Case Note & Summary
The petitioners, retired employees of the Mumbai Municipal Corporation, along with other slum dwellers, filed writ petitions under Article 226 of the Constitution of India challenging the Municipal Corporation's actions. The petitioners claimed that the Municipal Corporation had earlier decided to convert the tenements occupied by them into permanent tenancies or ownership basis. This decision was reflected in a resolution dated 1 September 1989 and subsequent letters. The petitioners asserted that the tenements were not service quarters but were allotted on leave and licence or rental basis. They alleged that despite representations and recommendations from various authorities, the conversion scheme was not implemented. Meanwhile, the Municipal Corporation issued a circular on 7 October 2010 imposing penal rent at three times the normal rent. The petitioners argued that this circular was arbitrary and discriminatory, especially since similar conversions had been effected in other colonies. Additionally, the Municipal Corporation initiated eviction proceedings against retired employees and withheld their retiral benefits, including gratuity and pension, on the ground that they had not vacated the tenements. The petitioners contended that withholding terminal benefits violated their fundamental rights under Articles 14, 16 and 21 of the Constitution. They sought a writ of mandamus directing the Municipal Corporation not to enforce the 2010 circular, to release their retiral benefits with interest at 18% per annum from the date of retirement, and to refrain from evicting them. The High Court granted rule in the main petition and, with consent of parties, heard all connected petitions together. No final order is recorded in the available text, and the judgment is incomplete.
Issue of Consideration
Whether the retired municipal employees are entitled to conversion of their tenements to ownership/permanent tenancy basis; whether the Municipal Corporation circular dated 7 October 2010 imposing penal rent is valid; and whether the withholding of retiral benefits for non-vacation of quarters is legal and constitutional.




