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The Grampanchayat Kharghar And ... vs The State Of Maharashtra And Ors
2016 Latest Caselaw 6388 Bom

Citation : 2016 Latest Caselaw 6388 Bom
Judgement Date : 27 October, 2016

Bombay High Court
The Grampanchayat Kharghar And ... vs The State Of Maharashtra And Ors on 27 October, 2016
Bench: Ranjit More
                                                                                                                  WP 10175.16

                   IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                      CIVIL APPELLATE JURISDICTION




                                                                                                                 
                                    WRIT PETITION NO. 10175 OF 2016
    1. The Grampanchayat Kharghar,                                              )




                                                                                    
       Having its office at Sector 13,                                          )
       Kharghar, Navi Mumbai.                                                   )
    2. United Kharghar Action committee                                         )
       having its office at Row House, E6,                                      )




                                                                                   
       Sector 12, Kharghar, Navi Mumbai                                         )                  .....Petitioners.
    versus
    1. The State of Maharashtra                                                 )
        Through the Urban Development                                           )
        Department, Mantralaya, Mumbai.                                         )




                                                               
    2. The Hon'ble Chief Minister,                                              )
        Government of Maharashtra.     ig                                       )
    3. The District Collector, Raigad,                                          )
        Having its office at District Collector,                                )
        Alibaug, Raigad.                                                        )
                                     
    4. The Divisional Commissioner,                                             )
        Konkan Division, Konkan Bhavan,                                         )
        CBD, Belapur.                                                           )
    5. CIDCO, CIDCO Bhavan,                                                     )
       CBD, Belapur, Navi Mumbai.                                               )
      


    6. The Panvel Municipal Council,                                            )
        Through its Chief Officer, Taluka,                                      )
   



         Panvel, District Raigad.                                               )                  .....Respondents

                                    along with
                     CIVIL APPLICATION NO.2465 OF 2016





                                        IN
                       WRIT PETITION NO.10175 OF 2016
    Mr. Shrinand Mukund Patwardhan             )
    Age - 55 years, Occ.Business               )
    R/o.Samrudha Mukund Apartment,             )





    671/A, Shivaji Road, Panvel,               )
    Taluka- Panvel, District - Raigad 410206. )  ....Applicant/Intervenor

    In the matter between :

    The Grampanchayat Khargar and anr.                                                    ....Petitioners
    Versus
    The State of Maharashtra and ors.                                                     .....Respondents

    Shubhada S Kadam                                                                                                           1/29




      ::: Uploaded on - 27/10/2016                                                  ::: Downloaded on - 28/10/2016 01:01:21 :::
                                                                                                                   WP 10175.16

    Mr. Prasad Sudhir Dani, senior counsel with Mrs. Pooja Khandeparkar
    i/b. Mr. Ruturaj Pradip Pawar, advocate for the petitioners.
    Mr. A. Y. Sakhare, senior counsel along with Mr. A. B. Vagyani, G.P along




                                                                                                                 
    with Mrs. M. P. Thakur, Ms. Tintina Hazarika, AGP for the State.
    Mr. A. M. Kulkarni, advocate for CIDCO.
    Mr. S. V. Gavand, advocate for Panvel Municipal Council.




                                                                                   
    Mr. S. B. Shetye, advocate for the State Election Commission.
    Mr. Ashutosh A. Khumbhakoni, senior counsel i/b.Mr. Avinash H.
    Fatangare, advocate for the intervenor.




                                                                                  
                                                             CORAM : RANJIT MORE &
                                                                     ANUJA PRABHUDESSAI, JJ.

DATE OF RESERVING : 3rd OCTOBER, 2016.

DATE OF PRONOUNCEMENT : 27th OCTOBER, 2016.

Oral Judgment : (Per Ranjit More, J.)

Rule. Rule is made returnable forthwith and the petition is

heard finally by consent.

2 By this petition filed under Article 226 of the Constitution of

India, the petitioners are challenging various notifications issued under

Maharashtra Municipal Corporations Act 1949 (for short "the

Corporations Act") , Maharashtra Municipal Councils, Nagar Panchayats

and Industrial Townships Act 1965 (for short "the Nagar Panchayats

Act"), Maharashtra Zilla Parishads and Panchayat Samitis Act 1961(for

short "the Panchayat Samitis Act") and Maharashtra Village Panchayats

Act 1961 (for short "Village Panchayats Act"), whereunder the municipal

corporation of the city of Panvel is formed from the entire Panvel

Municipal Council and 29 revenue villages.

    Shubhada S Kadam                                                                                                           2/29





                                                                                                                   WP 10175.16

3. We have heard Mr. Dani, learned senior counsel for the

petitioners, Mr. Sakhare, learned senior counsel along with Mr. Vagyani,

learned Government Pleader for the State of Maharashtra. We have also

heard Mr. Kumbhakoni, learned senior for the intervenor, since the

petitioners have expressed no objection for intervention of the applicant

in the above petition.

