Nargis Jal Haradhvala vs State Of Maharashtra & Ors

The Supreme Court upheld the principle established in Shantistar Builders vs. N.K. Toitame, (1990) 1 SCC 520, that the quota of flats to be surrendered to Government nominees under Section 20 of the Urban Land (Ceiling and Regulation) Act, 1976, should not exceed 5% of the total accommodation available. The Court found that the amendments made by the respondents to increase the quota to 10% were not in accordance with the law as laid down by the Apex Court. Consequently, the appeal was allowed, and the respondents were directed to adhere to the 5% limit for Government nominees as per the earlier judgment.