built thereon and for removal
of the unauthorized structures should be enforced or not. In
the facts and circumstances of the case, we must say that
the request for adjournment by the learned Solicitor General
was reasonable and was not opposed by the learned counsel
for the petitioners. We accordingly adjourned the hearing of
the Writ Petitions till August 3, 1983 to enable respondent
no.1 the Union of India to
452
take a decision in the matter. On August 23, 1982 the matter
was taken up in Chambers when the learned Solicitor General
made a statement that the Writ Petitions would have to be
heart on merits, meaning thereby that the lessor i.e. the
Union of India were not prepared to reconsider the matter.
The learned Solicitor & General later withdrew from the
case.
The strange phenomenon when the hearing was resumed on
November 4, 1982 of the Union of India speaking through the
voice of learned counsel for respondent no.2 was more than
we could permit. We sent for Shri L.N. Sinha, the learned
Attorney General and he rightly objected to anyone speaking
on behalf of the Union of India. We directed the learned
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Attorney General to appear and assist the Court.
During the pendency of the proceedings, Shri Sinha
demitted his office and Shri Parasaran was appointed to be
the Attorney General. The Union of India engaged Shri Sinha
as its counsel and he continued to represent respondent
no.1. We are grateful to learned counsel for the parties who
dealt with all aspects of the various constitutional issues
and other questions of great public importance with their
usual industry and have supplemented their arguments by
filing written submissions. Learned counsel for respondent
no .1 has throughout been emphatic in contending that
respondent no.2 was a complete stranger to the lease and he
did not represent the lessor, the Union of India. Strangely
enough, Dr. Singhvi continued to appear not only for
respondent no.2 the Lt.Governor but also for respondent no.5
the Land & Development Officer who is a minor official in
the Ministry of Works & Housing. When we repeatedly enquired
from learned counsel for respondent no.1 as to the right of
respondent no.5 to be represented by another counsel when he
was appearing for the Union of India, he asserted that Dr.
Singhvi had no right to represent respondent no.5 Land &
Development Officer as he was appearing for respondent no.1
and he was not bound by his submissions. Again, there was a
rather disturbing feature. Submissions at the bar by learned
counsel for the respondents were not in consonance with the
stand taken in the original affidavit filed by respondent
no.2 on behalf of all the respondents. Further, the
respondents have been fillings different affidavits from
time tc time to suit their purposes as the hearing
progressed and it was difficult to reconcile the conflicting
averments made in these subsequent Affidavits. It is
somewhat unfortunate that the Government should have
embarked upon this course of action.
453
At the resumed hearing on November 4, 1982, we took on
A record the further affidavits filed by respondent no.2
dated July 29, 1982 with certain deletions. In trying to
meet the allegations made against him, respondents no.2 cast
aspersions on Sikandar Bakht, the then Minister for Works &
Housing. It was averred :
"But if Ram Nath Goenka approached the then
Minister of Works & Housing, Shri Sikandar Bakht
and the latter misusing his authority and
exercising blatant favouritism pressurised the
officers of the Delhi Development Authority, Delhi
Municipal Corporation and of his own Ministry to
do totally illegal acts, thereby giving huge
financial benefits to his political associate and
friend Ram Nath Goenka, there are no mala fides.
If the statutory provisions unalterable through an
executive action, of the Delhi Master Plan, Zoning
Regulations and Municipal Bye-laws are ruthlessly
violated, there are no mala fides. If expert
advice of the Town & Country Planning Organisation
is deliberately attacked, which, in fact, makes it
quite clear that FAR 300 does not exist in any
area in Delhi and that FAR and coverage are
prescribed for the locality as a whole and not for
individual building, there are no mala fides. And
if senior officers are sent to an influential
businessman to mollify him and in the event of not
being mollified, the illegal and irregular
concessions asked for are granted without even
taking the trouble of amending the law of the
statutory provisions, there are no mala fides,
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according to the writ petitioners-"
On the same day i.e. On November 4, 1982, we sent for
Shri L.N. Sinha, the then Attorney-general and drew his
attention to the averments made by respondents no. 7 in the
fresh affidavit alleging that the orders passed by the then
Minister for Works & Housing were illegal, improper &
irregular. We felt that it was highly improper for
respondent no.2 to have made such extreme allegations
against the then Minister for Works & Housing and against
the previous Government in power. Accordingly, we called
upon respondent no.1 Union of India to clarify its stand
with regard to the following aspects:
1. The authority of respondent no.2 to make
allegations of fraud , misuse of powers and
misdemeanors against the functionaries of the
Union of India including the Minister, Works &
Housing.
454
2. The stand of respondent no.1, Union of India,
to the case of the petitioners without adopting
the counter affidavit of respondent no.2.
3. The specific reply, if any, of the Union of
India to the allegations of mala fides made by the
petitioners against the Government of India in
paras 9(b). 11 and 12 of the Writ Petition.
4. What is the reaction of the Union of India to
the averments in the counter-affidavits of
respondent no.2 and the affidavit of respondent
no. 5 that the Ministry of Works & Housing does
not represent the lessor and that respondent no.5,
the Land & Development Officer alone represents
the lessor. And
5. Whether a successor government was not bound by
the acts of the duly constituted previous
government ?
Instead of complying with the directions, respondent
no.1 through the affidavit of M.K. Mukherjee, Secretary,
Ministry of Works & Housing dated November 16, 1982
purported to raise certain additional issue :
1 I am advised to say that the orders passed by
Shri Sikandar Bakht, the then Minister for Works &
Housing were clearly illegal, improper and
irregular.
2. The powers and functions assigned to the Chief
Commissioner of Delhi under the lease-deed were
exercisable by the Lt. Governor by virtue of the
notification issued by the President dated
September 7, 1966 under Art. 239(1) of the
Constitution.
3. The Land & Development Officer as well as the
Chief Engineer in the office of the Land &
Development Officer were both empowered to take
action of the lease-deed and therefore the
Engineer Officer was authorized by the lessor i.e.
the Union of India to issue the impugned show
cause notice as he was competent to do so under
cl. 5 of the lease-deed having been empowered to
act on behalf of the President under Art. 299(1).
The said show cause notice was issued on the basis
of which a press report as per the orders recorded
on the file of the Land & Development Officer and
not at the instance of the Lt. Governor.
455
4. The order of M.N. Buch, the then Vice-
Chancellor of the DDA dated October 21, 1978 was
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without any legal authority or sanction and the
said order was passed by him in clear violation of
the procedure laid down in s. 11A(2) of the Delhi
Development Act, inasmuch as no relaxation of the
permission for FAR for the D-II area could be made
which was tantamount to a modification of the
Master Plan. The said decision cannot be
implemented by the MCD because it would require
modification of their existing bye-laws, which
cannot be done for a particular case or building
or for one particular commercial area.
It is then averred :
"I say that the counter-affidavit filed by
respondent no.2 be read as part and parcel of this
counter-affidavit.
I am advised to categorically deny any allegation
of mala fides, design or animosity on the part of
respondent no.1 as alleged.
The respondents have also placed on record two
affidavits of M.N. Buch and H.R. Ailawadi, both of whom
became Vice-Chairmen, Delhi Development Authority. Ailawadi
in his affidavit avers that the demised land is a nazul land
which vested in the President of India. For management,
control and disposal of such lands, Land & Development
Office in the Department of Local Self Government was
created. As a matter of fiscal policy, the administrative
control of the Land & Development Office, Delhi was
transferred from the Delhi Administration to the Ministry of
Works, Housing & Supply w.e.f. October 1, 1959. He asserts
that this transfer was on administration and fiscal grounds
and did not divest the Chief Commissioner of the powers
given to him by the parties under the lease as the
representative of the President of India. He further avers
that the sewer line, according to the terms of the lease,
could not be diverted without the consent of the Chief
Commissioner (Lt.Governor). As regards the sanction, he
asserts that M.N. Buch in fact had no authority to sanction
the building plans in the instant case and that the
Additional Secretary, Master Plan, had raised certain
objections to the building plans and no decision on these
objections was taken and then adds :
"Shri Buch contrary to all the views expressed by
himself, the Ministry of Works & Housing, Office
of L&DO and TCPO passed the following orders.
456
This is followed by the terms of the order in question
passed by M.N. Buch. He then avers:
"Under clause 2(5) of the perpetual lease-deed
only the lessor or the Chief Commissioner of Delhi
could permit construction on the residual area of
plots no. 9 and 10. The Vice-Chairman, DDA had no
authority under the terms of the lease to permit
an additional construction on these plots. No
objection certificate, therefore, issued to the
Municipal Corporation of Delhi and to M/s Express
Newspapers Ltd. by the DDA on 4.11.1979 was
without jurisdiction and a nullity. The Ministry
of Works & Housing could not have also permitted
any construction at the residual area. Only the
Chief Commissioner of Delhi or the Officers
authorized by the President of India under Art.
299 of the Constitution were competent to grant
such permission. The Vice-Chairman, DDA or the
Joint Secretary in the Ministry of Works & Housing
were not authorized by the President in exercise
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of powers under Art. 299 to administer the lease-
deed.
The direction of Shri Buch to treat his order as
one under special appeal was without jurisdiction
and, therefore, a nullity. The procedure
prescribed for special appeal was totally
disregarded. No resolution of the DDA was adopted
in this regard and as a matter of practice and
rule, special appeal cases are decided only by
means of resolution of the authority. The decision
of Shri Buch was in violation of the provisions of
the Delhi Development Act, Master Plan and
Municipal Bye-laws.
He then questioned the validity of the sanction to the
building plan granted by the Municipal Corporation of Delhi
and asserts :
"Sanction of the building plans by the MCD
violated the following statutory provisions :
(a) FAR : According to the Municipal Bye-laws, FAR
for a built area could not exceed 300. The Press
area being a built up area, permission to build up
to FAR to 360 was violative of the Municipal
Building Bye-laws.
457
(b)Coverage : According to the Master Plan and A
building bye-laws, which were in force prior to
24.12.76, coverage for different floors of a five
storey building was as under :
Ground floor 80%
First " 70%
Second " 50%
Third " 50%
Fourth " 50%
He then refers to the amended rule dated 24.12.76 which
prescribed for all commercially developed areas, including
offices, coverage of 25% and asserts that the press area is
covered by the amendment. He also asserts that even the
earlier rule was violated by allowing 75.43% on the first
floor and 77.5 coverage on the second and third floors.
Further he states that for commercial areas, parking
has to be done within the plots and within the covered area.
In the present case, no provision was made for parking of
the vehicle within the plot and then adds :
"In the Municipal Bye-laws, there is no provision
for waiving, relaxing and modifying the rules
referred to above. The sanction was, therefore,
accorded illegally and under undue pressure from
vested interests.
In his counter-affidavit, M.N Buch avers in para 3 that
he had not authorized respondent no.2 or anyone else to
swear an affidavit on his behalf and, therefore, he was not
bound by the same. According to him, the area in question
was not a development area within the meaning of sub-s.(3)
of s. 12 of the Delhi Development Act and as such, question
of according any permisson/approval by the Delhi Development
Authority or by any of its officers did not arise. As
regards the communication dated November 4, 1978 issued
under the signature of R.D. Gohar, the then Joint Director
(Building) of the Delhi Development Authority, it could not,
in his opinion, be treated to be a permission/sanction
accorded under any statutory rule or regulation or Bye-law.
According to him it was as a matter of fact a formal
correspondence in response to a reference made in that
behalf by the Ministry of Works & Housing and its gist and
essence was that the petitioners could submit plans to the
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concerned authorities for approval, if they so chose and
that was
458
why, the set of plans as submitted by them, was returned and
no plans were ever approved. On the contrary, the plans were
returned for submission to the appropriate authority for
approval. As regards a number of communications from the
Ministry of Works & Housing to him, as the then Vice-
Chairman, M.N. Buch contended that he had no access to the
records of the Delhi Development Authority and due to non-
availability of the records, it was difficult for him to say
anything specifically about the same.
In substance, the contention of Buch is that the area
in question was not a duly notified development area" and as
such, question of granting any permission either by the
Delhi Development Authority or by him as the Vice-Chairman
did not arise and that no sanction or approval of the
building plans, as alleged or otherwise, was accorded by him
as such. The point of FAR raised in the petition was,
according to him, not at all relevant for a just and proper
decision of the case. He further stated that a perusal of
the records would reveal that nowhere in any of the
communications had he stated that any building plan had been
sanctioned or approved. On the contrary, he had made it
clear that:
"It is for the Municipal Corporation of Delhi to
examine the building plans in the light of the
Building Bye-laws already sanctioned by the
Municipal Corporation of Delhi. In other words,
neither the Delhi Development Authority nor he as
the Vice-Chairman had anything to do with the
sanction/approval of the building plans in the
instant case .
It is rather pertinent to observe that in his counter-
affidavit Buch does not explain the implications of his
specific order as the Vice-Chairman dated October 21, 1978
for amalgamation of plots nos.9 and 10 and permitting
construction of the new Express Building with an increased
FAR of 360 with a double basement for installation of the
printing press, directing that it was not merely a
communication from the Vice-Chairman, Delhi Development
Authority to the Ministry of Works & Housing but per se it
was an order passed by M.N. Buch as Vice-Chairman, Delhi
Development Authority and he concludes by observing :
"The Minister, Works & Housing had discussed the
case with me and ordered that the case should be
cleared
459
immediately and his ex-post-facto sanction
obtained. On this basis, we may issue clearance to
the Express Authorities and also make a reference
to the Government of India asking for confirmation
of the action taken. ’The order should be treated
as an order under Special Appeal’.
A perusal of the counter-affidavit of M.N. Buch bears
out that the maker or an instrument is not always its best
interpreter. Nothing really turns on the aforesaid two
affidavits of M.N. Buch and H.R. Ailawadi, the then Vice-
Chairman OF the Delhi Development Authority which was just a
belated attempt of the respondents to support the action of
respondent no.2 in initiating the proceedings which
culminated in the issue of the impugned notices. The
respondents have been shifting their stand from stage to
stage.
Upon these pleadings, the point for determination that
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arise may be formulated :
1. Whether the impugned notice of re-entry upon
forfeiture of lease by the Engineer Officer, Land
& Development Office, Ministry of Works & Housing
dated March 10, 1980 requiring Express Newspapers
Pvt. Ltd. to show cause why the lessor i.e. the
Union of India should not re-enter upon and taken
possession of plots nos. 9 and 10, Bahadurshah
Zafar Marg together with the Express Buildings
built thereon and the impugned notice of the Zonal
Engineer (Buildings), Municipal Corporation, City
Zone, Delhi to show cause why the new Express
building particularly the double basement, where
the Express Newspapers Pvt. Ltd. have installed
the printing press with the working platform which
was a necessary appurtenance to the installation
of the printing press expressly sanctioned by the
then Minister for Works & Housing as well as by
M.N. Buch, the then Vice-Chairman, DDA in
conformity with Delhi Development Act, 1957, the
Master Plan and under ss. 343 and 344 of the Delhi
Municipal Corporation Act, 1957, were violative of
the petitioners’ right to freedom of press
guaranteed by Art. 19(1)(a) read with Art. 14 of
the Constitution and therefore a petition under
Art. 32 was maintainable.
2. Whether the construction of the new Express
BUILDING on the residual area of 2740 square yards
to
460
the west of sewer-line after its removal on plots
nos. 9 and 10 without the permission of the Lt.
Governor or of the Land & Development Officer by
the petitioners with an increase FAR increase
continued breach of clauses 2(5) and 2 (14) which
entitled the Engineers Officer, Land & Development
Office. Ministry of Works & Housing to issue the
impugned show cause notice dated March 10, 1980 of
re-entry upon forfeiture of lease and the Union of
India to re-enter upon and take possession of
plots 9 and 10, Bahadurshah Zafar Marg, together
with the Express buildings thereon.
3. (a) Whether under the Master Plan, development
of the Mathura Road commercial area was totally
prohibited on FAR exceeding 300 i.e. whether such
area does fall within the expression ’already
built-up commercial area’ or whether The Master
Plan does not refer to the Mathura Road commercial
area nor does such area fall within the expression
’already built-up commercial area’ i.e. the area
falling within the walled city of Delhi.
(b) Whether the permitted users in the Use-Zone C-
II viz. the zone in which the present area falls
do not exclude ’newspaper and printing press’
except only if such user is allowed by a competent
authority after special appeal that newspaper and
printing presses are permitted to be installed.
4. Whether the Ministry of Works & Housing with
the Minister at the head was and is the ultimate
authority responsible for the following items of
works ’Property of the Union, Town and Country
Planning, Delhi Development Authority, Master Plan
of Delhi, Administration of the Delhi Development
Act, 1957, the Land Development Office dealing
with the administration of Nazi Lands in the Union
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Territory of Delhi. If that be so whether the
orders passed by Sikandar Bakht, the then Minister
for Works & housing granting permission to the
petitioners to construct the new Express Building
with an increased FAR 360 on an area of 2740
square yard to the west of plots no8. 9 And 10 was
illegal, improper and irregular.
5. Whether the decision taken by the then Minister
for Works & Housing for permitting construction of
the new
461
Express Building with an increased FAR of 360 with
a double basement for the installation of the
printing press was in conformity with the
recommendation of M.N. Buch, the then Vice-
Chairman, Delhi Development Authority and had been
reached after the matter had been dealt with at
all levels in the Ministry of Works & Housing was
binding upon the successor Government i.e. the
Union of India as also the Ministry of Works &
Housing and the petitioners having acted in the
faith of such assurance and constructed the new
Express Building thereon at a cost of nearly Rs.2
crores, the respondents particularly respondent
no.1, the Union of India, was precluded by the
doctrine of promissory estoppel from challenging
the validity of the permission granted by the then
Minister for Works & Housing. If that be so,
whether the present government is bound to honour
all assurances given by or on bahalf of the Union
of India, Ministry of Works & Housing by the then
Minister.
6. Whether the Lt. Governor of Delhi has any
function in relation to the lease being a
successor of the Chief Commissioner of Delhi. If
that be so, whether the Lt. Governor of Delhi
could have set up a threeman Committee to inquire
into and report on the alleged breaches committed
by the petitioners in the construction of the new
Express Building with an increased FAR of 360 or
the double basement for installation of the
printing press, contrary to the sanction plan and
the building bye-laws of the Municipal Corporation
of Delhi. If that be so, whether the Engineer
Officer, Land & Development Office could have
acted on the press report of the news conference
held by the Lt. Governor and on its basis issue
the impugned show cause notice dated March 10,
1980.
7. Whether the respondents are right in contending
that the alleged breach committed by the
petitioners in not obtaining the previous
permission of the Lt. Governor as required by cls.
2(5) and 2(14) was not remedial and therefore the
lessor i.e. the Union of India, Ministry of Works
& Housing could direct removal or demolition of
the construction complained of.
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8. Whether the notice of re-entry upon forfeiture
of lease issued by the Engineer Officer, Land &
Development Office, New Delhi dated March 10, 1980
purporting to be on behalf of the lessor i.e. the
Union of India, Ministry of Works & Housing, and
that of March 1, 1980 issued by the Zonal Engineer
(Building), Municipal Corporation, City Zone,
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Delhi, were wholly mala fide and politically
motivated.
For a proper appreciation of the points involved, it is
necessary to set out the material clauses of the indenture
of lease-deed dated March 17, 1958. Clauses 2(5), 2(14), 4,
5 and 6, insofar as material, run as follows :
"2(5). The lessee will not without the previous
consent in writing of the Chief Commissioner of
Delhi or of such officer or body as the lessor or
the Chief Commissioner of Delhi may authorize in
this behalf make any alterations in or additions
to the building erected on the said demised
premises so as to affect any of the architectural
or structural features thereof or suffer to be
erected on any part of the said demised premises
or any building other than and except the building
erected thereon at the date of these presents."
"2.(14). The lessee shall keep to the entire
satisfaction of the said Chief Commissioner the
area to the west of the pipeline admeasuring 2740
sq.yards (which area for clarity’s sake is
delienated on the plan hereto annexed and thereon
shown in yellow) as an open space, that is, as
lawns, paths or parking grounds."
"4. If there shall at any time have been in the
opinion of the Lessor or the Chief Commissioner of
Delhi whose decision shall be final, any breach by
lessee or by any person claiming through or under
him of any of the covenants or conditions
contained in sub-cls. (5)....... of cl.2 and if
the said intended lessee shall neglect or fail to
remedy any such breach to the satisfaction of the
Chief Commissioner of Delhi within seven days from
the receipt of a notice signed by the Chief
Commissioner of Delhi requiring him to remedy such
breach it shall be lawful for the officers
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of the Chief Commissioner of Delhi to enter upon
the premises hereby demised and (a) to remove or
demolish any alterations on or additions to the
buildings erected on the said premises without the
previous consent in writing of the Chief
Commissioner of Delhi or duly authorized officer
as aforesaid........ and it is hereby expressly
declared that the liberty hereinbefore given is
not to prejudice in any way the power given to the
President of India by cls. 4 and 5 hereof.
5."........(I)f there shall have been in the
opinion of the Lessor or the Chief Commissioner of
Delhi whose decision shall be final, any breach by
the Lessee or by any person claiming through or
under him of any of the covenants or conditions
hereinbefore contained and on his part to be
observed or performed then and in any such case it
shall be lawful for the lessor or any person or
persons duly authorized by him notwithstanding the
waiver of any previous cause or right of re-entry
upon any part of the premises whereby demised or
of the buildings thereon in the name of the whole
to re-enter and thereupon this demise and
everything herein contained shall cease and
determine and the Lessee shall not be entitled to
any compensation whatsoever, nor, to the return of
any premium paid by him."
6. "No forfeiture of re-entry shall be effected
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except as herein provided, without the permission
of the Chief Commissioner of Delhi, and the Chief
Commissioner shall not permit such forfeiture or
re-entry until the Lessor has served on the lessee
a notice in writing :
(a) specifying the particular breach complained of
(b) if the breach is capable of remedy, requiring
the Lessee to remedy the breach
and the Lessee fails within a resonable time from
the date of service of the notice to remedy the
breach, if it is capable of remedy, and in the
event of forfeiture of re-entry the Chief
Commissioner may in his discretion relieve against
forfeiture on such terms and conditions as he
thinks proper."
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The Acts
We may then refer to the relevant provisions of the
Delhi Development Act, 1957 which is paramount law on the
subject and overrides the provisions of the Delhi Municipal
Corporation Act, 1957. The word ’Building’ is defined in
section 2(b) as including any structure or erection or part
of a structure or erection which is intended to be used for
residential, industrial, commercial or other purposes,
whether in actual use or not; And the term ’building
operations as defined in section 2(c) includes rebuilding
operations, structural alterations of or additions to
buildings and other operations normally undertaken in
connection with the construction of buildings. In section
2(d) the term ’development’ is defined with all its
grammatical variations to mean the carrying out of building,
engineering, mining or other operations in, on, over or
under land or the making of any material change in building
or land and includes redevelopment. The expression
’development area’ is defined in section 2(e) to mean any
area declared to be the development area under sub-s.(1) of
s.12.
Under the scheme of the Act, the predominant object and
purpose for which the Delhi Development Authority is
constituted under s.3(1) is to secure the planned
development of Delhi. This has to be achieved by the
preparation of Master Plan under s.7(1) and Zonal
Development Plans under s.8(1). Under s.3(3)(a) the
Administrator of the Union Territory of Delhi shall be the
Chairman ex-officio of the Delhi Development Authority.
Under s. 6 the Authority is charged with the duty to promote
and secure the development of Delhi according to plan. The
Master Plan as enjoined under s. 7(2)(a) defines the various
zones into which Delhi may be divided for the purpose of
development and indicates the manner in which the land in
each zone is proposed to be used (whether by the carrying
out thereon on development or otherwise) and the stages by
which any such development shall be carried out; and by
cl.(b) thereof serves as a basic pattern of frame-work
within which the zonal development plans of the various
zones may be prepared. S. 12(1) provides that as soon as may
be after the commencement of this Act, the Central
Government may, by notification in the Official Gazette,
declare any area in Delhi to be a development area for the
purposes of this Act. After the commencement of the Act, s.
12(3) enjoins that no development of land shall be
undertaken or carried out in any area by any person or body
(including a department of government) unless,-
465
(i) "where that area is a development area
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permission for such development has been obtained
in writing from the Authority in accordance with
the provisions of this Act, i.e. according to the
Master Plan and the Zonal Development Plans;
(ii) where that area is an area other than a
development area, approval of, or sanction for,
such development has been obtained in writing from
the local authority concerned or any officer or
authority thereof empowered or authorized in this
behalf, in accordance with the provisions made by
or under the law governing such authority or until
such provisions have been made in accordance with
the provisions of the regulations relating to the
grant of permission for development made under the
Delhi (Control of Building Operations) Act, 1955,
and in force immediately before the commencement
of this Act:"
It is common ground that the Press Enclave on the
Mathura Road Commercial Complex has not been declared under
s. 12(1) to be a development area for purposes of the Act.
S.14 provides that after the coming into operation of any of
the plans in a zone no person shall use or permit to be used
any land or building in that zone otherwise than in
conformity with such plan. S.29(1) makes it a penal offence
to undertake or carry out development of any land in
contravention of the Master Plan or Zonal Development Plans
or without the permission, approval or sanction referred to
in s. 12 or in contravention of any condition subject to
which such permission, approval or sanction has been
granted. S.53(3) is important for our purpose and it reads :
53(3):"Notwithstanding anything contained in any
such other law-
(a) when permission for development in respect of
any land has been obtained under this Act such
development shall not be deemed to be unlawfully
undertaken or carried out by reason only of the
fact that permission, approval or sanction
required under such other law for such development
has not been obtained;
(b) when permission for which development has not
been obtained under this Act, such development
shall not be deemed to be lawfully undertaken or
carried out by
466
reason only or the fact that permission, approval
or sanction required under such other law for such
development has been obtained."
The words ’such other law’ in s. 53(3) obviously refer
to the non-obstante clause in sub-s. (2) which reads :
53(2):"... The provisions of this Act and the
rules and regulations made thereunder shall have
effect notwithstanding anything inconsistent
therewith contained in any other law. " i.e. the
provisions of the Act have a overriding effect
over the Delhi Municipal Corporation Act, 1957.
The Delhi Municipal Corporation Act, 1957 provides
inter alia by s. 332 that no person shall erect or commence
to erect any building, or execute any of the works specified
in s. 334 except with the previous sanction of the
Commissioner, nor otherwise than in accordance with the
provisions of this Chapter (Chapter XVI) and of the bye-laws
made under this Act in relation to the erection of buildings
or execution of works. S.334(1) provides that every person
who intends to carry on any work of the type indicated e.g.
in addition to or alterations in any building or the repairs
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or alterations of the kind specified shall apply for
sanction by giving notice in writing of his intention to the
Commissioner in such form and containing such information as
may be prescribed by bye-laws made in that behalf. S. 336(1)
provides that the Commissioner shall sanction the erection
of a building or the execution of a work unless such
building or work would contravene any of the provisions of
sub-s(2) of that section. Sub-s.(2)(a) provides for one of
the grounds on which sanction of building or work may be
refused viz.where such building or work or the use of the
site for the building or work would contravene the
provisions of any bye-law made in that behalf or of any
other law made in such other law. Sub-s. (3) provides that
the Commissioner shall communicate the sanction to the
person who has given the notice; and where he refuses
sanction on any of the grounds specified in sub-s.(2) or
under s. 340 he shall record a brief statement of his
reasons for such refusal and communicate the refusal
alongwith the reasons therefor to the person who has given
the notice. S.343(1) provides inter alia that where the
erection of any building or execution of any work has been
commenced, or is being carried on, or has been completed
without or contrary to the sanction referred to in s.
