In Brief
The Supreme Court upheld a challenge to the Charity Commissioner's sanction for a development-cum-sale of the valuable B.C. Batliwala Agiary (Fire Temple) property in Mumbai's prestigious Malabar Hill area. The temple property was alienated to a developer for Rs. 2,95,00,000 without publishing public notice or ascertaining market value. The Court held that the Charity Commissioner's power under Section 36 of the Bombay Public Trusts Act, 1950 requires safeguarding the interest, benefit, and protection of the trust through competitive bidding and market valuation. The transaction was tainted by the trustees' collusion with the developer and deliberate suppression of the need for public notice. The Court set aside both the Charity Commissioner's sanction and the High Court's dismissal, directing the developer to repay the amount and imposing costs on the developer.
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