I.T.C.LTD. Vs. STATE OF U.P.AND OTHERS
LAWS(ALL)-2008-5-218
HIGH COURT OF ALLAHABAD
Decided on May 13,2008

I.T.C.LTD. Appellant
VERSUS
STATE OF U.P. Respondents

JUDGEMENT

ARUN TANDON, J. - (1.) THIS bunch of writ petitions has been filed by incorporated Companies stated to have been allotted plots by New Okhla Indus­trial Development Authority (for short 'NOIDA) for construction of 3/4/5 star hotels in Sector 96, 97 and 98, NOIDA, District Gautambudh Nagar. Petitioners are aggrieved by the order of the Secretary of the Industrial Development Department, U.P. Shasan Lucknow dated 1.8.2007 as also by the order of the Chief Executive Officer of NOIDA dated 3.8.2007, whereby they have been informed that the allot­ment of land earlier made in favour of the petitioners has been cancelled, they must deliver vacant possession of the plots within 15 days failing which forceful dispossession has been threatened. The State Government has further directed that the officers responsible for the allotment be identified and a report be submit­ted for appropriate action against such erring officers.
(2.) WE have heard Mr. Anil Diwan, Mr. A.K. Ganguli, Mr. S.P. Gupta, Sri R.N. Singh, Mr. Kailash Vasudev, Mr. Vinay Bhasin, Mr. Ravi Kant, Mr. Sashi Nandan, Mr. Navin Sinha, Senior Advocates on behalf of the petitioners; Mr. R.N. Trivedi, Senior Advocate assisted by Mr. Amit Singh on behalf of NOIDA, Mr. Zafar Naiyar and Mr. Devendra Kumar Arora, Additional Advocate Generals on behalf of the State, Mr. B.P. Singh, Senior Advocate for intervenor, Mr. Ashutosh Srivastava, intervenor, in person. The facts giving rise to these writ petitions are more or less identical ex­cept for the size of the plots and the category of hotel to be constructed, thereon. Facts:
(3.) PETITIONERS are Companies duly incorporated under the Companies Act. They are primarily engaged in hotel business. Noida has been constituted under the provisions of the U.P. Industrial Area Development Act, 1976 (hereinafter re­ferred to as the Act, 1976), for securing planned industrial development of areas allocated for the said purpose. NOIDA has been conferred a power to sell, lease or otherwise transfer the land by way of auction tender or otherwise, on such terms and conditions and subject to such rules that may be made under the Act (reference Section 7 of the Act, 1976). Section 12 of the Act, 1976 makes the provisions of Chapter VII and Sections 30, 32,40 to 47, 49, 50, 51, 53 and 58 of the U.P. Urban Planning and Development Act 1973 (hereinafter referred to as the Act, 1973) mutatis mutandis applicable to the 1976 Act. Section 14 of Act of 1976 confers a power of forfeiture for breach of condition of transfer etc. Section 14 (2) provides for the power of re-entry, Section 17 declares that the Act, 1976 would have an overriding effect over the provisions of 1973 Act. Section 18 confers the power upon the State Government to make rules by notification for the purposes of the Act. (It is admitted on behalf of the parties that with reference to Section 7 read with Section 18, State Government has not framed any rules for regulating the terms and conditions on which the authority can sell, lease or otherwise transfer any land or building). Section 19 of Act, 1976 provides for the framing of Regulations by the NOIDAforthe purposes of carrying out the provisions of the Act. Since Section 41 of the 1973 Act has been made applicable by incorporation to Act, 1976, the Development Authorities as well as its Chairman and other officers have to carry out the directions as may be issued by the State Govern­ment from time to time. The State Government also has the power on its or on an application made under sub-section (3) of Section 41 to call for the records and to examine the legality of the order passed by the authority or its Chairman and to issue such directions, as it may deem fit.;


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