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Chembur Siddharth Colony ... vs Siddharth Colony Vikas Seva Sangh ...
2022 Latest Caselaw 9220 Bom

Citation : 2022 Latest Caselaw 9220 Bom
Judgement Date : 14 September, 2022

Bombay High Court
Chembur Siddharth Colony ... vs Siddharth Colony Vikas Seva Sangh ... on 14 September, 2022
Bench: S.V. Gangapurwala, Madhav J. Jamdar
            Pallavi                                                   rpw-3-2022 - siddharth colony.doc




           Digitally signed
           by PALLAVI


                                     IN THE HIGH COURT OF JUDICATURE AT BOMBAY
           MAHENDRA
PALLAVI    WARGAONKAR
MAHENDRA
WARGAONKAR Date:
           2022.09.16
           18:58:27
           +0530


                                          ORDINARY ORIGINAL CIVIL JURISDICTION
                                              REVIEW PETITION NO.3 OF 2022
                                                           IN
                                              WRIT PETITION NO.2482 OF 2012
                              Chembur Siddharth Colony Pravartan                 ... Petitioners
                              Co-op Housing Society (regd) & Ors.
                              V/s.
                              Siddharth Colony Vikas Seva Sangh Sahakari         ... Respondents
                              Grihnirman Sanstha & Ors.
                                                          WITH
                                           INTERIM APPLICATION NO.2276 OF 2021
                                                           IN
                                              REVIEW PETITION NO.3 OF 2022
                              Eknath Nivrutti Mokal and Ors.                     ... Applicants
                              V/s.
                              Chembur Siddharth Colony Pravartan                 ... Respondents
                              Co-op Housing Society (regd) & Ors.
                                                          WITH
                                           INTERIM APPLICATION NO.2278 OF 2021
                                                           IN
                                              REVIEW PETITION NO.3 OF 2022
                              Vijay Nana Adsule and Ors.                         ... Applicants
                              V/s.
                              Chembur Siddharth Colony Pravartan                 ... Respondents
                              Co-op Housing Society (regd) & Ors.
                                                          WITH
                                           INTERIM APPLICATION NO.2284 OF 2021
                                                            IN
                                              REVISION PETITION NO.3 OF 2022
                              Ajagganath Bhole and Ors.                          ... Applicants
                              V/s.


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          Chembur Siddharth Colony Pravartan                   ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2286 OF 2021
                                        IN
                          REVISION PETITION NO.3 OF 2022
          Sunil Manohar Bansude Chief Promoter of              ... Applicants
          Siddharth Co-op. Hsg. Soc. (Prop.) and Ors.
          V/s.
          Chembur Siddharth Colony Pravartan                   ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2282 OF 2021
                                        IN
                          REVISION PETITION NO.3 OF 2022
          Suresh Ganapat Kadam and Ors.                        ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                   ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2317 OF 2021
                                        IN
                          REVISION PETITION NO.3 OF 2022
          Suman Ranjit Jeth                                    ... Applicant
          V/s.
          Chembur Siddharth Colony Pravartan                   ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2275 OF 2021
                                        IN
                          REVISION PETITION NO.3 OF 2022
          Sunil Manohar Ahire and Ors.                         ... Applicants
          V/s.



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          Chembur Siddharth Colony Pravartan                  ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2280 OF 2021
                                        IN
                          REVISION PETITION NO.3 OF 2022
          Anil Eknath Bhujbal and Ors.                        ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                  ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2283 OF 2021
                                       IN
                          REVIEW PETITION NO.3 OF 2022
          Chandrakant Sukhdev Katamavre and Anr.              ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                  ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2281 OF 2021
                                       IN
                          REVIEW PETITION NO.3 OF 2022
          Bhaskar Khushaba Katamavre and Anr.                 ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                  ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2274 OF 2021
                                       IN
                          REVIEW PETITION NO.3 OF 2022
          Anand Pandurang Kale and Ors.                       ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                  ... Respondents
          Co-op Housing Society (regd) & Ors.

