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Supreme Court of India

BONDU RAMASWAMYversusBANGALORE DEVELOPMENT AUTHORITY & ORS.

Citation
2010 INSC 271
Decided
5 May 2010
Disposal
Disposed off

Holding

The Bangalore Development Authority Act is a valid special law under List II, not repugnant to the Land Acquisition Act, and its acquisition provisions are enforceable despite the lack of President's assent, but the Court must remedy the arbitrary deletions and discrimination through specific directions.

Summary

The Supreme Court examined the legality of land acquisitions undertaken by the Bangalore Development Authority (BDA) for the Arkavathi layout, focusing on whether the BDA Act required President's assent, was repugnant to the Land Acquisition Act, and complied with constitutional provisions under Parts IX and IX‑A. The Court held that the omission of Article 31 rendered the President's assent requirement moot, and that the BDA Act, being a special law under Entry 5 of List II, is not repugnant to the central Land Acquisition Act which occupies Entry 42 of List III. It further found that the BDA had jurisdiction over the villages in question, that the procedural requirements of the BDA Act were satisfied, and that while the acquisition was not void, there were instances of arbitrary deletions and discrimination. Consequently, the Court upheld the acquisition but imposed corrective directions, including preferential allotment of plots to affected land‑owners and a review of disputed villages. The appeal was disposed of, affirming the High Court’s directions with modifications.

Issues considered

  • Whether the Bangalore Development Authority Act, 1976 is invalid for lacking President's assent under Article 31(3) of the Constitution.
  • Whether the BDA Act is repugnant to the Land Acquisition Act, 1894 under Article 254 of the Constitution.
  • Whether the provisions of Parts IX and IX‑A of the Constitution render the BDA Act inoperative or void.
  • Whether the BDA has territorial jurisdiction over the sixteen villages where land was acquired.
  • Whether the amendment to Section 6 of the Land Acquisition Act imposing a one‑year limit on final declarations applies to acquisitions under the BDA Act.
  • Whether Sections 4, 5A and 6 of the Land Acquisition Act are applicable to acquisitions under the BDA Act.
  • Whether the BDA complied with procedural requirements of Sections 15‑19 of the BDA Act, including specificity, material particulars, and valid government sanction.
  • Whether the deletion of 1089 acres from the proposed acquisition amounts to hostile discrimination violating Article 14.

Legislation cited

Subjects

land acquisitionBangalore Development AuthorityrepugnancyArticle 31Article 254Article 14Parts IX and IX-Amunicipal corporationdevelopment schemepith and substancediscriminationarbitrary deletioncompensationequality before law

Judgment

                       [2010) 6 S.C.R. 29

                    BONDU RAMASWAMY                                  A
                                v.
   BANGALORE DEVELOPMENT AUTHORITY & ORS.
         (Civil Appeal No. 4097 of 2010 etc.}

                         MAY 5, 2010
                                                                     B
 [K.G. BALAKRISHNAN, CJI., R.V. RAVEENDRAN AND
                 D.K. JAIN, JJ.]

     Bangalore Development Authority Act, 1976:
      Whether the Act repugnant to Land Acquisition Act -            C
Held: The Act is not repugnant to Land Acquisition Act -
Repugnancy under Article 254 arises only when two laws
relate to subjects in List Ill - Article 254(1) will have no
application if the State law in pith and substance relates to a
matter in List II and incidentally touches upon some item in         D
List Ill - If the law covered by Entry in List If contains a
provision directly and substantially relating to the matter
enumerated in List Ill, the repugnant provision of List II might
be void unless it could co-exist and operate without
repugnancy to the provisions of the existing law - Bangalore         E
Development Authority Act in pith and substance falls under
Entry 5 of List II and is not r.eferable to Entry 42 of List Ill -
The main object of the Act is development of the city and
acquisition for such development is incidental to the main
object - Constitution of India, 1950 - Article 254; Seventh          F
Schedule List II Entry 5 and List Ill Entry 42 -Land Acquisition
4.ct, 1894 - ss. 4 to 6 - Doctrine of pith and substance.
     Enforcement of the Act- Validity of, in absence of assent
of President - Held: Article 31 (3) pf the Constitution did not G
render the Act invalid in absence of assent of the President
- Though the Act did not receive the assent of the President,
but once Article 31 (3) was omitted from the Constitution, need
for such assent disappeared -Constitution of India, 1950 -
Article 31 (3).
                               29                                    H
    30      SUPREME COURT REPORTS                  [2010] 6 S.C.R.

A        ss. 15 to 19 - Acquisition of land - By Development
    Authority - For planned development of city - Preliminary
    notification proposing to acquire land - The objections of land-
    holders considered - State Government granting sanction for
    acquisition after noting that certain land was excluded from
B   the proposed extent of land - Final declaration issued - Writ
    petitions challenging the acquisition - Entire acquisition
    quashed by Single Judge of High Court - Writ appeals -
    Division Bench of High Court upheld the acquisition -
    However, finding that there was discrimination in acquisition
c   of certain lands and in deletion of similar lands, gave liberty
    to /and-owners to seek withdrawal of their lands from
    acquisition - On appeal, held: Acquisition was in compliance
    with the provisions of the Act - But there was arbitrariness and
    discrimination in the matter of inclusions and exclusions of
    the lands - Decision of Division Be{/f;h of High Court is
0
    affirmed - However, the liberty granted to /and-owners would
    lead to further litigations and complications - Therefore, it
    would be equitable to uphold the directions issued by High
    Court, subject to the condition that /he Development Authority
    provides an option to land-losers to secure some additional
E   benefits as an incentive to accept the acquisition - Direction
    issued to provide preferential allotment of some plots at
    prevailing market price in addition to compensation to the
    /and"/osers - Such directions not in conflict with Allotment
    Rules - Bangalore Development Authority (Allotment of
F   Sites) Rules, 1984.
        ss. 19(1) and 36 - Land acquisition - Final declaration
  uls. 19(1) - Published beyond one year from the date of
  publication of preliminary notification uls. 17(1) and (3) of the
G Act- Whether valid on account of delay in view of amendment
  of s. 6 of Land Acquisition Act, providing a time limit for issue
  of final declaration - Held: The final declaration does not
  suffer from any infirmity - In view of limited application of Land
  Acquisition Act in terms of s. 36, provisions of ss. 4 to 6 of
H Land Acquisition Act would not apply in respect of scheme
       BONDU RAMASWAMY v. BANGALORE                          31
          DEVELOPMENT AUTHORITY
for acquisition u/s. 15 to 19 of the Act- Thus, amendment to      A
s. 6 also not applicable - Land Acquisition Act, 1894 - s. 6.
     s. 15 rlw s. 2(c) - Power of Development Authority to draw
up schemes for development of metropolitan area - Whether
became inoperative on coming into force of Parts IX and IXA
of the Constitution - Held: Provisions of the Act would not
                                                                   8
become inoperative on Parts IX and IXA coming into force -
Parts IX and IXA are applicable to the municipality and not
to development authority - Article 243ZF which provided for
giving opportunity to State Government to bring the existing
law relating to municipality in conformity with Parts IX and l{<A, C
is not applicable to the Act - Mere existence of Municipal
Corporation Act duly amended to bring it in conformity with
Part IXA would not nullify or render the Act redundant -
Constitution of India, 1950 - Parts IX and IXA -Karnataka
Municipal Corporation Act, 1976.                                   D
     Land Acquisition Act, 1894 - ss. 4, 5A and 6 -
Applicability of - To acquisition under Bangalore
Development Authority Act - ss. 4 to 6 would not apply to
acquisition under BOA Act - In view of s. 36 of BOA Act, only E
such provisions of Land Acquisition Act are applicable to the
acquisition under BDA Act, for which a corresponding
provision is not found in the BOA Act - ss. 17 to 19 of the
BOA Act are the corresponding, provisions to ss. 4 to 6 -
Bangalore Development Authority Act, 1976 - ss. 17 to 19
and 36.                                                       ,F

     Constitution of India, 1950:
     Article 31(1), (2) and (3) - Acquisition of land under
Bangalore Development Authority Act - Whether violative of G
fundamental Right provided in Article 31 - Held: BOA Act
does not violate any provision of Article 31 - Since the State
had the legislative competence to enact the BOA Act, clause
(1) is not violated - In view of s. 36 of BOA Act Land
Acquisition Act was applicable for determination of
                                                               H
    32      SUPREME COURT REPORTS                  [2010] 6 S.C.R.


A   compensation, hence clause (2) is not violated - Since
    Clause (3) does not specify any fundamental right and only
    provides the procedure, it does not nullify any law - However,
    once the requirement of assent of the President disappeared
    on omission of Article 31, the provisions relating to acquisition
B   became enforceable - Bangalore Development Authority Act,
    1976.
         Article 14 - /llegal favours shown to land-owners by
    acquisition authority, in deleting their lands from proposed
    acquisition - Plea of other land-owners seeking deletion of
C   their lands on the ground of equality - Held: Article 14
    guarantees equality before law and not equality in subverting
    law nor equality in securing illegal benefits - Negative
    equality cannot be enforced - Land owners not entitled to
    seek deletion on the ground of equality -But where large
D   extent of land has been indiscriminately and arbitrarily
    deleted, making the development scheme inexecutable, or
    resulted in abandonment, relief can be granted on the
    adoption of common factor - Land Acquisition.
         Land Acquisition:
E
         Acquisition of land for planned development of city -
    Deletion from the proposed acquisition - Basis for - Held:
    Deletion should be only with regard to areas which are already
    well-developed in a planned manner - Sporadic small
F   unauthorized constructions in unauthorized colonies are not
    to be deleted ...,. If hardship is the reason for deletion,
    appropriate course is to give preference to the land-owners
    in allotment of developed plots and help them to resettle -
    Development authority should either provide orderly
G   development or should stay away from development - Urban
    Development.
        Land acquisition governed by Land Acquisition Act -
    Present system of - Held: Requires urgent attention of the
    State Government and Development Authorities - It is
H
        BONDU RAMASWAMY v. BANGALORE                     · 33
            DEVELOPMENT AUTHORITY
necessary to evolve tailor-made schemes to suit particular       A
acquisitiorl to make it smooth, speedy, litigation free and
beneficial to all concerned - Acquisition should be for the
benefit of society and improve the city and not to benefit the
development authority - Need for the Law Commission and
the Parliament to revisit the Land Acquisition Act - Land        B
Acquisition Act, 1894.
     Interpretation of Statutes - Vague and ambiguous
provision - An interpretation that would avoid absurd results
should be adopted - When the object orpolicy of a statute
can be ascertained, imprecision in its language not to be        C
allowed in the way of adopting a reasonable construction
which avoids absurdities and incongruities and carries out the
object or policy - A court cannot supply a real casus omis'sus       I
nor can it interpret a statute to create a casus omissus when
there is really none.                                            D
    Doctrines:
    Doctrine of casus omissus - Applicability of.
    Doctrine of Pith and Substance - Applicability of.
                                                                 E
    Civic Agencies· - 'Municipal Corporation' and
'Development Authority' - Difference between - Discussed.
    Writ petitions were filed challenging the acquisition
of land by Bangalore Development Authority (BOA)
under Bangalore Development Authority Act, 1976 (BOA             f
Act). The same were allowed by Single Judge of High
Court quashing the entire acquisition. Writ appeals were
allowed by Division Bench of High Court. Hence the
present appeals.
      The questions which arose for consideration in the         G
present appeals were: (i) Whether the BOA Act, in so far
as it provides for compulsory acquisition of property, is
still-born and ineffective as it did not receive the assent
of the President, as required by Article 31 (3) of the
Constitution of India. (ii) Whether the provisions of the        H
   34      SUPREME COURT REPORTS                [2010] 6 S.C.R.


A BOA Act, in particular Section 15 r/w Section 2(c) dealing
  with the power of BOA to draw up schemes for
  development for Bangalore Metropolitan Area became
  inoperative, void or was impliedly repealed, by virtue of
  Parts IX and IX(A) of the Constitution inserted by the 73rd
B and 74th Amendments to the Constitution. (iii) Whether
  the sixteen villages where the lands have been acquired,
  fall outside the Bangalore Metropolitan Area as defined
  in Section 2(c) of the BOA Act and therefore, the
  Bangalore Development Authority has no territorial
c jurisdiction to make development schemes or acquire
  lands in those villages. (iv) Whether the amondment to
  Section 6 of the Land Acquisition Act, 1894 requiring the
  final declaration to be issued within one year from the
  date of publication of the preliminary notification is
0 applicable to the acquisitions under the BOA Act; and
  whether the declaration u/s. 19(1) of BOA Act, having been
  issued after the expiry of one year from the date of the
  preliminary notification u/s. 17(1) and (3) of BOA Act, is
  invalid. (v) Whether the provisions of Sections 4, 5A, 6 of
E Land Acquisition Act, would be applicable in regard to
  acquisitions under the BOA Act and whether non-
  compliance with those provisions, vitiate the acquisition
  proceedings (vi) Whether the development scheme and
  the acquisitions are invalid for non-compliance with the
  procedure prescribed u/ss. 15 to 19 of the BOA Act in
F regard to: (a) absence of specificity and discrepancy in
  extent of land to be acquired; (b) failure to furnish material
  particulars to the Government as required u/s. 18(1) r/w
  Section 16 of the BOA Act; and (c) absence of valid
  sanction by the Government, u/s. 18(3) of the BOA Act.
G (vii) Whether the deletion of 1089 Ac~s 12 Guntas from
  the proposed acquisition, while proceeding with the
   acquisition of similar contiguous lands of appellants
   amounted to hostile discrimination and therefore the
   lands of appellants also required to be withdrawn from
H acquisition.
       BONDU RAMASWAMY v. BANGALORE                   35
           DEVELOPMENT AUTHORITY
    Disposing of the appeals, the Court                    A
    HELD:
Question (i) - Re : Invalidity on account of non-
compliance with Article 31(3) of the Constitution:
     1.1. It is true that the BOA Act received only the 8
assent of the Governor and was neither reserved for the
assent of the President nor received the assent of the
President. But once Article 31 was omitted from the
Constitution on 20.06.1979, the need for such assent
disappeared and the impediment for enforcement of the C
provisions in the BOA Act relating to acquisition also
disappeared. Article 31 (3) did not render the enactment a
nullity, if there was no assent of the President. Acquisition
of property is only an incidental and not the main object
and purpose of the BOA Act. Once the requirement of D
assent stood deleted from the Constitution, there was
absolutely no bar for enforcement of the provisions
relating to acquisition in the BOA Act. The State
Legislature had the legislative competence to enact such
a statute, under Entry 5 of List II of the Seventh Schedule E
to the Constitution. If any part of the Act did not come into
effect for non-compliance with any provision of the
Constitution that part of the Act may be unenforceable,
but not invalid. [Para 9) [72-~; 73-A-E]
     1.2. Bangalore Development Authority Act, 1976, F
does not violate any provision of Article 31 in Part Ill of
the Constitution. As the BOA Act is made by the State
Legislature having competence to make such law, there
is no violation of Article 31 (1 ). Clause (2) of Article 31
provided that no law shall authorise acquisition unless it G
provided for compensation for such acquisition and
either fixed the amount of compensation, or specified the
principles on which, and the manner in which, the
compensation was to be determined and given. BOA Act
does not fix the amount of compensation, but Section 36 H
    36      SUPREME COURT REPORTS               [2010] 6 S.C.R.

A thereof clearly provides that the acquisition will be
  regulated by the provisions of the Land Acquisition Act,
  1894 so far as they are applicable. Thus the principles
  on which the compensation is to be determined and the
  manner in which the compensation is to be determined
8 set  out in the Land Acquisition Act become applicable to
  acquisitions underI
                        BOA Act. Thus there is no violation
  of Article 31(2). Article 31(3) merely provides that no law
  providing for acquisition shall have effect unless such
  law has received the assent of the President. Article 31 (3)
C does not specify any fundamental right, but relates to the
  procedure for making a law providing for acquisition. It
  does not nullify any law, but postpones the enforcement
  of a law relating to acquisition, until it receives the assent
  of the President. There is therefore no violation of Part
  Ill of the Constitution that can lead to any part of the BOA
0 Act being treated as a nullity. The effect of Article 31(3)
  was that enforcement of the provisions relating to
  acquisition was not possible/permissible till the assent
  of the President was received. Therefore, once the
  requirement of assent disappeared, the provisions
E relating to acquisition became enforceable. [Para 11] [76-
  A-H; 77-A]
        M.P. V. Sundararamier and Co. v. 'The State of Andhra
    Pradesh and Anr. AIR 1958 SC 468, followed
F        Munithimmaiah v. State of Kamataka 2002 (4) SCC 326,
    relied on
         Mahendra Lal Jain v. State of U.P. and Ors. 1963 Supp
    (1) SCR 912, referred to
G Question (ii) - Re : Invalidity with reference to Parts IX
  and IX-A of the Constitution :
       2.1. Part IX-A of the Constitution seeks to strengthen
   the democratic political governance at grass-root level in
H .urban areas by providing constitutional status to
       BONDU RAMASWAMY v. BANGALORE                   37
           DEVELOPMENT AUTHORITY
Municipalities, and by laying down minimum uniform A
norms and by ensuring regular and fair conduct of
elections. When Part IXA came into force, the provisions
of the existing laws relating to municipalities which were
inconsistent with or contrary to the provisions of Part IX-
A would have ceased to apply. To provide continuity for B
some time and an opportunity to the concerned State
Governments to bring the respective enactments relating
to municipalities in consonance with the provisions of
Part IX-A in the meanwhile, Article 243ZF was inserted.
The object was not to invalidate any law relating to city C
improvement trusts or development authorities which
operate with reference to specific and specialised field of
planned development of cities by forming layouts and
making available plots/houses/apartments to the
members of the public. [Para 21] [94-H; 95-A-C]             o
    2.2. The benefit of Article 243ZF is available only in
regard to laws relating to 'municipalities'. Thus Article
243ZF has no relevance to test the validity of the BOA Act
or any provision thereof. If BOA Act or any provision
thereof is found to be inconsistent with the provisions of E
Part IXA, such inconsistent provision will be invalid even
from 1.6.1993, and the benefit of continuance for a period
of one year permitted under Article 243ZF will not be
available to such a provision of law, as BOA Act is not a
law relating to Municipalities. [Para 20] [94-A-O]         F
     2.3. The object and functions of a Municipal
Corporations are completely different from the object and
purpose of a development authority like BOA. BOA is not
a municipality. Therefore, it cannot be said that mere G
existence of Municipal Corporations Act, duly amended
to bring it in conformity with Part IX-A of the Constitution,
will nullify or render redundant, the BOA Act. [Para 23]
[97-G-H]
    2.4. The declaration of metropolitan area by the       H
    38      SUPREME COURT REPORTS               [2010] 6 S.C.R.


A   Governor, as provided in clause (c) of Article 243P is
    specifically with reference to the law relating to
    municipalities. The Bangalore Metropolitan Area as
    defined in the Bangalore Development Authority Act is
    only for the purpose of development i.e. development by
B   way of building or engineering operations in or over or
    under land. Therefore neither the provision defining
    'metropolitan area' in Article 243P(c) nor the provision for
    constitution of a Metropolitan Planning Committee for
    preparing a draft development plan for such metropolitan
c   area Linder Article 243ZE has any relevance or bearing to
    the Bangalore Metropolitan Area with reference to which
    BOA has been constituted. [Para 24) [98-D-G]
         2.5. The area in which the BOA Act operates is totally
    different from the areas in which Part IX A of the
D Constitution and Municipal Corporation Act which relate
    to local self-government operate. The development plan
    to be drawn for a metropolitan area, by a Metropolitan
    Planning Committee should not be confused with a
    development scheme to be drawn by a development
E authority like BOA for a metropolitan area. Insofar as
    Bangalore is concerned, the Bangalore Metropolitan Area
    as defined in Section 2(c) of the BOA Act is the area
    comprising the City of Bangalore p.s defined in the City
    of Bangalore Municipal Corporatipn Act, 1949, the area
F where the city of Bangalore lmprdvernent Act, 1945 was
    immediately before the commencenient of the BOA Act
    in force, and such other areas adjacent to the aforesaid,
    as the Government may from time to time by notification
    specify. On the other hand, the Bangalore Metropolitan
G Area, referred to in Section 503-B of Municipal
    Corporation Act is an area to be specified by the
    Governor by public notification under Article 243P(c) of
    the Constitution of India. In fact the Governor had not
    even specified the Bangalore Metropolitan Area for the
H . purpose of Municipal Corporation Act. Neither the
      BONDU RAMASWAMY v. BANGALORE                        39
          DEVELOPMENT AUTHORITY
Bangalore Metropolitan Area nor a Metropolitan Planning A
Committee is in existence under the Karnataka Municipal
Corporation Act. In these circumstances, it is not correct
to say that the BOA Act, is no longer in force and that
BOA has no jurisdiction or authority to draw up a
development scheme to form layouts and acquir~ land to B
form lay outs in pursuance of any development scheme
for Bangalore Metropolitan Area. [Para 25] [99-H; 100-A-
B; 102-B-C]
    2.6. While it is true that BOA is not an elected body
like the municipality, it has several elected C
representatives as members. The members of the BOA
represent different interests and groups, technical
persons and elected representatives. Further, no
development scheme can be finalised or put into effect
without the sanction of the State Government which in D
turn has to take note of any representation by the
Bangalore Municipal Corporation in regard to the
development scheme. Therefore, the mere fact that BOA
is not wholly elected body as in the case of a Municipal
Corporation will make no difference. The membership E
pattern is more suited to fulfil the requirements of a
specialist agency executing development schemes.
Therefore, it is not correct to say that the provisions of
BOA Act become inoperative, on Parts IX and IX-A of the
Constitution coming into force. [Para 27] [100--G; F
101-E-G]
Question (iii) - Re : BOA lacking territorial jurisdiction to
draw up the development scheme:
     3.1. It is not correct to say that Bangalore               G
Development Authority does not have territorial
jurisdiction to form any development scheme in regard
to the 16 villages which are the subject matter of the final
declaration. [Para 41] [110-D]
    3.2. Section 15 empowers the BOA to draw up                 H
    40     SUPREME COURT REPORTS               {2010] 6 S.C.R.

A de'telopment schemes or additional development
  schemes for the development of the Bangalore
  Metropolitan Area. Bangalore Metropolitan Area is defined
  in Section 2(c). The areas in which the City of Bangalore
  Improvement Act, 1945 was in force immediately before
B the commencement of BOA Act was the City of Bangalore
  and other areas adjoining the city specified by the State
  Government from time to time by notification (vide Section
  1(2) of the said Act). [Para 29) (102-E-G]
         3.3. The State Government issued a notification dated
C   1.11.1965, u/s. 4A (1) of the 'Town Planning Act' declaring
    the area comprising the City of Bangalore and other areas
    (218 villages) enumerated in Schedule I thereto to be the
    'Local Planning Area' for the purposes of the said Act to
    be called as the Bangalore City Planning Area and the
D   limits of the said planning area were as described in
    Schedule II thereto. All the 16 villages in which the lands
    were acquired-for scheme in question fell within the said
    Bangalore City Planning Area (that is within the 'other
    areas' described in the I Schedule). The Government of
E   Karnataka issued another notification dated 13.3.1984
    declaring that the area comprising 325 peripheral villages
    around Bangalore as indicated in Schedule I to be Local
    Planning Area for the environs of Bangalore and the limits
    of the said planning area shall be as indicated in
F   Schedule II thereto. Schedule II to the notification dated
    13.3.1984 gave the boundaries of the entire local planning
    area of Bangalore which included not only 325 villages
    which were added by the said notification but the original
    planning area described and declared in the notification
G dated 1.11.1965. Thereafter, the Government of Karnataka
  issued a notification dated 6.4.1984 amalgamating the
  'Local Planning Area of Bangalore' declared under
  notification dated 1.11.1965 anCI the 'Local Planning Area'
  declared for the environs of Bangalore by notification
H dated 13.3.1984. The Government of Karnataka issued a
       BONDU RAMASWAMY v. BANGALORE                      41
           DEVELOPMENT AUTHORITY
notification dated 1.3.1988 in exercise of the power u/s. A
2(c) of the Bangalore Development Authority Act, 1976
specifying the villages, indicated in I Schedule and within
the boundaries indicated in II Schedule to the notification
dated 13.3.1984, to be the areas for the purpose of the
said clause. [Paras 30, 31, 32 and 33] [102-H; 103-A-H; B
104-A-C]
      3.4. The notification dated 1.3.1988 would show that
the clear intention of the State Government was to
declare the entire area declared under the notification
dated 1.11.1965 and the notification dated 13.3.1984,           C
together as the Bangalore Metropolitan· Area. The
notification dated 1.3.1988 clearly states that the entire
area situated within the boundaries indicated in Schedule
II to the notification dated 13.3.1984 was the area for the
 purpose of Section 2(c) of BOA Act. There is no dispute        D
/that the boundaries indicated in Schedule II to the
 notification dated 13.3.1984 would include not only the
villages enumerated in I Schedule to the notification dated
13.3.1984 but also the area that was declared as planning
area under the notification dated 1.11.1965. This is            E
 because the areas declared JJnder notification dated
1.11.1965 are the core area (Bangalore City) and the area
surrounding the core area that is 218 villages forming the
first concentric circle; and the area declared under the
 notification dated 13.3.1984 (32-5 villages) surrounding the   F
 area declared under the notification dated 1.11.1965
 forms the second concentric circle. Therefore, the
 boundaries of the lands declared under the notification
 dated 13.3.1984, would also include the lands which are
 declared under the notification dated 1.11.1965 and            G
therefore, the 16 villages which are the subject matter of
 the impugned acquisition, are part of the Bangalore
 Metropolitan Area. [Para 34] [104-G-H; 105-A-C]
   3.5. It cannot be said that the note at the end of II
Schedule to the notification dated 13.3.1984 excluded the H
    42     SUPREME COURT REPORTS              [2010] 6 S.C.R.

A Bangalore city planning area declared under the
  notification dated 1.11.1965. As the planning area that was
  being declared under the notification dated 13.3.1984, was
  in addition to the area that was declared under the
  notification dated 1.11.1965, it was made clear in the note
B at the end of the notification dated 13.3.1984 that the area
  declared under the notification dated 1.11.1965 is to be
  excluded. The purpose of the note was not to exclude the
  area declared under the notification dated 1.11.1965 from
  the local planning area. The intention was to specify what
c was being added, to the local planning area declared
  under the notification dated 1.11.1965. But in the
  notification dated 1.3.1988, what is declared as the
  Bangalore Metropolitan Area is the area that is within the
  boundaries indicated in schedule II to the notification
  dated 13.3.1984, which is the area notified on 1.11.1965
0
  as also the area notified on 13.3.1984. The note in the
  notification dated 13.3.1984 was only a note for the
  purposes of the notification dated 13.3.1984 and did not
  form part of the notification dated 1.3.1988. There is
  therefore no doubt that the in.tention of the State
E Government was to include the entire area within the
  boundaries described in Schedule II, that is the area
  declared under two notifications dated 1.11.1965 and
  13.3.1984, as the Bangalore Metropolitan Area. [Para 35]
  [105-D-H; 106-A-B]
F
       3.6. It is true that the wording of the notification is
  clumsy and ambiguous. When there is vagueness and
  ambiguity, an interpretation that would avoid absurd
  results should be adopted. The interpretation put forth by
G the appellants, if accepted would mean the outer centric
  circle of Bangalore which consists of only the peripheral
  villages would be the Bangalore Metropolitan Area and
  neither the Bangalore city nor the 218 villages
  immediately adjoining and surrounding the Bangalore
H city would form part of Bangalore Metropolitan Area. This
       BONDU RAMASWAMY v. BANGALORE                    43
          DEVELOPMENT AUTHORITY
is absurd and will be in direct violation of Section 2(c) of A
BOA Act which states that Bangalore City and the areas
surrounding it where City of Bangalore Improvement Act,
1945 was in force, will form part of Bangalore Metropolitan
Area. [Para 37] [106-0-H]
                                                             8
     3.7. The doctrine of casus omissus is a general rule
that the court may not by construction insert words or
phrases in a statute or supply a casus omissus by giving
force and effect to the language of the statute when
applied to a subject about which nothing whatever is
said, and which, to all appearances, was not in the mind C
of the legislature at the time of the enactment of law. But
the position will be different where the language is
ambiguous and an intelligible interpretation would require
addition of words particularly when the intention of the
State Government is clear and evident and it is reiterated D
by the State Government and the BOA. When the object
or policy of a statute can be ascertained, imprecision in
its language should not be readily allowed in the way of
adopting a reasonable construction which avoids
absurdities and incongruities and carries out the object E
or policy. A court cannot supply a real casus omissus,
nor can it interpret a statute to create a casus omissus
when there is really none. [Para 39] [107-G-H; 108-A-O]
    Dr. Baliram Waman Hiray v. Justice 8. Lentin and Ors.   F
1988 (4) SCC 419; S. R. Bommai and Ors. v. UOI and Ors.
1994 (3) SCC 1; Padma Sunder Rao v. State of Tamil Nadu
2002 (3) sec 533, referred to
     American Jurisprudence, 2nd Series Vol. 73; Principles
of Statutory Interpretation by Justice G. P. Singh 2008 G
Edition - Page 65, referred to.
     3.8. Section 2(c) of BOA Act makes it clear that the
city of Bangalore as defined in the Municipal Corporation
Act is part of Bangalore Metropolitan Area. It also makes
it clear that the areas where the city of Bangalore H
    44      SUPREME COURT REPORTS                [2010] 6 S.C.R.

