Full Order Text
Order 1 · 24 Apr 2019 · CNR MHCC010043682019
Order Details: Other Pdf Text: Order for granting adinterim relief .. 1 .. Appeal No.132/2019 IN THE BOMBAY CITY CIVIL COURT AT BOMBAY ORDER ON REQUEST OF PLAINTIFF MADE IN THE APPEAL MEMO FOR GRANTING ADINTERIM RELIEF IN TERMS OF PRAYER CLAUSE (b) AND (c) IN APPEAL 132 OF 2019 M/s. Sani Business Centre, Shop No.38, CST Sub way, Mumbai – 400 001. Through Mr. Manish Pardasani, being constituted attorney of Mr. Shrichand Pardasani (Proprietor of M/s. Sani Business Centre) ...Appellant. V/s. The Municipal Corporation of Greater Mumbai. Having office at Mahapalika Bhavan, Mahapalika Marg, Fort, Mumbai – 400 001. ...Respondent. Appearances: Learned Adv. Mr. Jubin Dalal I/b. M.M. Legal Associates for appellant. Learned Adv. Mr. A.V. Diwate for respondent/MMC. CORAM : HIS HONOUR JUDGE SHRI SADRUDDIN A. QUAZI (C.R.No.04). DATED : 24th April, 2019. : ORAL ORDER : 1. The learned Advocate of the appellant has submitted that ad interim relief be granted in terms of prayer clause (b) & (c) of the appeal memo. In prayer clause (b), it is requested that, pending the hearing and final disposal of the appeal, the impugned order be stayed and in prayer clause (c), it is requested that, pending the hearing and -- 1 of 10 -- Order for granting adinterim relief .. 2 .. Appeal No.132/2019 disposal of the appeal, status quo may directed to be maintained in respect of the subject premises. The learned Advocate of the appellant has submitted that appeal is filed under section 105(F) of of the Mumbai Municipal Corporation Act (MMC Act) to challenge the legality of the impugned order dated 15.03.2019 passed by the learned Inquiry Officer in inquiry No.A/18/MKT/2017 under section 105(B) of the MMC Act. The learned Advocate of the appellant has invited my attention to the grounds raised in the appeal memo. He has submitted that the subject premises was allotted by the respondent/Municipal Corporation to the appellant on leave and license agreement dated 17.11.2001 for a period of 10 years. Thereafter, the respondent had issued notice in the year 2009 to terminate that agreement, before expiry of the 10 years of the license. However, subsequently, the respondent withdrew that notice. Thereafter, the respondent assured that the license/lease would be renewed for a period of 5 years, as per terms of the earlier agreement. However, the respondent has not entered into any formal agreement in this regard, despite the request of the association of the occupiers of the premises including the appellant. However, the respondent had been accepting monthly rent from the appellant and other occupiers of other premises. The learned Advocate of the appellant has submitted that the subject premises and other premises in the locality, were constructed under the resolution of the legislative body of the Municipal Corporation and the allotment of the shops has been done under the sanction of the improvement committee of the corporation and, therefore, the respondent or its Commissioner or any administrative authority cannot terminate the agreement, since that would be contrary to the provisions of law contend in section 69 and 92 (c) of MMC Act. The appellant has right to continue to be in use, possession and occupation of the subject premises in the aforesaid -- 2 of 10 -- Order for granting adinterim relief .. 3 .. Appeal No.132/2019 circumstances. The learned Advocate of the appellant has further submitted that on 23.06.2016, the respondent had issued notice to the appellant directing him to vacate the subject premises, which was challenged by the appellant by filing Writ Petition and the Hon'ble High Court by its order was pleased to set aside that notice after hearing both the parties, interalia, on the ground that the principle of natural justice has not been followed as well as the procedure laid down under subsection (2) of section 105(B) of MMC Act has not been followed by the respondent. Thereafter, again on 29.04.2017, the respondent has issued notice to the appellant to vacate the premises. Pursuant to that notice, the notice dated 17.10.2017 has been issued by the respondent. The appellant has given reply to these notices and, thereupon, the Inquiry Officer conducted inquiry under subsection (2) of section 105(B) of MMC Act, wherein the impugned order has been passed directing the appellant to vacate the premises. The learned Advocate of the appellant has referred to the provisions of subsection (2) of section 105(B) of MMC Act, in which it is provided