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                                      WITH
                       INTERIM APPLICATION NO.2279 OF 2021
                                       IN
                          REVIEW PETITION NO.3 OF 2022
          Ramakant Chavan and Ors.                                     ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                           ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                       INTERIM APPLICATION NO.2277 OF 2021
                                       IN
                          REVIEW PETITION NO.3 OF 2022
          Priyatam Bhaskar Mokal                                       ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                           ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      WITH
                     INTERIM APPLICATION (L) NO.26789 OF 2022
                                       IN
                          REVIEW PETITION NO.3 OF 2022

          Aaryaratna Vikram Kamble                                     ... Applicants
          V/s.
          Chembur Siddharth Colony Pravartan                           ... Respondents
          Co-op Housing Society (regd) & Ors.
                                      -------------------
          Mr. Sanjay Singhvi, Senior Advocate a/w Mr. Ghanshyam Thombre,
          Ms. Manali Kadam i/b Mr. Raj L. Kamble, Advocate for the Applicants/
          Petitioners.
          Mr. Milind More, Addl. G.P a/w Mr. Amit Shastri, AGP for the State.
          Mr. Rohaan Cama i/b Mr. Rushabh Parekh, Advocate for Intervenors in
          IA/2274/2021 in IA/2286/2021.



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           Mr. Shashikant Surana a/w Mr. Madhur Surana, Advocate for
           Respondent Nos.5 to 8.
           Mr. Vijay D. Patil a/w Mr. Abhijit Patil, Advocate for the Respondent
           Nos.3 and 4 - SRA.
           Mr. Aspi Chinoy, Senior Advocate with Mr. Chetan Kapadia, Hrushi
           Narvekar, Mr. Samit Shukla with Ms. Anjali Shah, Ms. Aneesa Cheema
           i/b DSK Legal for Respondent No.13.
           Mr. Pravin Samdani, learned Senior Counsel with Mr. Shrikant
           Seegarla, Mr. Swapnil Shikhare i/b RMG Law for the Applicant in IA
           No.2317/2021 in WP/2482/2012 for Intervener/Applicant.
           Mr. Mayur Khandeparkar a/w Ms. Dimple Merchant, Mr. Akshay
           Sawant, Haripriya Parvatha i/b I.V. Merchant & Co. for Respondent
           No.1 in RPW/3/2022 in WP/2482/2012.
           Mr. Simil Purohit a/w Mr. Bhushan Deshmukh i/b Lokesh Zade for
           Applicant in IAL/26789/2022.
                                      ---------------------
                                     CORAM : S.V. GANGAPURWALA &
                                             MADHAV J. JAMDAR, JJ.

JUDGMENT RESERVED ON : 29th AUGUST 2022 JUDGMENT PRONOUNCED ON : 14th SEPTEMBER 2022

JUDGMENT : (Per Madhav J. Jamdar, J.)

1. By the present Review Petition, the Review Petitioners are

seeking review of the order dated 1st March 2021 passed in Writ

Petition No.2482 of 2012 (Coram: S.J. Kathawalla and Vinay Joshi,

JJ.). The relevant part of said order is reproduced hereinbelow for

ready reference:

"2. The learned Advocates appearing for the parties have tendered consent terms. The consent terms are taken

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on record and marked "Y" for identification. Save and except the State of Maharashtra, Slum Rehabilitation Authority and the High Power Committee, the consent terms are signed by the parties and their respective advocates. Undertakings given in the consent terms are accepted. The above three writ petitions are disposed off in terms of consent terms."

By the said order dated 1 st March 2021, Consent Terms signed by the

parties except State of Maharashtra, Slum Rehabilitation Authority and

High Power Committee were taken on record and three Writ Petitions

bearing Writ Petition No.1716 of 2011, Writ Petition No.2482 of 2012

and Writ Petition No.678 of 2012 were disposed of in terms of Consent

Terms.

2. Before setting out the rival contentions and consideration

of the same it is necessary to set out relevant factual aspects.

3. The Respondent No.1 in the present Review Petition i.e.

Siddharth Colony Vikas Seva Sangh Sahakari Grihnirman Sanstha

(Proposed) (hereinafter referred to as "the Federation") was the

Petitioner in Writ Petition No.2482 of 2012, Respondent No.10 in Writ

Petition No.1716 of 2011 and Respondent No.2 in Writ Petition No.678

of 2012. The said Federation is not a registered body. It is the claim of

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the Respondent No.1 that it represents all the slum dwellers dwelling

on the land bearing CTS No.470 (part) and 471 (part) and 366/6

(part) of Village Chembur, Taluka-Kurla, Mumbai aggregately

admeasuring about 60,000 sq. meters (hereinafter referred to as the

said "Slum Property") where the slum rehabilitation scheme (for short

"Slum Scheme") is being implemented. To substantiate the contention

that the Respondent No.1 represents all the slum dwellers on the said

property, reliance is placed on meeting which was held on 23 rd July

2006 where all the slum dwellers agreed to appoint Respondent No.1

to propound the slum rehabilitation scheme and appoint Respondent

Nos.11 and 12 as its developers.