4. Mr. Dani, learned senior counsel for the petitioners, seeks to

challenge the impugned notification forming the Panvel Municipal

Corporation on the following grounds :-

1. The notification as contemplated under Article 243Q

of the Constitution of India declaring the proposed area as larger urban area by taking into consideration the factors specified in sub-clause 2 of the Article 243Q

is sine qua non for the purposes of setting up a

Corporation for any area which is hitherto not an urban area.

2. Article 243Q(2) mandates the personal satisfaction

of the Governor in respect of fulfillment of the factors specified in sub-clause 2 of Article 243Q.

3. The notification contemplated under Section 4(2) of

the Village Panchayats Act thereby ceasing the existing villages declared under Article 243(g) of the Constitution of India and which are included in the Panvel Municipal Corporation has not been issued after effective and/or meaningful consultation with the Gram Sabha, Standing Committee and Panchayats

Shubhada S Kadam 3/29

WP 10175.16

concerned before issuance of final notification under Section 3(2) of the Corporations Act.

4. Article 243(g) of the Constitution of India also mandates a notification to be issued by the Governor

upon his personal satisfaction.

5. Mr. Dani, learned senior counsel, elaborated his submission

by inviting our attention to the provisions of the Constitution of India

and the relevant statutes, and submitted that the powers of the State

Government to declare any area as a larger urban area are restricted to

such areas which are urban areas. In other words, under Section 3(2) of

the Corporations Act, the Government has power to declare a larger

urban area only in respect of an already existing urban area. He relied

upon the decision of a Division Bench of this Court in Talegaon Village

Panchayat versus State of Maharashtra and anr. (2009) 6 Mh.LJ. 224

and another decision of another Division Bench in the case of Ashok

Khetoliya versus the State of Rajasthan and anr. 2015 SCC Online

Raj 6408. Mr. Dani further submitted that Article 243Q(2) of the

Constitution of India mandates personal satisfaction of the Governor in

respect of the fulfillment of the factors specified therein. Thus, before

formation of the Municipal Corporation, the notification of the Governor

is a must, which is lacking in the present case. Mr. Dani, in this

regard, relied upon a decision in the case of State of of Madhya

Pradesh versus Abhinesh Mahore (2015) 2 MP LJ 39. Regarding

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WP 10175.16

notification under Section 4(2) of the Village Panchayats Act is

concerned, he submitted that firstly the same is issued without effective

and/or meaningful consultation of the Gram Sabha, Standing Committee

and the Panchayat concerned and that too only after final notification

under Section 3(2) of the Corporations Act. He also contended that the

notification under Section 4(2) of the Village Panchayats Act is again

required to be issued by the Governor upon his personal satisfaction in

the light of the provisions of Article 243Q(2) of the Constitution of India.

6.