A   Improvement Act, 1945 was in force, is also part of
    Bangalore Metropolitan Area. It contemplates other areas
    adjacent to the aforesaid areas being specified as part of
    Bangalore Metropolitan Area by a notification. Therefore,
    clearly, the area that is contemplated for being specified
B   in a notification u/s. 2(c) is "other areas adjacent" to the
    areas specifically referred to in Section 2(c). But it is seen
    from the notification dated 1.3.1988 that it does not
    purport to specify the "such other areas adjacent" to the
    areas specifically referred to in section 2(c), but purports
c   to specify the Bangalore Metropolitan Area itself as it
    states that it is specifying the "areas for the purpose of
    the said clause". If the notification specifies the entire
    Bangalore Metropolitan Area, the interpretation put forth
    by the appellants that only the villages included in
    Schedule I to the notification dated 13.3.1984 would be
D
    the Bangalore Metropolitan Area, would result In an
    absurd situation. The notification dated 1.3.1988 made It
    clear that the Bangalore Metropolitan Area would be the
    area within the boundaries Indicated in II Schedule to the
    notification dated 13.3.1984. It would mean that the three
E   areas, namely, the central core area, the adjoining 218
    villages constituting the first concentric circle area and
    the next adjoining 325 villages forming the second
    concentric circle are all included within the Bangalore
    Metropolitan Area. What ls already specifically included
F   by Section 2(c) of BOA Act cannot obviously be excluded
    by notification dated 1.3.1988 while purporting to specify
    the additional areas adjoining to the areas which were
    already enumerated. Therefore, the proper way of reading
    the notification dated 1.3.1988 is to read it as specifying
G   325 villages which are described in the First Schedule to
    the notification dated 13.3.1984 to be added to the
    existing met:nnolitan area and clarifying that the entire
    areas within the boundaries of Second Schedule to the
    notification dated 13.3.1984 would constitute the
H
       BONDU RAMASWAMY v. BANGALORE                      45
           DEVELOPMENT AUTHORITY
Bangalore Metropolitan Area. [Para 40) (108-G-H; 109-A-        A
H; 110-A-C]
Question (iv) - Re : Invalidity of final declaration with
reference to time limit in Section 6 of Land Acquisition
Act:
                                                               B
     4. BOA Act contains provisions relating to
acquisition of properties, up to the stage of publication
of final declaration. BOA Act does not contain the
subsequent provisions relating to completion of the
acquisition, that is issue of notices, enquiry and award,
vesting of land, payment of compensation,· principles
relating to determination of compensation etc. Section 36
of BOA Act does not make the Land Acquisition Act
applicable in its entirety, but states that the acquisition
under BOA Act, shall be regulated by_ the provisions, so       o
far as they are applicable, of Land Acquisition Act.
Therefore it follows that where there are already
provisions in the BOA Act regulating certain aspects or
stages of acquisition or the proceedings relating thereto,
the corresponding provisions of LA Act will not apply to       E
the acquisitions under the BOA Act. Only those
provisions of LA Act, relating to the ~tages of acquisition,
for which there is no provision in the BOA Act, are applied
to the acquisitions under the BOA Act. The BOA Act
contains specific provisions relating to preliminary
notification and final declaration. In factthe procedure up
                                                               F
to final declaration under BOA Act is different from the
procedure under the Land Acquisitio11 Act relating to
acquisition proceedings up to the stage of final
notification. Therefore, having regard to the Scheme for
acquisition u/ss. 15 to 19 of the BDA Act and the limited      G
application of Land Acquisition Act in terms of Section
36 of BOA Act, the provisions of Sections 4 to 6 of Land
Acquisition Act will not apply to the acquisitions under
the BOA Act. If Section 6 of Land Acquisition Act is not
 made applicable, the question of amendment to Section         H
    46      SUPREME COURT REPORTS                [2010] 6 S.C.R.

A 6 of Land Acquisition Act providing a time limit for issue
  of final declaration, will also not apply. The final
  declaration dated 23.2.2004 does not suffer from any
  infirmity on account of the same having been published
  a few days beyond one year from the date of publication
B of the preliminary notification u/ss. 17 (1) and (3) of the
  BOA Act. [Para 43 & 44] (111-C-H; 112-A; G-H; 113-A]
        Munithimmaiah vs. State of Karnataka 2002 (4) SCC
    326, relied on
c Question (v) - Re: Applicability of Sections 4, 5A & 6 of
    Land Acquisition Act:
       5.1. It is not correct to say that the BOA Act has to
  yield to Land Acquisition Act and consequently, tile
  provisions of Sections 4, 5 and 6 of Land Acquisition Act
D will be applicable and have to be complied with fo1·
  acquisitions under the BOA Act. [Para 51] [119-E]
         5.2. The assumption by the appellant that Chapter Ill
    of the BOA Act relating to development schemes does not
E   provide for acquisition, is erroneous. Sections 15 to 19
    of the BOA Act contemplate drawing-up of a
    development scheme or additional development scheme
    for the Bangalore Metropolitan Area, containing the
    particulars set down in Section 16 of the said Act, which
F   includes the details of the lands to be acquired for
    execution of the scheme. Section 36 of BOA Act provides
    that the "acquisition of land under this Act", shall be
    regulated by the provisions, so far as they are applicable
    of the Land Acquisition Act. In view of the categorical
G   reference in Section 36 of the BOA Act, to acquisitions
    under that Act, there cannot be any doubt that the
    acquisitions for BOA is not under the Land Acquisition
    Act, but under the BOA Act itself. It is also clear from
    Section 36 that Land Acquisition Act, in its entirety, is not
    applicable to the acquisition under the BOA Ace, but only
H   such of the provisions of the Land Acquisition Act for
       BON DU RAMASWAMY v. BANGALORE                       47
           DEVELOPMENT AUTHORITY
which a corresponding provision is not found in the BOA A
Act, will apply to acquisitions under the BOA Act. In view
of Sections 17 to 19 of the BOA Act, the corresponding
provisions - Sections 4 to 6 of the Land Acquisition Act
will not apply to acquisitions under the BOA Act. [Para
47] [114-E-F; 115-E-G]                                     B
      5.3. The question of repugnancy arises only when
both the legislatures are competent to legislate in the
same field, that is, when both the Union and State laws
relate to a subject in List Ill of Seventh Schedule of the
Constitution. Article 254 has no application except where         C
the two laws relate to subjects in List Ill. But if the law
made by the State Legislature, covered by an Entry in the
State List, incidentally touches upon any of the matters
in the Concurrent List, it is well~settled that it will not be
considered to be repugnant to an existing Central law             D
with respect to such a matter enumerated in the
Concurrent List. In such cases of overlapping between
mutually exclusive lists, the doctrine of pith and
substance would apply. Article 254(1) will have no
application if the State law in pith and substance relates        E
to a matter in List II, even if it may incidentally trench upon
some item in List Ill. Where the law covered by an Entry
in the State List made by the State Legislature contains
a provision which direi:tly and substantially relates to a
matter enumerated in the Concurrent List and is                   F
repugnant to the provisions of any existing law with
respect to that matter in the Concurrent List, then the
repugnant provision in the State List may be void unless
it can co-exist and operate without repugnancy to the
provisions of the existing law. The BOA Act is an Act to          G
provide for the establishment of a development authority
to facilitate and ensure planned growth and development
 of the City of Bangalore and areas adjacent thereto, and
that acquisition of any lands, for such development, is
 merely incidental to the main object of the Act, that is         H
     48       SUPREME COURT REPORTS             [2010] 6 S.C.R

A development of Bangalore Metropolitan area. In pith and
  substance, the BOA Act is one which squarely falls under
  Entry 5 of List II of the Seventh Schedule and is not a law
  for acquisition of land like the Land Acquisition Act,
  traceable to Entry 42 of List Ill of the Seventh Schedule,
B the field in respect of which is already occupied by the
  Central Act, as amended from time to time. If at all, BOA
  Act, so far as acquisitfon of land for its developmental
  activities is concerned, in substance and effect will
  constitute a special law providing for acquisition for the
C special purposes of BOA and the same will not be
  considered to be a part of the Land Acquisition Act. The
  appellant have erroneously assumed that BOA Act is a
  law referable to Entry 42 of List Ill, while it is a law
  referable to Entry 5 of List II. Hence the question of
  repugnancy and Section 6 of the Land Acquisition Act
0
  prevailing over Section 19 of BOA Act would not at all
  arise. [Para 49] [116-F-H; 117-A-H; 118-A]
          Mis. Hoechst Pharmaceuticals vs. State of Bihar - 1983
     (4) SCC 45; Megh Raj v. Allah Rakhia AIR 1947 PC 72;
E:   Lakhi Narayan v. Province of Bihar AIR 1950 FC 59, relied
     on.
           Munithimmaiah v. State of Karnataka 2002 (4) SCC 326,
     referred to.
F      5.4. The assumption that a final declaration u/s. 19
  has to be preceded by an inquiry, similar to what is
  contemplated u/s. 5A of Land Acquisition Act, is without
  any basis. The scheme of BOA Act also contemplates
  consideration of objections but does not require any
G personal hearing or inquiry. While the scheme for
  acquisition under the Land Acquisition Act and the BOA
  Act contemplates notice to the landholders/persons
  interested, the procedure thereafter is markedly different.
  Therefore, it is impermissible to import the requirement
H of Section 5A of Land Acqusition Act in regard to
       BONDU RAMASWAMY v. BANGALORE                      49
           DEVELOPMENT AUTHORITY
acquisitions under the BOA Act. [Para 50] [118-B, F-G;        A
119-D]
Question (vi) - Re : Non-compliance with Sections 15 to
19 of the BOA Act:
(a) Absence of Specifying and Discrepancy in extract:         B
    6.1. The mere fact that there were some modifications
from time to time between the date when the initial
proposal was mooted till the issue of the notification u/s.
17(1) and (3) or that some lands were omitted/deleted in
the declaration u/s. 19(1) will not affect the validity of the C
scheme. The changes and modifications are intact
contemplated in the process of making the scheme u/ss.
15 to 19 of BOA Act. [Para 56] [123-B-D]
(b) Non-furnishing of material particulars to the             o
Government for the purpose of sanction:
      6.2. It cannot be said that the material required for
seeking sanction had not been furnished by the BOA to
the Government. Section 18 is clear about the material to
be furnished by the BOA for seeking sanction of the E
scheme. On examining the records of the BOA and the
Government, the Division Bench recorded a finding that
all the required particulars had been furnished so that the
Government can apply its mind. In fact, the notings show
that in response to the further information sought by the F
Government, the Authority furnished the required
information. The project map was not one of the
documents that had to be furnished by the BOA while
seeking sanction of the scheme. In fact the scheme report
had been submitted on 5.2.2004 itself and that had been G
made available to the Government. The Government had
stated therein that whatever particulars that were required
to be furnished, had been furnished and they were
satisfied that the scheme required to be sanctioned. It is
                                                            H
    50        .SUPREME COURT REPORTS           (20'10] 6 S.C.R.


A   only thereafter that sanction was granted. [Para 60) [126-
    D-H; 127-A-B]
    (c) Absence of valid sanction by the Government:
        6.3. In the instant case, the matter (relating to
B sanction u/ss. 18(3) of BOA Act) was placed befo.re the
  Chief Minister who also happened to be the Ministt:lr-in-
  Charge on 20.2.2004. He granted the approval subject to
  ratification by the Cabinet. In view of the subsequent
  ratification by the Cabinet there is nothing irregular in the
c procedure adopted. The delay in ratification was on
  account of the dissolution of the House. [Para 62) [129-
    F-H]
       6.4. It cannot be said that the sanction is void. Rule
  12 requires that the matter should ordinarily be
D considered at a meeting of the Cabinet. This itself shows
  that there can be exceptional circumstances where it will
  not be possible to place it before the Cabinet. The
  approval granted by the Chief Minister, subject to the
  ratification of the Cabinet was treated by the Urban
E Development Department as approval for the sanction u/
  s. 18(3) and a Government order was made in the name
  of the Governor granting sanction u/s. 18(3) of the BOA
  Act. The State Government also issued a final declaration
  u/s. 19(1) of BOA Act. It is thus evident that the State
F Government proceeded on the basis that the order of
  approval of the Chief Minister for the sanction, was
  sufficient for grant of sanction. Even if it is to be assumed
  that such approval was irregular as it was made subject
  to ratification, as the ratification was subsequently made,
G the challenge for want of proper approval of the Cabinet
  for the sanction cannot be accepted. (Para 63) (130-A-D]
    Question (vii) : Re : Discrimination, malafides and
    arbitrariness : .

H
           7.1. The State Government granted sanction for
       BONDU RAMASV'!AMY v. BANGALORE                   51
           DEVELOPMENT AUTHORITY
acquisition of 2750 acres after noting that 589 acres 12 A
guntas was excluded from the proposed extent of 3339
acres 12 guntas, after considering the representations
received in pursuance of notices issued u/s. 17(5~of BOA
Act. But when the cases came up before the High Court
and this court, the categorical case of BOA is that the total B
area notified u/s. 17(1) and (3) of the BOA Act, was 3839
acres 12 guntas and that the area deleted/excluded was
1089 acres 12 guntas. How the preliminary notification
extent ar1::1a increased by 500 acres and how the area
deleted also increased exactly by 500 acres is not c
properly explained and ic; virtually a mystery. [Para 64]
[131-0-F]
     7.2. The BOA does not seriously dispute the fact that
there were some amount of arbitrariness and
discrimination in the matter of inclusions and exclusions. D
Apart from that the BOA has not come up with true and
correct position. The break up of deletions and the
reasons for such deletions have not been disclosed. The
extent of deletion without explanation has jumped froi:n
589.12 acres to 1089.12 acres. The BOA has not chosen E
to explain the exact extent of the Government land
involved. Even the map produced showing the 2750 acres
of acquired land and 1089 acres 12 guntas of deleted
area contains several discrepancies. [Para 69, 70] [134-
C-F]                                                       F
     7.3. The acquisition was for planned development of
the city and to avoid haphazard growth. But when the
layout plan is examined with reference to the preliminary
notification and final declaration, several startling facts
emerge. Pick and choose method was adopted with G
reference to two villages. Haphazard and arbitrary
exclusions are in several other villages also, though not
to the extent in the above-mentioned two villages. [Para
72, 73) [135-G-H; 136-A, G]
                                                            H
       52     SUPREME COURT REPORTS             (2010) 6 S.C.R.

A          7.4. The object of establishing a deve.lopment
       authority is to provide fo.r orderly and planned
       development so that the haphazard growth of a city is
       checked. Large tracts of lands running into hundreds of
       acres are acquired to have integrated layouts. [Para 74)
1::3   [138-B; 139-A]
      7.5. If authorities like BOA notify 3000 acres of land
  for development and then delete from the proposed
  acquisition several pockets which aggregate to about
  1000 to 1500 acres, then the result is obvious. There will
C be no integrated development at all. What was intended
  to be a uniform, contiguous and continuous layout of
  3000 acres will get split into small pockets which are not
  connected with the other pockets or will be intersected
  by own illegal pockets of private colonies thereby
D perpetuating what was intended to be prevented, that is
  haphazard growth without proper infrastructure. [Para
  75) [140-B-C]
      7.6. The deletion from proposed acquisition should
E be only with regard to areas which are already well
  developed in a planned manner. Sporadic small
  unauthorised constructions in unauthorised colonies/
  layouts, are not to be deleted as the very purpose of
  acquisition for planned development is to avoid such
  unauthorised development. If hardship is the reason for
F such deletion, the appropriate course is to give
  preference to the land/plot owners in making allotments
  and help them to resettle and not to continue the illegal
  and haphazard pockets merely on the ground that some
  temporary structure or a dilapidated structure existed
G therein. A development authority should either provide
  orderly development or should stay away from
  development. The power of deletion and withdrawal
  unless exercised with responsibility and fairly and
  reasonably, will play havoc with orderly development, will
H add to haphazard and irregular growth and create
        BONDU RAMASWAMY v. BANGALORE                      53
            DEVELOPMENT AUTHORITY
discontent among sections of society who were not               A
fortunate to have their lands deleted. [Paras 76 and 77]
[141-C-G]
       7.7. Single Judge as also the Division Bench of High
  Court have concurrently found that BOA had indulged in
                                                                8
  pick and choose deletions and acquisitions. They have
  found discrimination and irregularities, both in initial
  omission of certain lands and in deleting of some lands
. which were notified. They have also recorded a finding
  that having regard to the nature of deletions, the required
  lands do not form a continuous or contiguous area and         C
  acquisition of small extents of land surrounded by large
  chunks of un-acquired lands and lands which have been
  omitted from acquisition would make the development of
  acquired pockets exceedingly difficult. [Para 78] [142-0-
 E]                                                             D
      7.8. The Division Bench was of the view that
quashing of the entire acquisition may not be the remedy.
It, therefore, decided to salvage t~e situation by issuing
a series of directions, whereby the land owners were            E
permitted to apply for· deletion of their lands also from
acquisition on the ground that (a) the lands were situated
within green belt area; (b) the lani,s were totally built up;
(c) the lands had buildings constructed by charitable,
educational and/or religious institutions; (d) the lands
were used for nurseries; (e) lands where running factories
                                                                F
had been set up; and (f) lands were similar to the
adjoining lands which were not notified for acquisition.
The Court directed that if the BOA comes to the
conclusion that the lands of applicants were released are
similar to those which have been excluded from                  G
acquisition their lands should also be deleted from
acquisition. [Para 79] [142-F-H; 143-A]
      7.9. The fact that an Authority has extended favours
 illegally in the case of several persons cannot be a           H
    54      SUPREME COURT REPORTS                [2010) 6 S.C.R.

A ground for courts to issue a mandamus directing
  repetition thereof, by applying the principle of equality.
  Article 14 guarantees equality before law and not equality
  in subverting law nor equality in securing illegal benefits.
  But courts cannot be silent bystanders If acquisition
s process is used by officers of the Authority with ulterior
  or malafide motives. [Para 81) [146-D-F]
      Chandigarh Admn. and Anr. v. Jagjit Singh and Anr.
  1995 (1) SCC 745; Gurshanan Singh and Ors. v. New Delhi
  Municipal Committee and Ors. 1996 (2) SCC 459; State of
C Haryana v. Ram Kumar Mann 1997 (3) SCC 321, relied on
         7.10. A land owner is not entitled to seek deletion of
    his land from acquisition, merely on the ground that lands
    of some others have been deleted. He should make out
0   a justifiable cause for deleting his land from acquisition.
    If the Rules/Scheme/Policy provides for deletion of
    certain categories of land and if the petitioner falls under
    those categories, he will be entitled to relief. But if under
    the Rules or Scheme or policy for deletion, his land is not
E   eligible for deletion, his land cannot be deleted merely on
    the ground that some other land similarly situated had
    been deleted (even though that land also did not fall
    under any category eligible to be deleted), as that would
    amount to enforcing negative equality. But where large
    extents of land of ot~ers are indiscriminately and
F   arbitrarily deleted, then the court may grant relief, if on
    account of such deletions, the development scheme for
    that ar"!•' has become inexecutable or has resulted in
    abandonment of the scheme. Alternatively, if a common
    factor can be identified in respect of other lands which
G   were deleted, and if the petitioner's land also has that
    common factor, relief can be granted on the ground that
    the Authority had adopted the common factor as the
    criterion in the case of others and therefore adopting the
    same yardstick, the land of petitioners also should be
H   deleted. These principles may be kept in view while
         BONDU RAMASWAMY v. BANGALORE                       55
            DEVELOPMENT AUTHORITY
 implementing direction of the Judgment of the Division           A
 Bench of the High Court. [Para 82] [148-G-H; 149-A-D]
       7.11. Frequent complaints and grievances in regard
  to the following areas, with reference to the prevailing
  system of acquisitions governed by Land Acquisition
  Act, 1894, requires the urgent attention of the State 8
  Governments and development authorities: (i) absence of
  proper or adequate survey and planning before
  embarking upon acquisition; (ii) indiscriminate use of
  emergency provisions in Section 17 of the Land
  Acquisition Act; (iii)notification of areas far larger than C
. what is actually required, for acquisition, and then making
, arbitrary deletions and withdrawals from the acquisitions;
  (iv)offer of very low amount as compensation by Land
  Acquisition Collectors, necessitating references to court
  in almost all cases; (v) inordinate delay in payment of D
  compensation; and (vi) absence of any rehabilitatory
  measures. [Para 84] [152-C-GJ
    Special Land Acquisition Officer v. Mahaboob 2009 (3)
 SCALE 263, referred to.
                                                                  E
        7 .12. There are several avenues for providing
   rehabilitation and economic security to land-losers. They
   can be by way of offering employment, allotment of
   alternative lands, providing housing or house plots,
   providing safe investment opportunities for the F
   compensation amount to generate a stable income, or
   providing a permanent regular income by way of
 , annuities. The nature of benefits to the landlosers can
 ) vary depending upon the nature of the acquisition. For
1 this limited purpose, the acquisitions can be conveniently G
   divided into three broad categories: (i) Acquisitions for
   the benefit of the general public or in national interest; (ii)
   Acquisitions for economic. development and industrial
   growth; and (iii) Acquisitions for planned development of
   urban areas. [Para 85] [153-B-F]                                H
    56     SUPREME COURT REPORTS               [2010] 6 S.C.R.

A      7.13. Acquisitions of the first kind, does not normally
  create any resistance or hostility. But in acquisitions of
  the second kind, where the beneficiaries of acquisition
  are industries, business houses or private sector
  companies and in acquisitions of the third kind where the
B beneficiaries are private individuals, there is a general
  feeling among the land-losers that their lands are taken
  away, to benefit other classes of people; that their lands
  are given to others for exploitation or enjoyment, while
  they are denied their land and their source of livelihood.
c When this grievance and resentment remains
  unaddressed, it leads to unrest and agitations. The
  solution is to make the land-losers also the beneficiaries
  of acquisition so that the land-losers do not feel alienated
  but welcome the acquisition. [Para 86] [154-A-D]
D     7.14. It is necessary to evolve tailor-made schemes
  to suit particular acquisitions, so that they will be smooth,
  speedy, litigation free and beneficial to all concerned.
  Proper planning, adequate counselling, and timely
  mediation with different groups of land-losers, should be
E resorted. [Para 87] [154-E-F]
       7.15. In acquisitions of the first kind the State should
  however ensure that the landloser gets reasonable
  compensation promptly at the time of dispossession, so
  that he can make alternative arrangements for his
F rehabilitation and survival. Where the acquisition is for
  industrial or business houses the State should act as a
  benevolent trustee and safeguard the interests of the
  landlosers. The Land Acquisition Collectors should also
  become Grievance Settlement Authorities. The various
G alternatives including providing employment, providing
  equity participation, providing annuity benefits ensuring
  a regular income for life, providing rehabilitation in the
  form of housing or new businesses, should be
  considered and "Nhichever is 'ound feasible or suitable
H should be made an integral process of the scheme of
          BONDU RAMASWAMY v. BANGALORE                57
              DEVELOPMENT AUTHORITY
such acquisitions. Where the acquisition is of the third A
kind, the land-losers can be given a share in the
development itself, by making available a reasonable
portion of the developed land to the land-loser so that he
can either use it personally or dispose of a part and retain
a part or put it to other beneficial use. [Para 87] [154-G- B
H; 155-A, D; 155-E-G]
     ,·

     7.16. There is also a ·need for' the Law Commission
and the Parliament to revisit the Land Acquisition Act,
1894, which is more than a century old. There is also a
need to remind Development Authorities that they exist C
to serve the people and not vice versa. Any development
scheme should be to benefit the society and improve the
city, and not to benefit the Development Authority. [Para
88) [156-E-H]
                                                           D,
     7.17. Where arbitrary and unexplained deletions and .
exclusions from acquisition, of large extents of notified
lands, render the acquisitions meaningless, or totally
unworkable, the court will have no alternative but to
quash the entire acquisition. But where many land-losers E
have accepted the acquisition and received the
compensation, and where possession of considerable
portions of acquired lands has already been taken, and
development activities have been carried out by laying
plots and even making provisional or actual allotments, F
those factors have to be taken note of, while granting
relief. The Division Bench has made an effort to protect
the interests of all parties, on the facts and
circumstances, by issuing detailed directions. But
implementation of these directions may lead to further
litigations and complications. To salvage the acquisition G
and to avoid hard~hips to BOA and its allottees and to
avoid prolonged further round litigations emanating from
the directions of the High Court, a more equitable way
would be to uphold the decision of the Division Bench,
 but subject BDA's actions to certain corrective measures H
    58      SUPREME COURT REPORTS                [2010] 6 S.C.R.

A   by requiring it to re-examine certain aspects and provide
    an option to the landlosers to secure some additional
    benefit, as an incentive to accept the acquisition. A
    direction to provide an option to the land-losers to seek
    allotment of developed plots in lieu of compensation or
s   to provide for preferential allotment of some plots at the
    prevailing market price in addition to compensation will
    meet the ends of justice. Such directions will not be in
    conflict with the BOA (Allotment of sites) Rules, as they
    are intended to save the acquisitions. [Para 90) [157-G-
C   H; 158-A-O]
    Conclusion:
         8.1. In regard to the acquisition of lands in two
    villages, BOA is directed to re-consider the objections to
0   the acquisitions having regard to the fact that large areas
    were not initially notified for acquisition, and more than
    50% of whatever that was proposed for acquisition was
    also subsequently deleted from acquisition. BOA has to
    consider whether in view of deletions to a large extent,
E   whether development with respect to the balance of the
    acquired lands has become illogical and impractical, and
    if so, whether the balance area also should be deleted
    from acquisition. If BOA proposes to continue the
    acquisition, it shall file a report within four months before
    the High Court so that consequential orders could be
F   passed. [Para 91) [158-G-H; 159-A-B]
      8.2. In regard to villages where there are several very
  small pockets of acquired lands surrounded by lands
  which were not acquired or which were deleted from the
G proposed acquisition, BOA may consider whether such
  small pockets should also be deleted if they are not
  suitable for forming self contained layouts. The
  acquisition thereof cannot be justified on the ground that
  these small islands of acquired land, could be used as a
H stand alone park or playground in regard to a layout
       BONDU RAMASWAMY v. BANGALORE                    59
           DEVELOPMENT AUTHORITY
formed in different unconnected lands in other villages. A
Similar isolated pockets in other villages should also be
dealt with in a similar manner. [Para 91) [159-C-E]
     8.3. BOA shall give an option to each writ petitioner
whose land has been acquired for the layout in question
to accept allotment of 15% (fifteen percent) of the land B
acquired from him, by way of developed plots, in lieu of
compensation (any fractions in ex_cessof 15% may be
charged prevailing rates of allotment) or (b)     in. cases
where the extent of land acquired exceeds half an acre,
to claim in addition to compensation (without prejudice c
to seek reference if he is not satisfied with the quantum),
allotment of a plot measuring 30' x 40' for every half acre
of land acquired at the prevailing allotment price. [Para
91) [159-E-H; 160-A]
                                                            D
                  Case Law Reference:
 2002 (4) sec 326          Relied on.        Paras 9, 44
 AIR 1958 SC 468           Followed          Para 10
 1963 Supp (1) SCR 912 Referred to.          Para 11        E
 1988 (4) sec 419          Referred to.      Para 39
 1994 (3) sec 1            Referred to.      Para 39
 2002 (3) sec 533          Referred to.      Para 39
                                                            ·F
 2002 (4) sec 326          Referred to.      Para 49
 1983 (4) sec 45           Relied on.        Para 49
 AIR 1947 PC 72            Relied on.        Para 49
 AIR 1950 FC 59            Relied on.        Para 49        G
 1995 (1) sec 745          Relied on.        Para 80
 1996 (2) sec 459          Relied on.        Para 80
 1997 (3) sec 321          Relied on.        Para 80        H
    60      SUPREME COURT REPORTS                  [2010] 6 S.C.R.