4. The said Federation filed Writ Petition No.2482 of 2012

challenging the order of High Power Committee dated 20th July 2011

passed in Application No.348 of 2010. By the said order, High Power

Committee directed the Chief Executive Officer/ SRA to complete the

exercise for ascertaining whether 70% eligible slum dwellers accept a

particular developer i.e. either the Applicant No.1 - K.K.B. Developers

or Respondent No.3 - Deepak S. Nikalje of M/s. Adishakti Developers

to said Application No.348 of 2010. In the said Writ Petition the order

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of the High Power Committee dated 20th July 2011 was stayed by this

Court and all the parties were directed to maintain the status-quo.

Thereafter, the said Writ Petition No.2482 of 2012 and other Writ

Petitions were disposed of in terms of the Consent Terms as set out

earlier.

5. The Review Petitioner Nos.1 to 15 are Co-operative

Societies and claim that they are representing the slum dwellers. The

Review Petitioner Nos. 1 and 8 are the registered societies and others

are proposed societies. Review Petitioner Nos.16 to 18 are members of

the Chembur Siddharth Colony Shatabdi Co-operative Housing Society

Ltd., Pranali Co-operative Housing Society Ltd. and Siddharth Nagar

Samjhota Co-operative Housing Society Ltd. respectively. These three

societies are registered societies. However administrators were

appointed on the said societies by orders dated 30.03.2017,

09.08.2016 and 22.03.2018 respectively. The said three Co-operative

Housing Societies are not impleaded as Petitioners to the Review

Petition as the respective Administrators refused to conduct General

Body Meeting of the said Societies.




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6. It is the contention of the Review Petitioners that all these

Co-operative Housing Societies were not impleaded as parties to the

aforesaid three Writ Petitions and they were not parties to the said

Consent Terms in terms of which the order dated 1 st March, 2021 was

passed. It is the contention of the Petitioners that the order sought to

be reviewed affects large number of members of the Review Petitioners

- Co-operative Housing Societies.

7. We have heard the learned Senior Counsel and the learned

counsel appearing for the respective parties.

8. Mr. Sanjay Singhvi, learned Senior Counsel appearing for

the Review Petitioners submitted that Consent Terms were filed by the

Federation without taking consent of the Review Petitioners i.e. the

Societies. The Respondent No.1 - Federation has admitted in the

affidavit-in-reply that a General Body Meeting was not convened and

one or two members from each Society had signed the resolution dated

30th October 2020. The Consent Terms specifically refers to the

Resolutions of the Review Petitioners - Societies and further mentions

that resolutions dated 30th October, 2020 of Review Petitioners -

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Societies are annexed as Annexure-9 to the Consent Terms. Admittedly,

the said resolutions dated 30 th October, 2020 passed by the respective

Societies were not annexed to the Consent Terms. The said alleged

resolutions of the Societies were annexed to the affidavit-in-reply filed

in this Review Petition by the Respondent No.1 and 13. All these

resolutions are identical and inscribed on the letterheads of the Review

Petitioners' Societies signed by one or two members from each Society.

The said resolutions are not passed by the General Body of the

respective Societies but purportedly by the Managing Committees of

such Societies. According to said resolutions, meetings of all the

managing committees of all these Societies were held on same date

and same location. He submitted that no such meeting took place and

all these resolutions are fraudulent. Resolutions dated 30 th October

2020 were inscribed on the letterhead of the registered Society i.e.