Mr. Sakhare, learned senior counsel and Mr. Vagyani, learned

GP vehemently opposed the petition. They submitted that on

23rd November, 2015, a study group/committee under the Chairmanship

of Divisional Commissioner, Konkan Division was formed to study the

feasibility of the proposed Panvel Municipal Corporation. On 6 th May,

2016, a report of the said committee was received by the State

Government. On 16th May, 2016, a draft notification for calling

suggestions and objections within one month from the date of

notification regarding Government's intention to form Panvel Municipal

Corporation comprising of existing area of Panvel Municipal Council and

surrounding 68 revenue villages was published. By 15 th June, 2016,

3936 suggestions and objections in response to the said draft

notification were received by the Collector, Raigad. The Divisional

Shubhada S Kadam 5/29

WP 10175.16

Commissioner heard the suggestions and objections received in

response to the draft notification dated 16 th May, 2016 and, thereafter,

sent his report to the State Government which was received by it on

29th July, 2016. Meanwhile, the State Election Commission prohibited the

State Government from altering the boundaries of the existing Municipal

Councils and Municipal Corporations. The intervenor, thereafter, filed

writ petition No.9257 of 2016 seeking direction to the Government to

take decision in respect of declaration of a larger urban area of the

Municipal Corporation of the City of Panvel in pursuance of the draft

notification dated 16th May, 2016. This Court, by an order dated

23rd August, 2016, directed the Government to take necessary decision

as expeditiously as possible and, in any case, within a period of one

week from the date of the order and complete the formalities, if any,

thereafter within a period of two weeks. On 29 th August, 2016, the CEO,

ZP, Raigad, directed to send report regarding resolutions of Village

Panchayat and Gram Sabha of the villages to be included into Panvel

Municipal Corporation and Standing Committee of the Raigad Zilla

Parishad regarding their inclusion in the proposed area of the Panvel

Municipal Corporation. Meanwhile, between 7 th September, 2016 to

15th September, 2016, 23 Gram Panchayats and Gram Sabhas, in

pursuance of the notification dated 16 th May, 2016, held meetings and

passed resolutions between 7th September, 2016 to 15th September,

Shubhada S Kadam 6/29

WP 10175.16

2016. On 16th September, 2016, the Block Development Officer,

Panchayat Samiti , Panvel, submitted report regarding the resolutions of

these Gram Panchayats and Gram Sabhas to the CEO, Zilla Parishad,

Raigad. The meeting of the Standing Committee of the Zilla Parishad,

Raigad was scheduled on 23rd September, 2016 to discuss the proposal

of formation of Panvel Municipal Corporation. However, for want of

quorum, it was adjourned to 27 th September, 2016 and rescheduled on

28th September, 2016. On 28th September, 2016, the Standing Committee

of the Zilla Parishad, Raigad, passed a resolution and submitted a report

to the State Government on the same day. The Government considered

this report and thereafter, took a decision to include 29 villages in the

proposed area of Panvel Municipal Corporation and, accordingly,

notification to that effect was issued under Section 3(2) of the

Corporations Act and Section 6(1)(a) of the Nagar Panchayats Act. Mr.

Sakhare,learned senior counsel and Mr.Vagyani, learned GP further

submitted that the decision to form Panvel Municipal Corporation by

issuing the impugned notification is taken after complying with the

provisions of the relevant statutes. They submitted that though the

notification under Section 3(2) of the Corporations Act was issued on 26 th

September, 2016, the same was to take effect from 1 st October, 2016,

and prior to that, a notification dated 29 th September, 2016 under

Section 4(2) of the Village Panchayats Act was issued. They submitted

Shubhada S Kadam 7/29

WP 10175.16

that before issuance of the notification under Section 4(2) of the Village

Panchayats Act, the Gram Sabha, Standing Committee and Panchayats of

the concerned villages were consulted. Lastly, they submitted that the

decision of the Government to form Panvel Municipal Corporation is a

conscious decision which does not warrant interference of this Court.

7. Mr. Kumbhakoni, learned senior counsel for the intervenor,

also opposed the petition. He took us through various provisions of the

Constitution of India and relevant statutes and ig submitted that the

proposition of the petitioners that only Governor can constitute a larger

urban area is thoroughly misplaced. He submitted that there is no

necessity to issue notification by the Governor under Section 4(2) of the

Village Panchayats Act and, it would suffice, if the same is issued in the

name of the Governor. Regarding contention of the petitioners that only

an urban area can be converted into a larger urban area, Mr.

Kumbhakoni submitted that there is no bar for issuing notification for

converting any area into a larger urban area. Mr. Kumbhakoni, in

support of his submission, heavily relied upon a decision of the Apex

Court in the State of Uttar Pradesh vs. Pradhan Sangh Shetre Samiti,

AIR 1955 SC 1512 and a decision of this Court in Ashok Ganpat Jadhav

and anr. vs. State Election Commission, Mumbaier, 2000 (4)

Mah.LJ.150.

    Shubhada S Kadam                                                                                                           8/29





                                                                                                                   WP 10175.16

8. In order to appreciate the controversy raised in the petition, it

is necessary to make reference to the provisions of the Schedule VII, List

II, Entry 5 of the Constitution of India which reads thus:

"5. Local Government, that is to say, the constitution and powers of municipal corporations, improvement trusts, district boards, mining settlement authorities

and other local authorities for the purpose of local self- Government or village administration."

In terms of this Entry, the legislative competence for making

law relating to constitution of Local Self-Government like municipal

corporations is of the State Legislature. Constitutionally, it is not

permissible for the Parliament to enact law that regulates in any

manner the constitution of the municipal corporations. By

73rd amendment to the Constitution of India, the Parliament inserted

Part IX and IXA in the Constitution which deals with the Panchayats and

Municipalities respectively. However, insertion of these parts in the

Constitution was carried out without amending the aforesaid List II of

the 7th Schedule and taking away the powers of the State Legislature to

enact law in regard to constitution of the Municipal Corporations. This

amendment in the Constitution is aimed to provide guidelines for

enacting law relating to Local Self-Government. Consequently, despite

insertion of Part IX and IXA in the Constitution, it is the State Legislature,

Shubhada S Kadam 9/29

WP 10175.16

which has the sole legislative competence, to the exclusion of the

Parliament to make laws in that regard.

