Supreme Court of India

Gainda Ram & Ors vs M.C.D. & Ors on 9 April, 2009

Supreme Court of India
Gainda Ram & Ors vs M.C.D. & Ors on 9 April, 2009
Author: . M Sharma
Bench: S.B. Sinha, Mukundakam Sharma
                                                                    REPORTABLE

                IN THE SUPREME COURT OF INDIA
                 CIVIL APPELLATE JURISDICTION

           I.A.No. 1 in I.A. No. 407 in W.P.(C) No. 1699/1987

PATRI VYAPAR MANDAL DELHI (REGD)                     ......Petitioner(s)

                               VERSUS

M.C.D. TOWN HALL & ORS.                              ......Respondent(s)

                                WITH

I.A.No.1 & C.P.(C) No. 170/2007 in I.A. No. 394 in I.A. No. 356 in WP(C)
                            No. 1699/1987

 CONTEMPT PETITION (CIVIL) No.323/2007 in WP(C) No. 1699/1987

                                WITH

                 I.A. No. 366 in W.P.(C) No. 1699/1987

                 I.A. No. 367 in W.P.(C) No. 1699/1987

            CONTEMPT PETITION (CIVIL) No. 126/2001

                 I.A. No. 361 in W.P.(C) No. 1699/1987

              I.A. Nos. 372-373 in W.P.(C) No. 1699/1987

                 I.A. No. 389 in W.P.(C) No. 1699/1987

                 I.A. No. 392 in W.P.(C) No. 1699/1987

                                WITH

                         W.P.(C) No. 535/2001



                              Page 1 of 20
                        W.P.(C) No. 240/2004

             I.A. Nos. 397-398 in W.P.(C) No. 1699/1987

        I.A. No. 399 in I.A. No. 394 in W.P.(C) No. 1699/1987

                I.A. Nos. 1-2 in W.P.(C) No. 100/2002

I.A.No..../2005 in I.A.No. 394 in I.A.No. 356 in W.P.(C) No. 1699/1987

I.A.No..../2005 in I.A.No. 394 in I.A.No. 356 in W.P.(C) No. 1699/1987

                I.A. No.400 in W.P.(C) No. 1699/1987

                                WITH

           I.A. No.401 in I.A. No. 396 in C.P. No. 506/2002

                                WITH

                   I.A. No..... in C.P. No. 506/2002

                I.A. No.402 in W.P.(C) No. 1699/1987

                                WITH

                        W.P.(C) No. 414/2006

                                WITH

                I.A. No.403 in W.P.(C) No. 1699/1987

                                WITH

                I.A. No.404 in W.P.(C) No. 1699/1987

                                WITH

                I.A. No.406 in W.P.(C) No. 1699/1987



                             Page 2 of 20
                                  WITH

               I.A. Nos.408-409 in W.P.(C) No. 1699/1987

                  I.A. No.410 in W.P.(C) No. 1699/1987

                                  WITH

   CONTEMPT PETITION (CIVIL) No.183 in W.P.(C) No. 1699/1987

                                  WITH

      C.P. (C) No.......(D. No.4361/2009) in W.P.(C) No. 1699/1987


                                 ORDER

Dr. Mukundakam Sharma, J.

1. By this common order we propose to dispose of various applications

filed by the parties hereto including the one which has been filed by the

Municipal Corporation of Delhi (in short the `MCD’).

2. Delhi being the capital of India has many peculiar problems. One of the

problems is naturally its population which has increased manifold

obviously due to influx of people from various regions and States

looking for new openings and avocations. Space availability in Delhi is

very limited and within that limited space available at its disposal the

municipalities namely the MCD and the New Delhi Municipal

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Corporation (in short the `NDMC’) have to manage all their activities

including functioning of the markets at different places.

3. Limited space available for effective functioning of markets including

accommodation available for the squatters and hawkers to carry on their

small business has been receiving attention of this Court for quite a long

time. In that regard, several orders have been passed by this Court from

time to time. Pursuant to such orders of this Court the MCD as well as

the NDMC have framed Schemes for running of the business by the

squatters/hawkers. In response to the Schemes, nearly 85,000 people

applied for allotment of spaces within the MCD area and about 10,000

people applied for such allotment within the NDMC area seeking

settlement of the tehbazari rights under the Schemes as formulated by the

MCD and the NDMC. Due to want of space only about three thousand

of such applicants out of the aforesaid applications received could be

allotted spaces by the concerned authorities.