336....... The Commissioner may in addition to
467
any other section that may be taken under the Act, make an
order directing that such erection or work shall be
demolished. Proviso thereto enjoins that no such order of
demolition shall be made unless a person has been afforded a
reasonable opportunity of showing cause by a notice in
writing as to why such order shall not be made. Sub-s.(2)
provides that the person aggrieved may prefer an appeal
against an order of demolition passed under sub-s.(1) to the
District Judge. Sub-s.(3) confers power on the District
Judge to order stay of demolition. Sub-s.(5) thereof
provides that the order made by the District Judge on appeal
and subject only to such order, the order of demolition made
by the Commissioner shall be final and conclusive. Likewise
s. 344(1) provides that where the erection of any building
or execution of any work has been commenced or is being
carried on but has not been completed, without or contrary
to the sanction referred to in s. 336 or in contravention of
any conditions subject to which sanction has been accorded
or any contravention of any of the provisions of this Act or
bye-law made thereunder, the Commissioner may by order
require the person at whose instance the building or work
has been commenced or is being carried on to stop the same
forthwith. The remaining sub-sections of s.344 are, similar
to those as contained in s.343. I may now proceed to deal
with the questions that have been raised.
Maintainability of the Writ petitions
under Art. 32 of the Constitution.
The contention that these petitions are not
maintainable under Art.32 of the Constitution leaves me
cold. Some of the crucial questions that arise have been
formulated hereinbefore. These are: (1) Whether the impugned
notice of re-entry upon forfeiture of lease dated March 10,
1980 issued by the Engineer Officer, Land & Development
Office under cl.5 of the lease-deed and that of the Zonal
Engineer (Building), City Zone, Municipal Corporation, Delhi
dated March 1, 1980 to show cause why the Express Buildings
should not be demolished as unauthorized construction under
ss. 343 and 344 of the Delhi Municipal Corporation Act, 1957
were arbitrary and irrational without any factual basis and
were therefore violative of Art. 19(1)(a) read with Art. 14
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of the Constitution. (2) Whether the Lt. Governor was a
successor of the Chief Commissioner of Delhi in terms of the
lease-deed and whether by virtue or the notification issued
by the President under Art. 239(1) of the Constitution, he
could exercise any power in relation to lease of Government
lands in the Union Territory of Delhi. (3) Whether under the
paramount law
468
i.e. the Delhi Development Act, 1957, the Master Plan for
Delhi and the Zonal Development Plan for D-II area, the
permissible FAR prescribed for buildings constructed in the
Press Enclave on the Mathura Road Commercial Complex was
400. And (4) Whether the new Express Building constructed
with an increased FAR of 360 with a double basement for
installation of the printing press for publication of a
Hindi newspaper, with the permission of the lessor, the
Union of India, Ministry of Works & Housing, constitutes a
breach of the Master Plan or the Zonal Development Plans or
clauses 2(5) and 2(14) of the lease-deed. These questions
which obviously arise on these petitions under art. 32 of
the Constitution and any direction for quashing the impugned
notices must necessarily involve determination of these
questions. I regret that my learned brother Venkataramiah,
J. proposes to express no opinion on the questions on which,
in my view, the Writ Petitions turn.
The question at the very threshold is: Whether these
petitions under Art.32 are maintainable. Learned counsel
appearing for the Union of India raised a preliminary
objection which he later developed as his main argument in
reply. First, there was in the present case no question of
infraction of the freedom of the press comprehended within
the freedom of speech and expression guaranteed under Art.
19(1)(a) but the enforcement of the Master Plan for Delhi
and the Zonal Development Plan framed under the Delhi
Development Act, 1957 and the Delhi Municipal Corporation
(Building) Bye-laws, 1959 may at the most amount to a
restriction on the fundamental rights of the petitioners to
carry an their business guaranteed under Art. 19(1)(g).
Secondly, the right to occupy the land leased for the
construction of a building for installation of a printing
press is not within Art.19(1)(a) nor within Art. 19(1)(g)
but such a right is derived from a grant or contract. Such a
right is certainly not within the content of Art.19(1)(a) or
Art. 19(1)(g). It is argued that the right arising out of a
statute or out of a contract cannot be a fundamental right
itself. Once a contract is entered into or a grant is made,
the rights and obligations of the parties are not governed
by Part III of the
Constitution, but by the terms of the document embodying
the contract or the grant, and any complaint about the
breach of the same, cannot be even a matter for the
application for the grant of a writ, direction or order
under Art. 226 of the Constitution, much less under Art.32.
These contentions plausible though it may seem at first
blush, are, on closer scrutiny, nor well-founded. mey ignore
the true object and purpose for which
469
the grant was made, namely, for the construction of a
building or installation of a printing press for publication
of a newspaper and the direct and immediate effect of the
impugned notices for re-entry upon forfeiture of lease and
the threatened demolition of the Express Buildings built on
the leasehold premises under c1.5 of the lease-deed for
alleged breach of cls. 2(5) and 2(14) thereof and under ss.
343 and 344 of the Delhi Municipal Corporation Act, 1957
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when the said buildings had been constructed with the
permission of the lessor i.e. the Union of India, Ministry
of Works & Housing, and in conformity with the Master Plan
and the Zonal Development Plan for D-II area as well as with
the sanction of the Municipal Corporation of Delhi and
therefore must amount to a violation of the freedom of
speech and expression enshrined in Art. 19(1)(a). I am not
impressed at all with the submissions of learned counsel for
respondent no.1 that the forfeiture of lease or the
threatened demolition of the Express Buildings does not
touch upon the right guaranteed under Art. 19(1)(a) as the
petitioners can still shift the printing press to an
alternative accommodation.
It is argued by learned counsel appearing for the
petitioners that the main thrust of the impugned notice of
re-entery dated March 10, 1980 by the Engineer Officer, Land
& Development Office purporting to act on bahalf of the
lessor, the Union of India, Ministry of Works & Housing
under cl.5 of the indenture of lease dated March 17, 1958
requiring the Express Newspapers Pvt. Ltd. to show cause why
the Union of India should not re-enter upon and take
possession of plots nos. 9 and 10, Bahadurshah Zafar Marg
together with the Express Buildings built thereon for
alleged breach of cls. 2(5) and 2(14) of the lease-deed and
that of the earlier notice dated March 1, 1980 issued by the
Zonal Engineer (Building), City Zone, Municipal Corporation,
Delhi requiring them to show cause why the aforesaid
buildings should not be demolished under ss. 343 and 344 of
the Delhi Municipal Corporation Act, 1957 was a direct
threat on the freedom of the press guaranteed under
Art.19(1)(a) of the Constitution. He contends that the
impugned notices were intended and meant to bring about a
closure of the Indian Express and not so much for the
professed enforcement of laws governing building regulations
the Delhi Development Act, 1957, the Master Plan for Delhi
and the Zonal Development Plan for D-II area for the Muthura
Road Commercial Complex framed thereunder or the Delhi
Municipal Corporation Act, 1957 and the Delhi Municipal
Corporation (Building) Bye-laws, 1959. He further contends
that the respondents cannot be permitted to traverse beyond
the
470
pleadings of the parties as contained in the counter
affidavit of respondent no.2 filed on behalf of the
respondents and the supplementary affidavit of M.K.
Mukherjee, Secretary, Ministry of Works & Housing, or the
terms of the impugned notices. In an attempt to justify the
illegal, arbitrary and irrational governmental and statutory
action which was wholly mala fide and politically motivated,
he particularly drew our attention to the terms of the
impugned notice issued by the Engineer Officer, Land &
Development Office dated March 10, 1980 which purport to
forfeit the lease under cl.5 of the lease-deed. On two
grounds, namely: (1) The additional construction of the new
Express Building by Express Newspapers Pvt. Ltd. on the
western portion of plots nos. 9 and 10 i.e. the land to be
kept open as ’green’, was without taking permission of the
lessor under the terms of the lease-deed. And (2) The
building plans were not submitted for sanction of the lessor
under the terms of the lease and thus there was
contravention of cls. 2(5) and 2(14) of the lease-deed. He
also pointed out that the impugned notice of the Zonal
Engineer (Building), City Zone, Municipal Corporation, Delhi
dated March 1, 1980 was on the ground that the Express
Newspapers Pvt. Ltd. had started unauthorized construction
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of excess basement beyond sanction and construction of upper
basement without sanction as shown in red in the sketch plan
annexed thereto and that these were therefore unauthorized
constructions liable to be demolished under ss. 343 and 344
of the Delhi Municipal Corporation Act, 1957. According to
the learned counsel, the impugned notices were based on
grounds which were factually incorrect.
Learned counsel further pointed out that the impugned
notice of the Engineer Officer nowhere suggests that the
construction of the said building with an increased FAR of
360 was in breach of the Master Plan or the Zonal
Development Plan for D-II area framed under the Delhi
Development Act or of the Building Bye-laws made under the
Delhi Municipal Corporation Act, 1957. The contention is
that the said building with an increased FAR of 360 together
with a double basement for installation of a printing press
for the publication of a Hindi newspaper was with the
express sanction of the lessor i.e. the Union of India,
Ministry of Works & Housing accorded to the Express
Newspapers Pvt. Ltd. which had duly submitted the building
palns for grant of requisite sanction. In the premises, it
is submitted that each of the structures was constructed
with the express sanction of the lessor, and the Delhi
Development Authority granted under the Delhi Development
Act, 1957 which was the paramount law on the subject. It is
urged that the re-entry upon forfeiture of lease
471
or the threatened demolition of the new Express Building
with the double basement where the printing press is
installed for publication of the Hindi newspaper Jansatta
will result in snuffing out the Indian Express as a
newspaper altogether although it has the largest combined
net sales among all daily newspapers in India. The learned
counsel particularly emphasized the fact that the Express
Buildings at 9-10, Bahadurshah Zafar Marg from the nerve-
centre of the Express Group of Newspapers in general and the
Indian Express in particular as the teleprinter is installed
therein. We are informed that the editorials and the leading
articles of the Indian Express are sent out and the
editorial policy laid down from the Delhi office to ten
centres all over India. As already stated, the Indian
Express as a newspaper is simultaneously published from
Ahmedabad, Bangalore, Bombay, Chandigarh, Cochin, Delhi,
Hyderabad, Madras, Madurai, Vijaywada and Vizianagaram. In
this factual background, the learned counsel contends that
the impugned notices have a direct impact on the freedom of
the press and being in excess of governmental authority and
colourable exercise of statutory powers, are liable to be
struck down as offending Art. 19(1)(a) read with Art. 14 of
the Constitution. He contends that the test laid down by
this Court in Bannett Coleman & Co. & Ors. v. Union of India
& Ors. [1973] 2 S.C.R. 757, is whether the direct and
immediate impact of the impugned action is on the freedom of
speech and expression guaranteed under Art. 19(1)(a) which
includes the freedom of the press. According to him, that
test is clearly fulfilled in the facts and circumstances of
the present case. In my considered view, the contention of
the learned counsel for the petitioners must prevail.
I regret my inability to accept the contention to the
contrary advanced by learned counsel appearing for
respondent no.1 indicated above that the petitioners are
seeking to enforce a contractual right and therefore the
questions raised cannot be decided on a petition under
Art.32 of the Constitution. It is urged that the content of
the fundamental rights guaranteed in Part III of the
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Constitution demarcate the area within which the
jurisdiction of the Court under Art. 32 can operate and that
it is not permissible for the Court to enlarge upon its
jurisdiction by a process of judicial interpretation.
Placing reliance on certain observations of Ayyangar, J. in
All India Bank Employees’ Association v. National Industrial
Tribunal & Ors. [1962] 3 S.C.R. 269, and of Chandrachud and
Bhagwati, JJ. in Maneka Gandhi v. Union of India [1978] 2
S.C.R. 621, it is urged that the content of Art. 19(1)(a) of
the Constitution would not include
472
the right which is guaranteed by other clauses of Art.19.
According to the learned counsel it must therefore logically
follow that what facilitated the exercise of a fundamental
right did not for that reason become a part of the
fundamental right itself. He read out different passages
from the judgments of Bhagwati, J. in E.P. Royappa v. State
of Tamil Nadu & Anr., [1974] 2 S.C.R. 348, Maneka Gandhi v.
Union of India (supra) and Ramana Dayaram Shetty v.
International Airport Authority of India Ltd. & Ors., [1979]
3 S.C.R. 1014, and endeavoured to show, to use his own
language, that "inspite of some literal flourish in the
language here and there, they did not and could not depart
from the ambit of Art. 14 which deals with the principle of
equality embodied in the Article". He was particularly
critical of the dectum of Bhagwati, J. in International
Airport Authority’s case that "arbitrariness was the anti
thesis of Art. 14" and commented that this would mean that
all governmental actions which are not supportable by law
were per se violative of Art. 14. I am afraid, it is rather
late in the day to question the correctness of the landmark
decision in Maneka Gandhi’s case and the innovative
construction placed by Bhagwati, J. on Art. 14 in the three
cases of Royappa, Maneka Gandhi and International Airport
Authority (supra), which have evolved new dimensions in
judicial process.
It is also urged that the argument of learned counsel
appearing on behalf of the petitioners that the building in
question is necessary for running the press and any
statutory or executive action to pull it down or forfeit the
lease would directly impinge on the right of freedom of
speech and expression under Art. 19(1)(a) is wholly
misconceived inasmuch as every activity that may be
necessary for exercise of freedom of speech and expression
or that may facilitate such exercise or make it meaningful
and effective cannot be elevated to the status of a
fundamental right as if it were part of the fundamental
right to free speech and expression. It is further urged
that the right to the land and the right to construct
buildings thereon for running a printing press are not
derived from Art. 19(1)(a) but spring from the terms of the
grant of such lands by the Government under the provisions
of the Government Grants Act, 1895 and regulated by other
laws governing the subject viz. the Delhi Development Act,
1957, the Master Plan and the Zonal Development Plans framed
thereunder, the Delhi Municipal Corporation Act, 1957, and
the Delhi Municipal Corporation (Building) Bye-laws, 1959
which regulate construction of buildings in the Union
Territory of Delhi irrespective of the purpose for which the
building is constructed. It is also urged that even on a
question of fact,
473
the direct impact of the impugned notices will not be on the
double basement wherein printing press is installed but will
be wholly or in part on the two upper storeys which are not
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intended to be used in relation to the press or for
publication of the intended Hindi Newspaper but only for the
purpose of letting out the same for profit; the only other
possible effect may be the removal of the upper basement
which the petitioners call a working platform which has been
constructed in violation of the building regulations.
Learned counsel for respondent no.1, the Union of India
accepts that the right to carry on the business of printing
and publication of a newspaper and installation of a
printing press for that purpose is undoubtedly a fundamental
right guaranteed both under Arts. 19(1)(a) and 19(1)(g) but
the right to occupy the land or construct suitable
structures thereon for the business of a printing press on
such land is not within Art. 19(1)(a) nor within Art.
19(1)(g). If it were, the Delhi Municipal Corporation Act or
the Delhi Development Act, and the Master Plan or the Zonal
Development Plan and the Building Bye-laws would be totally
ineffectual. Such restrictions cannot be placed even though
in the interest of the general public as they would not fall
within Art.19(2). If, in respect of the building in
question, the right to occupy such land is to be considered
as comprehended in the right of freedom of speech and
expression guaranteed by Art.19(1)(a), then inevitable
consequence would be that neither the provisions of the
Delhi Development Act nor the Delhi Municipal Corporation
Act nor the Master Plan or the Zonal Development Plans or
the Building Bye-laws would be applicable so as to control
the building activities of the petitioners. It is said that
the irresistible conclusion, therefore, ought to be that the
fundamental right of freedom of speech and expression of a
person under Art.19(1)(a) cannot extend to the continued
occupation of a place where such right is derived from a
grant or contract. Such a right is certainly not within the
content of Art.19(1)(a) or Art. 19(1)(g). It is accordingly
argued that the right arising out of a statute or out of a
contract cannot be a fundamental right itself. Once contract
is entered into or a grant is made, the rights and
obligations of the parties are not governed by Part III of
the Constitution, by the terms of the document embodying the
contract or the grant, and any complaint about the breach of
the same, cannot be even a matter for application for grant
of a writ, direction or order under Art. 226 of the
Constitution much less under Art. 32. In substance, the
submission is that the right to run a press may be a
fundamental right guaranteed under Art. 19(1)(a) or Art.
474
19(1)(g) but the right to use a particular building for
running a press is altogether another thing inasmuch as no
particular building is equally fit for the running of the
press and the person desiring to run a press or already
running the press is at liberty to acquire another suitable
building for that purpose. Further, even if the buildings in
question were necessary for the enjoyment of the rights
under Art. 19(1)(a) or Art.19(1)(g), a right to use a
particular building does not become an ’ integral part of
the right to freedom of speech and expression’ or the ’right
to carry on any trade or business in printing and publishing
a newspaper’ and clearly therefore the petitions under Art.
32 were not maintainable. I am afraid, the contentions are
wholly misconceived and cannot be accepted.
Here, the very threat is to the existence of a free and
independent press. It is now firmly established by a series
of decisions of this Court and is a rule written into the
Constitution that freedom of the press is comprehended
within the right to freedom of speech and expression
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guaranteed under Art. 19(1)(a) and I do not wish to traverse
the familiar ground over again except to touch upon certain
landmark decisions. In Romesh Thappar v. State of
Madras,[1950] S.C.R. 594, the Court observed that the
Founding Fathers realized that freedoms of speech and of the
press are at the foundation of all democratic organizations,
for without free political discussion no public education,
so essential for proper functioning of the processes of
popular Government, is possible. In Sakal Papers (P) Ltd. v.
Union of India,[1962] 3 S.C.R. 842, the Court reiterated :
"That the freedom of speech and expression
guaranteed under Art. 19(1)(a) of the Constitution
includes the freedom of press i.e. the freedom of
propagation of ideas, and that freedom is ensured
by the freedom of circulation. Liberty of
circulation is as essential to that freedom as the
liberty of publication. Central to the concept of
a free press is freedom of political opinion and
at the core of that freedom lies the right to
criticise the Government, because it is only
through free debate and free exchange of ideas
that Government remains representation to the will
of the people and orderly change is effected. When
avenues of political expression are closed,
Government by consent of the governed would soon
be foreclosed. Such freedom is the foundation of
free Government of a free people. Our Government
set up being elected limited and
475
responsible we need requisite freedom of any
animadversion for our social interest which
ordinarily demands free propagation of views.
Freedom to think as one likes and to speak as one
thinks are as a rule indispensable to the
discovery and separate of truth and without free
speech, discussion may be futile."
Romesh Thappar’s case was cited with approval in
Express Newspapers (P) Ltd. & Anr. v. Union of India & Ors.
[1959] S.C.R. 12@ 120. There is in the Express Newspapers’
case an elaborate discussion of the freedom of the press at
pp. 118-128 of the Report. The Express Newspapers’ case and
also the case of Sakal Papers were cited with approval by
the Court in Bennett Coleman. The principle is too well-
settled to need any more elaboration.
I would only like to stress that the freedom of thought
and expression, and the freedom of the press are not only
valuable freedoms in themselves but are basic to a
democratic form of Government which proceeds on the theory
that problems of the Government can be solved by the free
exchange of thought and by public discussion of the various
issues facing the nation. It is necessary to emphasize and
one must not forget that the vital importance of freedom of
speech and expression involves the freedom to dissent to a
free democracy like ours. Democracy relies on the freedom of
the press. It is the inalienable right of everyone to
comment freely upon any matter of public importance. This
right is one of the pillars of individual liberty-freedom of
speech, which our Court has always unfailingly guarded. I
wish to add that however precious and cherished the freedom
of speech is under Art.19(1)(a), this freedom is not
absolute and unlimited at all times and under all
circumstances but is subject to the restrictions contained
in Art. 19(2). That must be so because unrestricted freedom
of speech and expression which includes the freedom of the
press and is wholly free from restraints, amounts to
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uncontrolled licence which would lead to disorder and
anarchy and it would be hazardous to ignore the vital
importance of our social and national interest in public
order and security of the State.
In Bennett Coleman’s case the Court indicated that the
extent of permissible limitations on this freedom are
indicated by the fundamental law of the land itself viz.
Art. 19(2) of the Constitution. It was laid down that
permissible restrictions on
476
any fundamental right guaranteed under Part III of the
Constitution have to be imposed by a duly enacted law and
must not be excessive i.e. they must not go beyond what is
necessary to achieve the object of the law under which they
are sought to be imposed. The power to impose restrictions
on fundamental rights is essentially a power to ’regulate’
the exercise of those rights. In fact, ’regulation’ and not
extinction of that which is to be regulated is, generally
speaking, the extent to which permissible restrictions may
go in order to satisfy the test of reasonableness." The
Court also dealt with the extent of permissible limitations
on the freedom of speech and expression guaranteed under
Art.19(1)(a). The test laid down by the Court in Bennett
coleman’s case is whether the direct and immediate impact of
the impugned action is on the freedom of speech and
expression guaranteed under Art. 19(1)(a) which includes the
freedom of the press. It was observed that the restriction
on the number of pages, a restraint on circulation and a
restraint on advertizements would affect the fundamental
right under Art.19(1)(a) on the aspects of propagation,
publication and circulation of a newspaper. In repelling the
contention of the learned Additional Solicitor-General that
the newsprint policy did not violated Art. 19(1)(a) as it
does not direct and immediately deal with the right
mentioned in Art. 19(1)(a), the Court held that the test of
pith and substance of the subject-matter and of direct and
incidental effect of legislation are relevant to questions
of legislative competence but they are irrelevant to the
question of infringement of fundamental rights. The true
test, according to the Court, is whether the effect of the
impugned action is to take away or abridge fundamental
rights. It was stated that the word ’direct’ would go to the
quality or character of the effect and not the subject
matter and the restriction sought to be imposed by the
impugned newsprint policy was, in substance, a newspaper
control i.e. to control the number of pages or circulation
of dailies or newspapers and such restrictions were clearly
outside the ambit of Art. 19(2) of the Constitution and
therefore were in abridgement of the right of freedom of
speech and expression guaranteed under Art. 19(1)(a), and it
added :
"The Newsprint Control Policy is found to be
newspaper control order in the guise of framing an
Import Control Policy for newsprint.
This Court in the Bank Nationalisation case
(supra) laid down two tests. First it is not the
object of the authority making the law impairing
the right of the
477
citizen nor the form of action that determines the
invasion of the right. Secondly, it is the effect
of the law and the action upon the right which
attracts the jurisdiction of the court to grant
relief. The direct operation of the Act upon the
rights forms the real test.
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...No law or action would state in words that
rights of freedom of speech and expression are
abridged or taken away. That is why Courts have to
protect and guard fundamental rights by
considering the scope and provisions of the Act
and its effect upon the fundamental rights."
We have only to substitute the word ’executive’ for the word
’law’ and the result is obvious. Here, the impugned notices
of re-entry upon forfeiture of lease and of the threatened
demolition of the Express Buildings are intended and meant
to silence the voice of the Indian Express. It must
logically follow that the impugned notices constitute a
direct and immediate threat to the freedom of the press and
are thus violative of Art. 19(1)(a) read with Art.14 of the
Constitution. It must accordingly be held that these
petitions under Art. 32 of the Constitution are
maintainable.
The Government Grants Act, 1895 : Section 3:
Purport & Effect of: Whether the notice of re-
entry upon forfeiture of lease was valid and
enforceable due to non-compliance of clause 6
thereof.
It is common ground that the perpetual lease was a
Government grant governed by the Crown Grants Act, 1895, now
known as the Government Grants Act. The Act is an
explanatory or declaratory Act. Doubts having arisen as to
the extent and operation of the Transfer of Property Act,
1882 and as to the power of the Government to impose
limitations and restrictions upon grants and other transfers
of land made by it or under its authority, the Act was
passed to remove such doubts as is clear from the long title
and the preamble. The Act contains two sections and provides
by s.2 for the exclusion of the Transfer of Property Act,
1882 and, by s.3 for the exclusion of, any rule of law,
statute or enactment of the Legislature to the contrary.
Ss.2 and 3 read as follows :
"2. Transfer of Property Act, 1882, not to apply
to Government grants-
478
Nothing in the Transfer of Property Act, 1882,
contained shall apply or be deemed over to have
applied to any grant or other transfer of land or
of any interest therein heretofore made or
hereafter to be made by or on behalf of the
government to, or in favour of, any person
whomsoever; but every such grant and transfer
shall be construed and take effect as if the said
Act had not been passed."
"3. Government grants to take effect according to
their tenor-
All provisions, restrictions, conditions and
limitations over contained in any such grant or
transfer as aforesaid shall be valid and take
effect according to their tenor, any rule of law,
statute or enactment of the Legislature to the
contrary notwithstanding.
It is plain upon the terms that s.2 excludes the
operation of the Transfer of Property Act, 1882 to
Government grants. While s.3 declares that all provisions,
restrictions, conditions and limitations contained over any
such grant or transfer as aforesaid shall be valid and shall
take effect according to their tenor, notwithstanding any
rule of law, statute or enactment of the Legislature to the
contrary. A series of judicial decisions have determined the
overriding effect of s.3 making it amply clear that a grant
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of property by the Government partakes of the nature of law
since it overrides even legal provisions which are contrary
to the tenor of the document.
Learned counsel appearing for respondent no.1, the
Union of India, fairly conceded that the impugned notice of
re-entry upon forfeiture of lease dated March 10, 1980
issued by the Engineer Officer, L&DO purporting to be on
behalf of the lessor i.e. the Union of India under cl.5 of
the indenture of lease dated March 17, 1958 was invalid and
had no legal effect since there was non-compliance of the
mandatory requirements of c1.6 thereof. But as a very astute
counsel he sought to evolve an argument contrary to the
stand taken in the counter-affidavit filed by respondent
no.2 on behalf of all the respondents and the supplementary
affidavit of M.K. Mukherjee, Secretary, Ministry of Works &
Housing that the ’breach was irremediable’ and therefore the
lessor i.e. the Union of India acting through the Land &
Development Officer (L&DO) was entitled to serve a notice
under
479
c1.5 for re-entry upon forfeiture of lease. He contended
that the impugned notice was, in reality, not a notice of
forfeiture under c1.5 of the lease-deed but it was merely of
an exploratory nature to afford petitioner no.1 Express
Newspapers Pvt. Ltd. to have its say before the L&DO as to
whether the construction of the new Express Building with an
increased FAR of 360 was in violation of the Master Plan or
the Zonal Development Plans or the building bye-laws i.e.
contrary to the terms of the lease, and that it was for the
L&DO to be satisfied as to whether there was a breach of the
terms of cls. 2(14) and 2(5) of the lease and that in the
event of his reaching that conclusion, to proceed to serve
the lessee with a notice of re-entry upon forfeiture of
lease under c1.5 learned counsel appearing for respondent
no.5 L&DO has placed before us a detailed note explaining
the prevailing practice followed by the L&DO in such case.
The meaning and significance of the note is that the show
cause notice under c1.5 served by the L&DO is merely a
preliminary step affording the lessee an opportunity to
settle the terms and conditions with the concurrence of the
Ministry of Works & Housing, offered by the lessor for
condonation of such breach. In the event the lessee fails to
comply with such terms the L&DO withdraws the terms offered
and then calls upon the lessee to remove or remedy the
misuse or breach within 30 days. If there is failure on the
part of the lessee to remedy such breach within the time
allowed, the L&DO processes the case for exercise by the
lessor i.e. the Union of India of its rights to re-enter
upon forfeiture of lease under c1. 5 of the lease-deed. It
is said that according to the prevailing practice in respect
of such leases i.e. pre 1959 leases of the kind held by
petitioner no.1 Express Newspapers Pvt. Ltd., the approval
of the Lt. Governor is considered a condition precedent to a
final order of re-entry which is served on the lessee after
such approval is accorded by the Lt. Governor. In terms of
the order of re-entry the lessee is requested to hand over
possession peacefully to the L&DO within a reasonable time.
However, if the lessee does not hand over possession
voluntarily in pursuance of L&DO’s letter, the L&DO files an
application under s. 5(1) of the Public Premises (Eviction
of Unauthorized Occupants) Act, 1971. Under s.8 of the Act
the Estate Officer has the same powers that are vested in
the Civil Court under the Code of Civil Procedure, 1908, in
trying a suit in respect of matters mentioned therein. The
Estate Officer has to form an opinion that the lessee was in
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unauthorized occupation of any public premises and that he
should be evicted whereupon the Estate Officer issues a
notice under s.4 by calling upon all persons concerned to
show cause why an order of eviction
480
should not be passed. Under s.9 of the Act the person
aggrieved has the remedy of an appeal to the District Judge
and thereafter he may move the High Court under Art. 226 of
the Constitution.
