Case: State of Uttar Pradesh and Others Vs. Anghalia Housing Private Limited and Others

notification.9. The findings of primary facts recorded in the judgment of the third learned Judge, and which could not be materially challenged before us are the following :(i) It had prepared (not submitted) the layout plan long ago. On December 31, 1965, it had submitted a working plan which was approved by the U. P. Government on December 25, 1968.(ii) It had entered into agreements with several persons for the sale of plots in the colony.(iii) It had written to the appropriate authorities and actually obtained sanction for water and electricity connections.(iv) It had got the land surveyed in accordance with the agreement entered into with the Government in 1964.(v) It had taken the soil conservation measures, as contemplated by the 1964 agreement.(vi) It had constructed roads in the colony.10. The question for consideration is whether the land in question had "actually been utilized in execution of a housing scheme" within the meaning of the expression used in the notification dated September 1, 1969. Facts mentioned in items (i), (ii) and (iii) above were the steps taken by the company long before the agreement dated September 28, 1964. Perhaps the construction of roads, if any, was also done before. But facts in items (iv) and (v) were the steps taken pursuant to the agreement aforesaid. One major step taken after removal of the ban under the Forest Act was the felling of trees and the clearing of the jungle well within the extended time allowed under the licence. The point for consideration is whether by the acts aforesaid the land had been actually utilized in execution of the housing scheme. If the answer be in the affirmative then the land remained outside the operation of the Act and was not covered by the notification dated September 1, 1969. On the other hand, if the answer be in the negative then the land was so covered.11. It was pointed out on behalf of the Government that the company had applied on September 20, 1966 to the prescribed authority under Section 6 of the U. P. (Regulation of Building Operations) Act, 1958 for undertaking or carrying out the development of the site in the area which was regulated area under this Act. The prescribed authority had asked the company to do certain things in its letter dated December 16, 1966. The company slept over the matter and did not resubmit anything until December 26, 1969, three months after the issuance of the notification withdrawing the exemption. On the other hand for the company submitted that it had taken several steps before, it was still prepared to stick to the agreements entered with various persons for allotment and sale of plots in the colony, before the clearing of the jungle, no further development of the site was possible and permission under Section 6 of the U. P. Act of 1958 became necessary only after the clearance of the jungle. It was, therefore, contended on behalf of the respondents that whatever was possible to be done in execution of housing scheme until the notification dated September 1, 1969 was issued had been done and land had been actually utilized in execution of such a scheme. In our opinion the contentions put forward on behalf of the respondents is well-founded and must be accepted as correct.12. Until the ban in the way of the clearing of the forest was removed and the land was made free from it, no further development such as laying out plan, carving out plots etc. etc. was possible to be done. It seems that the company had not undertaken the construction of any building or house. The business of the company was to make the land fit for building purposes, carve out plots, construct roads, sell the plots to various allottees or intending purchasers who were to build their own houses on the plots. The questions of taking sanction under the U. P. Act of 1958 arose only after the clearing of the jungle. The act of clearing the forest by felling the tree from the land and some other acts done by the company before September 1, 1969 were the only acts which were possible to be done in order to make the land useful for the purpose of the housing scheme. In out opinion, therefore, the land had been actually utilized in execution of a housing scheme. According to Shorter Oxford English Dictionary, 3rd edition, the word utilize means "to make useful". Viewed in the light of the said meaning it is clear to us that the land was made useful in execution of the housing scheme, that is to say in the process of the execution of the housing scheme. The question of further development of the land arose only after clearance of the forest. The Collector of Dehra Dun by the impugned order held that the provisions of the Act were applicable to the land. The company could not, therefore take permission under the U. P. Act of 1958 from the prescribed authority nor could any further act for fully implementing the housing scheme be done. The felling of the trees was complete within the time allowed and, therefore, actual utilization of the land in the process of the housing scheme was made, in the sense of utilizing the land to the extent it was possible to utilize it. In our judgment the High Court was right in holding that the land in question is not covered by the notification dated September 1, 1969 and in quashing the order of the Collector dated March 22, 1970. We may, however observe that of the housing scheme is not fully implemented within a reasonable time for today and actual utilization of the land by full and complete implementation of the housing scheme is unnecessarily delayed then it will be open to the Government to take further steps for the application of provisions of the Act to the land in question or any portion thereof in accordance with law.

Court's decision (1 = petition accepted / positive for appellant, 0 = rejected / negative): 0

Reasoning from the judgment:
0[ds]Facts mentioned in items (i), (ii) and (iii) above were the steps taken by the company long before the agreement dated September 28, 1964. Perhaps the construction of roads, if any, was also done before. But facts in items (iv) and (v) were the steps taken pursuant to the agreement aforesaid. One major step taken after removal of the ban under the Forest Act was the felling of trees and the clearing of the jungle well within the extended time allowed under the licence. The point for consideration is whether by the acts aforesaid the land had been actually utilized in execution of the housing scheme. If the answer be in the affirmative then the land remained outside the operation of the Act and was not covered by the notification dated September 1, 1969. On the other hand, if the answer be in the negative then the land was soour opinion the contentions put forward on behalf of the respondents isand must be accepted as correct.12. Until the ban in the way of the clearing of the forest was removed and the land was made free from it, no further development such as laying out plan, carving out plots etc. etc. was possible to be done. It seems that the company had not undertaken the construction of any building or house. The business of the company was to make the land fit for building purposes, carve out plots, construct roads, sell the plots to various allottees or intending purchasers who were to build their own houses on the plots. The questions of taking sanction under the U. P. Act of 1958 arose only after the clearing of the jungle. The act of clearing the forest by felling the tree from the land and some other acts done by the company before September 1, 1969 were the only acts which were possible to be done in order to make the land useful for the purpose of the housing scheme. In out opinion, therefore, the land had been actually utilized in execution of a housing scheme. According to Shorter Oxford English Dictionary, 3rd edition, the word utilize means "to make useful". Viewed in the light of the said meaning it is clear to us that the land was made useful in execution of the housing scheme, that is to say in the process of the execution of the housing scheme. The question of further development of the land arose only after clearance of the forest. The Collector of Dehra Dun by the impugned order held that the provisions of the Act were applicable to the land. The company could not, therefore take permission under the U. P. Act of 1958 from the prescribed authority nor could any further act for fully implementing the housing scheme be done. The felling of the trees was complete within the time allowed and, therefore, actual utilization of the land in the process of the housing scheme was made, in the sense of utilizing the land to the extent it was possible to utilize it. In our judgment the High Court was right in holding that the land in question is not covered by the notification dated September 1, 1969 and in quashing the order of the Collector dated March 22, 1970. We may, however observe that of the housing scheme is not fully implemented within a reasonable time for today and actual utilization of the land by full and complete implementation of the housing scheme is unnecessarily delayed then it will be open to the Government to take further steps for the application of provisions of the Act to the land in question or any portion thereof in accordance with law.We do not propose to enter into the question of estoppel in this case, as in our opinion, the judgment of the High Court is sustainable on the first ground alone.