9. In view of the provisions of Article 243N in Part IX and Article

243ZF in Part IXA, the State Laws were required to be amended so as

to bring the Local Laws in conformity with the constitutional provisions

that were newly added. Accordingly, every State Legislature has

amended its own State Laws dealing with the said subject. It is pertinent

to note that neither the Parent Statutes nor the subsequent

amendments made therein by every State Legislature are similar, much

less identical, to each other. More particularly, the amendments carried

out by the respective State Legislature of different States in the country,

to bring their respective State Laws dealing with the said subject in tune

with the provisions of the said two parts of the Constitution, are

distinctly different from each other.

10. In the light of the discussion made herein above, we have to

consider the petitioners' submission that the notification declaring a

larger urban area must be issued by the Governor himself under Article

243-Q of the Constitution of India after taking into consideration the

factors mentioned in sub-clause (2) thereof. In order to deal with the

submission, it would be appropriate to quote the provisions of Article

Shubhada S Kadam 10/29

WP 10175.16

243-Q of Part IX-A of the Constitution of India and Section 3 of the

Corporations Act.

Article 243-Q of the Constitution of India reads as under :

" 243-Q. Constitution of Municipalities- (1) There shall be constituted in every State,--

(a) a Nagar Panchayat (by whatever name called) for a

transitional area, that is to say, an area in transition from a rural area to an urban area;

(b) a Municipal Council for a smaller urban area; and

(c) a Municipal Corporation for a larger urban area,

in accordance with the provisions of this Part: Provided that a Municipality under this clause may not

be constituted in such urban area or part thereof as the Governor may, having regard to the size of the area and the municipal services being provided or proposed to be

provided by an industrial establishment in that area and such other factors as he may deem fit, by public

notification, specify to be an industrial township. (2) In this article, "a transitional area", "a smaller urban

area" or "a larger urban area" means such area as the Governor may, having regard to the population of the area, the density of the population therein, the revenue generated for local administration, the percentage of

employment in non-agricultural activities, the economic importance or such other factors as he may deem fit, specify by public notification for the purposes of this Part."

    Shubhada S Kadam                                                                                                           11/29





                                                                                                                  WP 10175.16

Thus, Article 243-Q contemplates existence of two kinds of

area viz. a rural area and an urban area. Urban area is further classified

into a smaller urban area and a larger urban area. The 3 rd category is

also contemplated viz. a transitional area. Article 243-Q gives power to

the Governor to declare any area as a transitional area, a smaller urban

area or a larger urban area. The factors to be taken into consideration

by the Governor are also provided in the said Article.

Section 3 of the Corporations Act reads as under ig :

"[3. Specification of larger urban areas and

constitution of corporations]

(1) The Corporation for every City constituted under this

Act existing on the date of coming into force of the Maharashtra Municipal Corporations and Municipal

Councils (Amendment) Act, 1994, specified as a larger urban area in the notification issued in respect thereof

under clause (1) of Article 243-Q of the Constitution of India, shall be deemed to be a duly constituted Municipal Corporation for the larger urban area so specified forming a City, known by the name " The Municipal

Corporation of the City of ............... ".

(1A) The Corporation of the City of Nagpur incorporated under the City of Nagpur Corporation Act, 1948 for the larger urban area specified in the Notification issued in this respect under clause (2) of article 243-Q of the

Shubhada S Kadam 12/29

WP 10175.16

Constitution of India shall, on and from the date of coming into force of the Bombay Provincial Municipal

Corporations (Amendment) and the City of Nagpur Corporation (Repeal) Act, 2011, be deemed to have been

constituted under this Act and accordingly the provisions of this Act shall apply to the area of the City of Nagpur. (2 ) Save as provided in sub-section (1 ), the State

Government may, having regard to the factors mentioned in clause (2 ) of article 243-Q of the Constitution of India, specify by notification in the Official Gazette, any urban

area with a population of not less than three lakhs as a larger urban area.

(2A ) Every larger urban area so specified by the State

Government under sub-section (2 ), shall form a City and there shall be a Municipal Corporation for such larger urban area known by the name of the ''

Municipal Corporation of the City of .............".] (3 ) [(a ) [Subject to the provision of sub-section (2 ), the

State Government] may also from time to time after consultation with the Corporation by notification in the

Official Gazette, alter the limits specified for any larger urban area under sub-section (1 ) or sub-section (2 ) so as to include therein, or to exclude therefrom, such area as is specified in the notification.]

[(b ) Where any area is included within the limits of the [larger urban area] under clause (a ), any appointments, notifications, notices, taxes, orders, schemes, licences, permissions, rules, by-laws or forms made, issued, imposed or granted under this Act or any other law,

Shubhada S Kadam 13/29

WP 10175.16

which are for the time being in force in the larger urban area shall, notwithstanding anything contained in any

other law for the time being in force but save as otherwise provided in section 129A or any other

provision of this Act, apply to and be in force in the additional area also from the date that area is included in the City].