A     2009 (3) SCALE 263          Referred to.        Para 83
        CIVIL APPELLATE JURISDICTION : Civil Appeal No.
    4097 of 2010.
        From the Judgment & Order dated 25.112005 of the High
B   Court of Karnataka at Bangalore in W.A. Nos. 2625 of 2005,
    2626 & 2721 of2005 alongwith W.P. Nos. 11365 & 14771 of
    2005.
                                 With
c Civil Appeal Nos. 4133, 4098, 4099, 4100, 4101, 4102, 4103,
    4104,4105,4106,4107,4108,4109,4110,4111,4112,4113,
    4114,4115,4116,4117,4118,4119,4120,4121,4122,4123,
    4124, 4125, 4126, 4127, 4128, 4129, 4130, 4131, 4132 &
    4179-80 of 2010, SLP ..... (CC/No. 5682 of 2006)
D         Dushyant A. Dave, V.N. Lakshmi Naraina, K.K.
     Venugopal, Altaf Ahmed, P. Viswanatha Shetty, P.R.
     Ramesesh, Kiran Suri, Subramani, S.J. Smith, Girish
     Ananthamurthy, P.P. Singh, R.S. Hegde, Chandra Prakash,
     Rahul Tyagi, Savitri Pandy, Roy Abraham, Seema Jain,
E Himinder Lal, S.N. Bhat, N.P.S. Panwar, D.P. Chaturvedi,
     D.Pavanesh, Satya Mitra, Joseph Pookkatt, Prashant Kumar,
   · Pooja Dhar, Atrayee Majumdar, Nikhil Majithia, Saurabh Suman
     Sinha, Dileep Tandon, Shailesh Madiyal, Raka Bijoy Phookan,
     Hrishikesh Baruah, Arjun Bobde, Mahesh Agarwal, Rishi
F Agrawala, E.C. Agrawala, Gaurav Goel, S.S. Shamshery,
  · Pramod Kumar (for Dr. Kailash Chand),· N.D.R. Ramchandra
     Rao, Vaijayanthi Girish, T.V. Ratnam, K. Subba Rao, P.S.
     Dinesh Kumar, Naresh Kaushik, Lalita Kaushik, B.S. Methaila,
     Arnita Kalkal, Parag Goyal, Satish D., Kh. Nobin Singh, Nataraj
G R., Rajesh Mahale, Radhananda, Raghavendra S. Srivatsa,
     Rajesh Mahale, K.N. Manjunath, Jagjit Singh Chhabra, K.H.
     Soma Shekar, Prakash Kumar Singh, Priya Kasyap, Nikhil
     Nayyar, Ankit Singhal, Vivekananda, V.N. Raghupathy, G.V.
     Chandrashekar (for Anjana Chandrashekar), R.B. Phookan,
H (for J.S. Bhatia), S. Balaji, S. Sainivasan, Madhusmita Bora,
        80NDU RAMASWAMY v. BANGALORE                         61
            DEVELOPMENT AUTHORITY
S.R. Sharma, M:A. Chinnasamy, K. Krishna Kumar, B.B.               A
Chauhan, Sanjay Parikh, M.Qamaruddin, M. Qumaruddin (for
Ambar Qamaruddin), S.K. Kulkarni, Anukur S. Kulkarni,
Nirnimesh Dube, M. Gireesh Kumar, S.J. Aristotle, Vijay Kumar,
Sanjay R.Hegde; Anil K. Mishra, Vikrant Yadav, Rajesh
Srivastava; Krishnan Venugopal, Shashi Kiran Shetty, Sharan        B
Dev Singh Thakur, Pradeep Kr. Bakshi for the appearing
patties.

    The Judgment of the Court was delivered by

     R.V. RAVEENDRAN J. 1. Leave granted. These appeals            c
relate to the challenge of acquisition of lands for formation of
Arkavathi layout on the outskirts of Bangalore by the Bangalore
Development Authority [for short 'BOA'] under the Bangalore
Development Authority Act, 1976 ('BOA Act' or 'Act' for short).
      2. On 2.1.2001 the Executive Engineer (North) of BOA D
submitted a scheme report with detailed estimates for formation
of a proposed new layout in an area of 1650 acres spread over
twelve villages, to be called as 'Hennur Devanahalli Layout'. On
7.10.2002 after an initial sul'Vey, the Additional Land Acquisition
Officer of BOA submitted a report proposing that 3000 acres E
of land in the said twelve villages and two adjoining villages
(Chellakere and Kempapura) and suggested that scheme may
be called as 'Arkavathi Town or layout' instead of 'Hennur
Devanahalli layout'. The Commissioner agreed with the
proposal on 8.10.2002 and placed the matter before the F
Authority (that is the members constituting the Bangalore
Development Authority). The Authority in its meeting held on
10.12.2002 considered the proposal and decided to issue
preliminary notification under sub-sections (1) and (3) of section
17 of BOA Act proposing to acquire in all about 3000 acres of G
land in 14 villages. After the said resolution, lands in two more
villages (Nagavara and Hebbala) were also included to provide
better access to the layout. A preliminary notification dated
3.2.2003 under sub-sections (1) and (3) of section 17 of BOA
Act was issued proposing to acquire 3339 acres 12 guntas. H
     62       SUPREME COURT REPORTS                  (2010] 6 S.C.R.


A    Certain government lands, tanks, grazing lands, tank
     catchments area, stone quarry, burial grounds were shown in
     the Schedule to the notification dated 3.2.2003, but their extent
     was not included in the abstract of lands proposed to be
     acquired. The abstract apparently referred only to the ptlvate
s    lands to be acquired. In the circumstances, a modified
     preliminary notificatio.n was issued in August 2003 published
     in the Gazette dated 16.9.2003 showing the total extent of land
     likely to be needed for the purpose of formation of Akravathi
     Layout as 3839 A, 12 G of land. The s~id extent of land was
c    situated in the following 16 villages : (1) Dasarahalli (2)
     Byrathikhane (3) Chellakere (4) Geddalahalli (5) K.
     Narayanapura (6) Rachenahalli (7) Thanisandra (8)
     Amaruthahalli (9) Jakkur (10) Kempapura (11) Sampigehalli
     (12) Srirampura (13) Venkateshapura (14) Hennur (15)
     Hebbala and (16) Nagavara.
0
          3. Notices were issued to land owners under section 17(5)
     of the Act giving an opportunity to show cause why the
     acquisition should not be made. Public notice was also issued
     in the newspapers inviting objections. No objections were
 E   received in regard to 91 acres 7 Guntas. The objections
     received in regard to 2658 acres were considered and
     rejected. The Authority decided to seek the sanction of the
     government for the acquisition of 2750 acres of land, after
     deleting 1089 A 12 G acres of land from the proposed scheme.
 F   On 3.2.2004, the authority passed a resolution to obtain the
     approval of the state government for implementation of the
     Arkavathi layout under Section 15(2) of BDA Act and
     requesting sanction for acquisition of 2750 acres for formation
     of 28600 sites of different dimensions. The scheme as
G    modified at an estimated cost of Rs. 981.36 crores (in view of
     the reduction of the area to 2750 acres), along with the draft
     final notification and relevant records was forwarded by the
     BDA to the State Government, under cover of letter dated
     13.2.2004. After securing certain clarification, by Government
     Order dated 21.2.2004, the Sta.te government accorded
!H
     BONDU RAMASWAMY v. BANGALORE           63
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
sanction for the scheme under Section 18(3) of the Act. In A
pursuance of it, the .final declaration dated 23.2.2004 was
issued by the State Government, under section 19(1) of the Act
(published in the Karnataka Gazette on the same day) stating
that sanction had been granted for the scheme and declaring
that the lands specified in the Schedule thereto in all 2750 acres B
(a little more or less) were needed for the public purpose of
formation.of Arkavathi Layout. According to BOA, in pursuance
of the same, it made several awards from 12.5.2004 onwards
in regard to extent of 1618.38 acres took possession of
1459.37 acres of private land and 459.16 acres of government      c
land in all 1919.13 acres, and formed the layout by laying 14103
plots, apart from roads, drains etc.

    4. Several writ petitions were filed challenging the
acquisition. A learned Single Judge of the Karnataka High
Court by order dated 15.4.2005 allowed the writ petitions and     D
quashed the entire acqui~Jtion holding as follows:

     (i) BOA had no jurisdiction or authority to take· up any
     development scheme in Bangalore Metropolitan Area
     having regard to parts IX and IXA of the Constitution read   E
     with section 503B of the Karnataka Municipal Corporation
     Act, 1976.

     (ii) There were several discrepancies in the scheme and
     the scheme was not properly framed. There was also no
     application of mind by the State Government or proper        F
     consideration of the scheme, before according sanction
     under section 18(3) of the BOA Act.

     (iii) BOA Act has to yield to the provisions of the Land
     Acquisition Act, 1894 ('LA Act' for short) which is a central G
     legislation and ihe mandatory procedures laid down in the
     said Central Act had to be applied and followed even in
     regard to acquisitions under the BOA Act to have a
     uniformity. Neither the procedures laid down under the LA
     Act nor the procedures laid down under BOA Act were H
    64       SUPREME COURT REPORTS                  [201 OJ 6 S.C.R.


A        followed by BOA in regard to this acquisition.

         (iv) As BOA is not elected body having the mandate of the
         people, and as BOA is subordinate to the state
         government, it cannot acq.uire lands for public purpose and
         the notification under Section 17(1) of BOA Act is bad in
B
         law, for non-issue of a notification under Section 4(1) of
         LA Act by the State Government.

         (v) The Acquisition cannot be said to be for public purpose,
         as BOA did not demonstrate that 3000 acres were
c        required for 28600 plots and no valid reasons were
         assigned for deleting a large extent of land from the
         acquisition.

         (vi) The Commissioner of BOA could not authorise his
         subordinate, namely, the Addi. Land Acquisition Officer, to
D
         perform duties under section 4(2) of LA Act.

         (vii) The 'enquiry' by the Authority to consider the
         objections to the acquisition was not fair, reasonable or
         in compliance with the principles of natural justice.
E
         (viii) The action of BOA in forming sites for allotment, even
         before issuing a notification under section 16(2) of the LA
         Act (as amended in Karnataka), declaring that possession
         has been taken, was bad in law.
F
         (ix) The amendment to BOA (Allotment of Sites) Rules,
         1984, removing the restrictions on the allottee in regard
         to alienation/use, had the effect of reducing BOA, a
         statutory development authority, into a mere dealer/estate
         agent in real estate.
G
         (x) Deletion of lands similar to and contiguous to the lands
         of the appellants, while acquiring their lands, amounts to
         hostile discrimination violative of Article 14 of the
         Constitution.
H
     BONDU RAMASWAMY v. BANGALORE           65
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
      5. Feeling aggrieved, the BOA filed writ appeals which         A
were allowed by a division bench of the High Court, by a
common judgment dated 25.11.2005 and upheld the
acquisition. The Division Bench however affirmed the finding
of discrimination in acquisition of some lands while deleting
similarly placed adjacent lands and gave liberty to land owners      B
to file applications seeking withdrawal from acquisition on the
ground of discrimination. The Division Bench held:

    (i) BOA is not a municipality and the provisions of the BOA
    Act, which is a special legislation, are not inconsistent with   C
    Parts IX and IX(a) of the Constitution of India or the
    provisions of the Karnataka Municipal Corporations Act,
    1976 or the Karnataka Municipalities Act, 1964; and the
    provisions of BOA Act are neither impliedly nor expressly
    repealed by Part IX or IX(A) of the Constitution.
                                                                     D
    (ii) BOA Act is a special self-contained Code enacted by
    the State Government for development of Bangalore
    Metropolitan Area under power traceable to Entry 5 of List
    II of S~venth Schedule. Sections 4, SA and 6 of LA Act
    are not applicable and do not override the provisions of         E
    Section 17 to 19 of the BOA Act and the provisions of LA
    Act do not override the proviSions of BOA Act.

     (iii) The acquisition was for a public purpose and there is
     no violation of Article 19 or Article 21 of the Constitution
                                                                     F
     of India.

     (iv) The Commissioner of BOA, in his capacity as its Chief
     Executive and Administrative Officer is empowered to
     authorise his subordinates to enter upon the lands in
     question to carry out survey and measurements. The error        G
     in invoking Section 4(2) of LA Act instead of Section 52
     of BOA Act for entry and measurements is only mentioning
     of a wrong provision of law and does not vitiate the
     authorisation under Section 52 of BOA Act.
                                                                     H
    66          SUPREME COURT REPORTS                (2010] 6 S.C.R.


A        (v) The sanction accorded by the State Government under
         Section 18(3) of BOA Act is valid and does not suffer from
         the vice of non-application of mind. The procedure adopted
         namely Chief Minister approving the scheme subject to
         ratification by the Cabinet and the subsequent ratification
B        is valid and not open to question by appellants.

         (vi) Though there was discrimination in the matter of
         acquisition, that would not invalidate the acquisition and the
         same could be set right by consequential directions.

C        6. The Division Bench therefore set aside the order of the
    learned Single Judge. It also allowed a writ appeal filed by a
    former Chief Minister and expunged certain unwarranted
    remarks against the former Chief Minister in para 30 of the
    learned Single Judge's order and further held as follows :
D
          (C). The acquisition of the lands for the formation of
               Akravathi Layout is upheld subject to the following
               conditions :

          (a)    In so far as the site owners are concerned they are
E                entitled to the following reliefs :

          (i)    These site owners/writ petitioners shall register
                 themselves as applicants for allotment under the
                 Bangalore Development Authority (Allotment of
F                Site) Rules 1984 within a period of two months from
                 today (extendable by another one month by BOA, if
                 sufficient cause is shown). Petitioners will have to
                 pay the registration fee. They need not pay initial
                 deposit as their sites have been acquired and they
G                have agree not to receive compensation in regard
                 to the sites under this arrangement.

         (ii)    The petitioners shall file applications for allotment
                 of sites to BOA within three months from today in
                 the prescribed form stating that they are applicants
H                who were the petitioners in these writ petitions.
                                                                     I
     BONOU RAMASWAMY v. BANGALORE                             67
nEVELOPMENT AUTHORITY [R.V. RAVEENORAN, J.]
            Petitioners shall file their documents with BOA          A
            within a period of two months to enable BOA to
            verify the same.

    (iii)   BOA will treat them as applicants entitled to priority
            in allotment and allot each of them a site
                                                                     B
            measuring 30 x 40 in Arkavathi layout or in any
            other nearby layouts in Bangalore at the prevailing
            allotment prices subject to petitioners satisfying the
            twin requirements for allotment under the BOA
            (Allotment of sites) Rules 1984, that they must be
            the residents of Bangalore (ten year domicile) and
                                                                     c
            should not be owning any residential property in
            Bangalore.

    (iv)    If there are no rival claimants for compensation in
            regard to the plots claimed by petitioners, and if the   0
            ownership of the petitioners in regard to their
            respective sites which have been acquired is not
            disputed, BOA shall calculate the compensation
            payable to the petitioners and give credit to the
            same by adjusting the same towards the allotment         E
            price for the site to be allotted and call upon the
            petitioners to pay the balance. Petitioners shall be
            given six months time for making payment. {To
            enable petitioners to know the amount of
            compensation which they will be entitled and to          F
            ascertain how much balance they should pay].

    (v)     If there are rival claimants in regard to the survey
            numbers or the sites or if any petitioners title in
            regard to the sites are challenged, BOA shall make
            a reference in regard to the compensation in regard G
            to such site/land in question, to the civil court under
            section 30 of the Land Acguisition Act, 1894, and
            the petitioners will have to sort out the matter before
            the reference court. In that event, such petitioners ·
            will have to pay the full allotment price within the H
    68          SUPREME COURT REPORTS                  [2010] 6 S.C.R.

A                 time stipulated, without seeking adjustment of
                  compensation for the acquired site.

          (vi)    If any of the petitioners does not fulfil the
                  requirements for allotment, under the allotment
                  rules, their cases may be considered for allotment
B
                  of 20 x 30 sites as per the Rules containing
                  incentive scheme for voluntary surrender of lands.
                  For the purpose of the said scheme, such
                  petitioners will be deemed to have voluntarily
                  surrendered the sites.
c
          (vii) The above scheme will be available to only those
                who are owners, as a consequence of execution of
                registered sale deeds in their favour prior to the
                date of preliminary notification (and not to GPA/
D               Agreement holders).

         (D) In so far as the land owners excluding the site owners,
         are entitled to the following reliefs : -

          (i)     All the petitioners who are the land owners who are
E                 seeking dropping of the acquisition proceeding in
                  so far as their respective lands are concerned, on
                  the ground that (a) their lands are situated within
                  green belt area; (b) they are totally built up; (c)
                  properties wherein there are buildings constructed
F                 by charitable, educational and/or religious
                  institutions (d) nursery lands; (e) who have set up
                  factories (f) their lands are similar to the lands which
                  are adjoining their lands but not notified for
                  acquisition at all, are permitted to make appropriate
G                 application to the authorities seeking such exclusion
                  and exemption and producing documents to
                  substantiate their contentions within one month
                  from the date of this order.

                  It is made clear that the BOA shall consider such
H
      BONDU RAMASWAMY v. BANGALORE                            69
l?E.VFbPPM~NT AUTHORITY [R.V. RAVEENDRAN, J.)

           request keeping in mind the status of the land as         A
           on the date of preliminary notification and to exclude
           any developments, improvemer:its, constructions put
           up subsequent to the preliminary notification and
           they decided whether their cases as similar to that
           of the land owners whose lands, are notified for          B
           ~gquisition, flOtified and whose objections were
           upheld and no final natification is issued.

           In the event of BDA comes to the conclusion that
           the lands of those persons are similarly placed, then     C
           to exclude those lands from acquisition.

    (ii)   Petitioners who are interested in availing this
           benefit shall ma~e appropriate application within 30
           days from the date of this order and thereafter the
           BDA shall give notice to these persons, hear them         D
           13nd pass appropriate ·orders expeditiously.

    (iii) Till the ~foresaid exercise is undertaken by the BDA
           and the application filed by the petitioners either for
           allotment of site or for denotifying or exemption         E
           sought for are considered their possession shall not
           be disturbed and the existing construction shall not
           be demolished. After consideration of the
           applications, in the light of the aforesaid directions,
           if the lands are not excluded then the BOA is at          F
           liberty t<;> pr9ceed with the acquisition.

   (E) The BOA is directed to exclude the land bearing Sy.
   No.9/1 measuring 0.27, 10/2 measuring 1.16 and 10/3
   measuring 1.02 of land which are the subject matter of WP
   Nos; 1353-54 of 2005 filed by University of Agricultural          G
   Science Employees House Building Cooperative Society
   from acquisition.

   (F) W.P. No.28087 of 2004 is allowed and acquisition of
   land in respect of 53 acres of land in Nagavara villag~           H




                                         :   ...
    70       SUPREME COURT REPORTS                    [2010] 6 S.C.R.


A        which is the subject matter of the aforesaid writ petition Is
         quashed.

        7. The said judgment is challenged by the land-losers on
    several grounds. On the contentions urged, the following
B   questions arise for consideration :

         (i) Whether BOA Act, in so far as it provides for compulsory
         acquisition of property, is still-born and ineffective as it did
         not receive the assent of the President, as required by
         Article 31 (3) of the Constitution of India.
c
         (ii) Whether the provisions of the BOA Act, in particular
         section 15 read with section 2(c) dealing with the power
         of the Authority to draw up schemes for development for
         Bangalore Metropolitan Area became inoperative, void or
D        was impliedly repealed, by virtue of Parts IX and IX(A) of
         the Constitution inserted by the 73rd and 74th
         Amendments to the Constitution.

         (iii) Whether the sixteen villages where the lands have
         been acquired, fall outside the Bangalore Metropolitan
E        Area as defined in section 2(c) of the BOA Act and
         therefore, the Bangalore Development Authority has no
         territorial jurisdiction to make development schemes or
         acquire lands in those villages.

F         (iv) Whether the amendment to section 6 of the LA Act
          requiring the final declaration to be issued within one year
          from the date of publication of the preliminary notification
          is applicable to the acquisitions under the BOA Act; and
          whether the declaration under section 19(1) of BDA Act,
G         having been issued after the expiry of one year from the
         .date of the preliminary notification under section 17(1) and
          (3) of BOA Act, is invalid.

         (v) Whether the provisions of sections 4, 5A, 6 of LA Act,
         would be applicable in regard to acquisitions under the
H
     BONDU RAMASWAMY v. BANGALORE           71
DEVELOPMENT AUTHORITY [R.V. RAV~eNDRAN, J.]
     BDA Act and whether non-compliance with those                  A
     provisions, vitiate the acquisition proceedings.

     (vi) Whether the development scheme and the acquisitions
     are invalid for non-compliance with the procedure
     prescribed under sections 15 to 19 of the BDA Act in
                                                                    8
     regard to:
                        ,.
      (a) absence of specificity and discrepancy in extent of
            land to be acquired;

      (b)    failure to furnish material particulars to the         c
             government as required under section 18(1) read
             with section 16 of the BDA Act; and

      (c)    absence of valid sanction by the government, under
             section 18(3) of the BDA Act.
                                                                    D
     (vii) Whether the deletion of 1089 A.12G. from the
     proposed acquisition, while proceeding with the acquisition
     of similar contiguous lands of appellants amounted to
     hostile discrimination and therefore the lands of appellants
     also required to be withdrawn from acquisition.                E
            . '

Question (i) - Re : Invalidity on account of non-
compliance with Article 31 (3) of the Constitution.

     8. The contention of the appellants is as under : BOA Act
was enacted by the Karnataka Legislature, received the assent       F
of the Governor on 2.3.1976, was published in the Karnataka
Gazette dated 8.3.1976 and brought into force with
retrospective effect from 20. 12.1975. BDA Act provides for
compulsory acquisition of property, vide provisions contained
in Chapters Ill and IV. When the BDA Act was enacted and            G
brought into effect, Articles 19(1)(f) and 31 of the Constitution
were in force. Article 31(3) provided that no law providing for
                                                         a
acquisition of property for public purposes, made by State
Legislature shall have effect unless such law has been reserved
for the consideration of the President and has received his         H
    72      SUPREME COURT REPORTS                    [2010] 6 S.C.R.


A assent. BOA Act was not reserved for the consideration of the
  President; nor received his assent. Therefore, the BOA Act, in
  so far as it provides for acquisition of property, is still-born and
  ineffective. It is submitted that though Article 19(1)(f) and Article
  31 were omitted from the Constitution with effect from
B 20.6.1979, as such omission was not with retrospective effect,
  any law made prior to 20.6.1979 should be tested on the
  touchstone of the said articles.

       9. Article 31 of the Constitution dealt with compulsory
  acquisition of property. Clauses (1) to (3) of the said Article
C relevant for our purpose are extracted blow:

         "(1) No person shall be deprived of his property save by
         authority of law.

0        (2) No property, movable or immovable, including any
         interest in, or in any company owning any commercial or
         industrial undertaking, shall be taken possession of or
         acquired for public purposes under any law authorising the
         taking of such possession of such acquisition, unless the
         law provides for compensation for the property taken
E
         possession of or acquired and either fixes the amount of
         the compensation, or specifies the principles on which, and
         the manner in which, the compensation is to be determined
         and given.

F        (3) No such law as is referred to in clause (2) made by
         the Legislature of a State shall have effect unless such law,
         having been reserved for the consideration of the
         President, has received his assent."

G By the Constitution (Forty Fourth Amendment) Act, 1978, the
  right to property was deleted from the list of fundamental rights
  by omitting sub-clause (f) of clause (1) of Article 19.
  Simultaneously, Article 31 was also deleted with effect from
  20.6.1979 by the Constitution (Forty Fourth Amendment) Act,
H 1978. It is no doubt true that the BOA Act received only the
      BONDU RAMASWAMY v. BANGALORE           73
 DEVELOPMENT AUTHORITY [R.V. RAVEENORAN, J.]
  assent of the Governor and was neither reserved for the assent A
  of the President nor received the assent of the President. As
  clause (3) of Article 31 provided that a law providing for ·
  acquisition of property for public purposes, would not have
  effect unless such law received the assent of the President, it
  was open to a land owner to contend that the provisions relating B
  to acquisition in the BOA Act did not come into effect for want
  of President's assent. But once Article 31 was omitted from the
  Constitution on 20.6.1979, the need for such assent
  disappeared and the impediment for enforcement of the
  provisions in the BOA Act relating to acquisition also              c
. disappeared. Article 31 did not render the enactment a nullity,
 ·if there was no assent of the President. It only directed that a
  law relating to compulsory acquisition will not have effect unless
  the law received the assent of the President. As observed in
  Munithimmaiah v. State of Karnataka [2002 (4) SCC 326], O
  acquisition of property is only an incidental and not the main
  object and purpose of the BOA Act. Once the requirement of
  assent stood deleted from the Constitution, there was absolutely
  no bar for enforcement of the provisions relating to acquisition
  in the BOA Act. The Karnataka Legislature had the legislative E
  competence to enact such a statute, under Entry 5 of List II of
  the Seventh Schedule to the Constitution. If any part of the Act
  did not come into effect for non-compliance with any provision
  of the Constitution, that part of the Act may be unenforceable,
  but not invalid.
                                                                     F
        10. Our view is fortified by the following observations of a
  Constitution Bench of this Court in M.P. V. Sundararamier &
   Co. v. The State of Andhra Pradesh & Anr. [AIR 1958 SC 468]

                                                                      G
      "Now, in consiaering the question as to the effect of
      unconstitutionality of a statute, it is necessary to remember
      that unconstitutionality might arise either because the law
      is in respect of a matter not within the competence of the
      legislature, or because the matter itself being within its      H
    74       SUPREME COURT REPORTS                     [2010) 6 S.C.R.


A        competence, its provisions offend some constitutional
         restrictions. In a Federal Constitution where legislature
         powers are distributed between different bodies, the
         competence of the legislature to enact a particular law
         must depend upon whether the topic of that legislation has
B        been assigned by the Constitution Act to that legislature.
         Thi.is, a law of the State on an Entry in List I, Schedule VII
         of the Constitution would be wholly incompetent and void.
         But the law may be on a topic within its competence, as
         for example, an Entry in List II, but it might infringe
c        restrictions imposed by the Constitution on the character
         of the law to be passed, as for example, limitations
         enacted in Part Ill of the Constitution. Here also, the law to
         the extent of the repugnancy will be void. Thus, a legislation
         on a topic not within the competence of the legislature and
D        a legislation within its competence but violative of
         constitutional limitations have both the same reckoning in
         a court of law; they are both of them unenforceable. But
         does it follow from this that both the laws are of the same
         quality and character, and stand on the same footing for
         all purposes? This question has been the subject of
E
         consideration in numerous decisions in the American
         Courts, and the preponderance of authority is in favour of
         the view that while a law on a matter not within the
         competence of the legislature is a nullity, a law on a topic
         within the competence but repugnant to the constitutional
F        prohibitions is only unenforceable. This distinction has a
         material bearing on the present discussion. If a law is on
         a field not within the domain of the legislature, it is
         absolutely null and void, and a subsequent cession of that
         field to the legislature will not have the effect of breathing
G        life into what was a still-born piece of legislation and a fresh
         legislation on the subject would be requisite. But if the law
         is in respect of a matter assigned to the legislature but
         its provisions disregard constitutional prohibitions, though
         the law would be unenforceable by reason of those
H        prohibitions, when once they are removed, the law will
     BONDU RAMASWAMY v. BANGALORE                               75
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
    become effective without re-enactment."                           A
                                           (emphasis supplied)

    11. The appellants relied upon the following observations
in Mahendra Lal Jain v. State of UP & Ors. [1963 Supp (1)
SCR 912] :-                                                           B

    "Parliament and the Legislatures of States have power to
    make laws in respect of any of the matters enumerated in
    the relevant Lists in the Seventh Schedule and that power
    to make laws is subject to the provisions of the                  c
    Constitution, including Art. 13, i.e., the power is made
    subject to the limitations imposed by Part Ill of the
    Constitution. The general power to that extent is limited.
    The Legislature, therefore, has no power to make any law
    in derogation of the injunction contained in Art. 13. Art.        o
    13(1) deals with laws in force in the territory of India before
    the commencement of the Constitution and such laws
    insofar as they are inconsistent with the provisions of Part,
    Ill st:iall to the extent of such inconsistency be void. The
    clause, therefore, recognises the validity of the pre-            E
    Constitution laws and only declares that said· laws would
    be void thereafter to the extent of their inconsistency with
    Part Ill; whereas clause (2) of that Article imposes a
    prohibition· on the State making laws taking away or
    abridging the rights conferred by Part Ill, and declares that     F
    laws made in contravention of this clause shall to the extent
    of the contravention be void. There is a clear distinction
    between the two clauses. Under clause (1) a pre-
    Constitution law subsists except to the extent of its
    inconsistency with the provisions of part Ill, whereas no
    post-Constitution law can be made contravening the                G
    provisions of Part Ill and therefore the law to that extent,
    though made, is a nullity from its inception".

                                            (emphasis supplied)
                                                                      H
    76      SUPREME COURT REPORTS                    [201 O] 6 S.C.R.