that before an order for eviction under subsection1 is made against any person, the Commissioner shall issue in the manner provided in this section, a notice in writing calling upon the persons concerned to show cause, why an order of eviction should not be made. The learned Advocate of the appellant has submitted that these provisions have not been followed, while issuing the notices dated 29.04.2017 and 17.10.2017, purportedly issued under subsection (2) of section 105(B) of MMC Act. It is submitted that in the notice dated 29.04.2017, it is said that the respondent has taken a decision not to renew the agreement and hence, under clause (32) of the agreement of leave and license, the said agreement shall stand revoked, terminated. In the notice dated 17.10.217, it is stated by the respondent that the -- 3 of 10 -- Order for granting adinterim relief .. 4 .. Appeal No.132/2019 appellant is in unauthorised occupation of the premises and the premises is required for public purpose to avoid over crowding and congestion in subway and, therefore, the respondent proposed to order to the appellant to vacate the said premises. Pointing out these contents of the notices, the learned Advocate of the appellant has submitted that the respondent had predetermined, while issuing these notices to evict the appellant from the subject premises and, therefore, it cannot be said that the procedure laid down in subsection (2) of section 105(B) of MMC Act, has been followed by the respondent. It is also submitted that the Commissioner of the respondent is not authorised to order eviction of the appellant as the subject premises was given to the appellant with the sanction of the committee of the corporation and without sanction of the committee of the corporation, the Commissioner cannot terminate the agreement. In this regard, reference is made to section 92 of MMC Act. The learned Advocate of the appellant has also submitted that there is no evidence, on the basis of which, it can be said that the subject premises is required for public purpose to avoid over crowding and congestion in the subway. It is submitted that the appellant has raised the ground in the appeal that the Inquiry Officer has over looked the fact that before any enquiry, he had arrived at decision and had already conveyed its satisfaction to pass the impugned order. The Municipal Corporation has not shared all the documents and evidence on the basis which the Enquiry Officer has arrived at this decision. It is submitted that the appellant has been paying rent and, therefore, without following proper procedure, the agreement of leave and license, cannot be terminated at the whims of the respondent and this has not been considered by the learned Inquiry Officer. Therefore, it is submitted that the appellant has prima facie case to claim adinterim stay to the impugned order. -- 4 of 10 -- Order for granting adinterim relief .. 5 .. Appeal No.132/2019 2. On the other hand, the learned Advocate of the respondent has submitted that provisions of section 92 and the order of the Hon'ble High Court in Writ Petition challenging earlier notice of Muncipal Corporation, do not preclude the Municipal Commissioner of the corporation to take action under section 105(B) of the MMC Act. It is submitted that notices were issued by the respondent terminating the agreement of leave and license as the leave and license period mentioned in the main agreement of 2001 was already expired and as the subject premises is required for public purpose to avoid over crowding and congestion in the subway near the subject premises. It is submitted that the notices dated 29.04.2017 & 17.10.2017 are not suffering from any illegality. He has submitted that the appellant has not challenged the notice dated 29.04.2017 by filing appropriate proceeding before the appropriate forum and, therefore, the agreement stands revoked and terminated as per that notice. After the termination of the agreement of leave and license, the occupation of the appellant is unauthorised as provided in clause (d) of section 105(A) of MMC Act & under subsection (2) of section 105(B) of MMC Act. Inquiry officer/Commissioner is empowered to initiate inquiry and accordingly, the inquiry has been done, in which the appellant was given opportunities of hearing and, thereafter, the impugned order has been passed under subsection (1) of section 105(B) of MMC Act, directing the appellant to vacate the premises. In such circumstances, it is submitted that the appellant has no prima facie case. The learned Advocate of the respondent has submitted that in similar matter, this Court has passed an order dated 15.04.2019 in Appeal No.121/2019, refusing to grant adinterim stay to the order passed by the respondent under subsection (2) of section 105(B) of MMC Act, holding that after expiry of period of agreed license and after termination of the -- 5 of 10 -- Order for granting adinterim relief .. 