I am not at all impressed by any of these submissions
advanced on behalf of the respondents. There can be no doubt
whatever on a true construction of the impugned notice dated
March 10, 1980 that the Engineer Officer, Land & Development
Office purporting to act on behalf of the lessor i.e. the
Union of India, Ministry of Works & Housing served a notice
of re-entry upon forfeiture of lease under c1.5 of the
lease-deed. There was no question of the said notice being
construed to be of an exploratory nature. The note prepared
by the L&DO is nothing but an afterthought. In the view that
I take that respondent no.2 is not the successor of the
Chief Commissioner of Delhi nor has any function in relation
to the lease. There is no warrant for the suggestion that
prior approval of the Lt. Governor is a condition precedent
to the right of the lessor i.e. the Union of India to
exercise its right to re-entry upon forfeiture of lease
under c1.5 of the lease-deed.
There are two decisions of this Court which appear to
be contradictory. In Bishan Das & Ors. v. State of Punjab &
Ors. [1962] 2 S.C.R. 69, a Constitution Bench of this Court
speaking through S.K. DAs, J. in somewhat similar
circumstances allowed the petition under Art.32 of the
Constitution directing restoration of possession to the
lessee who had been dispossessed from land granted by the
Government by display of force. What had happened was this.
One Ramjidas built a dharamsala, a temple and shops
appurtenant thereto with the joint family funds on
Government land with the permission of the Government. After
his death the other members of the family who were in
management and possession of those properties were
dispossessed by the State Government of Punjab at the
instigation of a member of the ruling Congress party. The
petitioners applied to the Punjab High Court for issue of
appropriate writs under Art. 226 of the Constitution but the
petition was dismissed in limine on the preliminary ground
that the matter involved disputed questions of fact. An
appeal under c1.10 of the Letters Patent was also dismissed
on the same ground. The petitioners then moved this Court
under Art.32. The State Government sought to justify the
action on the ground that the petitioners were merely
trespassers as the land on which the dharamsala stood
belonged to the State, and the respondents were entitled to
use the minimum of force to eject the trespassers. It was
also contended that there was a serious
481
dispute on questions of fact between the parties and also
whether the petitioners had any right or title to the
subject matter in dispute and therefore proceedings by way
of a writ were not appropriate in the case inasmuch as the
decision of the court would amount to a decree declaring a
party’s title and ordering restoration of possession. The
Court repelled both the contentions as unsound and held that
the petitioners had made out a clear case of violation of
their fundamental rights. As to the contention that the
petitioners were mere trespassers, the Court held that the
admitted position was that the land belonged to the State;
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with the permission of the State, Ramjidas on behalf of the
joint family firm of Faquir Chand Bhagwan Das built the
dharamsala, temple and shops and managed the same during his
lifetime. After his death the petitioners, other members of
the joint family continued in possession and management. On
this admitted position, it was held that the petitioners
could not be held to be mere trespassers in respect of the
dharamsala, temple and shops; nor could it be held that the
dharamsala, temple and shops belonged to the State
irrespective of the question whether V the trust created was
of a public or private nature, and it was observed :
"It is, therefore, impossible to hold that in
respect of the dharamsala, temples and shops, the
State has acquired any rights whatsoever merely by
reason of their being on the land belonging to the
State. If the State thought that the constructions
should be removed or that the condition as to
resumption of the land should be invoked, it was
open to the State to take appropriate legal action
for the purpose."
As to the second contention, the Court observed :
"It was enough to say that they are bona fide in
possession of the constructions in question and
could not be removed except under authority of
law. The respondents clearly violated their
fundamental rights by depriving them of possession
of the dharamsala by executive orders.
The Court accordingly quashed the orders and issued a writ
of mandamus directing restoration of the property. The Court
felt its duty to pass strictures against the Government :
"We feel it our duty to say that the executive
action taken in this case by the State and its
officers is destructive of the basic principle of
the rule of law.
482
The facts and the position in law thus clearly are
(1) that the buildings constructed on this piece
of Government land did not belong to Government,
(2) that the petitioners were in possession and
occupation of the buildings and (3) that by the
virtue of enactments binding on the Government,
the petitioners could be dispossessed, if at all,
only in pursuance of a decree of a Civil Court,
obtained in proceedings properly initiated. In
these circumstances the action of the Government
in taking the law into their hands and
dispossessing the petitioners by the display of
forced exhibits a callous disregard of the normal
requirements of the rule of law apart from what
might legitimately and reasonably be expected from
a Government functioning in a society governed by
a Constitution which guarantees to its citizens
against arbitrary invasion of the executive of
peaceful possession of property.
The Court also adverted to the earlier decision in Wazir
Chand v. State of H.P., [1955] 1 S.C.R. 408, where it was
held that the State or its executive officers cannot
interfere with the rights of others unless they can point to
some specific rule of law which authorises their acts, and
to Ram Prasad Narayan Sahi v. State of Bihar, [1953] S.C.R.
1129, where the Court said that nothing is more likely to
drain the vitality from the rule of law than legislation
which singles out a particular individual from his fellow
subjects and visits him with a disability which is not
imposed upon the others, and concluded :
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"We have here a highly discriminatory and
autocratic act which deprives a person of the
possession of property without reference to any
law or legal authority. Even if the property was
trust property it is difficult to see how the
Municipal Committee, Barnala, can step in as
trustee on an executive determination only. The
reasons given for this extraordinary action are,
to quote what we said in Sahi’s case (supra),
remarkable for their disturbing implications.
In the later case of State of Orissa v. Ram Chandra
Dev, A.I.R. 1964 S.C. 685, Gajendragadkar, J. delivering the
judgment of the Constitution Bench observed :
483
"Oridinarily, where property has been granted by
the State on condition which make the grant
resumable, after resumption it is the grantee who
moves the Court for appropriate relief, and that
proceeds on the basis that the grantor State which
has reserved to itself the right to resume may,
after exercising its right, seek to recover
possession of the property without filing a suit."
All that the Court laid down was that the existence of
a right is the foundation for a petition under Art. 226 of
the Constitution. In that case, certain ex-zamindars of
Ganjam district were holding Government Lands appurtenant to
their office as Muthadars and were dispossessed therefrom
upon resumption of their Muthas. The Court held that the
lands were held by the ex-zamindars as service tenures which
were resumable at the will of the Government. The parties
were at issue on the question about the character of the
grant under which the predecessors of the ex-zamindars were
originally granted the lands in question. The Orissa High
Court held that it was not possible for it to decide the
important question of title involved in proceedings under
Art. 226 but that such a kind of title could only be decided
in a properly constituted suit but nevertheless were
inclined to the view that the right to recover possession
vesting in a person who had been in possession prior to such
dispossession which was implicit in 8.9 of the Specific
Relief Act, 1963 would be enforced by a petition under Art.
226. The view of the High Court was-obviously not
sustainable. At the hearing, counsel for the respondents
sought an adjournment on the ground that the respondents had
in the meanwhile filed a suit against the State Government
and further that the parties were negotiating for a
settlement. It appears that the court rejected the prayer
for adjournment saying that useful purpose would be served
by granting any further time and thereafter entered upon the
merits. lt held that merely because a suit under 8. 9 of the
Specific Relief Act would have been competent, no right can
be claimed by the respondents merely on the ground of their
possession under Art. 226 unless their right to remain in
possession was established against the State Government.
There is no reference to the earlier decision of the
Constitution Bench in Bishan Das’ case nor does the judgment
lay down any contrary principle. It seems to me that the
observations of Gajendragadkar, J. were merely in the nature
of obiter in Ramchandra Dev’s case and nothing really turns
on the observations made by him. The decision in Ramchandra
Dev’s case appears to be in per incuriam.
484
Even in cases involving purely contractual issues, the
settled law is that where statutory provisions of public law
are involved, writs will issue: Md. Hanif v. State of
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Assam[1970] 2 S.C.R. 197.
For the sake of completeness, I wish to clear the
ground of a possible misconception. Learned counsel
appearing for respondent no.1 the Union of India while
contending that the impugned notice dated March 10, 1980 was
of an exploratory nature, fairly conceded that the lessor
i.e. the Union of India must enforce its right of re-entry
upon forfeiture of lease under c1.5 of the lease-deed by
recourse to due process of law and wanted to assure us that
there was no question of marching the army or making use of
the demolition squad of the Delhi Development Authority or
the Municipal Corporation of Delhi in demolishing the
Express Buildings. As we felt that there was some ambiguity
in the expression ’due process of law’, we wanted a
categorical answer whether by this he meant by a properly
constituted suit. Without meaning any disrespect, the
learned counsel adopted an ambivalent attitude saying that
the due process may not only consist in the filing of a suit
by the lessor or re-entry upon forfeiture of the lease but
that in the case of lease of Government Lands, the
authorities may also take recourse to the Public Premises
(Eviction of Unauthorized Occupants) Act, 1971. I have no
doubt in my mind that the learned counsel is not right in
suggestion that the lessor i.e. the Union of India, Ministry
of Works & Housing can in the facts and circumstances of the
case, take recourse to the summary procedure under that Act.
The Express Newspapers Pvt. Ltd. having acted upon the grant
of permission by the lessor i.e. the Union of India,
Ministry of Works & Housing to construct the new Express
Building with an increased FAR of 360 together with a double
basement was clearly not an unauthorized occupant within the
meaning of s.2(g) of the Act which runs as under :
2(g) unauthorized occupation", in relation to any
public premises, means the occupation by any
person of the public premises without authority
for such occupation, and includes the continuance
in occupation by any person of the public premises
after the authority (whether by way of grant of
any other mode of transfer) under which he was
allowed to occupy the premises has expired or has
been determined for any reason whatsoever.
485
The Express Buildings constructed by Express Newspapers
Pvt. Ltd. with the sanction of the lessor i.e. the Union of
India, Ministry of Works & Housing on plots 8. 9 and 10,
Bahadurshah Zafar Marg demised on perpetual lease by
registered lease-deed dated March 17, 1958 can, by no
process of reasoning, be regarded as public premises
belonging to the Central Government under 8. 2(e). That
being so, there is no question of the lessor applying for
eviction of the Express Newspapers Pvt. Ltd. under s.2(1) of
the Public Premises (Eviction of Unauthorized Occupants)
Act, 1971 nor has the Estate Officer any authority or
jurisdiction to direct their eviction under sub-s.(2)
thereof by summary process. Due process of Law in a case
like the present necessarily implies the filing of suit by
the lessor i.e. the Union of India, Ministry of Works &
Housing for the enforcement of the alleged right of re-
entry, if any upon forfeiture of lease due to breach of the
terms of the lease.
Nothing stated here should be construed to mean that
the Government has not the power to take recourse to the
provisions of the Public Premises (Eviction of Unauthorized
Occupants) Act, 1971 where admittedly there 18 unauthorized
construction by a lessee or by any other person on
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Government Land which is public premises within the meaning
of s.2(e) and such person is in unauthorized occupation
thereof.
The constitutional position of the Lieutenant
Governor : Whether the Lieutenant-Governor is the
successor of the Chief Commissioner of Delhi.
One of the most crucial issues on which long and
erudite arguments were advanced by learned counsel for the
parties, turned on the question as to whether the Lt.
Governor was a successor of the Chief Commissioner of Delhi.
Learned counsel appearing for the petitioners contended that
the Lt. Governor cannot usurp the functions of the lease
i.e. the Union of India or the Chief Commissioner of Delhi
in relation to the lease in question. It is urged that the
Union Territory of Delhi which first became a Part ’C’ State
under the Constitution, was an entirely new constitutional
entity and therefore the office of the Chief Commissioner of
Delhi ceased to exist. It is further urged that the Lt.
Governor appointed by the President under Art. 239(1) of the
Constitution is an Administrator and he discharges such
functions as are entrusted to him by the President of India
and in the absence of a notification under Art. 239(1), the
Lt. Governor cannot usurp the functions of the Union of
India in
486
relation to the properties of the Union. It is pointed out
that there was no notification issued by the President of
India in terms of Art.239(1) of the Constitution empowering
the Lt. Governor to administer the properties of the Union
in the Union Territory of Delhi.
Learned counsel appearing for the Union of India
substantially advanced the same argument. According to him,
the Lt. Governor had no powers in relation to the properties
of the Union and therefore the Union of India is not bound
by the acts of the Lt. Governor. The Lt. Governor had no
power in relation to the lease and therefore he could not
usurp to himself the powers and functions of the Union of
India in relation to the lease-deed. The learned counsel
went to the extent of saying that wherever the expression
’Chief Commissioner of Delhi’ appears in the lease-deed, it
had to be struck out altogether as no such office exists in
view of the Constitutional changes since brought about. That
is to say, the question involved must be determined on the
footing as if the parties never contemplated the Chief
commissioner of Delhi to exercise any of the functions of
the lessor under the lease-deed.
In reply, learned counsel appearing for respondent
no.2, the Lt. Governor, advanced a two fold submission;
firstly, the Lt. Governor is the alter ego of the President
of India and not a mere formal or titular head of the Union
Territory of Delhi, and in the connection he referred to the
constitutional history of the Union Territory of Delhi. In
support of his contention that the designation of the
Administrator as the Chief Commissioner of Delhi under both
the Government of India Acts of 1919 and 1935 or as the Lt.
Governor under the Constitution was a mere matter of
nomenclature, the learned counsel referred to the provisions
relating to the powers, functions and duties of the Chief
Commissioner or the Lt. Governor, as the case may be, which
remained the same. In his words, the Lt. Governor is the
’eyes and ears’ of the President in relation to such
territory which he is called upon to Administer on behalf of
the President. One of the primary functions of the Lt.
Governor, as the Administrator, is to be aware of facts
brought to his notice and therefore respondent no.2 could
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not have turned a blind eye to the action of Sikandar Bakht,
the then Minister for Works & Housing in making a highly
fraudulent, illegal and improper grant of permission to the
Express Newspapers Pvt. Ltd. to build the new Express
Building with an increased FAR of 360 with a direction to
the Municipal Corporation of Delhi to accord sanction to the
building plan
487
submitted to them, as it had become the talk of the town. As
already stated, learned counsel for respondent no.1 while
contending that the Lt. Governor, as an Administrator, had
no function as the lessor or its delegate, supported him
only to the extent that as an Administrator he had to keep
himself informed of any violations of law in the Union
Territory of Delhi with the administration of which he was
concerned. It was, therefore, legitimate for the Lt.
Governor to have kept the authorities informed, and though
he had no independent power of his own, he could place the
material gathered by him with the lessor i.e. Union of
India, Ministry of Works & Housing, with a view to initiate
necessary action.
Secondly, the contention of learned counsel for
respondent no.2 was that the express exclusion of certain
specific powers under the proviso to s.21 of the Government
of Part ’C’ States Act, 1951 relates to the legislative
powers of the Legislative Assembly or the Delhi Metropolitan
Council and not to the executive functions of the Chief
Commissioner or the Lt. Governor. It was submitted that this
constitutional pattern was designed on the basis of the
’transferred powers’ in respect of which the Legislative
Assembly of Delhi or the Delhi Metropolitan Council were
given certain defined role but the ’reserved powers’ were
exercisably by the Administrator as the Chief Commissioner
or the Lt. Governor i.e. the executive functions of the
President of India under Art.53 of the Constitution. It was
accordingly urged that the Legislative Assembly of Delhi did
not nave the powers to make any law with respect to ’land
and building vested or in possession of the Union of India’
relatable to Entry 32 of List 1 of the Seventh Schedule, and
the powers and functions of the Council of Ministers in the
Union Territory of Delhi as a Part ’C’ State extended only
to the legislative powers conferred under s.21 of the Act.
The ’reserved powers’ which were excluded from the purview
of the Legislative Assembly or the Delhi Metropolitan
Council were, however, exercisable by the Chief Commissioner
and necessarily by the Lt. Governor as the appointed agent
or the nominee of the President. It was submitted that the
Lt. Governor continues to have certain defined functions,
apart from his function as the executive head of the Delhi
Administration. As an incumbent of an important public
office of the Lt. Governor, he is intended to discharge
diverse functions on behalf of the President of India as his
agent in relation to the Union Territory of Delhi. In
support of his contention, reliance was placed on the
interpretation of s.2(3) and s.36 of the Act. It was urged
that the office of the Land & Development Officer was
488
under the direct administrative control of the Chief
Commissioner A as the Administrator until 1959. The Land &
Development Officer administered nazul lands at that time as
he does now. Although this was a subject excluded from the
competence of the Legislative Assembly of Delhi under the
proviso to s.21 of the Act, the authority of the Chief
Commissioner as the Administrator over the Land &
Development Officer and over the administration of nazul
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lands as a ’reserved subject’ was kept under the
administrative control of the Chief Commissioner. It was
accordingly asserted that under several leases, including
the one in the instant case, the Lt. Governor as the
appointed agent or the nominee of the President is entitled
to act on behalf of the lessor i.e. the Union of India,
Ministry of Works & Housing and necessarily must have
administrative control over the Land & Development Office
and the administration of nazul lands.
To appreciate the rival contentions, it is necessary to
view the question from a historical perspective since the
Union Territory of Delhi, as it now exists, has undergone
many constitutional changes. Prior to September 17, 1912,
the Territory of Delhi was known as the ’Imperial Delhi
Estate’ and was included within the then Province of
Punjab. After the decision to form the capital at Delhi was
reached, proceedings for acquisition of land therefore were
taken by the Collector of Delhi District pursuant to the
notification no.775 dated December 21, 1911 issued by the
Lt. Governor of Punjab. When the Capital was shifted from
Calcutta to Delhi, the Governor-General in-Council by his
proclamation dated September 17, 1912 took under his
immediate authority and management the territory of Delhi
with the sanction and approbation of the Secretary of State
for India. The Delhi Laws Act, 1912 came into force w.e.f.
September 18, 1912 and provided for the administration of
the territory of Delhi by a Chief Commissioner as a separate
Province to be known as the Province of Delhi. The Preamble
to the Act reads as follows :
"Whereas by Proclamation published in Notification
No.911 dated the Seventeenth day of September,
1912 the Governor-General-in-Council, with the
sanction and approbation of the Secretary of State
for India has been pleased to take under his
immediate authority and management the territory
mentioned in Schedule A, which was formerly
included within the Province of Punjab, and to
provide for the administration thereof by a Chief
Commissioner as a separate Province to be known as
the Province of Delhi:
489
And whereas it is expedient to provide for the
application of the Law in force in the said
territory, and for the extension of other
enactments thereto: I. is hereby enacted as
follows :
Under 8.58 of the Government of India Act, 1919,
Delhi remained and was administered as a Chief
Commissioner’s Province. The office of Land & Development
Officer came into being as a separate organisation under the
administrative control of the Chief Commissioner of Delhi.
Under 8.94 of the Government of India Act, 1935, it was
provided that Delhi would continue to be a Chief
Commissioner’s Province. A Chief Commissioner’s Province was
to be administered by the Governor-General acting to such
extent as he thought fit through a Chief Commissioner to be
appointed by him in his discretion. S. 94 of the Government
of India Act, 1935 provided as follows :
"94: Chief Commissioners’ Provinces :
1. The following shall be the Chief Commissioners’
Provinces, that is to say, the heretofore existing
Chief Commissioners’ Provinces of British
Baluchistan, Delhi, Ajmer-Merwara, Coorg and the
Andaman and Microbe Islands, the area known as
Panth Piploda, and such other Chief Commissioners’
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Provinces as may be created under this Act.
"2. Aden shall cease to be part of India.
"3. A Chief Commissioner’s Province shall be
administered by the Governor-General acting, to
such extent as he thinks fit, through a Chief
Commissioner, to be appointed by him in his
discretion.
Under s.100(4) of the Government of India Act, 1935, the
Federal Legislature was empowered to legislate in relation
to Chief Commissioners’ Provinces and without limitation as
to subjects.
With the attainment of Dominion status on August 15,
1947 under the Indian Independence Act, 1947, the powers of
the legislature of the Dominion were exercisable by the
Constituent Assembly under sub-s.(l) of s.8. The constituent
Assembly was not to be subject to any limitations whatsoever
in exercising its constituent powers. Thus, the Indian
Independence Act, 1947 established the sovereign character
of the Constituent Assembly
490
Which became free from all limitations. Sub-s. (2) of s.8 of
the Act provided that except insofar as other provision law
made by or in accordance with a law made by a constituent
Assembly under sub-b.(l), the governance of the Dominion was
to be carried out in accordance with the Government of India
Act, 1935 and the provisions of that Act, and all the orders
in Council, rules and other instruments made thereunder. On
January 5, 1950, the Constituent Assembly enacted the
Government of India (Amendment) Act, 1949 by which s.290A
was inserted in the Government of India Act, 1935 providing
that the Governor-General may by order direct that an
acceding State or a group of such States shall be
administered as a Chief Commissioner’s Province or as past
of Governor’s or Chief Commissioner’s Province. These
acceding States were thus converted into Centrally
administered areas and included in Part ’C’ of the First
Schedule of the Government of India Act, 1935. The remaining
States in Part ’C’ were Ajmer, Coorg and Delhi. Under the
Constitution, Delhi became a Part ’C’ State. As already
stated the States specified in Part ’C’ of the first
Schedule were to be administered by the President under
Art.239(1) acting, to such extent as he thought fit, through
a Chief Commissioner or a Lt. Governor to be appointed by
him.
Section 290A of the Government of India Act, 1935,
reads as follows :
"290A. Administration of certain Acceding States
as a Chief Commissioner’s Province or as part of a
Governor’s or Chief Commissioner’s Province:-
1. Where full and exclusive authority,
jurisdiction and powers for and in relation to the
governance of any Indian State or of any group of
such States are for the time being exercisable by
the Dominion Government, the Governor-General may
by order direct:-
(a) that the State or the group of States shall be
administered n all respects as if the State or the
group of states were a Chief Commissioner’s
Province:
(b) that the State or the group of States shall be
administered in all respects as if the State or
the group of States formed a part of a Governor’s
or a Chief Commissioner’S Province specified in
the Order.
491
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Provided that if any Order made under clause (b)
of A this sub-section affects a governor’s
Province, the Governor-General shall before making
such Order ascertain the views of the Government
of that Province both with respect to the proposal
to make the order and with respect to the
provisions to be inserted therein.
(2) Upon the issue of an order under clause (a) of
sub-section (1) of this section, all the
provisions of this Act applicable to the Chief
Commissioner’s Province of Delhi shall apply to
the State or the group of States in respect of
which the Order is made.
(3) The Governor-General may in making an order
under sub-section (1) of this section give such
supple mental, incidential and consequential
directions (including directions as to
representation in the Legislature) as he may deem
necessary.
(4) In this section, reference to a State shall
include reference to a part of a State.
As a result of this, the then Province of Delhi became a
Part ’C’ State.
Under the Constitution of India, Delhi became a Part
’C’ State w.e.f. January 26, 1950 and it was provided by
Art.239 (1) that a State specified in Part ’C’ of the First
Schedule shall be administered by the President acting to
such extent as he thinks fit through a Chief commissioner or
Lt. Governor to be appointed by him. Art.239(1? of the
Constitution as it then stood, insofar as material,
provided:
"239(1). Subject to the other provisions of this
Part, a State specified in Part of the First
Schedule shall be administered by the Pres dent
acting, to such extent as he thinks fit, through a
Chief Commissioner or a Lieutenant-Governor to be
appointed by him or through the Government of a
neighbouring State: It would appear that
Art.239(1) of the Constitution differed from the
provision contained in s.94(3) of the Government
of India Act, 1935 to the extent that the
appointment of a Chief Commissioner or Lt.
Governor as an Administrator irrespective of
492
The designation and entrustment of powers, functions and
duties to him by the President, were not to be in his
discretion but had to be exercised on the advice of the
Council of Ministers, Except for this, 8.94(3) of the
Government of India Act, 1935 and Art. 239(1) of the
Constitution as enacted were identical in respect
of the provisions for the administration of Delhi as a
Chief Commissioner’s province under the 1935 Act and as a
Part State under the Constitution, by the Governor-General
under s.94(3) and under Art.239(1) by the President acting
to such extent as he thought fit, through the Chief
Commissioner or the Lt. Governor as an Administrator
irrespective of the designation.
On April 16, 1950 the Part States Laws Act, 1950 was
brought into force. By s.2, the Central Government was
empowered by notification in the official gazette to extend
to the State of Delhi or to any part of such territory with
such restrictions and modifications as it thought fit any
enactment which was in force in any State at the date of the
notification. S.4 of the Act repealed s.7 of the Delhi Laws
Act, 1912. The Government of Part States Act, 1951 enacted
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by Parliament was brought into force on September 6, 1951.
S. 21 of the Act, insofar as material, read as follows :
21. Extent of Legislative Power
(1) Subject to the provisions of this Act, the
Legislative Assembly of a State may make laws for
the whole or any part of the State with respect to
any of the matters enumerated in the State List or
in the Concurrent List.:
Provided that the Legislative Assembly of the
State of Delhi shall not have power to make laws
with respect to any of the following matters,
namely :-
(a)
(b)
(c) *
(D) lands and buildings vested in or in the possession of
the Union which are situated in Delhi or in New Delhi
including all rights in or over such lands and buildings,
the collection of rents, therefrom and the transfer and
alienation thereof ;
(2) Nothing in sub-s.(1) shall derogate from the
power conferred on Parliament by the Constitution
to make
493
laws with respect to any matter for a State or any
part thereof.
Art. 239(1) of the Constitution was amended by the
Constitution (7th Amendment) Act, 1956 w.e.f. November 1,
1956 and it now reads :
"239. Administration of Union Territories -
"(1) Save as otherwise provided by Parliament by
law, every Union Territory shall be administered
by the President acting, to such extent as he
thinks fit, through an administrator to be
appointed by him with such designation as he may
specify.
It would be seen that for the words ’through a Chief
Commissioner or a Lt. Governor to be appointed by him’ in
Art. 239(1) as originally enacted, the worts substituted are
’through an administrator appointed by him with such
designation as he may specify’. One thing is clear that the
Administrator appointed by the President under Art.239(1)
whether with the designation of the Chief Commissioner or of
the Lt. Governor could exercise only such powers, functions
and duties as were entrusted to him by the President i.e.
there have to be specific entrustment of powers by the
President under Art. 239(1). Under Art. 246(4) of the
Constitution which corresponds to s.100(4) of the Government
of India Act, 1935, Parliament was given power to make laws
with respect to any part of the territory of India not
included in Part A or Part of the First Schedule,
notwithstanding that such matter was a matter enumerated in
the State List.
As from the appointed day i.e. from November 1, 1956
Part States ceased to exist by virtue of the Seventh
Amendment and in their place Union Territories were
substituted in the First Schedule to the Constitution,
including the Union Territory of Delhi i.e. the territories
which immediately before the commencement of the
Constitution were comprised in the Chief Commissioner’s
Province of Delhi. By the Seventh Amendment, Art. 246(4) was
also amended. Art. 246(4), as amended, now reads :
"246(4) - Parliament has power to make laws with
respect to any matter for any part of the
territory of India not included in a State
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notwithstanding that such matter is a matter
enumerated in the State List.
494
In pursuance of Art.239 as amended by the Seventh Amendment,
the A President of India issued the following notification
on November 1, 1956 :
REGISTERED NO.D. 221
THE GAZETTE OF INDIA
EXTRAORDINARY PART 11
Section 3
PUBLISHED BY AUTHORITY
No. 332 NEW DELHI, THURSDAY, NOVEMBER 1, 1956
MINISTRY OF HOME AFFAIRS
NOTIFICATION
New Delhi-2, the 1st November, 1956.
