Mohd. Siddik Shaikh vs Muncipal Corporation Of Greater Mumbai on 9 June, 2025

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Bombay High Court

Mohd. Siddik Shaikh vs Muncipal Corporation Of Greater Mumbai on 9 June, 2025

2025:BHC-AS:22621




                                                                      1-AOST-924-2025(j).doc




    varsha             IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                     CIVIL APPELLATE JURISDICTION
                            APPEAL FROM ORDER (ST) NO. 924 OF 2025
                    1. Mohd. Siddik Shaikh
                      Having his residence at Room No. 702,
                      7th Floor, Uttam Terrace Building, 132,
                      Zakaria Masjid Street, Chinchbunder,
                      Pydhonie, Mumbai - 400 009.


                    2. Hussain Ahmed Khan
                      Having his residence at Room No. 601-602
                      & 707 at 6th and 7th Floor, Uttam Terrace
                      Bldg, 132, Zakaria Masjid Street,
                      Chinchbunder, Pydhonie, Mumbai -400 009. ... Appellants

                                  Vs.
                    1. Municipal Corporation of Greater
                       Mumbai, a body corporate constituted
                       under the Mumbai Municipal Act, 1888
                       having its office at Mahapallika Marg,
                       Opp. CSMT station, Fort, Mumbai- 400 001


                    2. The Executive Engineer
                                                                                ... Respondents
                       (Designated Officer), B & F Department,
                       B-ward, BMC office Building, 121,
                       Ramchandra Bhatt Marg, Opp. J.J.
                       Hospital, Mumbai 400 009.
                                               Page no. 1 of 71



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Mr. V.A. Sugdare i/b. Mr. Sandeep Sharma for the Appellants
Ms. Purnima Kantharia, GP a/w. Mr. Om Suryawanshi for
respondent - BMC
Mr. Y.M. Marathi, A.E(B&F) 'B' Ward present.

                                     CORAM : GAURI GODSE, J.
                                RESERVED ON : 6th MARCH 2025
                   FURTHER HEARING ON : 27th MARCH 2025
                                  PRONOUNCED ON: 9th JUNE 2025



JUDGMENT:

BASIC FACTS:

1. This appeal was heard on 6 th March 2025, and the

judgment was reserved. Later on, this court noticed that the

appeal was argued based on an unamended Section 354A of

the Mumbai Municipal Corporation Act, 1888 (‘said Act’). The

said section was amended in the year 2012. Hence, the appeal

was listed for directions on 20th March 2025, and at the request

of the respective learned counsels for both parties, the appeal

was listed for further hearing on 27th March 2025. Learned

counsels for the parties submitted that the amendment to the

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Section is only to replace the word ‘Commissioner’ with the

word ‘Designated Officer’. Hence, it was submitted that the

arguments already made by them would not change due to the

amended Section.

2. This appeal is preferred by the plaintiffs to challenge the

judgment and order dated 23rd August 2024 dismissing their

application seeking an order of temporary injunction restraining

the corporation from taking any action pursuant to the notice

impugned in the suit. The suit is filed to challenge the notice

dated 21st October 2020 (‘suit notice’) issued by the corporation

under Section 354A of the said Act.

3. The plaintiffs have challenged the suit notice on the

ground that they are lawfully occupying their respective

structures on the 6th and 7th floors in the building in respect of

which the corporation has issued the suit notice. Plaintiffs claim

that the suit structures have existed since before 1958, and no

unauthorised construction was carried out in respect of the

building, and only tenable repairs were carried out. By the

impugned order, the interim relief of injunction is refused on the

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ground that demolition work was already carried out by the

corporation above the 5th floor.

SUBMISSIONS ON BEHALF OF APPELLANTS:

4. The submissions made by the learned counsel for the

appellants (‘plaintiffs’) are summarised as follows:

a) The suit notice was never served upon the plaintiffs. The

plaintiffs’ structures have existed since 1958 and, except

for tenable repairs, no unauthorised construction has

been carried out as alleged in the suit notice. The

description of the offending structure in the suit notice

indicates that the corporation has alleged unauthorised

reconstruction of the building without permission, and

thus, the suit notice directs the

owner/occupier/landlord/tenant to stop the erection of the

building forthwith. The description of the alleged unlawful

work described in the schedule of the suit notice and the

sketch indicates that the corporation’s allegation is

regarding the reconstruction of the building without

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permission. The speaking order dated 15th March 2022

refers to the work order issued by the Mumbai Building

Repair and Reconstruction Board, which is a unit of

MHADA (Maharashtra Housing and Area Development

Authority) for repairs of the building. The speaking order

records that the suit notice was issued alleging

reconstruction of the building; however, after going

through the work order and repair plan of MHADA, the

corporation concluded in the speaking order that the

building upto the 5th floor was authorised. The repair plan

of MHADA referred to in the speaking order itself

indicates that there is no new construction in the building,

and only repairs were carried out. The appellants would

therefore be entitled to lead evidence to support their

contentions that the suit notice is illegally issued, and the

appellants’ structures have existed since prior to 1958,

and there is no new construction carried out.

b) Section 354A is a drastic provision that enables the

corporation to demolish the offending

structure/construction if, within 24 hours of the notice,
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permission is not produced. Therefore, the concerned

person who would be affected must be served with the

notice. Nothing has been produced on record by the

corporation that the owner of the building or the person

affected has been served. To support his contention

regarding service of notice, learned counsel for the

appellants relied upon clauses (m) and (n) of Section 3 of

the said Act, which defines ‘owner’ and the ‘person’

deemed to have been residing in the dwelling.

c) Learned counsel for the appellants relied upon various

provisions in the said Act, which refer to the words

‘owner’ and ‘person’. Section 315 of the said Act refers to

the words ‘owner’ and ‘occupier’, whereas Section 314(d)

refers to the word ‘person’. Section 314 permits the

corporation to take action against the structure erected in

contravention of Sections 312, 313, and 313A of the said

Act. In view of action under Section 314, the person in

occupation or possession of the offending structure is

likely to be evicted. Section 372 refers to the word

‘person’. Section 405 of the said Act provides for issuing
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a written notice to the owner, farmer or occupier of any

private market or slaughter house for taking action under

the said provision. Section 484 provides for the manner

of service to be affected on the owners of the premises

and other persons, and Section 485 provides a procedure

for service on the owner or occupier of the premises.

Thus, a harmonious reading of the word ‘person’ is

required to be made for the purpose of service of notice

under Section 354A.

d) Sub-section (1) of Section 354A can be invoked only

when the designated officer is satisfied that the erection

of any building or execution of such work as described in

Section 342 has been unlawfully commenced or is

unlawfully carried out. However, if immediate action is not

taken pursuant to the notice under sub-section (1), the

notice cannot be further pursued after a gap of a

substantially long period for taking action under sub-

section (2). If immediate action as contemplated under

sub-section (2) is not taken and the construction is

complete or the alleged construction or work is not found
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to have been continued, the provision of Section 351 of

the said Act will come into play, and the notice under

Section 354A cannot be pursued further.

e) The wording of sub-section (1) indicates that the notice

under sub-section (1) should contain an exact description

of the alleged unauthorised work. In the present case, the

notice under Section 354A of the said Act does not

describe any specific work alleged to have been

unlawfully carried out. The notice vaguely states that the

building is being reconstructed unlawfully. The speaking

order, however, records that as per the plan prepared by

MHADA, the building is authorised upto the 5 th floor. The

speaking order itself falsifies the allegation made in the

notice. The object of the provision of Section 354A is to

take action for the ongoing work and not the work that is

completed. The contents of the notice and the reasons in

the speaking order, coupled with the inspection report

placed on record by the corporation, indicate that there is

no reason or occasion to invoke the provision of Section

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354A, as there was no unauthorised work carried out as

stated in the notice.

f) To support the submissions regarding service of notice,

learned counsel for the appellants relies upon the

decision of the Hon’ble Apex Court in the case of

Municipal Corporation of Greater Mumbai and Ors Vs.

Sunbeam High Tech Developers Private Limited 1.