(4 ) The power to issue a notification under this section shall be subject to the conditions of previous publication.

[Provided that, where the population of any

urban area, in respect of which a Council has been

constituted under the provisions of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial

Townships Act, 1965, as per the latest census figures has exceeded three lakhs, the State Government may, for the purpose of constituting a Corporation under this Act for

such urban area, with the same boundaries, dispense with the condition of previous publication of the

notification under this section.]"

This provision makes it clear that sub-section (1) of Section 3

of the Corporations Act deals with a situation where the Governor has

issued an appropriate notification under Article 243-Q(2) of the

Constitution of India and declares a larger urban area covered by such

notification, if any, as a "deemed to be duly constituted municipal

corporation". From the language of this Section, it is clear that for such "

    a deemed" constitution of                                  a municipal corporation, the State


    Shubhada S Kadam                                                                                                           14/29





                                                                                                                  WP 10175.16

Government is not required to take any steps towards it constitution

unlike the rest of the provisions of Section 3.

Sub-section (2) of Section 3 starts with the words " Save as

provided in sub-section (1)". These words indicate that the said

provision is distinct and independent provision from the sub-section (1)

which enables constitution of a corporation. The reading of this sub-

section makes it unequivocally clear that the same empowers the State

Government and not the Governor to constitute a corporation. While

exercising this power, no doubt, the State Government must have

regard to all the factors mentioned in clause (2) of Article 243-Q, which

the Governor is required to take into consideration, while issuing a

notification under the said constitutional provisions which results into

constituting "a deemed" municipal corporation" under sub-section 1 of

Section 3 of the Corporations Act.

Similarly language of sub-section 2A and other sub-sections of

Section 3 makes it abundantly clear that the State Government has the

statutory power, authority and jurisdiction to constitute a corporation,

independent of and apart from the constitutional power, authority and

jurisdiction of the Governor, to issue a notification which results into

constitution of " a deemed" municipal corporation".

    Shubhada S Kadam                                                                                                           15/29





                                                                                                                  WP 10175.16

Section 2(30A) of Corporations Act defines "a larger urban

area" as the area specified as larger urban area in the notification

issued under sub-clause (2) of Article 243-Q of the Constitution of India

or under "the Act". This definition of the term "larger urban area" also

lends support to the proposition that such an area can be constituted by

the Governor under Article 243-Q as well as the State Government under

the local law.

It is thus clear that without there being any notification

under Article 243Q(2) by the Governor, it is open in law for the State

Government to constitute a municipal corporation. In that view of the

matter, the contention of the petitioners to the effect that only the

Governor can constitute a larger urban area is misplaced and liable to be

rejected.

11. Mr. Dani, learned senior counsel submitted that the power of

the State Government to declare any area as a larger urban area is

restricted to such areas which is an urban area, though attractive, on

deep scrutiny of the provisions of Sections 3(2), 3(2A) and (3) of the

Corporations Act , is liable to be rejected. The Village Panchayats Act or

the relevant laws that deal with municipal councils or municipal

corporations do not define rural area or urban area. In the absence of

such definition, there is no statutory bar or prohibition on the State

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WP 10175.16

Government from issuing notification from converting any local area of

the Panchayat into a Corporation provided it has the minimum required

population i.e. population not less than 3 lacs. That apart, the sub-

section (2) of Section 3 of the Corporations Act deals with the powers of

the State Government to constitute a larger urban area. Sub-section (3)

deals with the powers of the State Government to alter the limits of the

larger urban area constituted under sub-section (1) or sub-section (2) so

as to include therein, or to exclude therefrom such area as is specified in

the notification. Under sub-section (3), the limits of the larger urban

area can be altered by including any area or excluding any area from

larger urban area as specified in the notification. Thus, this sub-section

does not put an embargo on the power of the State Government to

include only an urban area in a larger urban area. In other words, in

exercise of powers under sub-section 3(a), the State Government can

alter the limits of a larger urban area by including any local area.

Therefore, after constitution of a larger urban area or corporation, if

local area of panchayat can be included so as to alter the limits of such

larger urban area or corporation, there is no reason why such area

cannot be included in larger urban area at the time of its formation

under sub-section 2 of Section 3 of the Corporations Act. We, therefore,

do not find any merit in the submission of Mr. Dani, learned senior

counsel in this regard.

    Shubhada S Kadam                                                                                                           17/29





                                                                                                                  WP 10175.16

12. The decision of the Division Bench of this Court in Talegaon

Village Panchayat (supra) and the decision of Rajasthan High Court in

Ashok Khetoliya (supra) relied upon by Mr. Dani, will not come to the

petitioners' rescue.