A   On a careful consideration of the aforesaid observations, we
    are of the view that the said decision does not in any way
    express any view contrary to the clear enunciation of law in
    Sundaramier. In MafJendra Lal Jain, this court explained the
    difference between pre-constitutional laws governed by Article
B   13(1) and post-constitutional laws which are governed by Article
    13(2) and held that any post-constitutional law made in
    contravention of provisions of Part Ill, to the extent of
    contravention is a nullity from its inception. Let us now examine
    whether any provision of the BOA Act violated any provisions
c   of Article 31 in part Ill of the Constitution. Clause (1) of Article
    31 provided that no person shall be deprived of his property
    save by authority of law. As we are examining the validity of a
    law made by the state legislature having competence to make
    such law, there is no violation of Article 31(1). Clause (2) of
    Article 31 provided that no law shall authorise acquisition
0
    unless it provided for compensation for such acquisition and
    either fixed the amount of compensation, or specified the
    principles on which, and the manner in which, the compensation
    was to be determined and given. BOA Act, does not fix the
    amount of compensation, but Section 36 thereof clearly
E   provides that the acquisition will be regulated by the provisions
    of the Land Acquisition Act, 1894 so far as they are applicable.
    Thus the principles on which the compensation is to be
    determined and the manner in which the compensation is to
    be determined set out in the LA Act, become applicable to
F   acquisitions under BOA Act. Thus there is no violation of Article
    31(~). Article 31(3) merely provides that no law providing for
    acquisition shall have effect unless such law has received the
    assent of the President. Article 31(3) does not specify any
    fundamental right, but relates to the procedure for making a law
G   providing for acquisition. As noticed above, it does not nullify
    any laws, but postpones the enforcement of a law relating to
    acquisition, until it receives the assent of the President. There
     is therefore no violation of Part Ill of the Constitution that can
     lead to any part of the BOA Act being treated as a nullity. As
H   stated above, the effect of Article 31 (3) was that enforcement
     BONDU RAMASWAMY v. BANGALORE           77
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
of the provisions relating to acquisition was not possible/          A
permissible till the assent of the President was received.
Therefore, once the requirement of assent disappeared, the
provisions relating to acquisition beccime enforceable.

Question (ii) - Re : Invalidity with reference to Parts IX and
                                                                     8
IX-A of the Constitution

      12. Part IX and IX-A of the Constitution, relating to
Panchayats and Municipalities were inserted by the Constitution
(Seventy-third Amendment) Act, 1992 and Constitution
(Seventy-fourth Amendment) Act, 1992. Part IX and IX-A came C
into force on 24.4.1993 and 1.6.1993 respectively. The object
of Part-IX was to introduce the Panchayat system at grass root
level. As Panchayat systems were based on state legislations
and their functioning was unsatisfactory, the amendment to the
Constitution sought to strengthen the Panchayat system by D
giving a uniform constitutional base so that the Panchayats
become vibrant units of administration in the rural area by
establishing strong, effective and democratic local
administration so that there can be rapid implementation of
rural development programmes. The object of Part-IX as stated E
in the Statement of Objects & Reasons is extracted below:-

    "ln many States, local bodies have become weak and
    ineffective on account of variety of reasons, including the
    failure to hold regular elections, prolonged supersessions       F
    and inadequate devolution of powers and functions. As a
    result, urban local bodies are not able to perform effectively
    as vibrant democratic units of self-Government.

    Having regard to these inadequacies, it is considered
    necessary that provisions relating to urban local bodies are G
    incorporated in the Constitution, particularly for -

    (i) putting on a firmer footing the relationship between the
    State Government and the Urban Local Bodies with
    respect to:
                                                                     H
    78           SUPREME COURT REPORTS                [201 OJ 6 S.C.R.

A         (a)     the functions and taxation powers, and

          (b)     arrangements for revenue sharing.

          (ii)    ensuring regular conduct of elections.

B         (iii)   ensuring timely elections in the case of
                  supersession; and

         (iv) providing adequate representation for the weaker
         sections like Scheduled Castes, Scheduled Tribes and
         women".
c
        13. We may first refer to the provisions of Part IX in brief.
  Clause (d) and (e) of Article 243 define 'Panchayat' and
  'Panchayat area'. Article 2438 deals with constitution of
  Panchayats, Article 243C deals with composition of
D Panchayats. Article 2430 relates to reservation of seats.
  Article 243E stipulates the duration of Panchayats. Article 243F
  prescribes the disqualification for membership. 243G refers to
  powers, authorities and responsibilities of Panchayats. Article
  243H refers to power to impose taxes by Panchayats and funds
E of the Panchayats. Article 2431 directs the constitution of
  Finance Commissions to review the financial position. Article
  243J relates to audit of accounts of Panchayats. Article 243K
  relates to election to Panchyats. Article 243M enumerates the
  areas to which the part will not apply. Article 243N provides for
F continuance of existing laws and Panchayats.

       14. Similarly, in Part IX-A relating to Municipalities, the
  terms 'Metropolitan Area', 'Municipal Area', and 'Municipality'
  are defined by Clauses (c), (d) and (e) of Article 243P. Article
  2430 and Article 243R deals with the constitution and
G composition of Municipalities. Article 243S deals with
  constitution and composition of Ward Committees. Article 243T
  deals with reservation of seats. Article 243U deals with duration
  of Municipalities. Article 243V prescribes the disqualifications
  for membership. Article 243W enumerates the powers, authority
H and responsibilities of Municipalities. Article 243X empowers
     BONDU RAMASWAMY v. BANGALORE           79
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
 the legislature by law authorise municipalities to levy, collect A
 and appropriate taxes, duties, tolls and fees. Article 243Y
·requires the Finance Commission constituted under Article 2431
 to review the financial position of Municipalities and make
 recommendations, Article 243Z requires audit of accounts of
 Municipalities. Article 243ZA relates to elections. Article 243ZC B
 refers to the areas to which the part will not apply. Article 243ZD
 requires the constitution of Committees for district planning.
 Article 243ZE requires the constitution of Metropolitan Planning
 Committees for every Metropolitan Area arid preparation of a
 draft development plan for the. Metropolitan Area as a whole. c
 Article 243ZF provides for the continuance of existing laws and
 Municipalities for a period of one year.
                                          ·.
     15. We may now extract some of the Articles in Part-IXA
with reference to Municipalities, relevant for our purpose:-
                                                                  D
     "243P. Definitions.- In this part, unless the context
     otherwise requires-    · ·

     xxx xxx                     'xxx
     (c) "Metropolitan area" means an area having a population E
     of ten lakhs or more, comprised in orte oi"rnore districts
     and consisting of two or more Municipalities or Panchayats
     or other contiguous areas, specified by the Governor by
     public notification to be a Metropolitan area for the
     purposes of this Part;                                     F

     (d) "Municipal area" means the territorial area of a
     Municipality as is notified by the Governor;
     (e) "Municipality" means an institution of self-government G
     constituted under article 2430;
     xxx xxx                     xxx
      "2430. Constitution of Municipalities.- (1) There shall be
     constituted in every State,-                                H
    80      SUPREME COURT REPORTS                    [201 OJ 6 S.C.R.

A        (a) a Nagar Panchayat (by whatever name callled) for a
         transitional area, that is to say, an area in transition from
         a rural area to an urban area;

         (b) a Municipal Council for a smaller urban area; and
B        (c) a Municipal Corporation for a larger urban area, in
         accordance with the provisions of this Part:"

         xxx xxx                       xxx
         "243W. Powers, authority and responsibilities of
c        Municipalities, etc.- Subject to the provisions of this
         Constitution, the Legislature of a State may, by law, endow-

         (a) the Municipalities with such powers and authority as
         may be necessary to enable them to function as institutions
D        of self-government and such law may contain provisions
         for the devolution of powers and responsibilities upon
         Municipalities, subject to such conditions as may be
         specified therein, with respect to- .

E        (i) the preparation of plans for economic development and
         social justice;

         (ii) the performance of functions and the implementation
         of schemes as may be entrusted to them including those
         in relation to the matters
F
         listed in the Twelfth Schedule;

         (b) the Committees with such powers and authority as may
         be necessary to enable them to carry out the
         responsibilities conferred upon them including those in
G
         relation to the matters listed in the Twelfth Schedule".

         xxx xxx                       xxx
         "243ZD. Committee for district planning.-(1) There shall
H        be constituted in every State at the district level a District
     BONDU RAMASWAMY v. BANGALORE           81
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
   Planning Committee to consolidate the plans prepared by      A
   the Panchayats and the Municipalities in the district and
   to prepare a draft development plan for the district as a
   whole."

   xxx xxx                     xxx                              B
   '"243ZE. Committee for Metropolitan p/anning.-(1) There
  . shall be constituted in every Metropolitan area a
    Metropolitan Planning Committee to prepare a draft
    development plan for the Metropolitan area as a whole.
                                                                c
   (2) The Legislature of a State may, by law, make provision
   with respect to-

   ( a) the composition of the Metropolitan Planning
   Committees;
                                                                D
   (b) the manner in which the seats in such Committees shall
   be filled:

   Provided that not less than two-thirds of the members of
   such Committee shall be elected by, and from amongst,        E
   the elected members of the Municipalities and
   Chairpersons of the Panchayats in the Metropolitan area
   in proportion to the ratio between the population of the
   Municipalities and of the Panchayats in that area;

   (c) the representation in such Committees of the F
   Government of India and the Government of the State and .
   of such organisations and institutions as may be deemed
   necessary for carrying out the functions assigned to such
   Committees;
                                                               G
   (d) the functions relating to planning and coordination for
   the

   Metropolitan area whfoh may be assigned to such
   Committees;
                                                                H
    82       SUPREME COURT REPORTS                  [2010] 6 S.C.R.


A        (e} the manner in which the Chairpersons of such
         Committees shall be chosen.

         (3) Every Metropolitan Planning Committee shall, in
         preparing the draft development plan,-
B        (a} have regard to-

                (i} the plans prepared by the Municipalities and the
                Panchayats in the Metropolitan area;

                (ii} matters of common interest between the
c               Municipalities and the Panchayats, including
                coordinated spatial planning of the area, sharing of
                water and other physical and natural resources, the
                integrated development of infrastructure and
                environmental conservation;
D
                (iii} the overall objectives and priorities set by the
                Government of India and the Government of the
                State;

E               (iv} the extent and nature of investments likely to be
                made in the Metropolitan area by agencies of the
                Government of India and of the Government of the
                State and other available resources whether
                financial or otherwise;
F        (b} consult such institutions and organisations as the
         Governor may, by order, specify.

         (4) The Chairperson of every Metropolitan Planning
         Committee shall forward the development plan, as
G        recommended by such Committee, to the Government of
         the State.

         "243ZF. Continuance of existing laws and Municipalities.-
         Notwithstanding anything in this Part, any provision of any
         law relating to Municipalities in force in a State
H        immediately before the commencement of the Constitution
     BONDU RAMASWAMY v. BANGALORE                             83
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
    (Seventy-fourth Amendment) Act, 1992, which is                  A
    inconsistent with the provisions of this Part, shall continue
    to be in force until amended or repealed by a competent
    Legislature or other competent authority or until the
    expiration of one year from such commencement,
    whichever is earlier:                                           B
    Provided that all the Municipalities existing immediately
    before such commencement shall continue till the
    expiration of their duration, unless sooner dissolved by a
    resolution passed to that effect by the Legislative
    Assembly of that State or, ih the case of a State having a C
    Legislative Council, by each House of the Legislature of
    that State".
In Karnataka, the Municipal Corporations for larger urban areas
are constituted and governed by the Karnataka Municipal D
Corporations Act, 1976 ('KMC Act' for short) and the Municipal
Councils for smaller urban areas are constituted and governed
by the Karnataka Municipalities Act, 1964 ('KM Act' for short).
Regulation of planned growth of land use and development and
making and execution of town planning schemes in the State · E
of Karnataka is governed by the Karnataka Town and Country
Planning Act, 1961 ('Town Planning Act' for short).
      16. The KMC Act was exhaustively amended by
Amendment Act 35 of 1994 to bring the said Act in conformity
with Chapter IXA of the Constitution o'f India. Section 3 F
empowers the Governor to specify by notification larger urban
areas, having regard to the factors mentioned in Clauses (a)
to (f) of Sub-section (1) and the requirements of Clause (a) to
(d) of the proviso to that Sub-Section. Sub-seCtion (1A) provides
that any area specified as a larger urban area by the Governor G
under sub-section (1) shall be deemed to be a-· City and a
Corporation shall be established for the said city. Section 503-
A relating to preparation of a development plan and Section
503-B relating to constitution of Metropolitan Planning
                                                                  H
    84       SUPREME COURT REPORTS                  [201 O] 6 S.C.R.

A Committees, inserted in KMC Act by Amendment Act 35 of
  1994 are extracted below:
         "503-A. Preparation of development plan: Every
         Corpo.ration shall prepare every year a development plan
         and submit to the District Planning Committee constituted
B
         under Section 310 of the Karnataka Panchayat Raj Act,
         1993, or as the case may be the Metropolitan Planning
         Cort1mittee constituted ·under Section 503B of this Act.".

         "503-B.                     Metropolitan      Planning
c        Committee: (1) The Government shall constitute a
         Metropolitan Planning Committee for the Bangalore
         Metropolitan Area to prepare a draft development plan for
         such area as a whole.

D        Explanation: For the purpose of this section "Bangalore
         Metropolitan Area" means an area specified by the
         Governor to be a metropolitan area under clause (c) of
         Article 243-P of the Constitution of India.
         (2) The Metropolitan Planning Committee shall consist of
E        thirty persons of which -

         (a) such number of persons, not being less tnan two-thirds
         of the members of the committee, as may be specified by
         the Government shall be elected in the prescribed manner
F        by, and from amongst, the elected members of the
         Corporations, the Municipal Councils and Town
         Panchayats, and the Adhyakshas and Upadhyakshas of
         Zila Panchayats, Taluk Pachayats and Grama Panchayats
         in the metropolitan area in proportion to the ratio between
G
         the population of the city and other municipal area and that
         of the areas in the jurisdiction of Zilla Panchayat, Taluk
         Panchayat and Grama Pachayat;
         (b) such number of representatives of -
H        (i) The Government of India and the State Government as
     BONDU RAMASWAMY v. BANGALORE           85
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
   may be determined by the State Government, and                A
   nominated by the Government of India or as the case may
   be, the State Government;
   (ii) such organisations and institutions as may be deemed
   necessary for carrying out of functions assigned to the
   committee, nominated by the State Government;                 6

   (3) All the members of the House of the People and the
   State Legislative Assembly whose constituencies lie
   within the Metropolitan area and the members of the
   Council of State and the State Legislative Council who are C
   registered as electors in such area shall be permanent
   invitees of the committee.
   (4) The Commissioner, Bangalore Development Authority
   shall be the Secretary of the Committee.
                                                                 D
   (5) The Chairman of the Metropolitan Planning Committee
   shall be chosen in such manner as may be prescribed.
   (6) The Metropolitan Planning Committee shall prepare a
   draft development plan for the Bangalore Development          E
   Area as a whole.
   (7) Metropolitan Planning Committee shall, in preparing the
   draft development plan -
   (a) have regard to-                                           F
    (i)     the plans prepared by the local authorities in the
            Metropolitan Area;
    (ii)    matters of common interest between the local
            authorities including co-ordinated spatial planning G
            of the area, sharing of water and other physical and
            natural resources, the integrated development of
            infrastructure and environmental conservation;
    (iii)   the overall objectives and priorities set by the     H
    86       SUPREME COURT REPORTS                   [201 O] 6 S.C.R.


A                Government of India and the State Government;

          (iv)   the extent and nature of the investments likely to be
                 made in the Metropolitan area by agencies of the
                 '3overnment of India and of the State Government
                 and the available resources whether financial or
B                otherwise;

         (a) Consult such institutions and organisations as the
         Governor may, by order, specify.

c        (8) The Chairman of the Metropolitan Planning Committee
         shall forward the development plan, as recommended by
         such committee, to the State Government".

       17. The BOA Act was enacted to establish a development
  authority for the development of city of Bangalore and areas
D adjacent thereto and for matters connected therewith. The
  statement of objects and reasons of the said Act reads thus:
         "Bangalore City with its population (as per last census) is
         a Metropolitan City. Different Authorities like the City of
E        Bangalore Municipal Corporation, the City Improvement
         Trust Board, the Karnataka Industrial Area Development
         Board, the Housing Board and the Bangalore City
         Planning Authority are exercising jurisdiction over the area.
         Some of the functions of these bodies like development,
F        planning etc., are overlapping creating thereby avoidable
         confusion, besides hampering co-ordinated development.
         It is, therefore, considered necessary to set up a single
         authority like the Delhi Development Authority for the city
         areas adjacent to it which in course of time will become
         part of the city.
G
         For the speedy implementation of the above said objects
         as also the 20-point programme and for establishing a co-
         coordinating Central Authority, urgent action was called for.
         Moreover, the haphazard and irregular growth would
H
     BONDU RAMASWAMY v. BANGALORE           87
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
    continue unless checked by the Development Authority and A
    it may not be possible to rectify or correct mistakes in the
    future."

Section 3 of BDA Act relates to constitution and incorporation
of the Bangalore Development Authority. It provides for the State B
Government, by notification, constituting an Authority for the
Bangalore Metropolitan Area, to be called as Bangalore
Development Authority. Section 2(c) of the BDA Act defines
'Bangalore Metropolitan Area' as follows:

     "Bangalore Metropolitan Area" means the area comprising C ·
     the City of Bangalore as defined in the City of Bangalore
      Municipal Corporation Act, 1949 (Karnataka Act 69 of
    · 1949), the areas where the City of Bangalore Improvement
     Act, 1945 (Karnataka Act 5 of 1945) was immediately
      before the commencement of this Act in force and such D
     other areas adjacent to the aforesaid as the Government
      may from time to time by notification specify.

Clause 0) of Section 2 of the BDA Act defines "development"
as follows:
                                                                 E
    "Development" with its grammatical variations means the
    carrying out of building, engineering, or other operations
    in or over or under land or the making of any material
    change in any building or land and includes redevelopment.
                                                                 F
Section .15 empowers Authority to undertake works and incur
expenditure for development etc. The said section is extracted
below:-

    "15. Power of Authority to undertake works and incur
    expenditure for development, etc.- (1) The Authority may,- G

    (a) draw up detailed schemes (hereinafter referred to as
    "development scheme") for the development of the
    Bangalore       Metropolitan      Area              and
                                                                 H
    88      SUPREME COURT REPORTS                      [2010) 6 S.C.R.


A        (b) with the previous approval of the Government,
         undertake from time to time any works for ihe development
         of the Bangalore Metropolitan Area and incur expenditure
         therefor and also for the framing and execution of
         development schemes.
B
         (2) The Authority may also from time to time make and take
         up any new or additional development schemes,-

                (i) on its own initiative, if satisfied of the sufficiency
                of its resources, or
c
                (ii) on the recommendation of the local authority if
                the local authority places at the disposal of the
                Authority the necessary funds for framing and
                carrying out any scheme; or
D               (iii) otherwise.

         (3) Notwithstanding anything in this Act or in any other law
         for the time being in force, the Government may, whenever
         it deems necessary require the Authority to take up any
E        development scheme or work and execute it subject to
         such ter:11s and conditions as may be specified by the
         Government".

    Section 16 enumerates the particulars to be provided in a
F   development scheme and the said section is extracted below:-

         "16. Particulars to be provided for in a development
         scheme.- E."very development scheme under section 15,-

         (1) shall, within the limits of the area comprised in the
G        scheme, provide for,-

         (a) the acquisition of any land which, in the opinion of the
         Authority, will be necessary for or affected by the execution
         of the scheme ;

H        (b) laying and re-laying out all or any land including the
     BONDU RAMASWAMY v. BANGALORE           89
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
    construction and reconstruction of buildings and formation     A
    and alteration of streets;

    (c) drainage, water supply and electricity;

    (d) the reservation of not less than fifteen percent of the
    total area of the layout for public parks and playgrounds      8
    and an additional area of not less than ten percent of the
    total area of the layout for civic amenities.

    (2) may, within the limits aforesaid, provide for,-
                                                                   C
    (a) raising any land which the Authority may consider
    expedient to raise to facilitate better drainage ;

    (b) forming open spaces for the better ventilation of the
    area comprised in the scheme or any adjoining area ;
                                                                   D
    (c) the sanitary arrangements required ;

    [(d) x x x [omitted by Act 17 of 1984).

    (3) may, within and without the limit~ aforesaid provide for
    the construction of houses".                                   E

Section 17 lays down the procedure on completion of scheme
and is extracted below:-

    "17. Procedure on completion of scheme .- (1) When a
                                                                   F
    development scheme has been prepared, the Authority
    shall draw up a notification stating the fact of a scheme
    having been made and the limits of the area comprised
    therein, and naming a place where particulars of the
    scheme, a map of the area comprised therein, a statement
    specifying the land which is proposed to be acquired and       G
    of the land in regard to which a betterment tax may be
    levied may be seen at all reasonable hours.

    (2) A copy of the said notification shall be sent to the
    Corporation which shall, within thirty days from the date of   H
    90       SUPREME COURT REPORTS                   [2010] 6 S.C.R.


A        receipt thereof, forward to the Authority for transmission to
         the Government as hereinafter provided, any representation
         which the Corporation may think fit to make with regard to
         the scheme.

         (3) The Authority shall also cause a copy of the said
B
         notification to be published in [ x x x ] the official Gazette
         and affixed in some conspicuous part of its own office, the
         Deputy Commissioner's Office, the office of the
         Corporation and in such other places as the Authority may
         consider necessary.
c
         (4) If no representation is received from the Corporation
         within the time specified in sub-section (2), the concurrence
         of the Corporation to the scheme shall be deemed to have
         been given.
D
         (5) During the thirty days next following the day on which
         such notification is published in the official Gazette the
         Authority shall serve a notice on every person whose name
         appears in the assessment list of the local authority or in
         the land revenue register as being primarily liable to pay
E
         the property tax or land revenue assessment on any
         building or land which is proposed to be acquired in
         executing the scheme or in regard to which the Authority
         proposes to recover betterment tax requiring such person
         to show cause within thirty days from the date of the receipt
F        of the notice why such acquisition of the building or land
         and the recovery of betterment tax should not be made.
         (6) The notice shall be signed by or by the order of the
         (Commissioner} and shall be served,-
G
         (a} by personal delivery or if such person is absent or
         cannot be found, on his agent, or if no agent can be found,
         then by leaving the same on the land or the building ; or

         (b} by leaving the same at the usual or last known place of
H
     BONDU RAMASWAMY v. BANGALORE           91
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
    abode or business of such person ; or                          A

    (c) by registered post addressed to the usual or last known
    place of abode or business of such person.

Section 18 requires sanction of the scheme by the Government
and reads thus :                                                   B

    "18. Sanction of scheme .- (1) After publication of the
    scheme and service of notices as provided in section 17
    and after consideration of representations, if any, received
    in respect thereof, the Authority shall submit the scheme,     c
    making such modifications therein as it may think fit, to
    the Government for sanction, furnishing,-

    (a) a description with full particulars of the scheme
    including the reasons for any modifications inserted therein
                                                                   0

    (b) complete plans and estimates of the cost of executing
    the scheme;

    (c) a statement specifying the land proposed to be             E
    acquired ;

    (d) any representation received under sub-section (2) of
    section 17;

    (e) a schedule showing the rateable value, as entered in       F
    the municipal assessment book on the date of the
    publication of a notification relating to the land under the
    section 17 or the land assessment of all land specified in
    the statement under clause(c) ; and
                                                                   G
    (f) such other particulars, if any, as may be prescribed.

    (2) Where any development scheme provides for the
    construction of houses, the Authority shall also submit to
    the Government plans and estimates for the construction
    of the houses.                                                 H
    92      SUPREME COURT REPORTS                    [2010] 6 S.C.R.


A        (3) After considering the proposal submitted to it the
         Government may, by order, give sanction to the scheme".
         Section 19 requires declaration to be published giving
         particulars of the land to be acquired, upon sanction of the
         scheme by the Government.
B
        18. The contentions urged by learned counsel for
    appellants based on Parts IX and IX-A of the Constitution can
    be summarised thus :

c        (i) BOA Act is a legislation relatable to Article 24~W and
         some of the matters listed in the Twelfth Schedule.
         Therefore BOA Act is deemed to be a law relating to
         Municipalities. Having regard to Article 243 ZF, any
         provision inconsistent with the provisions of Part IXA of the
0        Constitution, law relating to municipalities ceased to be in
         force on the expiry of one year from 1.6.1993. - the date of
         commencement of the Constitution 74th Amendment Act,
         1992.
         (ii) After the insertion of Part IXA of-the Constitution, there
E        cannot be any 'metropolitan area' other than what is
         declared by the Governor as a metropolitan area, as
         provided under Article 243P(c). Only an area having a
         population of 10 lakhs or more in one or more districts and
         consisting of two or more municipalities or Panchayats or
F        other contiguous areas and specified by the Governor by
         a public notification to be a Metropolitan Area can be a
         'Metropolitan Area'. Consequently, the 'Bangalore
         Metropolitan Area' as defined under section 2(c) of the
         BDA Act had ceased to exist and therefore BOA could not
G        draw up any development scheme for Bangalore
         Metropolitan Area.
         (iii) A development scheme or an additional development
         scheme for Bangalore Metropolitan area which the BOA
         is required to draw up under Section 15 of the BOA Act
H
      BONDU RAMASWAMY v. BANGALORE           93
 DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]

      are conceptually and in effect same as the development            A
      plan with reference to a municipality referred to in Article
      243W and a development plan for a metropolitan area
      referred to in Article 243ZE. After the insertion of Part IXA
      in the Constitution, a development plan for a metropolitan
      area can only be drawn up by a democratically elected             B
      representative body that is the Metropolitan Planning
      Committee by taking into account the factors mentioned
      in Clause (3) of Article 243ZE. Therefore on the expiry of
      one year from 1.6.1993 (the date on which Part IXA of the
      Constitution was inserted), BOA has no authority to draw          c
      up any development scheme.

        19. Any statute or provision thereof which is inconsistent
· with any constitutional provision will be struck down by courts.
  Consequently, if BOA Act or any provision of the BOA Act is
  found to be inconsistent with any provision of Part IXA of the        D
  Constitution, it will be struck down by courts as violative of the
  constitution. In regard to any provision of any law relating to
  municipalities, Article 243ZF suspends such inva11dity or
  postpones the invalidity for a period of one year from 1.6.1993
  to enable the competent Legislature to remove the                     E
  inconsistency by amending or repealing such law relating to
  municipalitiPs to bring it in consonance with the provisions of
  Part IXA of the Constitution. Article 243ZF is a provision
  enabliny continuance of any provision of a law relating to
  municipalities in spite of such provision being inconsistent with     F
  the provisions of Part IXA of the Constitution for a specified
  period of one year. It does not extend the benefit of continuance
  to any law other than laws relating to municipalities; it also does
  not provide for continuance of a law for one year, if the violation
  is in respect of any constitutional provision other than Part IXA;    G
  and it does not declare any provision of a statute to be
  inconsistent with it nor declare any statute to be invalid. The
  invalidity of a statute is declared by a court when it finds that a
  statute or its provision to be inconsistent with a constitutional
   provision.                                                           H
    94       SUPREME COURT REPORTS                   [201 O] 6 S.C.R.


A      20. The benefit of Article 243ZF is available only in regard
  to laws relating to 'municipalities'. The term 'municipality' has
  a specific meaning assigned to it under Part IX-A. Article
  243P(c) defines the word as meaning an institution of self-
  government constituted under Article 2430. Article 2430 refers
B specifically to three types of municipalities. that is, a Nagar
  Panchayat for a transitional area, a municipal council for a
  smaller urban area and a municipal corporation for a larger
  urban area. Thus, neither any city improvement trust nor any
  development authority is a municipality, referred to in Article
c 243ZF. Thus Article 243ZF has no relevance to test the validity
  of the BOA Act or any provision thereof. If BOA Act or any
  provision thereof· is found to be inconsistent with the provisions
  of Part IXA, such inconsistent provision will be invalid even from
  1.6.1993, and the benefit of continuance for a period of one
  year permitted under Article 243ZF will not be available to such
0
  a provision of law, as BOA Act is not a law relating to
  Municipalities.