Learned counsel for the appellants in particular relies

upon paragraph no. 24.5.1 of the judgment, which

provides for personal service of notice to the person who

is raising or who has raised the illegal structure, including

owner/occupier/builder/contractor/architect, etc.

g) Learned counsel for the appellants relied upon the

decision of this court in case of J. R. Patel Vs The

Municipal Corporation of Greater Bombay 2, in the context

of service of notice and hearing to the affected person for

taking action under Section 314 of the said Act. The

learned counsel for the appellants also relied upon the

1 (2019) 20 SCC 781
2 AO No. 681 of 2001, dated 13.10.2001, A.M. Khanwilkar, J
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decision of the Hon’ble Division Bench of this Court in the

case of Mohd. Sayed Mohd. Salim Nagori Rizvi Vs The

Municipal Commissioner and others3 to support his

submissions that prior notice and opportunity to show

cause must be given to the affected party. Learned

counsel for the appellants further relied upon the recent

decision of the Hon’ble Apex Court in the case of State

Bank of India and Others Vs Rajesh Agrawal and

Others4. Learned counsel for the appellants submits that

the Hon’ble Apex Court, after referring to various well-

settled legal principles that service of notice should be in

accordance with the principles of natural justice, held that

even for administrative action, notice to the affected

person is mandatory as it involves civil consequences

which adversely affects the concerned person.

h) Learned counsel for the appellants relied upon various

decisions to support his contentions on the definition of

the word ‘person’. According to him, the word ‘person’

3 2018 SCC Online Bom 2695
4 (2023) 6 SCC 1
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has to be read in a larger context with reference to the

words ‘occupier’ and ‘owner’. To support his submissions

on the interpretation of the word ‘person’, learned counsel

for the appellants relied upon the decision of the Hon’ble

Apex Court in the case of Industrial Supplies Private

Limited and Anr Vs Union of India and Others 5, Ramanlal

Bhailal Patel and Others Vs State of Gujarat 6. Learned

counsel for the appellants thus submits that the well-

settled legal principles interpreting the word ‘person’ will

have to be taken into consideration for the interpretation

of the word ‘person’ referred to in Section 354A of the

said Act. He thus, submits that for taking drastic action

under Section 354A the relevant provisions of the said

Act which refers to the word ‘person’, ‘owner’ and

‘occupier’ read with the provisions for affecting service is

required to be read harmoniously to mean that any

person likely to be affected in view of the action

contemplated under Section 354A is necessarily to be

served with the notice enabling him to put forth his case

5 (1980) 4 SCCC 341
6 (2008) 5 SCC 449
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before the action is taken by the corporation as

contemplated under sub- section (2) of Section 354A of

the said Act.

i) Thus, prima facie the suit notice is illegally issued by the

corporation without following the relevant provisions

under the said Act for service of notice and without

recording satisfaction as contemplated under sub-section

(1) of Section 354A which results into drastic action of

demolition within 24 hours as contemplated under sub-

section (2) of Section 354A. There is ample evidence

available to support the appellants’ contentions that the

suit structures have existed since before 1958, and the

work carried out in the building in which the suit

structures are situated is only the repair work as per the

repair plan prepared by MHADA. The suit notice is issued

without verifying the basic information about the building

and the repair work initiated as per the repair plan

prepared by MHADA. The impugned judgment does not

deal with the illegality of the manner in which the notice is

issued and the repair plan prepared by MHADA, which
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indicates that only the repair work was carried out. The

reasons recorded by the learned judge of the City Civil

Court refusing to grant an interim injunction are based on

perverse reasoning and completely ignore the original

existence of the building as per the MHADA record and

repair plan prepared by MHADA. Hence, the issue of the

legality of the suit notice is required to be examined after

substantial evidence is examined by the court. The

impugned order would require interference by this court

as the appellants would be entitled to interim protection in

as much as, prima facie, the impugned notice and the

speaking order are illegal.

j) Learned counsel for the appellants relied upon the legal

principles settled by this court in the case of Sopan

Maruti Thopte and Another Vs. Pune Municipal

Corporation and Another7. This court held that for

sufficient compliance with the principles of natural justice,

the commissioner can either call for the statement in

writing or give a personal hearing to show cause why the

7 1996 (1) Mh.L.J. 963
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alleged unauthorised construction should not be

demolished. Learned counsel for the appellants also

relied upon the decision of this court in the case of Sub

Vijay International Pvt. Ltd. Vs Commissioner, Municipal

Corporation of Gr. Mumbai and Another 8 , to support his

submissions that the guidelines issued in the decision of

Sopan Maruti Thopte are based on fair play by the local

authorities and are binding upon the municipal

corporation.

k) Learned counsel for the appellants relied upon the

observations of this court in the decision of Kangana

Ranaut Vs. Municipal Corporation of Greater Mumbai and

Others9 regarding the guidelines issued by the

corporation for following the procedure to take action

under section 354A. He submits that the prescribed

procedure for preparing panchanama and inspection

report for taking action of demolition is not followed by the

corporation. Thus, there is no material produced to

8 2007 Mh. L.J 74
9 2020 SCC OnLine Bom 3132
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support the corporation’s contention that the suit

structures are demolished. Hence, the plaintiffs would be

entitled to interim protection as prayed.

SUBMISSIONS ON BEHALF OF THE CORPORATION:

5. The submissions made by the learned counsel for the

corporation are summarised as follows;

a) The action initiated by the corporation by issuing the

impugned notice is legal and valid. Sub-section (2) of

Section 354A empowers the corporation to demolish the

offending structure within 24 hours. Hence, there is no

question of issuing any speaking order immediately. In

response to the notice issued under Section 354A, none

of the occupants or the owner had submitted any

documents indicating any permission for carrying out the

ongoing work. Hence, the corporation had initiated

demolition work, which is recorded in the demolition

report produced on record. The very purpose of Section

354A is to take immediate action in view of the exigency

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of the situation regarding the unlawful construction

commenced. The purpose of Section 354A is to take

immediate action to stop unlawful construction

commenced without taking permission.

b) In the suit filed by another occupant of the building, an

interim order was passed by the City Civil Court on 29 th

July 2021, which records that demolition work was

already initiated by the corporation. As per the pleadings

in the present case, the plaintiffs were not even residing

in the suit structures. The building is a cessed building

and thus, protection is available only for the structure in

existence before the datum line of 1st April 1962. As per

the repair plan and the record maintained by MHADA, the

building is authorised only up to the 5th floor, and hence,

the structure in the building is protected till the 5 th floor.

The plaintiffs’ structures are admittedly above the 5 th

floor.

c) There is no particular description of the appellants’

structures in the plaint. However, according to the

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corporation, above the 5th floor, there is a mezzanine floor

illegally constructed; hence, there is no floor above the 5 th

floor. As per the speaking order and the reply filed by the

corporation to the notice of motion, all the structures

above the 5th floor are unauthorised, and the building is

authorised only up to the 5th floor. The corporation

initiated demolition work, and as per the report, the

demolition of the unauthorised construction above the 5 th

floor was completed by 30th June 2021. However, the

structures were again reconstructed illegally, and thus,

occupants above the 5th floor who illegally carried out the

construction would not be entitled to any protection from

the court. If, after issuance of notice under Section 354A,

the construction illegally commenced is completed, the

corporation is entitled to demolish it without any further

notice. Hence, demolition work was initiated as

contemplated under sub-section (2) of Section 354A and

the same was completed. Therefore, any construction

carried out by the appellants after demolition work is

completed would not be entitled to any protection.

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d) To support the action taken by the corporation, learned

counsel for the appellants relied upon the decision of this

court in the case of Abdul Razzaq Sunesra Vs Municipal

Corporation of Greater Mumbai and Others10. Learned

counsel for the appellants relied upon paragraph nos. 9

and 10 to contend that Section 354A confers the power to

the Commissioner and discretion whether or not to

demolish the unauthorized construction, if satisfied that

the erection of the building or execution of the work has

been unlawfully commenced or is being unlawfully carried

out. If the concerned person fails to produce before the

Designated Officer the relevant permission, the

corporation is entitled to remove or pull down the

offending structure without further notice.

e) Learned counsel for the corporation further submits that

this court, as per the legal principles settled in the

decision of Kangana Ranaut, Section 354A deals with the

stop work notice which applies to the ongoing work and

to the emergent situations where the Designated Officer

10 2014(1) Mh.L.J 275
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considers it necessary to stop the ongoing work which

has been unlawfully commenced. Learned counsel for

the corporation further relied upon the decision of the

Hon’ble Apex Court in the case of Sunbeam High Tech

Developers Private Limited. She submits that in

paragraphs nos. 18 and 19, the Hon’ble Apex Court held

that even if the rights of the private individual have been

violated on the ground that sufficient notice for demolition

was not given, in such cases, structures erected in

violation of the law cannot be permitted to be re-erected.

