Case Note & Summary
The writ petitions challenged the Charity Commissioner's order dated 2/9/2011 granting sanction to the trustees of a public trust to sell trust property to a developer. The property, an old cessed building, required redevelopment. The trustees had not issued public advertisement or sought competing offers. The petitioners (a developer and tenants) contended that the sanction violated principles of natural justice and the requirement of public auction under Section 36 of the Act. The court heard arguments and reserved judgment. The admitted facts showed that no advertisement was issued, and other developers who had made offers were not given notice. The case raised important questions about the transparency of trust property sales and the role of the Charity Commissioner.
Issue of Consideration
Whether the Charity Commissioner's order dated 2/9/2011 sanctioning sale of trust property under Section 36(1)(a) of the Bombay Public Trusts Act, 1950, was valid, particularly in the absence of public advertisement and compliance with principles of natural justice.