In the former case, Talegaon Village Panchayat was included

in the Igatpuri Municipal Council by the notification issued in the year

1998. The notice inviting objections under Section 3(3) of the Nagar

Panchayats Act was issued in the year 1991. The objections were

considered and, thereafter, impugned notification including Talegaon

Village Panchayat in Igatpuri Muncipal Council was issued in 1998. The

submission of the petitioner therein was that no proclamation of the

Governor as required under Article 243-Q was issued and, therefore, the

impugned notification was bad. The Division Bench of this Court held

that Article 243-Q would apply only when new municipal corporation,

municipal council or nagar panchayat is to be established.

In the latter case, the challenge was to the notification issued

by the State, whereby Gram Panchayat Roopbas, District Bharatpur was

converted into Municipal Board. The Division Bench found that no

public notification as contemplated under Article 243-Q of the

Constitution of India was issued specifying Gram Panchayat Roopbas as

"a transitional area". This decision was taken in the light of the

provisions of Section 2(lxv) of the Rajasthan Municipalities Act, 2009,

Shubhada S Kadam 18/29

WP 10175.16

which defines "a transitional area", "a smaller urban area" or "a larger

urban area" to mean an area specified under Article 243Q of the

Constitution of India. This judgment has no application to the facts and

circumstances of the present case in the light of the provisions of

Section 2(30A) of the Corporations Act, whereunder the term "a larger

urban area" is defined as the area specified as larger urban area under

Artilce 243-(Q)(2) of the Constitution of India or under "the Act".

13. This takes us to next submission of Mr. Dani that the

impugned notification under Section4(2) of the Village Panchayats Act is

required to be issued in the like manner as contemplated under Section

4 (1) of the Village Panchayats Act and Article 243(g) of the Constitution

of India and, therefore, the State Government has no power to issue

such notification and it is required to be issued by the Governor under

Article 243 (g) of the Constitution of India. Mr. Dani, in support of this

proposition, strongly relied upon the decision of the Madhya Pradesh

High Court in the State of Madhya Pradesh v.Abhinesh Mahore

(supra). Section 4 of the Village Panchayats Act deals with declaration of

village, which reads as under :

"S.4. Declaration of village.-

(1) Every village specified in the notification issued under clause (g) of Article 243 of the Constitution of India shall

Shubhada S Kadam 19/29

WP 10175.16

be known by the name of that village specified in that notification.

Provided that, where a group of revenue villages or hamlets or other such administrative unit or part thereof

is (specified in that notification) to be a village, the village shall be known by the name of the revenue village, hamlet or as the case may be, administrative unit or part

thereof, having the largest population.

(2) Where the circumstances so require to include or exclude any local area from the local area of a village to

or alter the limits of a village or that a local area shall

cease to be a village, then the notification the like manner after consultation with the Standing issued in

Committee and the Gram Sabha and the Panchayat concerned, at any time, may provide to --

(a) include within, or exclude from any village, any local

area or otherwise alter the limits of any village, or

(b) declare that any local area shall cease to be a village;

and thereupon the local area shall be so included or excluded, or the limits of the village so altered, or, as the

case may be, the local area shall cease to be a village."

Under Article 243(g) of the Constitution of India, "village"

means a village specified by the Governor by public notification to be a

village for the purposes of this Part and includes a group of villages so

specified. Under sub-section (1) of Section 4 of the Village Panchayats

Act, every village specified in the notification issued under Article 243(g)

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WP 10175.16

of the Constitution of India shall be known by the name of that village

specified in that notification. Sub-section (2) of Section 4 deals with

inclusion or exclusion of any local area from the local area of a village or

to alter the local limits of a village or cessation of any local area to be a

village. In terms of these sub-sections, inclusion or exclusion of any

local area from a village or cessation of any local area to be a village can

be effected by issuing notification in the like manner after consultation

with the Standing Committee, Gram Sabha and the Panchayat

concerned.