She submits that the Hon’ble Apex Court held that even

when unauthorized structures are demolished without

due notice compensation for the demolished structure or

even the cost of the new structure to be raised, if any,

can be imposed upon the municipal corporation which

should be recovered from the erring officials, but the

Hon’ble Apex Court held that in no eventuality should an

unplanned structure can be permitted to be raised. Thus,

the action taken by the corporation under Section 354A

cannot be held to be illegal only on the ground that the

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notice to the affected person is not served. The purpose

of Section 354A is to stop the construction commenced

unlawfully. Therefore, on the ground of service of notice,

the action under Section 354A cannot be held to be

illegal.

f) Learned counsel for the corporation also relied upon the

decision of the Hon’ble Apex Court in the case of Muni

Suvrat-Swami Jain S.M.P. Sangh Vs. Arun Nathuram

Gaikwad and Others11. She submits that the Hon’ble

Apex Court held that Section 354A deals with the stop

work notice, whereas the provisions of Section 351

provide a show cause notice for demolition of

unauthorised construction. As held by the Hon’ble Apex

Court, Section 354A empowers the corporation to stop

the work unlawfully commenced and thus, if no

permission is shown by the person carrying out

construction, the corporation can invoke powers under

sub-section (2) of Section 354A and demolish the

11 (2006) 8 SCC 590
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unauthorized construction as alleged in the notice under

sub-section (1) of Section 354A.

g) With reference to the legal principles settled in the

decision of Sopan Maruti Thopte, learned counsel for the

corporation submits that as held by this court in

paragraph nos. 27 and 28 of the judgment, the procedure

established by law has to be followed by the public

authorities and thus the procedural lapses if any,

unintentional or intentional which do not seriously affect

the substantive rights of a person shall not result in ad-

interim orders which would protect the illegality having

been already committed by a person. She thus submits

that, as held by this court in the case of Sopan Thopte,

violators of law cannot be liberally allowed to take the

protection of the court by obtaining interim injunctions

which would have the effect of continuing such violation.

h) Learned counsel for the corporation relied upon the

decision of this court in the case of Tushar Guru Salien

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Vs State of Maharashtra12 and submitted that this court

held that merely pointing out the deficiencies in the notice

or raising objections to the authority of the person issuing

notice cannot be a ground to grant protection with respect

to the structure against which the action is taken by the

corporation on the ground that it is unauthorized. Learned

counsel for the corporation relied upon the decision of

this court in the case of Akramal Najibul Sarkar Vs The

Minucipal Corporation of Greater Mumbai 13, to support

her contention that carrying out repairs and completing

the construction without lawful procedural compliance,

the parties would not be entitled to interim protection.

i) Learned counsel for the corporation, by referring to the

facts in the present case, submitted that the construction

above the 5th floor in the building is unauthorized as seen

from the record of MHADA and the repair plan prepared

by MHADA. She therefore submitted that the plaintiffs’

contention regarding construction on the 7th floor clearly
12 PIL No. 67 of 2017 dated 28/8/2019 Pradeep Nandrajog CJ & Bharati Dangre J.
13 AO No. 446 of 2018 dated 18th September 2018 Shalini Phansalkar-Joshi J.

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indicates that there is unauthorised construction carried

out after the corporation completed the demolition work,

which is evident from the demolition report produced on

record. The corporation has already taken action against

illegal reconstruction carried out after the demolition work

was completed. Therefore, the corporation has lodged an

FIR on 7th October 2021, which refers to the illegal

construction carried out on the building after the

demolition work was completed by the corporation

pursuant to the suit notice. If the unauthorized

construction is re-erected after the demolition work is

completed pursuant to the notice under Section 354A, the

corporation is empowered to demolish the same without

any further notice. In such a situation, the corporation is

required to maintain only the report of the demolition work

carried out. Learned counsel for the appellants relied

upon the decisions of this court in the case of N.H.

Harsora Private Limited and Another Vs Designated

Officer, Assistant Engineer(B &F) and Another 14, Shriram

14 2020 SCC OnLine Bom 2780
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Ramphal Patel Vs Municipal Corporation for Greater

Bombay and Others15. By relying upon the said

decisions, learned counsel for the corporation supported

her submissions that the corporation is entitled to

demolish the unauthorized construction in the event that

the construction is re-erected after the notice under

Section 354A is completed.

j) With reference to the submissions made on behalf of the

learned counsel for the appellants on the illegality of the

suit notice issued without satisfaction recorded as

contemplated under sub-section (1) of Section 354A of

the said Act, learned counsel for the corporation

submitted that the satisfaction is not necessarily to be

recorded in writing in view of the provisions of Section

342 of the said Act. The issuance of notice under sub-

section (1) is based on the inspection report of the

Designated Officer. Thus, the very fact of issuance of

notice under Section 354A indicates the satisfaction of

15 2006(1) Mh.L.J 33
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the Designated Officer in initiating action under Section

354A.

k) In the absence of any permission, the construction above

the 5th floor is unauthorized as recorded in the speaking

order dated 15th March 2022. As per the record of the

demolition program, the demolition was completed on

30th June 2021. She thus submits that the action initiated

under sub-section (1) of Section 354A has already been

given effect by completing the demolition as

contemplated under sub-section (2) of Section 354A of

the said Act. Therefore, at this stage, there is no question

of granting any protection to the appellants’ structures,

which the corporation has already demolished. Any

reconstruction carried out by the appellants would not

entitle the appellants to any protection in the absence of

any documents indicating the lawful existence of any

construction over and above the 5th floor. Therefore, the

learned judge of the City Civil Court has rightly refused to

grant any discretionary relief by clearly recording that the

occupant of the building has carried out unauthorised
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construction over and above the 5 th floor. Thus,

considering the well-established principles, the appellants

would not be entitled to any discretionary relief to protect

the unlawful construction carried out above the 5 th floor.

Hence, no interference is warranted in the impugned

order, and the appeal is therefore liable to be dismissed.

LEGAL POSITION:

6. Before considering the rival submissions, it is first

necessary to examine the legal position on the powers under

Section 354A of the said Act. Section 354A of the said Act

reads as under:

“354A. Power of Designated Officer to stop erection of
building or work commenced or carried on unlawfully.

(1) If the Designated Officer is satisfied that the erection
of any building or the execution of any such work as is
described in section 342 has been unlawfully
commenced or is being unlawfully carried on upon any
premises, the Designated Officer may, by written notice,
require the person erecting such building or executing
such work to stop such erection or work forthwith.

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(2) If the erection of the building or execution of the work
is not stopped as required by the Designated Officer, or
permission approved by the competent authority in favour
of the erection of the building or execution of the work is
not produced within twenty-four hours from the service of
notice referred to in sub-section (1), the Designated
Officer may, without further notice, remove or pull down
the building or work and the expenses thereof shall be
paid by the said person or owner of the building or work.
The Designated Officer may also direct that any person
directing or carrying out such erection or work shall be
removed by any police officer from the place where the
building, is being erected or the work is being executed.
(3) In addition to the action that the Designated Officer
may take under sub-section (2), he may, without further
notice, cause to be removed any materials, machinery,
equipment, devices or articles used in the process of
erection of the building or execution of such work.
(4) If the expenses incurred by the Designated Officer
under sub-section (2) and (3) are not paid within one
month from the date of demand, such sum as remains
unpaid shall be treated, as arrears of property tax and the
procedure prescribed under this Act for recovery of
arrears of property tax shall, mutatis mutandis, apply to
the recovery of such unpaid sum.”