6 .. Appeal No.132/2019 agreement for license, the occupation of the appellant was prima facie unauthorised and as the premises was required for public purpose, this Court has refused to grant adinterim stay in the said Appeal No.121/2019. The learned Advocate of the respondent has also referred to the decision of Hon'ble Supreme Court in the case of Ashok Caterers V/s. Municipal Corporation of Greater Bombay (Best Undertaking) [1997 (9) Supreme Court Cases 220]. In that case, it was held that lease from month to month basis had expired by efflux of time, and also validly determined on ground of requirement of the premises for expansion of existing bus stand. Therefore, the tenant had become unauthorised occupant and he could be summarily evicted under section 105(B) of MMC Act. 3. I have examined the aforesaid submissions of the parties. I have also gone through the decision of Hon'ble Supreme Court, cited supra. It is not disputed that the subject premises was given by the respondent corporation to the appellant as per the terms and conditions of the agreement dated 17.11.2001 for a period of 10 years. The appellant has produced copy of that agreement with the appeal memo. It shows that it is for leave and license for a period of 10 years from the date of this agreement. The appellant appears to have mentioned in the appeal memo that the premises was given on lease. However, this does not appear jto be supported by any document of lease. Even in the course of argument, the learned Advocate of the appellant has submitted that the premises was given to the appellant on leave and license for a period of 10 years. Admittedly, this period has expired in the year 2011. It appears that even after expiry of this period, the appellant had been paying rent/compensation to the respondent. However, the fact remains that the said period of 10 years has expired in the year 2011. Moreover, -- 6 of 10 -- Order for granting adinterim relief .. 7 .. Appeal No.132/2019 on 29.04.2017, the respondent has issued notice, copy of which is produced by the appellant. By this notice, the respondent has informed that after 17.11.2001, the corporation has not executed any agreement of leave and license and the corporation has taken a decision not to renew the agreement and under clause (32) of the agreement, the corporation has revoked and terminated the agreement dated 17.11.2001 and asked the appellant to vacate the subject premises on or before 31.05.2017. The learned Advocate of the appellant has submitted that no show cause notice was issued by the respondent to the appellant, before the terminating the agreement by this notice. However, in the light of the fact that the original 10 years period of leave and license under the said agreement has already expired in the year 2011, I do not think that the respondent was under obligation to call any explanation from the appellant before terminating the agreement. This notice has not been challenged by the appellant before any other forum. After this notice, the respondent has issued the notice dated 17.10.2017 under subsection (2) of section 105(B) of MMC Act, mentioning that the appellant is in unauthorised occupation of the subject premises and the subject premises is required for public purpose to avoid over crowding and congestion in the subway. In the notice, it is mentioned that therefore, the Inquiry Officer proposes to order the appellant to vacate the subject premises on the aforesaid grounds and then, in this notice, the appellant has been called upon to tender his explanation and produce evidence, if any, and to show cause as to why the proposed order should not be made. I do not find, prima facie, any illegality in this notice, as has been submitted by the learned Advocate of the appellant. The learned Advocate of the appellant has submitted that in this notice, it was already predetermined to evict the appellant, but this submission cannot be accepted. It may be noted that the Inquiry -- 7 of 10 -- Order for granting adinterim relief .. 