S.R.O. 2536 - In pursuance of clause (1) of
Article 239 of the Constitution as amended by the
Constitution (Seventh Amendment) Act, 1956 and all
other powers enabling him in this behalf, the
President hereby directs as follows :-
Where, by virtue of any order made in pursuance of
Article 239 or as the case may be, Article 243 of
the Constitution as in force immediately before
the 1st day of November, 1956 or any other power
under the Constitution, any powers and functions
were immediately before that day, the powers and
functions
(a) the Lieutenant Governor of the State of
Himachal
(b)the Chief Commissioner of the State of Delhi,
Manipur or Tripura and
(c) the Chief Commissioner of the Andaman and
Nicobar Islands,
such powers and functions shall, on and after the
said day, be exercised and discharged respectively
by-
(i) the Lieutenant Governor of the Union Territory
of Himachal Pradesh,
(ii) the Chief Commissioner of the Union Territory
of Delhi, Manipur or Tripura, and
495
(iii) the Chief commissioner of the Andaman and
Nicobar Island,
subject to the like control by the President, as
were exercisable by him before the said day over
the Lieutenant Governor or as the case may be, the
Chief Commissioner referred to in clause (a),(b)
or (c).
(No.F.19/22/56-SRI)
HARI SHARMA. JT. Secy.
ON the same day, by Section 130 of the States
Reorganization Act, 1956, the Government of Part States Act,
1951 stood repealed. On October 1, 1959 decision was taken
by the Government of India to transfer the administrative
control of the office of Land & Development Officer, New
Delhi from the Delhi Administration to Ministry of Works,
Housing & Supply w.e.f. October 1, 1959. This decision was
duly communicated to the Chief Commissioner of Delhi and to
the Land & Development Officer, New Delhi. In the further
affidavit of M.K. Mukherjee, Secretary, Ministry of Works &
Housing, it is averred in paragraph 6 that the ’office of
the Land & Development Officer was transferred to the
control, of the Ministry of Works, Housing & Supply w.e.f.
October 1, 1959 and since then it has been functioning as a
subordinate office of the Ministry of works, Housing’. It
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would therefore, be manifest that after October 1, 1959
neither the Chief Commissioner nor the Lt. Governor had
anything to do with the office of the Land Development
Officer or the administration of nazul lands in The Union
Territory of Delhi.
The President of India on February 1, 1966 issued an
order under Art.299(1) of the Constitution which inter alia
directed that in the cafe of Land & Development Office (1)
all contracts and assurances of property relating to matters
falling within the jurisdiction of Land & Development
Officer, (2) all contracts, deeds and other instruments
relating to and for the purpose of enforcement of the terms
and conditions of the sale/lease-deed of the government
property in Delhi/New Delhi, etc. made in exercise of the
executive power of the Union may be executed on his behalf
by the Land & Development Officer. Under Clause XLI it was
specifically provided :
"Notwithstanding anything hereinbefore contained
any contract or assurance of property relating to
any matter whatsoever may be executed by the
Secretary or
496
the Special Secretary or the Additional Secretary
or the Joint Secretary or the Director, or when
there is no Additional Secretary, Joint Secretary
to the Government in the appropriate Ministry or
Department.
It is pertinent to observe that neither the Chief
Commissioner of Delhi nor the Lt. Governor has been
conferred any authority by the President under Art.299(1) to
enter into any contract mate in the exercise of the
executive power of the Union or to act ’on behalf of’ the
President in relation to such contract or assurance of
property i.e. to act on behalf of the President for the
enforcement of the terms ant conditions thereof.
On September 7, 1966 the Administrator appointed by the
President in relation to the Union Territory of Delhi who
hithertofore had been designated as the Chief Commissioner
was re-designated as the Lt. Governor of Delhi. Accordingly,
the President on September 7, 1966 issued another order in
terms of Art. 239(1) of the Constitution which provides as
follows :
MINISTRY OF HOME AFFAIR
NOTIFICATION
New Delhi, the 7th Sept., 1966.
S.O. 2709 - In pursuance of clause (1) of article
239 of the Constitution and all other powers
enabling him in this behalf, the President hereby
directs as follows
Where by virtue of-any order made in pursuance of
article 239 any powers and functions were,
immediately before the 7th September, 1966 the
powers and functions of the Chief Commissioner of
the Union Territory of Delhi, such powers and
functions shall, on and after the said day, be
exercised and discharged by the Lt. Governor of
the Union Territory of Delhi, subject to the like
control by the President, as was exercisable by
him before the said day over the Chief
Commissioner-
(No.41/2/66-Delhi.)
HARI SHARMA, SECRETARY
The crux of the matter is whether the Lt. Governor was
by virtue of the aforesaid notification dated September 7,
1966 issued by the President, conferred any power, function
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and duty
497
in relation ’o the property of the Union in the Union
Territory of Delhi. Much stress is laid by learned counsel
appearing for respondent No.2 on the said notification
insofar as it provides that the Lt. Governor shall have the
same powers and functions as were exercisable by the Chief
Commissioner. That would be so provided there was a
notification by the President of India under Art. 239(1) of
the Constitution vesting the Chief Commissioner with power
to administer the property of the Union of India. There is
admittedly no such notification under Art. 239(1) by the
President vesting Chief Commissioner or the Lt. Governor
with any such power.
It is sought to be impressed upon us that the
designation of the Administrator of a Union Territory was
per se of no particular legal or functional significance. It
is argued by learned counsel appearing for respondent no.2
that the Administrator appointed by the President under Art.
239(1), as amended by the Seventh Amendment, could be called
by any designation, that the Chief Commissioner of Delhi
continued to be the Administrator of the Union Territory of
Delhi under Art. 239(1) after November 1, 1956 when the
Government of Part States Act, 1951 was repealed by s. 130
of the States Reorganization Act, 1956 and that he
functioned as such till September 6, 1966 since the Delhi
Administration Act, 1966 continued to use the nomenclature
of Administrator appointed by the President under Art.
239(1). It was for the first time on September 7, 1966 that
the Administrator of the Union Territory of Delhi who used
to be designated as the Chief Commissioner was re-designated
as the Lt. Governor. The learned counsel relied upon s. 18
of the General Clauses Act, 1897 which runs as under :
18. Successors.
1. In any Central Act or Regulation made after the
commencement of this Act, it shall be sufficient
for the purpose of indicating the relation of a
law to the successors of any functionaries or of
corporations having perpetual succession to
express its relation to the functionaries or
corporations.
2. This section applies also to all Central Acts
made after the third day of January, 1868, and to
all Regulations made on or after the fourteenth
day of January, 1887.
498
Our attention was drawn by the learned counsel to the
decision of Mohd. Maqbool Damanoo v. State of Jammu &
kashmir, [1972] 2 S.C.R. 1014, where a Constitutional Bench
held that under 8. 26(2) of the Jammu & Kashmir
Constitution, as amended, even though the Governor of Jammu
& Kashmir was not elected as the Sadar-i-Riyasat but the
mode of appointment would not make a Governor anytheless a
successor to the Sadar-i-Riyasat because both were the head
of the State and therefore the executive power of the State
vested in them both. In that connection, the Court referred
to 8.18 of the General Clauses Act and held that the
Governor being a successor of the office of the Sadar-i-
Riyasat was entitled to exercise all the powers and
functions of the Sadar-i-Riyasat. We do not see the
relevance of the decision in Mohd. Maqbool’s case to the
question before us since the Lt. Governor of Delhi is
neither the successor of the Chief Commissioner nor can s.l8
of the General Clauses Act override the constitutional
requirements of Art.239(1) laying down that the Lt. Governor
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shall exercise only such powers as are entrusted to him by
the President.
The question still remains whether the Lt. Governor was
the successor of the Chief Commissioner of Delhi; and if so,
had by reason of the notification dated September 7, 1966
under Article 239 of the Constitution the same powers and
unctions that were exercisable by the Chief Commissioner in
relation to the lease. That would be so provided there was a
notification issued by the President under Art.239(1)
vesting the Chief Commissioner with powers to administer the
property of the Union or lease of nazul properties in the
Union Territory of Delhi. It is also necessary to consider
whether under the proviso to s.21 of the Part States Act,
1951, the so-called ’reserved powers’ were exercisable by
the Lt. Governor in relation to the executive functions of
the President under Art.53 of the Constitution as an agent
or the nominee of the President and therefore he was
entitled to act on behalf of the lessor i.e. the Union of
India, Ministry of works & Housing.
Learned counsel appearing for respondent no.2 argues
that the Lt. Governor had ample powers and functions under
the aforesaid notification dated September 7, 1966 and
therefore it was incumbent upon him to take necessary steps
in due discharge of his official duties. The Lt. Governor
was not a ’stranger’, ’interloper’, ’intruder’ or ’usurper’
acting without any warrant or semblance of power or any
authority as alleged and argued
499
strenuously by the petitioners He says that there is a vast
variety of notifications which vest the office of the Lt.
Governor with powers and functions of various descriptions
under various statutes, many of which are to be exercised by
him in his discretion. He contends that such powers are of a
wide ranging nature which inhere in the office of the Lt.
Governor. he refers to several notifications in which the
Administrator of Union Territory had been variously
described viz. as Chief Commissioner, Administrator or Lt.
Governor and contends that even while delegating the powers
under Art. 239(1) of the Constitution, a continuum between
the office of the Chief Commissioner and that of the Lt.
Governor was preserved and the terms used interchangeably.
All these powers and functions were essentially functional.
Moreover, powers and functions which vested in that office
and which had a clear continuity of its own also implied
powers which were incidental and ancillary thereto. Such
powers also necessarily included powers and functions which
were a necessary concomitant of the office.
Learned counsel contends that the office of the
Administrator under Art.239(1) is the office of an agent and
representative of the President. It is the office of the
Head of the Administration in relation to the Union
territory. He is not merely a formal or titular head but an
effective and executive head. The office is both formal and
functional, and the Union Territory is administered by the
Union Executive through the Lt. Governor. In the ultimate
analysis, the Lt. Governor has to be the ’eyes and ears’ as
well as the ’limbs’ of the President in the Union Territory
which he is called upon to administer on behalf of the
President. He is also to keep in touch with every situation
and to take into account the representations and complaints
in exercising the powers and discharging the functions of
his office. In these circumstances, the Lt.Governor was
entitled to see whether there was any definite matter of
public importance which might eventually call for a detailed
administrative or statutory inquiry, either in respect of
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the conduct of the officer of the Delhi Development
Authority or those of the Municipal Corporation, and to
satisfy himself with regard to various matters and
particularly whether there were any violations of town
planning norms cr sanction granted, whether the lease
conditions were breached, whether similar concessions should
be granted to others similarly situate and whether any
remedial measures were called for. He urges that the
complaints and representations with regard to Express
Buildings were quite specific and the pace of construction
was particularly
500
accelerated. The Lt. Governor had the powers and the duty to
inform himself of the fact and to be properly advised with
regard to these matters. Instead of acting in a
surreptitious, clandestine or hurried manner, he appointed a
committee of three senior officials to ascertain the facts.
In appointing such a committee he acted will within his
powers and in a wholly bona fide manner; indeed, he could
also, if 80 satisfied, set up a commission of inquiry under
the Commissions of Inquiry Act, 1952.
The argument of learned counsel appearing for
respondent no.2 based on the proviso to 8.21 of the
Government of Part States Act, 1951 that the ’reserved
powers’ were still with the Administrator as the Chief
Commissioner of the Lt. Governor and therefore the Lt.
Governor as the appointed agentor nominee of the President
was entitled to exercise the executive functions of the
President under Art. 53 of the constitution and consequently
was authorized to act on behalf of the lessor i.e. the Union
of India, Ministry of Works & Housing, is totally
unwarranted. The contention overlooks the constitutional
changes brought about, as a result of which the territory of
Delhi ceased to be administered as a Chief Commissioner’s
Province by the Governor-General acting to such extent as he
thought fit through the Chief Commissioner appointed by him
in his discretion under 8.94(3) of the Government of India
Act, 1935 and become a Part state on the inauguration of the
Constitution and had to be administered by the President
under Art.239(1) acting to such extent as he thought fit
through a Chief Commissioner or a Lt. Governor to be
appointed by him or through the Governor of a neighbouring
State. After the Seventh Amendment which reorganized the
States, Part State of Delhi was transformed into a Union
Territory and has to be administered by the President under
the amended Art. 239(1), acting to such extent as he thinks
fit, through an Administrator to be appointed by him with
such designation as he may specify. In September, 1951 an
Act known as the Government of Part States Act, 1951 was
passed by Parliament. It was a law enacted by Parliament
under Art.240(1) to provide for the creation of Legislative
Assemblies, Council of Ministers and Councils of Advisors
for Part States. Sub-s.(3) of 8.2 provided that any
reference in the Act to the Chief Commissioner shall, in
relation to a State for the time being administered by the
President through a Lt. Governor be construed as a reference
to the Lt.Governor. Cl.(2) of Art.240 provided that such law
shall not be deemed to be an amendment of the Constitution
fr the purposes of Art. 368 notwithstanding that it
contained any provision which amended or had the effect of
amending the Constitution. S.21 of the Act invested the
Legislative
501
Assemblies of such Part States with powers of legislation
with respect to any of the matters enumerated in the State
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List or in the Concurrent List with the reservation
contained tn the proviso thereto that the Legislative
Assembly of the State of Delhi Shall not have power to make
laws with respect to the matters enumerateded therein, with
the overriding provision contained in sub-6.(2) that nothing
in sub-s.(1) shall be in derogation of the power conferred
on Parliament by the constitution to make laws with respect
to any matter for a Part State or any part thereof.
It would therefore appear that the territory of Delhi
as a Part State under the First Schedule to the Constitution
was a separate and distinct constitutional entity as from
that of a Chief Commissioner’s Province under the Government
of India Act, 1935, and this is equally true of the Union
Territory of Delhi. It must logically follow that with the
transformation of the territory of Delhi from a Chief
Commissioner’s Province under 8.94(3) of the Government of
India Act, 1935 into that of a Part State under the
Constitution and after the Seventh Amendment into the Union
Territory of Delhi, the office of the Chief Commissioner of
Delhi disappeared and that of an Administrator appointed by
the President under Art. 239(1) with such designation as he
may specify, come into existence. The necessary concomitant
is that the Administrator of the Union Territory of Delhi
derived only such powers, functions and duties as were
entrusted to him by the President under Art. 239(1).
I would also refer to the case of Edward Mills Co. Ltd.
Beawar, & Ors. y. State of Ajmer & Anr., [1955] 1 S.C.R.
735, which was rightly not relied upon by learned counsel
for the respondents as the decision turned on its own facts.
In that case it was held by the Constitution Bench that an
order made by the Governor-General under 6. 94(3) of the
Government of India Act, 1935 investing the Chief
Commissioner with the authority to administer a Chief
Commissioner’s Province as then existing, must be regarded
as a legislative act and as such treated as a ’law in force’
falling within the purview N of Art. 372 of the Constitution
and therefore such an order made under 8.94(3) of the
Government of India Act, 1935 must be construed as an order
made under Art. 239(1). The Constitution Bench speaking
through Mukherjee, J. after adverting to 6. 94(3) of the
Government of India Act, 1935, observed :
"An order made by the Governor-General under
6.94(3) investing the Chief Commissioner with the
authority to administer a province is really in
the nature of a
502
legislative provision which defines the rights and
powers of the Chief Commissioner in respect of
that province. In our opinion, such order comes
within the purview of Article 372 of the
Constitution and being ’a law in force’
immediately before the commencement of the
Constitution would continue to be in force under
clause (1) of the Article. Agreeably to this view
it must also be held that such order is capable of
adaptation to bring provisions under cl.(2) of
Article 372 and this is precisely what has been
done by the Adaptation of Laws Order, 1950.
Paragraph 26 of the Order runs as follows :
"Where any rule, order or other instrument was in
force under any provision of the Government of
India Act, 1935, or under any Act amending or
supplementing that Act, immediately before the
appointed day, and such provision is re-enacted
with or without modifications in the Constitution,
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the said rule, order or instrument shall, so far
as applicable, remain in force with the necessary
modifications as from the appointed day as if it
were a rule, order or instrument of the
appropriate kind duly made by the appropriate
authority under the said provision of the
Constitution, and may be varied or revoked
accordingly.
Thus the order made under s. 94(3) of the
Government of India Act should be reckoned now as
an order made under Article of the
Constitution...... There was no Order in Council
issued by the Governor-General under Art. 94(3) of
the Government of India Act, 1935 nor any order
issued by the President under Art. 239(1) of the
Constitution investing the Chief Commissioner of
Delhi to deal with the property of the Union. On
October 1, 1959, decision was taken by the
Government of India to transfer the administrative
control of the Land & Development Office from the
Chief Commissioner of Delhi to the ministry of
Works & Housing. This decision was duly
communicated to the Chief Commissioner of Delhi
and to the Land & Development Officer. It is
admitted in the further affidavit of M.K.
Mukherjee, Secretary, Ministry of works & housing
dated November 16, 1982 that the office of the
Land & Development Officer was transferred to the
control of the ministry of Works & Housing w.e.f.
October 1, 1959 and since then it has been
functioning as a subordinate office of the
Ministry of Works &
503
Housing. Undoubtedly, the matters relating to the property
of the Union of India are included in the executive power of
the Union under Art. 53 of the Constitution read with Art.
298 which expressly provides that the executive power of the
Union shall extend to the acquisition, holding that disposal
of property and the making of contracts for any purpose.
Such executive power of the Union is vested in the President
under Art. 53(1) and shall be exercised by him either
directly or through officers subordinate to him in
accordance with the Constitution. All executive actions of
the Government of India shall be expressly taken in the name
of the President under Art. 77(1). Under cl.(2) thereof,
orders and other instruments made and executed in the name
of the President shall be authenticated as may be specified
in rules to be made by the President i.e. in the manner
specified under the Authentication (Orders and other
Instruments) Rules, 1958 framed under Art. 72(2). On January
18, 1961, the President made the Government of India
(Allocation of Business) Rules, 1961 under Art. 77(3) for
the convenient transaction of business of the Government of
India, and for the allocation among Minister of the said
business.
In terms of the Government of India (Allocation of
Business) Rules, 1961, all matters relating to the property
of the Union, allotment of Government lands in Delhi,
administration of Government estates under the control of
the Ministry of Works & Housing and the administration of
the Land & Development Office, are matters exclusively
vested in the Ministry of Works & Housing vide Entries 1, 6
and 23(1) in the Second Schedule under the head ’Ministry of
Works & Housing’. In the light of the said directive, as
further confirmed by the constitutionally enacted
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regulations, the power over the allotment of nazul lands,
administration of leases in Delhi and the control and
administration of Land & Development Office in particular
and the property of the Union in general are subjects vested
solely under the control of the Ministry of Works & Housing.
In the premises, by such transfer of authority, the Chief
Commissioner of Delhi and necessarily his successor, the Lt.
Governor, became bereft of his powers to control and
administer the lease and any attempt by respondent no.2 set
up a claim that the Lt. Governor is the authority empowered
to administer the lease is wholly frivolous and untenable
and must be rejected.
Whether the impugned Executive action was mala
fide and politically motivated.
504
The principal point in controversy between the parties
is whether the notice of re-entry upon forfeiture of lease
issued by the Engineer Officer, Land & Development Office
dated March 10, 1980 purporting to be on behalf of the
lesser i.e. the Union of India, Ministry of Works & Housing,
and that of March 1, 1980 issued by the Zonal Engineer
(Building), City Zone, Municipal Corporation, Delhi were
wholly mala fide and politically motivated. It is a sad
reflection on the state of affairs brought about during the
period of Emergency which brought into existence a
totalitarian trend in administration and I do not wish to
aggravate any of its features by unnecessary allusions. In
the process, the country witnessed misuse of mass media
totally inconceivable and unheard of in a democratic form of
Government by reduced freedom of the press by exercise of
pre-censorship powers, enactment of a set of draconian laws
which reduced freedom of the press to a naught.
The petitioners have pleaded the facts with sufficient
degree of particularity tending to show that the impugned
notices were wholly mala fide and politically motivated;
mala fide, because the impugned notice of re-entry upon
forfeiture of lease dated March 10, 1980 issued by the
Engineer Officer, Land & Development Office under cl.5 of
the indenture of lease dated March 17, 1558 for alleged
breach of cls. 2(14) and 2(5) which in fact were never
committed and the notice dated March 1, 1980 by the Zonal
Engineer (Building), City Zone, Municipal Corporation for
demolition of new Express Building where the printing press
is installed under 86. 343 and 344 of the Delhi Municipal
Corporationration Act were really intended and meant to
bring about the stoppage of the publication of the Indian
Express which has throughout been critical of the Government
in power whenever it
went wrong on a matter of policy or in principle. Also,
mala fide because they constitute misuse of powers in bad
faith. Use of power for a purpose other than the one for
which the power is conferred is mala fide use of power. Same
is the position when an order is made for a purpose other
than that which finds place in the order.
It is somewhat strange that although definite
allegation of mala fide on the part of the respondents
particularly the Government for the day at the Centre were
made with sufficient particulars and though the respondents
had ample time to file their affidavits in reply, none of
the respondents except respondent no.5,, the Lt. Governor of
Delhi and respondent no.5,, Land Development Officer have
chosen to deny the allegations.
505
The counter-affidavit of respondent no.2 purporting to be on
behalf of all the respondents is that the allegations made
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by the petitioners in paragraphs 11, 12 and 13 are not
’relevant’ to the matter in issue. In C.I. Rowjee & Ors. v.
A.P. State Road Transport Corporation, [1964] 4 S.C.R. 330,
the Court in a matter arising out of the Motor Vehicles Act,
1939 where certain allegations against the Minister went
uncontroverted, had occasion to administer a word of
caution. Where mala fide are alleged, it is necessary that
the person against whom such allegations are made should
come forward with an answer refuting or denying such
allegations. For otherwise such allegations remain
unrebutted and the Court would in such a case be constrained
to accept the allegations so remaining unrebutted and
unanswered on the test of probability. That precisely is the
position in the present case, m the absence of any counter-
affidavit by any of the respondents. One should have thought
that the Minister for Works & Housing should have sworn an
affidavit accepting or denying the allegations made by the
petitioners. At our instance, M.K. Mukherjee, Secretary,
Ministry of Works & Housing has filed a supplementary
affidavit. He avers that the impugned notice dated March 10,
1980 of re-entry upon forfeiture of lease issued by the
Engineer Officer, Land & Development Office was on the basis
of press reports i.e. reports of the press conference held
by the It. Governor. Again, there is no attempt on the part
of the Union of India, Ministry of Works & Housing to deny
the allegations of mala fides on the part of the Government
and its functionaries in issuing the impugned orders. On the
contrary, he avers that respondent no.1 ’adopts the counter-
affidavit filed by respondent no.2’. It is not for the
parties to say what is relevant or not. The matter is one
for the Court to decide. There is nothing before us from
which we can say that the allegations in paragraphs 11, 12
and 13 of the petition made by the petitioners are not well-
founded. Mala fides on the part of the Government in power
or its functionaries would be sufficient to invalidate the
impugned notices. Fraud on power vitiates the impugned
orders if they were not exercised bona tide for the purpose
for which the power was conferred.
Professor de Smith in his monumental work the Judicial
Review of Administration Action, 4th edition at pp.335-36
says in his own terse language :
"The concept of bad faith eludes precise
definition, but in relation to the exercise of
statutory powers it h may be said to comprise
dishonesty (or fraud) and
506
malice. A power is exercised fraudulently if its
repository intends to achieve an object other than
that for which he believes the power to have been
conferred...... A power is exercised maliciously
if its repository is motivated by personal
animosity towards those who are directly affected
by its exercise.
He then goes on to observe :
"If the Court concludes that the discretionary
power has been used for an unauthorized purpose it
is generally immaterial whether its repository was
acting in good or bad faith. But there will
undoubtedly remain areas of administration where
the subject matter of the power and the evident
width of the discretion reposed in the
decisionmaker render its exercise almost wholly
beyond the reach of judicial review. In these
cases the courts have still asserted jurisdiction
to determine whether the authority has endeavoured
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to act in good faith in accordance with the
prescribed purpose. In most instances the
reservation for the case of bad faith is hardly
more than a formality. But when it can be
established, the courts will be prepared to set
aside a judgment or order procured or made
fraudulently despite the existence of a generally
worded formula purporting to exclude judicial
review.
Bad faith is here understood by the learned author to mean
intentional usurpation of, power motivated by considerations
that are incompatible with the discharge of public
responsibility. In requiring statutory powers to be
exercised reasonably, in good faith, and on correct grounds,
the Courts are still working within the bounds of the
familiar principle of ultra vires. The Court assumes that
Parliament cannot have intended to authorize unreasonable
action which is therefore ultra vires and void. This is the
express basis of the reasoning in many well-known cases, on
the subject. A necessary corollary is that, as usual
throughout administrative law, we are concerned only with
acts of legal power i.e. acts which, if valid, themselves
produce legal consequence.
In general, however, the Courts adhere firmly to the
wide meaning of ’jurisdiction’ since this is the sheet-
anchor of their power to correct abuses. They appear to be
willing to stretch the
507
doctrine of ultra vires to cover virtually all situations
where statutory power is exercised contrary to some legal
principles. There are many cases in which a public authority
is held to have acted for improper motives or irrelevant
considerations, or have failed to take account of relevant
considerations, 60 that its action is ultra vires and void :
H.W.R. Wade’s Administrative Law, 5th edition at pp. 42, 348
and 369. The learned author aptly sums up situations in
which error of Jurisdiction may arise, at p.42 :
"Lack of jurisdiction may arise in many ways.
There may be an absence of those formalities or
things which are conditions precedent to the
tribunal having any jurisdiction to embark on an
inquiry. Or the tribunal may at the end made an
order that it has no jurisdiction to make. Or in
the intervening stage, while engaged on a proper
inquiry, the tribunal may depart from the rules of
natural justice; or it may ask itself the wrong
questions; or it may take into account matters
which it was not directed to take into account.
Thereby it would step outside its Jurisdiction. It
would turn its inquiry into something not directed
by Parliament and fail to make the inquiry which
Parliament did direct. Any of these things would
cause its purported decision to be a nullity.
Fraud on power voids the order if it is not exercised
bona fide for the end design. There is a distinction between
exercise of power in good faith and misuse in bad faith. The
former arises when an authority misuses its power in breach
of law, say, by taking into account bona fide, and with best
of intentions, some extraneous matters or by ignoring
relevant matters. That would render the impugned act or
order ultra vires. It would be a case of fraud on powers.
The misuse in bad faith arises when the power is exercised
for an improper motive, say, to satisfy a private or
personal grudge or for wreaking vengeance of a Minister as
in S. Pratap Singh v. State of Punjab, [1964] 4 S.C.R. 733.
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A power is exercised maliciously if its repository is
motivated by personal Animosity towards those who are
directly affected by its exercise. Use of a power for an
’alien’ purpose other than the one for which the power is
conferred in mala fide use of that power. Same is the
position when an order is made for a purpose other than that
which finds place in the order. The ulterior or alien
purpose clearly speaks of the misuse of the power and it
508
was observed as early as in 1904 by Lord Lindley in General
Assembly of Free Church of Scotland v. Overtown, L.R. [1904]
A.C. 515, ’that there is a condition implied in this as well
as in other instruments which create powers, namely, that
the powers shall be used bona fide for the purpose for which
they are conferred’. It was said that Warrington, C.J., in
Short v. Poole Corporation, L.R. [1926] Ch. D.66, that :
"No public body can be regarded as having
statutory authority to act in bad faith or from
corrupt motives, and any action purporting to be
of that body, but proved to be committed in bad
faith or from corrupt motives, would certainly be
held to be inoperative.
In Lazarus Estates Ltd. v. Beasley, [1956] 1 Q.B. 702 at
pp.712-13, Lord Denning, LJ. said :
"No judgment of a court, no order of a Minister,
can be allowed to stand if it has been obtained by
fraud. Fraud unravels everything.
See also, in L Lazarus case at p.722 per Lord Parker, CJ :
"’Fraud’ vitiates all transactions known to the
law of however high a degree of solemnity.
All these three English decisions have been cited with
approval by this Court in Partap Singh’s case.
