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Supreme Court of India

MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHERversusNARAIN SINGH AND OTHERS

Citation
2023 INSC 223
Decided
14 March 2023
Disposal
Dismissed

Holding

A notification under Section 507(a) of the Delhi Municipal Corporation Act, 1957 urbanises a rural area, thereby disapplying the Delhi Land Reforms Act, 1954 and rendering any pending proceedings under that Act non‑est, entitling the respondents to possession under their sale deed.

Summary

The appellants claimed that they had acquired possession of a village plot in Delhi before the respondents obtained a registered sale deed and mutation in 1989, and they challenged the mutation on the ground of adverse possession, leading the Financial Commissioner to set aside the mutation and vest the land in the Gaon Sabha. The respondents obtained a writ and the Delhi High Court held that a notification issued on 23 April 1982 under Section 507(a) of the Delhi Municipal Corporation Act, 1957 had urbanised the area, thereby removing it from the ambit of the Delhi Land Reforms Act, 1954 and rendering the pending proceedings under that Act non‑est. The Supreme Court was asked to decide whether the urbanisation notification extinguishes the application of the 1954 Act and the effect on the parties’ rights. The Court examined the definitions of ‘rural’ and ‘urban’ areas in the 1957 Act, the provision that once an area is declared urban the 1954 Act ceases to apply, and the consequent lapse of the mutation proceedings. It held that the 1954 Act no longer governs the land, the pending proceedings are void, and the respondents are entitled to possession under the 1989 sale deed. Accordingly, the appeal was dismissed and the appellants were directed to hand over possession to the respondents.

Issues considered

  • Whether a notification under Section 507(a) of the Delhi Municipal Corporation Act, 1957 that urbanises a rural area extinguishes the applicability of the Delhi Land Reforms Act, 1954 to that area and renders pending proceedings under the 1954 Act non‑est.
  • Whether the appellants’ claim of adverse possession and the set‑aside of the mutation order can survive the urbanisation of the area.

Legislation cited

Subjects

Delhi Municipal Corporation ActDelhi Land Reforms Acturbanisationrural‑urban conversionmutationadverse possessionnon est proceedingsArticle 142possessionland reform

Judgment

256                      [2023]REPORTS
               SUPREME COURT    2 S.C.R. 256                 [2023] 2 S.C.R.


A      MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER
                                        v.
                       NARAIN SINGH AND OTHERS
                       (Civil Appeal No (s). 3828 of 2017)
B                              MARCH 14, 2019
               [AJAY RASTOGI , C. T. RAVIKUMAR AND
                       BELA M. TRIVEDI, JJ.]
             Delhi Municipal Corporation Act, 1957 : ss. 2(52), 2(61),
      502, 507(a) – Delhi Land Reforms Act, 1954 – ss. 3(5), 150 – Delhi
C
      Development Act, 1957 – Special provisions as to rural areas –
      Recorded Bhumidhar sold his land in a village in Delhi to one vide
      registered sale deed – He again sold some portion of his land to
      respondents vide sale deed in 1989 and their names were mutated
      subsequently – Appellants case that before the said sale deed could
D     be executed in favour of the respondents, the appellants had come
      into possession over the subject land – Appellant never challenged
      the mutation order claiming adverse possession by filing appeal u/
      s. 64 of the 1954 Act – Said order of mutation was set aside by
      Financial Commissioner holding that the said transfer was in
      contravention of s.33 of the 1954 Act and ordered that the land to
E
      be vested in Gaon Sabha – Challenged to, by respondent and the
      writ petition was dismissed – However, Division Bench held that
      once by issuance of a notification u/s. 507(a), the rural area-subject
      land is urbanised, it ceases to be rural area and be governed by the
      provisions of the 1954 Act in sequel thereto and proceedings under
F     1954 Act were non est – On appeal, held : On harmonizing the
      provisions of the 1954 Act and 1957 Act, once a notification has
      been published in exercise of power u/s. 507(a), the provisions of
      the 1954 Act cease to apply – In sequel thereto, the proceedings
      pending under the 1954 Act become non est and loses its legal
      significance – On facts, to do complete justice to the parties, the
G
      appellants directed to hand over physical possession of the subject
      land free from all encumbrances to the respondents – Constitution
      of India – Art.142.


H
                                       256
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                            257
           v. NARAIN SINGH AND OTHERS

      Dismissing the appeal, the Court                                   A
       HELD: 1.1 The combined reading of the provisions clearly
indicates that the Delhi Land Reforms Act, 1954 will not cover
such area as defined in the first instance which may or before the
first day of November, 1956 be included in a Municipality. The
‘land’ which has been defined u/s. 3(13) provides that except in         B
sections 23 and 24, such of the land held or occupied for purpose
connected with agriculture, horticulture or animal husbandry
including pisciculture and poultry farming and further includes
other categories which are part of land but at the same time, it
does not include land occupied by building in belts or areas
adjacent to Delhi town. [Para 25][268-D-E]                               C