         21. The Constitution (Seventy-Fourth Amendment) Act,
    1992 inserting Part IX-A in the Constitution, seeks to strengthen
E   the system of municipalities in urban areas, by placing these
    local self-governments on sound and effective footing and
    provide measures for regular and fair conduct of elections.
    Even before the insertion of the said Part IX-A, Municipalities
    existed all over the country but there were no uniform or strong
F   foundations for these local self-governments to function
    effectively. Provisions relating to composition of Municipalities,
    constitution and composition of Ward Committees, reservation
    of seats for weaker sections, duration of Municipalities, powers,
    authority, responsibilities of Municipalities, power to impose
G   taxes, proper superintendence and centralised control of
    elections to Municipalities, constitution of Committees for
    District Planning and Metropolitan Planning, were either not in
    existence or were found to be inadequate or defective in the
    state laws relating to municipalities. Part IX-A seeks to
H   strengthen the democratic political governance at grass root
     BONDU RAMASWAMY v. BANGALORE                              95
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
level in urban areas by providing constitutional status to           A
Municipalities, and by laying down minimum uniform norms and
by ensuring regular and fair conduct of elections. When Part
IX-A came into force, the provisions of the existing laws relating
to municipalities which were inconsistent with or contrary to the
provisions of Part IX-A would have ceased to apply. To provide       B
continuity for some time and an opportunity to the concerned
State Governments to bring the respective enactments relating
to municipalities in consonance with the provisions of Part IX-
A in the meanwhile, Article 243ZF was inserted. The object was
not to invalidate any law relating to city improvement trusts or     c
development authorities which operate with reference to
specific and specialised field of planned development of cities
by forming layouts and making available plots/houses/
apartments to the members of the public.
     22. To enable the municipalities (that is municipal             D
corporations, municipal councils and Nagar Panchayats) to
function as institutions of self-government, Article 243W
authorises the legislature of a state to endow to the
municipalities, such powers and authority as may be necessary,
by law. Such law made by the state legislature may contain           E
provision for the devolution of powers and responsibilities upon
municipalities, with respect to the following:
     (i) The preparation of plans for economic development and
     social justice; and                                             F
     (ii) The performance of functions and implementation of
     schemes as may be entrusted to them including those in
     relation to the following matters (earmarked in the twelfth
     schedule):
                                                                     G
      1.    Urban planning including town planning.
      2.    Regulation of land-use and construction of
            buildings.
                                                                     H
    96        SUPREME COURT REPORTS                [2010] 6 S.C.R.


A        3.     Planning for economic and social development.

         4.     Roads and bridges.

         5.     Water supply for domestic, industrial and
                commercial purposes.
B
         6.     Public health, sanitation conservancy and solid
                waste management.

         7.     Fire services.

C        8.     Urban forestry, protection of the environment and
                promotion of ecological aspects.

         9.     Safeguarding the interests of weaker sections of
                society, including the handicapped and mentally
D               retarded.

         10.    Slum improvement and upgradation.

         11.    Urban poverty alleviation.

E        12.    Provision of urban amenities and facilities such as
                parks, gardens, playgrounds.

         13.    Promotion of cultural, educational and aesthetic
                aspects.

F        14.    Burials and burial grounds; cremations, cremation
                grounds; and electric crematoriums.

         15.    Cattle pounds; prevention of cruelty to animals.

         16.    Vital statistics including registration of births and
G               deaths.

         17.    Public amenities including street lighting, parking
                lots, bus stops and public conveniences.

H        18.    Regulation of slaughter houses and tanneries.
     BONDU RAMASWAMY v. BANGALORE                               97
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
The aforesaid powers and authority (enumerated in the twelfth        A
Schedule) may also be endowed to the Ward Committees
which are required to be constituted, by Article 243S.
      23. On the other hand, the purpose and object of the BOA
is to act as a development authority for the development of the . 8
city of Bangalore and areas adjacent thereto. The Preamble
of BOA Act describes it as 'an Act to. provide for the
establishment of a Development Authority for the development
of the city of Bangalore and areas adjacent thereto and for
matters connected therewith. The development contemplated .
by the BOA Act is "carrying out of building, engineering or other C
operations in or over or under land or the making of any material
change in any building or land and includes redevelopment"
(vide Section 2(j) of BOA Act. Therefore, the purpose is to make
lay outs, construct buildings or carry out other operations in
regard to land. Municipalities are not concerned with nor 0
entrusted with functions similar to those entrusted to BOA under
the BOA Act, that is building, engineering or other operations
by forming layout of plots with all amenities, construction of
houses and apartments, as a part of any scheme to develop a
city. Municipalities are concerned with the overall economic E
development providing sodal justice (urban poverty alleviation
and slum improvement) regulating land use and constructions,
providing amenities (roads, bridges, water supply, fire services,
street lighting, parking, bus stops, public conveniences),
promoting education and culture etc. Neither urban town F
planning nor regulation of land use and construction, is similar
to the 'development' as contemplated in BDA Act, that is
carrying out building, engineering operations in or over or under
land. It would thus be seen that the object and functions of a
 Municipal Corporations are completely different from the object G
and purpose of a development authority like BOA. BDA is not
a municipality. Therefore, it cannot be said that mere existence
 of Municipal Corporations Act, duly amended to bring it in
 conformity with Part IX-A of the Constitution, will nullify or render
 redundant, the BOA Act.                                               H
    98       SUPREME COURT REPORTS                  [2010) 6 S.C.R.


A         24. Article 243ZE no doubt provides that there ..sflall be
    constituted in every metropolitan area, a MetropolitEln Planning
    Committee to prepare a draft development plan for the
    metropolitan area as a whole. The metropolitan area is defined
    in clause (c} of Article 243P as an area having a population of
B   10 lakhs or more comprised in one or more districts and
    consisting of two or more municipalities or panchayats or other
    contiguous areas specified by the Governor by a public
    notification to be a metropolitan area for the purpose of Part
    IXA. The Bangalore Development Authority is constituted inter
c   alia to draw up a detailed scheme for the Bangalore
    Metropolitan Area. The Bangalore Metropolitan Area is defined
    in Section 2(c) of the BOA Act and1be said definition need not
    necessarily be the same as or equivalent to any metropolitan
    area declared with reference to Bangalore under Article
    243P(c) of the Constitution. It was submitted before the High
0
    Court that the Governor had not issued any public notification
    specifying any area as metropolitan area, with reference to
    Bangalore city. Further the declaration of metropolitan area by
    the Governor, as provided in clause (c} of Article 243P is
E   specifically with reference to the law relating to municipalities.
    The Bangalore Metropolitan Area as defined in the Bangalore
    Development Authority Act is only for the purpose of
    development i.e. development by way of building or engineering
    operations in or over or under land. Therefore neither the
    provision defining 'metropolitan area' in Article 243P(c) nor the
F   provision for constitution of a Metropolitan planning committee
    for preparing a draft development plan for such metropolitan
    area under Article 243ZE has any relevance or bearing to the
    Bangalore Metropolitan Area with reference to which BOA has
    been constituted.
G
      25. Next contention urged by the appellant is that in
  pursuance of Article 243ZE, KMC Act has been amended
  inserting Section 503-B providing for constitution of a
  Metropolitan Planning Committee for preparing a draft
H development plan for the Bangalore Metropolitan Area and
     BONDU RAMASWAMY v. BANGALORE           99
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
therefore the Bangalore Development Authority can no longer A
function as an authority for development of metropolitan area,
nor can it draw development schemes therefor. Development
scheme to be drawn up by the BDA for development of
Bangalore Metropolitan Area is specific i.e. acquisition of land,
laying out or re-laying plots, formation of roads, construction of B
buildings, providing drainage, water supply and electricity and
allot them to members of the public. On the other hand, the
development plan for the metropolitan area as a whole, to be
prepared by Metropolitan Planning Committee constituted under
the KMC Act involves making a plan for overall development c
with reference to the various functions enumerated in the twelfth
Schedule, that is, plans for economic and social justice,
planning for economic and social development, slum
improvement and upgradation, urban poverty alleviation, and
providing several urban amenities and facilities referred to in D
the twelfth Schedule. It would thus be seen that the 'development
scheme' formulated for Bangalore Metropolitan Area by BDA
has nothing to do with a 'development plan' that has to be drawn
by a municipality or by Metropolitan Planning Committee. The
development plan to be drawn for a metropolitan area, by a
Metropolitan Planning Committee should not be confused with E
a development scheme to be drawn by a development authority
like BOA for a metropolitan area. It should also be noticed that
insofar as Bangalore is concerned,·the Bangalore Metropolitan
Area as defined in Section 2(c) of the BDA Act is the area
comprising the City of Bangalore as defined in the City of F
Bangalore Municipal Corporation Act, 1949, the area where the
city of Bangalore Improvement Act, 1945 was immediately
before the commencement of the BOA Act in force, and such
other areas adjacent to the aforesaid, as the Government may
from time to time by notification specify. On the other hand, the G
 Bangalore Metropolitan Area, referred to in Section 503-B of
KMC Act is an area to be specified by the Governor by public
 notification under Article 243P(c) of the Constitution of India.
 In fact the Governor had not even specified the Bangalore
 Metropolitan Area for the purpose of KMC Act. Neither the H
    100     SUPREME COURT REPORTS                  [2010] 6 S.C.R.

A Bangalore Metropolitan Area nor a Metropolitan Planning
  Committee is in existence under the KMC Act. In these
  circumstances, the contentions that the BOA Act, is no longer
  in force and that BOA has no jurisdiction or authority to draw
  up a development scheme to form layouts and acquire land to
B form lay outs in pursuance of any development scheme for
  Bangalore Metropolitan Area, is wholly untenable.

         26. The appellants submitted that the powers, authority and
    responsibilities, to be endowed by the State Legislatiure upon
C   the Municipalities are enumerated in Article 243W read with
    Twelfth Schedule; that Articles 234ZD and 243ZE require the
    state government to constitute a District Planning Committee
    at District Level and a Metropolitan Planning Committee for
    every Metropolitan Area; that such Metropolitan Planning
    Committee is required to prepare a draft development plan for
D   the Metropolitan Area as a whole. It was contended that the
    BOA Act was a Legislation which related to some of the
    responsibilities and functions of Municipalities, enumerated in
    the Twelfth Schedule to the Constitution read with Article 243W
    and that its provisions, in particular, sections 15 to 19 were
E   inconsistent with the provisions of Part IXA of the Constitution;
    that no law can entrust powers and responsibilities referred to
    in Article 243W including those relating to matters listed in
    Twelfth Schedule to an authority other than an authority having
    popular mandate; and that therefore the BOA Act entrusting
F   such powers and responsibilities to a non-elected authority
    ceases to be in force.
      27. While it is true that BDA is not an elected boqy like
  the municipality, it has several elected representatives as
G members. Section 3 relates to the Constitution of the Authority
  and provides that the Authority shall consist of 22 members and
  made up as follows :
                Six officers of the BOA viz., The Chairman, The
                Finance Member, The Engineering Member, The
H               Town Planning Member, The Commissioner and
     BONDU RAMASWAMY v. BANGALORE           101
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
          Secretary of the Authority. (All of them are full-time A
          employees, three of them are specialists in finance,·
          engineering and town planning.
          Four elected representatives, that is, two members
          of state legislature assembly and two counsellors B
          of Bangalore Municipal Corporation.

          One representative of the state government and four
          representatives of statutory corporations, that is, the
          Commissioner of Bangalore Municipal Corporation
          and representatives of Bangalore Water Supply C
          Sewerage Board, Karnataka Electricity Board, and
          Karnataka State Road Transport Corporation.
          Six members of the public (with minimum of one
          woman, one person belonging to SC/ST, and one 0
          representing labour)
           One Architect.
It would thus be seen that members of the BOA represent
different interests and groups, technical persons and elected E
representatives. Further, no development scheme can be
finalised or put into effect without the sanction of the State
Government which in turn has to take note of any representation
by the Bangalore Municipal Corporation in regard to the
development scheme. Therefore, the mere fact that BOA is not F
wholly elected body as in the case of a municipal corporation
will make no difference. The membership pattern is more suited
to fulfil the requirements of a specialist agency executing
development schemes. We therefore find no merit in the
contention that provisions of BOA Act become inoperative, on G
Parts IX and IX-A of the Constitution coming into force.
    28. The BDA Act empowers the Bangalore Development
Authority to formulate schemes for the development of
Bangalore Metropolitan Area. The word 'development' refers
                                                                H
    102      SUPREME COURT REPORTS                   [2010] 6 S.C.R.


A to building, engineering or other operations in regard to land,
  that is making layouts and making available plots for allotment
  to members of the public. It is authorised to acquire lands for
  execution of development schemes, prepare layouts and
  construct buildings, provide drainage, water supply and
B electricity, provide sanitary arrangements, form open spaces,
  lease, sell or transfer the plots/immovable properties. The area
  in which the BOA Act operates is totally different from the areas
  in which Part IX A of the Constitution and KMC Act which relate
  to local self-government operate.

C Question (iii) - Re : BOA lacking territorial !urisdiction to
  draw up the development scheme

         29. The contention of appellants is that the villages in which
  the acquired lands are situated do not fall within the Bangalore
o Metropolitan Area as defined in section 2(c) of the BOA Act,
  and consequently the BOA has no jurisdiction to either acquire
  lands or make a development scheme in regard to those areas.
  As noticed above, section 15 empowers the BOA to draw up
  development schemes or additional development schemes for
E the development of the Bangalore Metropolitan Area.
  Bangalore Metropolitan Area is defined in section 2(c) as the
  area comprising (i) the City of Bangalqre as defined in the City
  Bangalore Municipal Corporation Act, 1949; (ii) the areas
  where the City of Bangalore Improvement Act, 1945 was
F immediately before the commencement of this Act was in force;
  (iii) such other areas adjacent to the aforesaid areas as the
  government may from time to time by notification specify. The
  areas in which the City of Bangalore Improvement Act, 1945
  was in force immediately before the commencement of BOA
G Act was the City of Bangalore and other areas adjoining the
  city specified by the state government from time to time by
  notification (vide section 1(2) of the said Act).
       30. The Government of Karnataka issued a notification
  dated 1.11.1965, under section 4A (1) of the 'Town Planning
H Act' declaring the area comprising the City of Bangalore and
     BON DU RAMASWAMY v. BANGALORE          103
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
other areas (218 villages) enumerated in Schedule I thereto to      A
be the 'Local Planning Area' for the purposes of the said Act
to be called as the Bangalore City Planning Area and the limits
of the said planning area were as described in Schedule II
thereto. All the 16 villages in which the lands were acquired for
Arkavathi Layout fell within the said Bangalore City Planning       B
Area (that is within the 'other areas' described in the I
Schedule).

      31. The Government of Karnataka is&iled another
notification dated 13.3.1984 under section 4A (1) of the Town
Planning Act declaring that the area comprising 325 peripheral      C
villages around Bangalore as indicated in Schedule I to be Local
Planning Area for the environs of Bangalore and the limits of
the said planning area shall be as indicated in Schedule II
thereto. It may be mentioned that the areas added by this
notification were beyond the core area (Bangalore City) and         D
the first concentric circle area which were already notified as
the Bangalore City planning area under the notification dated
1.11.1965. Schedule II to the notification dated 13.3.1984 gave
the boundaries of the entire local planning area of Bangalore
which included not only 325 villages which were added by the        E
said notification but the original planning area described and
declared in the notification dated 1.11.1965. The following note
was added after the Schedule II to the notification dated
13.3.1984 : "This excludes the Bangalore city local planning
area declared (by) government notification No.PLN/42/MNP/65/        F
S0/3446 dated 1.11.1965."

      32. Thereafter, the Government of Karnataka issued a
notification dated 6.4.1984 under section 4A (3) of the Town
Planning Act, amalgamating the 'Local Planning Area of              G
Bangalore' declared under notification dated 1.11.1965 and the
'Local Planning Area' declared for the environs of Bangalore
by notification dated 13.3.1984. The said notification called the
amalgamated Local Planning Area as the 'Bangalore City
Planning Area' with effect from 1.4.1984. Schedule I to the said    H


                                                                        .1· .: - ·
    104     SUPREME COURT REPORTS                  [2010) 6 S.C.R.

A notification consolidated the areas shown in Schedule I to the
  notification dated 1.11.1965 and the Schedule I to the
  notification dated 13.3.1984 and contained the names of 538
  villages. It also confirmed that the limits of the planning area
  shall be as indicated in II Schedule to the notifications dated
B 1.11.1965 and 13.3.1984.
          33. The Government of Karnataka issued a notification
    dated 1.3.1988 in exercise of the power under section 2(c) 0 1
    the Bangalore Development Authority Act, 1976 specifying the
    villages, indicated in I Schedule and within the boundaries
C   indicated in II Schedule to the notification dated 13.3.1984, to
    be the areas for the purpose of the said clause. The contention
    of the petitioner is that the notification dated 1.3.1988 only
    specifies the villages indicated in the notification dated
    13.3.1984 as Bangalore Metropolitan area; that therefore, the
D   areas that were earlier declared as a local planning area under
    the notification dated 1.11.1965, were not part of Bangalore
    Metropolitan area; and that as all the 16 villages which were
    the subject matter of the impugned acquisition, were part of the
    local planning area declared under notification dated 1.11.1965,
E   but not part of the local planning area declared under the
    notification dated 13.3.1984, the said 16 villages do not form
    part of the Bangalore Metropolitan Area for the purpose of
    section 2(c) of the BOA Act; and consequently, BOA cannot
    execute any development scheme in regard to the said 16
F   villages under section 15 of the BOA Act.
       34. A careful reading of the notification dated 1.3.1988
  would show that the clear intention of the state government was
  to declare the entire area declared under the notification dated
  1.11.1965 and the notification dated 13.3.1984, together as the
G Bangalore Metropolitan Area. The notification dated 1.3.1988
  clearly states that the entire area situated within the boundaries
  indicated in Schedule II to the notification dated 13.3.1984 was
  the area for the purpose of section 2(c) of BOA Act. There is
  no dispute that the boundaries indicated in Schedule II to the
H
     BON DU RAMASWAMY v. BANGALORE          105
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
notification dated 13.3.1984 would include not only the villages A
enumerated in I Schedule to the notification dated 13.3.1984
but also the area that was declared as planning area under the
notification dated 1.11.1965. This is because the areas
declared under notification dated 1.11.1965 are the core area
(Bangalore City) and the area surrounding the core area that B ·
is 218 villages forming the first concentric circle; and the area
declared under the notification dated 13.3.1984 (325 villages)
surrounding the ar~a declared under the notification dated
1.11.1965 forms the second concentric circle. Therefore, the
boundaries of the lands declared under the notification dated c
13.3.1984, would also include the lands which are declared
under the notification dated 1.11.1965 and therefore, the 16
villages which are the subject matter of the impugned
acquisition, are part of the Bangalore Metropolitan Area.
      35. The learned counsel for the Appellants contended that D
the note at the end of II Schedule to the notification dated
13.3.1984 excluded the Bangalore city planning area declared
under the notification dated 1.11.1965. As the planning area
that was being declared under the notification dated 13.3.1984,
was in addition to the area that was declared under the E
notification dated 1.11.1965, it was made clear in the note
at the end of the notification dated 13.3.1984 that the area
declared under the notification dated 1.11.1965 is to be
excluded. The purpose of the note was not to exclude the area
declared under the notification dated 1.11.1965 from the local F
planning area. The intention was to specify what was being
added, to the local planning area declared under the notification
dated 1.11.1965. But in the notification dated 1.3.1988, what
is declared as the Bangalore Metropolitan Area is the area that
is within the boundaries indicated in schedule II to the G
notification dated 13.3.1984, which as noticed above is the
area notified on 1.11.1965 as also the area notified on
 13.3.1984. The note in ·the notification dated 13.3.1984 was
only a note for the purposes of the notification dated 13.3.1984
 and did not form part of the notification dated 1.3.1988. There H
    106      SUPREME COURT REPORTS                     [2010) 6 S.C.R.


A is therefore no doubt that the intention of the state government
  was to include the entire area within the boundaries described
  in Schedule II, that is the area declared under two notifications
  dated 1.11.1965 and 13.3.1984, as the Bangalore Metropolitan
  Area.
B
         36. In fact ever since 1988, everyone had proceeded on
  the basis that the Bangalore Metropolitan Area included the
  entire area within the boundaries mentioned in Schedule II to
  the notification dated 13.3.1984. Between 1988 and 2003,
  BOA had made several development schemes for the areas
C in the first concentric circle around Bangalore City (that is, in
  the 218 village described in I Schedule to the notification dated
  1.11.1965) and the state government had sanctioned them.
  None of those were challenged on the ground that the area was
  not part of Bangalore Metropolitan Area.
0
         37. It is true that the wording of the notification is clumsy
  and ambiguous. It refers to the villages indicated in Schedule I
  and it also refers to villages within the boundaries of Schedule
  II. It also states that the area stated in the notification is the area
E for the purpose of section 2(c) of BOA Act. It is well settled that
  when there is vagueness and ambiguity, an interpretation that
  would avoid absurd results should be adopted. The
  interpretation put forth by the appellants, if accepted would
  mean the outer centric circle of Bangalore which consists of
F only the peripheral villages would be the Bangalore Metropolitan
  Area and neither the Bangalore city nor the 218 villages
  immediately adjoining and surrounding the Bangalore city
  would form part of Bangalore Metropolitan Area. This, to say
  the least, is absurd and will be in direct violation of section 2(c)
G of BOA Act which states that Bangalore City and the areas
  surrounding it where City of Bangalore Improvement Act, 1945
  was in force, will form part of Bangalore Metropolitan Area.
       38. Let us view it from another angle. Bangalore City forms
  the central corE. area or the innermost circle. The adjoining 218
H villages enumerated in the notification dated 1.11.1965
     BONDU RAMASWAMY v. BANGALORE           107
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
surrounding Bangalore City form the first concentric circle. The       A
peripheral villages described in Schedule I to the notification
dated 13.3.1984 form the second concentric circle which
surrounds the central core area and the areas within the first
concentric circle. To interpret Bangalore Metropolitan Area as
referring only to the peripheral villages and not the core city area   B
and its adjoining villages would be like saying the outer skin of
a fruit is the fruit and the entire fruit inside does not form part
of the fruit.
      39. The learned counsel for the appellants submitted that
if the notification dated 1.3.1988 is interpreted as including the     C
inner areas, then it would amount to reading the words
"Government of Karnataka hereby specifies the villages
indicated in Schedule I and within the boundaries indicated in
Schedule II to the notification dated 13.3.1984 to be the area
for the purpose of the said Clause" as follows:                        D
     "Government of Karnataka hereby specifies the villages
     indicated in Schedule I and the villages within the
     boundaries indicated in Schedule II to the notification dated
     13.3.1984 to be the areas for the purpose of the said             E
     clause".

It is submitted that a casus omissus cannot be supplied by
courts where the language is clear and unambiguous and is
capable of an intelligible interpretation. Reliance is placed on
the decisions of this court in Dr. Baliram Waman Hiray v.              F
Justice 8. Lentin & Ors. - 1988 (4) SCC 419, and S.R.
Bommai & Ors. v. UOf & Ors, - 1994 (3) sec 1 and several
declsicms following them, to contend that the court cannot, in
interpreting a provision, supply any casus omissus. The
doctrine of casus omissf.Js was e)(pl;:iinec:f thus in American        G
Jwisprudf)nce, 2nd Sl3ri~s Vol, 73 ai pagf) 397 : '1t is a gener;:il
rule that tile court r•. ay not by construction insert words or
p!lrases in a statute or sµpply a cas(.Js omiss1.1s by giving force
and effect to the l;:inguage of the statute when applied to a
                                                                       H
    108      SUPREME COURT REPORTS                   [2010] 6 S.C.R.

A subject about which nothing whatever is said, and which, to all
  appearances, was not in the mind of the legislature at the time
  of the enactment of law". But the position will be different where
  the language is ambiguous and an intelligible interpretation
  would require addition of words particularly when the intention
8 of the State Government is clear and evident and it is reiterated
  by the State Government and the BDA. Justice G.P. Singh in
  his Principles of Statutory Interpretation (2008 Edition - Page
  65) expresses the view that when the object or policy of a
  statute can be ascertained, imprecision in its language should
C not be readily allowed in the way of adopting a reasonable
  construction which avoids absurdities and incongruities and
  carries out the object or policy. This Court has also repeatedly
  emphasised that although a court cannot supply a real casus
  omissus, nor can it interpret a Statute to create a casus
  omissus when there is really none. In Padma Sunder Rao v.
D State of Tamil Nadu 2002 (3) SCC 533, a Constitution Bench
  of the this Court held :
          •..... a casus omissus cannot be supplied by the court by
          judicial interpretative process, except in the case of clear
E         necessity and when reason for it is found in the four corners
          of the statute itself, but at the same time a casus omissus
          should not be readily inferred and for that purpose all the
          parts of a Statute or section must be construed together
          and every clause of a section should be construed with
F         reference to the context and other clauses thereof so that
          the construction to be put on a particular provision makes
          a consistent enactment of the whole Statute."
       40. Let us now refer to the wording and the ambiguity in
  the notification. Section 2(c) of BOA Act makes it clear that the
G city of Bangalore as defined in the Municipal Corporation Act
  is part of Bangalore Metropolitan Area. It also makes it clear
  that the areas where the city of Bangalore Improvement Act,
  1945 was in force, is also part of Bangalore Metropolitan Area.
  It contemplates other areas adjacent to the aforesaid areas
H
      BON DU RAMASWAMY v. BANGALORE          109
 DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
  being specified as part of Bangalore Metropolitan Area by a            A
  notification. Therefore, clearly, the area that is contemplated for
  being specified in a notification under Section 2(c) is "other
  areas adjacent" to the areas specifically referred to in Section
  2(c). But it is seen from the notification dated 1.3.1988 that it
  does not purport to specify the "such other areas adjacent" to         B
  the areas specifically referred to in section 2(c), but purports
  to specify the Bangalore Metropolitan Area itself as it states
  that it is specifying the "areas for the purpose of the said
  clause". If the notification specifies the entire Bangalore
  Metropolitan Area, the interpretation put forth by the appellants      c
  that only the villages included in Schedule I to the notification
· dated ii 3.3.1984 would be the Bangalore Metropolitan Area,
  would result in an absurd situation. Q_~iously the city of
  Bangalore and the adjoining areas whic~ere notified under
  the city of Bangalore Improvement Act-4 945 are already                0
  included in the Bangalore Metropolitan Area and the
  interpretation put forth by the appellants would have the effect
  of excluding those areas from the Bangalore Metropolitan Area.
  As stated above, the core area or the inner circle area, that is
   Bangalore City, is a part of Bangalore Metropolitan Area in view
   of the definition under Section 2(c). The 218 villages specified      E
 . in the notification dated 1.11.1965 are the villages immediately
  surrounding and adjoining Bangalore city and it forms the first
   concentric circle area around core area of Bangalore city. The
  325 villages listed in I Schedule to the notification dated
   13.3.1984 are situated beyond the 218 villages and form a             F
  wider second concentric circle around the central core area and
  the ·first concentric circle area of 218 villages.•That is why the
   notification dated 1.3.1988 made it clear that the Bangalore
   Metropclitan Acea would be the area within the boundaries
   indicated in II Schedule to the notification dated 13.3.1984. It      G
  would mean that the three areas, namely, the central core area,
  the adjoining ·?18 villages constituting the first concentric circle
  area and the 'hext adjoining 325 villages forming the second
   con·centric circle are all included within the Bangalore
   Metropolitan Area. What is already specifically included by           H
    110     SUPREME COURT REPORTS                  [2010] 6 S.C.R.


A Section 2(c) of BOA Act cannot obviously· be excluded by
  notification dated 1.3.1988 while purporting to specify the
  additional areas adjoining to the areas which were already
  enumerated. Therefore, the proper way of reading the
  notification dated 1.3.1988 is to read it as specifying 325
B villages which are described in the First Schedule to the
  notification dated 13.3.1984 to be added to the existing
  metropolitan area and clarifying that the entire areas within the
  boundaries of Second Schedule to the notification dated
  13.3.1984 would constitute the Bangalore Metropolitan Area.
c There is no dispute that the boundaries indicated in the
  notification dated 13.3.1984 would clearly include the 16
  villages which are the subject mater of the acquisition.

       41. We therefore, reject the contention of the appellant that
  Bangalore Development Authority does not have territorial
D jurisdiction to form any development scheme in regard to the
  16 villages which are th&subject matter of the final declaration
  dated 23.2.2004.

  Question Civl - Re : Invalidity of final declaration with
E reference to time limit in section 6 of Land Acquisition Act.

        42. This question arises from the contention raised by one
  of the appellants that the provisions of section 6 of the Land
  Acquisition Act, 1894 ('LA Act" for short) will apply to the
  acquisitions under the BOA Act and consequently if the final
F declaration under section 19(1) is not issued within one year
  from the date of publication of the notification under sections
  17 (1) and (3) of the BOA Act, such final declaration will be
  invalid. The appellants submissions are as under : The
  notification under sections 17(1) and (3) of the Act was issued
G and gazetted on 3.2.2003 and the declaration under section
  19(1) was issued and published on 23.2.2004. Section 36 of
  the Act provides that the acquisition of land under the BOA Act
  within or outside the Bangalore Metropolitan Area, shall be
  regulated by the provisions of the LA Act, so far as they are
H applicable. Section 6 of LA Act requires that no declaration shall
             ,.., BONPU RAMASWAMY v. BANGALORE        111 "'
          DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
         be mad~.:!!J respect of any land covered by a notification under A
         section 4 of the LA Act, after the expiry of one year from the
__ .J'   date of the publication of such notification under section 4 of
         LA Act. As the provisions of LA Act have been made applicable
         to acquisitions under BOA Act, it is necessary that the
         declaration under Section 19(1) of BOA Act, (which is equivalent B
         to the final declaration under Section 6 of the LA Act), should
         also be made before the expiry of one year from the date of
         publication of notification under Sections 17 (1) and (3) of BOA
         Act (which is equivalent to Section 4(1) of LA Act).