In Dr. Ram Manohar Lohia v. State of Bihar & Ors.,
[1966] 1 S.C.R. 708, it was laid down that the Courts had
always acted to restrain a misuse of statutory power and
more readily when improper motives underlie it. Exercise of
power for collateral purpose has similarly been held to be a
sufficient reason to strike down the action. In State of
Punjab v. Ramjilal & Ors., [1971] 2 S.C.R. 550, it was held
that it was not necessary that any named officer was
responsible for the act where the validity of action taken
by a Government was challenged as mala fide as it may not be
known to a private person as to what matters were considered
and placed before the final authority and who had acted on
behalf of the Government in passing the order. This does not
mean that vague allegations of mala fide are enough to
dislodge the burden resting on the person who makes the same
a though what is required in this connection is not a proof
to the hilt as held in Barium Chemicals Ltd. & Anr. v.
Company Law Board, [1966] Supp. S.C.R. 311, the abuse of
authority must appear to be reasonably probable.
509
In the present case, the petitioners have alleged
several facts imputing improper motives which have not been
specifically denied and there is only a bare denial with the
assertion that the facts are not relevant. Mere denial of
allegations does not debar the Courts from inquiring into
the allegations. In answer to the rule nisi, the respondents
here and in particular respondent no.1, the Union of India,
Ministry of Works & Housing disdained from filing a counter-
affidavit and left it to respondent no.2, Lt. Governor of
Delhi to controvert as best as he could the specific
allegations made by the petitioners that the impugned action
was wholly mala fide and politically motivated i.e. that
there was malice in fact as well as malice in law which
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actuated the authorities in issuing the impugned notices.
Respondent no.2 did not controvert these allegations but
asserted that the allegations were ’wholly irrelevant’ to
the matter in issue. He disclaimed all responsibility for
the issue of the impugned notices and insteadtried to
justify all his action throughout the affair as the Lt.
Governor. As the hearing progressed, on being putwise on the
legal issues, respondent no.2 filed an additional affidavit
trying to refute the allegations of personal bias and
animosity on his part. As already stated, respondent no.1
put a supplementary affidavit of M.K. Mukherjee, Secretary,
Ministry of Works & Housing which instead of meeting the
specific allegations made by the petitioners, avers that
they were wholly irrelevant and that the Union of India
adopts the counter-affidavit filed by respondent no.2. The
submissions advanced at the Bar by learned counsel appearing
for the Union of India were wholly inconsistent with the
stand taken by the respondents in their counter-affidavits.
The learned counsel made no attempt to refute the charge
that the impugned notices were wholly mala fide and
politically motivated.
Learned counsel for the petitioners contended that
during the period of Emergency, the Indian Express had
displayed exemplary courage in exposing the authoritarian
trend of the Government of the day. He further contended
that the impugned notices constitute an act of personal
vendetta against the Express Group of Newspapers in general,
and Ram Nath Goenka, Chairman of the Board of Directors in
particular. He also contended that respondent no.2 was
actuated with personal bias against the Indian Express and
had file a criminal complaint against the Editor-in-Chief of
the Indian Express and some of the officers of the Express
Group of Newspapers for having published an article in the
Indian Express in April 1977 with regard to his role during
the period of Emergency in the Turkman Gate
510
demolitions. The Express Group of Newspapers, particularly
the A Indian Express, had during the period of Emergency and
immediately thereafter openly criticised the highhanded
action of respondent no.2 who was the then Vice-Chairman of
the Delhi Development Authority and close to the powers that
be. The submission is that the proposed act of re-entry by
the lessor i.e. the Union Or India, Ministry of Works &
Housing at the instance of respondent no.2 was meant to be
an act of political vendetta. The learned counsel
particularly highlighted the following sequence of events of
assumption of office by respondent no.2 as the Lt. Governor
of Delhi on February 17, 1980. It was pointed out that
immediately upon assumption of office on the forenoon of
February 17, 1980 which was a Sunday, the first act of his
was to summon the Municipal Comissioner and to call for the
files of the Indian Express Buildings. On the 18th morning
the files relating to the grant of sanction for the
construction of the new Express Building were made available
to him. On February 20, 1980 admittedly the important files
of the Delhi Development Authority i.e. relating to the
Express Buildings were sent to respondent no.2. On February
29, 1980 he, through the Commissioner, Municipal Corporation
of Delhi caused the lacks of the office and cupboards of the
Zonal Engineer (Building) broken open to take away the files
relating to the new Express Building. Immediately thereafter
on March 1, 1980, respondent no.2 convened a press
conference in which he handed over a press release (set out
in the earlier part of the judgment) alleging that the new
Express Building put up by the petitioners was in
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contravention of law in several respects.
On March 1, 1980 he purported to appointed what he
termed in the counter-affidavit as a commission of inquiry
under s.3 of the Commissions of Inquiry Act, 1952 consisting
of three members, the Chief Secretary and two other officers
of the Delhi Administration to make an investigation into
the circumstances under which the sanction was granted by
the then Minister for Works & Housing and the alleged
breaches committed by the petitioners in the construction of
the Express Buildings. The learned counsel contends that the
so-called inquiry directed by respondent no.2 into the
affairs of the Union of India, Ministry of Works & Housing
was nothing short of inquisition into the functioning of the
previous Government at the Centre and particularly that of
Minister for Works & Housing. On the same day, the Zonal
Engineer (Building), City Zone, Municipal Corporation,
presumably at the behest of respondent no.2 served a notice
on petitioner no.1 Express Newspapers Pvt. Ltd. to show
511
cause why action should not be taken for demolition of the A
Express Buildings under ss. 43 and 344 of the Delhi
Municipal Corporation Act, 1957.
Three days after i.e. On March 4, 1980 a second press
release was issued from the Raj Nivas, the official
residence of respondent no.2 and sent by a special courier
to all newspaper offices to justify his action in initiating
an inquiry and the mode that had been prescribed for holding
such inquiry Stating a show cause notice had been issued by
the Municipal Corporation for unauthorized deviations from
the sanctioned plan in the construction of a double basement
with a floor area of 23,000 square feet in the Municipal
Corporation were summoned by respondent no.2 before the
press conference on March 1, 1980, the files of the Ministry
of Works & Housing were summoned by him in the first week of
March, 1980. It is admitted by the Ministry that the said
files were made available to respondent no.2 on March 7,
1980. On March 7, 1980 the Land & Development Officer acting
as part of the overall plan of respondent no.2 and
presumably at his instigation issued a show cause notice in
terms set out above. Admittedly, on that day the files of
the Ministry of Works & Housing had been handed over by the
Ministry to the Three Member Committee constituted by
respondent no.2.
On March 10, 1980 the Engineer Officer in the Land &
Development Office under the Ministry of Works & Housing
issued a notice of re-entry upon forfeiture of lease in
supersession of his earlier notice dated March 7, 1980 under
cl. 5 of the perpetual lease-deed dated March 17, 1958 while
alleging several breaches of cl.. 2(14) and 2(53 thereof and
proposing re-entry by the lessor i.e. the Union of India. On
March 12, 1980 at a specially convened pres conference,
respondent released the report of the Three-Member Committee
which substantiated the allegations he had aired at his
press conference on March 1, 1980 and through the press
release of March 4, 1980. The learned Counsel particularly
relied upon the averment of respondent no.2 in para 89 of
the counter-affidavit, set out at the beginning of this
judgment, that the breach was ’irremediable’ and therefore
’the lease was liable to be forfeited’ and ’the Express
Buildings built thereon demolished’. Learned counsel
contends that these facts clearly show that the impugned
notices were issued in bad faith and actuated by improper
motives. He accordingly contends that the impugned action
was wholly mala fide and politically motivated.
512
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The expression ’Government’ in the context 18 the
functionary of the Central Government i.e. the Minister for
Works Housing who is vested with executive power in the
relevant field. The executive power of the Union vested in
the President under Art. 53(1) connotes the residual or
governmental functions that remain after the legislative and
judicial functions are taken away. m e executive power with
respect to the great departments of the Government are
exercisable by the Ministers of the concerned departments by
virtue of Rules of Business issued by the President under
Art. 77(3). For purposes of the present controversy, the
functionary who took action and presumably on whose
instructions the impugned notices were issued was no one
than the Lt. Governor of Delhi who, according to learned
counsel for respondent no.1., could not usurp the powers and
functions of the Union of India in relation to the property
of the Union and therefore had no functions in relation to
the lease in question. It seems that the Minister for Works
& Housing was taking his orders from respondent no.2. The
dominant purpose which actuated respondent no.2 in
initiating governmental action was not 80 much for
implementation of the provisions cf the Master Plan or the
Zonal Development Plans framed under the Delhi Development
Act or the observance of the relevant Municipal Bye-laws
under the Delhi Municipal Corporation Act, but to use these
provisions for an ’alien’ purpose and in bad faith i.e. for
demolition of the express Buildings with a mark of
retribution or political vendetta for the role of the Indian
Express during the period of Emergency and thereafter and
thereby to bring about closure of the Indian Express. If the
act was in excess of the power granted to the Lt. Governor
or was an abuse or misuse of power, the matter is capable of
interference by the Court.
The Court in Pratap Singh’s case observed that the
Constitution enshrines and guarantees the rule of law and
the power of the High Courts under Art.226 (which is equally
true of Art.32) is designed to ensure that each and every
authority in the State, including the Government, acts bona
fide and within the limits of its powers and that when a
court is satisfied that there is an abuse or misuse of power
and its jurisdiction is invoked, it is incumbent on the
Court to afford justice to the individual. The Court further
observed that in such an event the fact that the authority
concerned denies the charge of mala fide, or asserts the
absence of oblique motives, or of its having taken into
consideration improper or irrelevant matter, does not
preclude the Court from inquiring into the truth of the
513
allegations made against the authority and affording
appropriate relief to the party aggrieved by such
illegality or abuse of power in the event of the allegations
being made out.
As against the Government at the Center, the
allegations in the Writ Petitions can conveniently be
classified into three groups.The first set of circumstances
relates to the period prior to the Parliamentary elections
in 1971, and the second to the period subsequent thereto
till tho declaration of Internal Emergency by the President
on June 25, 1975 and the third relates to the period during
the Emergency and thereafter. The petitioners allegations
may be thus summarized. The Express Group of Newspapers in
general and the Indian Express in particular have always
taken in independent stand and have been critical of the
Government and the authorities and of any authoritarian
trend and had therefore been Considerably harassed in
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various way. For over a decade, Congress Government have had
an animosity against the petitioners and have tried in many
ways to finish them off. After the Congress split of 1969
the Indian Express severly criticised those who had backed
out from supporting the official Congress candidate. As a
result, various administrative agencies began roving and
fishing inquiries into the affairs of the Express Group of
Companies. On more occasions then one, matters relating to
petitioner no.3 Ram Nath Goenka and the Express Group of
Companies were discussed in Parliament. After the Congress
(R) secured overwhelming majority in the 1971 Parliamentary
elections, the Express Group of Companies and petitioner
no.3 had to wage a constant battle for survival on various
fronts and against various onslaughts. The animosity of the
Congress (R) Government towards the petitioners
intensified after the Gujarat and Bihar Movements gathered
strength. Because of the close association of petitioner
no.3 Ram Nath Goenka with the late Shri Jayaprakash Narayan,
efforts were made to secure hie cooperation to persuade the
late Shri Jayaprakash Narayan to withdraw from the Bihar
Movement. His refusal to intercede on behalf of the
Government led to further inquiries by which both he and the
Express Group of companies were sought So be pressurized and
persecuted.
The White Paper on the Misuse of Mass Media during the
Internal Emergency issued by the Government of India in
August, 1977 brigs out certain facts. After the Proclamation
of Emergency by the President On June 5, 175, various acts
of repression were perpetrated against the Express Group o
Companies subverting lawful processes, well-established
514
conventions and administrative procedures and practices and
by abuse of authority and misuse of power. It was evident
therefore that a ’high level meeting’ where the Ministers of
Law & Justice and Information & Broadcasting were present,
it was decided that ’inquiries into the Express Group of
Newspapers and Shri Ram NathGoenka’s industrial empire were
to be given immediate attention’. All that the Express Group
of Newspapers, particularly the Indian Express, had to face
during the Emergency is now a matter of history.
There is a considerable body of literature dealing with
the role of the media during the period of Emergency.
Perhaps the two best known papers which attempted to stand
up to the Government’s repressive tactics were the Indian
Express and the Statesman. The Indian Express had been cool
to Government pressure to publicize the benefits of
Emergency. The Government then arrested Kuldip Nayar, the
Editor-in-Chief, dissolved the Board of Directors and
appointed a new Board under the Chairmanship of K.K. Birla
consisting of persons approved by the Government; printed in
other newspapers allegations of financial offences committed
by petitioner no.3 Ram Nath Goenka, the proprietor of the
paper; withdrew Government advertisements and reduced the
credit limits provided by the banks; cut off the supply of
electricity and finally issued an abrupt notice of the
auctioning of the Indian Express Buildings at New Delhi for
failure to pay outstanding
taxes - which Goenka was disputing in Court. The Express
Building was sealed of for two days but by that time the
harassment of the newspaper had attracted attention
throughout the word. This became an embarrassment to the
Government which stopped some of the harassment but
continued the financial persecution. The newspaper was about
to collapse when the new elections of 1977 gave it a new
life. White Paper on Misuse of Mass Media at paragraphs 38
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to 44; Shah Commission’s Report at pp. 34-35, Indian
Politics and the Role of the Press by Shared Karkhanis at
pp. 139-140.
As against respondent no.2,, it was suggested during
the course of hearing by learned counsel for the petitioners
that obviously one of the tasks entrusted to respondent no.2
as the Lt. Governor of Delhi was to ’discipline the press’
by demolition of the Express Buildings. I refrain from
expressing any opinion on that aspect but it is quite
evident that no action was contemplated against the Express
Newspapers Pvt. Ltd. by any of the respondents prior to
February 17, 1980. Respondent no.2 upon assumption of his
office as the Lt. Governor of Delhi on that day immediately
set on a course of action against the Indian Express
515
which culminated in the issue of the impugned notices. It
cannot be doubted that his initiative to call for the files
from the Municipal Corporation relating to the construction
of the new Express Building was an action of his own not
provoked by anyone, much less at the instance of respondent
no.1, the Union of India, Ministry of Works & Housing. The
sequence of events set in motion immediately after his
assumption of office as the Lt. Governor have already been
set out in detail which demonstrate the extent to which and
the keenness with which he pursued the matter. It would
appear that the entire administrative machinery was geared
into action by respondent no.2 and he ’activated’ the taking
of steps culminating in the issue of the impugned notices.
In their effort to salvage the situation,learned
counsel appearing for respondents nos.1 and 2 during the
course of their respective submissions tried to impress upon
us that it cannot be said from the circumstances appearing
that the authorities have not acted bona fide with the
object of using their powers for the purposes authorised by
the Legislature but had acted with an ulterior object to
achieve any Minister or collateral purpose. The submissions
of learned counsel for respondent no.1 may be summarized
thus : (1) There was no imminent danger of demolition of
the Express Building nor was the impugned notice dated March
10, 1980 issued by the Engineer Officer, Land & Development
Office, a notice of re-entry upon forfeiture of lease. It
was merely a notice of an exploratory nature requiring the
Express Newspapers Pvt. Ltd. to show cause why the lease
should not be forfeited under cl.5 of the lease-deed for
alleged breaches of cls.2(5) and 2(14) thereof. The Express
Newspapers Pvt. Ltd. should have therefore entered
appearance before the Land & Development Officer and showed
cause against the action proposed. It was only if the Land &
Development Officer was not satisfied with their
explanation, that he would put up the papers before the Lt.
Governor for necessary action. It would then be for the
lessor i.e. the Union of India, Ministry of Works & Housing
to decide whether or not the lease should be forfeited under
cl. 5 of the lease-deed. (2) He drew our attention to the
Supplementary affidavit of M.K. Mukherjee, Secretary,
Ministry of Works & Housing where it was denied that the
impagned notice of re-entry dated March 10, 1980 was issued
by the Engineer Officer at the behest or at the instigation
of the Lt. Governor. Mukherjee had averred therein that S.
Rangaswami, Additional Land & Development Officer called for
a report and the file of the case on March 5, 1980 when a
press clipping was put up to him in the usual course from
the office of the Public Relations Officer. The Engineer
516
Officer asked for putting up tho case with a detailed note
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immediately. The decision to send the notice 9 taken without
the reference to the Lt. Governor. A note on the file
pointed out that the rate at which the plot was initially
given to the Express Newspapers Pvt. Ltd. was concessional
@ Rs. 36,000 per acre as against the prevailing rate of Rs.
1.25 000 per acre for construction of building. The note was
put up by Rangaswami to the Land Development officer and was
also seen by tho Joint Secretary (Delhi Division) and the
Secret Ministry of Work & Housing. In this note, Rangaswami
further pointed out that additional premium and additional
ground rent would at all events to recovered from the lessee
together with interest. The learned counsel accordingly
contended that it was on the basis of this that the impugned
notice was issued by the Engineer Officer on March 10, 1980
and said that it was worthwhile mentioning that till then
the report of the Three-Member Committee was not before the
Central Government, nor WAS there any coo communication in
that behalf from the Lt. Governor. The report of the
Committee was itself dated March 12, 1980 and a copy thereof
was forwarded by the Lt. Governor on March 14, 1980. It was
therefore urged that the impugned notice by the Engineer
Officer purporting to act on behalf of the lessor i.e. the
union of India, Ministry of Works Housing was not based
either on the report of the Three-Member Committee obtained
by the Lt. Governor or on the basis of any communication
from him. (3) Further, he urged that the Lt. Governor as the
Administrator had to keep himself informed and
cannot be aid to have acted mala fide merely because of any
possible personal malus animus on his part, if the quality
of the action WAS itself in complete accord with the law.
(4) It was said that the Government itself was in possession
of relevant records and applied its mind to them and the
impugned notice issued by the Engineer Officer who was
empowered to act on b half of the President under Art.
299(1) of the Constitution having been authenticated in the
manner required by Art. 77(3), it must be deemed to be the
decision of the President on the advice of the Council of
Ministers as enjoined by Art. 74(2) and the Court was
precluded from making any investigation into the
Circumstances attendant (5) Finally, he submitted that it
was for respondent no.2 to meet the charges of mala fides
levelled against him. Whatever be the merit of the charge
against the Lt. Governor, his action led only to the
collection of material on the basis of which the impugned
notice was issued, and the action of respondent no.1 was
unassailable. I find it rather difficult to accept this line
of argument which is nothing but an afterthought.
517
While adhering to his stand that the Lt. Governor was a
successor to the Chief Commissioner of- Delhi ant was
therefore competent to exercise the powers of the lessor
i.e. the Union of India, Ministry of Works & Housing, in
relation to the lease-deed and that the Land & Development
Officer was under his administrative control, learned
counsel for respondent no.2 refuted the charge of personal
bias. He reiterated that the Lt. Governor was the alter ego
of the President in relation to such territory which he is
called upon to administer on behalf of the President. One of
the primary functions of the Lt. Governor, as the
Administrator, was to be aware of facts brought to his
knowledge and therefore respondent no.2 could not have
turned a blind eye to the action of Sikander Bakht, the then
Minister for Works & Housing in making a highly fraudulent,
illegal and improper grant of sanction to the Express
Newspapers Pvt. Ltd. to build the new Express Building with
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an increased FAR of 360. He also maintained that the Lt.
Governor as the appointed agent or nominee of the President
was entitled to act on behalf of the lessor i.e. the Union
of India, Ministry of Works & Housing in relation to the
lease. Further, the contention was that respondent no.2 as
the Lt. Governor was well within his rights (1) in calling
for and making perusal of the respective files from the
Ministry of Works & Housing, Delhi Development Authority and
the Municipal Corporation of Delhi pertaining to the
construction of the new Express Building with an increased
FAR of 360, (2) in constituting a Three-Member Committee to
inquire into the circumstances relating to the grant of
sanction by the then Minister for Works & Housing and to
take necessary steps as regards the unauthorised
construction of the new Express Building, and (3) in
forwarding the report of the Three-Member Committee to the
concerned authority, meaning the Minister for Works &
Housing for taking necessary steps. It was contended that
the petitioners have made wild, reckless and baseless
allegations against respondent no.2 merely because he
directed an investigation into the affairs. In any event, he
contended that this was a case of transferred malice and the
question of mala fides could not be decided without
impleading the late Prime Minister. I am afraid, the
contention cannot prevail. The petitioners have impleaded
respondent no.1, the Union of India and pleaded the
necessary facts with sufficient particulars. The lightening
speed with which respondent no.2 acted on assumption of his
office as the Lt. Governor of Delhi on February 17, 190
creates an impression that he started an ’inquisition into
the affairs of the previous Government at the Centre. One
should have thought that respondent no.2 holding the high
position as the Lt.
518
Governor should have acted with greatest circumspection,
than arrogate to himself the powers of the Union of India,
Ministry of Works & Housing in relation to the property of
the Union, including the lease in question. It was somewhat
strange that the Land & Development Officer who was a minor
functionary of the Ministry of Works & Housing should have
filed a counter supporting the action of respondent no.2. I
regret to say that the Land & Development Officer
deliberately made an inaccurate statement that he is not
under the administrative control of the Ministry.
I may now deal with the submissions advanced by learned
counsel for respondent no.1. The contention that there was
no imminent danger of demolition of the Express Building nor
was the impugned notice by the Engineer Officer a notice of
re-entry upon forfeiture of lease, is against the very terms
of the impugned notice. The submissions of the learned
counsel run counter to the counter-affidavit filed by
respondent no.2 on behalf of the respondents. There is a
categoric averment that the grant of sanction by the then
Minister for Works & Housing was illegal, improper and
irregular. It is therefore futile to contend that the
impugned notice dated March 10, 1980 was not a notice of re-
entry upon forfeiture of lease but merely a notice of an
exploratory nature requiring Express Newspapers Pvt. Ltd. to
show cause why the lease should not be forfeited under cl. 5
of the lease-deed. Further, the contention that the decision
to send the notice was taken without reference to the Lt.
Governor does not appear to be substantiated by the facts on
record. m e so-called note of Rangaswami, Additional Land &
Development Officer put up before the Joint Secretary (Delhi
Division) or the Secretary, Ministry of Works & Housing was
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for making a demand for payment of additional premium and
ground rent and it never authorized the issue of the
impugned notice dated March 10, 1980 by the Engineer Officer
directing a forfeiture of the lease.
The facts speak for themselves. M.K.. Mukherjee,
Secretary, Ministry of Works & Housing in his supplementary
affidavit avers that the impugned notice dated March 10,
1980 was issued by the Engineer Officer, Land & Development
Office on the basis of press reports i.e. reports of the
press conference called by respondent no.2 on March 4,
1980. The sudden spurt of activity on the part of Rangaswami
Additional Land & Development Officer calling for a report
and the file ant the Engineer Officer directing that the
case be put up with a detailed note immediately on March 5,
1980 is a circumstance which speaks for itself. It followed
upon the
519
press conference called by respondent no.2 on March 4, 1980
after A the Zonal Engineer (Building), City Zone, Municipal
Corporation, Delhi had already issued a notice on March 1,
1980 requiring Express Newspapers Pvt. Ltd. to show cause
why the double basement of the new Express Building where
the printing press was installed should not be demolished
under ss. 343 and 344 of the Delhi Municipal Corporation
Act, 1957. These circumstances clearly show that the
respondents were building up a case against the Express
Newspapers Pvt. Ltd.
In the facts and circumstances, I am constrained to
hold that the impugned notices dated March 1, 1980 and March
10, 1980 were not issued bona fide in the ordinary course of
official business for implementation of the law or for
securing justice but were actuated with an ulterior and
extraneous purpose and thus were wholly mala fide and
politically motivated.
Whether construction of the new Express Building
with an increased FAR of 360 constitutes a breach
of the Master Plan or the Zonal Development Plan
or Clauses 2(5) and 2(14) of the lease-deed.
I. The Delhi Development Act, 1957: Master Plan
for Delhi: Zonal Development Plan for D-II area
viz. the Press Enclave in the Mathura Road
Commercial Complex.
Question is as to whether the construction of the
new Express Building on the residual area of 2740
sq.yards on the western portion of plots nos. 9
and 10, Bahadurshah Zafar Marg with an increased
FAR of 360 constitutes a breach of cls. 2(5) and
2(14) which entitled the Engineer Officer, Land &
Development Office, Ministry of Works & Housing to
issue the impugned notice of re-entry dated March
10, 1980 purporting to act on behalf of the
Government of India, Ministry of Works & Housing
to show cause why the Union of India should not
re-enter upon and take possession of plots nos. 9
and 10, Bahadurshah Zafar Marg together with the
Express Buildings built thereon under cl.5 of the
indenture of lease dated March 17, 1958. It is not
disputed that the Ministry of Works & Housing with
the Minister at the head was responsible for the
following items of work viz. the Property of the
Union, Town and Country Planning, Delhi
Development Authority, Master Plan for Delhi and
Administration of the Delhi Development Act, 1957
and Allotment of Government lands in Delhi, and
was also responsible for all attached and
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subordinate offices or organizations concerned
with any of the
520
subjects specified aforesaid including the subordinate
office of the Land & Development Officer, New Delhi, dealing
with the administration of lease of nazul lands. The
functions of the Ministry of Works & Housing are described
in Chapter XXV of the publication entitled Organizational
set up and Functions of the Ministries Departments of the
Government of India, issued by the Department of Personnel &
Administrative Reforms, Cabinet Secretariat, Government of
India. Hence, the Minister for Works & Housing was and is
the ultimate authority responsible for the following items
of work viz. the property of the Union, town and country
planning, Delhi Development Authority, Master Plan of Delhi,
Administration of Delhi Development Act, 1957, Land &
Development Office dealing with the administration of nazul
landsin the Union Territory of Delhi.
It is common ground that the Press Enclave on
Bahadurshah Zafar Marg otherwise known as the Mathura Road
Commercial Complex is not a ’development area’ within the
meaning of s.2(3)(3) of the Delhi Development Act, 1957.
Admittedly, the Master Plan does not prescribe any FAR for
the Mathura Road Commercial Area. In the Master Plan at p.50
the permitted uses in the Use Zone C-2, namely, the zone in
which the press area falls are specifically mentioned and it
is clear therefrom that the generally permitted uses do not
include ’Newspaper and printing presses. The business of
printing and publishing of newspapers and installation of
printing press is permissible only if such user is allowed
by competent authority after special appeal. S. 14 of the
Act prohibits any person from using or permitting to be used
any land or building in any area otherwise than in
conformity with the plans. The Delhi Development Authority
by its letter dated November 4, 1978 conveyed to the
petitioners that the set of building plans submitted by the
petitioners had been examined as per norms and the Authority
had no objection to the amalgamation of plots nos. 9 and 10
and in allowing an overall FAR of 360 taking into account
the existing FAR. It was further stated that the basement
had been excluded from the calculations of the FAR. The
installation of the press machinery like any other service
machinery was expressly permitted. The petitioners were
directed to submit the plans to the concerned authorities as
per norms. It would therefore appear that the construction
of the new Express Building with an increased FAR of 360 for
starting a Hindi Newspaper and the installation of the
printing press in the double basement was allowed by the
Delhi Development Authority, in accordance with the
provisions of the Master Plan.
521
It is clear from the provisions of s.12(4) read with 6.
]4 that permission for development of the residual area
i.e. the construction of the new Express Building with an
increased FAR of 360 by the petitioners for use as a
printing press had to be sough, for, and was given, by the
competent authority i.e. the Delhi Development Authority
after ’special appeal’ in accordance with the provisions of
the Master Plan. Where permission for development in respect
of such land had been applied for and obtained under the
Act, the construction of the Express Building undertaken and
carried out in terms thereof could not be treated to have
been unlawfully undertaken or carried out under s. 53(3)(a)
of the Act. As already stated, the Central Government
through the Ministry of Works & Housing is given an
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overriding authority in the matter of administration of the
Delhi Development Act including the Master Plan, and the
Zonal Development Plans, and the provisions of the Delhi
Development Act take effect notwithstanding anything
inconsistent there with contained in any other law. That is
to say, merely because the Municipal Corporation of Delhi
while granting sanction to the building plan on January 9,
1979 got deleted the basement beyond plinth line as well as
the second basement, that was of no legal consequence. By
virtu of the permission granted by the DDA to the sanction
Plan of the new Express Building with an increased FAR of
360 with a double basement beyond the plinth area for
installation of the printing press, the same must prevail.
