Saturday, 25, Apr, 2026
 
 
 
Expand O P Jindal Global University
 
  
  
 
 
 

Shiv Nath Choudhary vs Ndmc & Ors.
2011 Latest Caselaw 5200 Del

Citation : 2011 Latest Caselaw 5200 Del
Judgement Date : 24 October, 2011

Delhi High Court
Shiv Nath Choudhary vs Ndmc & Ors. on 24 October, 2011
Author: Hima Kohli
*         IN THE HIGH COURT OF DELHI AT NEW DELHI

                                            Reserved on : 21.09.2011
                                            Pronounced on: 24.10.2011

+                  W.P.(C) 4743/2011 and 5254/2011

IN THE MATTERS OF

SHIV NATH CHOUDHARY            ..... Petitioner in W.P.(C) 4743/2011
RAM DASS                       ..... Petitioner in W.P.(C) 5254/2011

                   versus

NDMC & ORS.                                            ..... Respondents


Alongwith      W.P.(C)  2601/2011,  2602/2011,                3052/2011,
4347/2011,     4559/2011, 4593/2011, 4610/2011,               4650/2011,
4651/2011,     4649/2011, 4722/2011, 4739/2011,               5046/2011,
5051/2011,     5157/2011, 4775/2011, 4827/2011,               4923/2011,
5024/2011,     5028/2011, 5247/2011, 5255/2011,               5257/2011,
5258/2011,     5261/2011, 5262/2011, 5263/2011,               5264/2011,
5277/2011,     5292/2011, 5312/2011, 5317/2011,               5402/2011,
5403/2011,     5420/2011, 5405/2011, 5408/2011,               5410/2011,
5411/2011,      5413/2011, 5418/2011, 5423/2011,              5444/2011,
5473/2011,     5484/2011, 5485/2011, 5497/2011,               5498/2011,
5503/2011,     5504/2011, 5505/2011, 5506/2011,               5507/2011,
5508/2011,     5595/2011, 5614/2011, 5615/2011,               5616/2011,
5618/2011,     5627/2011, 5630/2011, 5631/2011,               5643/2011,
5645/2011,     5654/2011, 5656/2011, 5711/2011,               5717/2011,
5718/2011,     5728/2011, 5729/2011, 5731/2011,               5732/2011,
5737/2011,     5738/2011, 5739/2011, 5743/2011,               5761/2011,
5784/2011,     5785/2011, 5791/2011, 5794/2011,               5797/2011,
5798/2011,     5822/2011, 5911/2011, 5918/2011,               5928/2011,
5931/2011,     5933/2011, 5934/2011, 5935/2011,               5957/2011,
5965/2011,     5966/2011, 5967/2011, 5968/2011,               5969/2011,
5970/2011,     5974/2011, 6096/2011, 6100/2011,               6101/2011,
6102/2011,     6107/2011, 6108/2011, 6114/2011,               6115/2011,
6116/2011,     6117/2011, 6118/2011, 6119/2011,               6120/2011,
6121/2011,     6122/2011, 6123/2011, 6144/2011,               6250/2011,
6270/2011,     6271/2011, 6449/2011, 6527/2011,               6528/2011,
6529/2011,     6530/2011, 6531/2011, 6532/2011,               6533/2011,
6534/2011,     6538/2011, 6555/2011, 5173/2011,               3181/2011,
3185/2011,     3189/2011, 3196/2011, 4340/2011,               4342/2011,

W.P.(C) 4743/2011, 5254/2011 & connected matters           Page 1 of 28
 4343/2011,     4344/2011, 4345/2011, 4349/2011,                 4350/2011,
4352/2011,     4354/2011, 4356/2011, 4358/2011,                 4359/2011,
4360/2011,     4361/2011, 4362/2011, 4363/2011,                 4364/2011,
4365/2011,     4366/2011, 4367/2011, 4368/2011,                 4369/2011,
4370/2011,     4371/2011, 4372/2011, 4373/2011,                 4374/2011,
4375/2011,     4377/2011, 4387/2011, 4388/2011,                 4389/2011,
4391/2011,     4392/2011, 4393/2011, 4395/2011,                 4396/2011,
4397/2011,     4398/2011, 4399/2011, 4400/2011,                 4402/2011,
4404/2011,     4405/2011, 4406/2011, 4407/2011,                 4408/2011,
4409/2011,     4410/2011, 4412/2011, 4413/2011,                 4414/2011,
5341/2011,     4847/2011, 4859/2011, 4887/2011,                 4990/2011,
5063/2011,     5089/2011, 5099/2011, 5114/2011,                 5115/2011,
5117/2011,     5129/2011, 5139/2011, 5144/2011,                 6667/2011,
6668/2011,     6669/2011, 6670/2011, 6684/2011,                 6701/2011,
6708/2011,     6799/2011, 6824/2011, 6825/2011,                 6826/2011,
6827/2011,     6896/2011, 6901/2011, 6902/2011,                 6903/2011,
6904/2011,     6905/2011, 6906/2011, 6907/2011,                 6908/2011,
6909/2011,     6910/2011, 6917/2011, 6919/2011,                 6920/2011,
6921/2011,    6922/2011 and 6932/2011.