      1.2 ‘Delhi town’ has been defined under Section 3(5) of the
Act which clearly defines that areas which immediately before
the establishment of the Municipal Corporation of Delhi were
included in the limits of Delhi Municipality. There is complete
exclusion of the land occupied by buildings adjacent to Delhi town       D
which falls before the establishment of Municipal Corporation of
Delhi and is not a land covered for the purpose by deciding rights
of the parties under tenure holder under Chapter II of the Act,
1954. [Para 26][268-F-G]
       1.3 Section 150(3), (4) and (5) of the Act indicate that if the   E
Gaon Sabha area ceases to be included in rural areas as defined
in the Act, 1957 by virtue of notification under Section 507 of the
Act, the Gaon Sabha shall thereupon stand dissolved or if a portion
of Gaon Sabha area ceases to be included in rural areas as
aforesaid, the jurisdiction of the Gaon Sabha for that area ceases       F
in respect of that portion and for that portion stands dissolved or
to that extent, the size of the Gaon Sabha stands reduced as a
result of a portion ceasing to be included in rural area. [Para
27][268-G-H; 269-A]
      1.4 The Act, 1957 has been primarily enacted to have a             G
uniform body to administer the Delhi Municipal Corporation to
consolidate various bodies, local authorities, looking after the
municipal affairs and to centralise for better administration and
to overcome the problems being faced by various authorities as
well as by the public. Section 2(52) defines the ‘rural areas’ which
                                                                         H
258            SUPREME COURT REPORTS                      [2023] 2 S.C.R.


A     demonstrates that the area of Delhi which immediately before
      the establishment of a Corporation, falls within the local limits of
      the District Board of Delhi, be considered to be the rural area
      but that shall not include such portion thereof which by virtue of
      notification u/s. 507 declared to be urbanized and it ceases to be
      included under the term ‘rural areas’ and Section 2(61) defines
B
      ‘urban areas’ as the areas of Delhi which are not rural areas.
      [Para 29, 30][270-C-E]
            1.5 Once there is a notification issued by the competent
      authority in exercise of power under Section 507(a) which is a
      special provision in reference to rural areas, such of the rural
C     areas cease to be included therein upon issuance of the notification
      and shall thereafter include in and form part of the urban areas in
      terms of the notification. Sub-clause (b) and (c ) of Section 507
      deals with the nature of grant of exemption or levy of taxes for
      such of the areas falling within the scope and ambit of the Act,
D     1957. At the same time, Section 502 only provides that this Act
      (Act 1957) shall not be construed authorizing disregard to any
      law for the time being in force and rightly so for the reason, that
      scope and ambit of the Act, 1954, in no manner, has to be
      disregarded by the provisions of the Act, 1957. [Para 31, 32][270-
      E-H]
E
            1.6 Delhi Development Act, 1957 now here makes a
      distinction in the nature of land whether it is rural or urban, as
      the case may be. The DDA Act, 1957 is enacted with an object of
      development of Delhi according to sanctioned plan and for matters
      ancillary thereto. If the term ‘development’ as defined under
F     Section 2(e) of the DDA Act is considered, it clearly notifies that
      such of the area which has been declared to be a development
      area under Section 12, after publication in the official gazette,
      shall be considered a development area within the purport of the
      Act and it is a complete code in itself for the purpose of disposal
G     of land. The expression ‘land’ in Section 2(l) is in reference to
      the Land Acquisition Act, 1894. DDA Act is only for the purpose
      of development of Delhi according to the sanctioned master plan
      and zonal development plan notified under Section 7 of the Act
      and for matters ancillary thereto regardless of fact whether it is a

H
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                         259
           v. NARAIN SINGH AND OTHERS

rural area or urbanized which is for different purposes covered       A
by the provisions of the Act, 1954 and Act 1957. [Para 33, 35][271-
A-C; 272-F-G]
       1.7 After harmonizing the provisions of the Act, 1954 and
Act 1957, once a notification has been published in exercise of
power u/s. 507(a) of the Act, 1957, the provisions of the Act,        B
1954 cease to apply. In sequel thereto, the proceedings pending
under the Act, 1954 become non est and loses its legal
significance. [Para 36][272-G-H]
       1.8 The respondents purchased the subject land from M
(recorded Bhumidhar) by a registered sale deed in 1989 and            C
subsequently,mutation also, at one time, was opened in their
names. Later, they were compelled to file a civil suit in the year
1990 for taking over possession of the subject property in
question. It reveals from the record that after a few rounds of
litigation, the Financial Commissioner set aside the order of
mutation, the matter later travelled to the Division Bench of the     D
High Court of Delhi and it was held that once the rural area is
urbanized by issuance of notification under Section 507(a), it
ceases to be governed by the provisions of Act, 1954. [Para 40,
41][273-G-H; 274-A-B]
      1.9 Even after upholding the judgment of the Division Bench     E
of the High Court it gives a fresh life to the respondents to go
ahead in taking possession of the subject property despite the
fact that registered sale deed was executed in their favour by M
(Bhumidhar) but they are still deprived of possession and the
defence of the appellants in counter is that they are in possession   F
of the subject land by adverse possession. At the same time, this
Court may also record that the registered sale deed executed in
favour of the respondents by M (Bhumidhar) was never the
subject matter of challenge and no such proceedings are pending
in the Court of law. [Para 42][274-B-D]
                                                                      G
      1.10 The civil suit filed at the instance of the respondents
for taking possession of the subject land which is pending for the
last 32 years has not started its journey as yet and this is called
the travesty of injustice to a person who is indisputedly the title

                                                                      H
260            SUPREME COURT REPORTS                          [2023] 2 S.C.R.