Under 6. 41(3) of the Act, the Central Government through
the Ministry of Works & Housing had certainly the authority
to issue a direction to the Delhi Development Authority to
examine the question as to whether the petitioners could be
granted permission to construct the Express Building with an
increased FAR of 360 with a double basement for installation
of the Printing press. and to grant Permission therefore.
The Floor Area Ratio, commonly known as ’FAR’ is the
restriction on the number of floors in a building with
reference to the plot area.
Part of Chapter II of the Master Plan contains the
Zoning Regulations which form an integral part of the Master
Plan which indicate the land use permissible in various
zones and the density, coverage, floor area ratio and set-
backs for various types of development. Paragraph 2 has
divided the Union Territory of Delhi for purposes of the
zoning regulations into twenty-four use zones. Each use zone
has its special regulations because a single set of
regulations cannot be applied to the entire city,
522
as different use zones vary in their character and
functions. The area in question falls in Use Zone C-2 :
General Business and Commercial, District Centre, Sub-
District Centre etc. Paragraph 4 contains provisions
regarding uses in the various use zones, such as
residential, commercial, industrial, recreational etc. At P-
50, there are provisions relating to Use Zone C-1 : Retail
Shopping. The permitted uses in Use Zone C-2, namely, the
zone in which the press area is located do not include
’Newspapers and printing presses except where allowed by
competent authority after special Appeal- Paragraph 5
contains provisions regarding density, coverage, floor area
ratio requirements. At p.60, these requirements for
commercial and retail areas are set out under Item IV. It
would appear that the commercial areas of Connaught Place
Extension, Minto Road and Ranjit Singh Road are in zone D-
IT. The FAR for Connaught Place Extension in zone D-I was
reduced on April 27, 1974 to 250 but the FAR of the other
commercial areas, namely, of Minto Road and Ranjit Singh
Road remained at 400. The relevant extract is as below :
"IV. Commercial I and Retail ;
(a) Connaught Place Extension, Minto Road and
Ranjit Singh Road - The size of plot will
naturally depend on the layout of the commercial
area but any further sub-division of plots in the
Connaught Place and its proposed extension area is
not desirable.
FAR 400
Maximum ground floor coverage 50%
Covered garages for cars & cycles 5%
First floor coverage 50%
Coverage for second floor and above 35%
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There is a limit to the number of floors but this
is subject to light and air planes.
Semi-basement is allowed with a coverage not
exceeding the ground floor for parking, servicing
and storage and the same is not taken into FAR
calculations."
The Master Plan then provides for FAR coverage for already
built-up commercial areas and a list of 19 localities is set
out and they all relate to the walled city of Delhi like
Chandni Chowk etc. To this was added as the 20th item
Jhandewalan Scheme on December 24, 1976.
523
The entire case of the Union of India as well as the
other respondents as presented before us is that under the
Master Plan an FAR exceeding 300 was totally prohibited for
any commercial area including the Mathura Road Commercial
Complex. This is factually wrong. The Master Plan admittedly
does not refer to the press enclave situate on the Mathura
Road commercial area, nor does such area fall within the
already built-up commercial areas i.e. the walled city of
Old Delhi, as set out in the Master Plan at pp.60-61. Since
the attempt of the respondents is to bring the press area
within he FAR coverages prescribed for the already built-up
commercial areas in the walled city of Old Delhi, it is of
utmost importance for a proper understanding of the case to
set out the relevant portion :
"IV. Commercial and Retail
(b) F.A.R, coverages etc. for already built-up
Commercial areas in the Walled City like Chandni
Chowk, etc. (List given below) :
In such cases, coverages permissible would be as
applicable in the existing building bye-laws of
the Municipal Corporation of Delhi, e.g., 80 per
cent on the ground floor and 70 per cent on the
first floor and 80 on, with 150 F.A.R. for a two-
storey construction, 200 F.A.R. for a three-storey
construction, 250 F.A.R. for a four-storey
construction and 80 on, provided that the F.A.R.
will not exceed 300.
List of already built-up commercial areas.
1. Jama Masjid
2. Chitli Qabar
3. Bazar Sita Ram
Ajmere Gate
5. Chandni Chowk
6. Fatehpuri
7. Lajpat Rai Market
8. Kashmere Gate and Mori Gate
9.Malka Ganj
10.Sabzimandi
11.Bara Hindu Rao
12.Sadar Bazar
13.Nabi Karim
14.Qadam Sharif
524
15.Ram Nagar
16.Paharganj
17.Model Busti
18.Manakpura
19.Shahdara Town
20.Jandewala Scheme - Block E.
Eventually, Learned Counsel appearing for respondent no.1
had to accept that the already built-up commercial areas set
out in the Master Plan at p.61 dealt with areas other than
Mathura Road Commercial Area where the press area in
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question is situate.
It is quite obvious that the Master Plan does not
prescribe any FAR for the press enclave situate on Mathura
Road commercial area nor does such area fall within the
already built-up commercial area as defines in the Master
Plan i.e. commercial area falling within the walled city of
Old Delhi. Apparently, the contention that the FAR of no
commercial area in Delhi can exceed 400 is wholly
misconceived inasmuch as the Master Plan in express terms
permits FAR of the commercial areas in Minto- Road and
Ranjit Singh Road at 400. The Zonal Development Plan for the
D-II area approved by the Central Government in November
1966 mentions four commercial areas, namely, (1) Asaf Ali
Road commercial area (2) Minto Road commercial area (3)
Mathura Road commercial area, and (4) Circular Road
Commercial area (opposite Ramlila Ground). It is provided
that the general regulations for development should be an
FAR of 400 in respect of these areas, the total area of
which is stated to be 30.50 acres. It is therefore entirely
incorrect to say that where in Delhi is there an FAR of more
than 300 for any commercial area as stated in the Report of
the Town & Country Planning Organisation dated April 14,
1978 relied upon by the respondents. In the Zonal
Development Plan for a D-II area, it is mentioned that Asaf
Ali Road commercial area is fully developed and there is no
room for its expansion , but the same is not said about
Mathura Road commercial area which is described as fully
commercialized with press and other allied trading
buildings. The statement relating to Mathura Road commercial
area is set out below :
"Similarly Mathura Road commercial area is also
fully commercialized with press and other allied
trade buildings according to building bye-laws to
built-up areas.
525
It would be seen the statement is prefaced by the word
’similarly’ and thereafter the word ’also’ appears.
Learned counsel appearing for respondent no.1 the Union
of India contends that the use of the word ’similarly’ can
only mean that Mathura Road commercial area is also fully
developed like Asaf Ali Road commercial area, and further
that the statement that buildings on Mathura Road have been
constructed according to the building bye-laws applying to
built-up areas means that it was fully commercialized and
had been built-up according to the relevant bye-laws which
regulates and control the construction of commercially
built-up area and therefore the relevant bye-law applicable
would be bye-law no.25(2) (IV) (B) of the Municipal Bye-laws
which puts a ceiling on FAR at 300. He tries a draw support,
for this contention from what next follows in the Zonal
Development Plan where it is stated "Only two areas,
namely, circular Road and Minto Roads commercial areas are
to be developed . It is said that the significance of the
word ’only’ can mean nothing than that like the other
similar areas, namely, Asaf Ali Road commercial area and
Minto Road commercial area, Mathura Road commercial areas
had no room for expansion because it was also fully
developed. According to him, what follows immediately
thereafter in the Master Plan is to provide for general
regulations for development and not to areas which are fully
developed and such regulations for development cannot
therefore apply to such areas. I am afraid, on a plain
construction, the contention cannot be accepted.
The word ’similarly’, in the context in which it
appears, can only imply that Mathura Road commercial area as
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having close resemblance even though obviously distinct in
nature i.e. although Asaf Ali Road commercial area is fully
developed, in comparison Mathura Road commercial area bears
a marked likeness or resemblance as it is fully
commercialized. But by no rule of construction it 16
susceptible of the meaning that it is fully developed. I
cannot but take judicial notice of the fact that at the time
when the Zonal Development Plans were Approved by the
Central Government in November 1966, the development in the
press area was still going on since the Gandhi Memorial
Hall, otherwise known as Pearey Lal Bhawan on Bahadurshah
Zafar Marg was then under construction. Besides, even the
so-called fully developed areas, viz., the Asaf Ali Road
commercial area which was not fully developed, they would
not be subject to the restriction FAR of 300 and a fortiori
the Mathura Road commercial area so long as they were not
brought within the purview of paragraph 4(b) of the
526
Master Plan by a notification issued by the Central
Government for their inclusion in the list of ’already
built-up commercial areas’ as specified at p.61. A building
in these areas can always be pulled down and reconstructed
with an FAR of 400. The Express Newspapers Pvt. Ltd. have
placed on record a recent advertisement dated March 8, 1982
issued by the Delhi Development Authority as published in
the Indian Express announcing public auction of certain
plots of land in the Asaf Ali Road commercial area. It is
mentioned in the advertisement that the auction purchaser
would be entitled to construct a building with the following
specifications :
"Apart from basement of 86.11% of ground floor
coverage of 100%, a mezzanine floor of 25% of the
ground floor, four floors each of 75% coverage, to
the benefit of a higher FAR being permitted in
future. subject only to proportionate payment of
premium.
It 18 therefore evident that although in the Zonal
Development Plan for D-II area, Asaf Ali Road commercial
area is described as fully developed with no room for
expansion, the FAR of which is admittedly 400, there could
be still a further increase in FAR subject to payment of
premium. This could only be under the provisions of the
Zonal Development Plan for D-II area and therefore it must
logically follow that the FAR prescribed in the Zonal
Development Plan for Mathura Road commercial area where the
press enclave is situate is 400. It is of some significance
that the aforesaid advertisement had been issued by none
else than P. Chakravarty, one of the members of the Three-
Member Committee. It is regrettable that the Three-Member
Committee should have purposely misled the authorities by
describing the press area on Bahadurshah Zafar Marg as an
’already built-up area’ which relates to the walled city of
Old Delhi for which the FAR beyond 300 was not permissible.
The press area is in Mathura Road commercial area which is
not far from Asaf Ali Road commercial area. It not only
falls in the same D-II area but is treated as part of a
complex of four commercial areas in the Zonal Development
Plan for D-II area. This press area is not even described as
fully developed as is the Asaf Ali Road commercial area; it
is only describe as fully commercialized. If FAR 400 is
prescribed and allowed for Asaf Ali Road commercial Area
which is fully developed, it could not possible be
impermissible for the press area which although fully
commercialized was still not fully developed.
527
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There is no factual basis for the assertion of the
respondents that nowhere in Delhi the FAR for any commercial
area can exceed 300. This is directly contrary to plots in
Asaf Ali Road commercial area which have FAR 400 and a
ground coverage of more than 90%. As already stated, the
Delhi Development Authority has sold by public auction plots
which permit construction of commercial buildings with FAR
of 400, basement of 86.11% and lOO% ground coverage. In
Bhikaji Cama Place, the Delhi Development Authority has
auctioned plots for construction of a five-star hotel Hyatt
Regency with an FAR of more than 500. Even ’Vikas Minar’,
the main building which houses the offices of the Delhi
Development Authority situate on I.P. Estate, in close
proximity to the Mathura Road Commercial Area, in the D-II
area in Use Zone D-II for which the permissible FAR is 150
has been built-up with an FAR exceeding 400.
II. The Delhi Municipal Corporation Act, 1957 :
The Delhi Municipal (Building) Bye-laws, 1959 :
Applicability of Bye-law 25(2) (IV-B).
It is significant that the allegation of the alleged
breach of FAR regulation is made for the first time in the
affidavits and which forms the many plank of the arguments
asserting the right of the lessor i.e. the Union of India,
the re-entry upon forfeiture of lease is not foreshadowed in
either of the impugned notices dated March 1, 1980 or March
10, 1980 issued by the Engineer Officer, Land & Development
Office. But, since the point has been argued at great length
and since the argument is that the permission accorded by
Sikander Bakht, the then Minister for Works & Housing was
non-est if the FAR exceeded the legal limit of FAR 300, this
question has to be dealt with on merits. According to the
Union of India, both in the arguments as well as in the
affidavits, it is asserted that in processing the
application for additional construction i.e. Of the new
Express Building proceeded on the basis that the FAR in the
Press Area was 300. The assertion that every officer
referred to only an FAR 300 for the Press Area is based upon
the TCPO’s note dated April 14, 1978 mentioned in Three
Member Committee’s report in which it is specifically stated
:
"As per Master Plan, FAR 300 in Commercial area
does not exist for any area in Delhi whatsoever."
As stated above, this was factually wrong being
contrary to the Master Plan and the Zonal
Development Plan for the D-II area. It
528
is also contrary to the fact that: (1) In the Asaf Ali Road
commercial area, plot. are of FAR 400 and ground coverage of
more than 90%, (2) In Bhikaji Cama Place plots have been
auctioned for the construction of Five Star Hotel with an
FAR of mo re than 500; (3) Vikas Minar, the Delhi
Development Authority’s building is constructed with an FAR
exceeding 400 situate in ’Use Zone : Government and semi-
Government Offices’, for which the permissible FAR is only
150. There is no material on record to substantiate that
there is no specific rule or bye-law laying down FAR ceiling
for the Press Area was 300. In fact, The Union of India in
the very first affidavit unequivocally admits this position
and avers :
".... It is submitted that under the Master Plan,
Commercial and Retail Zone is divided into the
following parts :
(1) Connaught Place Extension, Minto Road and
Ranjit Singh Road.
(ii) Already built up commercial area in the
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walled city, like Chandni Chowk, etc.
(iii) District Centres and proposed central
business districts in Shahdara and Karol Bagh.
(iv) Community Centres and retail centres shown in
the Plan.
(v) Neighbouring shopping center.
It is no doubt true that none of these areas make
any specific reference to Press Enclave situated
on Bahadurshah Zafar Marg."
(Emphasis supplied)
It is therefore admitted that the Master Plan does not
prescribe any FAR for the Press Area in the Mathura Road
commercial area.
Learned counsel appearing for the Union of India seeks
to spell out new argument that none of the officials who
were conversant with the matter ever referred to an FAR of
400 the mentioned in the ZonaI Development Plan for D-II
area (which comprises of the press area) and contends that
since in the Zonal Development Plan the Mathura Road
Commercial Area is described as
529
similar to the Asaf All Road commercial area which ’is fully
developed with no room for expansion’ and again as ’fully
commercialized with press and other allied trade buildings
built according to bye-laws applying to the press area’; the
FAR of 400 (with ground coverage of 50%) as specified in the
Zonal Development Plan for D-II area can not obviously apply
to the press area. During his address he put the question :
How could be the Mathura Road commercial area be fully
commercialized even if it is not fully developed ?
The floor area ratio or FAR is the restriction on the
number of floors in a building with reference to the plot
area. The expression ’FAR’ is defined in bye-law 2(33) of
the Delhi Municipal Corporation (Buildings) Bye-laws, 1959
in the following terms :
"2. Definitions- In these bye-laws, unless the
context otherwise requires :
(33) floor Area Ratio or FAR means the quotient
obtained by dividing the multiple of the total of
the covered area on all floors and 100 by the area
of the plot i.e.
FAR - Total covered area of all floors x 100 Plot
area"
Where FAR is not specified in the Master Plan which
admittedly is the case in regard to press area on
Bahadurshah Zafar Marg, the only bye-law applicable would be
bye-laws 21 and 22. Bye-law 21 (1) reads :
"21. Maximum height of buildings :-
(1) Except with the permission in writing of the
commissioner, and subject to the provisions
contained in bye-Law 19, no building shall be
erected or raised to a greater height than seventy
feet as measured from the level of the centre of
the adjacent portion of the nearest street.
Note : This bye-law shall be applicable only to
those buildings which are not otherwise governed
by FAR wherever specified in the Master Plan."
530
This bye-law restricts the height of a building to 70 feet.
Now, this height is to be measured from the centre of the
adjacent portion of the ’nearest street’. Admittedly, as is
clear from the sanction plan, the height of the new Express
Building is about 47 feet (see section plan of the sanction
plan: 1"= 8 ft.), the adjacent portion which is the service
road is on level with the plinth of the additional
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construction. Taking Mathura Road as the ’nearest street’,
the level of Mathura Road stretches from 2 ft. to 5 ft.
higher than the plinth level of the additional construction.
In any view of the matter, the additional construction could
therefore be permissible if it did not exceed a height of 63
feet. This is because of bye-law 21(1) and also because of
FAR with which is linked the ground floor coverage is not
specified in the Master Plan. Bye-law 22 further restricts
the maximum height of a building permissible under bye-law
21 and it, insofar as material, provides :
"22. Maximum height of buildings with reference to
width of streets:-
Subject to the provisions of bye-laws 19 & 31, the
maximum height of any building abutting on to any
street shall be regulated by the width of such
street as follows :
(iv) when the width of the street is 40 ft. Or
more, the maximum height shall be the width of the
street;
Note : This bye-law shall be applicable only to
those buildings which are not otherwise governed
by floor area ratios wherever specified."
Even though the maximum height of 70 feet is specified
in bye-law 21, in order to avoid congestion the maximum
height is further restricted under bye-law 22 in proportion
to the width of the abutting street. In the instant case,
Mathura Road which is the abutting street measures in width
150 feet (see the sketch plan of Zonal Development Plan for
D-II area). This is apart from the immediately abutting
service road which, even if reckoned as an abutting street,
is 63 feet in width. Therefore, applying bye-law 22(4) read
with bye-law 21(1), it is the service road of the street
that governs the height of the buildings in the press area
as well as the number of floors, the minimum floor height
being already specified in bye-law 19. The restriction on
the height of buildings is therefore governed by the width
of the
531
street subject to the maximum height of 70 feet and this is
the measure adopted where FAR for a particular area is not
specified in the Master Plan.
The learned counsel then adverts to the further
description with reagard to the Mathura Road commercial
area, namely, that the press and other allied trade
buildings have been constructed according to building bye-
laws applying to ’built up areas’. According to him these
bye-laws according to which the buildings have been erected
were to apply to ’built up areas’ so that the net result is
that the Mathura Road commercial area was fully
commercialized and has been built up according to the
relevant bye-laws which controlled the construction of
commercially built- C up area. He contends that the
description contain a declaration that the whole area was a
commercial area and that it was fully commercialized and the
relevant bye-law applicable to the Mathura Road commercial
area was and is bye-law 25(2)(IV-B) which puts a ceiling on
FAR at 300. It is next contended that since the Mathura Road
commercial area was a fully developed and commercial area
built up according to the relevant bye-laws, it has not been
declared to be a ’development area’ under s.12(1) of the
Act. Sub-s.(2) thereof forbids the Delhi Development
Authority to undertake or carry out development of any land
in an area which is not a development area and therefore the
matter falls to be governed by sub-s.(3) which forbids
development of land except with the approval or sanction of
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the local authority i.e. the Municipal Building Bye-laws
applicable to ’built up areas’ which evidently refers to
bye-law 25(2)(IV-B). The relevant provisions of bye-law 25
provide as follows :
"25. Permissible covered area : (1)
Notwithstanding anything contained in these bye-
laws no building shall be erected or allowed to be
erected in contravention of the Master Plan or any
Zonal Development Plan.
(2) The following provisions shall apply to
buildings in different use zones
IV. Commercial and Retail Zones :
A.Minto Road and Ranjit Singh Road area.
B. Already built-up commercial areas as indicated
in the Master Plan or such other areas as may be
declared
532
commercial areas by the appropriate authority from
time to time.
(a) Coverage :
The maximum permissible coverage shall be subject
to the provisions of bye-laws 26 & 27 and the
requirement of the FAR as provided in sub-Cl.(b)
below.
(b) F.A.R :
The FAR shall not exceed in the case of building
having the storeys mentioned in column 1 below by
the figure mentioned in column 2 below :-
1 2
Two sroreys 150
Three storeys 200
Four storey 250
More than Four storeys 300
(c) STOREYS :
The number of storeys shall be subject to the
provisions of bye-law 22 relating to the maximum
height, of bye-law 31(1) 6 (2) relating to air and
light planes and the provisions that the FAR does
not exceed 300". The contention put forward by
learned counsel for respondent NO. 1 is that there
are two important factors governing construction
of buildings viz. the ground floor coverage and
the FAR. Normally, for all commercial buildings,
the ground floor coverage is 25%. However, under
bye-law 26 read with the note appended thereto, as
amended in 1964, for certain commercial buildings
ground floor coverage of 80% is permitted. He
relies upon the relevant portion of bye-law 26
which reads ;
"26. Open specs in Commercial and Public
Buildings-
No commercial or public building or ground of such
buildings in any bazar, market or commercial area
shall have a ground floor covered area of that 80
per cent of the area of the plot........
533
Note : This bye-law shall be applicable only to
buildings covered by bye-law 25(2) (IV-B) .
He accordingly contends that all buildings in the press area
including the new Express Building have a ground coverage of
80% under bye-law 26 and to such buildings bye-law 25(2)(IV-
B) which limits the FAR to 300 is applicable-
The fallacy of the argument of the learned counsel lies
in the assumption that all buildings in the press area
including the Express Buildings are constructed with a
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ground coverage of not more than 80% under bye-law 26 and
therefore only bye-law 25(2)(IV-B) which limits the FAR to
300 is applicable in this case. The contention overlooks the
note appended to bye-law 26 which reads:
"This bye-law shall be applicable only to
buildings covered by bye-law 25(2) (IV-B).
Bye-law 25(2)(IV-B) only applies to : ’already built-up
commercial areas as indicated in the Master Plan or such
other areas as may be declared as commercial areas by the
appropriate authority from time to time’. As already stated,
the expression ’already built-up commercial area’ as defined
in the Master Plan at pp.60-61 refers to the walled city of
Delhi like Chandni Chowk, etc. The list of already built-up
commercial areas admittedly does not include the press area
on the Mathura Road.
The matter can also to viewed from another angle.
At the time of construction of buildings in the press area,
there were no restrictions as to the FAR along the Mathura
Road and the only restriction on construction of such
buildings was that the allottees of the plots in the press
area should construct buildings upto a height of 60 ft. me
petitioners constructed the old Express Building to the
east of the sewer line with an FAR of 260 with reference to
the entire plot leased to them i.e. plots nos. 9 and 10
although the building occupied only half of the area. After
construction of the old Express Building to the east of the
sewer line in March 1958, the perpetual lease was executed
on March 17, 1958. me supplemental lease was also executed
in November 1964. These documents were in conformity with
the agreement for lease entered into on May 26, 1954. The
said building was to be constructed in accordance with the
plans and specifications as had been previously proposed and
submitted by the Express Newspapers Pvt. Ltd. and approved
of in writing by
534
the Chief Commissioner of Delhi which permitted construction
by the petitioners of a building on the entire area of plots
nos. 9 and 10 with 100% ground coverage as stated above.
After the discovery of the underground sewer pipeline
by the petitioners which was a fact only within the
knowledge of the Central Government and had not been
disclosed to the Express Newspapers Pvt. Ltd. at any time,
the parties entered into negotiations for modification of
the agreement. It was agreed between the parties that in
view of the drain running through the plots and till the
drain was not diverted, the petitioners would construct
their building only to the east of the drain and in such a
way as to leave the drainage system unaffected. The
petitioners were thus disabled from building on a
substantial part of the land allotted to them until the
underground drain was realigned outside the boundary of the
leasehold premises. In effect, an area of 2740 square yards
to the west of the drain had to be left as a residual piece
of land out of the total area of 5703 sq. yards. It is
pertinent to observe that all other newspapers like the
Times of India, Patriot, National Herald etc. who had been
granted similar: plots on the Mathura Road on same
conditions and were allowed to build on the entire area of
their respective plots without any restrictions whatever.
After further negotiations, the lease agreement was entered
into between the parties on November 27, 1957 80 as to
protect the underground sewer drain and restrict the
construction of the building to the east of the drain. J.N.
Ambegaokar, Under Secretary to the Ministry of Works &
Housing by his letter dated April 11, 1956 confirmed that
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the allotment of land to the Indian Express Newspapers on
the Mathura Road had been revised on the terms set out
therein. The revised allotment was subject, among others, to
the following conditions :
1. An area of 2740 sq. yards to the west of the
pipeline was allotted on a premium @ Rs. 36,000
per acre plus 2.5% annual ground rent thereon. The
said area was to be maintained as an open space
i.e. lying vacant for parking space.
2. The remaining area of 2965 sq. yards to the
east of the pipeline was settled on a premium @
Rs. 1,25,000 per acre plus 2.5% annual ground rent
thereon.
The Central Government reserved to themselves the right to
divert the sewer line passing through the leasehold
premises.
535
The effect of the revised terms as per Ambegaokar’s
letter was that the area to the east of the sewer line
measuring 2965 sq. yards was treated as buildable plot and
the remaining area of 2740 sq.yards treated as non-buildable
plot. In respect of the buildable plot there was admittedly
100% coverage with five floors i.e. an assumed FAR of 500 as
in those days there were no building bye-laws or
restrictions providing for an FAR. But actually the old
Express Building was built with an FAR of 260.
Significantly, a separate ground rent and separate premium
was chargeable for the buildable plot on which the old
Express Building stood @ Rs. 1,25,000 per acre and a ground
rent of 2.5%. The lessor i.e. the Union of India left with
the Express Newspapers Pvt. Ltd. the area to the west of the
drain measuring 2740 sq.yards on a reduced premium @ Rs.
36,000 per acre and a ground rent @ 2.5% thereof. It was
evidently not within the contemplation of the parties that
the area 80 kept was to be kept green in perpetuity i.e. an
area which could not be built upon under any circumstances
because the premium chargeable therefor was @ Rs. 4,840 per
acre.
It must therefore be held that the permission granted
by Sikander Bakht, the then Minister for Works & Housing for
the construction of the new Express Building with an
increased FAR of 360 with a double basement for installation
of the printing press was not in violation of the Master
Plan for Delhi or the Zonal Development Plan for D-II area
or the Delhi Municipal Corporation (Buildings) Bye-laws,
1959 inasmuch as ex facie bye-law 26 read with 25(2)(IV-B)
was not applicable to the press area on the Mathura Road.
Admittedly, the Master Plan does not prescribe any FAR for
the press enclave. The Zonal Development Plan for the first
time prescribed FAR for the four commercial areas for
general business and commercial areas, namely : (1) Asaf Ali
Road Commercial Area (2) Minto Road Commercial Area (3)
Mathura Road Commercial Area, and (4) Circular Road
Commercial Area (opposite the Ramlila Ground). All these
commercial areas fall within D-II area for which the Zonal
Development Plan prescribes an FAR of 400.
Validity of the show cause notice dated March 1,
1980 issued by the Zonal Engineer (Building), City
Zone, Municipal Corporation, Delhi under as. 343
and 344 of the Delhi Municipal Corporation Act,
1957.
At the Press Conference convened by respondent no.2 on
March 1, 1980, he handed over a press release alleging that
the
536
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additional building put up by petitioner no.1, Express
Newspapers Pvt. Ltd., was in contravention of law and inter
alia it was stated that the Municipal Corporation had been
advised to take immediate action in regard to the
unauthorized deviations from the sanctioned plan. On the
same day. the Zonal Engineer (Building), City Zone,
Municipal Corporation, Delhi served a notice to petitioner
.1 to show cause why action should not be taken for
demolition of the structures set out therein under as 343
and 344 of the Delhi Municipal Corporation Act, 1957. The
objected portions of construction in terms of the impugned
show cause notice are as under :
" (1) Construction of an upper basement without
sanction or, in other words, a working platform or
installations of the machinery; and
(2) Unauthorized construction of an excess
basement beyond sanction.
The three alleged unauthorized constructions are :
(a) A triangular pit dug in front of the building;
(b) A left working platform in the basement; and
(c) The basement beyond the plinth area of the new
building.
Each of these structures was specifically approved by the
Delhi Development Authority as per ’usual norms’.
