IN THE HIGH COURT OF JUDICATURE AT PATNA
SANJAY KAROL, PARTHA SARTHY, JJ.
M/s Jagdamba Industries a proprietorship firm – Appellant
Versus
The Bihar Industrial Area Development Authority (BIADA) – Respondent
Civil Writ Jurisdiction Case No.16411 of 2022
Decided on : 29-11-2022
Writ of Certiorari - Land Allotment Dispute - The court accepted the petitioner's undertaking to start/continue commercial production on the allotted land and made them aware of the consequences of breach, including initiation of contempt proceedings. The court quashed the appellate order and the office order cancelling the land allotment.
Fact of the Case:
The petitioner sought writs to quash the appellate order dismissing their appeal against the office order cancelling the land allotment, and to restore possession of the allotted land.
Finding of the Court:
The court accepted the petitioner's undertaking, made them aware of the consequences of breach, and quashed the appellate and office orders. The petitioner was directed to hand over possession if they defaulted on the undertaking.
Issues: Dispute over land allotment, breach of undertaking, and quashing of appellate and office orders.
Ratio Decidendi: Acceptance of petitioner's undertaking, consequences of breach, and quashing of orders based on the undertaking.
Final Decision: The court quashed the appellate and office orders, accepted the petitioner's undertaking, and directed them to hand over possession if they defaulted on the undertaking.
JUDGMENT :
1. Heard learned counsel for the parties.
2. Petitioner has prayed for the following relief(s):-
B. For issuing a writ in the nature of certiorari or any other appropriate writ quashing the office order bearing Memo no 1076 dated 28.06.2022 (Annexure P/2) passed by the Respondent No. 4, whereby and whereunder allotment made to the Petitioner, of land admeasuring 4000 sq feet of land in Industrial Area, Barauni allotted to the Petitioner in the Year 07.02.2009 and 447/ dated 26.02.2008, has been cancelled.
C. For issuing a writ of mandamus or any other appropriate writ directing the Respondents to restore the possession/allow the Petitioner to continue to work and run the unit on the allotted land.
D. For issuing appropriate order (s) staying all further proceedings and consequential actions pursuant to the Appellate Order dated 13.10.2022 (Annexure-P/1).
E. For passing such further or other order(s) as this Hon'ble Court may deem fit and proper in the circumstances of the case.
True Photo Copies of the Impugned Order dated 13.10.2022 and order dated 28.06.2022 bearing Memo no 1076 is annexed herewith and marked as Annexure-P/1 and P/2 respectively.”
2. Learned counsel for BIADA states that petition can be disposed of in terms of the undertaking so furnished by the petitioner at Para No. 23 to the petition, which is extracted as under:-
(b) within six months, petitioner shall make the Unit fully-operational and functional in terms of the product sanctioned and allowed to be manufactured as per the original terms of allotment or as otherwise permitted by this Hon'ble Court;
(c) petitioners shall clear all the dues payable to BIADA as on date (although there is no outstanding as of now);
(d) petitioners shall make itself compliant with all the statutory requirements, including the ones protecting interest of the employees;
(e) in the event of failure on the part of the petitioner to comply with the undertaking, petitioner shall hand over the vacant and peaceful possession of the premises to BIADA with liberty for further allotment to 3rd party, when petitioner shall lose all rights therein and;
(f) petitioner understands that it shall be liable for initiation of proceedings for contempt for having violated the undertaking furnished to the Court.”
3. The undertaking is accepted and taken on record Consequence of breach thereof, including initiation of proceedings for contempt having violated the undertaking furnished before this Court stands explained to the petitioner through the learned counsel.
4. As such, petition is disposed of in the following terms:-
(a). Undertaking of the petitioner is accepted and taken on record;
(b) Petitioner has been made aware of the consequences of breach thereof, including initiation of proceedings for contempt;
(c) In the event of default of the undertaking, petitioner shall hand over vacant and peaceful possession of the allotted property to BIADA;
(d) Liberty reserved to BIADA, to approach this Court, should the petitioner fail to abide by the undertaking furnished before this Court.
(e) Order dated 13.10.2022 passed by Respondent No 2, namely The Chairman cum Managing Director, Bihar Industrial Area Development Authority (BIADA), Udyog Bhawan, Gandhi Maidan, Patna. in Appeal Case No 89 of 2022 (Annexure-P/1) and the order dated 28.6.2022 (Annexure-P
Acceptance of petitioner's undertaking and consequences of breach as a basis for quashing orders.
Compliance with undertaking and consequences of breaching it are crucial in the disposal of the petition.
Failure to utilize allocated industrial land justifies its cancellation under statutory provisions.
The court established that under the Bihar Industries Commercial Policy, 2016, authorities must consider unavoidable circumstances affecting compliance with allotment conditions and allow for opportu....
The court upheld the cancellation of land allotment due to the petitioner's non-utilization for over twenty years, reinforcing authority's jurisdiction under the BIADA Act, 1974 and its amendments.
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