                43. BOA Act contains provisions relating to acquisition of        C
           properties, up to the stage of publication of final declaration.
           BOA Act does not contain the subsequent provisions relating
           to completion of the acquisition, that is issue of notices, enquiry
           and award, vesting of land, payment of compensation, principles
           relating to determination of compensation etc. Section 36 of           D
           BOA Act does not make the LA Act applicable in its entirety,
           but states that the acquisition under BOA Act, shall be regulated
           by the provisions, so far as they are applicable, of LA Act.
           Therefore it follows that where there are already provisions in
           the BDA Act regulating certain aspects or stages of acquisition        E
           or the proceedings relating thereto, the corresponding
           provisions of LA Act will not apply to the acquisitions under the
           BOA Act. Only those provisions of LA Act, relating to the stages
           of acquisition, for which there is no provision in the BDA Act,
           are applied to the acquisitiqns under BOA Act. BOA Act                 F
           contains specific provisions relating to preliminary notification
           and final declaration. In fact the procedure up to final declaration
           under BOA Act is different from the procedure under the LA Act
         · relating to acquisition proceedings up to the stage of final
            notification. Therefore, having regard to the Scheme for              G
           acquisition under sections 15 to 19 of BDA Act and the limited
           application of LA Act in terms of section 36 of BDA 1\ct, the
            provisions of Sections 4 to 6 of LA Act will not c.fipiy to the
            acquisitions under BDA Act. If section 6 of LA Act is not made
            applicable, the question of amendment to section 6 of ~·Act           H
    112      SUPREME COURT REPORTS                    [2010] 6 S.C.R.


A   providing a time limit for issue of final declaration, will also not ·
    apply.

        44. Learned counsel for the BOA submitted that the issue
                                              0

   is no longer res integra. He submitted that in Munithimmaiah
B vs. State of Kamataka - 2002 (4) SCC 326, this Court held that
  the BOA Act is a special and self-contained code; that BDA
  and LA Act cannot be said to be either supplemental to each
  other, er pari materia legislations; that BOA Act could not be
  said to be either wholly unworkable and ineffectual if the
  subsequent amendments to the LA Act are not imported into
C BOA Act; and that the amendments to LA Act subsequent to
  the enactment of the BOA Act did not get attracted or become
  applicable to acquisitions under the BDA Act either by express
  provision or by necessary intendment or implication. He
  therefore submitted that the appellants cannot rely upon the
D amendment to Section 6 of LA Act requiring publication of the
  final declaration within one year from the date of publication of
  the preliminary notification, to contend that the final declaration
  under the BOA Act should be made within one year from the
  date of preliminary notification. The learned counsel for the
E appellants submitted that the issue whether the provisions of
  LA Act as amended would apply to acquisitions under laws
  relating to town planning has been referred to a larger Bench
  of this Court and the decision therein will have a bearing on
  the issue whether amendments to the provisions of LA Act
F would apply to acquisition under laws relating to City
  Improvement Trusts and development authorities. It is
  unnecessary to enter into the controversy whether the
  amendments to LA Act inserting Section 11A\ would apply to
  acquisitions under Town Planning Laws or City Improvement/
3 Development Laws, as that issue does not arise here. As
  noticed above, when section 6 of the LA Act itself is
  inapplicable to acquisition under BOA Act, the question
  whether amendment to Section 6 will apply will not arise. We
  accordingly hold that the final declaration dated 23.2.2004 does
H not suffer from any infirmity on account of the same having been
                                                          •

      BONDU RAMASWAMY v. BANGALORE           113
 DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]

published a few days beyond one year from the date of A
publication of the preliminary notification under sections 17 (1)
and (3) of the BOA Act.                                        :
                                                                ~
Question (v) - Re : Applicability of sections 4, 5A and 16
of LA Act
                                                                      B
     45. The appellants contend that the provisions of sections
4, 5A and 6 of LA Act apply to the acquisitions under the BOA
Act and the acquisition is liable to be quashed, as being in
violation of the said provisions. Different appellants have raised
two distinct and somewhat inconsistent contentions to say that C
sections 4 to 6 of LA Act are applicable.

       46. The first contention is as follows : The BOA Act relates
  to development of Bangalore Metropolitan Area. It is not an Act
  for acquisition of property. Sections 15 and 19 when read with      0
  section 36 of BOA Act, can lead to only a conclusion that for
  acquisition of lands for its development schemes, BOA has to
  resort only to the provisions of LA Act, in entirety and BOA Act
  does not provide for or empower BOA to make acquisitions.
  Section 15 enables the authorities to draw-up development           E
  schemes or additional development schemes for development
  of Bangalore Metropolitan Area. Section 15 does not confer
  any power to acquire land. Section 16 only specifies the
  particulars to be provided for in the development schemes and
  does not empower BOA to acquire land. The reference to
  acquisition in clause (1)(a) of section 16 is not to empower        F
  acquisition, but merely to provide that every development
  scheme shall, within the limits of the area comprised in the
  scheme provide for acquisition of any land which will be
  necessary for or affected by the execution of the scheme.
  Section 16(1}(a) therefore refers to only identifying the lands     G
  to be acquired and does not authorise acquisition. Section 17
  contains the procedure to be followed when the development
· scheme has been prepared. Section 18 refers to the need for
  the BOA to submit the scheme to the Government for its
  sanction, and grant of sanction by the Government. Neither          H
    114      SUPREME COURT REPORTS                   [2010] 6 S.C.R.

A   section 17 nor section 18 authorise the BOA to acquire land.
    Section 19 requires a declaration to be published by the
    Government stating that it had sanctioned a development
    scheme of BOA, and the lands proposed to be acquired by the
    authority are required for a public purpose. Therefore, the actual
B   acquisition as such should follow the declaration under section
    19 of the BOA Act by issuing a preliminary notification under
    section 4, by an inquiry under section 5A and a final declaration
    under section 6 of the LA Act, followed by an award, reference
    etc. Sectiofl 36 of the BOA Act provides that acquisitions shall
C   be regulated by the provisions of LA Act, as far as they are
    applicable. This makes it clear that the entire acquisition will
    have to be made under the provisions of the LA Act. BOA has
    all along proceeded on a wrong assumption that it has the
    power to acquire property under the BOA Act when it has no
    such power.
0
          47. The assumption by the appellant that Chapter Ill of the
    BOA Act relating to development schemes does not provide
    for acquisition is erroneous. Sections 15 to 19 of the BOA Act
    contemplate drawing-up of a development scheme or
E   additional development scheme for the Bangalore Metropolitan
    Area, containing the particulars set down in section 16 of the
    said Act, which includes the details of the lands to be acquired
    for execution of the scheme. Section 17 requires the BOA on
    preparation of the development scheme, to draw-up and publish
F   in the Gazette, a notification stating that the scheme has been
    made, showing the limits of the area comprised in such scheme
    and specifying the lands which are to be acquired. The other
    provisions of section 17 make it clear that the BOA has to
    furnish a copy of the said notification and invite a representation
G   from the Bangalore City Corporation, affix the notification at
    conspicuous places in various offices, and serve notice on every
    person whose land is to be acquired. Thus, the notification that
    is issued under section 17(1) and published under section
    17(3), is a preliminary notification for acquiring the lands
H   required for the scheme under the Act. Section 17(5) and
                                                                         I

       BON DU RAMASWAMY v. BANGALORE        1 115/
                                                   1

  DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
                                           ,,   /
    section 18 (1) requires BOA to give an opportunity to                A
    landowners to show cause against acquisition and consider the
    representations received in that behalf. Section 18 (1) also
    requires BOA to furnish a statement of the lands1)jroposed to
    be acquired to the State Government for obtaining it~,,,$~r;u~tion
    for the scheme including the acquisition. Sub-seq~idn (1) of         B
    section 19 requires the Government to publish a"declaration
    upon sanctioning the scheme, declaring that such a sanction
    has been given and declaring that the "lands proposed to be
    acquired by the authority" are required for public purpose. Sub-
    section (3) of section 19 makes it clear that the declaration        c
    published under section 19(1) should be conclusive evidence
    that the land is needed for a public purpose and that the
    Authority shall, upon publication of such declaration, proceed
    to execute the same. Thus, it is clear that the acquisition by the
    Authority for the purposes of the development scheme is
                                                                         0
    initiated and proceeded with under the provisions of the BOA
    Act. Section 36 of BOA Act provides that the "acquisition of
    land under this Act", shall be regulated by the provisions, so
.. far as they are applicable of the LA Act. fo view of the
  " categorical reference in section 36 of the BDA Act, to
    acquisitions under that Act, there cannot be any doubt that the          E
    acquisitions for BDA is not under the LA Act, but under the BDA
    Act' itself. It is also clear from section 36 that LA Act, in its
    entirety, is not applicable to the acquisition under the BOA Act,
    but only such of the provisions of the LA Act for whK:h a
    corresponding provision is not found in the BDA Act, will apply          F
    to acquisitions under the BDA Act. In view of sections 17 to
    19 of the BDA Act, the corresponding provisions - Sections 4
    to 6 of the LA Act-will not apply to acquisitions under the BDA
    Act. We therefore reject the contention that the BDA Act does
    not contemplate acquisition and that the acquisition which is        G
    required to be made as a part of the development scheme,
    should be made under the LA Act, applying sections 4, SA and
    6 of LA Act.

       48. The second contention urged by the appellants is as               H
    116     SUPREME COURT REPORTS                  [2010] 6 S.C.R.

A follows : A development authority is a City Improvement Trust
  referred to in Entry 5 of the State List (List II of the Seventh
  Schedule). 'Acquisition of property' is a matter enumerated in
  Entry 42 in the Concurrent List (List Ill of the Seventh Schedule).
  LA Act relating to acquisition of property, is an existing law with
B respect to a matter (Entry 42) enumerated in the Concurrent
  List. BOA Act providing for acquisition of property is a law
  made by the State Legislature under Entry 42 of the Concurrent
  List. Article 254 of the Constitution provides that if there is any
  repugnancy between a law made by the State Legislature (BOA
c Act) and an existing central law in regard to a matter
  enumerated in the Concurrent List (LA Act), then subject to the
  provisions of clause (2) thereof, the existing Central law shall
  prevail and the State law, to the extent of repugnancy, shall be
  void. Clause (2) of Article 254 provides that if the law made by
  the State Legislature in regard to any matter enumerated in the
0
  Concurrent List, contains any provision repugnant to an existing
  law with respect to that matter, then, the law so made by the
  State Legislature, if it had been reserved for the consideration
  of the President and has received his assent, shall prevail in
  that State. It is contended that the provisions of section 19 of
E the BOA Act are repugnant to the provisions of section 6 of the
  LA Act; and as BOA Act has not been reserved for
  consideration of the President and has not received his assent,
  section 6 of LA Act will prevail over section 19 of BOA Act.

F       49. This contention also has no merit. The question of
  repugnancy can arise only where the State law and the existing
  Central law are with reference to any one of the matters
  enumerated in the Concurrent List. The question of repugnancy
  arises only when both the legislatures are competent to
G legislate in the same field, that is, when both the Union and
  State laws relate to a subject in List Ill. Article 254 has no
  application except where the two laws relate to subjects in List
  Ill [See: Mis. Hoechst Pharmaceuticals vs. State of Bihar -
  1983 (4) SCC 45]. But if the law made by the State Legislature,
H covered by an Entry in the State List, incidentally touches upon
         \   \
     BONDU RAMASWAMY v. BANGALORE           117
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
any of the matters in the Concurrent List, it is well-settled that it A
will not be considered to be repugnant to an existing Central
law with respect to such a matter enumerated in the Concurrent
List. In such cases of overlapping between mutually exclusive
lists, the doctrine of pith and substance would apply. Article
254(1) will have no application if the State law in pith and B
substance relates to a matter in List II, even if it may incidentally
trench upon some item in List Ill. (See Hoechst (supra), Megh
Raj v. Allah Rakhia AIR 1947 PC 72, Lakhi Narayan v.
Province of Bihar AIR 1950 FC 59). Where the law covered
by an Entry in the State List made by the State Legislature c
contains a provision which directly and substantially relates to
a matter enumerated in the Concurrent List and is repugnant
to the provisions of any existing law with respect to that matter
in the Concurrent List, then the repugnant provision in the State
List may be void unless it can co-exist and operate without 0
repugnancy to the provisions of the existing law. This Court in
Munithimmiah (supra) has held that the BOA Act is an Act to
provide for the establishment of a development authority to
facilitate and ensure planned growth and development of the
City of Bangalore and areas adjacent thereto, and that
acquisition of any lands, for such development, is merely E
incidental to the main object of the Act, that is development of
Bangalore Metropolitan area. This Court held that in pith and
substance, the BOA Act is one which squarely falls under Entry
5 of List II of the Seventh Schedule and is not a law for
acquisition of land like the LA Act, traceable to Entry 42 of List · F
Ill of the Seventh Schedule, the field in respect of which is
already occupied by the Central Act, as amended from time to
time. This Court held that if at all, BOA Act, so far as acquisition
of land for its developmental activities is concerned, in
substance and effect will constitute a special law providing for G
acquisition for the special purposes of BOA and the same will
not be considered to be a part of the LA Act. The fallacy in the
contention of the appellants is that it assumes, erroneously, that
BOA Act is a law referable to Entry 42 of List Ill, while it is a
law referable to Entry 5 of List II. Hence the question of H
   118      SUPREME COURT REPORTS                 [2010) 6 S.C.R.


A repugnancy and Section 6 of the LA Act prevailing over Section
  19 of BDA Act would not at all arise.

       50. We may next refer to the argument that there is no
  enquiry as contemplated under section 5A of the LA Act. The
  assumption that a final declaration under section 19 has to be.
8
  preceded by an inquiry, similar to what is contemplated under
  section 5A of LA Act, is without any basis. Section 5A of LA
  Act relates to hearing of objections. Sub-section (1) thereof
  provides that any person interested in any land which has been
  notified under section 4(1) as being needed or likely to be
C needed, for a public purpose, may, within thirty days from the
  date of the publication of the notification, object to the
  acquisition. Sub-section (2) of section 5A of LA Act provides
  that every objection under sub-section (1) of section 5A shall
  be made to the Collector and the Collector shall give the
D objector an opportunity of being heard in person or by any
  person authorised by him in that behalf or by a pleader and
  shall after hearing all such objections and after making such
  further inquiry, if any, as he thinks necessary, either make
  reporUs in respect of the land which has been notified under
E section 4(1) to the appropriate Government, containing the
  recommendations on the objections, together with the record
  of the proceedings held by him for the decision of the
  Government, and the decision of the appropriate Government
  on the objection shall be final. We have already held that section
F 5A is inapplicable to acquisitions under the BDA Act. The
   scheme of BDA Act also contemplates consideration of
   objections but does not require any personal hearing or inquiry.
   Sub-section (5) of section 17 of the BDA Act requires that
   during the thirty days next following the date on which the
G preliminary notification under section 17(1) and (3) is published,
   the authorities shall serve a notice on every person whose name
   appears in the assessment list/land revenue register, requiring
   such person to show-cause within thirty days from the date of
   receipt of the notice why such acquisition should not be made.
H Sub-section (1) of section 18 provides that the authority shall,
      BONDU RAMASWAMY v. BANGALORE           119
 DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
 after service of notices as provided in section 17 and after A
 consideration of the representations, if any received in respect
 thereof, shall submit the scheme, making such modifications
 therein as it may think fit for Government for sanction. It would
 thus be seen that while the scheme for acquisition under the
 LA Act and the BDA Act contemplates notice to the B
 landholders/persons interested, the procedure thereafter is
 markedly different. While LA Act requires an 'enquiry' where
 the Dy. Commissioner is required to give the objectors
 opportunity of being heard in person and conducting such
 further inquiry as he thinks necessary, BDA Act requires issuing c
 notices to the persons interested to show-cause why
 acquisition should not be made and consider the
 representations received. No personal hearing or 'enquiry' is
 contemplated. Therefore, it is impermissible to import the
 requirement of section SA of LA Act in regard to acquisitions 0
 under the BOA Act.
       51. In view of the above, the contention that the BOA Act
  has to yield to LA Act and consequently, the provisions of
  sections 4, 5 and 6 of LA Act will be applicable and have to
. be complied with for acquisitions under the BOA Act, does not           E
  have any merit and the same is rejected.
 Question (vi)- Re : Non-compliance with section 15 to
 19 of the BOA Act. . .                    ...

        52. The appellants contend that a clear and specific              F
   development scheme is fundcimentcil pre-requisite for an
   acquisition and in the present case there was no such scheme
 ; before the acquisition was initiated. It is submitted that sanction
· of the Government to the development scheme is a condition
   prececjent for publication of a q139laration uncler Section 1~(1)      G·
 of   the Act. It is submittec:1 that the requirement of a sanction has
   Ileen reduced to an empty formality, firstly by BOA not placing
   the necessary material before the Government, secondly, by
   government by rnshing through the entire process without proper
                                                                          H
   120      SUPREME COURT REPORTS                 [2010] 6 S.C.R.

A application of mind and thirdly by the Chief Minister giving
  administrative sanction, without placing the· matter before the
  Cabinet as required by the relevant Transaction of Business
  Rules. We will deal with each of these submissions separately.
B (al Absence of specificity and discrepancy in extract.

        53. Chapter Ill of BOA Act relates to development
  schemes. Section 15 provides that authority may draw up a
  d~tailed scheme for the development of the Bangalore
  Metropolitan Area. It also provides that the Authority can also
C from time to time make and take up new or additional
  development schemes either on its own initiative or on the
  recommendation of the local authority or otherwise. Section 16
  provides that the development scheme under section 15 shall,
  within the limits of the area comprised in the scheme, provide
D for acquisition of land which will be necessary for execution of
  the scheme, laying and re-laying out of land (including
  construction or reconstruction of buildings) and formation and
  alteration of streets, drainage, water supply, electricity, and
  reservation of space for public parks and playgrounds and civic
E amenities. When the development scheme is prepared the
  authority is required to draw up a notification as stated in
  Section 17(1 ). The said notification has to be published in the
  Official Gazette, and a copy thereof sent to the Bangalore City
  Corporation for its comments. Notices have to be served on
F the land holders to show cause why the land should not be
  acquired. After such publication and service of notices and after
  consideration of the representations the authority is required
  to submit the scheme making such modification as it may think
  fit to the Government for sanction furnishing the documents/
G details as stated in Sub-section (1) of Section 18. On
  consideration of the development scheme, the Government may
  grant sanction for the same. Upon such sanction, the
  Government shall publish a declaration stating that sanction has
   been granted and the land proposed to be acquired by the
  authority for the purpose of the scheme is required for the public
H purpose.
     BONDU RAMASWAMY v. BANGALORE         121
DEVELOPMENT AUTHORITY [RV. RAVEENDRAN,J.]
      54. Let us consider whether the said provisions have been       A
complied with in this case. On 2.1.2001 the Executive Engineer
(North) of BOA, submitted a scheme report dated 1.1.2001 for
development of Hennur Devanahalli Road Extension covering
an area of 1650 acres in 12 villages (that is Hennur,
Geddalahalli, Byrathi Khare, Thanisandra, K. Narayanapura,            B
Rachenahalli, Sriramapura, Venkateshpura, Sampigehalli,
Amruthahalli, Dasarahalli, and Jakkur). It contemplated the
execution of the development in three stages: laying 4524 sites
in 300 acres in the first stage, 12817 sites in 850 acres in the
second stage and 7539 sites in 500 acres in the third stage,          c
in all 24880 sites. It also gave the detailed working of the cost
of the development scheme and the amount expected to be
realised by allotment/sale of plots and made it clear that it will
be a self-financing scheme.

      55. On receipt of the said scheme report, the Surveyors         D
of BDA made a survey and reported that about 3000 acres of
land will be available in 14 villages, that is, the twelve villages
mentioned in the report dated 2.1.2001 and two other villages
namely Kempapura and Challakere. Therefore, the Addi. Land
Acquisition Officer placed a note, reporting that surveyors had       E
located about 3000 acres of land and suggestirig that the layout
may be named as Arkavathi layout instead of Hennur
Devanahalli Road layout. The;! Commissioner agreed with the
proposal on 8.10.2002 and placed the scheme before the
Authority. The Authority considered it in its meeting dated           F
10.10.2002 and approved the proposal and decided to issue
a preliminary notification for 3000 acres of land in regard to 14
villages. Subsequently with a view to have proper access to the
layout certain lands in Hebbala and Nagavara were also added.
Thereafter, the preliminary notification dated 3.2.2003 under         G
section 17(1) was published by the Commissioner, BOA,
proposing to acquire the lands shown in the Schedule to the
notification. The preliminary notification also contained an
abstract of the extents of lands proposed to be acquired for
formation of Arkavathi layout. It is stated that the proposal         H
    122 •    SUPREME COURT REPORTS                     (201 O] 6 S.C.R.


A contemplated of utilisation of about 500 acres of government
  land also which did not require acquisition and consequently,
  the total extent was shown as 3389A.12G in the abstract. A
  corrigendum was issued showing the extent as 3889A.12G. A
  copy of the notification was forwarded to the Bangalore City
B Corporation and notices were also issued to the persons
  registered as the owners of the lands proposed to be acquired
  requiring them to show cause why such acquisition should not
  be made. After consideration of the representations the
  authoril/ modified the scheme by deleting 1089.12 acres and
c submitted the modified scheme for acquisition of 2750 acres
  in 16 villages to the Government for its sanction. The
  Government sanctioned the scheme for formation of Arkavathi
   layout vide Government Order No. UDO 193 MNX 204 dated
  21.2.2004. Thereafter a final notification dated 23.2.2004 was
  issued by the Government of Karnataka under section 19(1) of
0
  the Act and published in the Gazette on the same day. The said
   notification stated that the Government has sanctioned the
   layout and the lands stated in the Schedule ~herein were
   required for the public purpose for formation of the Arkavathi
E layout. We have repeated the reference to the events in detail
   to show that there has been due compliance with the
   provisions of Sections 15 to 19 of the Act.
              56. The mere fact that there were modifications from time
       to time or that some of the lands originally proposed were
 F thereafter omitted will not in any way affect the validity of the
       ,scheme. Similarly the fact that acquisition was initially
      .·contemplated in regard to lands in only 12 villages and that two
        villages were added by the authority in October, 2002 for
        making a bigger layout or the fact that two other villages were
  G also added to provide better access to the layout will not be in
~ · ·violation of the scheme. Such additions were all made by the
        Authority prior to the issue of preliminary notification. The fact
 . ,
    1
        that there were changes in extent does not make the scheme
        vague or uncertain. Necessarily a preparation of a development
  H scheme would contemplat~ survey and ascertainment of
     BONDU RAMASWAMY v. BANGALORE           123
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
suitable available land for acquisition and preparation of a          A
scheme. Before the scheme is finalised there will necessarily
be modifications and changes. Even publication of a
notification under sections 17(1) and (3) of the Act stating that
the scheme has been made and specifying the lands which are
proposed to be acquired is subject to a revision on                   B
consideration of representations/objections and deletions
warranted. Therefore the mere fact that there were some
modifications from time to time between 2001 when the initial
proposal was mooted till the issue of the notification under
Sections 17(1) and (3) or that some lands were omitted/deleted        c
in the declaration under Section 19(1) will not effect the validity
of the scheme. In fact deletion of some items of land or reducing
the extent proposed to be acquired in some items of land, when
issuing final declaration is made is quite .common and is indeed
a result of the process prescribed under any Act providing for        0
acquisitions. The changes and modifications are infact
contemplated in the process of making the scheme under
Sections 15 to 19 of BOA Act.
(bl Non-furnishing of material particulars to the
Government for purpose of sanction.                                   E

      57. The appellants submitted that for obtaining sanction the
BOA had to submit the scheme, after making sucfl
modifications as it may think fit, to the Government for sanction,
furnishing (a) a description with full particulars of the scheme      F
including the reasons for any modifications inserted therein; (b)
complete plans and estimates of the cost of executing the
scheme; (c) a statement specifying the land proposed to be
acquired; (d) any representation received under section 17(2)
of the BOA Act from the Bangalore City Corporation; (e) a             G
schedule showing the rateable value, as entered in the
Municipal assessment Book relating to the land under section
17 or the land assessment of all lands specified in the statement
under clause (c); and (f) any other particulars as may be
prescribed.
                                                                      H
    124      SUPREME COURT REPORTS                  [2010] 6 S.C.R.


A       58. The Commissioner, addressed a letter dated
  13.2.2004 to the Principal Secretary to Government, Urban
  Devell)pment Department, seeking sanction. The said letter
  referred to the preliminary notification, the subsequent
  consideration of representations/objections and the resolution
B dated 3.2.2004 to acquire 2750 acres of land, preparation of
  a project for formation of a layout with 28,600 sites at a cost of
  Rs.981.36 crores under Section 15(2) of BOA Act and
  requested for sanction under section 18(3) of the BOA Act and
  publication of the final declaration in the Official Gazette under
c section 19(1) of the Act. The Government having examined the
  proposal, sent a letter dated 17.2.2004 seeking the following
  clarifications/particulars: (a) Information as to how the Authority
  will bear the expenses for the proposed project and whether it
  will bear it from its own sources; (b) Copies of the project map;
  and (c) Copies of the final declaration. The required particulars
0
  were furnished by BOA. The state government, after
  considering them made an order dated 21.2.2004 granting
  permission as under (vide Government Order No.NAE 193 BLA
  2004 made in the name of the Governor) :

E         "(3) The Bangalore Development Authority has obtained
          the approval of the General Body to procure the sanction
          of the Government to the Arkavathi Layout Scheme and
          to procure issuances of a final notification under Section
          19(1) of the Bangalore Development Authority Act, 1976
F         for the purpose of formation of the layout over available
          2750 acres of land as per the No.43/2004 in the meeting
          of the Authority dated 2.3.2004. As per the approval of the
          General Body, the Authority has in the letters referred to
          above put forward a proposal seeking for the sanction of
G         the Government for the Arkavathy Layout Scheme as well
          as for the issuance of the Final Notification. The Authority
          has informed that it will meet out of its coffers the entire
          expenditure that would be incurred for the proposed
          scheme. After executing 589 acres 12 guntas from the total
          extent of 3339 acres 12 guntas notified in the preliminary
     BONDU RAMASWAMY v. BANGALORE           125
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]

    notification, the proposal for sanction of the scheme as per                A
    Section 18(3) of the Bangalore Development Authority Act,
    1976 for the Arkavathy Layout Scheme in 2750 acres of
    land involving the following scheme particulars have been
    considered.
                                                                                B
Sy. Name of      Appro-    Extent of   No. of sites   Executed   Expected
No. the Layout   xi mate   land        proposed       recovery   total saving
                 Extent    proposed    to be          (Rs. in    (Rs. In
                 Acres     to be       formed         crores)    crores)
                 Guntas    acquired
                           Acres
                           Guntas                                               c
1   Arkavathy    933-47    2750-00     28600 of       981.36     47.89
                                       varying
                                       dimens-
                                       ions

    The approximate cost of the Arkavathy Layout, which is                      D
    being referred to in the Proposal of the Bangalore
    Development Authority, is Rs.933.47 crores. The approval
    has been given under Section 18(3) of the Bangalore
    Development Authority Act, 1976 subject to the following
    conditions:                                                                 E

    1. The Bangalore Development Authority shall bear all the
    expenses to be incurred for the implementation of the
    scheme from its own resources and shall not expect any
    financial assistance from the Government for the same.
                                                                                F
    2. For the implementation of the said scheme, the
    Government shall not be the guarantor for any of the loans
    that may be taken by the BOA. It shall be the sole
    responsibility of the BOA to repay the said loan amount.
                                                                                G
    3. The Government shall to be party to any transactions that
    the BDA may enter into with respect to the proposed
    scheme.

    4. With respect to the proposed scheme if the land has to
    be converted for using it, it shall be mandatory to get pre-                H
    126      SUPREME COURT REPORTS                (2010] 6 S.C.R.


A         approval from the Government".

          The zonal regulation shall be strictly followed and the
          requisitions shall be complied with."

       59. The appellants contended that the fact that the non-
B furnishing of the said information/documents showed that the
  scheme was not finalised or complete when the proposal was
  sent to the Government for approval and BDA had not even
  prepared a map of the area to be acquired and therefore there
  was non-compliance with the requirements of section 18(1) of
C the BDA Act by BDA and that in the absence of necessary
  material, there could not have been proper application of mind
  by the Government for granting the sanction.