Present:    Mr. B. B. Sawhney, Sr. Advocate with Mr. Ankan Suri, Mr.
            Lakshay Sawhney, Mr. Ankur Suri and Mr. Sunil Kumar,
            Advocates for the petitioners.

            Mr. Sumit Kumar Singh, Mr. Anand Shailani, Mr. Satish Kumar
            Tripathi, Mr. N.K. Sahoo, Mr. R.N.Singh, Mr. M.R. Singh, Mr.
            Ramesh K. Mishra, Mr. Surender Pandit, Mr. Navjot Kumar,
            Mr. Mahendra Singh, Mr.Sunder Lal Juneja, Mr. Pranesh, Mr.
            B.B. Bhatia, Mr. Navjot Kumar and Mr. Satish Chand Gupta,
            Mr. Pranesh, Mr. Sahil Kapoor, Ms. S. Fatima, Mr. Jagdeep Kr.
            Sharma, Ms. Rani Chhabra, Ms. Rupinder Kaur, Ms. Ferida
            Satarawala, Mr. R.N. Singh, Mr. Vikas Batra, Mr. V.P. Rana
            and Mr. Navjot Kumar, Advocates for the petitioners.

            Ms. Madhu Tewatia, Ms. Sidhi Arora, Mr. Vinod Kumar,
            Mr.Arjun Pant, Mr. Ashutosh Lohia and Mr. Vinod Wadhwa,
            Advocates for the respondent/NDMC.

            Mr. Najmi Waziri, Standing Counsel, Mr. Bhupesh Narula, Mr.
            Sanjay Sahay, Ms. Farida Satarwala Chopra, Mr. Sachin Datta,
            Mr. Abhimanyu Kumar and Ms. Rachna Saxena, Advocates for
            the respondent/GNCTD.

            Ms.   Navratan    Chaudhary,     Mr.   H.S.   Sachdeva,   Mr.   D.

W.P.(C) 4743/2011, 5254/2011 & connected matters             Page 2 of 28
               Rajeshwar Rao, Mr. Vikram Aggarwal and Mr. Shariq
              Mohammad, Advocates for the respondent/Delhi Police.

        CORAM
        HON'BLE MS.JUSTICE HIMA KOHLI

     1. Whether Reporters of Local papers may        Yes
        be allowed to see the Judgment?

     2. To be referred to the Reporter or not?       Yes

     3. Whether the judgment should be               Yes
        reported in the Digest?

HIMA KOHLI, J.

1. This common judgment shall dispose of the petitions filed by the

petitioners/vendors as the issues raised in these writ petitions are

common. For the sake of convenience, facts of W.P.(C) 4743/2011 are

taken note of.

2. The focus of the lengthy arguments addressed by both sides

revolves around an order dated 15.07.2011 passed by the Supreme Court

on some miscellaneous applications presented in W.P.(C) 1699/1987

entitled Gainda Ram & Ors. vs. NDMC & Ors., which matter was decided

on 08.10.2010 by issuing exhaustive directions. Before proceeding to

deal with the respective arguments addressed by the learned counsels for

the petitioners/vendors and the respondent/NDMC, it would be

appropriate to set out the aforesaid order dated 15.07.2011, which is the

bone of contention and is reproduced hereinbelow:-

"Heard learned counsel for the applicants and perused the record.

Since judgment of this Court has so far not been implemented, inasmuch as appropriate legislation has not been enacted by the competent legislature, we direct the parties to maintain the status quo as it is obtaining today."

3. It was the submission of the learned counsel for the

respondent/NDMC that the aforesaid order issued by the Supreme Court,

calling upon the parties to maintain status quo as obtaining on

15.07.2011, can only be interpreted to mean that the extensive directions

issued earlier, on 08.10.2010, in the case of Gainda Ram (supra) reported

as (2010) 10 SCC 715 shall continue to remain in operation, including

the adjudicatory mechanism provided for by the NDMC in the scheme

presented by it before the Supreme Court and approved in the said

judgment, till the appropriate government enacts a law for regulating

urban street hawkers and street vendors. It was stated that simply

because the legislature has not enacted a law in this regard on or before

30.06.2011, as directed in the aforesaid judgment, it cannot be

contended by the petitioners/vendors that there exists a vacuum and the

said vacuum can no longer be filled up by continuing to regulate the

vending activities in the NDMC jurisdiction in the manner as set out in the

aforesaid judgment.

4. To give a brief background of the dispute, learned counsel for the

respondent/NDMC walked this Court through some prominent decisions of

the Supreme Court rendered from time to time, which relate to pavement

squatters/hawkers, starting from the decision in the case of Sodan Singh

vs. NDMC & Ors. reported as (1998) 2 SCC 727, the interim order dated

03.03.2006 passed by the Supreme Court in W.P.(C) 1699/1987

entitled Sudhir Madan & Ors. vs. MCD, the final judgment in the case of

Sudhir Madan (supra) reported as (2009) 17 SCC 597 and lastly, the

judgment dated 08.10.2010 passed in the case of Gainda Ram (supra).