Siddharth Nagar Samjhota Co-operative Housing Society Ltd, Chembur

Siddharth Colony Shatabdi Co-operative Housing Society Ltd., Pranali

Co-operative Housing Society Ltd., on which Administrators were

appointed and therefore, the persons signing the said alleged

resolutions on the letterhead of said three Societies have no authority

to sign the said resolutions and to pass such resolutions and therefore,

10 of 30 Pallavi rpw-3-2022 - siddharth colony.doc

the said resolutions are fraudulent resolutions. He further submitted

that Consent Terms contain some clauses which imposes obligations

upon Review Petitioners - Societies including financial obligations. He

submitted that even assuming that such resolutions are validly passed

still the Consent Terms filed in this Court are not approved by said

resolutions.

9. Mr. Aspi Chinoy, the learned Senior Counsel appearing for

the Respondent No.13 submitted that rehabilitation of the slum

dwellers had remained enmeshed in litigation before High Power

Committee and this Court between the rival developers from 2006 to

2021. By the Consent Terms, the claims of the two rival builders were

settled and it was agreed that Respondent No.13 would make a

requisite application before SRA to secure LOI. He submitted that

subsequently SRA has issued LOI dated 6th August 2021 to Respondent

No.13 based on verification/acceptance of 51% individual agreements

and consents of the eligible slum dwellers. He submitted that

independently of the Consent Terms/ consent order, 51% individual

slum dwellers have consented for the redevelopment of the Slum

Scheme by Respondent No.13 and accordingly, LOI has been issued.


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Pursuant to the LOI, Respondent No.13 has incurred substantial

expenditure on making payments to the erstwhile developers.

Respondent No.4 - SRA has approved building plans of rehab building

Nos.1 to 8 comprising of 3153 rehab and 96 amenity tenements. By

oversight, the individual Societies' Managing Committee Resolutions

dated 30th October 2020 were remained to be annexed as Exh.9 and

the same have been produced by the Respondent No.1 - Federation

along with the affidavit-in-reply. He submitted that the individual

Societies (either proposed or registered) had not played any role in the

matter of the Proposed Rehabilitation Scheme after 2006. It is the

Federation i.e. the Respondent No.1 who has all along represented all

the slum dwellers. He submitted that the liability of payment is only of

Respondent No.13 and no liability is cast on the slum dwellers or the

Proposed Societies. He submitted that in any case, the said Consent

Terms will only bind the Federation and will not be binding on the

Societies i.e. Review Petitioners.

10. Mr. Pravin Samdani, learned Senior Counsel appearing for

the interveners submitted that as a result of the dispute between the

developers, the redevelopment scheme is delayed for several years. He

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submitted that after disposal of the Writ Petition in terms of the

Consent Terms, 51% of the slum dwellers have given consent in favour

of Respondent No.13 and therefore, Slum Rehabilitation Scheme

supported by 51% of the slum dwellers cannot be put to peril on the

ground that certain procedures were not strictly followed or some steps

were taken contrary to the procedures prescribed in the guidelines. To

substantiate his contention, he relied on the judgment of the Supreme

Court in the case of Balasaheb Arjun Torbole and Ors. Vs.

Administrator and Divisional Commissioner and Ors.1 and, particularly,

on paragraphs 21 and 29 of the said judgment. He also relied upon the

judgment of Co-ordinate Bench of this Court passed in Writ Petition

No.3983 of 2021 decided on 31st August 2021 (Abdul Majid Vakil

Ahmad Patvekari and Ors. Vs. The Slum Rehabilitation Authority and

Ors.), wherein it has been held that any encroachment on public land

ought not to be tolerated and prompt action is required to be taken to

remove such encroachment. He, therefore, submitted that these slum

dwellers have got only the right to get rehab tenements and no further

right. He submitted that therefore, Review Petition be not entertained.

He also submitted that there is nothing in the Scheme of Regulation

1 (2015) 6 SC 534

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33(10) of DC Regulations to indicate that an individual slum dweller

gets right to decide which Society or which developer should

implement the Scheme. He relied on the judgment of this Court in the

case of Awdesh Vasistha Tiwari and Ors. Vs. Chief Executive Officer,

Slum Rehabilitation Authority and Ors.2 and, particularly, on paragraph

13 of the said judgment.

