Bombay High Court Allows TDR Claim for Surrendered DP Road Land Despite No-Objection Condition. Transferable Development Rights cannot be denied merely because surrender was a condition of permission; entitlement arises from statutory scheme under Maharashtra Regional and Town Planning Act, 1966.

High Court: Bombay High Court Bench: NAGPUR In Favour of Accused
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Case Note & Summary

The petitioner, Nirmal Ujwal Credit Cooperative Society, challenged a communication dated 22.09.2014 from the Nagpur Municipal Corporation (Planning Authority) denying Transferable Development Rights (TDR) in lieu of surrendering land for a 24-meter wide DP road. The land was originally owned by Nagpur Vinkar Sahakari Sut Girni Maryadit (under liquidation) and was sold to the petitioner with permission dated 11.10.2005, subject to a condition that the land under DP roads be surrendered free of cost. The petitioner surrendered the land, but when it claimed TDR, the Corporation refused, stating that the surrender was free of cost as per the condition. The petitioner's appeal to the State Government was rejected on 28.10.2016. The High Court heard the matter and held that the condition in the no-objection letter did not bar the claim for TDR. The entitlement to TDR arises from the statutory scheme under the Maharashtra Regional and Town Planning Act, 1966 and the Development Control Regulations, not from the condition. The Court allowed the petition, quashed the communication dated 22.09.2014 and the State Government's order dated 28.10.2016, and directed the respondents to consider the petitioner's claim for TDR in accordance with law, without being influenced by the condition.

Headnote

A) Town Planning - Transferable Development Rights - Entitlement - Surrender of land for DP road - Condition of free surrender - The petitioner surrendered land for a 24-meter wide DP road as per condition in no-objection letter. The Planning Authority denied TDR claiming surrender was free of cost. The Court held that the condition did not bar TDR; entitlement arises under the MRTP Act and DCR, not from the condition. The petitioner is entitled to TDR as per law. (Paras 2-5)

B) Town Planning - Transferable Development Rights - Statutory Scheme - Sections 126, 127, Maharashtra Regional and Town Planning Act, 1966 - The Court held that TDR is a statutory right under the MRTP Act and Development Control Regulations, and cannot be denied by imposing a condition that contradicts the statutory scheme. The surrender of land for a public purpose entitles the owner to TDR. (Paras 3-5)

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Issue of Consideration

Whether the petitioner is entitled to Transferable Development Rights (TDR) in lieu of surrendering land for a DP road, despite the condition in the no-objection letter that the land be surrendered free of cost.

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Final Decision

The petition is allowed. The communication dated 22.09.2014 and the order dated 28.10.2016 are quashed and set aside. The respondents are directed to consider the claim of the petitioner for grant of TDR in accordance with law, without being influenced by the condition imposed in the no-objection letter.

Law Points

  • Transferable Development Rights
  • Surrender of land for public purpose
  • Entitlement to TDR
  • Condition of no-objection
  • Maharashtra Regional and Town Planning Act
  • 1966
  • Development Control Regulations
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Case Details

2019 LawText (BOM) (04) 166

Writ Petition No.728 of 2017

2019-04-04

R.K. Deshpande, S.M. Modak

Shri Shrihari Aney, Senior Advocate assisted by Shri R.M. Pande for Petitioner; Ms Ritu Kaliya, Assistant Government Pleader for Respondent No.1; Shri J.B. Kasat for Respondent No.2

The Nirmal Ujwal Credit Cooperative Society (Limited, Nagpur)

The State of Maharashtra, The Nagpur Municipal Corporation

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Nature of Litigation

Writ petition challenging denial of Transferable Development Rights by municipal corporation.

Remedy Sought

Quashing of communication dated 22.09.2014 and direction to release TDR/FSI.

Filing Reason

The Planning Authority denied TDR claiming surrender of land was free of cost as per condition.

Previous Decisions

State Government rejected the claim on 28.10.2016.

Issues

Whether the petitioner is entitled to TDR despite the condition of free surrender in the no-objection letter. Whether the condition can override the statutory entitlement to TDR under the MRTP Act.

Submissions/Arguments

Petitioner argued that the condition did not bar TDR; entitlement arises from statute. Respondents argued that surrender was free of cost, so no TDR is payable.

Ratio Decidendi

The condition in the no-objection letter requiring surrender of land free of cost does not extinguish the statutory entitlement to Transferable Development Rights under the MRTP Act and Development Control Regulations. The entitlement to TDR arises from the statutory scheme, not from the condition.

Judgment Excerpts

The challenge in this petition is to the communication dated 22.09.2014 issued by the Town Planning Department of the Nagpur Municipal Corporation informing the petitioner-Society that in lieu of handing over of the area of 24-meter wide DP Road free of cost and free from all encumbrances as per the conditions of no-objection dated 11.10.2004, the petitioner-Society shall not be entitled to the Transferable Development Rights. The contention raised by Shri Aney, the learned Senior Advocate assisted by Shri Pande, is that the condition imposed in the permission does not in any manner affect the claim of the petitioner for TDR.

Procedural History

The petitioner obtained permission on 11.10.2005 subject to condition of surrendering DP road land free of cost. The land was surrendered. On 22.09.2014, the Planning Authority denied TDR. The petitioner appealed to the State Government, which rejected the claim on 28.10.2016. The petitioner then filed the present writ petition on 10.02.2017.

Acts & Sections

  • Maharashtra Regional and Town Planning Act, 1966: 126, 127
  • Maharashtra State Cooperative Societies Act, 1960:
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