A     holder still unable to enjoy the property. In the given facts and
      circumstances, in exercise of the power under Article 142 and to
      do complete justice to the parties, the appellants are directed to
      hand over physical possession of the subject land free from all
      encumbrances to the respondents within the stipulated period.
      [Para 43, 44][274-D-G]
B
            Om Prakash Agarwal and Others v. Batara Behera and
            Others (1999) 3 SCC 231 : [1999] 1 SCR 969 – held
            inapplicable.
            Umed Singh v. Govt. of NCT of Delhi and Others 1997
C           SCC Online Del 842 – disapproved.
            Smt. Indu Khorana v. Gram Sabha and Others 2010
            SCC Online DEL 1334 – approved.
                              Case Law Reference

D     [1999] 1 SCR 969                held inapplicable          Para 38
            CIVIL APPELLATE JURISDICTION: Civil Appeal No. 3828
      of 2017.
            From the Judgment and Order dated 22.11.2012 of the High Court
      of Delhi at New Delhi in LPA No. 591 of 2008.
E          Rakesh Dwivedi, Sr. Adv., Sidharth Gupta, Kushal Sarkar, R. C.
      Kaushik, Advs. for the Appellants.
           Vikas Singh, Sr. Adv., Anmol Chandan, Ms. Deepika Kalia, Rishi
      Kumar Singh Gautam, Chandra Pratap, Aditya Kaul, Arvind Rana,
      Vaishnavi, Bankey Bihari, Gurmeet Singh Makker, Advs. for the
F     Repondents.
            The Judgment of the Court was delivered by
            RASTOGI, J.
             1. The instant appeal is directed against the judgment and order
G     dated 22nd November, 2012 passed by the Division Bench of the High
      Court of Delhi holding that once the rural area is urbanized by issuance
      of a notification under Section 507(a) of the Delhi Municipal Corporation
      Act, 1957(hereinafter being referred to as the “Act 1957”), it ceases to
      be governed by the provisions of the Delhi Land Reforms Act, 1954
      (hereinafter being referred to as the “Act 1954") in sequel thereto and
H
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                 261
   v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

held that the proceedings under Act, 1954 were non est leaving the            A
parties to agitate their claims/disputes before appropriate fora clarifying
that all pleas in law shall remain available to the parties before the
appropriate forum.
      2. The facts in seriatim as manifest from the record are that one
Maman Singh who was a recorded Bhumidhar of the land admeasuring              B
4 Bighas 18 Biswas in Khasra No. 6/19/2 M in village Samepur, Delhi as
alleged, sold the land to one Bhai Ram vide registered sale deed dated
9th March, 1970. The respondents Narain Singh and Som Dutt have
purchased 2 Bighas 18 Biswas and 2 Bighas respectively from Shri
Maman Singh by a registered sale deed dated 4th May, 1989. Later, they
applied for mutation under Act, 1954 and their names were mutated on          C
31st May, 1989.
        3. It has been pleaded by the appellants that before the registered
sale deed dated 4th May, 1989 came to be executed by Maman Singh in
favour of the respondents herein and their names were mutated on 31 st
May, 1989, the appellants had come into possession over the subject           D
land. The appellants later challenged the mutation order dated 31st May,
1989 opened in favour of the respondents claiming adverse possession
by filing appeal under Section 64 of the Act 1954. After certain rounds
of litigation, the Financial Commissioner set aside the order of mutation
passed in favour of the respondents by Order dated 10th February, 1995        E
holding that the transfer was in contravention of Section 33 of the Act,
1954 and further ordered the land in dispute to be vested in Gaon Sabha.
       4. It is relevant to mention that the Order of the Financial
Commissioner dated 10th February, 1995 wherein it was observed “land
in dispute ordered to be vested in Gaon Sabha” was never challenged by        F
the appellants whereas the respondents challenged the Order dated 10th
February, 1995 by filing Writ Petition (civil) No. 670 of 1995 before the
learned Single Judge of the Delhi High Court which came to be dismissed
by judgment dated 14th July, 2008 and that became the subject matter of
challenge at the instance of the respondents assailing in LPA No. 591 of
2008.                                                                         G
       5. The Division Bench of the High Court returned a finding that
once the notification dated 23rd April, 1982 has been published in exercise
of power under Section 507(a) of the Act, 1957 which expressly
urbanizes the subject land in question and brings within the scope and
                                                                              H
262            SUPREME COURT REPORTS                           [2023] 2 S.C.R.


