Case Note & Summary
The writ petition was filed by three residents of village Hinglajwadi, claiming to be devotees and interested persons under Section 2(10)(a) of the Bombay Public Trust Act, 1950. They challenged the order dated 13 June 2011 passed by the In-charge Joint Charity Commissioner, Latur, granting permission under Section 36(1)(a) of the Act to the respondent-trust to lease out 117 hectares 43 ares of agricultural land to the third respondent for a period of 30 years at an initial rent of Rs.60,000 per year, with an increase of Rs.15,000 per year. The trust, Dattatraya and Devi Math Sansthan, Hinglajwadi, was a registered public trust. The petitioners alleged that the lease was executed without issuing any public notice or advertisement, without inviting competitive bids, and at a throwaway price, thereby causing loss to the trust. They contended that the mandatory procedure for alienation of trust property was not followed, as neither the trust nor the Charity Commissioner ensured transparency by advertising in widely circulated newspapers. The petitioners further argued that the long-term lease of 30 years on agricultural land was impermissible and that the permission was granted mechanically without proper application of mind. The petitioners obtained knowledge of the transaction in March 2013 and immediately applied for certified copies and filed the writ petition. The respondents opposed, but the available text does not include the final decision. The judgment excerpts show that the Court was addressed on the necessity of public advertisement as held in earlier decisions of the same High Court. The matter involved interpretation of Section 36 and the scope of the Charity Commissioner's powers. The eventual outcome is not recorded in the provided extract, but the case highlights the strict procedural safeguards required for alienation of public trust properties.
Headnote
A) Trust Law - Alienation of Trust Property - Mandatory Sanction and Public Notice - Bombay Public Trust Act, 1950, Section 36(1)(a) - The petition challenged the permission granted for a 30-year lease of 117 hectares of agricultural trust land at a meager annual rent of Rs.60,000, increasing by Rs.15,000 per year. It was contended that no public advertisement or tender notice was issued, violating the mandatory procedure for alienation of public trust property. Reliance was placed on Siddhivinayak Construction Pvt. Ltd. vs Vikas Motiram Desai and Shailesh Developers vs Joint Charity Commissioner which held that advertisement in reputed newspapers and competitive bidding are necessary. (Paras 4, 14-16) B) Trust Law - Locus Standi - Interested Persons under Section 2(10) - Bombay Public Trust Act, 1950, Section 2(10)(a) - The petitioners claimed locus to file the writ petition as 'interested persons', being residents and devotees of the Dattatraya and Devi Math Sansthan. The question of whether such interest conferred standing to challenge an order granting permission under Section 36 was considered. (Paras 3, 14) C) Trust Law - Lease Duration - Validity of Long-Term Lease - Bombay Public Trust Act, 1950, Section 36 - The lease deed executed for a period of 30 years on agricultural land was questioned on the ground that Section 36 permits lease for agricultural land exceeding ten years only with the prior sanction of the Charity Commissioner, and the procedure for grant of such sanction requires compliance with prescribed formalities including public notice. The petitioners argued that the In-charge Joint Charity Commissioner failed to apply his mind and gave permission in a perfunctory manner. (Paras 8, 15-16)
Issue of Consideration
Whether the order passed by the In-charge Joint Charity Commissioner granting permission under Section 36(1)(a) for a 30-year lease of agricultural land belonging to a public trust was valid without issuing public notice or advertisement
Law Points
- Alienation of trust property under Section 36 of Bombay Public Trust Act requires prior sanction of Charity Commissioner
- Lease for agricultural land exceeding ten years needs mandatory permission
- Public advertisement and competitive bidding necessary before sale or lease of public trust property
- Interested persons under Section 2(10) have locus standi to challenge orders affecting trust
