Case: 5 M &amp; T Consultants, Secunderabad Vs. S.Y. Nawab &amp; Another

2. The appellant, who was arrayed as second respondent in Writ Petition No. 22227 of 1994 before the High Court of Andhra Pradesh, filed by the first respondent in this Court, though succeeded before the learned Single Judge, lost before the Division Bench in Writ Appeal No. 712 of 1995, resulting in this appeal. The Writ Petition before the High Court was filed seeking for a writ of certiorari to call for the records of the Municipal Corporation of Hyderabad relating to the permission granted by the Corporation to the appellant to erect or display any advertisement/street signs/direction boards/arches on the public roads/colonies etc. within the twin cities of Hyderabad and Secunderabad and the permission granted for display thereon to the second respondent or to any other person and declare the same to bethe provisions of the Hyderabad Municipal Corporation Act and Article 14 of the Constitution of India. The learned Single Judge dismissed the writ petition on the ground that the writ petitioner was not able to establish any illegality as alleged in the transaction. The learned Judge also adverted to the salient features of the transaction and the circumstances under which the work came to be entrusted to the appellant as well as the further fact that only two circles were taken up for putting up the boards and the other circles are always available for the petitioner or anyone else interested to approach the Corporation and undertake such work. It was also observed therein that the assignment entrusted to the appellant was not shown to be of any grant of largesse, at it did not involve exploitation of any property. Aggrieved, the writ petitioner moved the Division Bench and the Division Bench on 26.9.95 seems to have passed an order recording the willingness of parties ashearing the learned counsel for the parties, we wanted to know from the learned counsel for the Corporation if on similar terms and conditions the Corporation is prepared to award the contract to the Writ Appellant as was done earlier. Learned counsel submitted that 80% of the work is still remained to be completed and the Corporation will have no objection to grant to the Writ Appellant as well. Learned Counsel for the writ appellant also show the willingness of the writ appellant to take the contract on similar terms and conditions on which the second respondent in this writ appeal was granted contract. For setting the terms and the extent of the work to be entrusted to the writ appellant, in pursuance of the mutual agreement expressed before us by the learned counsel for the parties, both of them wanted some time. Accordingly time till 12.10.95 is granted. Put up on 13.10.95.Notwithstanding, the writ petitioner appears to have even thereafter without availing of the said order, pursued the litigation, as if on a public interest litigation and the Division Bench of the High Court by its order under challenge in this appeal allowed the appeal, as prayed for and directed termination of the contract and proceed to make an exercise afresh for the purpose. Certain relevant factual details have to be noticed for a proper appreciation of the respective contentions of the parties and the legal principles that should be really applied in adjudging the same.4. The Corporation, though a metropolitan city, seems to have had no road names display anywhere and there appears to have been also no proper house numbering and the one in vogue was of a confusing pattern. The appellant appears to have volunteered to take up the rationalisation of house numbering in the twin cities by assigning house numbers in continuous series in each locality as house number, street number, locality, and also erect street sign boards indicating the name of the locality, street number, details of house numbers etc. The Corporation seems to have also had an idea of erecting for the use and benefit of public road direction boards on various thoroughfares of twin cities. Though all these were said to have been on the agenda of the Corporation for long, financial constraints seems to have stood in the way of its realization, due to requirement of substantial sums of money to implement the same. Only at this stage, the appellant was said to have approached in September, 1973 the Corporation with a proposal formulated by them, on an in depth study, in the form of a Scheme and project and expressed their willingness t undertake a fresh survey if the Corporation desired to take up the project. The appellant was asked to show various designs formulated by them and display one of them for sample and it appears to have been done at a place near Bakers Inn on the existing electrical pole showing the direction towards Raj Bhawan Road. The then Commissioner and other officials who inspected the work in November, 1993 were said to have been not impressed and wanted the appellant to change the same by doing it without using the electrical pole. After going through the various revised designs submitted by them, one among them appears to have been chosen and the appellants were asked to execute a sample board during the second week of November, 1993 which was considered to be satisfactory to the concerned Authorities of the Corporation. A detailed project report was said to have been also submitted by the appellant on 25.11.1993 after conducting a survey and the sample street signboards and direction boards were executed, to ascertain the utility of them. As a test venture, the appellant was said to have been asked to find out sponsors for meeting