A     ambit of Act, 1957, it no more remains rural area thus, all proceedings
      under the Act, 1954 stand non est leaving the parties to agitate their
      claims/disputes before appropriate fora with a clarification that all the
      pleas in law shall remain available to the parties before the appropriate
      fora which may be adopted for redressal of grievance under judgment
      impugned dated 22nd November, 2012 which is a subject matter of
B
      challenge in appeal before us.
             6. In this context, it may be noticed that respondents Narain Singh
      and Som Dutt had filed a Civil Suit for mandatory injunction along with
      an application under Order XXXIX Rule 1 & 2 of Code of Civil
      Procedure, 1908 for grant of temporary injunction. The matter at the
C     stage of temporary jurisdiction travelled to this Court in a special leave
      petition filed at the instance of respondents which was dismissed by
      Order dated 23rd January, 1992 with a direction to the revenue authorities
      to decide the matter in four months. Subsequently, by order dated 2 nd
      September, 1992, this Court directed the concerned SHO to hand over
D     possession to the appellants herein and pursuant to Order of this Court,
      the appellants are in possession of the subject land in question.
            7. The main thrust of submission of Mr. Rakesh Dwivedi, learned
      senior counsel for the appellants is that apart from the order passed by
      this Court dated 2nd September, 1992 to hand over possession of the
E     subject land to the appellants, it can further be supported from the notice
      issued under Section 81 by SDM to the present appellants dated 18th
      January, 1984 which indicates that the appellants are in possession.
              8. Learned counsel further submits that once Maman Singh had
      sold the land by registered sale deed in favour of Bhai Ram on 9th March,
F     1970 and handed over possession thereof, he (Maman Singh) had no
      right, title and interest to execute the successive sale deed and he could
      not hand over possession to the respondents of the subject land. That
      apart, the possession handed over to the appellants has been upheld.
             9. Learned counsel further submits that after taking holistic view
G     of the Act, 1954 and of Act 1957, even after declaration of urbanization
      by issuance of notification under Section 507(a) of the Act 1957, it will
      not cease the right of the parties inter se conferred under provisions of
      the Act 1954. There is no provision under the Act, 1957 which may
      suggest issuance of the notification of urbanizing under Section 507(a)
      of the Act ceases automatically the provisions of the Act 1954. That
H     apart, Section 150(3) of the Act, 1954 specifically provides for the
    MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                263
      v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

consequences when whole of Gaon Sabha cease to be a rural area by               A
virtue of Section 507 of the Act, 1957. The consequence of dissolution
of Gaon Sabha and sub- clause (e) of Section 150(3) specifically says
that the provisions of this Act, 1954 shall apply.
       10. Learned counsel submits that the Act, 1954 is one such law
which is a special Act relating to land reforms by virtue of Section 1(2)       B
which extends to the whole of the UT of Delhi. The area covered under
Act, 1957 is not so excluded. It creates rights of tenure holders and
Bhumidhar within the ambit of Section 5 and such rights can be acquired
in various ways. Under Chapter III, Section C relates to user of land
and Section D pertains to transfer of land by Bhumidhar and Section E
pertains to devolution and Section F pertains to partition. Thus, Act, 1954     C
is a special code pertaining to the rights of Bhumidhar and other tenure
holders.
        11. Learned counsel further submits that so far as the Act, 1957 is
concerned, it is the Act which deals with Delhi Municipal Corporation.
There is nothing in the Act, 1957 to suggest that it purports to regulate       D
the tenure of Bhumidhar in the UT of Delhi after the urbanization of
area is notified. Since the purport of Act, 1957 is not to govern the holding
of the tenure, it has been specifically provided by Section 502 that other
laws are not to be disregarded for the time being in force.
      12. In substance, learned counsel submits that Act, 1954 continues        E
to operate even after urbanization under Section 507(a) of the Act, 1957
and further submits that the finding returned by the Division Bench of
the High Court in the impugned judgment is not legally sustainable and
deserves to be interfered with by this Court. In support of his submission,
learned counsel has placed reliance on the judgment of this Court in Om         F
Prakash Agarwal and Others Vs. Batara Behera and Others1.
       13. Learned counsel further submits that the Division Bench of
the High Court has not taken note of the earlier view expressed by the
Division Bench of the High Court in Umed Singh Vs. Govt. of NCT of
Delhi and Others2 and that the earlier Division Bench of the High Court         G
also considered the scheme of Act, 1957 and Act, 1954 and has returned
a finding that on issuance of notification under Section 507(a) of the Act
1957, it may not cease the rights of the parties inter se existing under

1
    1999(3) SCC 231
2
    1997 SCC Online Del 842                                                     H
264               SUPREME COURT REPORTS                          [2023] 2 S.C.R.


A     the Act, 1954 and, in the given circumstances, judgment needs to be
      interfered with by this Court.
             14. Per contra, Mr. Vikas Singh, learned senior counsel for the
      respondents, submits that the respondents Narain Singh and Som Dutt
      purchased 2 Bighas 18 Biswas and 2 Bighas respectively from the
B     Bhumidhar Maman Singh by a registered sale deed dated 4th May, 1989.
      So far as the right, title and interest on the subject property is concerned,
      it vested in favour of the respondents. The registered sale deed dated 4th
      May, 1989 has never been questioned by Bhai Ram who could be said to
      be the person aggrieved by the subsequent sale transaction as has been
      alleged by the appellants. Even the right claimed by the appellants of
C     adverse possession is a weak right and not legally sustainable. In this
      regard, the civil suit which has been filed at their instance is practically a
      non-starter because of pendency of the present appeal still the appellants
      have no right, title and interest over the subject property in question.
             15. Learned counsel further submits that looking to the scheme of
D     the Act, 1954 and of Act, 1957, while harmonizing, both are governed in
      different fields and once the notification has been published under Section
      507(a) declaring the land to be urbanized, which in the instant case is not
      disputed, the mutation proceedings pending under the Act, 1954 stand
      ceased as the land does not exist to be rural area and, thus, no error has
E     been committed by the Division Bench of the High Court in returning a
      finding that all mutation proceedings stand ceased after the publication
      of the notification under Section 507(a) of the Act, 1957.
             16. Learned counsel further submits that this is the consistent
      view of the Delhi High Court and apart from the judgment impugned,
F     this very question and effect of issuance of the notification under Section
      507(a) of the Act, 1957 was earlier examined by the High Court in Smt.
      Indu Khorana Vs. Gram Sabha and Others3 which was decided on
      26th March, 2010 and after examining the scheme of Act, 1954 and Act,
      1957, it was held that once the rural area is declared to be urbanized by
      issuance of notification under Section 507(a) of the Act, 1957, provisions
G     of the Act, 1954 cease to apply.
           17. Learned counsel further submits that after the matter being
      examined by the Division Bench of the High Court by two different
      Benches, this being consistently followed in the later judgments by the
      3
H         2010 SCCOnline DEL 1334
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                  265
   v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