8 .. Appeal No.132/2019 Officer was making inquiry under subsection (2) of section 105(B) of MMC Act, before passing eviction order under subsection (1) of that section. In this notice, what is said is that the Inquiry Officer proposes to pass an order of eviction. It is merely proposal and information as to with what reference, the instant notice is issued and in what respect the inquiry is to be held. With reference to that the appellant was called upon by that notice to show cause as to why order of eviction should not be passed. Therefore, I am not convinced with the aforesaid submissions of the learned Advocate of the appellant, that the above contents of the notices indicate that eviction order was predetermined and no enquiry was made before passing eviction order. 4. On perusal of the impugned order, I find that the 10 years leave and license period mentioned in the agreement has already expired in the year 2011. Even if, the appellant had been paying rent thereafter, his occupation over the premises after the notice dated 29.04.2017 terminating the agreement of leave and license becomes unauthorised, particularly when admittedly there is no leave and license agreement or lease agreement executed by the Municipal Corporation, after the aforesaid period. Clause (d) of section 105(A) defines unauthorised occupation for the purpose of eviction of persons from corporation premises. Clause(d) of section 105(A) of MMC Act reads as under : “unauthorised occupation in relation to any corporation premises means the occupation by any person of corporation premises without authority for such occupation; and includes the continuance in occupation by any person of the premises after the authority under which he was allowed to occupy the premises has expired, or has been duly determined”. -- 8 of 10 -- Order for granting adinterim relief .. 9 .. Appeal No.132/2019 5. In view of the aforesaid definition of unauthorised occupation and in the aforesaid facts of the instant case, prima facie, it cannot be said that the occupation of the appellant is authorised, in any way. The impugned order appears to have been passed after considering all these aspects and, therefore, prima facie, I do not find that the impugned order suffers from any illegality. Provisions of section 92 of MMC Act referred by the learned Advocate of the appellant, are in respect of disposal of municipal property. In clause (c) thereof, it is provided that the Commissioner may lease, sale or otherwise convey any immovable property belonging to the corporation with the sanction of the Municipal Corporation or its committee. The said provision is in respect of the disposal of the property and not in respect of the eviction of the property of corporation. Therefore, it is not helpful to the appellant in contending that before passing the impugned order of eviction, the Municipal Commissioner was to take sanction from the standing committee of the corporation, the approval of which, was obtained before giving the subject premises to the appellant in the year 2001. The learned Advocate of the respondent has rightly referred to the decision of Hon'ble Supreme Court noted supra. Relying on the said decision, it can be said that in the facts and circumstances of the instant case, including that the tenure of leave and license of the appellant has expired and, thereafter no leave and license agreement has been executed in his favour, it can be said that his occupation over the suit premises is prima facie unauthorised. Therefore, taking into consideration, the case of the Municipal Corporation that the subject premises is required for public purpose in respect of avoiding over crowding and congestion in the subway near the public place i.e. Chhatrapati Shivaji Maharaj Terminus(C.S.M.T), I find it difficult to grant adinterim relief in respect of the impugned order regarding -- 9 of 10 -- Order for granting adinterim relief .. 10 .. Appeal No.132/2019 eviction of the appellant from the suit premises. For all these reasons, adinterim stay for adinterim relief as prayed in the Appeal Memo, is refused. (SADRUDDIN A. QUAZI) Judge, (C.R.No.4) Date : 24.04.2019. City Civil Court, Gr. Mumbai Dictated on : 24.04.2019. Transcribed on : 24.04.2019. Signed on : 26.04.2019. “CERTIFIED TO BE TRUE AND CORRECT COPY OF THE ORIGINAL SIGNED JUDGMENT/ORDER.” 26.04.2019, at 02.02 p.m. UPLOAD DATE AND TIME Tushar P. Kuwar [NAME OF STENOGRAPER] Name of the Judge (With Court room no.) HHJ Shri S. A. Quazi Court Room No.4 Date of Pronouncement of Judgment/order 24.04.2019. Judgment/order signed by P.O. on 26.04.2019. Judgment/order uploaded on 26.04.2019. -- 10 of 10 --