5. Learned counsel for the respondent/NDMC vehemently opposed the

prayer of the petitioners/vendors for grant of interim orders restraining

the respondent/NDMC from removing them from the sites occupied by

them till the enactment of an appropriate legislation, in terms of the

directions issued by the Supreme Court in the case of Gainda Ram

(supra). She particularly referred to the observations made by the

Supreme Court in paras 40 and 41 of the judgment in the case of Sodan

Singh (supra), which dealt with the immediate eviction of unauthorized

squatters/hawkers and laid emphasis on the fact that in the said case, the

Supreme Court had directed removal of unauthorized squatters/hawkers

without awaiting final allotment of sites to be allotted to eligible claimants

at the places recommended by the Thareja Committee or suggested by

the NDMC.

6. Again, in the interim order dated 03.03.2006 passed in Sudhir

Madan‟s case (supra), the following observation made by the Supreme

Court was highlighted by the counsel for the respondent/NDMC:-

"While we undertake this exercise, we direct the Authorities to see to it that those persons, who are carrying on hawking activities or who are squatting on public land without any authority, even in accordance with the present day scheme in force, are removed forthwith. This includes unauthorized hawking, squatting on public streets, footpaths and public parks, including playground. We direct the Delhi Administration to take steps immediately in collaboration with MCD and NDMC with necessary assistance from Delhi Police to clear the roads, streets, footpaths, parks etc. by unauthorized occupants/squatters/hawkers."

7. As to the judgment dated 17.05.2007 rendered in the case of

Sudhir Madan (supra), much emphasis was laid by the counsel for the

respondent/NDMC on paras 28 to 30 and 35, which are reproduced

hereinbelow for ready reference:-

"28. The New Delhi Municipal Committee has also submitted its Scheme. We have considered the Scheme submitted before us. The area which falls under NDMC does not create problems such as those in the areas under MCD. However, in the said Scheme reference has been made to persons who do not have permission under Section 225 or licence under Section 330 of the NDMC Act, 1994 but who are unauthorisedly continuing to carry on business as hawkers/street vendors. They have been described as those who are "tolerated" in the NDMC area. We fail to understand why any person who violates the law should be tolerated. Either they should be compelled to obey the law or the law may be suitably amended, if it is found to create undue hardship. The problems need to be addressed by the legislature or the rulemaking authority. We, therefore, observe that if it is felt that the persons who fall in this category require special protection, the Act may be suitably amended to cover their cases or else the number of such illegal squatters may increase from time to time.

29. There has been no serious objection to the Scheme submitted by NDMC which is a comprehensive scheme. Certain directions have, however, been sought for from this Court. We approve the Scheme submitted by NDMC.

30. It is submitted before us that the Schemes which have been approved by this Court must be subject to any Act or rules that may be framed in consonance with the National Policy on Urban Street Vendors. It goes without saying that we have approved the Schemes as framed by MCD and NDMC. If the legislature intervenes and frames another scheme or regulations governing such Schemes, that will certainly supersede the Schemes prepared by MCD and NDMC. It is well settled that any administrative action is always subject to law that may be framed by the competent legislature.

35. Subject to the aforesaid modifications/changes in the Schemes submitted by MCD and NDMC, the same are approved. The said authorities shall now take appropriate steps to implement the Scheme forthwith. In case of any difficulty faced by them in implementing the schemes, they shall have the liberty to apply to this Court."

8. Lastly, in the recent judgment in the case of Gainda Ram (supra),

learned counsel for the respondent/NDMC specifically relied upon paras

30, 32, 50 to 66 to state that the Supreme Court was conscious of the

fact that a structured regulation and legislation is urgently required to

control and regulate the fundamental right of hawking. She also pointed

out that the three tier disputes redressal mechanism set out in the

affidavit filed by the then Chairperson of the NDMC was taken note of by

the Supreme Court in para 72 of the aforesaid judgment and in para 73, it

was then observed as below:-

"73. In paragraph 12 of the affidavit it has been stated that there shall be an Appellate Authority which shall attend to the redressal of grievances of squatters, hawkers, traders, residents or any other person by hearing appeals against the decision of the Vending Committee (Main). Paragraph 12 of that affidavit is set out below:-

There shall be an Appellate Authority. On the forwarding of petitions received by the Chairperson, this Authority shall attend to redressal of grievances of squatters, hawkers, traders, residents or any other person. The Authority shall also hear appeals against the decision of Vending Committee (Main). Decisions of this Authority unless challenged before a Higher Forum or in any Competent Court, shall be final. This Authority shall be initially headed by a person appointed by the Chairperson having at least 10 years legal or judicial background. There can be more than one member in this Authority."

9. After making the aforesaid observations, in paras 74 to 76 of the

judgment, the Supreme Court went on to observe as below:-

"74. In the said affidavit, which was affirmed before this Court on 24th August, 2010 it has been stated that NDMC shall comply with the orders which would be passed by the adjudicatory mechanism contemplated in the scheme and which has been approved by this Court for the NDMC area, unless such orders are made subject matter of challenge before a higher forum or in any other competent Court.

75. In view of such schemes, the hawkers, squatters and vendors must abide by the Dispute Redressal scheme mentioned above. There should not be any direct approach to this Court by way of fresh petition or IAs, bypassing the Dispute Redressal Mechanism provided in the scheme.

76. However, before 30th June, 2011, the appropriate Government is to enact a law on the basis of the Bill mentioned above or on the basis of any amendment thereof so that the hawkers may precisely know the contours of their rights."

