Asikali Akbarali Gilani Etc. v. Nasirhusain Mahebubbhai Chauhan & Ors.
Background
A public-interest litigation revealed that the Viramgam Municipality in Gujarat had, over several decades, granted 869 leases of municipal land (including public streets) to private persons without formal lease deeds or the State Government's required approval, and construction had come up on this land without sanctioned plans. The Gujarat High Court directed the Collector to take back possession of the land, remove the illegal occupants and demolish the unauthorised structures. One of the affected occupants appealed to the Supreme Court.
Decision Breakdown
The Supreme Court held that no enforceable right can arise in favour of occupants where no formal lease was ever executed and no prior State Government approval was obtained, as the municipal law required. It upheld the High Court's direction for the Collector to act under Section 258 of the Gujarat Municipalities Act, 1963, rejecting the argument that this direction exceeded the Collector's statutory powers. However, recognising that many structures had existed for decades and been tolerated, the Court directed the State Government to frame a humane rehabilitation policy within six months for occupants whose structures predated a cut-off date, while structures built after that date would have to be removed regardless. The appeals were disposed of on these terms.
Lesson Learnt
Possession or construction on public land, even for decades, even under a municipal council resolution, does not create a legal right if the law's formal approval requirements were never met; but courts can still order authorities to build in a fair transition/rehabilitation process for long-standing occupants rather than ordering blanket eviction.