IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
B. S. Bhanumathi, J.
Silpa Seva Samithi – Petitioner
Versus
The State of Andhra Pradesh and others – Respondent
Writ Petition No.24451 of 2025
Decided On : 20-12-2025
| Table of Content |
|---|
| 1. petitioner seeks writ of mandamus. (Para 1) |
| 2. petitioner aims to renew lease despite expiration. (Para 2) |
| 3. respondent alleges petitioner misused lease agreement. (Para 3) |
| 4. respondents argue petition is malicious and vexatious. (Para 4 , 5) |
| 5. court found violation of natural justice; decision to set aside. (Para 8) |
| 6. writ petition allowed; order set aside. (Para 9) |
ORDER :
B. S. Bhanumathi, J.
This writ petition is filed under Article 226 of the Constitution of India seeking the following relief:-
“…to issue an appropriate writ, order or direction more particularly one in the nature of Writ of Mandamus declaring the proceeding in Rc.C.14/2025, dated 29.08.2025 issued by the respondent No.7 directing the petitioner to vacate 10 front shops rooms and godown of Nandyal Market Yard, Tekke, Nandyal within a week, i.e., on or before 12.09.2025 and deliver vacant possession of the same, instead of renewing the lease for further period of two years on enhancement of 5% of lease rental on the existing lease rentals as per the allotment as arbitrary, illegal, colourable exercise of power and contrary to the well established legal principles apart from being violative of the fundamental rights guaranteed to the petitioner under Articles 14, 19, 21 of the Constitution of India and consequently set aside the same and pass such other order or orders as are deemed fit and proper in the circumstances of the case.”
2. The case of the petitioner, is briefly, as follows:
a. The petitioner is a registered society established with certain aims and objectives. The petitioner, in pursuit of the purpose, requested the respondent No.7 to allot shop rooms belonging to it. The respondent No.4 accorded permission to the respondent No.7 to grant leasehold rights to two godowns in favour of the petitioner vide Proceeding No.L.Dis.S-II(1) 2082/2010, dated 20.07.2010, on monthly rent fixed by the respondent No.6. The respondent No.7 allotted ten (10) shop rooms and two godowns, vide orders in Roc. No.53/2010, dated 26.07.2010 for monthly rent of Rs.920/- for each shop room and Rs.12,100/- for each godown, for a period of two years with option to renew the lease with rent enhanced @ 5%. Certain other conditions are incorporated. Since the date of allotment, the shop rooms and godowns have been in possession and enjoyment of the petitioner. The petitioner passed resolution No.1/2011-12, dated 30.04.2011, for starting Silpa Sahakar, Silpa Rythu Sahakar, Silpa Mahila Sahakar-MACS, Silpa Mineral Water. The petitioner started supplying essential commodities to BPL families at a discount of 10% on all the essential commodities for more than 36,000 members. It also used to extend loans to weaker sections on nominal interest. The lease has been renewed from time to time subject to enhancement of rent till the year 2024. The petitioner has been paying the rent without any failure.
b. As the period of lease was expiring on 30.06.2024, the petitioner submitted a representation, dated 21.03.2024 to the respondent No.7 to renew the lease for a further period of two years from 01.07.2024. Though, the period of lease expired on 30.06.2024, the respondent No.7 failed to renew the lease for the reasons best known to it. However, the respondent No.2 issued notice in RoC. No.337/2012, dated Nil.02.2025 calling upon the petitioner to pay the enhanced lease from 01.07.2024 till further orders along with G.S.T. @ 18% per annum. The same is also complied for payment of rent.
c. Surprisingly, the respondent No.7 issued a notice, dated 25.06.2025 calling upon the petitioner to vacate the shop rooms within fifteen (15) days from the date of receipt of notice, without assigning any reason. The petitioner filed W.P.No.17123 of 2025 before this Court challenging the notice. An interim order was granted directing status quo to be maintained by all the parties. On 23.07.2025, the learned Standing Counsel for A.M.C. submitted to the Court that the representation of the petitione
AI
The eviction notice was set aside due to violation of natural justice, as the petitioner was not given the opportunity to respond to the allegations before the order was issued.
The court upheld the significance of adhering to lease terms and natural justice in lease renewal matters, affirming the state's actions in rejecting the renewal request based on documented breaches.
Mere assertion that it would be open for the petitioners to approach the District Collector as well as the competent authority under the Bombay Public Trust Act would not give licence to the petition....
Public authorities must adhere to legal standards and principles of natural justice when making decisions affecting property rights.
A party cannot seek relief while simultaneously disobeying court orders, and the government has the authority to fix lease amounts based on prevailing market values.
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