High Court of Delhi and unless this Court comes to the conclusion that         A
interpretation as exposed of the Act, 1954 and Act, 1957 are completely
perverse and unsustainable, ordinarily may not be interfered with by this
Court.
        18. Learned counsel further submits that so far as the present
respondents are concerned, despite holding right, title and interest in the    B
subject land in question, pursuant to the registered sale deed dated 4th
May, 1989, and their name being mutated at one stage on 31st May,
1989, in the given circumstances, at least appellants have no legal right
to hold possession of the subject land although the suit has been filed at
the instance of the respondents and submits that this Court may consider
to restore possession in favour of the respondents to avoid multiplicity of    C
litigation in the interest of justice.
       19. We have heard learned counsel for the parties and with their
assistance perused the material available on record.
       20. The factual matrix which has come on record is not disputed         D
between the parties. The question of law that raised for consideration is
that once the rural area is urbanized by issuance of notification under
the Act 1957, what will be the effect to the provisions of the Act, 1954 in
sequel thereto.
       21. We would like to take a bird’s eye view of the relevant provision   E
of the Acts to examine the question raised for our consideration.
       22. The Act, 1954 was enacted with an object to create a uniform
body of peasant proprietors without intermediaries, for the unification of
the tenancy laws in force in Delhi and to make provisions for other
matters connected therewith.                                                   F
       23. Section 1(2) of the Act, 1954 extends to the whole Union
Territory of Delhi, but shall not apply to the areas notified in Section
1(2)(a) of the Act, 1954, i.e. such an area which are or may before the
first day of November, 1956 be included in a Municipality or a notified
area under the relevant Acts.
                                                                               G
       24. It may be apposite to take note of the relevant provisions of
the Act before we appreciate the effect and ambit of Act, 1954 which
are as follows:-
      “1. (I) This Act may be called the Delhi Land Reforms Act, 1954.
                                                                               H
266      SUPREME COURT REPORTS                           [2023] 2 S.C.R.


A     (2) It extends to the whole of the Union territory of Delhi, but
      shall not apply to-
         (a) the areas which are or may before the first day of
         November, 1956 be included in a Municipality or a Notified
         Area under the provisions of the Punjab Municipal Act 1911,
B        or a Cantonment under the provisions of the Cantonments Act,
         1924,
      3. Definitions. - In this Act, unless the Context otherwise requires-
      (1) to (4)…..
      ‘’(5) “Delhi town” means the areas which immediately before
C     the establishment of the Municipal Corporation of Delhi were
      included in the limits of Delhi Municipality, Civil Station Notified
      Area, West Delhi Municipality and the Fort Notified Area;
      (6) to (12)….

D     (l3) “land” except in sections 23 and 24, means land held or
      occupied for purpose connected with agriculture, horticulture or
      animal husbandry including pisciculture and poultry farming and
      includes-
         (a) buildings appurtenant thereto,
E        (b) village abadis,
         (c) grovelands,
         (d) lands for village pasture or land covered by water and used
         for growing singharas and other produce or land in the bed of
         a river and used for casual or occasional cultivation,
F
         but does not include-
         land occupied by buildings in belts of areas adjacent to Dehi
         town, which the Chief Commissioner may by a notification in
         the Official Gazette declare as an acquisition thereto;
G     150. (1) & (2)….
      (3) If the whole of a Gaon Sabha area ceases to be included in
      rural areas as defined in the Delhi Municipal Corporation Act,
      1957, by virtue of a notification under section 507 of that Act, the
      Gaon Sabha constituted for that area shall thereupon stand
H     dissolved and on such dissolution,-
MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                267
  v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