Section 53(3)(a) of the Delhi Development Act provides,
inter alia, that :
53(3). Notwithstanding anything contained in such
other law -
(a) when permission for development in respect of
any Land has been obtained under this Act such
development shall not be deemed to be unlawfully
undertaken or carried out by reason only of the
fact that permission, approval or sanction
required under such other law for such development
’has not been obtained."
The words ’such other law’ within their amplitude include a
Law like the Delhi Municipal Corporation Act and the Delhi
Municipal Corporation (Buildings) Bye-laws, 1959 framed
thereunder. The
537
non- obstante clause in s. 53(A)(i) clearly gives an
overriding effect to the sanction granted by the Delhi
Development Authority for the construction of the new
Express Building with an increased FAR of 360 and a double
basement for installation of printing press or the working
platform. the effect of grant of such permission by the
Authority was to modify the sanctioned plans of the
Municipal Corporation to that extent. That apart, the terms
’development’ as defined in s.2(d) of the Act includes the
carrying out of buildings...... in, on, over or under land
in any building etc. and in wide enough to include the
structures in question. As the Authority approved each of
these structures for which the impugned show cause notice
had been issued by the Zonal Engineer (Building), City Zone,
Municipal Corporation, it is clear that he had acted beyond
his authority and power.
The impugned notice alleges that a basement was under
construction in the triangular portion of the plot. In fact,
the alleged construction was not a basement at all. The
circumstances under which the triangular pit came into
existence has been explained by the petitioners. It appears
that while the under-ground sewage drain was being diverted,
it burst and water from the drain flooded the entire pit
that had been dug for the foundation of the building and
they allege that water had reached 14 ft. in height and it
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endangered the foundation of the original Express Building.
The service road parallel to Bahadurshah Zafar Marg was also
in imminent danger of caving in. Petitioner no.1 had
therefore to build supporting walls which became a storage
tank. The construction of walls in the triangular area was
meant to strengthen and re-enforce the foundation of the
original building as well as to prevent the road from caving
in. What alleged in the show cause notice as a proposed
basement under construction was merely for fortuitous
construction necessitated by the drain flooding the pit and
now it is merely meant to house a water static tank needed
for fire fighting purposes. Such fire fighting arrangement
is necessary to prevent fire hazard which inflicted huge
losses in various multi-storeyed buildings like Kanchunjunga
and the Hindustan Times buildings. The Express Newspapers
Pvt. Ltd. further allege that they were advised by the fire-
brigade authorities to construct a static tank.
It would, therefore, appear that ’excess basement’ is
in two parts :
"(1)So much of the excess basement as was the
result of subsidence of 8000 sq. ft. of land
caused by bursting of a part of the sewer line
while it was
538
being shifted. The petitioner no. 1 built
supporting walls which became a storage tank and
it covers an area of 4,500 sq. ft.
(2) Underground tunnel, meant for use as a passage
for labour and movement of news-print from the old
to the new Express Building and it measures 450
sq. ft.
The Municipal Corporation is treating this storage tank
as an unauthorized construction. It was got deleted from the
sanctioned plan because in the original plan there was a
provision for a smaller water tank. Ultimately, the
objection is to a bigger storage tank.
There is no dispute that all the structures are below
the ground. The main purpose of the upper basement i.e. a
working platform measuring 6000 sq. ft. was meant to work
the printing press. Without the water storage tank the
Express Newspapers Pvt. Ltd. would not get the completion
certificate and it is difficult to understand how the
underground tunnel passage, to connect the old and new
Express Building would cause traffic hazard. At any rate,
such minor deviation would not result in a demolition of the
Express Buildings. The manner in which the impugned notice
was got issued by the Municipal Corporation at the direction
of respondent No. 2 shows that it was done with an ulterior
purpose. The illegality of the action is writ large and the
manner in which it wag done creates a ground for belief that
the action was motivated.
The Express Newspapers Pvt. Ltd. were asked to show
cause within three days from the date of issue of the notice
as to why an order of demolition should not be passed under
sub-s. (1) of s.343 failing which action was to be taken for
demolition under sub-ss. (2) and (3) of s. 344. It is
evident from the list of dates furnished by the learned
counsel for the Municipal Corporation that during the period
from February 18, 1980 to the date of issue of the impugned
notice, the officials of the Municipal Corporation had been
waiting upon respondent no. 2, holding inspection of the
premises and directly reporting to him in respect of the
alleged deviations. It is alleged that the second basement
was not in the sanctioned plan which measured 8914 sq. ft.
(according to petitioners it measured only about 6000 sq.
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ft.) and the excess basement over the sanctioned basement
works out to 5450 sq. ft. and of which the water storage
tank measures 4095 sq. ft. and the under-ground tunnel
measures about 500 sq. ft. and, therefore, ss. 343 and 344
of the Act were attracted.
539
The contention of learned counsel appearing for the
Municipal Corporation is that the Express Newspapers Pvt.
ltd. have been guilty of suppressio veri as they have not
mentioned the fact that on the objection of the Municipal
Authorities, they deleted all the aforementioned three
portions set out in the notice. It was urged that the
construction of these structures was admittedly carried on
in violation of the sanctioned plan. It was pointed out that
the tank as recommended by the Chief Fire Officer by his
letter dated January 5, 1979 was for the construction of an
underground water storage tank over the area of 550 sq. ft.
for the requirement of fire fighting and fire protection
measures. It was, however, asserted that the recommendation
of the Chief Fire Officer was not according to building bye-
laws and, therefore, not binding on the Municipal
Corporation. The proposal for the construction of a water
storage tank in a corner of the building covering 550 sq.
ft. was accordingly got deleted. It was also pointed out
that the water storage tank as constructed measuring 4095
sq. ft. was eight times bigger than the one recommended by
the Chief fire Officer. I am afraid, I am unable to
appreciate this line of reasoning. If a water tank of this
magnitude was permitted to be constructed, the water stored
in it would be sufficient for the entire Press Enclave at
Bahadurshah Zafar Marg. I fail to see any rational basis for
the objection raised. The Express Newspapers Pvt. Ltd. have
at a considerable cost, constructed a large enough water
storage tank to serve the entire Press Enclave and if it is
sufficient to serve all the buildings on Bahadurshah Zafar
Marg, the Municipal Corporation should, indeed, thank the
Express Newspapers Pvt. Ltd. for making provision for the
protection of all the buildings. In the recent past, the
devastating fire which engulfed many multi-storeyed
buildings like Hindustan Times, Kanchunjunga, Gopala Tower
etc. showed that the authorities could not bring under
control such fires for want of sufficient water facilities.
S. 14 of the Delhi Development Act which applies to all
areas in Delhi irrespective of whether such area is a
development or non-development area or a slum area, lays
down that the use of the land shall be in accordance with
the plan, i.e., in conformity with the Master Plan and Zonal
Development Plan. m e Press Area falls within the ’Use Zone’
C-II which is dealt with at page 50 of the Printing Master
Plan. It is evident from the uses as specified for the said
zone that installation of printing machinery for production
of newspaper has to be specially permitted by the Delhi
Development Authority ’under Special
540
Appeal’ provision laid down in the Master-Plan read with s.
14 of the Act. It is in pursuance of these statutory
provisions that the letter dated November 4, 1478 of the
Joint Director (Building), Delhi Development Authority was
addressed to the Express Newspapers Pvt. Ltd., inter alia
permitting the Express Newspapers Pvt. Ltd. to instal in the
basement printing press machinery like any other service
machiney. It is apparent from the building plan that the
Delhi Development Authority approved of the same with the
second basement ’as per norms of ground coverage and F.A.R.’
and the permitted second basement of 14,440 sq. ft. However,
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it appears that the Municipal Corporation while granting
sanction to the building plan on January 9, 1979, got
deleted the basement beyond plinth line as well as the
second basement with the observations that ’it in no manner
overpowers the authority of the Delhi Development Authority
or any other person or body’. In view of the difficulty
created, the Express Newspapers Pvt. Ltd. did not construct
the second basement of 14,440 sq. ft. but limited the
construction to a working platform of about 6000 sq. ft.
The Express Newspaper Pvt. Ltd. have specifically
averred in sub-paras (a) to (k) or para 33 that the machines
they have planned to instal and which have been specifically
permitted to instal in the basement by the Delhi Development
Authority, are of 24 sq. ft. in height from the foundation.
This is the reason why on account of which, the height of
the basement has been sanctioned at 26 ft. The newsreels are
fed at the bottom of those machines and the printed matter
is collected at the top i.e. On the second basement for
delivery to vans and trucks at the street level. The Express
Newspapers Pvt. Ltd. have produced photographs which show
the two levels of the machines that are to be installed in
the basement. One has, therefore, to approach the machines
at the bottom to feed the news-print in and at shoulder
level to receive the printed papers as well as to service
the machines. All modern printing presses require a slab or
a working platform where the printing paper is received and
from which the machine can be served. The working platform
is a necessary appurtenance which is incidental to and
necessary for, the machines to be installed by them. They
further allege that in the Indraprastha Estate itself,
buildings of the National Herald, the Institute of Chartered
Accountants, the Times of India and Milap, amongst others,
have were than one floor beneath the ground floor. The
construction of these structures has been specifically
sanctioned by the Municipal Corporation. They have placed on
record, the sanctioned plans of the Times of India and the
541
National Herald allowing them to construct such a working
platform. The photographs relating to the Times of India
building which is only 300 yards away from the Express
Buildings show that such a platform had been constructed and
is in regular use in the Times of India building. The
working platform in the Times of India building is a
concrete platform measuring about 6000 sq.ft. The
petitioners contend that allowing their competitors to
construct such a working platform and disallowing
construction of the platform in the case of the Express
Newspapers Pvt. Ltd. is clearly violative of the
petitioners’ fundamental right to equality before the law
guaranteed by Art. 14 of the Constitution. Further, in case
the Express Newspapers Pvt. Ltd. are denied the facility of
such a platform, the machinery would be rendered ineffective
and this would be a serious infringement of their
fundamental right to freedom of speech and expression and
the right to carry on any trade or business guaranteed under
Arts. 19(1)(a) and (g) of the Constitution-
The petitioners’ case is that the working platform
which the respondents wrongly described as a double basement
is incidental to and absolutely essential for the machines.
The choice before them was to construct it with wood, tin or
R.C.C. slab. They preferred to build it in R.C.C. A working
platform made of wood would have been a serious fire hazard.
Beneath it, at given time almost the entire basement would
be stacked with news-print reels which are highly
combustible. The ink a large stock of which has also to be
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stored in the basement is also highly combustible. Moreover,
the number of electric wires and connections is 80 large
that it could not run the risk of a wooden platform.
Finally, if wooden platform was constructed, considering the
heavy loads it would have to bear, would have required
frequent and extensive maintenance. A working platform of
steel would have presented similar problems; it is a
conductor of electricity and hence a hazard to the workmen
and it would have been extremely noisy which would have
required frequent and extensive maintenance. Thus, from all
points of view, those of safety, G economy and efficiency,
the petitioners cast a R.C.C. slab as being more appropriate
for the needs of the Press. From the photographs on record,
it is quite apparent that the printing press is a heavy
machinery which is installed on the lower basement with a
height of 24 ft.
The petitioners have alleged that in the Indraprastha
Estate itself, buildings of the National Herald, Institute
of Chartered Accountants, the Times of India and Milap,
amongst others, have
542
more than one floor beneath the ground floor. The
construction of these structures has been specifically
sanctioned by the Municipal Corporation.
The petitioners contend that the slab of the working
platform constructed by them does not fall within the
meaning of the expression ’covered area’ in sub-cl.(22) of
cl.2 of the Building Bye-laws, since it is below the plinth
level. There is, therefore, no addition to the covered area
at all. The Delhi Development Authority which granting
sanction clearly stated that the area of the basement would
not be included in the calculation of F.A.R. The petitioners
also contend that the erection of such a platform does not
fall within the meaning of the expression ’to erect a
building’ which is defined in a. 331 of the Delhi Municipal
Corporation Act to mean to erect or re-erect a building and
hence no sanction is required for the same. The Delhi
Development Authority specifically approved construction of
double basement as per the plan approved by it and in terms
of s.53(3) of the Delhi Development Act, such approval has
an overriding effect, and, therefore; the Zonal Engineer
(Building) acted beyond his authority in issuing the
impugned notice under ss. 343 and 344 of the Act.
As already stated, the petitioners have clearly averred
that such a working platform exists not only in the old
Indian Express building but also in the Times of India and
the National Herald buildings, amongst others, in the press
Enclave and this has not been denied by the Municipal
Corporation. In fact, the answer is building plan of the
Times of India was sanctioned before the Corporation itself
had come into existence i.e. in 1957, when in fact, the
building plan of the Times of India was sanctioned in
the year 1962. Similarly, the building plan of the National
Herald was sanctioned in the year 1964. It is difficult to
believe that the Municipal Corporation is not aware that
such a working platform is absolutely essential and is
necessary for the printing press. If the upper basement of
the working platform constructed by the Express Newspapers
Pvt. Ltd. is demolished, the installation of the printing
press itself in the lower basement with the sanction of the
Delhi Development Authority under the appropriate statutory
provision would be nullified and the Express Newspapers Pvt.
Ltd. would not be in a position to operate the printing
press at all.
The contention of the learned counsel appearing for the
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Municipal Corporation is that under the Master Plan and the
Building Bye-laws, not more than one basement is permissible
and
543
that any basement more than one will have to be reckoned for
the purpose of FAR appears to be only mis-conceived. It is
evident from page 16 of the Printed Master Plan and the
Zonal Development Plan for D-II area at pages 935 and 936
that semi-basement, meaning a second basement is permissible
under the Master-Plan as well as the Zonal Development Plan.
The Bye-laws of the Delhi Municipal Corporation do not
prohibit second basement and on the contrary bye-law 54 uses
the term ’basements’. In respect of commercial zone in Minto
Road in Ranjit Singh Road, bye-law 25 (2) (IV) specifically
provides for a semi-basement. Our attention was drawn to the
statement of the Minister for Works & Housing made in the
Parliament on November 5, 1982, showing that in the Meridian
Hotel, a 5-Star hotel, sponsored by M/s. Pure Drinks not
only two basements have been permitted but also a semi-
basement and a service floor without reckoning any one of
them for computation of FAR. Further, the advertisements
issued by the Delhi Development Authority for auctioning
hotel sites at Bhikaji Cama Place and New Friends Colony
show that the double basements are permissible and have, in
fact, been permitted in the case of these hotels.
It is urged that the Express Newspapers Pvt. Ltd. have
no right to construct the upper basement particularly when
the Corporation refused to accord sanction to it and that,
in any event, it was not such an unavoidable necessity as to
break the law. It is said that the second basement,
conveniently called, the working platform for the operation
of flouncing of the printed newspaper is just an
afterthought. He argued that even i some receiving floor may
perhaps be necessary to receive the printed newspaper from
the machine, it could be achieved by locating the machines
on a suitable pedestal or by laying the floor of the
basement in such a manner as to discharge the newspapers on
the ground floor. It is difficult to conceive how the huge
printing press with a height of 24 ft. could be placed on a
pedestal or be laid on the floor of the basement in such a
manner as to discharge the newspapers on the ground floor.
It is common ground that there is a working platform in all
the other printing press in the same line of buildings like
that of the Times of India, the National Herald, Patriot and
the old Indian Express Building. In all these buildings, the
printing presses are installed in the lower basement and
there is an over-hanging platform in the printing press in
each of the buildings to receive the printed material. I do
not see any justification for the Municipal Corporation to
object to the construction of the working platform. If the
Municipal Bye-laws do not permit the
544
construction of a double basement then they would be clearly
violative of Art. 14, 19(1) (a) and 19(1)(g) of the
Constitution.
Shri M.C. Bhandare, learned counsel appearing for
respondent nos. 3 and 4, Municipal Corporation of Delhi and
Zonal Engineer (Building, City Zone, Municipal Corporation,
Delhi is fair enough to state that if the Express Newspapers
Pvt. Ltd. were to make an application for modification of
the sanctioned plan pertaining to the new building with
respect to the basement and the working platform which
according to the Municipal Corporation constitute double
basements and the inter-connecting underground passage
connecting the existing Indian Express Building the same
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shall be considered having regard to consideration of
justice and the needs of the petitioners and also taking
into consideration that the new building has been
constructed for installing a printing press and that the
press so installed cannot function without the working
platform which the Express Newspapers Pvt. Ltd. have already
constructed, as well as the fact that the underground
passage has been constructed by them for inter-connecting
the new building with the existing Indian Express Building.
He further states that the Municipal Corporation will
compound the deviation which is minimum on payment of such
composition fee as is payable under the bye-laws.
Learned counsel states that this shall not be treated
as precedent for others.
Applicability of the doctrine of promissory estoppel :
In my considered opinion the Express Newspapers Pvt.
Ltd. having acted upon the grant of permission by Sikandar
Bakht the then Minister for Works & Housing and constructed
the new Express Building with an increased FAR of 360 and a
double basement in conformity with the permission granted by
the lessor i.e. the Union of India, Ministry of Works &
Housing with the concurrence of the Vice-Chairman, Delhi
Development Authority on the amalgamation of plots nos. 9
and 10, as ordered by the Vice-Chairman by his order dated
October 21, 1978 as on ’special appeal’ as envisaged in the
Master Plan having been directed, the lessor is clearly
precluded from contending that the order of the Minister was
illegal, improper or invalid by application of the doctrine
of promissory estoppel.
In 1948, Denning, J. in Robertson v. Minister of
Pensions, L.R., [19491 l K.B. 227, laid the foundation to
the applicability
545
of promissory estoppel in public law. As Prof. de Smith in
his Judicial Review of Administrative Action, 4th edition
at p.103 observes :
"There is a growing body of authority,
attributable in large part to the efforts of Lord
Denning, to the effect that in some circumstances
when public bodies and officers, in their dealing
with a citizen, take it upon themselves to assume
authority on a matter concerning him, the citizen
is entitled to rely on their having the authority
that they have asserted if he cannot reasonably be
expected to know the limits of that authority; and
he should not be required to suffer for his
reliance if they lack the necessary authority.
The learned author then states :
"But it is extremely difficult to define with any
degree of precision the circumstances in which the
courts will be prepared, in the interest of
’fairness’ to the individual to derogate from
orthodox notion of ultra vires.
Professor H.W.R. Wade in Administrative Law, 5th
edition, at page 232 observes that the basic principle of
estoppel is that a person who by some statement or
representation of fact cause another to act to his detriment
in reliance on the truth of it is not‘ allowed to deny it
later, even though it is wrong. Justice here prevails over
truth. Estoppel is often described as a rule of evidence,
but more correctly it is a principle of law. As a principle
of common law it applies only to representations about past
or present facts. But there is also an equitable principle
of ’promissory estoppel’ which can apply to public
authorities. The fact in Robertson’s case were these. The
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War Office wrote to Robertson, an Army Officer, who had
claimed a disablement pension on account of the War injury,
that his disability had been accepted as attributable to
military service. But for this injury the responsible
department was the Ministry of Pensions which the War
Officer had not consulted. The Ministry later decided that
the disability was not attributable and the Pension Appeal
Tribunal upheld that decision. In relying on the War Office
letter the claimant had refrained from getting a medical
opinion and adducing the other evidence which might have
strengthened his case for such disability pension against
the Ministry. On appeal
546
to the Court, Denning, J. reversed the decisions of the
Ministry and the Tribunal holding that the Crown was bound
by the War Office letter and observe :
"The Crown cannot escape by saying that estoppels
do not bind the Crown, for that doctrine has long
been exploded. Nor can the Crown escape by praying
in aid the doctrine of executive necessity, that
is, the doctrine that the Crown cannot bind itself
so as to fetter its future executive action.
It would appear that Denning, J. evoked two doctrines :
(1) that assurances intended to be acted upon and in fact
acted upon; were binding; and (2) that where a Government
department wrongfully assumes authority to perform some
legal act, the citizen is entitled to assume that it has
that authority, and he dismissed the contention that
estoppels do not bind the Crown by saying that ’that
doctrine has long been exploded’ and that the Crown cannot
fetter its future executive action. Professor Wade points
out that the proposition about wrongful assumption of
authority evoked by Denning , J. was immediately repudiated
by the House of Lords in a later case in which Denning, LJ.
had again put it forward in Howell v. Falmouth Boat
Construction Company Ltd., L.R. [1951] A.C. 837, it is
beyond the scope of this judgment to enter into a discussion
as to how far Denning J’s dictum can still be regarded as
part of the common law in England. But there appears to be a
school of thought in India laying down that the doctrine of
promissory estoppel applies to the Government except under
certain circumstances.
In Union of India & Ora. v. Indo Afghan Agencies Ltd
[1968] 2 S.C.R. 366, Shah, J. speaking for the Court stated
with approval the following observations of Denning, J. in
Robertson’s case :
"The Crown cannot escape by saying that estoppels
do not bind the Crown for that doctrine has long
been exploded. Nor can the Crown escape by praying
in aid the doctrine of executive necessity, that
is, the doctrine that the Crown cannot bind itself
so as to fetter its future executive action.
and the learned Judge held that this doctrine applies in
India.
In Century Spinning & Manufacturing Co. Ltd. & Anr. v.
The Ulhasnagar Municipal Council & Anr., [1970] 3 S.C.R.
854, Shah,
547
J. in remanding the petition to the High Court which it had
dismissed in limine again observed :
"In Indo-Afghan’s case this Court held that the
Government is not exempt from the equity arising
out of the acts done by citizens to their
prejudice, relying upon the representations as to
its future conduct made by the Government. This
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Court held that the observations made by Denning,
J. in Robertson’s case applied in India."
The learned Judge observed that the court was not concerned
with the principle which was dis-approved by Lord simonds in
Falmouth’s case and he added :
"If our nascent democracy is to thrive different
standards of conduct for the people and the public
bodies cannot ordinarily be permitted. A public
body is, in our judgment, not exempt from .
liability to carry out its obligation arising out
of representations made by it relying upon which a
citizen has altered his position to his
prejudice."
In MotiLaL Padampat Sugar Mills Co.(P) Ltd. y. State of
Uttar Pradesh & Ors., [1979] 2 S.C.R- 641, Bhagwati, J.
speaking for himself and Tulzapurkar, J. laid great stress
on the facts that the principles laid down by Denning, J. in
Robertson’s case were accepted by the Court in the Indo
Afghan’s case but accepted the rejection of Lord Simonds and
Lord Normands in Falmouth’s case of the extended principles
enunciated by Denning, J. in Robertson’s case as Laying down
the-correct law. But the learned Judge went down to say that
this rejection did not mean that there could be no estoppel
against the Crown or the public authority.
I am not oblivious that there was a discordant note
struck by Kailasam, J. speaking for himself and Fazal Ali,
J. in Jit Ram Shiv Kumar & Ors. v. State of Haryana & Anr.,
[1980] 3 S.C.R. 689, holding that the doctrine of promissory
estoppel cannot be invoked for preventing the Government
from discharging its functions under law. It is also not
applicable when the officer and the Government act out-side
the scope of their authority. The doctrine of ultra vise
will in that event come into operation and the government
cannot be held bound by the unauthorized acts of his
officers.
548
It is not necessary for purposes of this judgement to
solve the apparent conflict between the decision of the
Bhagwati , J. in Motilal Padampat Sugar Mills’ case as to
the applicability of the doctrine of estoppel for preventing
the Government from discharging its functions under the law.
In public law, the most obvious limitation and doctrine of
estoppel is that it cannot be evoked 80 as to give an
overriding power which it does not in law possess. In other
words, no estoppel can legitimate action which is ultra
vires. Another limitation is that the principle of estoppel
does not operate at the level of Government policy.
Estoppels have however been allowed to operate against
public authority in minor matters of formality where no
question of ultra vires arises : Wade, Administrative law,
5th edition, pp. 233-34.
The principles laid down in Maritime Elec. Co. v.
General Dairies Ltd., [1937] A.C. 610 P:C., and by Lord
Parker, CJ. in Southend-on Sea-Corporation v. Hodgeson
(Wickford) Ltd., [1962] 1 Q.B. 416, relied upon by learned
counsel appearing for respondent no.1 the Union of India are
clearly not attracted in the facts and circumstances of the
present case. In the present case, admittedly, the then
Minister for Works & Housing acted within the scope of his
authority in granting permission of the lessor i.e. the
Union of India, Ministry of Works & Housing to the Express
Newspapers Pvt. Ltd. to construct new Express Building with
an increased FAR of 360 with a double basement for
installation of a printing press for publication of a Hindi
newspaper under the Rules of Business framed by the
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President under Art. 77(3). Therefore, the doctrine of ultra
vires does not come into operation. In view of this
respondent no.1 the Union of India is precluded by the
doctrine of promissory estoppel from questioning the
authority of the Minister in granting such permission. In
that view, the successor Government was clearly bound by the
decision taken by the Minister particularly when it had been
acted upon.
Quantum of conversion charges : Extent of
Liability : Forum of determination.
During the course of hearing, we wanted the parties to
clarify the exact legal position. Shri Arun Jetley appearing
for the Express Newspapers Pvt. Ltd. made a statement that
the Express Newspapers Pvt. Ltd. sought permission to
construct the new Express Building with an FAR of 360 for
the purpose of their press only as they intended to start a
Hindi daily newspaper from
549
Delhi. He clarified that the sub-letting of portions thereof
in the year 1982 to the Reserve Bank of India and the Steel
Authority of India with the permission of the Court was
subject to the giving of an undertaking by the sub-lessees
that they would vacate the premises under the orders of the
Court, and this was purely an ad-interim arrangement. He
further stated that the Express Newspapers Pvt. Ltd. in
these petitions do not claim to enforce any right to sub-let
any part of the new building; and, if and when they seek to
sub-let any part thereof, they would apply to the lessor
i.e. the Ministry of Works & Housing for permission for
change of user and pay the necessary additional ground rent
and conversion charges as applicable to others in the Press
Enclave situate at Bahadurshah Zafar Marg.
Dr. L.M. Singhvi appearing for respondent no. 5 , the
Land & Development Officer made a statement that the notice
issued by the Engineer Officer dated March 10, 1980 in
supersession of his earlier notice dated March 7, 1980 was
issued on behalf bf the Land & Development Officer not
because there was any breach of the terms of the lease by
the Express Newspapers Pvt. Ltd. by the construction of a
new building with an FAR of 360 together with the existing
Indian Express Building, but because of nonsubmission of the
sanctioned plan to the Land & Development Officer and
construction of the new building without the sanction of the
lessor i.e. the Union of India. He clarified that the Land &
Development Officer is not an authority competent to
question the decision of the Ministry of Works & Housing to
permit construction of the Indian Express Building covering
an FAR of 360. The whole purpose of the. aforesaid notice of
the Engineer Officer dated March 10, 1980 sent on behalf of
the Land & Development Officer was to realize the amount of
Rs. 54,000 which had been refunded on account of the portion
kept green being built up and for the purpose of checking
the deviations, if any, from the sanctioned plan.
Undoubtedly, the Express Newspapers Pvt. Ltd. are
liable to pay conversion charges in terms of cl. 2(7) of the
lease-deed but c the question is : how much is the amount
and what should be the basis. On this vexed question, the
submissions advanced furnish no easy solution for us to
adjudicate because it involves technical expertise.
According to Shri Nariman, learned counsel for the
petitioners no conversion charges are payable in respect of
the new Express Building with an increased FAR of 360 built
on the residual area of 2740 sq. yards as per the circular
of the Government of India, Ministry of Works & Housing
dated February
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550
19, 1970 apart from Rs. 54,000 towards additional premium
for change of use of the leased land, which was non-
buildable becoming buildable with the removal of the
underground sewer-line, and additional ground rent at 2-2/1%
of the additional premium. According to him, the distinction
now sought to be drawn by respondent no.5 , Land &
Development Officer between conversion of green area to
’newspaper’ and thereafter to commercial is nowhere borne
out from any notification, order or even practice of the
Land & Development Office. The only two sets of rates
prescribed are for ’residential’ and for ’commercial’ use
for newspapers. Newspaper press is, in fact, not a
commercial use under the Master Plan. Even taking the
commercialization rate of Rs. 750 per sq.yard for the
residual area of 2740 sq.yards at the date of permission for
the residual area, the amount works out to 2740 x 1/2 =
11.02 lacs. Upon that basis, out of this, a sum of Rs. 6.9
lacs was admittedly spent by the Express Newspapers Pvt.