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7. The object of Section 354A is revealed from its heading,

which refers to the powers conferred upon the Designated

Officer to stop the erection of a building or work commenced or

carried on unlawfully. The plain reading of sub-section (1) of

Section 354A indicates that, first and foremost, the Designated

Officer has to be satisfied that the erection of a building or the

execution of work as described in Section 342 has unlawfully

commenced. Sub-section (1) of Section 354A starts with the

word ‘if’. Thus, it is clear that a direction to stop work can be

issued only if there is satisfaction that the work is unlawfully

commenced. Such satisfaction can be arrived at after making

an inquiry, which would necessarily mean that the Designated

Officer is required to enquire whether any permission is

granted by the competent authority, conduct a site visit and

prepare a report containing the particulars of the alleged

unlawful work. Thus, after necessary enquiry, if the Designated

Officer is satisfied that the erection or work is unlawful, he has

the power to forthwith stop the erection or the work as the case

may be by issuing a written notice.

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8. The purpose of such notice as contemplated under sub-

section (1) of Section 354A is to prevent and prohibit unlawful

erection or work. The satisfaction of the Designated Officer and

the stop-work notice as contemplated under sub-section (1) is

likely to result in a drastic consequence as contemplated under

sub-section (2) of pulling down the building or the work. The

satisfaction of the Designated Officer should therefore reflect in

the contents of the written notice.

9. It is necessary to consider the language of Section 354A.

The action of issuing a stop work notice as contemplated under

sub-section (1), the action of removing or pulling down the

building or the work as contemplated under sub-section (2),

and the action to remove any materials, machinery, equipment,

devices or articles as contemplated under sub-section (3) uses

the word “may”. The word “shall” is used only for recovering the

expenses if the erection of the building or the work is removed

or pulled down as contemplated under sub-section (2). Thus,

the power of the Designated Officer under Section 354A is

discretionary; therefore, sub-section (1) contemplates

satisfaction of the Designated Officer before issuing the stop-

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work notice. Thus, the contents of the notice must indicate the

satisfaction of the Designated Officer that the erection or the

work is unlawful. Hence, the notice must also contain a proper

description of the alleged unlawful erection or work. The

absence of a proper description of the alleged unlawful erection

or work would reflect non-application of mind, raising doubts

about the satisfaction of the Designated Officer before issuing

the stop-work notice.

10. The Designated Officer is empowered under sub-section

(2) of Section 354A of the said Act to remove or pull down the

alleged unlawful erection or work without giving further notice.

The only requirement is to serve a stop-work notice as

contemplated under sub-section (1) of Section 354A. As

discussed in the above paragraphs the purpose of Section

354A is to prevent unlawful erection of building and unlawful

execution of work as described in Section 342; hence the

power to serve a notice to stop the erection or the work

forthwith, is subject to satisfaction of the Designated Officer

that the erection or the work is unlawful. However, the exercise

of power to remove or pull down the erection or the work
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without any further notice is a drastic action. There can be

various circumstances or justifiable reasons for being unable to

produce the requisite permission within twenty-four hours from

the service of the stop-work notice. For instance, a person is

not served with the notice, or due to unavoidable

circumstances is unable to produce the permission within

twenty-four hours, or claims benefit under a deeming provision

for the grant of permission, or any other justifiable reason.

Therefore, the principles of natural justice must be followed to

exercise the drastic power under sub-section (2) of Section

354A of the Act.

11. The immediate action contemplated under sub-section

(1) is to stop the work forthwith. The language of sub-section

(2) empowers the Designated Officer to take drastic action of

demolition if the stop-work notice is not complied with or the

permission is not produced within twenty-four hours of the

service of notice. Now, the next question, therefore, would be

the effective service of the notice as contemplated under sub-

section (1) of Section 354A. The purpose of the written notice

as contemplated under sub-section (1) of Section 354A is to
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direct the person erecting a building or executing work

unlawfully to forthwith stop doing it and further remove the work

as contemplated under sub-section (2), if found to be unlawful.

The language of Section 354A says that the Designated

Officer, by written notice, require the ‘person’ erecting a

building or executing the work to stop the erection or the work

forthwith. The words ‘person’ and ‘owner’ are defined in

Section 3 (m) and (n) of the said Act as under;

“(m) “owner” when used in reference to any premises,
means the person who receives the rent of the said
premises, or who would be entitled to receive the rent
thereof if the premises were let, and includes–

(i) an agent or trustee who receives such rent on account
of the owner, and

(ii) an agent or trustee who receives the rent of, or is
entrusted with, or concerned for, any premises devoted to
religious or charitable purposes ; and

(iii) a receiver, sequestrator, or manager appointed by
any court of competent jurisdiction to have the charge of,
or to exercise the rights of an owner of the said premises;
” (n) a person is deemed ” to reside ” in any dwelling
which he sometimes uses, or some portion of which he
sometimes uses, though, perhaps, not uninterruptedly, as
a sleeping apartment;

and a person is deemed to cease ” to reside ” in any such
dwelling merely because he is absent from it, or has
elsewhere another dwelling in which he resides, if there is

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the liberty of returning to it at any time and no
abandonment of the intention of returning thereto; ”

12. In the said Act, the words ‘person’, ‘owner’ and ‘occupier’

are used depending upon the relevant action contemplated

under the various sections under the said Act. Considering the

object of Section 354A as discussed in the above paragraphs,

the purpose of the written notice is to stop forthwith the erection

of a building or the execution of the work, subject to the

satisfaction of the Designated Officer that the erection or work

is unlawful. Section 354A is invoked when an immediate action

is required. Therefore, intimation in writing to stop the work is

what is contemplated under sub-section (1). Thus, notice must

be served on the person carrying out the work at the behest of

the owner, i.e. the person whose name is recorded as owner in

the official record, at whose behest the work is being done, or

the recorded owner or the occupier of the offending

structure/property, as he would be the person adversely

affected if the Designated Officer takes the action under sub-

section (2). The purpose of the service of notice under sub-

section (1) of Section 354A is to immediately stop the work

followed by the action contemplated under sub-section (2).

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13. The manner of service of notice is provided in Chapter

XIX of the said Act. The purpose of written notice is discussed

in the above paragraphs, which requires intimation to the

person as contemplated under sub-section (1) of Section 354A

to stop the work forthwith. Thus, it is not mandatory to name

the owner or occupier in the notice; however, proper service of

the stop-work notice has to be served on the person erecting

the building or executing the work or on the recorded owner or

the occupier. Therefore, the procedure prescribed under

Section 485 of the said Act would be applicable, which deals

with how service will be effected on the owner or occupier of

premises. Section 485 reads as under;

” 485. Service on “owner or occupier” of premises how to be
effected

When any notice, bill, schedule, summons or other such
document is required by this Act, or by any regulation or by-law
made under this Act, to be served upon or issued or presented
to the owner or occupier of any building or land, shall not be
necessary to name the owner or occupier therein, and the
service, issue or presentation thereof shall be effected, not in
accordance with the provisions of the last preceding section but
as follows, namely :

(a) by giving or tendering the said notice, bill, schedule,
summons or other document to the owner or occupier, or if

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there be more than one owner or occupier, to any one of the
owners or occupiers of such building or land; or

(b) if the owner or occupier or no one of the owners or
occupiers is found, by giving or tendering the said notice, bill,
schedule, summons or other document to some adult member
or servant of the family of the owner or occupier or of any one
of the owners or occupiers; or

(c) if none of the means aforesaid be available by causing the
said notice, bill, schedule, summons or other document to be
affixed in some conspicuous part of the building or land to
which the same relates. ”

14. In the decision in J.R. Patel, this Court dealt with the

challenge to the notice under Section 314 of the said Act on the

ground that the proposed action of the corporation was in

breach of the principles of natural justice and more particularly

in the teeth of the dictum of the Constitution Bench of the

Supreme Court in the case of Olga Tellis and others Vs

Bombay Municipal Corporation and others. 16 . This court relied

upon the legal principles settled by the Hon’ble Apex Court in

the decision of Olga Tellis, and held that it is obligatory on the

authorities to give an opportunity to the appellants to produce

material in support of their case as to why action under Section

314 of the said Act is not warranted. Section 314 of the said

16 (1985) 3 SCC 545

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Act provides for the power to remove without notice anything

erected, deposited or hawked in contravention of section 312,

313 or 313A. The Commissioner is empowered to take action,

without issuing notice, for the removal of any structure or fixture

which shall be erected or set up in or upon any street, or upon

or over any open channel drain, well or tank contrary to the

provisions of sub-section (1) of section 312.