10. It was thus sought to be contended on behalf of the

respondent/NDMC that there can be no vacuum as far as regulation of

trade of street hawkers/vendors in the NDMC jurisdiction is concerned and

the failure on the part of the legislature to abide by the timeline set out

by the Supreme Court in the case of Gainda Ram (supra), by putting in

place a statute on or before 30.06.2011, cannot be interpreted by the

petitioners/vendors to mean that they can continue their trade

unhindered at any place of their choice in the NDMC jurisdiction, in an

unregulated manner and without any obstruction or objection from the

NDMC.

11. Learned counsel for the respondent/NDMC particularly referred to

paras 74 and 75 of the aforesaid judgment to state that the dispute

redressal scheme, noticed by the Supreme Court in para 75 was the one

that was legally functioning in NDMC jurisdiction and which was taken

note of by the Court in the preceding para 74. In other words, she stated

that the scheme as set out in the affidavit dated 24.08.2010, filed by the

then Chairperson of NDMC before the Supreme Court in Gainda Ram‟s

case (supra), was the one which was finally approved by the Supreme

Court. She further submitted that assuming, without admitting, that the

dispute redressal scheme set out by the NDMC had lapsed on 30.6.2011,

as claimed by the petitioners, then the NDMC Act provides an adequate

fallback to ensure orderly management of vendors in the area. Specific

reference was made in this regard to the provisions contained in Sections

221, 224, 225 and 226 of the said Act.

12. It was further argued by the counsel for the respondent/NDMC that

the application filed by the NDMC before the Supreme Court in July 2011

praying inter alia for extension of time to regulate hawkers/squatters in

the NDMC area, as per the scheme mentioned in the judgment in Gainda

Ram‟s case (supra), till the enactment of a law by the legislature in that

regard, had not yet been finally disposed of by the Supreme Court at the

time of passing of the status quo order dated 15.07.2011 and similarly,

the other application filed by one of the hawkers/vendors praying inter

alia for restraining the respondent/NDMC from granting Tehbazari rights

to the winners of the lucky draw of lots for allotment, which was to be

held on 12.05.2011 or any date thereafter, was also pending

consideration before the Supreme Court. Hence, no finality could be

attached to the order dated 15.7.2011 which can only be considered an

interim measure till the final disposal of the aforesaid applications or the

enactment of a legislation.

13. On merits, learned counsel for the respondent/NDMC referred to the

affidavit dated 01.08.2011 filed by the Director (Enforcement), NDMC,

wherein it was stated that pursuant to the public notice issued by the

NDMC inviting applications under the NDMC Urban Street Vending

Scheme in the year 2007, the respondent/NDMC had received 4367

applications. The documents required by the applicants for registration

under the Scheme included a proof of age, documentary proof/affidavit

for the purpose of annual income, proof of residence, proof in support of

special categories like handicapped, Kashmiri migrants etc. and proof of

squatting in the NDMC area, if any. In para 4 of the aforesaid affidavit,

the following criteria approved/adopted by the Vending Committee to

shortlist the eligible applicants is set out:-

"4. That the criteria approved/adopted by the Vending Committee to shortlist the eligible applicants is as under:-

(i) The applicants should be resident of Delhi with his name registered in electoral rolls as per abstract of photo E-Roll or ERO certificate.

(ii) The applicant should be a major, viz. with over 18 years of age as per valid birth certificate or age certificate or school certificate etc.

(iii) The applicant should be a needy as per income records of DC (Revenue) or as vulnerability records of Government of NCT of Delhi (Samajik Suvidha Sangam: vulnerable and most vulnerable category).

(iv) The applicant should be registered as per NDMC Street Vendors Scheme. The policy verification of the applicant should be available.

(v) The applicant or his dependent family member should not be employed or should not have any other tehbazari/vending or any other business premises in Delhi as per record verification of NDMC/MCD.

(vi) Preference will be given to applicants who are physically handicapped or widows or senior citizens above 60 years or Kashmiri migrants or SC/ST (necessary certificate to be submitted and relaxation may be given in the above criteria)."

14. As per the respondent/NDMC, the category-wise list of eligible

shortlisted applicants in terms of the aforesaid criteria totalled to 3878

applicants. The affidavit dated 01.08.2011 states that the

respondent/NDMC has identified 183 new spaces, in addition to the 203

remaining spaces identified by the Thareja Committee in the NDMC area,

which were available for allotment, thus taking the total number of

available spaces to 386. It was further stated that due to factors like de-

listing of the Parliament Street on security grounds, construction of

flyovers and Metro Stations at various locations in the NDMC jurisdiction,

the number of authorized tehbazari squatters has changed from 348 to

404 in number. The number of applicants, who the respondent/NDMC

claims, are vending unauthorisedly at Connaught Place, Sarojini Nagar,

Parliament Street and Janpath areas and in whose favour, status quo

orders are operating, is stated to be 323 in number. The affidavit asserts

that simply because the names of the petitioners, who are registered with

the NDMC, figure in the eligibility list drawn by the respondent/NDMC,

cannot be treated as proof of their regularly vending in the NDMC area

and nor does it confer on them any enforceable vested right to ensure a

vending space for them in the NDMC area, which is directly dependent on

the number of spaces available. Thus, it was contended that neither the

possession of any number of challans, nor the absence thereof can make

a difference, for the reason that challans cannot form the basis for the

petitioners to claim any vested legal right to squat at a given space.