11. He submitted that grant of relief in Writ Petition filed under

Article 226 of the Constitution of India is a discretionary relief and the

same can be refused where granting relief would result in defeat of the

interest of justice. He submitted that the Court always has a power to

refuse the relief where the Petitioner seeks to invoke its writ

jurisdiction in order to secure a dishonest advantage or perpetuate an

unjust gain. He relied on the judgment of the Supreme Court in the

case of M.P. Mittal Vs. State of Haryana and Ors. 3 and, particularly, on

paragraph 5 of the said judgment. He submitted that the same

principle will apply while considering the Review Petition. He

submitted that determination of eligibility of hutment dweller one way

or the other has nothing to do with the physical continuance of the

2 (2006) 4 Mh.L.J. 282

3 (1984) 4 SCC 371

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structure. He relied on the order of this Court in Writ Petition (L)

No.2650 of 2022 with Writ Petition (L) No.26363 of 2021 (Mohanish

Mohan Chikhalkar and Anr. Vs. Dignity Realty & Ors. ) decided on 2nd

March 2022. He relied on the judgment of the Supreme Court in the

case of State of Maharashtra and Ors. Vs. Prabhu 4, and, in particular,

on paragraph 4 of the said judgment to contend that one of the

yardsticks for the Court to exercise its jurisdiction in quashing an order

is to consider whether the same results in greater harm to the society

and in that case, the Court may restrain from exercising the power. He

submitted that the exercise of the power by this Court should be for

the sake of justice.

12. As set out earlier, all the aforesaid three Writ Petitions were

disposed of in terms of the Consent Terms. Clause 17 of the Consent

Terms is very relevant and important for the purpose of the present

Review Petition. The said clause No.17 specifically sets out the

particulars of requisite authority of the parties for entering into the

said Consent Terms. The said clause No.17 is reproduced herein below

for ready reference:-

"17. The parties requiring the requisite authority for entering 4 (1994) 2 SCC 481

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into these Consent Terms have obtained the same as under. 17.1 AGNPL and KKB have obtained Board Resolution / Shareholders Resolution dated 15th February 2021 and 15th February 2021, respectively, copies whereof are hereto annexed as Annexure "7" and Annexure "7A", respectively. 17.2 Richa has obtained Board Resolution/Shareholders Resolution dated 10th February 2021, copies of which are hereto annexed as Annexure "8".

17.3 The Societies have issued Resolutions dated 30th October 2020 copies of the resolutions are hereto collectively annexed as Annexure "9".

17.4 The certified copy of the Board Resolution dated 15 th February 2021 of Ruparel is annexed hereto as Annexure "10"."

(Emphasis supplied) The clause No. 20 is as follows:-

"20. The parties hereby agreed that the impugned Order ought to be set aside and the captioned Petitions disposed off, in terms of these Consent Terms."

Thus, it is clear that the resolutions dated 30th October

2020 passed by the respective societies give authority to the original

Petitioner-Federation for entering into the said Consent Terms. It is

admitted position that the said resolutions were not annexed to the

said Consent Terms although specifically mentioned in the said

16 of 30 Pallavi rpw-3-2022 - siddharth colony.doc

Consent Terms as annexed to the same. Thus, this Court, while passing

order dated 1st March 2021 in terms of the Consent Terms have no

occasion to verify the authenticity of the said resolutions purported to

be passed by the Societies and whether said resolutions approve the

Consent Terms.

13. The Respondent No.1 i.e. Federation filed a detailed

affidavit-in-reply dated 13th October 2021. Various contentions are

raised in the said affidavit-in-reply to contend that Review Petition be

dismissed. However, in paragraph 4(xxi) at page 400, it is specifically

contended as follows:

"(xxi). It is well known fact that from March 2020 due to Covid-19 pandemic, there has been a nationwide lock-down and several restrictions/conditions have been imposed by the Government of India and State of Maharashtra from time to time. The restrictions imposed did not permit gathering of large number of people at one place. Therefore, some of the terms including holding of GBR could not be done due to Covid restrictions."

(Emphasis added)

14. Thus, admittedly, no General Body Meeting of the

Respondent No.1 has been held approving the Consent Terms. It is also

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very clear that no General Body Meeting of respective Societies was

held approving the Consent Terms. Copies of said resolutions dated 30 th

October, 2020 purported to be passed by the respective Societies are

produced by the Respondent No. 1 alongwith the affidavit-in-reply filed

in the present Review Petition. The same clearly shows that the said

resolutions are passed by the Managing Committee of the respective

Societies. Admittedly, said Societies have not approved the

appointment of new developer i.e. Respondent No. 13 in the General

Body Meeting of the said Societies as required by Circular No.80 dated

15th February, 2008 and Circular No.148 dated 2 nd February, 2015

issued by Slum Rehabilitation Authority. Thus, it is clear that the

resolutions dated 30th October 2020 purported to be passed by the

respective societies are not passed in their General Body Meeting and

purported to have been passed in the meeting of Managing Committee

and just two members have signed on the resolutions.