        60. Section 18 is clear about the material to be furnished
0 by  the BDA for seeking sanction of the scheme. On examining
  the records of the BDA and the Government, the Division Bench
  recorded a finding that all the required particulars had been
  furnished so that the Government can apply its mind. In fact, the
  notings show that in response to the further information sought
E by the Government on 17.2.2004, the Authority furnished the
  required information, that is, the Authority will bear the entire
  expenses for Akravathi layout project from its own sources, it
  also noted that the BDA had informed that the preparation of
  the project map was at the final stage and will be furnished after
  completion thereof. This of course shows that the project map
F was not ready either on 17.2.2004 when the BDA sent its reply
  to the letter dated 17.2.2004 or at the time the Government
  granted sanction on 21.2.2004. But what is relevant to be
  noticed is that the project map was not one of the documents
  that had to be furnished by the BOA while seeking sanction of
G the scheme. We have already referred to the documents and
   particulars to be furnished by the BOA. The project map was
   not one of the items that had to be furnished. In fact the scheme
   report had been submitted by the Executive Engineer, North
   Division of BOA to the Engineer Member on 5.2.2004 itself and
H that had been made available to the Government. The
     BONDU RAMASWAMY v. BANGALORE           127
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
Government in its reply stated that whatever particulars that           A
were required to be furnished, had been furnished and they were
satisfied that the scheme required to be sanctioned. It is only
thereafter sanction was granted. We therefore reject the
contention that the material required for seeking sanction had
not been furnished by the BDA to the Government.                        B
Ccl Absence of valid sanction bv the Government

      61. As far as the BDA is concerned, there is thus due
compliance with Sections 18 and 19 also. Bui the appellants
would contend having regard to the provisions of the Karnataka          C
Government Transaction of Business Rules, 1977, the sanction
for the scheme under Section 18(3) could validity be given only
by a decision of the Cabinet; and that in these cases, the
decision of the Government was based on the order of the Chief
Minister and not the Cabinet, and therefore, sanction was not           D
a valid sanction in law. As noticed above, the BDA sent the
scheme approved by the authority for the sanction of the
Government by writing a letter to the Principal Secretary to the
Government Urban Development Department on 13.2.2004. By
the time the communication reached the Government, there was            E
a demand for dissolution of the House on 16.2.2004 and the
House was dissolved on 21.2.2004. In the meanwhile, certain
clarifications were sought on 17.2.2004 which were furnished
on the same day. The file was processed and the matter was
 placed before the Chief Minister who had the dual capacity of          F
Chief Minister and the Minister-in-charge of Bangalore
 Development Authority. The Chief Minister approved the
 proposal on 20.2.2004. The noting placed by the concerned
 Ministry and the order of the Chief Minister thereon are
 extracted below :                                                      G
     "(10) The above receipt is kept at page no.11. Kindly
     peruse note para 1 to 6. On the background of paras 6 to
     9, few information from authority (page 10) was sought, the
     authority has furnished to the required information (page-
     11 ). The authority has informed in the said letter that it will   H
              128       SUPREME COURT REPORTS                    [2010] 6 S.C.R.

          A         bear the expenses required for the Arkavati layout
                    Extension Project from its sources itself and the
                    preparation project map is at final stage, it will be furnished
                    after completion. And also the construction work of the
                    Arkavati layout extension has to be taken immediately and
          B         the sites has to be distributed to the publics hence the
                    authority has requested to give approval for the Arkavathi
~~
                    layout extension and the final notification has to be
                    published.
     ,;             (11) The authority has informed that it will bear the
          c         expenses for the proposed project out of its source its self
                    hence the necessity of getting ratification of the Finance
                    Department for this proposal does not arise.

                    (12) According to Rule 15 of Government of Karnataka
          D         (Execution of Business) Rules 1977, the ratification of the
                    Cabinet is required for the expenses of project works
                    which is more than 500 lakh rupees. On this background,
                    the ratification of Cabinet has to be obtained for the below
                    mentioned points :
          E
                    (a) To issue Government's approval for the Arkavathi
                    Layout extension project approximately of Rs.981.36
                    crores under section 18(3) of Bangalore Development
                    Authority Act.

          F         (b) To publish final notification under section 19(1) of
                    Bangalore Development Authority Act for the available
                    2750 acres land for construction of Arkavathi layout
                    extension (page 138-1212). It may be requested Hon'ble
                    Chief Minister for according ratification before tabling the
          G         file for ratification of the Cabinet.

                                               xxxxxxxx

                    Chief Minister,

          H         PSCM 1180/2004/20.2.2004
     BONDU RAMASWAMY v. BANGALORE         129
DEVELOPMENT AUTHORITY [RV RAVEENDRAN, J.]

     (14) Pending ratification by the Cabinet, para 12(a) and         A
     (b) is approved.
                                                            Sd/-
                                                  (S.M. Krishna)
                                                  Chief Minister"
                                                                      B
    Subsequently the matter was placed before the Cabinet
and ratified.

       62. The appellants contend that such an order by the Chief
Minister and ratification thereof were invalid, having regard to
Rules 12, 20 and 21 read with Entry 36 in the First Schedule          C
of the Karnataka Government (Transaction of Business) Rules
1977. Rule 12 provides that there shall be a Committee of the
Council of Ministers to be called the Cabinet and all matters
referred to in the First Schedule to the Rules shall ordinarily be
considered at a meeting of the Cabinet. Rule 20 provides that         D
cases specified in the First Schedule to the Rules shall be
brought before the Cabinet after submission to the Minister-in-
charge of the Department; and cases other than those specified
in the First Schedule should be brought before the Cabinet by
the direction of the Chief Minister, or the Minister-in-Charge of     E
the Department with the consent of the Chief Minister. Rule 21
provides that subject to provisions of Rule 20 all cases specified
in the First Schedule to the Rules shall be brought before the
Cabinet. Entry 36 of the First Schedule relates to "all self-
financing schemes of local bodies including the Urban                 F
Development Authorities, the Karnataka Housing -Board and
such other statutory bodies". In this case the matter (relating to
sanction under section 18(3) of BOA Act) was placed before
the Chief Minister who also happened to be the Minister-in-
Charge on 20.2.2004. He granted the approval subject to               G
ratification by the Cabinet. In view of the subsequent ratification
by the Cabinet there is nothing irregular in the procedure
adopted. The delay in ratification was on account of the
dissolution of the house.
                                                                      H
    130        SUPREME COURT REPORTS                           [2010] 6 S.C.R.


A       63. The contentions that the sanction is void, is untenable.
  As noticed above, Rule 12 requires that the matter should
  ordinarily be considered at a meeting of the Cabinet. This itself
  shows that there can be exceptional circumstances where it will
  not be possible to place it before the Cabinet. The approval
B granted by the Chief Minister, subject to the ratification of the
  Cabinet was treated by the Urban Development Department
  as approval for the sanction under Section 18(3) and a
  Government order was made on 21.2.2004 in the name of the
  Governor granting sanction under section 18(3) of the BDA Act.
c The State Government also issued a final declaration under
  Section 19(1) of BDA Act. It is thus evident that the State
  Government proceeded on the basis that the order of approval
  of the Chief Minister for the sanction, was sufficient for grant of
  sanction. Even if it is to be assumed that such approval was
D irregular as it was made subject to ratification, as the
  ratification was subsequently made, the challenge for want of
  proper approval of the Cabinet for the sanction cannot be
  accepted.
  question (vii) : Re : Discrimination, malafides and
E arbitrariness :

            64. We may start with the following preliminary facts :

             Date         Stage                                  Area
F                                                                proposed to
                                                                 be acquired
    (i)      2.1.2001     Initial proposal by the Executive       1650 Acres
                          Engineer (North)                        (12 villages)
    (ii)     10.12.2002   Resolution of Bangalore                3000 Acres
                          Development Authority to issue         (14 villages)
G                         a p!:f!liminary notification under
                          sections 17(1) and (3) of the Act
    (iii)    3.2.2003     Area notified in the preliminary        3339 acres
                          notification under section 17(3)        12 guntas
                          of SDA Act                              (in 16 villages)
H
      BONDU RAMASWAMY v. BANGALORE           131
 DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
 (iv)   16.9.2003   Corrigendum regarding notifica-   3839 acres          A
                    tion u/s. 17(3) of BOA Act        12 guntas
                                                      (in 16 villages)
 (v)    3.2.2004    Resolution of BOA to implement     2750 acres
                    Arkavathy Scheme                  .(in 16 villages)
 (vi)   23.2.2004   Declaration under section 19(1)   ,2750 acres         B
                    of BOA Act.                        (in 16 villages)


 The proposal placed before the Authority and resolution dated
 3.2.2004 of the Authority (approving the scheme to be placed
 before the Government for sanction) proceeded on the basis               C
 that the total area notified proposing acquisition was 3339 acres
 12 guntas, and the area deleted/withdrawn from the said area
 notified in the preliminary notification on examining the
 representations was 589 acres 12 guntas and therefore the final
 declaration for acquisition was for 2750 acres. This was the             D
 scheme that was placed for approval before the state
 government. The state government also in the sanction order
 dated 21.2.2004 granted sanction for acquisition of 275 acres
 after noting that 589 acres 12 guntas was excluded from the
 proposed extent of 3339 acres 12 guntas, after considering 'the          E
 representations received in pursuance of notices issued \Jnder
 Section 17(5) of BDA Act. But when the cases came up before
 the High Court and this court, the categorical case of BDA is
 that the total area notified under section 17(1) and (3) of the
 BDA Act, was 3839 acres 12 guntas and that the area deleted/             F
 excluded was 1089 acres 12 guntas. How the preliminary
 notification extent area increased by 500 acres and how the
 area deleted also increased exactly by 500 acres is not
 properly explained and is virtually a mystery. Different
.explanations have been given at different points of time.
                                                                          G
     65. On behalf of BDA, an affidavit dated 14.3.2007 was
filed before us wherein it is disclosed that in regard to a
question put regarding deletion in the Karnataka Legislative
Assembly, the followino particulars were furnished on 25.1.2006:
                                                                          H
    132      SUPREME COURT REPORTS               (2010] 6 S.C.R.


A   (i)   Extent of land acquired         2626 acres 13 guntas

    (ii) Extent dropped in the final      1089 acres 12 guntas
         Notification

B (iii) Extent of government lands        487 acres 11 guntas
        Included in formation of
        Arkavathi layout

    In a statement furnished in this Court on 20.3.2006, BDA gave
c   the break up as under:

    (i)   Extent as per preliminary       3839 acres 12 guntas
          Notification

    (ii) Extent deleted after preliminary : 1089 acres 12 guntas
0
         Notification

    (iii) Extent of government lands      459 acres
          acquired as per final
          notification
E
    (iv) Extent of private land acquired : 2291 acres 2750 acres
         as per final notification
        Another statement furnished to us shows 500 acres have
F   been deleted under the heading "religious institutions".

        66. The appellants contended that the deletion of as much
    as 1089 acres 12 guntas from out of 3839 acres 12 guntas
  proposed to be acquired under the preliminary notification would
  mean that more than 28% was deleted. Several deletions
G formed islands within the acquired areas. Some of the deletions
  in some villages were of such a magnitude that what remained
  of the acquisition in those villages were small and negligible
  islands completely surrounded by acquired/deleted lands
  making it difficult or impossible to effectively use such
H remaining land for development. Such an extensive deletion can
    .BONDU RAMASWAMY v. BANGALORE           133
D~VELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]

lead to the following two inferences: (i) that there was total non   A
application of mind when the proposal was made and without
proper survey and by completely ignoring the ground realities
about the constructed areas, suitability and availability for
acquisition and other relevant circumstances, BOA in extreme
haste had proposed acquisition; and/or (ii) the deletion of such     B
vast areas,showed that the deletions were arbitrarily made or
to favour a chosen few.

     67. The learned Single Judge after examining the facts
held that there were improper inclusions and exclusions which
amounted to hostile discrimination. He held that the acquisition     C
of certain lands and non-acquisition or deletion from acquisition
of some other similarly situated lands situated in the same area,
was arbitrary and discriminatory, violative of Article 14of the
Constitution. He further held that the BOA had failed to furnish
any plan showing the details of the lands proposed for               D
acquisition, lands deleted from acquisition, built up areas and
the lands originally not incluqed in the acquisition, even though
they were in the midst of the acquired lands. The learned Single
Judge also noticed that in regard to the deletion of 500 acres,
no reasons have been assigned.                                       E

     68. The Division Bench agreed with the single Judge that
there were improper inclusions and exclusions amounting to
discrimination. The Division Bench was of the view that though
the single Judge was justified in holding that there was             F
discrimination in acquiring the land, that alone cannot be a
ground for quashing the entire acquisition of 2750 acres. The
Division Bench also noticed that the BDA had not traversed the
allegations regarding discrimination specifically and even a
bare perusal of the map showed that 2750 acres sought to be          G
acquired, did not form a contiguous area. In particular he
referred to the haphazard manner in which the acquisition of
deletions were made in Kempapura and Srirampura villages.
The Division Bench noticed that even in other villages small
extents of acquired lands were completely surrounded by large
                                                                     H
    134      SUPREME COURT REPORTS                 [2010] 6 S.C.R.

A chunks of areas which were either not acquired or deleted from
  acquisition, making access to such notified land difficult. In the
  circumstances instead of setting aside the acquisition, in view
  a memo and the memo filed by the BDA proposing certain
  remedial measures, the Division Bench decided to give an
B opportunity to all the landowners (excluding site owners) who
  had taken the plea of discrimination to file an appropriate
  application before the BDA for deletion of their lands from
  acquisition and to substanti51te their contention by producing
  such evidence as was available with them.
c      69. The BOA does not seriously dispute the fact that there
  were some amount of arbitrariness and discrimination in the
  matter of inclusions and exclusions. Apart from that we find that
  even in this court the BOA has not come up with true and
  correct position. As noticed above the break up of deletions
0 and the reasons for such deletions have not been disclosed.
  The extent of deletion without explanation has jumped from
  589.12 acres to 1089 acres 12 guntas. The BOA has not
  chosen to explain the exact extent of the government land
  involved.
E
       70. Even the map produced showing the 2750 acres of
  acquired land and 1089 acres 12 guntas of deleted area
  contains several discrepancies. For example, in regard to
  Sampigehalli, the map produced before us shows that the
F entire extent of the village has been acquired except the village
  proper (Abadi) and survey Nos.1 O and 11. But we find that
  survey Nos.1 Oand 11 are not in fact deleted and the declaration
  shows those survey nos. as acquired. In the same village a
  perusal of the preliminary notification and final declaration
  shows that Survey Nos.38/2A, 44/10, 44/11, 44/13, 44/14, 44/
G 15 and 46/4 have been omitted in the final declaration but the
  plan shows no such omission. On the other hand, it shows the
  entire village as having been acquired.
          71. We give below the particulars of the area notified and
H
     BONDU RAMASWAMY v. BANGALORE           135
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
deleted to get a true picture of the magnitude of deletions and · A
the resultant discrimination:

s.  Name of the   Extent notified Total extent Extent dropped
No. village       in the           notified in from
                  preliminary      the final   acquisition        B
                  notification dt. declaration while issuing
                  3.2.2003         dated       final
                                   23.2.2004 declaration
                                   (in Acre.   (in Acre.
                                   Gunta)      Gunta)
1. Dasarahalli    380.04           225.18      154.22
                                                                  c
2. Byrathikhare   86.07            77.25       8.22
3. Chellakere     155.03           135.14      19.29
4. Geddalahalli   210.22           133.24      76.38
5. K. Narayanpura 195.13           133.05      62.08              D
6. Rachenahalli   396.29           298.03      98.26
7. Thanisandra    557.04           482.07      74.37
8. Amruthahalli   196.11           139.01      56.10
9. Jakkur         422.28           360.24      62.04              E
10. Kempapura     55.13            26.38       28.15
11. Sampigehalli  401.39           256.20      145.21
12. Sriramapura   196.35           94.13       102.22
13. Venkateshpura 95.65            60.13       34.28
                                                                  F
14. Hennur        262.22           140.21      122.01
15. Hebbala       59.01            59.14
16. Nagavara       169.16          127.00      42.16
    Total         3839A.12G. 2750A.            1089 A. 12 G.
                                                                  G
      72. The acquisition was for planned development of the
c'ity and to avoid haphazard growth. But when the layout plan
is examined with reference to the preliminary notification and
final declaration, several startling facts emerge. We may first
refer to the pick. and choose method adopted with reference       H
    136      SUPREME COURT REPORTS                   [2010] 6 S.C.R.


A to Kempapura and S~iramapura villages, to which the division
  bench maC:.a specific reference.

          (i) In Kempapura village, large areas, that is nearly 50%
          of the area of the village (Sy. No.2, 4 to 16, 23, 24, 30,
          31) had not been included in the preliminary notification,
B
          even though the entire surrounding area had been notified.
          Only 55.13 acres were notified in the preliminary
          notification but the final declaration was only in regard to
          26A.38G and the remaining 28A.15G (more than 51% of
          what was notified) were deleted. After deletion of Sy. No.1,
c         3, 18(Part) and 33 the entire northern portion (north of the
          Road bisecting the village) is free from acquisition (except
          part of Sy. No.17). Even in the southern portion of the
          village, there are haphazard deletions.

D         (ii) In Srirampura village, quite a few lands (Sy. No.2, 3,
          ?(Part), 13, 62, 64, 65) were not included in the preliminary
          notification even though all the surrounding areas had been
          notified. Further, out of total area of 196A.35G notified in
          the preliminary notification, only 94A.13G find a place in
E         the final declaration and the remaining 102A.22G (more
          than 52% of what was notified) were deleted. The 11cquired
          lands of 94A.13G are not in a contiguous block~ but in
          eleven odd shaped pockets. The deletions and initial
          omissions make it impossible to have orderly development
F         in regard to acquisition in this village. Some of the pockets
          are of such odd shape and size that BOA proposes to
          leave them as stand alone parks/open spaces/community
          centres, without any development.

      73. We find the haphazard and arbitrary exclusions are in
G several other villages also, though not to the extent in
  Kempapura and Sriramapura. We may refer to some of them:

          (i) Venkateshapura is a comparatively small village. All the
          lands were proposed for acquisition under the preliminary
H         notification (except a block consisting of Sy. No.6, 7 and
      BONDU RAMASWAMY v. BANGALORE           137
 DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
    8) in all measuring 95A.05G. Virtually the entire southern   A
    and western portions of the village have been omitted in
    the final declaration and only 60A.13G are included in the
    final declaration. But the entire southern portion of the
    village (about 30 acres) have been deleted except four
    small pockets which have not been deleted :                  B

     (a)   Sy. No.30 and 31 measuring 24 Guntas and 25
           Guntas in all one acre and nine guntas.

     (b)   Sy. No.33 and 34 measuring 2A.06G and 1A.18G,
           in all 3A.24G;                                        C

     (c)   Sy No.37/2 measuring 2A.10G.

     (d)   Sy. No.19/1 measuring 3A.31 G.

There is no explanation as to why, when all surrounding lands    D
are deleted these small four pockets are acquired.

    (ii) In Nagavara and Hennuru villages, the southern portions
    of the villages were not notified for acquisition. But
    deletions are haphazard and have left some small pockets / E
    of acquired lands. For example, in Nagavara, Sy. No.107
    measuring 1A.4G, portion of Sy. No. 7 measuring 21
    Guntas, Sy. No. 70 measuring 25 Guntas, Sy. No.152
    measuring 6A.4G bifurcated by a road form islands of
    acquired lands. In the entire southern part of Nagavara F
   ·which runs into hundreds of acres, only part of Sy. No.152
    is proposed to be acquired. In Hennuru Sy. No.103 is a
    small pocket (28 Guntas) which is acquired, is surrounded
    by lands not acquired/deleted. There are several other
    islands in Hennuru which are not capable of being G
    developed due to their small extents. Their Survey
    Numbers are not clear in the map produced.

    (iii) In Challakere also we find haphazard deletions. We
    may refer to two stand alone pockets, that is land ~o the
    east of Sy. No.104 and t.he land to the east of 100.         H
    138     SUPREME COURT REPORTS                  [2010] 6 S.C.R.


A What we have referred above is illustrative and not exhaustive.
  Similar pockets of small extents of acquired lands surrounded
  by lands which are not acquired/deleted, exist in other villages
  also.

B       74. The object of establishing a development authority like
  BOA is to provide for orderly and planned development so that
  the haphazard growth of a city is checked. The disastrous ·
  effects of unauthorised and illegal development by some
  unscrupulous colonisers/developers are well known. In a
C planned and authorised standard residential developments,
  about 30% to 35% of the total area is used to provide broad
  and adequate roads and footpaths, drains etc., and at least
  another 10% to 15% of the land is earmarked for parks,
  playgrounds and community development or civic amenities
  (schools, hospitals, police stations, post offices, mini markets,
D community halls etc). Further the layout will have adequate
  provision for drainage of rain water as well as sewerage water,
  adequate water supply and electricity, well laid metalled roads
  which properly connect the layout to Main Roads and other
  surrounding areas, by providing approaches and linkages. But
E in an unauthorised or illegal development, the roads are narrow
  and minimal, virtually no open sp-aces for parks and
  playgrounds, and no area earmarked for civic amenities. There
  will be no proper water supply or drainage; and there will be a
  mixed use of the area for residential, commercial and industrial
F purposes converting the entire area into a polluting concrete
  jungle. The entries and exits from the layouts will be bottlenecks
  leading to traffic jams. Once such illegal colonies come up with
  poor infrastructure and amenities, it will not be possible to either
  rectify and correct the mistakes in planning nor provide any
G amenities even in future. Residents of such unauthorised layouts
  are forever be condemned to a life of misery and discomfort. It
  is to avoid such haphazard, unhealthy development activities
  by greedy illegal colonisers and ignorant land-owners, the State
  Legislatures provided for City Improvement Trusts and
H Development Authorities so that they could develop well
     BONDU RAMASWAMY v. BANGALORE           139
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
planned citizen friendly layouts with all amenities and facilities. A
In this background large tracts of lands running into hundreds
of acres are acquired to have integrated layouts. Only when a
layout is formed on a large scale, adequate provision can be
made for good size parks, playgrounds and community/civil
amenities. For example, if a layout is made in 1000 acres of B
land, the developer can provide a good sized park of twenty
acres and one or two small parks of 2 to 5 acres, have
playgrounds of 5 to 10 acres. Instead of such an integrated
large layout, if 200 small individual layouts are made in areas
ranging from 2 to 10 acres, there will obviously be no provision c
for a park or a playground nor any space for civil amenities.
Further small private colonies/layouts will not have well aligned
unifom1 roads and accesses. While it is true that Municipal and
Town Planning authorities can by strict monitoring and licensing
procedures arrest haphazard development, it is seldom done. D
That is why formation of small layouts by developers is
discouraged and development authorities take up large scale ·
developments. If 200 acres of land on the outskirts of a city,
has to be developed, and if 30 to 50 private developers
proceed to develop areas ranging from 2 to 15-acres, it will
be impossible for them to provide for parks or any playgrounds E
of reasonable size or make provision for planned civil
amenities. Further, there will be no alignment in regard to roads.
Each layout will have roads to suit their own convenience and
this will lead to mis-alignment and bottlenecks leading to traffic
snarls. The width of the roads also will differ from layout to F
layout depending upon the 'greed' of each private developer,
resulting in the size, shape and alignment of roads varying for
every stretch of 200 to 500 meters. There will be no proper
drainage of rain water or sewerage water leading to constant
flooding or stagnation. Therefore large integrated layouts were G
found to be the answer for orderly development. No small
developer can develop a good township in a few acres of land.
It was also thought that developers will be mainly profit
motivated and will try to minimise the. roads, open spaces and
community areas. It is therefore that legislature constituted H
    140     SUPREME COURT REPORTS                    [2010] 6 S.C.R.


A statutory development authorities to undertake large scale
  developments without any profit motive.

         75. If authorities like BDA notify 3000 acres of land for
    development and then delete from the proposed acquisition
B   several pockets which aggregate to about 1000 to 1500 acres,
    then the result is obvious. There will be no integrated
    development at all. What was intended to be a uniform,
    contiguous and continuous layout of 3000 acres will get split
    into small pockets which are not connected with the other
    pockets or will be intersected by own illegal pockets of private
C   colonies thereby perpetuating what was intended to be
    prevented, that is haphazard growth without proper
    infrastructure. It will then not be possible to provide proper road
    connections and drainage and impossible to provide
    appropriate parks, playgrounds and civic amenities of
D   appropriate and adequate size and situation. When a
    development authority starts developing pockets of lands
    measuring 2 acres to 5 acres, obviously it also cannot provide
    open spaces and civic amenities and may end up with one
    pocket having plots, another far away pocket having a
E   playground and another far away pocket having a park and their
    being no uniformity or continuity of roads. As noticed above, a
    large layout enables formation of long and straight roads for
    easy movement of traffic. On the other hand, short and disjointed
    roads affect smooth movement of traffic. Therefore, if a
F   development authority having acquired a large tract of land
    withdraws or deletes huge chunks, the development by the
    development authority will resemble haphazard developments
    by unscrupulous private developers rather than being a planned
    and orderly development expected from a Development
G   Authority. Therefore when a large layout is being planned, the
    development authorities should exercise care and caution in
    deleting large number of pockets/chunks of land in the middle
    of the proposed layout. There is no point in proposing a planned
    layout but then deleting various portions of land in the middle
H   merely on the ground that there is a small structure of 100 sq.ft
I



         BONDU RAMASWAMY v. BANGALORE           141
    DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
   or 200 sq.ft. which may be authorized or unauthorized. Such         A
 /deletions make a mockery of development. Further such
1
   deletions/exclusions encourage corruption and favouritism and
- bring discontent among those who are not favourably treated.

          76. The complaint by appellants is that in the proposed      B
    Arkavathi layout, rich and powerful with "connections" and
    "money power" were able to get their lands, (even vacant lands)
    released, by showing some imaginary structure or by putting
    up some unauthorised structure overnight. Though we do not
    propose to go into motives, the concurrent finding by the          C
    learned Single Judge and Division Bench is that there are
    arbitrary unexplained deletions. While we may not comment on
    policy, it is obvious that deletion from proposed acquisition
    should be only in regard to areas which are already well
    developed in a planned manner. Sporadic small. unauthorised
    constructions in unauthorised colonies/ layouts, are not to be     D
    deleted as the very purpose of acquisition for planned
    development is to avoid such unauthorised ,development. If
    hardship is the reason for such deletion, the appropriate course
    is to give preference to the land/plot owners in making
    allotments and help them to resettle and not to continue the       E
    illegal and haphazard pockets merely on the ground that some
    temporary structure or a dilapidated structure existed therein.
    A development authority should either provide orderly
    development or should stay away from development. It cannot
    act like unscrupulous private developers//colonisers attempting    F
    development of small bits of land with only profit motive. When
    we refer to private developers/colonisers by way of comparison,
    our intention is not to deprecate all private developers/
    colonisers. We are aware that several private developers/
    colonisers provide large, well planned authorized developments,    G
    some of which are even better than developments by
    development authorities. What is discouraged and deprecated
    is small unauthorized layouts without any basic amenities. Be
    that as it may.
                                                                       H
         77. What do we say about a 'development', where with
    142      SUPREME COURT REPORTS                   (2010] 6 S.C.R.


A reference to the total extent of a village, one-third is not notified
  at all, and more than half is deleted from proposed acquisition
  of the remaining two-third and only the remaining about 20%
  to 30% area is acquired, that too not contiguously, but in
  different parcels and pockets. What can be done with such
B acquisition? Can it be used for orderly development? Can it
  avoid haphazard and irregular growth? The power of deletion
  and withdrawal unless exercised with responsibility and fairly
  and reasonably, will play havoc with orderly development, will
  add to haphazard and irregular growth and create discontent
c among sections of society who were not fortunate to have their
  lands deleted.

       78. Learned Single Judge as also the Division Bench have
  concurrently found that BOA had indulged in pick and choose
  deletions !=!nd acquisitions. The learned Single Judge and the
D Division Bench have found discrimination and irregularities,
  both in initial omission of certain lands and in deleting of some
  lands which were notified. They have also recorded a finding
  that having regard to the nature of deletions, the acquisition
  lands do not form a continuous or contiguOLJS area and
E acquisition of small extents of land surrounded by large chunks
  of un-acquired lands and lands which have been omitted from
  acquisition would make the development of acquired pockets
  exceedingly difficult.

F       79. The Division Bench was of the view that -quashing of
  the entire acquisition may not the remedy. It, therefore, decided
  to salvage the situation by issuing a series of directions,
  whereby the land owners were permitted to apply for deletion
  of their lands also from acquisition on the ground that (a) the
G lands were situated within green belt area; (b) the lands were
  totally built up; (c) the lands had buildings constructed by
  charitable, educational and/or religious institutions; (d) the lands
  were used for nurseries; (e) lands where running factories had
  been set up; and (f) lands were similar to the adjoining lands
H which were not notified for acquisition. The Court directed that
     BONDU RAMASWAMY v. BANGALORE           143
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
ff the BOA comes to the conclusion that the lands of applicants   A
were released are similar to those which have been excluded
from acquisition their lands should also be deleted from
acquisition. This direction requires clarification.