It is true that in view of the provisions of Section 4(2) of the

Village Panchayats Act, a notification of cessation of a village is required

to be issued "in the like manner", meaning thereby, in the manner in

which a notification is required to be issued under sub-section (1) of

Section (4) i.e. under clause (g) of the Article 243 of the Constitution of

India. Nevertheless, it does not mean that such notification either under

sub-section (1) or sub-section (2) is required to be issued by the

Governor himself, merely because Article 243(g) of the Constitution uses

the phrase "specified by the Governor by public notification". This

proposition is supported by the decision of Apex Court in State of

Uttar Pradesh vs. Pradhan Sangh Shetre Samiti(supra). In this case,

one of the question which fell for consideration before the Apex Court

was the constitutional validity of Section 2(t) of the U.P. Panchayat Raj

Shubhada S Kadam 21/29

WP 10175.16

Act. This section defines "village" to mean any local area recorded as

village in the Revenue Record of the district in which it is situate and

includes any area which the State Government may, by general or

special order, declare to be a village for the purpose of the Act. The

constitutional validity of this section was challenged on the ground that

same is unconstitutional or contrary to Article 243(g) of the Constitution

of India. The Apex Court, in paragraph 9, held that the functions under

Article 243(g) are to be exercised by the Governor on the aid and advise

of his Council of Ministers. The Apex Court also held that the Governor

does not exercise executive functions individually or personally and the

executive action taken in the name of the Governor is the executive

action of the State and, therefore, function under Article 243(g) is to be

exercised by the Governor on the aid and advise of his Council of

Ministers. This decision of the Apex Court is followed by the Division

Bench of this Court in Ashok Ganpat Jadhav (supra).

14. In the present case, admittedly, the notification of cessation

of village which have been included in the newly constituted

Corporation has been issued in "the name of the Governor", though not

by the Governor himself and, therefore, in our considered view, it fully

complies with the statutory requirement, bringing to an end the

existence of all the villages covered under the newly formed Panvel

Municipal Corporation.

    Shubhada S Kadam                                                                                                           22/29





                                                                                                                  WP 10175.16



15. A reference must be made to the decision of the Madhya

Pradesh High Court in the case of the State of Madhya Pradesh vs

Abhinesh Mahore (supra).. We have gone through the said decision.

In our opinion, this decision has no application to the facts and

circumstances of the present case. In this case, the Division Bench held

that the exercise of powers or discharge of function by the Governor in

the context of Article 243-Q which has been introduced by way of

(Seventy - Fourth Amendment) Act, 1992, is the function or discretion to

be exercised by the Governor falling under the second part of clause (1)

of Article 163 of the Constitution of India. This decision, in our

considered opinion, has no application to the facts and circumstances of

the present case, in the light of provisions of sub-section 2 of

Section 5-A of the M.P.Municipal Corporation Act, 1961. The question

which came for consideration before the Division Bench was whether

the powers of the Governor to consider the objections to be taken by

interested persons can be delegated to the Collector. The Division

Bench noted the provisions of sub-section 2 of Section 5-A of M.P.

Municipal Corporation Act, under which, the Collector after receiving the

objections in writing with regard to the intention to include or exclude

certain areas from the limits of Municipal areas, must place the same

before the Governor, who in turn, is expected to consider those

objections before taking any final decision as stated above. The

Shubhada S Kadam 23/29

WP 10175.16

provisions of Section 4(2) of the Maharashtra Village Panchayats Act and

the provisions of Section 5-A of the M.P. Municipal Corporation Act are

not similar and there is substantial difference between them and,

therefore, this decision is not applicable to the facts and circumstances

of the present case.

16. Let us consider the next challenge of Mr. Dani that the

notification to constitute a larger urban area is issued without effective

consultation of the Standing Committee, Gram Sabha and the

Panchayat. In our considered view, this submission is also liable to be

rejected.

The draft notification inviting objections for formation of a

larger urban area was issued on 16 th May, 2016, and thereafter from

7th September, 2016 to 15th September, 2016, several Gram Panchayats

and Gram Sabha held meetings and passed resolutions and submitted

the report to the Zilla Parishad through Panchayat Samiti. The Standing

Committee of Zilla Parishad thereafter convened meeting to discuss the

said subject on 16th September, 2016. However, this meeting was

adjourned for want of quorum initially to 27 th September, 2016 and

rescheduled on 28th September, 2016. On that day, the Standing

Committee passed a resolution and sent the same to the Government

on 28th September, 2016. The Government considered this resolution

Shubhada S Kadam 24/29

WP 10175.16

and took a decision to issue cessation notification under Section 4(2) of

the Village Panchayats Act in respect of 29 villages on 29 th September,

2016. It is true that prior to this, notification under Section 3(2) of the

Corporations Act declaring a larger urban area of Panvel Muncipal

Corporation was issued on 26th September, 2016. However, the same

was to take effect only on 1 st October, 2016 and prior to this,

on 29th September, 2016, a notification under Section 4(2) of the Village

Panchayats Act came to be issued. At this stage, a reference must be

made to the decision of the Apex Court in Uttar Pradesh vs. Pradhan

Sangh Shetre Samiti(supra) . In this decision, it is recognised that in

urgent matter, even a post decisional hearing is sufficient compliance

of the principle of natural justice viz. audi alteram partem. In the

present case, the notification dated 26 th September, 2016 under Section

3(2) of the Corporation Act was issued in view of urgency as the High

Court by passing the order dated 23 rd August, 2016, in writ petition

No.9257 of 2016, directed the Government to take decision

expeditiously.