4. So acute was the dissatisfaction with the process followed by municipal

authorities that several complaints were filed in the Court raising

numerous objections against the manner in which the MCD tried to

implement the Schemes.

Page 4 of 20

5. Under the Schemes formulated by the MCD and the NDMC hawking

and non-hawking areas have been demarcated and the hawkers/squatters

were to be located only in demarcated hawking zones in accordance with

the priorities mentioned in the Schemes.

6. In the last few years a clearance operation was being carried out for the

purposes of widening roads and decongesting crowded areas which

affected a large proportion of genuine vendors who were either removed

or dislocated for one reason or the other. In some cases possession was

not given and in some other cases those persons, who were entitled to

settlement under the Schemes have a grievance that their matters

remained pending and no orders have been passed granting them relief.

Consequent thereupon, a large number of applications were filed by the

concerned authorities and aggrieved parties in which general directions

were issued by this Court from time to time.

7. In the meantime, a Scheme called the “National Policy on Urban Street

Vendors” (for short the `NPSV/Scheme’) was formulated by the

Government of India in the year 2004 which the MCD has agreed to

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implement in principle. In accordance with the said Scheme, Ward

Vending Committees have been constituted in all the 134 Wards of the

MCD. These committees were charged with the duties of identifying the

sites, declaring hawking and non-hawking zones in consultation with

various stakeholders like Vendors/Trader’s Associations, Resident

Welfare Associations, Traffic Police etc. in accordance with the relevant

Rules. In addition to this, Zonal Vending Committees have also been

constituted in all the 12 Zones.

8. According to the NPSV the total vending sites would not exceed 2.5% of

the total population of that particular Ward/Zone based on the Census

2001 which is consistent with the policy framed for the purpose and

about 3 lakh hawkers/squatters could be accommodated including

existing tehbazari/vending sites. It was proposed in the Scheme that the

rights of those hawkers/squatters already granted valid licenses under the

Schemes finalized by the MCD would not be affected and that whatever

action could be taken in the near future would be based in terms of the

Scheme. It was decided that in executing the Scheme preference would

be given to those squatters/hawkers eligible for allotment under the

existing scheme based on their seniority and priority of claim.

Page 6 of 20

9. When the matter came up before this Court on 06.02.2007, all aspects of

the NPSV were fully discussed. Certain suggestions were made in the

Court by the various parties which the Court found acceptable and in that

regard directions were issued to the MCD to consider whether those

suggestions could be incorporated in the Scheme. The MCD found the

suggestions acceptable and has submitted a Scheme incorporating those

suggestions. Now the Scheme envisages identification of

squatting/vending areas by the Ward Vending Committees which was to

be approved by the Zonal Vending Committees which is also empowered

to make necessary changes and make allotments accordingly.

10. In the said order dated 06.02.2007 reference was made to the fact that the

tehbazari/vending sites would remain the property of the MCD.

However, mutation in case of death or permanent insanity of the allottee

would be allowed. It was provided that transfer/mutation in the event of

change of hands or exchange would be permissible subject to the charges

as approved by the MCD from time to time. It was also provided that

tehbazari/vending sites would measure 6 ft. x 4 ft. and open to sky and

that no permanent structure would be allowed to be raised. It was also

held that if it is found that any change or alteration in structure has been

made by the allottee, his licence would be cancelled. It was ordered that

Page 7 of 20
all the existing allottees as per the old Schemes would continue and only

thereafter, the cases of others would be considered in accordance with

the preference as provided in the said sub-paragraph but that would not

preclude the shifting of an allottee from one site to another consistent

with the norms of the NPSV which provided that the eviction should be

avoided wherever feasible unless there is clear and urgent public need of

the land in question.

11. Broad guidelines were issued by this Court in the said order as to what

would be the further conditions to be incorporated in the Scheme which

were so incorporated. However, the said Scheme proposed by the MCD

was not found to be satisfactory by some of the parties due to various

reasons due to which objections were raised in respect of some of the

clauses in the said Scheme. This Court considered the said objections

and after detailed discussion and subject to certain modifications as

outlined in the order passed by the Court, the Scheme submitted by the

MCD in regard to the tehbazari/vending sites was approved.

