Case Note & Summary
The petitioner, Lakhmichand Ramchand Asrani, as executor of the will of his father Ramchand Daulatram Asrani, filed a writ petition seeking a direction to the Municipal Corporation of Greater Mumbai to pay compensation under Section 84 of the Maharashtra Regional and Town Planning Act, 1966 (MRTP Act) for Plot No.41 admeasuring 569.40 sq.mtrs. in Santacruz, Mumbai, which was reserved for a garden under Town Planning Scheme V (First Variation). The land owner died on 9th June 1983, and probate was granted to the petitioner on 21st November 1992. The town planning scheme was published on 30th August 1973, and an arbitrator appointed under Section 72 of the MRTP Act made an award on the same date granting compensation of Rs.68,328/- for Final Plot 41. Appeals were filed for enhancement, and on 13th August 1975, the Tribunal of Appeal increased the compensation to Rs.77,723/-. Possession of the plot was taken on 1st February 1982. The petitioner claimed that no compensation was paid upon vesting and sought additional compensation under Section 84. The court examined the provisions of Sections 71, 72, 84, and 88 of the MRTP Act. The court held that the compensation was already determined by the arbitrator and the appellate tribunal, and the petitioner's claim under Section 84 was barred by limitation as the right to compensation accrued on the date of vesting or at least when possession was taken in 1982, and the application was filed in 2002, more than 20 years later. The court also held that the claim was barred by res judicata as the compensation had been finally determined. The petition was dismissed with no order as to costs.
Headnote
A) Town Planning - Compensation - Limitation - Section 84, Maharashtra Regional and Town Planning Act, 1966 - Claim for compensation for land reserved for garden under TPS V Santacruz - Arbitrator awarded compensation on 30th August 1973, enhanced by Tribunal of Appeal on 13th August 1975 - Possession taken on 1st February 1982 - Petitioner filed application under Section 84 in 2002 - Held that the claim is barred by limitation as the right to compensation accrued on the date of vesting or at least when possession was taken, and the application was filed after more than 20 years (Paras 1-4). B) Town Planning - Res Judicata - Finality of Award - Sections 71, 72, 84, Maharashtra Regional and Town Planning Act, 1966 - The arbitrator's award under Section 71 and the appellate tribunal's decision under Section 72 are final and binding - Petitioner cannot reagitate the quantum of compensation under Section 84 which is meant for cases where no compensation has been determined - Held that the claim is barred by res judicata as the compensation was already determined (Paras 2-5). C) Town Planning - Vesting of Land - Section 88, Maharashtra Regional and Town Planning Act, 1966 - Upon the final scheme coming into force, all lands required by the Planning Authority vest absolutely free from encumbrances - The petitioner's land vested in the Municipal Corporation and compensation was already paid - Held that no further compensation is payable (Paras 2-3).
Issue of Consideration
Whether the petitioner is entitled to compensation under Section 84 of the Maharashtra Regional and Town Planning Act, 1966 for the land vested in the Municipal Corporation, and whether the claim is barred by limitation and res judicata.
Final Decision
The writ petition is dismissed. No order as to costs.
Law Points
- Limitation for claiming compensation under Section 84 of MRTP Act
- 1966
- Res judicata
- Finality of arbitration award and appellate tribunal decision
- Vesting of land under Section 88 of MRTP Act