17. Before parting with the judgment, we must deal with the

grievance of Mr. Shetye, learned counsel for the State Election

Commission that the State Government must take decision regarding

formation of a smaller urban area or a larger urban area, change of

Shubhada S Kadam 25/29

WP 10175.16

boundaries, expansion of the areas of the corporation/council and local

bodies in advance i.e. before six months prior to the expiry of the term

of the said bodies. Mr. Shetye submitted that the term of the Panvel

Municipal Council was due to expire on 22 nd December, 2016, and

therefore, in anticipation, the State Election Commission started process

of election of the new body of the said council in June-2016 and

formation of wards is already complete. He also submitted that the

election to the Panchayat Samitis and Zilla Parishad are to be held in

February, 2017 and, therefore, process in this regard was also started on

18th August, 2016.

18. We find much substance in the grievance of Mr. Shetye,

learned counsel for the State Election Commission. Part IX and IX A was

inserted in the constitution by virtue of (Seventy - Fourth) Amendment

Act, 1992. The object of introducing these provisions was that, in many

States, the local bodies were not working properly and timely elections

were not being held and the nominated bodies were continuing for long

periods. Elections had been irregular and many times unnecessarily

delayed or postponed and the elected bodies were superseded or

suspended without adequate justification at the whims and fancies of

the State authorities.

    Shubhada S Kadam                                                                                                           26/29





                                                                                                                  WP 10175.16

19. Under Articles 243-K and 243-ZA of the Constitution of India,

which pertains to the elections of the panchayats and municipalities

respectively, the superintendence, direction and control of the

preparation of electoral rolls for, and the conduct of all elections is

vested in a State Election Commission. Articles 243-E and 243-U

mandates that the duration of every panchayat or, as the case may, the

municipality shall be for a period of 5 years from the date appointed for

its first meeting and no longer unless dissolved under any law for the

time being in force. Similar provisions are to be found in the relevant

statutes viz. Maharashtra Municipal Corporations Act 1949, Maharashtra

Municipal Councils, Nagar Panchayats and Industrial Townships Act

1965, Maharashtra Zilla Parishads and Panchayat Samitis Act 1961 and

Maharashtra Village Panchayats Act 1961. Thus the duration of the

panchayat or municipality is fixed for five years from the date of its

first meeting and no longer. It is incumbent upon the Election

Commission and other authorities to carry out the mandate of the

Constitution and to see that a new panchayat or municipality is

constituted in time and elections to the panchayats or municipalities are

conducted before the expiry of its duration of five years as specified

under Articles 243-E and 243-U of the Constitution of India. The Apex

Court in Kishansing Tomar versus the Municipal Corporation of the

City of Ahmedabad and ors.(2006) 8 SCC 352 has held that the powers

Shubhada S Kadam 27/29

WP 10175.16

of the State Election Commission in respect of conduct of elections is no

less than that of the Election Commission of India in their respective

domains. It was also held that the State Election Commission are to

function independently of the State Governments concerned in the

matter of their powers of superintendence, direction and control of all

elections and preparation of electoral rolls for, and the conduct of, all

elections to the panchayats and municipalities.

20. So far as Panvel Municipal Council is concerned, taking the

constitutional mandate into consideration, the State Election

Commission started the process of election of new body in June, 2016,

as much as the term of that council was to come to an end on

22nd December, 2016. The State Election Commission accordingly

informed the Government by various letters between January to August

that the decision regarding formation of a smaller urban area or a larger

urban area, change of boundaries, expansion of the areas of the

corporation council and local bodies should be taken in advance.

Despite this, the notification to form a larger urban area of the Panvel

Municipal Corporation was taken by the notifications dated

26th September, 2016 and 29th September, 2016, under which the said

Corporation was to come into existence w.e.f. 1 st December, 2016. We

have already upheld the said notifications. However, we must note that

Shubhada S Kadam 28/29

WP 10175.16

the exercise undertaken by the State Election Commission for formation

of the wards for Panvel Municipal Council has rendered futile. In our

considered opinion, the Government must take decision regarding the

formation of a smaller urban area or a larger urban area, change of

boundaries, expansion of the areas of the corporation/council and local

bodies well in advance ie. at least six months prior to the expiry of the

term of such council/corporation, so as to avoid unnecessary exercise

and save public time and money. We hope and trust that, in future,

the Government will consider the above aspect and take appropriate

decision well in time.

21. In the light of the above discussion, we find that the petition

is devoid of any merits and the same is dismissed. Rule is discharged.

22. Civil Application No.2465 of 2016 accordingly stands

disposed.

    (ANUJA PRABHUDESSAI, J.)                                                                      [RANJIT MORE, J.]





    Shubhada S Kadam                                                                                                           29/29





 

 
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