12. Ms. Indira Jaising, learned senior counsel appearing on behalf of Self

Employed Women Association (SEWA) put forward a strong claim for

establishment of weekly markets in various areas. This Court heard the

Page 8 of 20
said suggestions very carefully and after full deliberation held that the

Court cannot issue direction to declare weekly market in a particular area

for such matter is to be exclusively considered by the MCD. So far as

the suggestion for giving preference to women vendors in the allotment

of tehbazari/vending sites is concerned, it was held that the same is again

a matter of policy and, therefore, it was observed that in planning

markets in the city, the MCD may consider whether some space would

be made available to women vendors and whether they may be allotted

tehbazari/vending sites adjacent to each other in a Block.

13. A further submission was made before the Court that the Schemes which

have been approved by the Court should be subject to such Act or Rules

that may be formulated in consonance with the NPSV. The Court in that

regard made it clear that it had only approved the Schemes as framed by

the MCD and the NDMC and that if the Legislature intervenes and

frames another Scheme or Regulation governing such Scheme that would

certainly supersede the Schemes formulated by the MCD for it is well

settled that any administrative action is always subject to such law that

may be framed by the competent Legislature. It was observed by the

Court while passing the said order that since the NPSV have been

formulated, the concerned authorities would have due regard to it in

Page 9 of 20
regulating tehbazari/vending sites etc. In the orders subsequent thereto

this Court desired that the MCD and the NDMC would submit a separate

status report along with charts in regard to the implementation of the

Schemes not only in general but also with reference to the pending

applications.

14. Pursuant to the aforesaid order passed, the MCD filed a detailed affidavit

on 19.04.2008 giving the said status report regarding the implementation

and progress of the new Scheme. The MCD also filed an application

dated 09.05.2008 seeking appropriate directions from this Court in

regard to certain difficulties being faced by them in implementing the

Scheme. In the said application four principal difficulties have been

pointed out. The first issue which is raised is that the Government of

India has issued an Ordinance in 2007 which was later converted into an

Act known as Delhi Laws Special Provisions Act, 2007 (for short the

`Delhi Act’) which restrains removal action inter alia against

unauthorized squatters/vendors up to 31.12.2008. It was stated that the

applicability of the Delhi Act has been extended for another one year and

an appropriate legislation in that regard has been passed by the

Parliament.

Page 10 of 20

15. In view of the aforesaid position it is pointed out that a problem is being

created for settlement of eligible squatters as some of the sites have been

occupied by unauthorized vendors who are entitled to protection under

the provisions of the Delhi Act. It is next pointed out that for settlement

of squatters/street vendors, there is hardly any footpath which has a

width of 9 ft. providing 5 ft. for the pedestrians and 4 ft. for the hawkers

along the roads and as such, a difficulty has arisen to adjust the eligible

applicants on the footpath and also for identification of new squatting

and vending areas for them. It was, therefore, suggested by the MCD in

the said application that it may be permitted to identify the sites for

squatting/vending areas on the footpath having less than 9 ft. width and

for that purpose the open space on the footpath may be reduced from 5 ft.

to 3 ft. It was pointed out that if such an order is not passed the number

of new sites identified/to be identified would not exceed 20,000. The

third aspect on which emphasis was placed by the MCD was that this

Court in its earlier orders has barred transfer of sites. It was pointed out

that most of the existing tehbazari sites have been sold by their original

allottees to others who are in possession of the sites as on date. It was

also pointed out that in most cases the existing occupants of the allotted

sites did not apply pursuant to the advertisement which was issued by the

Page 11 of 20
MCD and also in the format which was approved by this Court. Lastly,

it was pointed out that in many cases the tehbazari holders have made

additions/alterations and even encroached the adjoining area thereby

enlarging the size of the tehbazari which is now fixed at 6 ft. x 4 ft. and

even in some cases, making it double storey instead of single storey/open

to sky or closed. Therefore, it was proposed in the said application that

the MCD may be allowed to bring the old tehbazari sites into 6 ft. x 4 ft.

with an aesthetic design and to take action against encroachers/violators

in order to bring these tehbazaris to a uniform size and manner.

16. Applications were also filed by the other parties. Mr. Prashant Bhushan,

learned counsel appearing for National Association of Street Vendors of

India (NASVI) while supporting his application which is registered as

I.A. No. 404 in W.P. (C) No. 1699 of 1987 submitted that mobile

hawkers should be allowed to replace unauthorised hawkers and that the

width of the footpath should be left to be determined by the Ward

Vending Committees. He further submitted that the meetings of the

Ward Vending Committees should be more transparent and advance

notice of such meetings should be given to all concerned particularly to

its members. He also submitted that the applications for granting

Page 12 of 20
tehbazari sites are not being considered but instead the authorities have

started the eviction process.

