Panchayats often overstepping its powers, hampering entrepreneurship by pushing citizens into litigation: Kerala High Court

The Kerala High Court recently observed that panchayats in Kerala often exercise powers not veseted in them and termed it as a travesty of justice that pushes citizens into unwanted litigation. [Sinoj Thomas v Balal Grama Panchayat].Single-judge Justice N Nagaresh underscored that panchayats cannot overstep its jurisdiction even if it is to enforce public interest."It is a travesty of justice that some of the Panchayats in Kerala which are given constitutional status in view of the Three-Tyre Local Self Governance System contemplated under Articles 243 to 243-O, often exercise powers not vested in them impeding regular statutory processes and putting citizens into unwanted litigations... The Panchayat institutions but can exercise only those powers conferred on and vested with them by legislature. The Panchayats cannot act as if they are protectors and enforcers of all public interests and exercise powers not vested with them," the Court said in its judgment.It further observed that when statutory authorities have been created for administering and governing multiple areas of social life, panchayat committees, who cannot claim expertise in those areas, cannot take a view contrary to that of other competent statutory authorities.The Court also noted that the actions of panchayat's in this regard often hamper entrepreneurship in the State. "Citizens who opt for start ups and entrepreneurships should be able to rely on the decisions and clearances given by specialised statutory bodies and go ahead with their projects. Local self-government institutions cannot take a view different from the views of other statutory bodies and stop or create hurdles for the entrepreneurs in going ahead with projects which are permitted under laws," the judgment stated..The judgment was passed on a petition moved by the grantee of a letter of intent for establishing a quarrying unit in Maloth village in Kasargod district.He had obtained the approvals necessary from the project from various statutory authorities like the Director of Mining and Geology, District Environmental Impact Assessment Authority, Pollution Control Board and the Explosives Licensing Authority.When he subsequently approached the concerned village panchayat, he was denied a license to conduct carrying activities within the panchayat area.He then moved the High Court challenging the panchayat's decision.His main contention was that as per the amendment to Section 233 of the Kerala Panchayat Rah Act, the panchayat did not have the jurisdiction to refuse permission.The counsel for the panchayat countered by submitting that it had received complaints from the public, especially regarding the lack of a no objection certificate from the Environmental Impact Assessment Authority..The Court, however, found that the petitioner had obtained all the requisite approvals, that too after the competent authorities had thoroughly evaluated the environmental concerns..It observed that the panchayat had ignored the law and made a decision beyond its purview."In the present case, in the matter of Section 233 of the Panchayat Raj Act, 1994, the power of the Panchayat is laid down in the Act with clarity. If anyone harbours any doubt in that regard, a Full Bench of this Court has clarified the limitations of power with precision and clarity. Yet the 1st respondent-Panchayat has taken Ext.P12 decision ignoring the law, and based on subjective opinions of Panchayat Committee members," the Court said.It, therefore, set aside the decision of the panchayat and directed it to issue license to the petitioner within a month..[Read Judgment]