the cost of street sign boards and take up the work in Circle No.3 and Secunderabad Division by a letter dated 30.3.1994. Subsequently, also for further ascertaining the satisfactory nature of the system, the Corporation was said to have asked for the erection of 3 sample boards at West Marredpally for inspection and on such inspection by the Commissioner, Additional Commissioner (Project),Duty, and thereafter further suggestions were said to have been also given as to increasing the height of the board and after effecting alterations, modifications and corrections, the Corporation seems to have finally asked the appellant to erect street signboards at Marredpally. Secunderabad Division in Gagan Mahal area in Circle No.3 duly specifying the dimensions, height, shape of board and space to be left for sponsor, in the communication dated 23.6.94 of the Commissioner of the Corporation. Thereupon it appears the appellant submitted a proposal on 7.9.94 in respect of road direction boards for erection on main through fares of twin cities along with a design and model which was said to have been agreed to on principle by the Corporation and asked the appellant to erect a sample of it at Patni Junction, Secunderabad in the communication dated 16.8.94 of the Director of House Numbering Cell. The appellant thereupon appears to have commenced the work as per the discussions held with the various authorities during the course of the progress of work, who from time to time, have been inspecting and checking up the execution whereof.5. Since the project in question to be implemented by the Corporation, was thought to be first of its kind and after an analysis and consideration of all the factors of the project for about an year as noticed above, a decision seems to have been taken to undertake the work as a pilot project, on experimental basis. Accordingly, permission appears to have been granted to the appellant for erection of street signboards in Circle No.3 and Secunderabad Division by a communication dated 12.9.94/14.9.94 of the Commissioner of the Corporation with following terms and conditions duly specifying at the same time that the work should be completed byLocation of the Street Sign Boards shall be strictly as per the directions of the Director (HNC), MCH.2) On erection of Street Signs in each locality, a nominal charge of Rs. 5/(Rupees Five only) shall be paid to MCH as cost of erection borne by your organization.3) You are exempted from the advertisement fee and ground rent, as you are displaying Street Sign Board along with your board at your own expenses. However, the MCH will reserve the right to impose the advertisement fee and ground rent if at any point of time, if it is observed and substantiated by any impartial survey that the maintenance is poor and/ or the advertising space is more than stipulated in the agreement, and/ or any other terms and conditions are violated.4) The advertisement space should not be used for any political or religious matters i.e. message or slogans of whatsoever nature.5) Periodical maintenance should be done, and boards are kept neat and clean by the sponsor.6) The sizes of Street Sign Boards should be as follows:7) you will meet the entire cost including civil works, fabrication, erection, painting, lettering, maintenance and MCH will not incur any money for this purpose.8) You can let out space provided for advertising purpose to any of your clients at your own terms and conditions for 15 years from the date of this letter after which the same may be extended on mutually agreed terms and conditions.9) You must complete the erection of Street Sign Boards with complete information with (15) days from the date of receiving all relevant details/datafrom the Director. House Numbering Cell, MCH.10) M/s. 5 M & T Consultants shall execute an agreement on twenty rupeesstamp paper for due performance of the contractual obligations under this order.11) M/s. M & T Consultants shall alter and align the road direction /Street Board depending on the road widening as and when required".Further, a similar order was said to have been issued for erection of direction boards also at 27 locations, in a communication dated 12.9.94/14.9.94 subject to the following conditions, duly specifying that the work shall be completed beforeLocation of the Direction Boards shall be strictly as per the direction of the Director (HNC), MCH.2) On erection of each Direction Board, a fee of Rs. 100/(Rupees One Hundred only) shall be paid by M/s. 5 M & T Consultants to the MCH as the entire cost of erection is borne by your organization.3) You are exempted from the advertisement fee and ground rent, as you are displaying direction boards along with board with your board at own expenses. However, the MCH will reserve the right to impose the advertisement fee and ground rent if at any point of time, it is observed and substantiated by any impartial survey that the maintenance is poor and/ or the advertising space is more than stipulated in the agreement and/ or any other terms and conditions are violated.4) The Advertisement space should not be used for any political or religious matters i.e. message or slogans of whatsoever nature.5) Periodical maintenance should be done and boards are kept neat and clean by the sponsor.6) In space provided for indicating direction to the localities should be strictly followed as given below:7) You will meet the entire cost including civil works, fabrication, erection, painting, lettering, maintenance and MCH will not incur any money for this purpose.8) You can let out space provided for advertising