      (a) all properties, movable and immovable, and all interests of       A
      whatsoever nature and kind therein including moneys held in
      Gaon Sabha Area Fund, vested in the Gaon Sabha immediately
      before such dissolution, shall, with all rights of whatsoever
      description, used, enjoyed or possessed by Gaon Sabha, vest
      in the Central Government;
                                                                            B
      (b) all duties, obligations and liabilities incurred, all contracts
      entered into and all matters and things engaged to be done by,
      with or for the Gaon Sabha before such dissolution shall be
      deemed to have been incurred, entered into or engaged to be
      done with or for the Central Government;
                                                                            C
      (c) all rates, taxes, fees, rents and other charges due to the
      Gaon Sabha immediately before such dissolution shall be
      deemed to be due to the Central Government;
      (d) all suits, prosecutions and other legal proceedings instituted
      or which might have been instituted by or against the Gaon            D
      Sabha may be continued or instituted by or against the Union
      of India;
      (e) the provisions of this Act shall apply in relation to lands in
      such Gaon Sabha area, not being lands vested in the Central
      Government clause (a), subject to the modification that               E
      references therein to Gaon Sabha and Gaon Panchayat shall
      be construed as references to the Central Government;
      (f) notwithstanding anything contained in clause (b) of
      sub-section (2) of section 1, the provisions of sections 84, 85,
      86A and 87 and any other provision of this Act relating to            F
      ejectment of persons shall apply in relation to lands vested in
      the Central Government under clause (a) subject to the
      modification that references therein to Gaon Sabha and Gaon
      Panchayat shall be construed as references to the Central
      Government.
                                                                            G
   (4) If only a portion of a Gaon Sabha area ceases to be included
   in rural areas as aforesaid the jurisdiction of the Gaon Sabha
   constituted for that area shall cease in respect of that portion and
   upon such cesser, the provisions of clause (a) to (f) of sub-section
   (3) shall apply to that portion as if the Gaon Sabha had been
                                                                            H
268             SUPREME COURT REPORTS                           [2023] 2 S.C.R.


A           constituted for that portion alone and dissolved, subject to such
            incidental and consequential orders as the Chief Commissioner
            may deem necessary to make.
            (5) If the size of a Gaon Sabha Area is reduced as a result of a
            portion thereof ceasing to be included in rural areas as aforesaid
B           and the Chief Commissioner is of the opinion that the size of the
            Gaon Sabha area is not sufficiently large to be under the
            jurisdiction of a separate Gaon Sabha, he may, by notification in
            the Official Gazette, declare that such Gaon Sabha area shall,
            from a date to be specified in the notification, cease to be a
            separate Gaon Sabha area and the Gaon Sabha constituted there
C           for shall stand dissolved and may direct that the said area shall be
            included in one or more adjoining Gaon Sabha areas, and thereupon
            the provisions of section 3 of the Delhi Panchayat Raj Act, 1954
            (Delhi Act 3 of 1955), shall, so far as may be, apply.”
             25. The combined reading of the relevant provisions referred to
D     hereinabove clearly indicates that the Act, 1954 will not cover such area
      as defined in the first instance which may or before the first day of
      November, 1956 be included in a Municipality. The ‘land’ which has
      been defined under Section 3(13) provides that except in sections 23
      and 24, such of the land held or occupied for purpose connected with
E     agriculture, horticulture or animal husbandry including pisciculture and
      poultry farming and further includes other categories which are part of
      land but at the same time, it does not include land occupied by building in
      belts or areas adjacent to Delhi town.
             26. ‘Delhi town’ has been defined under Section 3(5) of the Act
F     which clearly defines that areas which immediately before the
      establishment of the Municipal Corporation of Delhi were included in
      the limits of Delhi Municipality. There is complete exclusion of the land
      occupied by buildings adjacent to Delhi town which falls before the
      establishment of Municipal Corporation of Delhi and is not a land covered
      for the purpose by deciding rights of the parties under tenure holder
G     under Chapter II of the Act, 1954.
             27. At the same time, Section 150(3), (4) and (5) of the Act indicate
      that if the Gaon Sabha area ceases to be included in rural areas as
      defined in the Act, 1957 by virtue of notification under Section 507 of the
      Act, the Gaon Sabha shall thereupon stand dissolved or if a portion of
H     Gaon Sabha area ceases to be included in rural areas as aforesaid, the
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                  269
   v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

jurisdiction of the Gaon Sabha for that area ceases in respect of that         A
portion and for that portion stands dissolved or to that extent, the size of
the Gaon Sabha stands reduced as a result of a portion ceasing to be
included in rural area as aforesaid.
      28. Let us take a view of relevant provisions of Act, 1957 for the
present purpose which are as under:-                                           B
      “2(52) “rural areas” means the areas of Delhi which immediately
      before the establishment of a Corporation are situated within the
      local limits of the District Board of Delhi established under the
      Punjab District Boards Act, 1883 (Punjab Act 20 of 1883), but
      shall not include such portion thereof as may, by virtue of a            C
      notification under section 507, cease to be included in the rural
      areas as herein defined;
      2(61) “urban areas” means the areas of Delhi which are not rural
      areas;
      502. Other laws not to be disregarded— Save as provided in this          D
      Act, nothing contained in this Act shall be construed as authorising
      the disregard by a Corporation or any municipal authority or any
      municipal officer or other municipal employee of any law for the
      time being in force.
      507. Special provisions as to rural areas.— Notwithstanding              E
      anything contained in the foregoing provisions of this Act,—
          (a) a Corporation with the previous approval of the Government,
          may, by notification in the Official Gazette, declare that any
          portion of the rural areas shall cease to be included therein and
          upon the issue of such notification that portion shall be included   F
          in and form part of the urban areas;
          (b) a Corporation with the previous approval of the Government
          may, by notification in the Official Gazette,—
             (i) exempt the rural areas or any portion thereof from such
             of the provisions of this Act as it deems fit,                    G

             (ii) levy taxes, rates, fees and other charges in the rural
             areas or any portion thereof at rates lower than those at
             which such taxes, rates, fees and other charges are levied
             in the urban areas or exempt such areas or portion from
             any such tax, rate, fee or other charge.”                         H
270             SUPREME COURT REPORTS                            [2023] 2 S.C.R.