15. Counsel for the respondent/NDMC asserted that the present

petitions are not maintainable inasmuch as the petitioners have an

equally efficacious alternate remedy of approaching the appellate

authority constituted by the Chairperson, NDMC, for redressal of their

grievances and failure on their part to have approached the Vending

Committee is not on account of the fact that the said Committee including

the appellate authority is not functioning, but because they have found it

more convenient to bypass the aforesaid forum and approach this Court

directly, which is not permissible. She stated that extensive measures

have been taken by the respondent/NDMC to constitute the adjudicatory

mechanism by way of a three tier system in the following manner:-

1. Vending Sub-Committee (Site of Spaces),

2. Vending Sub-Committee (Heath and Hygiene) and

3. Vending Sub-Committee (Enforcement).

16. She stated that the creation of the aforesaid three Vending Sub-

Committees, Vending Committee (Main), as also of the appellate authority

which was constituted to redress the grievances of the squatters,

hawkers, traders, residents or any other person against the decision of

the Vending Committee (Main), was placed before the Supreme Court for

consideration and the said three tier adjudicatory mechanism was duly

approved in the judgment of Gainda Ram (supra).

17. Per contra, learned counsels for the petitioners/vendors, who

appeared on different dates, vehemently opposed the aforesaid stand

taken by the respondent/NDMC and asserted that the scheme floated by

the respondent/NDMC for regulating vending activities in its jurisdiction

had lapsed on 30.06.2011 in the absence of the enactment of a legislation

as per directions of the Supreme Court in the case of Gainda Ram (supra)

and as on date, there is no scheme in existence. It was canvassed that

the implication of the aforesaid order of status quo passed by the

Supreme Court on 15.07.2011 can only mean that irrespective of the fact

whether the squatting is legal or illegal, the same be permitted to

continue on an „as is where is‟ basis, and such status quo is to be

maintained by all the parties till a law is framed by the legislature.

18. Mr. B.B. Sawhney, Sr. Advocate appearing for the

petitioners/vendors submitted that in the case of Gainda Ram (supra), the

Supreme Court had directed that the appropriate government must enact

a law on or before 30.06.2011 so that the hawkers may precisely know

the contours of their rights, hence the dispute redressal mechanism

provided for in the scheme mentioned in the aforesaid judgment could

operate only upto 30.06.2011 and thereafter, the said scheme would

automatically stand lapsed. He stated that no other interpretation can be

given to the order dated 15.07.2011, directing maintenance of status quo,

in view of the qualifying words, "as it is obtaining today". He argued that

if the scheme was continuing to operate, as claimed by the learned

counsel for the respondent/NDMC, then there was no good reason for the

respondent/NDMC to have refrained from holding a draw of lots, which

was slated for the same day, i.e., 15.07.2011, and that fact of the matter

is that even the respondent/NDMC had understood the status quo order

to mean that there is no scheme in place after 30.6.2011, for the reason

that in para 68 of the aforesaid judgment in the case of Gainda Ram

(supra), all the writ petitions and the interim applications filed before the

Supreme Court were disposed of with clear and specific directions that the

problem of hawking and street vending could be regulated by the

schemes framed by the NDMC and MCD only upto 30.06.2011 and not

thereafter. It was asserted on behalf of the petitioners/vendors that as

on date, the directions of the Supreme Court that status quo is to be

maintained by the parties can only be given one interpretation, which is

that till a law is ultimately enacted by the Parliament, irrespective of their

legal status, all the petitioners/vendors would be permitted to continue

squatting/hawking at the sites that have been occupied by them.

19. Insofar as the composition of the dispute redressal mechanism is

concerned, learned Senior Advocate for the petitioners submitted that

contrary to the understanding of the respondent/NDMC, the scheme

reproduced at paras 72 and 73 in the judgment in the case of Gainda Ram

(supra), was not the one which was actually recognized by the Supreme

Court, and rather it is the dispute redressal scheme mentioned in para 75

of the aforesaid judgment i.e., a scheme for urban street vendors for

NDMC area as formulated in the year 2006, which was ultimately

approved by the Supreme Court on 17.05.2007, in the case of Sudhir

Madan (supra), which is the scheme which finds mention specifically in

the following para 74 and is the one approved by the Supreme Court. It

was contended that even otherwise, the National Capital Territory of Delhi

Laws (Special Provisions) Act, 2011 (hereinafter referred to as „Special

Provisions Act') comes to the rescue of the petitioners for the reason

that sub-clause (2) of Section 3 of the Special Provisions Act mandates

maintenance of status quo as on 01.01.2006, notwithstanding any

judgment, decree or order of any court, in respect of encroachment or

unauthorized development. Thus, it was submitted on behalf of the

petitioners/vendors that they were entitled to grant of interim protection

till the enactment of a legislation to regulate hawking/vending activities in

urban streets in Delhi on the basis of the National Policy on Urban Street

Vendors, 2009 framed on 17.06.2009 and the Special Provisions Act.