purpose to any of your client at your own terms and conditions for (15) years from the date of this letter, after which the same may be extended on mutually agreed terms andappears that though the appellant sought for 20 years period from the date of the completion for work for realisation of their investment and other expenditure incurred by them on this project and the maintenance to be undertaken the currency of the period, the Corporation decided to accord it for a period of 15 years only to the appellant.7. Simultaneously, the Corporation seems to have issued a press notification on 21.11.94 by publishing it in the daily newspapers of Telugu, English and Urdu on 23.11.94 in Eenadu, Newstime and Siasat respectively, in the followingMCH has taken up the rationalization of House Numbering in twin cities of Hyderabad and Secunderabad. The present system of Wards, Block, House Number is very confusing and causing a lot of confusion and to common man, visitors, as well as to use departments in theirUrban Administration. Instead, the MCH proposes to assign House Numbers in continuance series in each locality as House Number Street No. Locality. It is proposed to erect boards indicating the name of the locality, street number, house number fromto and each board depending upon its location. The Boards are designed such that there is space for private advertisement, which the sponsor can utilize. The MCH invites the private advertisers to come forward and participate in the program and avail the opportunity. A meeting is being convened at MCH office at 11.00 A.M. on 25.11.1994 for this purpose, advertising agencies may participate. The area available for allotment ward wise is circle No.1, 2, 4, 5 and 6 ofcould be seen from the above that a very object was to mainly erect street signboard by giving top priority to the said work, and that the project entrusted with the appellant was on a trial basis being a pilot project. So far as other areas are concerned, the Corporation invited advertising agencies to participate in the areas indicated.

Court's reasoning:
It should be noticed at this stage, exceptstatements like them which were seriously disputed by the Corporation, there is nothing on record/writing to prove any such fancy claims. In the last week prior to the filing of the Writ Petition in December 1994, it is claimed that he came to the know that the Corporation as granted permission to the appellant to erect the arches and display thereon at M.G. Road, Secunderabad, near Telegraph Office asserting at the same time vaguely that the grant was opposed to public duties cast on the Corporation, besides being opposed to the principles of law and Article 14 of the Constitution of India, the same being, according to the Writ Petitioner, arbitrary, unjust and opposed to the principles of natural justice, fair play and equal opportunity to all.The facts averred in the writ Petition and the stand pursued before this Court also would bring out the real object, i.e. vindication of his own personal interests and there is nothing in the matter involving any great public interest, which can justify and public outcry through a public interest litigation. The desperateness of the writ petitioner is betrayed by the liberally invented incorrect averments about his alleged approach to the authorities prior to the filing of writ petition, when the fact remains that notwithstanding public notice for selection of agents for similar work in other areas, he did not respond like others and merely approached the court feigning ignorance of all that happened. The manner in which the writ petitioner was attempting to make bald claims after certain orders were passed by the Division Bench pending final disposal of the appeal to explore possibilities of grant of work in his favour without disclosing for that purpose concrete plans or models to convince the authorities of the genuineness of his moves also demonstrate, mere by his attempts to ventilate personal vendetta ad exhibit revengeful attitude rather than any of his sincere endeavours to really seek relief even for him. The writ petition itself deserved summary dismissal and the Division bench committed a grave error in interfering in the matter. Theorder of the learned Single Judge ought not to have disturbed by the division Bench of the High Court.16. The materials on record substantiated the absolute need and necessity to undertake works of the nature executed by the appellant, in furtherance of great public interest and for larger public and common good. The admitted dire financial position of the Corporation and their inability to undertake such a project at the cost of the Corporation and the cost that the venture was long over due apparently made the Corporation authorities to avail of the project as unfolded and volunteered by the appellant, subject, of course, to further revisions, modifications and suggestions in the best interest of the Corporation. When it was undertaken as a pilot project on a trial basis there might not have been much certainty about the profitability of the scheme as a business venture for the private party concerned and the appellants were prepared to undertake the said risk and executed the works to the satisfaction of the authorities and appreciation of public as well. The risk involved is not only in recouping the investments to be made for installations and constructions but to maintain them in good, proper and working conditions without also sacrificing the beauty of the installations throughout the duration of 15 years. Conditions imposed on the appellants involve great