TaxTMI 
TaxTMI 
2000 (9) TMI 1002
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..... Facts of the present case reveal that since 1970 the Municipal Corporation had been passing resolutions, one after another, for transferring the quarters to its employees. The said resolutions are objected to by the Municipal Commissioner on one ground or the other. The Corporation was superseded three times on the same count. On one occasion, Corporation requested the Government to amend section 200 suitably so as to empower the Corporation to transfer the immovable property. It is pointed out that the Corporation acquired land and formulated a scheme known as Northern City Extension Scheme I for residential purposes, with provisions also for a shopping area. On a plot of land measuring 2750 sq. yards on Mandelian Road a three-storey building was constructed. On 7.5.1968, the M.C.D. passed the first Resolution No.143 and approved the proposal of sale of flats and shops by public auction. The said flats and shops were put up for public auction on 4.8.1968 and again 6.10.1968. All the shops were disposed of but as the bids received for residential flats were below the reserve price, the bids for flats were rejected. Thereafter, by resolution No.433 dated 27.7.1970 the MCD decid....
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....sis to such of the desirous municipal employees who do not own in Delhi any property in his own name or in the name of any of his dependent. Subsequently, the Corporation by resolution No.937 dated 9.2.1979 resolved that in view of the Commissioners letter dated 14.12.1978 unauthorised occupants of the municipal quarters in Nimri Municipal Colony be offered these quarters on hire purchase basis at the market value existing in 1974 plus interest upto date @ 11% p.a. and that the offer be made to those who pay the first installment within a period of 4 months from the date of offer. The Standing Committee also resolved on 12.4.1979 for transferring tenements constructed under the Low Income Housing Scheme at Nimri Colony to the allottees. This was objected by the Municipal Commissioner by a letter dated 5.2.1980 stating that 324 quarters cannot be transferred as the Corporation is already short of municipal accommodation and that it has received loan of Rs.461 lacs from the Government of India and further quarters cannot be transferred except at a market rate in a fair competition. However, by resolution No.1156 dated 28.2.1980, the Standing Committee resolved that the quarters in....
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....nicipal Corporation made recommendation for rescinding the resolution and on 22.3.1990 the Chief Secretary, Delhi exercising his powers of Administrator of the Corporation approved the proposal for rescinding the resolutions (1) dated 4.12.1970, (2) dated 25.4.1972, (3) dated 31.7.1973 and (4) dated 20.2.1989. No other resolution was passed by the Corporation. Hence, the earlier resolutions for transfer of the municipal quarters stood rescinded. Civil Writ Petitions no.1662/1988 etc. for implementing the earlier resolutions for transferring the quarters were filed before the High Court. In the said writ petitions also, subsequent resolution rescinding earlier resolutions was challenged. The learned Single Judge dismissed those petitions. L.P.As. No.118 of 1989 etc. were filed before the High Court and the High Court dismissed the same. Hence these special leave petitions. In our view, as stated earlier power to dispose of the immovable property under Section 200 vests in the Commissioner with the sanction of the Corporation. Further, under Section 200 (d), consideration for such sale shall not be less than the value at which such immovable property can be sold in normal and f....
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....him by the Act. For our purpose, Section 200 is the relevant provision for finding outwhether the immovable property can be disposed of by the Corporation despite objections raised by the Commissioner. The said provision reads thus: - Disposal of Property with respect to the disposal of property belonging to Corporation, the following provisions shall have effect, namely:- (a) the Commissioner may in his discretion dispose of by sale or otherwise, any movable property belonging to the Corporation not exceeding in value in each instance one thousand rupees, or such higher amount as the Corporation may prescribe, or let out on hire any movable property or grant a lease of any immovable property belonging to the Corporation including any right of gathering and taking fruits and the like, for a period not exceeding one year at a time; (b) the Commissioner may, with the sanction of the Standing Committee- (i) dispose of, by sale or otherwise, any movable property belonging to the Corporation the value of which does not exceed five thousand rupees; (ii) grant a lease (other than a lease in perpetuity) of any immovable property belonging to the Corporation; or (iii) s....