A            (c) a Corporation shall pay a Gaon Sabha-
                (i) an amount equal to the proceeds of the tax on profession,
                trades, callings and employments, as and when that tax is levied
                in the Gaon Sabha area, and
                (ii) an amount equal to such portion of the proceeds of the
B               property taxes on lands and buildings in that area as may from
                time to time be determined by a Corporation, after deducting
                the cost of collection from such proceeds.
            29. The Act, 1957 has been primarily enacted to have a uniform
      body to administer the Delhi Municipal Corporation to consolidate various
C     bodies, local authorities, looking after the municipal affairs and to
      centralise for better administration and to overcome the problems being
      faced by various authorities as well as by the public.
             30. Section 2(52) defines the ‘rural areas’ which demonstrates
      that the area of Delhi which immediately before the establishment of a
D     Corporation, falls within the local limits of the District Board of Delhi, be
      considered to be the rural area but that shall not include such portion
      thereof which by virtue of notification under Section 507 declared to be
      urbanized and it ceases to be included under the term ‘rural areas’ and
      Section 2(61) defines ‘urban areas’ as the areas of Delhi which are not
E     rural areas.
             31. To simplify it further, once there is a notification issued by the
      competent authority in exercise of power under Section 507(a) which is
      a special provision in reference to rural areas, such of the rural areas
      cease to be included therein upon issuance of the notification and shall
F     thereafter include in and form part of the urban areas in terms of the
      notification. Sub-clause (b) and (c ) of Section 507 deals with the nature
      of grant of exemption or levy of taxes for such of the areas falling within
      the scope and ambit of the Act, 1957.
             32. At the same time, Section 502 on which the learned counsel
      for the appellants has given more emphasis, it only provides that this
G
      Act(Act 1957) shall not be construed authorizing disregard to any law
      for the time being in force and rightly so for the reason, that scope and
      ambit of the Act, 1954, in no manner, has to be disregarded by the
      provisions of the Act, 1957.

H
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                   271
   v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

       33. At this stage, if we look into the Delhi Development Act,            A
1957(hereinafter being referred to as the “DDA Act”), it nowhere makes
a distinction in the nature of land whether it is rural or urban, as the case
may be. The DDA Act, 1957 is enacted with an object of development
of Delhi according to sanctioned plan and for matters ancillary thereto.
If we consider the term ‘development’ as defined under Section 2(e) of
                                                                                B
the DDA Act, it clearly notifies that such of the area which has been
declared to be a development area under Section 12, after publication in
the official gazette, shall be considered a development area within the
purport of the Act and it is a complete code in itself for the purpose of
disposal of land. The expression ‘land’ in Section 2(l) is in reference to
the Land Acquisition Act, 1894.                                                 C
       34. Relevant Sections of Act, 1957 are reproduced hereunder:-
       “2(e) “development area” means any area declared to be a
       development area under sub-section (1) of section 12;
       2(l) the expression “land” shall have the meaning assigned to it in      D
       section 3 of the Land Acquisition Act, 1894.
       12. Declaration of development areas and development of land in
       those and other areas.—
       (1) As soon as may be after the commencement of this Act, the
       Central Government may, by notification in the Official Gazette,         E
       declare any area in Delhi to be a development area for the purposes
       of this Act:
             Provided that no such declaration shall be made unless a
      proposal for such declaration has been referred by the Central
      Government to the Authority and the Municipal Corporation of              F
      Delhi for expressing their views thereon within thirty days from
      the date of the receipt of the reference or within such further
      period as the Central Government may allow and the period so
      specified or allowed has expired.
       (2) Save as otherwise provided in this Act, the Authority shall not      G
       undertake or carry out any development of land in any area which
       is not a development area.
      (3) After the commencement of this Act no development of land
      shall be undertaken or carried out in any area by any person or
      body (including a department of Government) unless,—                      H
272                SUPREME COURT REPORTS                        [2023] 2 S.C.R.


A           (i)      where that area is a development area, permission for such
                     development has been obtained in writing from the Authority
                     in accordance with the provisions of this Act;
            (ii)     where that area is an area other than a development area,
                     approval of, or sanction for, such development has been
B                    obtained in writing from the local authority concerned or
                     any officer or authority thereof empowered or authorised
                     in this behalf, in accordance with the provisions made by or
                     under the law governing such authority or until such
                     provisions have been made, in accordance with the
                     provisions of the regulations relating to the grant of
C                    permission for development made under the Delhi (Control
                     of Building Operations) Act, 1955 (53 of 1955), and in force
                     immediately before the commencement of this Act:
                  Provided that the local authority concerned may [subject to
            the provisions of section 53A] amend those regulations in their
D           application to such area.
            (4) After the coming into operation of any of the plans in any area
            no development shall be undertaken or carried out in that area
            unless such development is also in accordance with such plans.

E           (5) Notwithstanding anything contained in sub-sections (3) and
            (4) development of any land begun by any department of
            Government or any local authority before the commencement of
            this Act may be completed by that department or local authority
            without compliance with the requirements of those sub-sections.”