15. In the case of Olga Tellis, the decision of the municipal

corporation to demolish the huts was challenged by the

petitioners on the ground that it is violative of Articles 19 and 21

of the Constitution of India. The petitioners had also asked for a

declaration that the provisions of Sections 312, 313 and 314 of

the said Act are invalid as violative of Articles 14, 19 and 21 of

the Constitution of India. This court, in the decision J.R. Patel,

held that the Hon’ble Apex Court interpreted Section 314 of the

said Act and has read it down to save its validity. While dealing

with the arguments on behalf of the corporation that it is the

discretion of the commissioner to give or not to give a prior

hearing to the occupants who are essentially encroachers and

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have no right to squat, this court in the decision of J.R. Patel,

held in paragraph 8 as under:

“8. To my mind, this decision has not and could not be
read to have diluted the legal mandate as enunciated by
the Constitution Bench of the Apex Court in Olga Tellis
case.
In Olga Tellis case the Constitution Bench of the
Apex Court has clearly observed that the ordinary rule is
to observe audi alteram partem rule and it is only in
exceptional cases when the Commissioner may find it
appropriate that such procedure ought to be dispensed
with- that he may do so by virtue of this provisions (S.

314). but, then such extra ordinary circumstances must
be shown to exist at the relevant time and the burden is
on the Commissioner to show that it did exist. In other
words, only in exceptional cases the Commissioner may
dispense with the requirement of audi altaram partem
rule; and, therefore, in such cases the law would further
require that the Commissioner shall contemperageously
hold reasons therefore unless reasons are recorded by
the Commissioner, it will have to be presumed that the
case was not an exceptional case so as to dispense with
the procedure of audi alteram partem, as enunciated by
the Supreme Court in the above said Judgment.

Whereas, when the Commissioner records reasons then,
surely, judicial review of those reasons which persuaded
the Commissioner to dispense with the procedure of fair
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play would be available. However, when no such reasons
are recorded by the Commissioner before resorting to
action under Section 314 of the Act, it would be
preposterous to contend that the case nevertheless falls
under exceptional category so as to dispense with the
requirement of fair play. ”

16. The Hon’ble Division Bench of this Court in the case of

Mohd. Sayed Mohd. Salim Nagori Rizvi, followed the legal

principles settled by the Hon’ble Apex Court in the decision of

Olga Tellis, and held that the action under Section 314 of the

said Act, must be flawed as there is no justification of urgency

and/or requirement of expeditious removal of the subject

premises without prior notice, on the ground that it was

affecting streets, pavements or other similar conveniences.

17. By the decision relied upon by the learned counsel for the

appellants in the case of Sopan Maruti Thopte, a reference

made to the Division Bench is decided, on the question

whether it is obligatory to give a personal hearing or early

hearing to the parties after notice under clause (a) of sub-

section (1) of Section 351 of the said Act is issued. The Hon’ble

Division Bench held that when notice under Section 351 is
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given, fifteen days time shall be given to submit a reply, and if

no sufficient cause is shown, the municipal authority shall give

short reasons for not accepting the contention of the affected

party. The Hon’ble Division Bench issued guidelines for taking

further action for demolition. In the decision of Sub Vijay

International Pvt. Ltd ., this court held that the guidelines issued

in the decision of Sopan Maruti Thopte are based on fair play

by the local authorities and are binding upon the municipal

corporation. This Court further held that the purpose of issuing

notice under Section 354A to stop work and produce valid

permission is to enable the person to satisfy the commissioner

that the work is pre-existing work carried out after obtaining the

necessary permission. Thus, this court held that even dehors

the decision in the case of Sopan Maruti Thopte, the principle

of fairness requires the municipalities and the corporation to

give a reasonable notice to the person concerned before taking

the action of demolition.

18. In the decision relied upon by the learned counsel for the

appellants in the case of Ramanlal Bhailal Patel, the Hon’ble

Apex Court was dealing with the word ‘person’ in the context of
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Gujarat Agricultural Lands Ceiling Act 1960. The Hon’ble Apex

Court after discussing the general and ordinary meaning of the

word ‘person’ and the General Clauses Act, held that the

general legal definition of the word ‘person’ is either modified or

restricted or expanded in different statutes with reference to the

object of the enactment or the context in which it is used. In the

decision of Industrial Supplies Pvt. Ltd., the Hon’ble Apex Court

was dealing with the interpretation of the words ‘owner’ and

‘occupier’ with reference to the Coking Coal Mines

(Nationalisation) Act 1972 and The Mines Act 1952. The

Hon’ble Apex Court held that when legal fiction is incorporated

in a statute, the court, after ascertaining the purpose, must give

full effect to the statutory fiction and carry it to its logical

conclusion.

19. In the decision of State Bank of India Vs Rajesh Agarwal,

the Hon’ble Apex Court has laid down legal principles

regarding the nature, scope and applicability of the principles of

natural justice in general, and the rule of audi alteram partem in

administrative action having civil consequences. The appeals

before the Hon’ble Apex Court were filed to challenge The
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Reserve Bank of India (Frauds Classification and Reporting by

Commercial Banks and Select FIs) Directions 2016 (“Master

Directions”), issued by the Reserve Bank of India. The Hon’ble

Apex Court, while considering whether the principles of natural

justice should be read into the provisions of the Master

Directions on Frauds, held that audi alteram partem has

several facets, including the service of a notice to any person

against whom a prejudicial order may be passed and providing

an opportunity to explain the evidence collected. It is also held

that administrative proceedings which entail significant civil

consequences must be read consistently with the principles of

natural justice to meet the requirement of Article 14. It is further

held that where possible, the rule of audi alteram partem ought

to be read into a statutory rule to render it compliant with the

principles of equality and non-arbitrariness envisaged under

Article 14 of the Constitution of India.

20. In the Hon’ble Apex Court’s decision of Sunbeam High

Tech Developers (P) Ltd, the issue involved was that if a

Municipal Corporation demolishes a structure in exercise of

powers vested in it but in violation of the procedure prescribed,
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whether the High Court can direct the owner/occupier of the

building to reconstruct the demolished structure. The Hon’ble

Apex Court referred to the judgment of this court in the case of

Sopan Thopte, and held that timelines were fixed of fifteen

days each for issuing a show-cause notice and, thereafter, to

take action of demolition. It is further observed that the

legislature thereafter intervened and the first period is curtailed

to seven days, but the second direction has not been interfered

with by the legislature. Thus, the Apex Court held that the

Judgment of Sopan Thopte continues to hold the field in that

regard. The second direction that holds the field is that it would

be open to the Commissioner to demolish the offending

structure fifteen days after the order is communicated to the

affected person. The Hon’ble Apex Court issued directions in

paragraph 24 regarding the manner in which the evidence of

illegal construction/ reconstruction etc, is collected and notices

are issued and served. The directions issued by the Apex

Court provide for service of notice upon the

owner/occupier/builder/ contractor/architect, etc, about the

alleged unauthorised work. The directions also provide for 7

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days notice before demolition of the property, if the reply to the

notice is not satisfactory. The Hon’ble Apex Court also issued

directions regarding the manner in which the evidence of illegal

construction/reconstruction, etc., is collected and notices are

issued and served. The relevant directions are in paragraph 24,

which reads as under;

“24. We also would like to give further directions
regarding the manner in which the evidence of
illegal construction/reconstruction etc., is collected
and notices are issued and served. We, therefore,
issue the following directions:

24.1 It will be obligatory for all Municipal
Corporations in the State of Maharashtra where the
population is 50 lakhs or more to get geomapping
and geo-photography of the areas under their
jurisdiction done within a period of one year.

Geomapping will also be done of an area of 10 Kms.
from the boundary of such areas. The records
should be maintained and updated by the Municipal
Corporations within such time period as the
Municipal Corporation deems fit, keeping in mind
the specific circumstances of the area under its
jurisdiction.

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24.2Whenever any new area, which is not already
geomapped, is brought under the jurisdiction of a
particular municipality, it will be the duty of the
concerned Municipal Corporation to ensure that
geomapping of the area is conducted and the
geomapping records of such area are created at the
earliest.