17. Ms. Geeta Luthra, learned counsel appearing for Manushi Sangathan

made submission that there should be a photo census of all the squatters

and hawkers so as to avoid all illegal transfers of such sites in future.

She also referred to the NPSV and particularly to paragraph 3.1. of the

said Policy which gives vendors a legal status by amending, enacting,

repealing and implementing appropriate laws and providing legitimate

hawking zones in urban development/ zoning plans.

18. Mr. R.K. Khanna, the learned counsel appearing for the NDMC

submitted that so far as NDMC is concerned it does not want the area

and width of the footpath to be changed or reduced. He also submitted

that they have granted tehbazari licence in accordance with the existing

rules/Schemes.

19. So far I.A. No. 1 in I.A. No. 407 in W.P. (C) No. 1699 of 1987 is

concerned, orders were already passed in the said application

on 05.03.2009.

Page 13 of 20

20. In view of the aforesaid position we are required mainly to deal with the

contentions raised by Mr. Ravishankar Prasad, learned senior counsel

appearing for the MCD in respect to the application filed by the MCD

whereby they have sought for certain clarifications and also with the

contentions raised by Ms. Indira Jaising, Mr. Prashant Bhushan and

Ms. Geeta Luthra.

21. So far the contentions of Ms. Indira Jaising are concerned, the said

contentions with regard to the establishment of weekly markets and

giving preference to women vendors in the matter of allotment of

tehbazari/vending sites have already been dealt with and orders in that

regard have been passed by this Court in the order dated 17.05.2007. It

is established from the records and the statements made before us that

the Ward Vending Committes numbering 134 as also the Zonal Vending

Committes numbering 12 have already been constituted. The Appellate

Committee to be presided over by a retired High Court Judge in terms of

the orders of this Court has also been constituted. It is an admitted

position that no Act or Rules have been framed so far by the Legislature

in consonance with the NPSV. Therefore, orders in the manner of

administrative action could be issued subject to law that may be framed

by the competent Legislature.

Page 14 of 20

22. With regard to the contentions raised by the MCD regarding reduction of

the width of the footpath for pedestrian from 5 ft. concerned, in our

considered opinion, no direction in that regard could be passed by this

Court. There could be some areas where 5 ft. width of the footpath for

the use of pedestrian could be necessary depending on overflowing

members using it whereas in some other places width of 5 ft. for a

footpath and 4 ft. width for hawkers may not or could not be made

available due to various practical reasons. It is also not possible for us to

consider reduction of width of such footpath for we are unaware of the

existing condition of the footpaths of the various areas in Delhi.

Therefore, we do not intend to pass any such orders without there being

some concrete materials for such modification. We, however, leave the

matter to be considered by the Zonal Vending Committes. At one stage

we considered to leave the matter to be considered by the Ward Vending

Committees which are 134 in number but the volume being too large we

think it fit to leave it to the Zonal Vending Committees to do such

exercise as to whether in any particular area, the area of the actual

footpath being used by pedestrian could be reduced from 5 ft. to a lesser

area so as to make the balance area available to accommodate more

hawkers. While making a study in that regard the Zonal Vending

Page 15 of 20
Committee shall consider all factors including the interest and the

requirement of the pedestrian using the footpath in a particular area. The

said Zonal Vending Committee after making proper and appropriate

study of the prayer for reduction of the width of the footpath for the

pedestrian would submit their report to this Court within three months

from the date of receipt of a copy of this order whereupon appropriate

orders shall be passed in that regard.

23. So far the prayer of the MCD with regard to the transfer of

tehbazari/vending sites to the non-family members as per the Scheme of

the MCD is concerned, this Court passed an order dated 06.02.2007

barring transfer of tehbazari/vending sites which was reiterated in the

order dated 17.05.2007. The said orders were meant to be prospective in

nature and, therefore, if any such tehbazari/vending sites were

transferred prior to 06.02.2007 the same could be considered as a valid

transfer. But, in any case, no transfer made after 06.02.2007 by way of

change of hands, sale etc. would be allowed and any such transfer, if

made, would be illegal. Persons found to have been transferred their

tehbazari/vending sites after 06.02.2007 could be evicted as per the due

process of law. We believe that the aforesaid order which we have

passed with a cut of date of 06.02.2007 directing for legalizing any

Page 16 of 20
transfer made prior to 06.02.2007 and declaring all subsequent transfers

as illegal and invalid would likely to cause the process of allotment of

new tehbazari/vending sites smooth and easy.

