That sounds like a frustrating situation.
Generally, when a case is pending in court regarding land or construction disputes, municipal authorities should exercise caution before granting permissions.
However, there are instances where construction may be allowed despite a pending case, depending on factors such as:
No Stay Order: If the court has not issued a stay order explicitly prohibiting construction, the municipal corporation may proceed with granting permission.
Nature of the Case: If the dispute is about ownership rather than construction legality, authorities might allow construction while the case is ongoing.
Administrative Discretion: Sometimes, municipal bodies issue permissions based on internal assessments, which may not always align with legal proceedings.
You might want to check if the court has issued any interim orders restricting construction. If not, you could consider filing an application in court seeking a stay on the construction until the case is resolved.
You can find more details on similar cases here.