Case Note & Summary
The case involved five writ petitions filed by different landowners whose lands were originally reserved under the Development Plan of Amravati for various public purposes such as schools, vegetable market, hospital, and maternity home. The petitioners had earlier approached the High Court and obtained declarations that the reservations had lapsed under Section 127(1) of the Maharashtra Regional and Town Planning Act, 1966 due to the planning authority's failure to acquire the lands within the statutory period. Those declarations had attained finality. Subsequently, each petitioner applied to the Municipal Corporation of Amravati for permission to develop their lands as permissible for adjacent areas. The Assistant Director of Town Planning refused the applications, citing, among other reasons, that the lapsing of reservation had not been notified in the Official Gazette as required by Section 127(2) of the Act. The core legal issue was whether the lapsing pronounced by the court could be given effect only after such notification. The petitioners argued that the court's declaration itself gave them the right to develop, and that the statutory 60-day period for deemed grant under Section 45 had elapsed. The respondents contended that until notification, the refusal was justified, and the State maintained that Section 127(2) makes notification a prerequisite. The High Court, analyzing Section 127, held that sub-section (1) contains a deeming provision: upon inaction by the authority and expiry of the notice period, the reservation is deemed lapsed, and the land is immediately released from reservation and becomes available to the owner for development. The purpose of sub-section (2) is merely to inform the public of the lapsing, analogous to other provisions requiring publication of changes in development plans. The court reasoned that to delay the effect of lapsing until notification would be to unjustifiably read something into Section 127(1). Consequently, the court allowed the writ petitions and directed the respondents to consider the development applications without insisting on Gazette notification under Section 127(2).
Headnote
A) Municipal Law – Town Planning – Lapsing of Reservation – Maharashtra Regional and Town Planning Act, 1966, Sections 127(1), 127(2) – The court examined whether development permission could be refused pending Gazette notification of lapsing under Section 127(2) after a court had declared the reservation lapsed under Section 127(1). Held that the deeming provision under Section 127(1) makes the land immediately available for development upon lapsing, and the requirement of notification under Section 127(2) is ministerial and for public knowledge, not a condition precedent to grant development permission. The refusal based solely on absence of notification is unsustainable (Paras 7-9).
Issue of Consideration
Whether upon the Court pronouncing under Section 127 of the Maharashtra Regional & Town Planning Act, 1966 that the reservation has lapsed, such lapsing cannot come into force till publication of Gazette Notification as contemplated by Section 127(2) of the said Act
Final Decision
Writ petitions allowed. The court held that once a reservation is declared lapsed under Section 127(1), the land is immediately released from reservation and becomes available for development; publication of a Gazette notification under Section 127(2) is merely ministerial and for public knowledge, and does not affect the vesting of development rights. Respondent nos.1 & 2 were directed to consider the applications for development without insisting on such notification.
Law Points
- Legal points not extracted
- Section 127(1) of the Maharashtra Regional & Town Planning Act
- 1966 contains a deeming provision that reservation lapses automatically upon inaction of the planning authority
- Section 127(2) notification of lapsing is a ministerial act for public knowledge only
- development permission cannot be denied pending such notification
- lapsing declared by court takes immediate effect
Case Details
2026 LawText (BOM) (05) 91
WRIT PETITION NO.5589 OF 2012; WRIT PETITION NO.6305 OF 2012; WRIT PETITION NO.6306 OF 2012; WRIT PETITION NO.6309 OF 2012; WRIT PETITION NO.6310 OF 2012
B.P. Dharmadhikari, A.S. Chandurkar
G.K. Mundhada for the petitioners, J.B. Kasat for Respondent nos.1 & 2, P.D. Kothari, Assistant Government Pleader for respondent no.3
Arun Motiram Nimkar, Maloo & Talda Developers through its partner Pravin Balkrishnaji Maloo, Vyankatesh Reality through its partner Pravin Balkrishnaji Maloo, Shanta Gyanchand Kothari
The Municipal Corporation of City of Amravati, Assistant Director of Town Planning Municipal Corporation, Amravati, The State of Maharashtra
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Nature of Litigation
Writ petitions challenging the refusal of development permission by the Municipal Corporation on the ground that the lapsing of reservation under the MRTP Act had not been notified in the Official Gazette.
Remedy Sought
Petitioners sought permission to develop their lands after obtaining court declarations that the reservations had lapsed under Section 127(1) of the MRTP Act.
Filing Reason
Respondent nos.1 & 2 rejected the development applications stating that the lapsing of reservation had not been notified under Section 127(2) of the MRTP Act, despite the court's earlier declaration of lapsing.
Previous Decisions
The High Court had earlier, in separate writ petitions, declared that the reservations on each petitioner's land had lapsed under Section 127(1) of the MRTP Act; those decisions attained finality.
Issues
Whether upon Court pronouncing under Section 127 of the Maharashtra Regional & Town Planning Act, 1966 that the reservation has lapsed, such lapsing cannot come into force till publication of Gazette Notification as contemplated by Section 127(2) of the said Act.
Submissions/Arguments
Petitioners argued that the court's declaration of lapsing under Section 127(1) made the land immediately available for development, and the respondents could not await notification under Section 127(2); further, the 60-day period for deemed grant under Section 45 had elapsed.
Respondent nos.1 & 2 contended that refusal was justified until the lapsing was notified under Section 127(2), and that petitioners should have availed the statutory remedy against rejection.
The State argued that the clear provision of Section 127(2) requires notification before lapsing can be given effect, and thus the refusal was proper.
Ratio Decidendi
Lapsing of reservation under Section 127(1) of the Maharashtra Regional & Town Planning Act, 1966 takes immediate effect upon fulfillment of the conditions or court declaration; the requirement of Gazette notification under Section 127(2) is directory and ministerial, not a condition precedent to release of the land for development; development permission cannot be denied pending publication of such notification.
Judgment Excerpts
On such lapsing of reservation, the land is deemed to be released from such reservation and it becomes available to the owner for the purposes of development as otherwise permissible in the case of adjacent land under the relevant plan.
The act of notifying such lapsing has got nothing to do with releasing of such land from reservation as a consequence of operation of section 127(1) of the said Act.
If it is held that the lapsing of reservation does not come into effect till the same is notified in the Official Gazette even in the matters where this Court has declared the reservation to have lapsed, the same would amount to reading something in Section 127(1) of the said Act which does not exist.
Procedural History
Petitioners previously filed separate writ petitions (WP No.6084/2011, 3189/2011, 1157/2012, etc.) seeking declaration that land reservations had lapsed under Section 127(1) due to inaction of the planning authority. The High Court allowed those petitions and declared the reservations lapsed; those decisions became final. Subsequently, petitioners applied to the Municipal Corporation for development permission. The authority rejected the applications, partly on the ground that the lapsing had not been notified in the Official Gazette under Section 127(2). The present writ petitions were filed challenging that refusal.
Acts & Sections
- Maharashtra Regional & Town Planning Act, 1966: Section 127(1), Section 127(2)