F            35. So far as the DDA Act is concerned, it is only for the purpose
      of development of Delhi according to the sanctioned master plan and
      zonal development plan notified under Section 7 of the Act and for matters
      ancillary thereto regardless of fact whether it is a rural area or urbanized
      which is for different purposes covered by the provisions of the Act,
      1954 and Act 1957.
G
             36. After harmonizing the provisions of the Act, 1954 and Act
      1957, we are of the considered view that once a notification has been
      published in exercise of power under Section 507(a) of the Act, 1957,
      the provisions of the Act, 1954 cease to apply. In sequel thereto, the
      proceedings pending under the Act, 1954 become non est and loses its
H     legal significance.
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                  273
   v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

       37. We approve the view expressed by the Division Bench of the          A
High Court in Smt. Indu Khorana (supra) which was later followed in
the judgment impugned by the Division Bench of the High Court dated
22nd November, 2012.
       38. So far as the judgment of this Court in Om Prakash Agarwal
& Others (supra) on which learned counsel for the appellants has placed        B
reliance is concerned, in the first instance, there was no such notification
under the relevant laws which declared the land to be urbanized as
published in the instant case under Section 507(a) of the Act, 1957 and
the objection raised by the learned counsel was in reference to the scope
and ambit of the Orissa Land Reforms Act, 1960 and the question was
whether the reforms Act has any application to the land which is a part        C
of the master plan of the city under the provisions of the Orissa Land
Reforms Act, 1960. In that reference, the observations were made by
this Court as to what extent the provisions of the reforms Act will apply
in reference to agricultural or other purposes. This Court was very
conscious that no notification had been published in the case on hand          D
which reserved for urbanization within the scope and ambit of Section
73(c) of the Orrisa Land Reforms Act, 1960 which, in our view, may not
be of any assistance to the appellants.
       39. So far as the submission made in reference to the earlier
judgment of the Division Bench of the High Court of Delhi which has            E
not been looked into by the Division Bench under the impugned judgment
in the case of Umed Singh(supra) is concerned, on principle, we are
not in agreement with the view expressed by the High Court in Umed
Singh(supra), at the same time, we would like to observe that the case
was in reference to consolidation notification issued on 8th September,
1993, and what will be the effect of Consolidation and Prevention of           F
Fragmentation Act, 1948, in that reference, the High Court examined
the scope and ambit of the Act, 1957.
       40. Before we conclude, we may like to observe that the
respondents purchased the subject land from Maman Singh (recorded
Bhumidhar) by a registered sale deed dated 4th May, 1989 and mutation          G
also, at one time, was opened in their names on 31st May, 1989. Later,
they were compelled to file a civil suit in the year 1990 for taking over
possession of the subject property in question.
      41. It reveals from the record that after a few rounds of litigation,
the Financial Commissioner set aside the order of mutation by Order            H
274             SUPREME COURT REPORTS                               [2023] 2 S.C.R.


A     dated 10th February, 1995, the matter later travelled to the Division Bench
      of the High Court of Delhi and by judgment dated 22 nd November, 2012,
      it was held that once the rural area is urbanized by issuance of notification
      under Section 507(a) of the Act, 1957, it ceases to be governed by the
      provisions of Act, 1954.
B            42. What persuaded this Court is that even after upholding the
      judgment of the Division Bench of the High Court dated 22nd November,
      2012, it gives a fresh life to the respondents to go ahead in taking
      possession of the subject property despite the fact that registered sale
      deed dated 4th May, 1989 was executed in their favour by Maman
      Singh(Bhumidhar) but they are still deprived of possession and the
C     defence of the appellants in counter is that they are in possession of the
      subject land by adverse possession. At the same time, this Court may
      also record that the registered sale deed dated 4th May, 1989 executed
      in favour of the respondents by Maman Singh (Bhumidhar) was never
      the subject matter of challenge and no such proceedings are pending in
D     the Court of law.
              43. At this point of time, it reminds us that the civil suit filed at the
      instance of the respondents for taking possession of the subject land
      which is pending for the last 32 years has not started its journey as yet
      and this is called the travesty of injustice to a person who is indisputedly
E     the title holder still unable to enjoy the property.
             44. In the given facts and circumstances, in exercise of our power
      under Article 142 of the Constitution and to do complete justice to the
      parties, we direct the appellants to hand over physical possession of the
      subject land free from all encumbrances to the respondents within a
F     period of two months from the date of passing of this Order. If the
      appellants fail to hand over possession within the time stipulated, it will
      be open to the respondents to make an application to the concerned
      jurisdictional Judicial Magistrate and after obtaining necessary orders
      with assistance of the local administration may proceed for taking
      possession of the subject land. It goes without saying that the possession
G     has to be handed over in terms of the registered sale deed dated 4th
      May, 1989 which has been executed by Maman Singh (Bhumidhar) in
      the names of the respective respondents.
             45. The pending civil suit in the above terms stands disposed of.

H
 MOHINDER SINGH(DEAD) THROUGH LRS AND ANOTHER                                  275
   v. NARAIN SINGH AND OTHERS [AJAY RASTOGI, J.]

      46. We find no substance in the instant appeal. The same is hereby       A
dismissed with the observations afore-stated. No costs.
       47. Pending application(s), if any, shall stand disposed of.

Nidhi Jain                                                 Appeal dismissed.
(Assisted by : Tamana, LCRA)                                                   B




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