24.3In cases where buildings are already existing
and it is alleged by the Municipal Corporation that
the building has been constructed in violation of
applicable laws:

24.3.1 The Commissioner/Competent Authority on
coming to know that an illegal building has been
constructed, shall issue a show cause notice giving
7 days in terms of Section 351 to the
owner/occupier/builder/contractor etc. Along with
this notice the Commissioner/Competent Authority
shall also send photographs and visual images
taken on the site clearly depicting the illegal
structure. Photographs and images should digitally
display the time and date of taking the photographs;

24.3.2 In case the notice is not replied to within the
time prescribed, i.e., 7 days, then the building shall
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be immediately demolished by the Municipal
Corporation;

24.3.3 In case the owner files a reply to the notice,
the Commissioner/Competent Authority of the
Municipal Corporation shall consider the reply and
pass a reasoned order thereon. In case the reply is
not found satisfactory then the order shall be
communicated in the manner laid down hereinafter
to the owner/occupier/builder/contractor etc. giving
him further 15 days’ notice before demolition of the
property. During this period the
owner/occupier/builder/contractor etc. can approach
the appellate/revisional authority or the High Court.

24.4In those cases where according to the
municipal corporation there is ongoing construction
which is being carried on in violation of the
applicable laws:

24.4.1 The Commissioner/Competent Authority on
coming to know that there is ongoing construction in
violation of the applicable laws shall issue a show
cause notice giving 24 hours in terms of Section 351
to the owner/occupier/builder/contractor/architect
etc. Along with this notice the
Commissioner/Competent Authority shall also send

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photographs and visual images taken on the site
clearly depicting the illegal structure. Photographs
and images should digitally display the time and
date of taking the photographs;

24.4.2. The Commissioner/Competent Authority can
also issue an interim ‘stop-construction’ order along
with the notice or any time after issuing the notice.

Such order shall also include the relevant pictures of
the alleged violation(s). Photographs and images
should digitally display the time and date of taking
the photographs;

24.4.3. In case the notice is not replied to within the
time prescribed, i.e., 24 hours, then the building
shall be immediately demolished by the Municipal
Corporation;

24.4.4. In case the owner/occupier/builder/
contractor/architect etc. files a reply to the notice,
the Commissioner/Competent Authority of the
Municipal Corporation shall consider the reply and
pass a reasoned order thereon. In case the reply is
not found satisfactory then the order shall be
communicated in the manner laid down hereinafter
to the owner/occupier/builder/contractor/architect
etc. giving him further 7 days’ notice before

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demolition of the property. During this period the
owner/occupier/builder/contractor/architect etc. can
approach the appellate/revisional authority or the
High Court.

24.5. In regard to service of notice we direct as
follows:

24.5.1. Wherever possible notice shall be served
personally on the person who is raising or has
raised the illegal structure including the
owner/occupier/builder/contractor/architect, etc.
24.5.2. Notice, in addition to the traditional mode,
can also be sent through electronic means, both by
email and by sending a message on the mobile
phones. Even a message to a foreman or person in
charge of the construction at the site will be deemed
to be sufficient notice.

24.5.3. In the notice, the municipal authorities shall
also give an email ID and phone number where the
noticee can send his reply through email or
messaging services. This will hopefully do away with
all disputes with regard to alleged non-service of
notice.”

emphasis applied by me

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21. In a recent judgment in the case of Zulfiquar Haider and

Another Vs State of Uttar Pradesh and others 17, the Hon’ble

Apex court was dealing with the high-handed and illegal

demolition of residential structures purportedly taken under

Section 27 of the Uttar Pradesh Urban Planning and

Development Act, 1973. The Hon’ble Apex Court observed that

the demolition order was not served upon the appellants and

was allegedly served by affixing only. It was further observed

that within 24 hours of the service of the communication, an

action of demolition was taken on a Sunday, depriving the

appellants of their opportunity to avail of the remedy of appeal

under sub-Section (2) of Section 27 of the 1973 Act. The

Hon’ble Apex Court relied upon the law laid down by the Apex

Court in the case of In Re : Directions in the matter of

demolition of structures18 in paragraph 91A of the said

judgment, which reads thus:

“91. At the outset, we clarify that these directions will not be
applicable if there is an unauthorized structure in any public
place such as road, street, footpath, abutting railway line or any

17 2025 SCC Online SC 766
18 2024 SCC Online SC 3291
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river body or water bodies and also to cases where there is an
order for demolition made by a Court of law.

A. NOTICE

i. No demolition should be carried out without a prior show
cause notice returnable either in accordance with the time
provided by the local municipal laws or within 15 days’ time
from the date of service of such notice, whichever is later.

ii. The notice shall be served upon the owner/occupier by a
registered post A.D. Additionally, the notice shall also be
affixed conspicuously on the outer portion of the structure in
question.

iii. The time of 15 days, stated herein above, shall start from
the date of receipt of the said notice.

iv. To prevent any allegation of backdating, we direct that as
soon as the show cause notice is duly served, intimation
thereof shall be sent to the office of Collector/District Magistrate
of the district digitally by email and an auto generated reply
acknowledging receipt of the mail should also be issued from
the office of the Collector/District Magistrate. The Collector/DM
shall designate a nodal officer and also assign an email
address and communicate the same to all the municipal and
other authorities in charge of building regulations and
demolition within one month from today.

v. The notice shall contain the details regarding:

a. the nature of the unauthorized construction.

b. the details of the specific violation and the grounds of
demolition.

c. a list of documents that the notice is required to furnish
along with his reply.

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d. The notice should also specify the date on which the
personal hearing is fixed and the designated authority
before whom the hearing will take place;

vi. Every municipal/local authority shall assign a
designated digital portal, within 3 months from today
wherein details regarding service/pasting of the notice,
the reply, the show cause notice and the order passed
thereon would be available.

(emphasis added)”

22. The Hon’ble Apex Court in the decision of Zulfiquar

Haider, thus held in paragraph 12 as under;

“12. The authorities, especially the development authority, must

remember that the right to shelter is also an integral part of

Article 21 of the Constitution of India. This right can be taken

away only by following due process of law. Moreover, our

country is governed by the rule of law, which is an integral part

of the basic structure of the Constitution. The residential

structures of citizens cannot be demolished in such a summary

manner without following the principles of natural justice. As

stated earlier, no efforts were made to make the personal

service of the show cause notice. Although the option of

sending it by registered post was available, it was not

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exercised. The same is the case with the order dated

8th January, 2021, directing the demolition. On the very day, it

was stated to be served by affixing. A copy thereof was not

sent by the registered post. Only the communication dated

1st March, 2021, was sent by the registered post, which was

served upon the appellants on Saturday, 6 th March, 2021.

Within twenty-four hours of the service of the said

communication, the structures were brazenly demolished.”

emphasis applied by me

23. In Kangana Ranaut’s decision, this court dealt with the

challenge to the notice issued under Section 354A of the said

Act and the speaking order. This court analysed the distinction

between the applicability of Sections 351 and 354A and

referred to the Circular dated 15 th March 2012 issued by the

corporation laying down the guidelines for the procedure to be

followed for action to be taken under the said two provisions.

By referring to the relevant procedure prescribed for taking

action under Section 354A, this court held that when the

concerned officer detects the unlawful work, he has to take

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photographs showing the date and status of the work and

prepare a Panchanama/Inspection Report of the work in

progress, then make an entry to that effect in detection register

and then prepare a notice under Section 354A of the said Act.

Thus, from the observations of this court, by referring to the

guidelines issued by the corporation, it is clear that satisfaction

of the Designated Officer about the unlawful work is necessary

before issuing notice under Section 354A, and the satisfaction

should reflect from the contents of the notice giving particulars

of the alleged unlawful work.

24. Therefore, considering the well-settled legal principles as

discussed above, the service of notice contemplated under

sub-section (1) of Section 354A must be served by tendering it

to the person/builder/contractor erecting the building or carrying

out the work or to the recorded owner at whose behest the

erection or work is carried out or to the occupier of the

offending structure/property. Considering the serious

consequences contemplated under sub-section (2) of Section

354A, the obligation of proper service of notice is upon the

Designated Officer by following the procedure prescribed under
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Section 485. Thus, all efforts must be made to first effect

service by a regular mode of personal service upon the person

carrying out the work, or the recorded owner or the occupier of

the offending structure/property. Only if the person carrying out

the work, or the recorded owner or the occupier of the

offending structure/property is not found, the personal service

can be effected on some adult member of their family or

servant of their family. Despite diligent efforts, if personal

service is not possible, only then can the alternate mode of

service, by pasting, be adopted. While adopting the alternate

mode of service by pasting, a panchanama/memorandum shall

be recorded in writing in the presence of witnesses. In case, a

reply is submitted in response to such notice served, the

Designated Officer shall consider the reply and documents, if

any and pass a reasoned order. If the reply is not satisfactory,

then the order shall be communicated to the

person/builder/contractor erecting the building or carrying out

the work or to the recorded owner at whose behest the erection

or work is carried out or to the occupier of the offending

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structure/property, giving seven days time, to enable him to

adopt appropriate remedy as permissible in law.

