Case Note & Summary
The case involves a dispute over a 15-metre internal road proposed under a Town Planning Scheme (the 'Abhyankar Road Widening and Buty Mahal Street Scheme') framed by the Nagpur Improvement Trust (NIT) in 1961 under the NIT Act, 1936. The Scheme was sanctioned in 1964. However, when the Maharashtra Regional Town Planning Act, 1966 (MRTP Act) came into force, the First Final Development Plan for Nagpur in 1967 did not show this road. Subsequent revisions in 1989 and 2001 also omitted it. Despite this, NIT attempted to implement the road through various resolutions and agreements with land owners and tenants, including a compromise in 2002 before the Supreme Court. In 2015, NIT issued a notice to demolish structures to make way for the road. The respondents (tenants/occupants) challenged this notice in the Bombay High Court, which set it aside. The Supreme Court upheld the High Court's decision, holding that the Development Plan under MRTP Act prevails over any inconsistent Scheme under NIT Act. The road not being part of the Development Plan cannot be implemented. The Court also rejected arguments of estoppel, stating that statutory requirements cannot be overridden by agreements. The appeals by NIT were dismissed.
Headnote
A) Town Planning - Scheme vs Development Plan - Supremacy of MRTP Act - Sections 31, 37(1) MRTP Act, 1966; Sections 31, 44, 45 NIT Act, 1936 - The 1961 Scheme under NIT Act providing for a 15-metre internal road was not shown in the Final Development Plan under MRTP Act in 1967 or its revisions in 1989 and 2001. The NIT, as Planning Authority, could not later revive the road under Section 37(1) MRTP Act without amending the Development Plan. Held that the Development Plan prevails over any inconsistent Scheme, and the road cannot be implemented without being part of the Development Plan (Paras 1-20). B) Estoppel - Statutory Compliance - Cannot override statutory provisions - The NIT and land owners entered into agreements and compromises, but estoppel cannot be used to enforce a road not sanctioned under the MRTP Act. Held that statutory requirements under MRTP Act must be followed, and no agreement can circumvent them (Paras 21-30).
Issue of Consideration
Whether the Nagpur Improvement Trust could issue a notice dated 24.04.2015 for demolition of structures to implement a 15-metre internal road under a 1961 Scheme when the road was not shown in the Development Plan under the MRTP Act, and whether the High Court was correct in setting aside the notice.
Final Decision
The Supreme Court dismissed all appeals, upholding the High Court's judgment setting aside the demolition notice dated 24.04.2015. The Court held that the Development Plan under MRTP Act prevails over any inconsistent Scheme under NIT Act, and the road not being shown in the Development Plan cannot be implemented. No order as to costs.
Law Points
- Town Planning Scheme under NIT Act must yield to Development Plan under MRTP Act
- Section 37(1) MRTP Act cannot be used to revive a road not shown in Development Plan
- Estoppel cannot override statutory provisions