20. With reference to the Special Provisions Act, learned Senior

Advocate for the petitioners stated that the phrase, "unauthorized

development" used in the definition clause has to be seen in the same

context as the one in which the phrase "encroachment" has been defined,

wherein it is mentioned that putting up of temporary, semi-temporary or

permanent structure for residential use or commercial use or any other

use, and the placement of goods on the pavements by the petitioners is

liable to be termed as unauthorized use for maintaining status quo under

the Special Provisions Act. Much emphasis was laid on the averments

made by the respondent/NDMC in its interim application filed before the

Supreme Court in Gainda Ram‟s case (supra) in July 2011, to submit that

the respondent/NDMC itself had stated in the said application that the

scheme had lapsed and therefore, the only interpretation that can be

given to the status quo order passed by the Supreme Court on

15.07.2011 can be that no scheme would exist after 30.06.2011 and

thus, the benefit of the Special Provisions Act ought to be extended to the

petitioners. He submitted that the phrase „street vendors‟ has been

clearly defined under the National Policy on Urban Street Vendors, 2009.

Reliance was placed in the case of Patri Vyapar Mandal Delhi (Regd.) vs.

MCD Town Hall & Ors. reported as (2009) 12 SCC 475 and the

provisions of the Special Provisions Act to submit that even the Supreme

Court had recognized the fact that the Special Provisions Act is the only

Central law governing the field and it would have primacy over other

Statutes and administrative orders. It is thus stated that the provisions

of the NDMC Act cannot be invoked by the respondent/NDMC as the said

Act is not in consonance with Article 96 of the Constitution of India and

furthermore, the Special Provisions Act being valid till the end of

December 2011, no orders in derogation of the provisions of the said Act

can be passed.

21. Mr. S.K. Tripathi, Advocate appearing for some of the

petitioners/vendors sought to embellish the submissions of Mr.Sawhney,

Sr.Advocate and relied on the orders passed in W.P.(C) 1449/2011

entitled Mohd. Ismail vs. NDMC & Ors. to urge that the "Appellate

Authority" constituted under the dispute redressal mechanism for the

NDMC area, has not been functioning, which fact he stated is borne out

from a perusal of the order dated 08.03.2011 passed in the aforesaid

case, wherein the Court took notice of the claim of the petitioner/vendor

therein to the effect that inspite of orders passed by the Appellate

Authority allowing squatting at a particular site, till a final determination

by the Vending Committee as to his eligibility, the respondent/NDMC and

the police were disturbing his activities. In the aforesaid order, the

statement of the counsel for the respondent/NDMC was recorded to the

effect that the appellate authority, whose order was being relied upon by

the petitioner therein, was constituted initially for the MCD areas and later

started functioning for the NDMC areas as well for the reason that at that

time, there was no separate appellate authority for the NDMC areas, but

subsequently, in accordance with the scheme approved by the Supreme

Court, the Chairperson, NDMC had constituted a separate appellate

authority for the NDMC areas. Therefore, the appellate authority

appointed earlier had ceased to have jurisdiction qua the NDMC areas. It

was thus contended on behalf of the petitioners/vendors that the

aforesaid order clearly indicates that the appellate authority in the NDMC

areas is not functioning.

22. Reliance was also placed on the minutes of the meeting of the

Vending Committee dated 11.03.2010, to claim that if the fact of whether

there was actual squatting/vending was verified by the Committee and if

the names of the petitioners/vendors figured in the eligibility list prepared

by the respondent/NDMC for holding the draw of lots, then it did not lie in

the mouth of the respondent/NDMC to claim that the petitioners, who had

been verified and found to be eligible, were not entitled to squat at

various sites in the NDMC area after 30.06.2011.

23. In rebuttal, counsel for the respondent/NDMC disputed the

contentions of the petitioners/vendors and while reiterating her earlier

submissions, asserted that the petitioners did not have any legally

enforceable right, created on the basis of the eligibility list drawn by

NDMC, for claiming grant of interim orders in their favour. She again

referred to paras 68, 69, 75, 76 and 78 of the judgment in the case of

Gainda Ram (supra), to emphasize that when the aforesaid paras are

read collectively, it is clear that the petitioners cannot claim an

entitlement to any interim orders as sought by them in the present

proceedings. She further stated that even otherwise, the Special

Provisions Act relied upon by the petitioners has duly recognized the

schemes prepared by the local authorities in the National Capital Territory

of Delhi for regulation of urban street vendors. To substantiate the said

submission, she drew the attention of this Court to the preamble of the

aforesaid Act, which mentions the fact that all the schemes prepared by

the local authorities in the National Capital Territory of Delhi, for

regulation of urban street vendors in accordance with the National Policy

on Urban Street Vendors, 2009 and the Master Plan for Delhi 2021, have

been implemented and further that more time is required for proper

implementation of the schemes regarding hawkers and urban street

vendors.