15. It is the contention of the Review Petitioners that some of

the signatories who have signed the said resolutions in their purported

capacity as members of the Managing Committee are declared as

ineligible and therefore, they are not entitled to become the members

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of the said Societies. On the other hand, it is the contention of the

contesting Respondents that some of the Petitioners are declared as

ineligible. It is not necessary to consider the said submissions for

deciding this Review Petition as admittedly, the said resolutions

purported to be passed by these Societies were not produced before

this Court when the order in terms of Consent Terms was passed by this

Court. Thus, this Court could not satisfy itself about the genuineness of

the resolutions passed by the Societies. It is significant to note that the

entire basis of entering into the Consent Terms by the Federation are

the resolutions passed by the said Societies and the said crucial

documents were not produced before the Court.

16. It is also very important to note that during the relevant

time Administrators were appointed on the aforesaid three societies viz.

Siddharth Nagar Co-operative Housing Society Ltd, Chembur Siddharth

Colony Shatabdi Co-operative Housing Society Ltd., Siddharth Colony

Pranali Co-operative Housing Society Ltd. By no stretch of imagination,

two individual members could have given letter regarding the alleged

resolutions passed by the Societies when Administrators have been

appointed on the said Societies. Thus, it is clear that Consent Terms

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were not approved by the members of the said Societies in General

Body Meeting/Managing Committee Meeting and the resolutions

passed are fraudulent.

17. Thus, it is clear that representation made to this Court that

all these Societies have approved the Consent Terms and accordingly

passed resolutions dated 30th October, 2020, is not correct. This Court

was given an impression that the Consent Terms were accepted by all

the Societies and all the Societies have passed the resolutions in legal

manner accepting the terms and conditions of the Consent Terms.

However, when this Court passed the order under review, none of the

parties brought to the notice of the Court that the aforesaid resolutions

passed by these Societies were not annexed to the Consent Terms and

that there is no resolution passed approving the Consent Terms.

18. Perusal of the resolutions purported to have been passed by

these Societies on 30th October 2020 clearly show that all the terms

and conditions of the Consent Terms were not put forth before the

Managing Committees of these Societies, assuming that resolutions are

genuine resolutions passed by the said Societies.


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19. The resolutions produced along with the affidavit-in-reply

of the Respondent No.1 at Exh.-F clearly show that identical

resolutions were passed by the respective Societies. Resolution No.1 is

regarding acceptance of the Slum Scheme under DC Regulation

33(10). Resolution No.2 authorizes the Chief Promoter Raju Vishnu

Waghmare to execute various documents including the Consent Terms,

Resolution No.3 is regarding cancellation of development rights of

Aadishakti Developers, Aadishakti Grih Nirman Pvt. Ltd., Yash

Construction, Richa Homes Pvt. Ltd. as Developers and Resolution

No.4 is regarding appointment of Ruparel Buildcon Pvt. Ltd., as a new

developer for redevelopment of the Society under Regulation 33(10) of

DC Regulations. If the resolutions purported to be passed by the

respective Societies are compared with the Consent Terms, then it is

clear that there are various terms and conditions in the Consent Terms

which are not approved by the Managing Committees of these

Societies. Clause 2.5 read with Annexure 4B of the Consent Terms

clearly show that the Review Petitioners No.1 to 5, 9 to 11, 13, 14 and

aforesaid three Co-operative Societies, on which Administrators are

appointed, are the members of the Respondent No.1 - Federation. It is

significant to note that clause 17 of the Consent Terms clearly

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contemplates that the Federation has got authority to execute the

Consent Terms on the basis of the resolutions dated 30 th October 2020

passed by these individual Societies. Admittedly, the said resolutions

were not produced alongwith the Consent Terms. Clause No.7 of the

Consent Terms inter alia clearly records that the Federation and

Societies have arrived at a settlement arrangement. Clause No.10

clearly records that all the disputes between the parties shall stand

mutually and amicable resolved/ or settled on the terms recorded in

the Consent Terms. Clause 10.5 provides that the Federation and the

Societies agreed to compensate, through Ruparel Buildcon Pvt. Ltd. i.e.