25. The decisions relied upon by the learned counsel for the

corporation in the cases of N.H. Harsora Pvt. Ltd., Shriram

Ramphal Patel and Akramal Najibul Sarkar are based on

different facts of the said cases and thus are not relevant to the

rival contentions in this case and the legal principles examined

in the present case.

26. In the decision of Abdul Razzaq Sunesra, this court

upheld the constitutional validity of Section 515A of the said

Act. This court, while dealing with the constitutional validity of

Section 515A regarding bar of civil court’s jurisdiction,

discussed the provisions of Section 351 and Section 354A and

referred to the decision of the Hon’ble Apex court in the case of

Muni Suvrat – Swami Jain S.M.P. Sangh. The Hon’ble Apex

Court in paragraph 57 of the judgment held that Section 351 of

the said Act obliges the Municipal Commissioner, if the

construction of any building or the execution of any work is

commenced contrary to the provisions of the Act, to give show

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cause as to why the construction should not be pulled down. It

is further held that if sufficient cause is not shown, the

Commissioner exercises the discretion to decide whether or

not to demolish the unauthorized construction, if satisfied that

the erection of the building or execution of the work has been

unlawfully commenced or is being unlawfully carried out.

Therefore, it was held that the High Court cannot impede the

exercise of that discretion by the issuance of a mandatory

order to demolish the construction.

CONSIDERATION OF SUBMISSIONS AND ANALYSIS:

27. In the present case, the suit notice dated 21 st October

2020 is addressed to “Owner/Occupier/Landlord/Tenant”

without naming any person; however, the address of the

building is mentioned. The contents of the notice appear to be

a standard format alleging that “you have unlawfully

commenced/been unlawfully carrying on, erection of

building/erection of work described in the schedule below

located at the above mentioned address”. The description of

the work in clause (1) of the schedule of the notice says that ;

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“Unauthorised reconstruction of Building by using RSJ section,

Ladi Coba slab and brick masonry wall’ without permission

from the competent authority”.

28. A plain reading of clause (1) in the schedule indicates

that the allegation is of unauthorised reconstruction of the

building. The sketch in the schedule depicts the entire building.

The other clauses in the schedule are an intimation of the

proposed action as contemplated under sub-section (2) of

Section 354A. The speaking order is passed on 15 th March

2022, after seventeen months from the date of the stop-work

notice. The speaking order addressed to “Owner/Occupier”

refers to letters dated 23rd July 2021, 4th August 2021, 13th

October 2021 and 14th December 2021 in reply to the suit

notice. After recording particulars of documents in a tabular

format, the conclusions in the last two paragraphs record that

though the notice was alleging reconstruction of the building,

after going through the work order and repair plan of MHADA, it

can be concluded that the construction above 5th floor is

unauthorised.

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29. A plain reading of the conclusions recorded in the

speaking order indicates that the Designated Officer was

satisfied that there was no reconstruction of the building as

alleged in the notice. The Designated Officer, on verifying the

work order and repair plan of the Executive Engineer of the

MHADA board, concluded that the construction above the 5 th

floor was unauthorised. However, in the last paragraph, it was

observed that the notice work was unauthorised. Thus, the

contents of the notice and the speaking order neither reflect

application of mind nor satisfaction based on any reasons that

any unlawful work was carried out.

30. The plaintiffs’ contentions are basically twofold: first, that

the building has been in existence since before 1958 and that

only repair work was carried out, and second, that the notice

was not served upon the plaintiffs. The plaint contains detailed

pleadings regarding the use of the suit structure since before

1958 as a tenant. The plaintiffs relied upon various documents,

including rent receipts, to support their contention that their

structures, which have existed since before 1958, are situated

on the 6th floor and the 7th floor, which is an attic floor. The
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plaintiffs have produced on record copies of a notice dated 9 th

May 1994 issued by the corporation under Section 351 of the

said Act alleging that the 6 th floor of the building is

unauthorised, a reply to the said notice and a letter dated 12 th

July 1994 issued by the corporation intimating that the notice is

dropped. The plaintiffs have pleaded regarding the various

permissions of competent authorities regarding the building to

support their contentions that the building always existed and

only repair work was carried out. The plaintiffs also pleaded

that due to major repair work carried out and due to the Covid-

19 pandemic, they could not live in their respective suit

structures due to their old age and thus were required to shift to

their relative’s place temporarily upto March 2022. They further

pleaded that only on 29 th April 2022, they learnt about the

notice and the speaking order, when the demolition was

scheduled with police protection. Hence, it appears that

sometime in April 2022, the suit was filed to challenge the

notice and the speaking order. The plaintiffs also prayed for a

temporary injunction to protect the suit structures from

demolition.

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31. In response to the plaintiffs’ pleadings, the corporation

contended that due procedure was followed before issuing the

notice and the speaking order and that the plaintiffs failed to

produce any evidence regarding any permissions. It was

pleaded that the notice was served upon the addressee on 23 rd

October 2020, and the receipt was acknowledged. The

corporation referred to a joint inspection with MHADA officials,

work order and repair permissions and the record regarding

assessment to contend that the building was only of ground

plus four floors. It is further pleaded that the inspection

conducted on 11th May 2021 and 5th August 2021 revealed that

construction above the 5th floor was in progress; hence,

demolition was carried out on various dates from 24 th May 2021

to 11th January 2022 by making the 6th floor unserviceable.

32. It is necessary to examine the pleadings in detail, which

refer to a suit filed by another occupant and an interim relief

passed in that suit on 29 th July 2021, directing the corporation

to pass a speaking order. It is thus contended that thereafter,

the speaking order was passed on 15 th March 2022. The

corporation has also relied upon an Order dated 6 th April 2022
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passed by this Court in Appeal From Order No. 305 of 2022

arising from an interim order passed in another suit by an

occupant of the 2nd floor. This court disposed of the appeal by

recording the statement on behalf of the corporation that the

structure on the 2nd floor was not covered under the notice and

the speaking order.

33. Section 354A deals with a notice to stop the ongoing

work, whereas Section 351 deals with a show cause notice for

demolition of unauthorised constructions. Thus, there is a

distinction between the applicability of these sections. Hence, I

do not find any substance in the arguments of the learned

counsel for appellants that if immediate action is not taken

pursuant to the notice under sub-section (1), and the

construction is complete or the alleged construction or work is

not found to have been continued, the provision of Section 351

of the said Act will come into play, and the notice under Section

354A cannot be pursued further. The consequential action for

non-compliance with the notice under sub-section (1) is

provided under sub-section (2) of Section 354A.

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34. However, in the present case, the corporation contends

that demolition work was done well before the passing of the

speaking order. Therefore, it is clear that the powers under

sub-section (2) of Section 354A were exercised by the

Designated Officer without following the principles of natural

justice. The stop-work notice under sub-section (1) is dated 21 st

October 2020, alleging that there is unauthorised

reconstruction of the building. The corporation pleads about

site inspection on 11th May 2021 and then on 5th August 2021,

which, according to the corporation, showed construction in

progress above the 5th floor. According to the corporation, the

first demolition was carried out on 25 th May 2021, much before

the speaking order dated 15th March 2022. The speaking order

records that the building, upto the fifth floor, is authorised. No

material was produced to indicate that proper service of the

stop-work notice was done on the person carrying out the

alleged unlawful work, the owner, or the occupier. No material

was produced to indicate that the satisfaction contemplated

under sub-section (1) was recorded before the stop-work notice

was issued. The contention that demolition was carried out

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even before a speaking order indicates non-application of mind

in as much as the notice alleges reconstruction of the building

and the speaking order records a conclusion that the building

upto the fifth floor is authorised. Thus, prima facie, neither

satisfaction as contemplated under sub-section (1) is seen

before issuing the stop-work notice, nor are the principles of

natural justice followed by proper service of notice.

