Supreme Court uphled the GIFTING OF OSR LAND as per Rule 19 of the DCR is statutory in nature; and Rule 19 is not ultra vires the Act; – (challenging the DB Judgment Reported in 2008(2)CTC 42) in CIVIL APPEAL No. 1890-91 of 2010 – order dated 13.02.2023 – THE UPSHOT OF THE ABOVE DISCUSSION: 178. The upshot of the above discussion may be summedup as follows: I. Rule 19 of the DCR, which is impugned, is statutory in nature;

[2/13, 19:27] Madurai High Court Gurusamy: Supreme Court uphled the GIFTING OF OSR LAND as per Rule 19 of the DCR is statutory
in nature; and Rule 19 is not ultra vires the Act; – (challenging the DB Judgment Reported in 2008(2)CTC 42) in CIVIL APPEAL No. 1890-91 of 2010 – order dated 13.02.2023 – THE UPSHOT OF THE ABOVE DISCUSSION:
178. The upshot of the above discussion may be summedup as follows:
I. Rule 19 of the DCR, which is impugned, is statutory
in nature;
II. Rule 19 is not ultra vires the Act;
III. The impugned Regulation is not ultra vires the Act;
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IV. Neither the impugned Rule nor the Regulation
violates Article 14 of the Constitution of India;
V. The impugned Rule/Regulation does not violate
Article 300A of the Constitution of India;
VI. The areas covered by the OSR cannot be diverted
for any other purpose. The respondents are dutybound to ensure that the area set apart as OSR is
stringently utilised only for the purpose in the
Rule/Regulation. We direct that no area meant for
OSR shall be utilised as dumping yards or any other
purpose other than as OSR;
VII. As far as Civil Appeal Nos. 1890-1891 of 2010 are
concerned, we are of the view that in view of the
fact that there appears to have been a kachha road,
even at the time of the gift executed as early as
in February, 1994 and it was being used as a road
by large numbers of members of the public to
reverse the position on the ground, may produce a
great deal of injustice, which we would avoid by
resorting to the principle enunciated in the
decision of this Court referred to in
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Taherakhatoon (D) By LRs. v. Salambin Mohammad70.
However, if the property gifted is in excess of
the area used for the road, we direct that the
excess land shall be used for the purpose of OSR
only. We also direct that the Authority may
consider making available the maintenance of the
said area to the appellants, namely,
Association of Vasanth Apartments Owners, if they
are prepared to maintain it in terms of the
observations contained in this judgment.
179. Civil Appeals 1890-1891 of 2010 are disposed of.
The other Appeals and the Writ Petition will stand
dismissed subject to the observations/directions we
have made earlier. No order as to costs.
………………………………………………………………………J.
[K.M. JOSEPH]
………………………………………………………………………J.
[PAMIDIGHANTAM SRI NARASIMHA]
NEW DELHI;
DATED: February 13, 2023.
[2/13, 19:39] Madurai High Court Gurusamy: 👆The areas covered by the OSR cannot be diverted
for any other purpose. The respondents are dutybound to ensure that the area set apart as OSR is
stringently utilised only for the purpose in the
Rule/Regulation. We direct that no area meant for
OSR shall be utilised as dumping yards or any other
purpose other than as OSR;
[2/13, 20:03] Madurai High Court Gurusamy: 👆The matter may be viewed in the following manner.
In the facts in Pandit Chetram Vashishta (supra), it
was held that the position of the developer, would be
that of a trustee. It was so held in the absence of a
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statutory mandate. Now, in this case, there is a
statutory mandate to execute a gift deed. The question
would arise as to what would be the nature of the rights
of the donee, viz., the local authority. Would the
donee become an absolute owner? Can the local authority
transfer the land? Can the local authority build on the
OSR area? The answer to all these questions is only in
the negative. Unlike the donee, in the case of a gift,
the local authority cannot in anyway acquire the right
as the absolute owner. Just as in the case of Pandit
Chetram Vashishta (supra), where the developer would
be a trustee, we would think that the Rule, if is to
be upheld, in the conspectus of the law and bearing in
mind the object, the transfer by way of a gift to the
donee will be only for the purpose of ensuring that the
object of the law is attained, i.e., the property is
maintained as OSR. The local authority, under the gift
deed, would be a mere trustee. As trustee, it will be
the obligation of the local authority to ensure that
all such lands, set apart under the impugned Rules/
Regulations, are effectively maintained as such.