Respondent No.13, Nikalje's (including Aadishakti) a sum of

Rs.69,83,44,800/- in the manner more particularly set out in the said

clause. Clause No.10.6 of the Consent Terms provides that the

Federation and the Societies agree to compensate, through Ruparel i.e.

Respondent No.13, Bhatt Group (AG & PL and KKB) a sum of

Rs.58,74,80,000/- in the manner set out in the said clause. A perusal

of the Consent Terms clearly show that the same are very elaborate

and there are certain financial obligations to be performed by the

Societies through Respondent No.13. In any case, the resolutions of the

Societies produced by the Respondent No.1 in the affidavit-in-reply

22 of 30 Pallavi rpw-3-2022 - siddharth colony.doc

filed in the present Review Petition do not show that the elaborate

terms and conditions contained in the Consent Terms are approved by

the Managing Committees of these Societies, assuming that the

Managing Committee of such societies have got power to pass such

resolutions.

20. Various contentions raised by the learned Senior Counsel

particularly, that after disposal of the Writ Petition in terms of the

Consent Terms, 51% of the slum dwellers have given their consent in

favour of Respondent No.13, LOI has been issued, Respondent No.13

has incurred substantial expenditure on making payments to the

erstwhile developers, SRA has approved building plans of rehab

building, certain procedures being not strictly followed is not relevant

and granting relief under Article 226 of the Constitution of India is

discretionary, are all to be considered while considering the merits of

the case in the Writ Petition.

21. In this particular case, Writ Petitions have been disposed of

by the order under review in terms of the Consent Terms. The entire

basis of the Consent Terms are the resolutions passed by the respective

23 of 30 Pallavi rpw-3-2022 - siddharth colony.doc

Co-operative Housing Societies and admittedly, the said resolutions

were not produced alongwith Consent Terms, although an impression

is created that the said resolutions are annexed as Annexure - 9 to the

Consent Terms. There is grave doubt whether the said resolutions

purported to be passed by the respective Societies are genuine

resolutions. As set out hereinabove, on the three societies,

Administrators were appointed and therefore, Committee members of

said Societies have no power to pass the resolutions and to sign on the

letterhead of the said Societies. Thus, there is material on record to

show that the said resolutions purported to be passed by these three

Societies are not genuine resolutions.

22. Mr. Samdani, the learned Senior Counsel is right in

contending that as relief under Article 226 is discretionary relief

various factors are required to be taken into consideration, and the

same principle will apply to the Review Petition. In the present, case

order under review is passed in terms of the Consent Terms and not on

merits. However, the most crucial document which is the basis of the

Consent Terms is not produced before this Court and therefore, the

Court was precluded from examining several aspects and therefore the

24 of 30 Pallavi rpw-3-2022 - siddharth colony.doc

submissions of learned Senior Counsel will not apply to the present

case.

23. Mr. Aspi Chinoy, learned Senior Counsel submitted that the

Consent Terms will not bind the Societies and will bind only the

Federation. However, the same submission is required to be rejected

for more than one reason. Firstly, it is admitted position that no

General Body Meeting was held of the Federation approving the

consent Terms. Secondly, Consent Terms specifically mentions that

authority to enter into the Consent Terms are the resolutions passed by

the respective Societies. Thirdly, there is grave doubt about the

genuineness of the resolutions purported to be passed by the said

Societies, produced along with the affidavit-in-reply filed by the

Respondent No.1 in Review Petition. Effect of accepting the submission

of the learned Senior Counsel will be that the Consent Terms will bind

all the members of the Societies as Societies are members of the

Federation without they passing the resolution approving the Consent

Terms.

24. The Supreme Court in the case of Inderchand Jain (Dead)

Through LRs. Vs. Motilal (Dead) Through LRs .5, in paragraph 33, has 5 (2009) 14 SCC 663

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set out the parameters of review jurisdiction. Relevant portion of the

said paragraph 33 is reproduced herein below:

"33.The High Court had rightly noticed the review jurisdiction of the court, which is as under:

"The law on the subject--exercise of power of review, as propounded by the Apex Court and various other High Courts may be summarized as hereunder:

(i) Review proceedings are not by way of appeal and have to be strictly confined to the scope and ambit of Order 47 Rule 1 CPC.