24. A specific reference was made by the learned counsel for the

respondent/NDMC to Section 2(1)(c) of the Special Provisions Act, which

defines the phrase "encroachment" to claim that it does not cover the

petitioners herein, who are squatters. Further reference was made to the

provision of Section 3 of the Special Provisions Act, which contains a non

obstante clause, to state that status quo with regard to the encroachment

or unauthorized development as on 01.01.2006, mentioned in the said

provision, was in the context of the definition of the phrases

"encroachment" and "unauthorized development" set out in the definition

clause at Sections 2(1)(c) and 2(1)(i) respectively of the Special

Provisions Act and thus, the petitioners/vendors did not qualify under the

aforesaid enactment for claiming protection as none of the ingredients set

out in the provisions of the aforesaid enactment are found to exist in their

case. It was submitted that the Special Provisions Act, which came into

effect in the year 2007 and has been extended from time to time and

lastly, till December 2011, does not give permission to persons to re-start

any activity once they have been removed by the civic authority and

similarly, the Scheme of 2009 does not entitle the registrants to squat

unless they have been allotted a specific site. In support of the aforesaid

submission, reliance was place on the judgment in the case of MCD vs.

Gurnam Kaur reported as (1989) 1 SCC 101. For the purpose of

interpreting the meaning of the phrase, "structure", reference was made

to the judgment of the Supreme Court in the case of Municipal

Corporation of Greater Bombay & Ors. vs. Indian Oil Corporation Ltd.

reported as AIR 1991 SC 686. For the purpose of understanding the

expression, „status quo‟, reference was made to the judgment in the case

of Messrs Bharat Coking Coal Limited vs. State of Bihar & Ors. reported as

1987 (Supp) SCC 394 to submit that in ordinary legal connotation, the

term „status quo' implies the existing state of things at any given point of

time.

25. As for the National Policy on Urban Street Vendors, counsel for the

respondent/NDMC stated that both, the 2004 policy and the 2009 policy,

find mention in the decision of the Supreme Court in the case of Gainda

Ram (supra) and it was only after taking into consideration the said

policies, did the Court directed the institutionalization of urban street

vending through legislation. It was further stated that at the time of

delivering the judgment dated 8.10.2010, the Supreme Court took notice

of the NCT of Delhi Laws (Special Provisions) Act, 2009, which was valid

upto 30.12.2010, apart from noticing the Model Street Vendors

(Protection of Livelihood and Regulation of Street Vending) Bill, 2009

introduced by the Government of India, Ministry of Housing & Urban

Poverty Alleviation. She stated that nothing new is now being submitted

by the petitioners/vendors herein, for the present petitions to be

entertained for any purpose whatsoever and all the grievances raised by

the petitioners can easily be addressed before the Vending

Committee/appellate authority under the scheme relating to urban street

vending in the NDMC area, which fora continue to remain functional, even

after 30.6.2011.

26. This Court has heard these matters at length since 17.8.2011, on

different dates. Various counsels for the petitioners/vendors and the

Standing Counsel for the respondent/NDMC had addressed the Court.

Their respective arguments have been taken note of. Both sides have

made strenuous efforts to explain what the status quo order dated

15.7.2011 passed by the Supreme Court in the case of Gainda

Ram(supra) implies. The leitmotif of the arguments addressed on behalf

of the petitioners/vendors is that the status quo order read with the

qualifying words, "as it is obtaining today", suffixed to the order, can only

be read to imply that as on date, i.e., 15.7.2011, there was no scheme

operational in the NDMC areas to regulate vending activities and till a law

is ultimately enacted by the legislature, all the petitioners, irrespective of

their legal status, can continue squatting/hawking at different sites that

have been occupied by them. It is also asserted that in the teeth of the

status quo orders passed by the Supreme Court, the respondent/NDMC in

collusion with the police authorities, is threatening to illegally remove the

petitioners/vendors from different sites, which is detrimental, adverse,

harassing and belligerent to those, who have been found eligible by the

respondent/NDMC for being allotted specific tehbazari spaces within the

NDMC jurisdiction, but are being threatened due to lack of further action

in this regard which is pending at the end of the respondent/NDMC. The

second limb of submissions made by the learned counsels for the

petitioners/vendors was that the Special Provisions Act would additionally

come to the rescue of the petitioners/vendors, which also requires

maintenance of status quo as existing on 01.10.2006, till the end of

December, 2011.

27. On the other hand, the main thrust of the arguments addressed by

the counsel for the respondent/NDMC was that as the legislature has

failed to enact an appropriate legislation in terms of the decision of the

Supreme Court in the case of Gainda Ram(supra), the subsequent order

dated 15.7.2011 directing parties to maintain the status quo as it is

obtaining on the said date can only imply that the state of affairs as

existing on date are not to be disturbed, until the rights of the parties can

be finally determined through legislation. It was submitted that while

passing the status quo order on 15.07.2011, the Supreme Court was

conscious of the fact that the Parliament had yet to enact a

comprehensive legislation to regulate urban street vending and in such

circumstances, it goes without saying that it was the intent of the Court

that the entire dispute redressal mechanism as recognized in the case of

Gainda Ram(supra) would continue to remain in operation, so as to

regulate the urban street vending in the NDMC area, till the legislation in

that regard is enacted. Further, it was stressed that the Special

Provisions Act did not provide any protective umbrella to the petitioners,

whose squatting activities neither fell under the definition of

"encroachment", nor under "unauthorized development". It was further

asserted that even otherwise pending an appropriate legislation, the

NDMC Act was available as a fall back option and the relevant provisions

in the said enactment would continue to regulate street vending activity in

the NDMC area and the petitioners/vendors could not claim a vested right

to squat at any site of their own.

