NARSI CREATION PRIVATE LIMITED Vs. STATE OF U P
LAWS(ALL)-2012-3-175
HIGH COURT OF ALLAHABAD
Decided on March 02,2012

Narsi Creation Private Limited Appellant
VERSUS
STATE OF U P Respondents

JUDGEMENT

- (1.) These two writ petitions filed by the same petitioner raising similar issues have been heard together and are being decided by this common judgment.
(2.) Facts of the case giving rise to these writ petitions briefly noted are; the petitioner no. 1 is a company duly incorporated under the Companies Act whereas the petitioner no. 2 is consortium of petitioner no. 1, and two other registered companies. The State of U.P. issued the Government Order dated 22.11.2003 delineating the policy guidelines for developing Hi-tech townships by participation of private investments. State emphasised on promotion of private investments in the housing sector in urban areas. The Government Order stated that in context of economic liberalisation and privatisation, role of State has become as a facilitator in place of provider. For inviting private investment of minimum Rs. 750 crores and for development of about 1500 acres land in five years certain proposals were laid down in the said Government Order. The Government Order further provided that for development of Hi-tech townships, the land be acquired in favour of the State Government by Development Authorities or U.P. Avas Evam Vikas Parishad, and the compensation be determined as far as possible through agreement with the land owners under the Karar Niyamawali. It was further provided that developers can also directly purchase the land. Agra Development Authority issued notice inviting proposals for developing Hi-tech townships in District Agra. One of the conditions in the notice was that the land already declared by any competent authority for public purpose or for public utility will not be made available to the developer company for the development of Hi-tech townships. The petitioner submitted its proposal in pursuance of the notice. The petitioner was informed that it has been selected as second developer company in district Agra. The petitioner submitted letter dated 28.5.2005 to the Vice Chairman of the Agra Development Authority informing that the land situate in front of Shastri Nagar Yojna at 175 feet road may be made available. A memorandum of understanding between the Agra Development Authority and the petitioner was entered on 30.11.2005 laying down terms and conditions to initiate further action for the development of Hi-tech townships at Agra. One of the conditions was that second party shall submit proposal for acquisition of land along with key plan, site plan and Sajra plan of the site identified for the proposed township and after receiving the land acquisition proposal from the second party (the petitioner), the first party (Agra Development Authority) shall initiate the land acquisition proceedings. Total costs of the land acquisition was to be borne by the second party. The second party was further required to submit a detailed project report which after examination was required to be approved and thereafter the second party was to enter into a development agreement with the first party for implementation of the project. Out of 1500 acres land which was identified by the petitioner, 1180 acres of the land was already notified by the U.P. Avas Evam Vikas Parishad vide notification dated 29.7.2002 under section 28 of the U.P. Avas Evam Vikas Parishad Adhiniyam, 1965 for its Artauni Bhumi Vikas Evam Grih Sthan Yojna No. -5. The petitioner wrote to the State Government as well as to the Agra Development Authority to get the aforesaid land released from U.P. Avas Evam Vikas Parishad and the same may be made available to the petitioner. With regard to 697.82 acres land, the proposal was submitted by the Agra Development Authority to the Collector for acquisition. Letter dated 13.2.2007 was written by the Agra Development Authority to the petitioner to deposit amount of Rs. 9,84,00,387/-i.e. 10% of the estimated costs of the compensation within three days. The petitioner deposited an amount of Rs. 5 crores by Bank draft on 14.2.2007. The Vice Chairman Agra Development Authority also wrote to the U.P. Avas Evam Vikas Parishad to issue no objection with regard to 1152.75 acres of land which is included in Artauni Bhumi Vikas Evam Grih Sthan Yojna No. -5 for making it available for development to the petitioner. U.P. Avas Evam Vikas Parishad in its meeting dated 21.7.2007 passed a resolution that there is no justification for releasing 1152.75 acres land in favour of the petitioner. The Board also resolved that State Government be requested to issue appropriate direction to continue Artauni Bhumi Vikas Evam Grih Sthan Yojna No. -5 . On 15.8.2007, the petitioner wrote to the Agra Development Authority to take action with regard to making available 1152.75 acres land to the petitioner from U.P. Avas Evam Vikas Parishad. The petitioner also stated that the petitioner is ready to deposit balance amount of Rs. 4.82 lacs. On 16.8.2007, the State Government issued Hi-tech townships Policy-2007 by modifying the earlier Hi-tech townships Policy issued by Government Order dated 22.11.2003 and 18.5.2006 in public interest. One of the conditions which was mentioned in the Government Order was that acquisition of land as far as possible be done with the agreement of the farmers for which purpose, the developer has to directly purchase about 60% of the land and for rest 40% land developer shall take all steps for its purchase and in event of any difficulty the said shall be acquired by Government agency under Land Acquisition Act, 1894. It further provided that the land acquired by the Government agency or the land within the acquisition proceedings for which notification under section 4 of the Land Acquisition Act, 1894 or under section 28 of the U.P. Avas Evam Vikas Parishad Adhiniyam, 1965 has been issued, shall not be released in favour of the developers. Clause 39 of the Government Order further provided that developers who have been selected under the Hi-tech townships Policy 2003, shall develop the Hi-tech townships as per Hi-tech townships Policy 2007 and according to 2007 Policy, revised memorandum of understanding is to be executed by the developers with the Government agency. The State Government issued a further Government Order dated 17.9.2007 by which in supersession of Hi-tech townships Policy 2007 an amended Hi-tech townships Policy 2007 was issued. A news item was published in the newspaper 'Amar Ujala' on 28.10.2007 quoting Vice Chairman of the Development authority that in the event 25% land is not made available by 15.11.2007, the licence and registration of the developer company shall be cancelled. The petitioner filed writ petition No. 55867 of 2007 in this Court on 12.11.2007 praying for following reliefs: "1. issue a writ, order or direction in the nature of certiorari quashing the notice dated 28/10/2007-issued by respondent no. 3 published in Daily News Paper 'Amar Ujala' Agra dated 28.10.2007 (contained as Annexure No. 21 to the writ petition). 2. issue a writ, order or direction in the nature of certiorari quashing the clause 39 of the Hi-Tech township Policy, 2007, which requires that fresh MOUs have to be signed by the developer company in terms of the new policy.
(3.) issue a writ, order or direction in the nature of mandamus commanding the respondent to execute the contract of the petitioner in terms of the MOU entered on 30/11/2005.;


Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.