responsibilities and obligations and necessarily certain concessions had to be shown to keep the project working and maintain them in good shape. Not only the Municipal Corporation had no financial commitments in getting such works by any expenditure therefor, which were to be executed by the appellant only onbasis generating the required funds for installation and continued maintenance and their upkeep from sponsors by collecting premiums for giving them the privilege to avail of the space permitted by the Corporation for advertisements but ultimately the whole works have to be left with the Corporation and it is not to be removed by the appellants. As rightly observed by the learned Single Judge the venture cannot be considered to be the grant of a largesse or lease or contract in the conventional sense. The provisions in the Municipal Corporation Act cannot be said to envisage situations of the nature, when enacted. This appears to be a project more akin to the one considered by this Court in G.B. Mahajans case (supra). The fact that no other private advertising agencies, including the writ petitioner could offer to undertake such a venture in the other available areas when their participation was sought for belies the tall claims of the writ petitioner now made, after finding the project to have become successful and apparently fruitfulmore perhaps than it could have been thought of, initially by everyone. Perhaps irked by this only the interests of the writ petitioner seem to have gained momentum, to try in desperateness for the Shylocks pound of flesh, to ruin the very project, unmindful of any concern for the Corporation, public good and the appellant.17. A careful and dispassionate assessment and consideration of the materials placed on record does not leave any reasonable impression, on the peculiar facts and circumstances of this case, that anything obnoxious which require either public criticism or condemnation by courts of law had taken place. It is by now well settled thatof tenders or absence of public auction or invitation alone is no sufficient reason to castigate the move or an action of a public authority as either arbitrary or unreasonable or amounted to malafide or improper exercise or improper abuse of power by the authority concerned. Courts have always learned in favour of sufficient latitude being left with the authorities to adopt its own techniques of management of projects with concomitant economic expediencies depending upon the exigencies of a situation guided by appropriate financial policy in the best interests of the authority motivated by public interest, as well in undertaking such ventures. Though now, an attempt is sought to be made by the writ petitioner and surprisingly even by the Corporation too, attempting a somersault and claimingwith certain statutory formalities, we find that such a move is not only a pure after thought, but really unwarranted and not based upon a firm or sufficient ground or basis. The very applicability of the regulations contained in Sections 126, 129A, 148, 420 or 421 of the Act to the case on hand would itself be seriously doubtful. On the face of it they involve transactions envisaged therein, when granted in favour of third parties, to be executed with the Corporation funds and involving financial commitments or parting with the property or rights and privileges of the Corporation for value/consideration, and not to ascheme to be implemented and maintained without any financial commitments or expenditure to the Corporation. Section 124 seems to enable the Commissioner to undertake such ventures even without going before the Committee, as is now sought to be claimed. The provisions relating to Section 420/421 would also have relevance only when any such installations are to be made for the benefit/utility of private person/licensee, who executes it and not to a peculiar case like the one wherein the installations are such which are to be normally made and maintained by the Corporation for public good, but instead being permitted to be made o nits behalf and at its behest by a private property for the use and benefit of public at large, which ultimately have to be left as the property of the Corporation only, and that too when executed on abasis. The Commissioner or other authorities of the Corporation, who seem to have undertaken this at a point of time when there is no concrete scheme/project or sufficient funds with the Corporation, appear to have embarked upon this venture in good faith, keeping in view not only the public good but also in an earnest endeavour to secure such a novel project executed without any financial commitments or expenditure whatsoever either for the installations or subsequent upkeep and maintenance for at least 15 years. Merely because as an ultimate outcome in the long range, the appellant is able to make some more profit than what was envisaged itself could not render the exercise undertaken or scheme executed vulnerable for being challenged to be either as one in improper abuse of powers or by means of any reprehensible/ condemnable conduct, calling for interference in the hands of Court of Law.18. The Division Bench, except cataloguing the catena of decisions, has not chosen to objectively consider the extent of their applicability, relevance or otherwise of the principle befitting the merits of the peculiar facts of the case. The case on hand does not constitute or at any rate can by no means said to be the outcome of any unreasonable or arbitrary exercise of power so as to warrant interference under Article 226 of the Constitution of India.