28. From the above, it is apparent that arguments and counter

arguments have been raised by both sides on their respective versions of

the meaning and the effect of the status quo order dated 15.7.2011

passed by the Supreme Court. It is also very apparent, that the meaning

sought to be attributed by both sides as to the implication of the said

status quo order, is diametrically opposed to each other. Not only this,

both sides are at a tangent on the factum of the pendency or otherwise of

the interim applications filed before the Supreme Court by both, the

applicants/vendors and the respondent/NDMC, for clarifications, on which

the aforesaid order came to be passed as it is the stand of the

respondent/NDMC that the aforesaid applications were not disposed of

while passing the order dated 15.7.2011. The parties are poles apart on

the question of import of the status quo order, and the effect of the

observations made by the Supreme Court in the case of Gainda

Ram(supra) as regards the approval of NDMC scheme. They are also at

loggerheads on the composition of the adjudicatory mechanism in the

NDMC jurisdiction and the manner of its functioning, as also the identity

of the scheme which is validly operating in the NDMC areas for regulating

urban street vending, which had all been subject matter of consideration

before the Supreme Court in the aforesaid case. The other issues

agitated by the parties, starting from the interpretation of the various

observations made by the Supreme Court in the aforesaid judgment, to

the formulation of the scheme as approved by the Supreme Court in the

case of Sudhir Madan (supra), to the composition of the disputes

redressal mechanism and its validity as also the meaning of the status

quo order, are all in a turmoil as both the parties have stoutly defended

their respective stands which are completely at variance with each other.

The only common ground shared by the parties is the factum of passing

of the recent judgment dated 08.10.2010 in the case of Gainda

Ram(supra) and the subsequent status quo order dated 15.7.2011 passed

by the Supreme Court.

29. The fountainhead of the dispute in the present cases therefore

remains the status quo order dated 15.7.2011 passed by the Supreme

Court. The issue which is sought to be agitated before this Court is that

having regard to the status quo order, whether a stay order ought to be

granted by this Court in favour of the petitioners/vendors as prayed for by

them, irrespective of their legal status, thus forbidding the

respondent/NDMC from threatening and/or removing them from the

different sites occupied by them in the NDMC areas. In other words, this

Court is being called upon to examine the meaning, scope and effect of

the status quo order dated 15.07.2011. On the question of how to

ascertain the implication of a status quo order passed by a court, in the

case of Messrs Bharat Coking Coal Limited (supra), it was observed by the

Supreme Court that the expression, „status quo‟ is undoubtedly a term of

ambiguity and at times, gives rise to doubt and difficulty and in case any

party has any doubt on the meaning and the effect of the status quo

order, the proper course for such a party would be to approach the Court

that had passed the status quo order, to seek clarifications.

30. In the case at hand, while seeking to ride the wave of the aforesaid

status quo order, the parties have chosen to overlook one important

factor, which is that a status quo order operates on both sides. The

Supreme Court has passed orders requiring both sides to maintain status

quo. Once such an order of the Supreme Court is on record, the same

not only binds all the parties to the adjudication, and all the parties, civil

or judicial who are required to act in accordance with the said orders, but

it equally binds the High Court from interfering with such an order, as the

said order has been passed in litigations before the highest Court of the

land.

31. The orders of the Supreme Court are on record. The status quo

order is a clear signal to the High Court as well, to avoid granting any

order, including an interim order, when the Supreme Court has directed

for status quo to be maintained. In such circumstances, if this Court was

to grant a stay order in favour of the petitioners/vendors arrayed before

it, it would be tantamount to negating the orders of the Supreme Court,

which require the parties to maintain status quo pending enactment of

appropriate legislation. If either of the parties were unclear about the

interpretation of the status quo order, it was for them to have applied to

the Supreme Court for clarifications thereof. Additionally, the reliance

placed by the petitioners/vendors on the Special Provisions Act seeking

interim legal sanctity to the placement of goods by them on the

pavements, by terming it as encroachment/unauthorized use, as

recognized under the said Act and their contention that the Supreme

Court had recognized the fact that the Special Provisions Act is the only

Central law having primacy over other Statutes, are also matters that the

petitioners/vendors ought to have placed before the Supreme Court while

seeking clarifications of the status quo order. It would therefore be

advisable for the petitioners/vendors as also the respondent/NDMC to

approach the Supreme Court and make their submissions there as

regards their grievances. However, as both parties insisted that their

arguments be taken note of and their submissions be placed on record,

some pains have been taken to do the needful.

32. In view of the aforesaid facts and circumstances, this Court is of the

opinion that it will not be appropriate for it to grant stay orders in the face

of the status quo order dated 15.07.2011 passed by the Supreme Court.

It is reiterated that any such order shall be an anti-thesis to the orders of

the Supreme Court, which must be respected both, in letter and spirit. In

such circumstances, the present petitions are disposed of by declining

grant of any interim orders to the petitioners. However, liberty is granted

to both the parties to apply to the Supreme Court for a clarification of the

status quo order dated 15.07.2011 passed in the case of Gainda Ram

(supra). The parties are left to bear their own costs.




                                                           (HIMA KOHLI)
OCTOER 24th, 2011                                              JUDGE
rkb




 

 
Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 

LatestLaws Partner Event : IDRC

 

LatestLaws Partner Event : IJJ

 
 
Latestlaws Newsletter