Bombay High Court Awards Compensation for Unlawful Demolition Without Notice — State Liable for Damages for Demolishing Shop Without Prior Hearing Under Article 300A of Constitution. The court held that demolition without prior notice violates Article 300A and natural justice, directing compensation of Rs. 5,00,000 recoverable from erring officers.

High Court: Bombay High Court Bench: NAGPUR In Favour of Accused
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Case Note & Summary

The petitioners, owners of a shop in Arvi, Wardha, purchased the property via a registered sale deed dated 8.1.1971 and had a valid license under the Bombay Shops and Establishment Act since December 1967, paying property tax regularly. On 1.6.2000, without any prior notice or opportunity, the respondents (State of Maharashtra, Executive Engineer, Sub-Divisional Officer, and Tahsildar) demolished half of the double-storeyed structure, rendering it unusable. The petitioners filed a writ petition claiming compensation and alleging high-handed exercise of power. The court admitted the petition on 27.7.2000 and directed status quo. The petitioners argued that adjacent structures were not demolished, and later the Public Works Department issued a no-objection certificate for lease deeds. The court found the demolition illegal and violative of Article 300A and principles of natural justice. It directed the respondents to pay Rs. 5,00,000 as compensation within three months, recoverable from the salaries of the erring officers, and to consider granting an alternative site or lease of the land to the petitioners.

Headnote

A) Constitutional Law - Right to Property - Article 300A of the Constitution of India - Deprivation of Property - The petitioners' shop was demolished by state authorities without any prior notice or opportunity of hearing, violating the constitutional guarantee that no person shall be deprived of his property save by authority of law. The court held that the demolition was illegal and arbitrary, and the petitioners are entitled to compensation for the loss suffered. (Paras 1-5)

B) Administrative Law - Natural Justice - Audi Alteram Partem - Demolition Without Notice - The respondents demolished half of the petitioners' double-storeyed structure on 1.6.2000 without any previous notice or opportunity to show cause. The court held that such action is violative of principles of natural justice and the state is liable to pay damages. (Paras 3-5)

C) Torts - State Liability - Compensation for Unlawful Demolition - The court directed the respondents to pay compensation of Rs. 5,00,000 to the petitioners for the illegal demolition, to be recovered from the salaries of the erring officers. The court also directed that the petitioners be given alternative site or lease of the land if available. (Para 5)

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Issue of Consideration

Whether the respondents acted lawfully in demolishing the petitioners' structure without prior notice or opportunity of hearing, and whether the petitioners are entitled to compensation for the demolition.

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Final Decision

The court allowed the writ petition, directing respondents to pay compensation of Rs. 5,00,000 to the petitioners within three months, to be recovered from the salaries of the erring officers. The respondents were also directed to consider granting an alternative site or lease of the land to the petitioners if available.

Law Points

  • Right to property under Article 300A
  • principle of natural justice
  • compensation for unlawful demolition
  • no demolition without prior notice
  • state liability for tortious act of officials
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Case Details

2017 LawText (BOM) (12) 119

Writ Petition No. 2587/2000

2017-12-08

B.P. Dharmadhikari, Mrs. Swapna Joshi

Mr. Jitesh Duhilani for petitioners, Mr. Nitin Rode, AGP for respondent no.1-State

Paramanand s/o Variyomal Katyari and Dilip s/o Paramanand Katyari

State of Maharashtra, The Executive Engineer, The Sub-Divisional Officer, The Tahsildar

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Nature of Litigation

Writ petition seeking compensation for illegal demolition of property and alleging high-handed exercise of power by state authorities.

Remedy Sought

Compensation for demolished property and declaration that demolition was illegal.

Filing Reason

Demolition of petitioners' shop on 1.6.2000 without prior notice or opportunity of hearing.

Previous Decisions

Writ Petition admitted on 27.7.2000 with direction to maintain status quo.

Issues

Whether the demolition of petitioners' structure without prior notice or opportunity of hearing was illegal and violative of Article 300A? Whether the petitioners are entitled to compensation for the loss caused by the illegal demolition?

Submissions/Arguments

Petitioners: They became owners through registered sale deed dated 8.1.1971, had shop license since 1967, paid property tax regularly. Demolition on 1.6.2000 was without notice, half of structure demolished, adjacent structures untouched. Later, PWD gave NOC for lease deeds. Respondents: Not mentioned in the judgment text.

Ratio Decidendi

Deprivation of property without authority of law violates Article 300A of the Constitution. Demolition without prior notice or opportunity of hearing is arbitrary and illegal. The state is liable to pay compensation for such unlawful acts, and the amount may be recovered from the erring officers.

Judgment Excerpts

Petitioners, whose premises have been demolished on 1.6.2000 is before the Court, claiming compensation for demolished property and pointing out unauthorised high-handed exercise of power by respondents. In this situation, on 1.6.2000, without previous notice/opportunity and even grant of time, the respondents came together and demolished half of the double storeyed structure thereby rendering it useless for further occupation.

Procedural History

Writ Petition No. 2587/2000 filed in 2000. Admitted on 27.7.2000 with status quo order. Heard and decided on 8.12.2017.

Acts & Sections

  • Constitution of India: Article 300A
  • Bombay Shops and Establishment Act:
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