STATE OF HARYANA vs MOHAN LAL & ORS.

The Supreme Court held that the Punjab Town Improvement Act, 1922, allows the State Government to appoint trustees even when a Municipal Committee is superseded, as per Section 4A. The Court found that the High Court erred in its interpretation of Section 1(3), stating that the Trust could not be created while the Committee was not functioning. The Court affirmed the Government's authority to reconstitute the Trust, ruling that the provisions of the 1922 Act continued to apply without needing reapplication upon the reconstitution of the Municipal Committee.