35. The impugned judgment and order does not deal with the

basic principles of prima facie case, irreparable loss and

balance of convenience. The learned trial judge has not even

referred to whether the basic requirements are satisfied,

justifying the action under Section 354A. The learned Judge

relied upon the observations of this Court while rejecting the

appeal filed by the plaintiffs to challenge the refusal to grant ad-

interim protection. The learned trial judge did not examine the

material on record on the ground that the trial court and this

court at the ad-interim stage have already dealt with the

documents relied upon by the plaintiffs. In my view, the learned

trial judge erred in completely ignoring that the scope at the

stage of considering ad-interim relief and the scope at the time
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of final hearing of the application for interim relief are different.

Thus, refusal to grant ad-interim relief is no ground to deny

interim relief, if the case is made out in law to grant interim

relief.

36. Learned counsel for the corporation relied upon an order

in the case of Tushar Guru Salien, which is an order in a Public

Interest Litigation concerning grievances about the gross

unauthorized constructions and ad-interim protection granted in

the pending suits. The Hon’ble Division Bench of this court in

the PIL, therefore, clarified the legal position in paragraph 5,

which reads as under:

“5] Concerning a property, a suit to enforce or protect an

interest in the property which is governed by a Municipal

Statute, the interest protected has to be with respect to a plea

that prim-facie, the structure which is being targeted is an

authorized structure. Meaning thereby, the plaint must make an

averment of the sanction obtained from the Corporation and

must make an averment that the structure targeted is prima-

facie governed by the sanction. Merely pointing out deficiencies

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in the notice or the authority of the person issuing the notice is

neither here nor there. Thus, the sine qua non of such kinds of

suits is a positive assertion made with reference to the

sanctioned building plans.”

37. In the present case, there is strong, prima facie, material

on record to show that the suit structures existed since before

1958. The detailed pleadings by the plaintiffs and the material

on record further reveal various orders of competent authorities

regarding the building, including the repair permission by

MHADA and the work order for extensive repairs. In the

speaking order, the Designated Officer has not dealt with the

notice of 1994 under Section 351 of the said Act, the reply and

the corporation’s letter intimating that the notice is dropped,

only on the ground that the same is not available in the

corporation’s record. The learned trial judge also did not

consider the said documents on the ground that at the ad-

interim stage, the same was considered by the trial court and

this court while refusing to grant ad-interim relief. Thus,

considering the plaintiff’s pleadings and the strong prima facie

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material produced on record by the plaintiffs, they would be

entitled to interim protection.

38. Learned counsel for the corporation referred to the order

dated 29th July 2021, passed by the trial court in Suit St. No.

5604 of 2021, filed by another occupant of the same building,

challenging the suit notice. The trial court directed the

Designated Officer to follow the due process of law, consider

the reply and documents of the plaintiff in that suit and pass a

final speaking order on the notice dated 21 st October 2020,

which is the same notice impugned in the present case. The

trial court further directed the parties to maintain the status quo

in the meantime. It is pertinent to note that when the said order

was passed on 29th July 2021, the corporation did not contend

that any demolition work had already been carried out in May

2021, as sought to be contended in the present case.

39. Disputed facts are involved regarding the extent of

demolition work. However, by relying upon the demolition

reports and the attached photographs, it is contended by the

corporation that demolition work above the 5 th floor was carried

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out by making the 6th floor unserviceable. Thus, according to

the corporation, demolition was done by making the 6 th floor

unserviceable. No valid material is produced to indicate that

demolition was done after following the due procedure. The

material on record does not show that the principles of natural

justice were followed by service of necessary notice as

discussed in the above paragraphs. Thus, prima facie,

demolition work undertaken by the corporation is illegal.

40. The conclusions on the legal principles to be followed for

taking action under Section 354A of the said Act are

summarised as below;

a) When the concerned officer detects unlawful work, he

has to take photographs showing the date and status of

the work, prepare a Panchanama/Inspection Report of

the work in progress, make an entry to that effect in the

detection register, and prepare a notice under sub-

section (1) of Section 354A of the said Act.

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b) The contents of the notice under sub-section (1) must

indicate that the concerned officer is satisfied about the

alleged unlawful work, warranting a stop-work notice. The

stop-work notice under sub-section (1) of Section 354A

must contain particulars of the alleged unauthorised

work.

c) Before initiating the action as contemplated under sub-

section (2), the principles of natural justice must be

followed by giving an opportunity to show cause why the

action as contemplated under sub-section (2) should not

be taken. Therefore, the service of notice contemplated

under sub-section (1) of Section 354A must be served by

tendering it to the person/builder/contractor erecting the

building or carrying out the work or to the recorded owner

at whose behest the erection or work is carried out or to

the occupier of the offending structure/property.

d) Considering the serious consequences contemplated

under sub-section (2) of Section 354A, the obligation of

proper service of notice is upon the Designated Officer by

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following the procedure prescribed under Section 485.

Thus, all efforts must be made to first effect service by a

regular mode of personal service upon the person

carrying out the work, or the recorded owner or the

occupier of the offending structure/property. Only if the

person carrying out the work, or the recorded owner or

the occupier of the offending structure/property is not

found, the personal service can be effected on the some

adult member of their family or servant of their family.

Despite diligent efforts, if personal service is not possible,

only then can the alternate mode of service, by pasting,

be adopted. While adopting the alternate mode of service

by pasting, a panchanama/memorandum shall be

recorded in writing in the presence of witnesses.

e) In case, a reply is submitted in response to such notice

served, the Designated Officer shall consider the reply

and documents, if any and pass a reasoned order. If the

reply is not satisfactory, then the order shall be

communicated to the person/builder/contractor erecting

the building or carrying out the work or to the recorded
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owner at whose behest the erection or work is carried out

or to the occupier of the offending structure/property,

giving seven days time, to enable him to adopt

appropriate remedy as permissible in law.

f) Demolition work, if any, carried out, should be supported

by the necessary record showing that the panchamna

and the Inspection Report were prepared and the

procedure prescribed by the directions issued in the

Hon’ble Apex court’s decision in the case of Re:

Directions in the matter of demolition of structures is

followed.

41. One of the cardinal principles for the grant of a temporary

injunction is satisfaction of the court that non-interference

would result in “irreparable injury” to the party seeking relief

and that there is no other remedy available to the party except

one to grant injunction and he needs protection from the

consequences of apprehended injury or dispossession. In the

present case, if an interim injunction is not granted, the

plaintiffs would be deprived of their fundamental right of

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residence, which cannot be adequately compensated by way of

damages. The condition of the balance of convenience also

favours granting the injunction, in as much as refusal may

result in complete demolition of the plaintiffs’ residential

structures. There is ample prima facie material to support the

plaintiffs’ contentions, which they would be able to prove by

leading evidence. Thus, when competing possibilities and

probabilities of likelihood of injury are weighed, the suit

structures should be maintained in the status quo. Thus, this is

a fit case to exercise the discretion in granting the interim

injunction pending the suit.

42. However, considering the disputed questions on facts

regarding the extent of the demolition work carried out, at this

stage, an injunction cannot be granted as prayed. However, the

plaintiffs are entitled to interim protection by restraining the

corporation from carrying out any further demolition. At the

same time, the plaintiffs also cannot change the status of the

suit structures.

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43. Hence, for the reasons recorded above, the Appeal is

allowed by passing the following order:

a) The impugned judgment and order dated 23 rd August

2024 passed by the learned Judge of the City Civil Court,

Greater Bombay in Notice of Motion No. 1822 of 2022 in

L.C.Suit No. 4165 of 2024 is quashed and set aside.

b) During the pendency of the suit, no further demolition of

the plaintiffs’ structures shall be carried out.

c) During the pendency of the suit, the plaintiffs shall not

make any changes or modifications to the suit structures

or carry out any construction without permission from the

trial court.

d) Notice of Motion No. 1822 of 2022 in L.C.Suit No. 4165 of

2024 is disposed of in the above terms.

(GAURI GODSE, J.)
Digitally
signed by
VARSHA VARSHA VIJAY
RAJGURU
VIJAY Date:

RAJGURU 2025.06.09
19:00:14
+0530

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