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2005 (12) TMI 589

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..... ano Tatha Anya Sanrachanaon Ka Vyayan Niyam, 1975 (hereinafter referred to as Rules). Counsel for petitioner submitted that the Town and Country Development Authority is established under Section 38 of the Adhiniyam, the said Authority prepares the scheme for development of town by acquiring the property or transfer of property by the State Govt. Section 53 of the Adhiniyam imposes restrictions on the land used and land development which provides that from the date of publication of the declaration to prepare a town development scheme, no person shall, within the area included in the scheme, institute or change the use of any land or building or carry out any development, save in accordance with the development authorised by the Director in accordance with the provisions of this Act prior to the publication of such declaration. Section 56 provides that the Town and Country Development may at any time after the date of publication of the final town development scheme under Section 50 but no later than three years there from, proceed to acquire by agreement the land required for the implementation of the scheme, and, on its failure so to acquire, the State Govt. may, at the request o .....

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..... concessional terms shall be allowed for the purposes of other than charitable purposes such as for hospital, educational institutions and orphanages. So the concessional land leased or sale of land on concessional terms is permissible to the institutions for the charitable purposes. Now the question arises whether vide Annexure A-9 land of the Authority can be transferred on concessional rate to respondent No. 4 being press or any other press by the Authority in violation of the Act and Rules. Vide Annexure A-9 one D.S. Roy, Dy. Secretary of the Department of Housing and Environment has directed Chief Executive Officer Indore Development Authority to allot land on a concessional rate to respondent No. 4, a daily newspaper run in the name and style of Dainik Choutha Sansar . It is mentioned in the order that this allotment shall not be precedence for any other allotment. The question involved in the case is whether Dy. Secretary of Housing and Environment Department has jurisdiction to direct transfer of land on concessional rates dehors of the Rules framed under the Act. Respondent No. 3 has filed its return and submitted that Scheme No. 54 was prepared by the authorities a .....

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..... at after construction of press he wants to utilise the remaining land for commercial purpose and sought permission for construction and the permission was granted vide letter dated 13-8-1999 vide Annexure R-3/19. Vide Annexure R-3/20 respondent No. 3 Indore Development Authority informed that for transfer of this land on the concessional rate, Development Authority has suffered loss of ₹ 44,71,749/- which may be allotted by the Govt. to the Authority. Again, Mr. A.K. Kurup Additional Secretary, Department of Housing and Environment informed Development Authority vide letter dated 5-6-03 Annexure 3/21 and sought enquiry from the Chief Executive Officer of respondent No. 3. Respondent No. 3 informed that the land was acquired for starting a press complex. The lands were acquired by the Indore Town Improvement Trust under the Madhya Pradesh Town Improvement Act, 1960. The lands have been allotted on concessional price on the orders of the State Govt. No compensation has been paid by the State Govt. to the Development Authority for selling the land on the concessional rate and on the orders of the Govt. 24 press has been allotted land on concessional rate and a list has been sign .....

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..... e Govt. or the regulations of the Authority. Rules of 1975 specifies the person entitled for getting the land on concessional terms which is provided under Rules 19 and 20. Rule 20 of the Rules is reproduced below :-- Ordinarily, no lease or sale of land on concessional terms shall be allowed, for the purposes of other than charitable purposes such as for hospital, educational institutions and orphanages. Under the Rule, ordinarily, no lease or sale of land on concessional rates shall be allowed, for the purposes other than charitable purposes. Thus, Legislature intended the land on concessional rate can be given to any public institution or body registered for the charitable purposes. Except the bodies mentioned in the Rule 20 no other body or press is entitled for the lease on concessional rate. Newspapers does not fall within the definition of charitable purpose. Charitable purpose has been considered in the case of Municipal Corporation of Delhi vs . Children Book Trust, reported in [1992]2SCR535 , and it is held that an institution imparting education in school can not be regarded as a charitable object. An element of public benefit or philanthropy has to be present. Tod .....

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..... by private negotiations with select individual, its validity will be open to serious question. The language ordinarily used in such rules is by public auction or private negotiations. The meaning of the expression 'private negotiations' must take its colour and prescribe its content by the words which precede them. And at any rate disposal of the State property in public interest must be by such method as would grant an opportunity to the public at large to participate in it, the State reserving to itself the right to dispose it of as best subserve the public weal. Viewed from this angle, the disposal of the contract pursuant to the letter by the fourth respondent to the Chief Minister is objectionable for more than one reason. The writer has indulged into allegations, the truth of which was not verified or asserted. The highest bidder whose bid was rejected on the ground that the bid did not represent the market price, was not given an opportunity to raise his own bid when privately a higher offer was received. If the allegations made in the letter influence the decision of the Chief Minister, fair-play in action demands that the appellant should have been given an opport .....

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