     80. The principles relating to grant of relief in cases of   B
discrimination are well settled. The classic statement is found
in Chandigarh Admn. & Anr. v. Jagjit Singh & Anr. [1995 (1)
SCC 745), wherein this Court held:

    "Generally speaking, the mere fact that the respondent-
    authority has passed a particular order in the case of C
    another person similarly situated can never be the ground
    for issuing a writ in favour of the petitioner on the plea of
    discrimination. The order in favour of the other person
    might be legal and valid or it might not be. That has to be
    investigated first before it can be directed to be followed D ·
    in the case of the petitioner. If the order in favour of the
    other person is found to be contrary to law or not warranted
    in the facts and circumstances of his case, it is obvious
    that such illegal or unwarranted order cannot be made the
    basis of issuing a writ compelling the respondent-authority E
    to repeat the illegality or to pass another unwarranted
    order. The extra-ordinary and discretionary power of the
    High Court cannot be exercised for such a purpose. Merely
    because the respondent-authority has passed one illegal/
    unwarranted order, it does not entitle the High ·court to F
    compel the authority to repeat that illegality over again and
    again. The illegal/unwarranted action must be corrected,
    if it can be done according to law - indeed, wherever it is
    possible, the court should direct the appropriate authority
    to correct such wrong orders in accordance with law - but G
    even if it cannot be corrected, it is difficult to see how it
    can be made a basis for its repetition. By refusing to direct
    the respondent-authority to repeat the illegality, the court
     is not condoning the earlier illegal act/order nor can such
     illegal order constitute the basis for a legitimate complaint H
    144      SUPREME COURT REPORTS                    [2010] 6 S.C.R.


A         of discrimination. Giving effect to such pleas would be
          prejudicial to the interests of law and will do incalculable
          mischief to public interest. It will be a negation of law and
          the rule of law. Of course, if in case the order in favour of
          the other person is found to be a lawful and justified one it
B         can be followed and a similar relief can be given to the
          petitioner if it is found that the petitioners' case is similar
          to the other persons' case. But then why examine another
          person's case in his absence rather than examining the
          case of the petitioner who is present before the court and
c         seeking the relief. Is it not more appropriate and
          convenient to examine the entitlement of the petitioner
          before the court to the relief asked for in the facts and
          circumstances of his case than to enquire into the
          correctness of the order made or action taken in another
          person's case, which other person is not before the case
D
          nor is his case. In our considered opinion, such a course
          - barring exceptional situations - would neither be
          advisable nor desirable. In other words, the High Court
          cannot ignore the law and the well-accepted norms
          governing the writ jurisdiction and say that because in one
E         case a particular order has been passed or a particular
          action has been taken, the same must be repeated
          irrespective of the fact whether such an order or action is
          contrary to law or otherwise. Each case must be decided
          on its own merits, factual and legal, in accordance with
F         relevant legal principles".

       In Gurshanan Singh & Ors. v. New Delhi Municipal
    Committee & Ors. 1996 (2) SCC 459 this court held:

          "There appears to be some confusion in respect of the
G
          scope of Article 14 of the Constitution which guarantees
          equality before law to all citizens. This guarantee of equality
          before law is a positive concept and it cannot be enforced
          by a citizen or court in a negative manner. To put it in other
          words, if an illegality or irregularity has been committed in
H
     BONDU RAMASWAMY v. BANGALORE           145
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]

    favour of any individual or a group of individualsi the others   A
    cannot invoke the jurisdiction of the High Court or of this
    Court, that the same irregularity or illegality be committed
    by the State or an authority which can be held to be a State
    within the meaning of Article 12 of the Constitution, so far
    such petitioners are concerned, on the reasoning that they       B
    have been denied the benefits which have been extended
    to others although in an irregular or illegal manner. Such
    petitioners can question the validity of orders which are
    said to have been passed in favour of persons who were
    not entitled to the same, but they cannot claim orders which     c
    are not sanctioned by law in their favour on principle of
    equality before law. Neither Article 14 of the Constitution
    conceives within the equality clause this concept nor Article
    226 empowers the High Court to enforce such claim of
    equality before law. If such claims are enforced, it shall       0
    amount to directing to continue and perpetuate an illegal
    procedure or an illegal order for extending similar benefits
    to others. Before a claim based on equality clause is
    upheld, it must be established by the petitioner that his
    claim being just and legal, has been denied to him, while        E
    it has been extended to others and in this process there
    has been discrimination".

In State of Haryana v. Ram Kumar Mann-· 1997 (3) SCC
321 - this court held that the doctrine of discrimination is found
upon existence of an enforceable right and that Article 14 would     F
apply only when invidious discrimination is meted out to equals
and similarly circumstanced without any rational basis or
relationship in that behalf. This court further held that a person
who has no legal right cannot be given relief merely because
such relief has been wrongly given to others and a wrong order       G
cannot be the foundation for claiming equality, nor does a wrong
decision by the Government give a right to enforce the benefit
thereof and claim parity or equajity. There are several other
decisions which reiterate this position. It is not necessary to
refer to all of them.                                                H
    146      SUPREME COURT REPORTS                    [2010] 6 S.C.R.


A         81. We are conscious of the fact tliat when a person
    subjected to blatant discrimination, approaches a court seeking
    equal treatment, he expects relief similar to what others have
    been granted. All that he is interested is getting relief for
    himself, as others. He is not interested in getting the relief
B   illegally granted to others, quashed. Nor is he interested in
    knowing whether others were granted relief legally or about the
    distinctic)ll qetween positive equality and negative equality. In
    fact he will be reluctant to approach courts for quashing the
    relief granted to others on the ground that it is illegal, as he does
c   not want to incur the wrath of those who have benefited from
    the wrong action. As a result, in most cases those who benefit
    by the illegal grants/ac!ions by authorities, get away with the
    benefit, while others who are not fortunate to have 'connections'
    or 'money power' suffer. But these are not the grounds for courts
    to enforce negative equality and perpetuate the illegality. The
0
    fact that an Authority has extended favours illegally in the case
    of several persons cannot be a ground for courts to issue a
    mandamus directing repetition thereof, by applying the principle
    of equality. Article 14 guarantees equality before law and not
    equality in subverting law nor equality in securing illegal
E   benefits. But courts cannot be silent bystanders if acquisition
    process is used by officers of the Authority with ulterior or
    malafide motives. For example, let us take a case where 2000
    acres are required for a project as per the Development
    Scheme, but the preliminary notification is issued in respect of
F   3000 acres; and when the land owners 'apply' or 'approach'
    the Authority, 1000 acres of lands are released. Or take a case
    where a project required 1000 acres of contiguous land for a
    development project. and preliminary notice is accordingly
    issued for acquisition of a compact contiguous extent of 1000
G   acres; but thereafter without any logical explanation or
    perceivable reason, several large areas in the midst of the
     proposed layout, are denotified or deleted making it virtually
     impossible to execute the development scheme, as proposed.
     In the absence of satisfactory explanations in such a case, it
H    may be necessary to presume that there was misuse or abuse
     BONDU RAMASWAMY v. BANGALORE           147
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
of the acquisition process. Be that as it may.                       A
    82. We may illustrate the principle relating to positive and
negative equality with reference to following notional acquisition
cases:

    (i) Where a petitioner's land and his neighbour's land are B
    of similar size and have similar structures and are similarly
    situated, and the policy of the Development Authority is to
    withdraw the acquisition in respect of lands which are
    'constructed', if the neighbour's land is deleted from the
    proposed acquisition on the ground that it has a C
    construction of 1000 sq.ft. and the petitioner's land is not
    so deleted, the petitioner will be entitled to relief on the
    ground of discrimination. But if the neighbour's land
    measures 2000 sq.ft. and contains a house of 1000 sq.ft
    and the petitioner's land measures one acre and contains D
    a house measuring 1000 sq.ft., the petitioner cannot
    obviously contend that because his neighbour's property
    was deleted from acquisition, being a land with a
    construction, his one acre land should also be deleted in
    entirety from the acquisition, as it had a 1000 sq.ft. E
    construction. But it may be possible for him to contend that
    an extent equal to what was released to his neighbour,
    should be released.

     (ii) Where the lands owned by two neighbours are equal
     in size having similar structures, but one was constructed F
     before the preliminary notification after obtaining a licence
     and the other was constructed after the preliminary
     notification unauthorisedly, the owner of the land with the
     unauthorised structure cannot obviously claim parity with
     the owner of the land-with the authorised structure, for G
     seeking deletion from acquisition.

     (iii) Where the vacant lands of 'A' and 'B' - two neighbours
     are acquired. The Authority had a policy to delete
                                                                     H
    148      SUPREME COURT REPORTS                     [201 O] 6 S.C.R.

A         properties with constructions, as on the date of preliminary
          notification. Both put up unauthorised structures
          clandestinely overnight, after the preliminary notification.
          The land of 'B' is deleted from acquisition on the ground
          that it has a construction. If 'A' approaches court and
B         claims release of his land claiming parity with 'B', the
          claim will have to be rejected. But, where the Authority
          admits that B's land was deleted even though the
          construction was subsequent to preliminary notification,
          the court may direct the Authority to take appropriate action
c         in accordance with law for cancelling the deletion.

          (iv) If in a village all the lands are notified and subsequently
          all lands except two or three small pockets are deleted
          without any valid ground, the persons whose lands were
          acquired can also seek deletion, on the ground that all the·
D         surrounding lands have been deleted. Court cannot direct
          deletion merely because the surrounding lands were
          deleted, as those deletions were illegal and not based on
          any valid policy. But the petitioners can contend that the
          very purpose of acquisition had been rendered infructuous
E         by deletion of the majority of lands from the proposed
          acquisition, and the project or the scheme has ceased to
          exist and cannot be executed only with reference to their
          lands. In such a case, relief can be granted not on the
          ground that there has been discrimination, but on the
F         ground that the proposed development scheme became
          non-existent on account of most of the lands being deleted
          from acquisition.
  Therefore, a land owner is not entitled to seek deletion of his
G land from acquisition, merely on the ground that lands of some
  others have been deleted. He should make out a justifiable
  cause for deleting his land from acquisition. If the Rules/
  Scheme/Policy provides for deletion of certain categories of
  land and if the petitioner falls under those categories, he will
  be entitled to relief. But if under the Rules or Scl1.cme or policy
H
     BONDU RAMASWAMY v. BANGALORE          · 149
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
for deletion, his land is not eligible for deletion, his land cannot   A
be deleted merely on the ground that some other land similarly
situated had been deleted (even though that land also did not
fall under any category eligible to be deleted), as that would
amount to enforcing negative equality. But where large extents
of land of others are indiscriminately and arbitrarily deleted,        B
then the court may grant relief, if on accou11t of such deletions,
the development scheme for.Jhat area has become
inexecutable or has resulted in abandonment of the scheme.
Alternatively, if a common factor can, ~e identified in respect
of other lands which were deleted, and~lf the petitioner's land        c
also has that common factor, relief ~an be granted on the
ground that the Authority had adopted the common factor as
the criterion in the case of others and therefore adopting the
same yardstick, the land of petitioners also should be deleted.
These principles may be kept in view while implementing
                                                                       0
direction in para 105D(i)(f) of the Judgment of the Division
Bench of the High Court.

       83. It is necessary to refer another aspect of land
acquisition for urban development. 'Public purposes' may be
of different degrees of import.ance/priority/urgency. An E
acquisition for laying a road or a water supply canal may be of
 higher priority category when compared to acquisitions for
formation of an urban residential layout. Planned urban
development \by forming residential layouts, is carried out not
only by statutory development authorities, but also by private F
developers/ colonisers. The reason why legislature has created
Development Authorities for executing 9evelopment schemes,
is because they can undertakENarge scale developments ·
providing better quality facilities with no profit motives. But in
trying to achieve planned development and thereby benefit the G
urban middle class or urban poor by providing them housing
plots, the interests of agriculturists/land owners who lose their
livelihood on account of such acquisition, should not be ignored.
Though the legislature intended that the land-loser should get
reasonable compensation at the time of dispossession or H
    150       SUPREME COURT REPORTS                  [2tt ·O] 6 S.C.R.

A   immediately thereafter, it seldom happens in practice. This court
    had occasion to refer to the travails of land-losers in getting the
    compensation in Special Land Acquisition Officer v.
    Mahaboob [2009 (3) SCALE 263] thus:

          "The Collector (LAO) is supposed to offer fair
B
          compensation by taking all relevant circumstances relating
          to market value into account. To safeguard the interests of
          the land-loser, the Act requires the collector to make the
          award before the land owner is dispossessed. The
          intention is that the land-loser will immediately be able to
c         draw compensation and purchase some other suitable
          land or make appropriate arrangements for his livelihood.
          But in practice the Collectors (LAOs) seldom make
          reasonable offers. They tend to err on the 'safer' side and
          invariably assess very low compensation. Such meagre
D         awards force the land-loser to seek reference to civil court
          for increase in compensation in regard to almost every
          award made by the LAO. In fact, many a time, even the
          reference courts are conservative in estimating the market
          value and it requires further appeals by the land-loser to
E         the High Court and Supreme Court to get just
          compensation for the land. We can take judicial notice of
          the fact that in several States the awards of the reference
          court or the judgments of the High Court and this court
          increasing the compensation, are not complied with and
F         the land-losers are again driven to courts to initiate time
          consuming execution process (which also involves
          considerable expense by way of lawyers fee) to recover
          what is justly due. Resultantly the land-losers seldom get
          a substantial portion of proper compensation for their land
G          in one lump sum immediately after the acquisition. The
           effect may be highlighted by the following illustration:

          "A farmer owns 3 acres of land in a village, which is his
          sole means of livelihood. The land is acquired for some
          project in the year 1990. The true market value of the land
H
     BONDU RAMASWAMY v. BANGALORE           151
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]

   was around Rs.1,50,000/- per acre in 1990. If he got the ·A
   said price, that is, Rs. 4,50,000/- with solatium, additional
   amount and interest in the year 1991, he has a reasonable
   opportunity of purchasing some alternative land, so that he
   can eke out his livelihood and continue to live with dignity.
   But this rarely happens in practice. The final notification is B
   made in 1992 and the LAO makes an award in the year
   1993 offering Rs.50,000/- per acre. So the land-loser is
   constrained to seek a reference to the court. The reference
   court takes three to four years to decide the reference and
   increases the compensation to Rs. one lakh per acre in       c
   the year 1996. The increased amount is dP.posited in 1997-
   1998. The land-loser is constrained to file a further appeal
   to the High Court and the High Court takes another three
   to four years and increases the compensation to Rs.1.5
   lakh per acre in the year 2000 and such increase is
                                                                  0
   deposited in the year 2001-02. That is, the loser is forced
   to fight at least in two courts to get the compensation
   commensurate with the market value of Rs.1.5 lakhs per
   acre. To add to his woes, when the reference court or the
    High Court increases the compensation, the Government
    does not pay the increased amount immediately and drives E
    him to execution proceedings also. This means that the
    land owner gets compensation piecemeal, that is, Rs.
    50,000/- per acre in 1993, another Rs. 50,000/- per acre
    in 1997-98, and another Rs.50,000/- per acre in 2001-02.
   At every stage he has to incur expenses for litigation. As F
    he does not get the full compensation in one lump sum,
    he is not in a position to purchase an alternative land.
    When the land is acquired, he loses his means of
    livelihood, as he knows no other type of work. The result
    is, he is forced to spend the compensation received in G
    piecemeal, on sustenance of his family when he fights the
    legal battles for increasing the compensation and for
    recovering the increases granted, by levying execution. The
    result is that whatever compensation is received
    piecemeal, gets spent for the sustenance of the family, and H
    152            SUPREME COURT REPORTS                 [2010] 6 S.C.R.


A         litigation cost during the course of prolonged litigation. At
          the end of the legal battle, he is hardly left with any money
          to purchase alternative land and by then the prices of land
          would have also increased manifold, making it impossible
          to purchase even a fraction of the land which he originally
8         possessed. Illiteracy, ignorance, and lack of counselling
          add to his woes and the piecemeal compensation is
          dissipated leaving him with neither land, nor money to buy
          alternative land, nor any means of livelihood. In short, he
          is stripped of his land and livelihood."
c         84. Frequent complaints and grievances in regard to the
    following five areas, with reference to the prevailing system of
    acquisitions governed by Land Acquisition Act, 1894, requires
    the urgent attention of the state governments and development
    authorities:
D
            (i)      absence of proper or adequate survey and
                     planning before embarking upon acquisition;

            (ii)     indiscriminate use of emergency provisions in
                     section 17 of the LA Act;
E
          . (iii)    notification of areas far larger than what is actually
                     required, for acquisition, and then making arbitrary
                     deletions and withdrawals from the acquisitions;

F           (iv)    offer of very low amount as compensat - 1-., ;i,i'.'l
                    Acquisition Collectors, necessitating refe1:.. .:;es to
                    court in almost all cases;

            (v)      inordinate delay in payment of compensation; and

G
            (vi)     absence of any rehabilitatory measures.

  While the plight of project oustees and landlosers affected by
  acquisition for industries has been frequently highlighted in the
H media, there has been very little effort to draw attention to the
     BONDU RAMASWAMY v. BANGALORE           153
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
plight of farmers affected by frequent acquisitions for urban         A
development.

    85. There are several avenues for providing rehabilitation
and economic security to landlosers. They can be by way of
offering employment, allotment of alternative lands, providing        s
housing or house plots, providing safe investment opportunities
for the compensation amount to generate a stable income, or
providing a permanent regular income by way of annuities. The
nature of benefits to the landlosers can vary depending upon
the nature of the acquisition. For this limited purpose, the          C
acquisitions can be conveniently divided into three broad
categories:

    (i) Acquisitions for the benefit of the general public or in
    national interest. This will include acquisitions for roads,
    bridges, water supply projects, power projects, defence           D
    establishments, residential colonies for rehabilitation of
    victims of natural calamities.

     (ii) Acquisitions for economic development and industrial
     growth. This will include acquisitions for Industrial Layouts/   E
     Zones, corporations owned or controlled by the State,
     expansion of existing industries, and setting up Special
     Economic Zones.

     (iii) Acquisitions for planned development of urban areas.
     This will include acquisitions for formation of residential      F
     layouts and construction of apartment Blocks, for allotment
     to urban middle class and urban poor, rural poor etc.

     86. In acquisitions falling under the first category, the
general public are the direct beneficiaries. In the second            G
category, the beneficiaries are industrial or business houses,
though ultimately, there will be indirect benefit to the public by
way of generation of employment and overall economic
development. In the third category, the beneficiaries are
individual members of public who, on account of allotment of          H
    154       SUPREME COURT REPORTS                   [2010) 6 S.C.R.


A plots/flats, will be able to lead a better quality of life by having
  a shelter with comforts, apart from the fact that the planned
  development of cities and towns is itself in public interest. At
  present, irrespective of the purpose, in all cases of acquisition,
  the landloser gets only monetary compensation. Acquisitions
B of the first kind, does not normally create any resistance or
  hostility. But in acquisitions of the second kind, where the
  beneficiaries of acquisition are industries, business houses or
  private sector companies and in acquisitions of the third kind
  where the beneficiaries are private individuals, there is a
c general feeling among the land-losers that their lands are taken
  away, to benefit other classes of people; that these amount to
  robbing Peter to pay Paul; that their lands are given to .others
  for exploitation or enjoyment, while they are denied their land
  and their source of livelihood. When this grievance and
0 resentment remains unaddressed, it leads to unrest and
  agitations. The solution is to make the land-losers also the
  beneficiaries of acquisition so that the land-losers do not feel
  alienated but welcome the acquisition.

        87. It is necessary to evolve tailor-made schemes to suit
E particular acquisitions, so that they will be smooth, speedy,
  litigation free and beneficial to all concerned. Proper planning,
  adequate counselling, and timely mediation with different
  groups of landlosers, should be resorted. Let us consider the
  different types of benefits that will make acquisitions land:oser-
F friendly.

       (87.1) In acquisitions of the first kind (for benefit of general
  public or in national interest) the question of providing any
  benefit other than what is presently provided in the Land
G Acquisition Act, 1894 may not be feasible. The State should
  however ensure that the landloser gets reasonable
  compensation promptly at the time of dispossession, so that
  he can make alternative arrangemel)ts for his rehah!litation and
  survival.

H         (87.2) Where the acquisition /is for industrial or business
     BONDU RAMASWAMY v. BANGALORE           155
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
houses (for setting-up industries or special economic zones            A
etc.), the Government should play not only the role of a land
acquirer but also the role of the protector of the land-losers. As
most of the agriculturists/small holders who lose their land, do
not have the expertise or the capacity for a negotiated
settlement, the state should act as a benevolent trustee and           B
safeguard their interests. The Land Acquisition Collectors
should also become Grievance Settlement Authorities. The
various alternatives including providing employment, providing
equity participation, providing annuity benefits ensuring a
regular income for life, providing rehabilitation in the form of       C
housing or new businesses, should be considered and
whichever is found feasible or suitable, should be made an
integral process of the scheme of such acquisitions. If the
government or Development Authorities act merely as
facilitators for industrial or business houses, mining companies       D
and developers or colonisers, to acquire large extent of land
ignoring the legitimate rights of land-owners, it leads to
resistance, resentment and hostility towards acquisition
process.

     (87.3) Where the acquisition is of the third kind, that is, for   E
urban development (either by formation of housing colonies by
Development Authorities or by making bulk allotment to
colonisers, developers or housing societies), there is no scope
for providing benefits like employment or a share in the equity.
But the landlosers can be given a share in the development             F
itself, by making available a reasonable portion of the
developed land to the landloser so that he can either use it
personally or dispose of a part and retain a part or put it to other
beneficial use. We may give by way of an illustration a model
scheme for large scale acquisitions for planned urban                  G
development by forming residential layouts: Out of the total
acquired area, 30% of the land area can be earmarked for
roads and footpaths; and 15% to 10% for parks, open spaces
and civic amenities. Out of the remaining 55% to 60% area
available for forming plots, the Development Authority can
                                                                       H
    156    SUPREME COURT REPORTS                 [2010] e S.C.R.

A auction 10% area as plots, allot 15% area as plot• to urban
  middle class and allot 15% area aa plot8 to ~~6nomically
  weaker sections (at cost or subsidised cost), and release the
  remaining 15% to 20% area in the form of plots to the land-
  lose rs whose lands have been acquired, in lieu of
B compensation. {The percentages mentioned above are me~ly
  illustrative and can vary from scheme to 8eheme depending
  upon the local conditions, relevant Bye-laws/Rules, value of ma
  acquired land, the estimated cost of devetoph1ent etc.). Such
  a model makes the land·loser a stake-holder and direct
C beneficiary of the acquisition leading to co-operation for the
  urban development scheme.

       88. In the preceding para, we have touched upon matters
  that may be considered to be in the realm of government policy.
  We have referred to them as acquisition of lands affect the vital
D rights of farmers and give rise to considerable litigations and
  agitations. Our suggestions and observations are intended to
  draw attention of the government and development Authorities
  to some probable solutions to the vex~d problems associated
  with land acquisition, existence of which can neither be denied
E nor disputed, and to alleviate the hardships of the land owners.
  It may be possible for the government and development
  authorities to come up With better solutions. There is also a
  need for the Law Commission and the Parliament to revisit the
  Land Acquisition Act, 1894, which is more than a century old.
F There is also a need to remind Development Authorities that
  they exist to serve the people and not vice versa. We have
  come across Development Authorities which resort to
  'developmental activities' by acquiring lands and forming
  layouts, not with the goal of achieving planned development or
G provide plots at reasonable costs in well formed layouts, but to
  provide work to their employees and generate funds for
  payment of salaries. Any development scheme should be· to
  benefit the society and improve the city, and not to benefit the
  development authority. Be that as it may.
H
       BONDU RAMASWAMY v. BANGALORE           157
  DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
         89. When BOA prepares a development Scheme it is A
    requited to conduct an initial survey about the availability and
   suitability of the lands to be acquired. While acquiring 16
   villages at a stretch, if in respect of any of the villages, about
   30% area of the village is not included in the notification under
   section 4(1) though available for acquisition, and out of the B
   remaining 70% area which is notified, more than half (that is
   about 40% of the village area) is deleted when final notification
   is issued, and the acquisition is only of 30% area which is non-
  contiguous, it means that there was no proper survey or
  application of mind when formulating the development sch'eme c
  or that the deletions were for extraneous or arbitrary reasons.
   Inclusion of the land of a person in an acquisition notification,
  is a traumatic experience for tne landowner, particularly if he
  was eking out his ljvelihood Jrom that land. If large areas are
  notified and then large extents are to b.e .deleted, it breeds 0
  corruption and nepotism among officials. lt also .creates hostility,
  mutual distrust and disharmony among the villagers, dividing
  them on the lines of 'those who can influence and get their lands
  deleted' and 'those who cannot'. Touts and middlemen flaunting
  political connections flourish, extracting money for getting lands E
  deleted. Why subject a large number to citizens to such
  traumatic experience? Why not plan properly before embarking
  upon acquisition process? In this case, out of the four villages
  included at the final stages of finalising the development
  scheme, irregularities have been found at least in regard to
  three villages, thereby emphasising the need for proper planning F
· and survey before embarking upon acquisition.

       90. Where arbitrary and unexplained deletions and
  exclusions from acquisition, of large extents of notified lands,
  render the acquisitions meaningless, or totally unworkable, the G
  court will have no alternative but to quash the entire acquisition.
  But where many landlosers have accepted the acquisition and
  received the compensation, and where possession of
  considerable portions of acquired lands has already been
. taken, and development activities have been carried out by . H
    158      SUPREME COURT REPORTS                 [2010] 6 S.C.R.


A laying plots and even making provisional or actual allotments,
  those factors have to be taken note of, while granting relief. The
  Division Bench has made an effort to protect the interests of
  all parties, on the fact and circumstances, by issuing detailed
  directions. But implementation of these directions may lead to
B further litigations and complications. To salvage the acquisition :
  and to avoid hardships to BDA and its allottees and to avoid
   prolonged further round litigations emanating from the directions
   of the High Court, a more equitable way would be to uphold
   the decision of the division bench, but subject BDA's actions
c  to certain corrective m~asures by requiring it to re-examine
   certain aspects and provide an option to the landlosers to
   secure some additional benefit, as an incentive to accept the
   acquisition. A direction to provide an option to the land-losers
   to seek allotment of developed plots in lieu of compensation
0 or to provide for preferential allotment of some plots at the
   prevailing market price in addition to compensation will meet
   the ends of justice. Such directions will not be in conflict with
   the BOA (Allotment of sites) Rules, as they are intended to save
   the acquisitions. If the acquisitions are to be quashed in entirety
E by accepting the challenges to the acquisition on the ground
    of arbitrary deletions and exclusions, there may be no
    development scheme at all, thereby putting BDA to enormous
    loss. The directions of the High Court and this Court are
    warranted by the peculiar facts of the case and are not intended
    to be general directions applicable to regular acquisitions in
F accordance with law, without any irregularities.
    Conclusion

        91. In view of the foregoing, we affirm the directions of the
G Division Bench subject to the following further directions and
  clarifications:

          (i) In regard to the acquisition of lands in Kempapura and
          Srirampura, BDA is directed to re-consider the objections
          to the acquisitions having regard to the fact that large
H         areas were not initially notified for acquisition, and more
     BONDU RAMASWAMY v. BANGALORE           159
DEVELOPMENT AUTHORITY [R.V. RAVEENDRAN, J.]
    than 50% of whatever that was proposed for acquisition            A
   was also subsequently deleted from acquisition. BOA has
    to consider whether in view of deletions to a large extent,
   whether development with respect to the balance of the
   acquired lands has become illogical and impractical, and
    if so, whether the balance area also should be deleted from       B
   ,acquisition. If BOA proposes to continue the acquisition,
    it shall file a report within four months before the High Court
   so that consequential orders could be passed.

   (ii) In regard to villages of Venkateshapura, Nagavara,
   Hennur and Challakere where there are several very small           C
   pockets of acquired lands surrounded by lands which were
   not acquired or which were deleted from the proposed
   acquisition, BOA may consider whether such small
   pockets should also be deleted if they are not suitable for
   forming self contained layouts. The acquisition thereof            D
   cannot be justified on the ground that these small islands
   of acquired land, could be used as a stand alone park or
   playground in regard to a layout formed in different
   unconnected lands in other villages. Similar isolated
   pockets in other villages should also be dealt with in a           E
   similar manner.

   (iii) BOA shall give an option to each writ petitioner whose
   land has been acquired for Arkavathy layout:

   (a) to accept allotment of 15% (fifteen percent) of the land       F
   acquired from him, by way of developed plots, in lieu of
   compensation (any fractions in excess of 15% may be
   charged prevailing rates of allotment).

                                 OR                                   G
   (b) in cases where the extent of land acquired exceeds half
   an acre, to claim in addition to compensation (without
   prejudice to seek reference if he is not satisfied with the
   quantum), allotment of a plot measuring 30' x 40' for every        H
    160      SUPREME COURT REPORTS                   [2010] 6 S.C.R.


A         half acre of land acquired at the prevailing allotment price.

          (iv) Any allotment made by BOA, either by forming layouts
          or by way of bulk allotments, will be subjept to the above.

       The appeals are disposed of accordingly. All pendiniJ
B applications also stand disposed of.

    K.K.T.                                      Matters disposed of.


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