24. So far the contention with regard to applicability of the Delhi Act is

concerned, the same lapsed on 31.12.2008 and was subsequently

extended till December, 2009. Needless to say, the said law will have to

be given effect to as it is a Central law and would definitely have

primacy over the administrative orders. The provisions of the Delhi Act

have to be implemented and, therefore, none of the orders passed by us

would be deemed to have been passed in derogation or contrary to the

provisions of the Delhi Act.

25. We observe that when the Ward Vending Committees hold their

meeting, advance notice thereof with sufficient time should always be

given to its members and the minutes of the said meeting shall be

recorded and record thereof shall be maintained.

26. With regard to the suggestion that is given by Manushi Sangathan

regarding maintaining a photo census of all the squatters and hawkers

allotted with the tehbazari/vending sites, we find that the said suggestion

Page 17 of 20
is fair and reasonable and many problems being faced by the MCD

regarding illegal transfer, sale etc. would be taken care of if a photo

census of all the squatters and hawkers given the tehbazari/vending sites

is made compulsory and properly maintained. We direct MCD to take

immediate steps for carrying out photo census of all the existing

squatters and hawkers allotted with tehbazari/vending sites. The photo

census shall be compulsory for all future allotment also, if any. MCD

shall also maintain proper records of the photo census.

27. So far as the establishment of the weekly markets and giving preference

to women vendors are concerned, this Court has already taken notice of

the said submissions and has passed effective orders in that regard. We

make it clear that it is for the MCD to consider the aforesaid request and

to take appropriate decisions in that regard for we do not intend to pass

any such order as the same is, in our considered opinion, in the domain

of policy decision.

28. In terms of the aforesaid order the applications registered as I.A.No. 1 in

I.A. No. 407 in W.P.(C) No. 1699/1987 with I.A.No.1 & C.P.(C)

No. 170/2007 in I.A. No. 394 in I.A. No. 356 in W.P.(C) No. 1699/1987,

Contempt Petition (Civil) No.323/2007 in W.P.(C) No. 1699/1987 with

Page 18 of 20
I.A. No. 366 in W.P.(C) No. 1699/1987, I.A. No. 367 in W.P.(C) No.

1699/1987, Contempt Petition (Civil) No. 126/2001, I.A. No. 361 in

W.P.(C) No. 1699/1987, I.A. Nos. 372-373 in W.P.(C) No.

1699/1987, I.A. No. 389 in W.P.(C) No. 1699/1987, I.A. No. 392 in

W.P.(C) No. 1699/1987 with W.P.(C) No. 535/2001, W.P.(C) No.

240/2004, I.A. Nos. 397-398 in W.P.(C) No. 1699/1987, I.A. No. 399 in

I.A. No. 394 in W.P.(C) No. 1699/1987, I.A. Nos. 1-2 in W.P.

(C) No. 100/2002, I.A.No…./2005 in I.A.No. 394 in I.A.No. 356 in W.P.

(C) No. 1699/1987, I.A.No…./2005 in I.A.No. 394 in I.A.No. 356 in

W.P.(C) No. 1699/1987, I.A. No.400 in W.P.(C) No. 1699/1987 with

I.A. No.401 in I.A. No. 396 in C.P. No. 506/2002 with I.A.

No….. in C.P. No. 506/2002, I.A. No.402 in W.P.(C) No. 1699/1987 with

W.P.(C) No. 414/2006 with I.A. No.403 in W.P.(C) No. 1699/1987

with I.A. No.404 in W.P.(C) No. 1699/1987 with I.A. No.406 in W.P.(C)

No. 1699/1987 with I.A. Nos.408-409 in W.P.(C) No. 1699/1987,

I.A. No.410 in W.P.(C) No. 1699/1987 with Contempt Petition (Civil)

No.183 in W.P.(C) No. 1699/1987 with C.P. (C) No…….(D.

No.4361/2009) in W.P.(C) No. 1699/1987 are disposed of.

………………………..J.

[S.B. Sinha]

Page 19 of 20
…………………………J.

[Dr. Mukundakam Sharma]

New Delhi,
April 9, 2009

Page 20 of 20