Gujarat high court overturns block on property sale in Ahmedabad

The Gujarat high court has set aside an order by the City Deputy Collector in Ahmedabad that blocked a property sale in the Gheekanta area. The court ruled that the official exceeded powers under the Disturbed Areas Act. The matter has been remanded for fresh consideration.

The Gujarat high court has overturned a block on the sale of a property in Ahmedabad's Gheekanta area, which is notified under the Disturbed Areas Act, 1991. Enacted following communal riots in the 1980s, the Act mandates district collector approval for property transfers between individuals of different religious communities in such zones to prevent coerced or fear-driven sales.

Nadeemkhan Valibahadar Pathan and eight family members, the proposed buyers, along with five co-owners as sellers, filed a joint application on March 26, 2024, seeking permission under Section 5(3)(b) of the Act. The dispute arose from prolonged civil litigation between the parties, settled through compromise. The buyers' father already occupied the premises, and the sale was agreed at market value.

On October 19, the City Deputy Collector (East), Ahmedabad, rejected the request, citing reports from a circle officer and police inspector about potential risks to peace and demographic balance in the locality.

In an order dated February 16, Justice Aniruddha P Mayee quashed the rejection. The judge noted, “In the impugned order, the respondent No.1–City Deputy Collector has not rendered any finding in terms of the provisions of Section 5(3)(b) of the Act.” Justice Mayee added, “The impugned order has been passed on considerations which are dehors the provisions of Section 5(3)(b) of the said Act. The impugned order is therefore bad in law.”

The high court remanded the case to the City Deputy Collector for reconsideration within eight weeks, emphasizing an effective hearing focused solely on the parties' free consent and fair market value. The court stated it expressed no opinion on the merits of the transaction itself.

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