Ltd. for diverting the sewer to make the land buildable. The
rate of commercialization charges was admittedly Rs. 750 per
sq.yards in the press area in the Mathura Road commercial
complex for the period from April 14, 1976 to March 31, 1979
when there was an upward revision of the said rates. Our
attention was drawn to the notification of the Government of
India dated May 15, 1974 laying down rates for the period
from April 14, 1976 (item 67 relates to the press area) and
the notification dated June 25, 1979 revising the above
rates w.e.f. April 9, 1979 (Group 3, item 5 relates to the
press area).
It is further submitted that the formula furnished by
Dr.Singhvi, learned counsel appearing for respondent no.2 ,
the Lt. Governor and respondent no.5 the Land & Development
Officer for computation of conversion charges for change of
user is wholly inaccurate. It overlooks the fact that the
commercial charges would be only 50% of the difference
between the market value on the date of conversion and-the
premium already paid. That this is the correct formula is
disclosed by the Government to Parliament. According to the
formula, only 50% of the difference between the current
market value on the date of conversion and the premium paid
previously is payable as additional premium to the
Government and not 100% of the said difference, as asserted.
The learned counsel submits that in view of the stand taken
by the Land & Development Officer who evidently has mis-
stated vital facts and tried to mislead the Court the
petitioners cannot hope any kind of justice at his hands.
551
Shri Nariman further contends that although by reason
of the circular of the Government of India dated February
19, 1970 whereunder the Express Newspapers Pvt. Ltd. were
not bound to pay any premium for additional construction in
respect of the lease granted (even where the actual lease-
deeds are no executed), nevertheless, they are prepared to
pay whatever amount that this Court may teem fit as and by
way of commercial charges in order to avoid another round of
litigation. Alternatively, they were prepared as they have
always been ant what was stated at the very opening day of
the hearing of this case, to have this question of quantum
of conversion charges terminated by an impartial ant
independent person like a retired Judge of the Supreme Court
named by this Court, to which the respondents were not
agreeable. Since there is no administrative or statutory
remedy provided, he prayed that the Court may direct payment
of such amount, if any as may be deemed just and proper
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particularly having regard to the fact that even if the open
land of 2740 sq.yards were allotted for the first time in
1978 to a particular person for commercial purpose, the only
charge that can be levied would be market rate of Rs. 750
per sq.yards i.e. aggregate of Rs. 22.05 lacs. Of this only
50%, namely, Rs. 11.02 lacs is recoverable by the lessor
i.e. the Union of India, Ministry of Works & Housing as per
norms.
The Land & Development Officer hat filed a note that
the Express Newspapers Pvt. Ltd. did not and have not come
to him with sanctioned plan of the Municipal Corporation of
Delhi ant were now seeking to avoid a monetary liability
arising from their real intention of turning the new Express
Building into a real estate venture by grossing nearly a
crore of rupees of rental per month by means of this writ
petition. It is stated that the liability of the Express
Newspapers Pvt. Ltd. now is enormous because of commercial
sub-letting instead of newspaper use. They have not yet
applied to the lessor and as and when they to, they would be
liable to pay conversion charges at the prevailing rates.
That would obviously come to a amount much larger than Rs.
50,425 tendered by the Express Newspapers Pvt. Ltd. by
cheque dated September 21, 1982 because of admitted
commercial sub-letting. He stated that the Express
Newspapers Pvt. Ltd. would have to pay a large amount of
money as subletting charges as permission for FAR of 360
though illegally given, was accorded only for newspaper use.
The Express Newspapers Pvt. Ltd. therefore stand to gain
crores of rupees in rental income at the rate of Rs. 16 per
sq.ft. per month from the huge additional constriction. If
ant when permission is granted under the lease they would
have to
552
make at least one lumpsum payment to the lessor who owns the
land in addition to further additional ground rent. It is
accordingly stated that the Court should extend no
assistance to the Express Newspapers Pvt. Ltd. from avoiding
the norms and procedure for obtaining the sanction of the
lessor i.e. by applying to Land & Development Officer and
from evading payment of charges uniformly levied. Further if
the original declared ’real and genuine intention’ of using
the space for its newspaper was adhered to by the Express
Newspapers Pvt. Ltd. their monetary liability would be very
small.
The Land & Development Officer further asserts that the
petitioners apprehended. that if their real intention of
commercial sub-letting were to be disclosed, they would have
had to make payment and comply with the terms which they
wanted to evade ant avoid. That is why instead of complying
with the notice of the Engineer Officer dated March 10,
1980, the petitioners moved this Court through the present
writ petitions on April 1, 1980 alleging breach of their
fundamental rights under Art.19(1) (a), Art. 14 ant Art.
19(1)(g) of the Constitution ant obtained at-interim ex-
parte stay on April 7, 1980. It was clear from the writ
petitions that by the end of February, 1980 the entire
structure of the new Express Building except the small
portion were completed at a cost of approximately Rs. 1.30
crores.
While accepting that the conversion charges for the new
Express Building build on the residual area of 2740 sq.
yards utilized for newspapers use would amount to Rs.
54,000, the Land Development Officer has also "without
prejudice" to the rights and contentions of the respondents
tentatively worked out the conversation charges as indicated
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in the following chart :
1. Conversion charges for changing use of 2740 sq.
yards of open area from green to buildable area
for Newspaper Press, the purpose for‘which plot
nos.9 and 10 were allotted as per original
allotment and Perpetual Lease.
Total area to be kept vacant 2740 sq. yards,
as per perpetual lease cl.2(14) =0.566 acres
Conversion charges now to be
recovered for construction of
additional building on the open
area for starting a Newspaper =
553
Area of vacant land now
permitted to be built up x (concessional rate for
newspapers - Rate for
land to be kept open
already charged)
The concessional rate applicable for newspaper use for all
press plots in Mathura Road i.e. Rs. 1.25 lacs per acre and
the vacant land in plots 9 and 10 was charged at Rs. 36,000
per acre.
2. Additional ground rate (AGR)
payable per annum on this
account = Conversion charges )
)x 2-1/2
for green space )
Arrears of A.G.R. from 1978 to 1983 (five years) plus
interest.
Dr. Singhvi appearing for respondent no.5 , Land &
Development Officer submits that unless the Express
Newspapers Pvt. Ltd. furnished the Municipal Corporation of
Delhi the sanctioned plans asked for in the impugned notice,
it is not possible to work out the conversion charges and
other charges and submit the same for approval to the
Ministry of Works & Housing and after receipt of their
approval to intimate the same to the lessee i.e. the Express
Newspapers Pvt. Ltd. According to the learned counsel a
rough estimate of the charges payable by the Express
Newspapers Pvt. Ltd. On the basis of the date available with
the Municipal Corporation of Delhi was arrived at as given
in the chart given above, if commercial sub-letting were to
be permitted. On the basis of the calculations therein the
estimated conversion charges come to approximately Rs. 3.30
crores. The learned counsel also stated that on the admitted
position the only rental @ 16 5 per sq.ft. per month
collected by the Express Newspapers Pvt.Ltd. would be Rs.
One crore per year approximately.
We cannot possibly in these proceedings under Art.32
under- take an adjudication of this kind but I am quite
clear that respondent no.5 the Land & Development Officer
having already indicated his mind that the amount of
conversion charges would be more than Rs. 3.30 crores, it
would not subserve the interests of justice to leave the
adjudication of a question of such magnitude to the
arbitrary decision of the Land & Development Officer who is
a minor functionary of the Ministry of Works & Housing. We
were informed by Shri Sinha, learned counsel for respondent
no.1,
554
the Union of India that the Central Government were
contemplating to undertake a legislation and to provide for
a‘forum for adjudication of such disputes. As stated
earlier, we had suggested that the dispute as to the quantum
of conversion charges payable be referred to the arbitration
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of an impartial person like a retired Judge of the Supreme
Court of India, but this was not acceptable to the
respondents. The Union of India may in the contemplated
legislation provide for the setting up of a tribunal with a
right of appeal, may be to the District Judge or the High
Court, to the aggrieved party. If such a course is not
feasible, the only other alternative for the lessor i.e. the
Union of India, Ministry of Works & Housing would be to
realize the conversion charges and additional ground rent,
whatever be recoverable, by a duly constituted suit. Till
then I would restrain the Union of India, Ministry of Works
& Housing and the Land & Development Officer or any other
officer of the Ministry from taking any steps for
termination of the lease held by petitioner no.1, Express
Newspapers Pvt. Ltd. for non-payment of conversion charges
or otherwise for the construction of the Express Building
till the final determination of such amount to be realized
by a statutory tribunal or by a Civil Court.
For these reasons, I would, therefore, for my part,
quash the impugned notices.
The result therefore is that these petitions under Art.
32 of the Constitution must succeed and are allowed with
costs. The notice issued by the Engineer Officer, Land &
Development Office dated March 10, 1980 purporting to act on
behalf of the Government of India, Ministry of Works &
Housing requiring the Express Newspapers Pvt. Ltd. to show
cause why the lessor i.e. the Union of India, Ministry of
Works & Housing should not re enter upon and take possession
of plots nos. 9 and 10, Bahadurshah Zafar Marg, New Delhi
together with the Express Building built thereon, under cl.5
of the indenture of lease dated March 17, 1958 for alleged
breaches of cls. 2(5) and 2(14) thereof, and the earlier
notice dated March 1, 1980 issued by the Zonal Engineer
(Building), City Zone, Municipal Corporation, Delhi
requiring them to show cause why the aforesaid buildings
should not be demolished under 88. 343 and 344 of the Delhi
Municipal Corporation Act, 1957, are quashed. It is declared
that the construction of the new Express Building on the
residual portion of 2740 square yards on the western side of
plots nos. 9 and 10, Bahadurshah Zafar Marg with an
increased FAR of 360 with a double basement for installation
of a printing press for publication of
555
a Hindi daily newspaper was with the permission of the
lessor i.e. the Union of India, Ministry of Works & Housing
and did not constitute a breach of clauses 2(5) and 2(14) of
the lease-deed.
It is directed that the respondents, particularly the
Union of India, Ministry of Works & Housing, the Delhi
Development Authority, and the Municipal Corporation of
Delhi, shall forbear from giving effect to the impugned
notices in the manner threatened or in any other manner
whatsoever. It is further directed that the Union of India,
Ministry of Works & Housing shall enforce its claim for
recovery of conversion charges by a duly constituted suit or
by making a law prescribing a forum for adjudication of its
claim. It is also directed that the Municipal Corporation of
Delhi shall compound the construction of the double basement
of the new Express Building, the excess basement beyond the
plinth limit and the underground passage on payment of the
usual composition fee.
The petitioners shall be entitled to recover their
costs from respondents nos. 1 and 2.
VENKATARAMIAH, J. I have gone through the judgment
which my learned Brother Justice A.P. Sen has just now
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delivered. I agree that Shri Jagmohan, Lt. Governor of
Delhi, the second respondent herein, has taken undue
interest in getting the impugned notices issued to the Ist
petitioner and his action which has come up for
consideration in this case is not consistent with the normal
standards of administration. I am satisfied that the said
notices were issued by the authorities concerned under the
pressure of the second respondent. The question whether the
notices should be issued or not does appear to have been
considered independently by the concerned administrative
authorities before issuing them. Shri Lal Narain Sinha, the
learned counsel for the Union Government has submitted that
the Lt. Governor was a total stranger to the lease and had
no sort of right or power under the lease deed to set in
motion any action against the lessees. He has further
submitted that the land leased under the lease deed being
nazul land is exclusively owned by the Union Government ant
the powers delegated to the former Chief Commissioner of
Delhi under the lease deed were no longer exercisable by the
present Lt. Governor of Delhi. Shri Lal Narain Sinha,
learned counsel for the Union of India, specifically stated
that on the date on which action was initiated in this case
by the Lt. Governor against the petitioners, the Lt.
Governor had acted without authority or
556
power. The clam of the Lt. Governor that he was the agent of
the Union Government in regard to the lease in question and
that he could take the steps he had taken under the lease
thus stands repudiated. It is unfortunate that the Lt.
Governor persisted in justifying his action even after the
learned counsel for the Union of India had disowned all the
actions of the Lt. Governor. The Lt. Governor failed to make
a distinction in this case between the power with respect to
the subject ’Property of the Union and the revenue
therefrom’ which is in Entry 32 of List I of the Seventh
Schedule to the Constitution and the general powers of
administration entrusted to him under Article 239 of the
Constitution as the Administrator of the Union Territory of
Delhi. The property in question is a part of the estate of
the Central Government. Mere nearness to the seat of the
Central Government does not clothe the Lt. Governor of Delhi
with any power in respect of the property of the Central
Government. He can discharge only those powers which are
entrusted to him by the Constitution and the laws.
It is also not correct to claim that all the powers of
the former Chief Commissioner of Delhi have devolved on the
Lt. Governor and continue to vest in him. It is surprising
that the Land and Development office which is under the
Central Government, functioned in this case as an office
under the Lt. Governor of the Union Territory of Delhi and
even in the conduct of this case it allowed itself to be
controlled and guided by the h Lt. Governor till a very late
stage when Shri Lal Narain Sinha, learned counsel for the
Union of India took a definite stand and submitted that the
Lt. Governor had no voice in the matter.
The material available in this case is sufficient to
hold that the impugned notices suffer from arbitrariness and
non-application of mind. They are violative of Article 14 of
the Constitution. Hence they are liable to be quashed. It is
not necessary therefore to express any opinion on the
contentions based on Article 19(1)(a) of the Constitution.
The rest of the questions relate truly to the civil
rights of the parties flowing from the lease deed. Those
questions cannot be effectively disposed of in this petition
under Article 32 of the Constitution. The questions arising
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out of the lease, such as, whether there has been breach of
the covenants under the lease, whether the lease can be
forfeited, whether relief against forfeiture can be granted
etc. are foreign to the scope of Article 32 of the
Constitution. They cannot be decided just on
557
affidavits. These are matters which should be tried in a
regular A civil proceeding. One should remember that the
property belongs to the Union of India and the rights in it
cannot be bartered away in accordance with the sweet will of
an Officer or a Minister or a Lt. Governor but they should
be dealt with in accordance with law. At the same time a
person who has acquired rights in such property cannot also
be deprived of them except in accordance with law. The
stakes in this case are very high for both the parties and
neither of them can take law into his own hands.
I, therefore, quash the impugned notices and direct the
respondents not to take any further action against the
petitioners pursuant to them. I express no opinion on the
rights of the parties under the lease and all other
questions argued in this case. They are left open to be
decided in an appropriate proceeding. It is, however, open
to both the parties if they are so advised to take such
fresh action as may be open to them in law on the basis of
all the relevant facts including those which existed before
the impugned notice dated March 10, 1980 was issued by the
Engineer Officer of the Land and Development Office to
vindicate their respective rights in accordance with law.
This order is made without prejudice to the right of the
Union Government to compound the breaches, if any, committed
by the lessee and the regularise the lease by receiving
adequate premium there- fore from the lessee, if it is
permissible to do so.
It is open to the Delhi Municipal Corporation to
examine the matter afresh independently and to take such
action that may be open to it in accordance with law. The
Delhi Municipal Corporation may, if so advised, instead of
taking any further action against the petitioners permit the
petitioners to compound the breaches, if any, committed by
them in accordance with law.
I allow the petitions accordingly. The costs of the
petitioner No. 1 shall be paid by the Union Government and
the Lt. Governor of Delhi. There shall be no order as to
costs against the other respondents. The other petitioners
shall bear their costs.
MISRA, J. I have perused the judgment prepared by
brother Justice A.P. Sen as also the judgment of brother
Justice E.S. Venkataramiah. While I agree that the impugned
notices threatening re-entry and demolition of the
construction are invalid and have no legal value and must be
quashed for reasons detailed in
558
the two judgments, which I do not propose to repeat over
again, I am of the view that the other questions involved
in the case are based upon contractual obligations between
the parties. These questions can be satisfactorily and
effectively dealt with in a property instituted proceeding
or suit and not by a writ petition on the basis of
affidavits which are 80 discrepant and contradictory in this
case.
The right to the land and to construct buildings
thereon for running a business is not derived from Article
19(1)(a) or 19(1)(g) of the Constitution but springs from
terms of contract between the parties regulated by other
laws governing the subject, viz., the Delhi Development Act,
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1957, the Master Plan, the Zonal Development Plan framed
under the Delhi Municipal Corporation Act and the Delhi
Municipal Bye-laws, 1959 irrespective of the purpose for
which the buildings are constructed. Whether there has been
a breach of the contract of lease or whether there has been
a breach of the other statutes regulating the construction
of buildings are the questions which can be properly decided
by taking detailed evidence involving examination and cross-
examination of Witnesses.
I accordingly allow that writ petitions with costs
against the Union Government and the Lt. Governor of Delhi
and quash the impugned notices.
REVIEW PETITION NO.. 670 OF 1985
ORDER
We have gone through the application for review and the
connected papers. The application is supported by an
affidavit by the petitioner Jagmohan, former Lieutenant-
Governor of Delhi who was respondent no.2 in Writ Petitions
Nos. 535-539 of 1980, decided on October 7, 1985. He seeks
review of the judgment delivered by this Court principally
on the ground that there is an error apparent on the face of
the record as the judgment turns on certain arguments and
statements attributed to Shri L.N. Sinha, learned counsel
appearing for respondent no.1, the Union of India and to
Shri M.C. Bhandare , learned counsel appearing for
respondent no.3 , Municipal Corporation of Delhi. The
petitioner Jagmohan avers in the affidavit that the contents
of Paras 1 to 3 are true to his knowledge and based on
information derived from the counsel appearing in the case
which he believes to be true. Along with the application for
review he has annexed a letter dated October 12, 1985
addressed by Shri P.P.Singh who was assisting Shri L.N.Sinha
asserting that the learned counsel had
559
never advanced the arguments attributed to him the judgment
and a letter of Shri M.C. Bhandare, dated October 13, 1985
addressed to Shri B.P. Maheshwari, Advocate-on-Record of
respondent no.3 , Municipal Corporation of Delhi denying
that he ever made the statement attributed to him at pp.
189-190 of the judgment delivered by one of us (Sen, J). In
the first letter, Shri P.P. Singh writes to say :
"There are certain statements in the judgment
which are attributed to Shri Sinha having made in
the course of his arguments which do not seem to
be correct as having been made by him. I have
discussed the matter with Mr. Sinha and he agrees
with me that it is not correct that he made the
following statements during his course of
arguments :
(a) "He has further submitted that the land leased
under the lease deed being nazul land is
exclusively owned by the Union Government and the
powers delegated to the former Chief Commission of
Delhi under the lease deed were no longer
exercisably by the present Lt. Governor of Delhi."
(b) ".......... On the date on which the action
was initiated in this case by the Lt. Governor
against the petitioner the Lt. Governor had acted
without authority or power.
(c) That "the Learned Counsel for the Union of
India had disowned all the actions of the Lt.
Governor."
(d) That the Learned Counsel for Respondent NO.1
i.e. the Union of India "contended that Lt.
Governor, as an Administrator had no function as
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the Lessor or its delegatee"
(e) That "the Lt. Governor could not usurp the
powers and functions of the Union of India in
relation to the property of the Union and
therefore had no functions in relation to the
lease in question"
(f) That "the Central Government were
contemplating to undertake a legislation and to
provide for a Forum for adjudication of such
disputes
(Shri Sinha did inform the Court that he had
advised the Central Government to undertake a
legislation for
560
empowering the Government to condone the
violations of the nature involved in the present
case in public interest)"
....... It is incorrect as stated at pages 90-91
of the judgment that the Learned Counsel for the
Union of India conceded that the Impugned Notice
was invalid and had no legal effect."
In the second letter Shri M.C. Bhandare writes to Shri B.P.
Maheshwari, and states :
"Your clients, the Municipal Corporation of Delhi,
have acquired from you as to how His Lordship Mr.
Justice A.P. Sen, in his judgment has made the
following observations :
"Shri M.C. Bhandare, learned counsel appearing for
respondent nos. 3 & 4, municipal Corporation of
Delhi and Zonal Engineer (Building), City Zone,
Municipal Corporation, Delhi is fair enough to
state that if the Express Newspapers Pvt. Ltd.,
were to make an application for modification of
the sanctioned plan pertaining to the new building
with respect to the basement and the working
platform which according to the Municipal
Corporation constitute double basements and the
inter-connecting underground passage connecting
the existing Indian Express Building, the same
shall be considered having regard to consideration
of justice and the needs of the petitioners and
also taking into consideration that the new
building has been constructed for installing a
printing press and that the press so installed
cannot function without the working platform which
the Express Newspapers Pvt. Ltd., have already
constructed, as well as the fact that the
underground passage has been constructed by them
for inter-connecting the new building with the
existing Indian Express Building. He further
states that the Municipal Corporation will
compound the deviation which is minimum on payment
of such composition fee as is payable under the
bye-laws.
Learned counsel states that this shall not be
treated as a precedent for others."
(pages 189-190 of the Judgment)"
561
After settling out what he mentions were his submissions, he
says:
"....... I never made the statement attributed to
me. However, I did say that any cause shown by the
petitioners would be considered in accordance with
law. I may categorically state that there was no
statement on my part that the deviation were
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minimum or that the Municipal Corporation of Delhi
would compound the deviations on payment of such
composition fee as was payable under the bye-laws.
This assumes that the composition is permissible
under the bye-laws, which was a disputed matter. I
did not state that this should not be treated as a
precedent for others. I never made an argument
whereby I contended that there would be a
discriminatory treatment either in favour or
against the Indian Express.
He thus categorically asserts that there was no statement on
his part that the deviations were minimal or that the
Municipal Corporation of Delhi would compound the deviation
on payment of such composition fee as payable under the Bye-
laws. Further, he denies that he ever stated that
composition of the deviations, according to his statement,
by the Municipal Corporation of Delhi should not be treated
as a precedent for others.
It is unfortunate that the two senior counsel have
chosen this devious and, indeed, curious method of disowning
arguments advanced by them. The proper thing for them to do
would have been to file affidavits and either file petitions
for review or have the matters listed, with the permission
of the Court, for being mentioned. Instead, the modus
operandi adopted was to address letters to the Advocates-on-
Record who in turn have, for reasons best known to them,
passed on the letters to the petitioner Jag Mohan who was
not their client at all. Advance copies of this petition
laying emphasis on the aforesaid two letters of counsel
appearing for other parties which, we do not doubt have the
effect of scandalizing the Court, appear to have been given
to the press for publication. We deprecate the conduct of
those involved in this unsavory event. We feel greatly
concerned that the advocates of this Court who are not mere
pleaders for parties but officers of the Court should stoop
to such blameworthy tactics, unworthy of the high traditions
of the noble and learned profession to which they belong. We
feel grieved and not a little perturbed at all this.
Every word written in the judgement formulating the
arguments advanced by Shri L.N. Sinha, learned counsel for
respondent no. 1,
562
Union of India 18 taken from our minute-books in which we
noted the arguments of counsel almost verbatim during the
course of hearing particularly because the matter involved
questions of grave public importance. It is therefore highly
improper for Shri P.P. Singh who was assisting Shri L.N.
Sinha to suggest in his letter dated October 12, 1985 that
the argument attributed to learned counsel for respondent
no. 1 in the judgment were never advanced by him. We cannot
possibly act on any correspondence that passed between the
petitioner Jagmohan and Shri P.P. Singh, Advocate-on-Record
of respondent no. 1., Union of India or that between Shri
M.C. Bhandare, and Shri B.P. Maheshwari, Advocate-on-Record
for respondent no. 3, Municipal Corporation of Delhi.
As regards the allegation made by Shri M.C. Bhandare in
his letter dated October 13, 1985 addressed to Shri B.E.
Maheshwari it is enough to mention that we recorded three
statements made by counsel during the course of hearing. We
distinctly remember that on September 14, 1983 during the
course of hearing we required learned counsel appearing for
the parties to clarify the legal position. Two of the
statements were recorded on September 14 1983, one by Dr.
L.M. Singhvi appearing for respondent No. 2, Lt. Governor of
Delhi and respondent No. 5, Land & Development Officer as to
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the amount of conversion charges payable, and the other by
Shri Arun Jaitley appearing for the petitioners regarding
the willingness of the Express Newspapers Pvt. Ltd. to pay
the conversion charges. The third statement by Shri M.C.
Bhandare learned counsel for respondent No. 3, Municipal
Corporation of Delhi was recorded on September 15, 1983
signifying the willingness of the Municipal Corporation of
Delhi to compound the deviations as they were minimal on
payment of the usual composition fee. We have satisfied
ourselves by perusing the Minutes of the Court proceedings
as recorded by the Court Master on September 14 and 15, 19&3
that the statements of all the three counsel were recorded
in the minutes. We have no doubt that the statements were
shown to all the counsel.
The typescript of the statements made by Shri M.C.
Bhandare as recorded in the Minutes of the Court proceedings
by the Court Master on September 15, 1983 reads as follows :
"Shri Bhandare appearing for the Municipal
Corporation is fair enough to say that the
petitioner would make an application for
modification of the sanctioned plan with respect
to the basement and the working h platform and the
inter-connecting underground passage
563
the same shall be considered having regard to the
consideration of justice and the needs and also
taking into consideration that the building has
been constructed for installing a printing press
and that the press cannot function without the
working platform which is already constructed. The
learned counsel states that this shall not be
treated as precedent for others. The Municipal
Corporation will compound the deviation which is
minimum on payment of whatever composition fee."
The statement attributed to Shri M.C. Bhandare learned
counsel for respondent No. 3 at pp.189-190 of the judgment
is virtually a verbatim reproduction of t he correct draft
prepared from the rough draft of the statement actually made
by him in Court subject to certain grammatical variations
signifying the willingness of the Municipal Corporation of
Delhi to compound the deviations as they were minimal on
payment of the usual composition fee.
We are constrained to observed that the review
application is lacking in bonafides, based on false
averments and constitutes a flagrant abuse of the process of
the Court. The allegations contained in the aforesaid two
letters are wholly inaccurate and totally false. Such
attempts to question the sanctity of the Court proceedings
unless ruthlessly curbed will have the tendentious effect of
making fearless dispensation of justice by the Courts in
India almost impossible.
We had been extremely indulgent with the petitioner
Jagmohan, who was respondent No. 2 in the aforesaid Writ
Petitions. In the joint counter filed by him on behalf of
the respondents he made several statements which were far
from accurate but we refrained from taking any action. This
crude attempt on his part by filing this review application
on totally false allegations is an attempt to subvert the
course of justice. His conduct in casting serious aspersions
on the Court by suggesting in paragraph 10 that the delay in
the pronouncement of the judgment was responsible for ’facts
stated and submissions made on behalf of the respondent,
having a decisive bearing on the case’ escaping ’ the
attention of their Lordships’ virtually amounts to gross
contempt of Court. We cannot also help in observing that
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there has in this case been lamentably complete lack of
candour and want of probity on the part of some of the
counsel in making factually incorrect statements and thereby
casting aspersions on the Court.
564
The review application is accordingly dismissed.
Nothing that we have said will affect the separate
judgements delivered by each one of US.
We direct the Registrar of this Court to keep the
documents enumerated hereinafter in sealed covers under his
custody, namely:
1. The minute-book of the Court proceedings
maintained by the Court Master, dated September 14
and 15, 1983.
2. The original draft typescripts of the aforesaid
statements prepared by the Court Master on September 14 and
15, 1983.
3. The shorthand notebook of the Private Secretary
to Sen, J. dated September 15, 1983 from which the
correct drafts of the statements actually made by
the counsel on September 14 and 15, 1983 were
prepared.
4. The fair drafts prepared by the Private
Secretary of the said statements on September 15,
1983.
The Registrar shall also keep the original records of Writ
Petitions Nos. 535-539 of 1980 in a separate sealed cover
under his custody.
M.L.A. Petitions allowed and Review Petition
565