(ii) Power of review may be exercised when some mistake or error apparent on the fact of record is found. But error on the face of record must be such an error which must strike one on mere looking at the record and would not require any long drawn process of reasoning on the points where there may conceivably be two opinions.

(iii) Power of review may not be exercised on the ground that the decision was erroneous on merits.

(iv) Power of review can also be exercised for any sufficient reason which is wide enough to include a misconception of fact or law by a court or even an advocate.

(v) An application for review may be necessitated by way of invoking the doctrine 'actus curiae neminem gravabit'."

(Emphasis added)

24. The Supreme Court in the case of Perry Kansagra Vs.

26 of 30 Pallavi rpw-3-2022 - siddharth colony.doc

Smriti Madan Kansagra6, made a reference to paragraph 90 of the

judgment in the matter between BCCI Vs. Netaji Cricket Club7 in

paragraph 16, which reads thus:

"16. On the other hand, reliance was placed by the respondent on the decision in BCCI Vs. Netaji Cricket Club to submit that exercise in review would be justified if there be misconception of fact or law. Para 90 of said decision was to the following effect:

"90. Thus, a mistake on the part of the court which would include a mistake in the nature of the undertaking may also call for a review of the order. An application for review would also be maintainable if there exists sufficient reason therefor. What would constitute sufficient reason would depend on the facts and circumstances of the case. The words "sufficient reason" in Order 47 Rule 1 of the Code are wide enough to include a misconception of fact or law by a court or even an advocate. An application for review may be necessitated by way of invoking the doctrine "actus curiae neminem gravabit"."

(Emphasis added)

25. It is clear that power of review is to be exercised when

some mistake or error apparent on the face of the record is found

or even for sufficient reason. In this particular case, the order

under review is passed in terms of the Consent Terms. The Consent 6 (2019) 20 SCC 753 7 (2005) 4 SCC 741

27 of 30 Pallavi rpw-3-2022 - siddharth colony.doc

Terms specifically records that the authority to execute the Consent

Terms are the resolutions passed by the respective Societies dated

30th October 2020 and all these resolutions are produced as

Annexure- 9 to the Consent Terms. Admittedly, the said resolutions

were not produced before this Court when the order under review

was passed. Thus the present case is covered by the parameters set

out by the Supreme Court. As discussed earlier, there is grave

doubt about the genuineness of the purported resolutions passed

by these Societies. As the resolutions passed by the Societies were

not produced before this Court when the order sought to be

reviewed was passed, there was no occasion for this Court to

examine various aspects regarding the said resolutions. Therefore,

this Review Petition is required to be allowed.

26. It is specifically clarified that all the contentions raised

by the contesting Respondents even including subsequent events

can be considered while deciding the Writ Petition on merits.

27. In view of the above discussion, the following order is

passed:

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ORDER

(i) Order dated 1st March 2021 passed in Writ Petition

No.2482 of 2012 is recalled and the same is set aside

and Writ Petition No.2482 of 2012 is restored to the

file;

(ii) Review Petitioner Nos.1 to 15 and Chembur Siddharth

Colony Shatabdi Co-operative Housing Society Ltd.,

Pranali Co-operative Housing Society Ltd. and

Siddharth Nagar Samjhota Co-operative Housing

Society Ltd. are directed to be impleaded as the

Respondents in Writ Petition No.2482 of 2012;

(iii) It is clarified that we have not considered the merits of

the dispute involved in the Writ Petition and the same

is expressly kept open;

(iv) It is further clarified that various contentions raised by

the contesting Respondents as far as the merits of the

said Redevelopment Scheme are concerned, are

expressly kept open and the same can be agitated in

the said Writ Petition No.2482 of 2012;

          (iv)    Review Petition is allowed and disposed of in above


                                                                                          29 of 30
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                     terms;

(v) In view of disposal of the Review Petition, all Interim

applications do not survive and the same are disposed

of accordingly.

(MADHAV J. JAMDAR, J) (S.V. GANGAPURWALA, J)

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