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IN THE HIGH COURT OF CALCUTTA
Krishna Rao, J.
Srilab Polymers Pvt. Ltd. And Another - Appellant
Versus
State Of West Bengal And Others - Respondent
WPA No. 20245 of 2021
Decided On : 10-03-2022
Land Allotment - Animal Husbandry Project - Companies Act, 2013, Section 252(3) - The judgment discusses the rejection of a proposed animal husbandry project and transfer of lease by the West Bengal Industrial Infrastructure Development Corporation. The court sets aside the rejection and directs the authorities to reconsider the proposal for approval of the animal husbandry project within the allotted land.
Fact of the Case:
The petitioner sought approval for an animal husbandry project and transfer of lease, but the authorities rejected the request citing policy and disturbance concerns.
Finding of the Court:
The court found that the rejection was not justified as the proforma respondent had applied to start the project in 2014, paid charges, and submitted a declaration, but the authorities did not allow the project to commence. The court also noted that the rejection violated principles of natural justice.
Issues: Rejection of animal husbandry project and lease transfer, compliance with policy, disturbance concerns, violation of natural justice.
Ratio Decidendi: The rejection of the proposal was set aside as the proforma respondent had fulfilled requirements but was not allowed to commence the project. The court found the rejection to be in violation of natural justice.
Final Decision: The court set aside the rejection and directed the authorities to reconsider the proposal for approval of the animal husbandry project within the allotted land.
JUDGMENT
Krishna Rao, J. - The petitioner has challenged the communication dt. 07.12.2021 issued by the Secretary, West Bengal Industrial Infrastructure Development Corporation whereby approval of proposed animal Husbandry Project and transfer of lease in respect of lay out plot nos. U (part) and V/2 (part) measuring 0.6377 acres of land allotted to M/s. Bani Packaging Private Limited within Kalyani Industrial Park, Phase-III was disallowed.
On 24.04.2017, the petitioner no. 1 had informed the Secretary, West Bengal Industrial Infrastructure Development Corporation (hereinafter called WBIIDC) that the petitioner intend to diversify their business from plastic related products to animal husbandry products and further they required two bighas of land in addition to the land held by the petitioner. It has been further informed that the Managing Director Mr. Sambhu Nath Bose is the promoter of the petitioner's company as well as the proforma respondent company and therefore, requested for approval of;
(a) Permission of starting the animal husbandry product at Kalyani Industrial Sector, Phase-III, Kalyani.
(b) Permission to buy the land of M/s. Bani Packaging (P) Ltd. at plot No. U(part) and V-2(part), Phase-III, Kalyani Industrial Sector, Kalyani, District:Nadia.
(c) The amount, which is required, to be deposited by the petitioner company for approval of 0.6377 acres of land from Bani Packaging Private Limited in favour of the petitioner.
On receipt of the request of the petitioner, the Secretary West Bengal Industrial Infrastructure Development Corporation (WBIIDC) requested the petitioner no. 1 to submit detailed project report along with the plant lay out as per guidelines, application in schedule format as given in the annexure.
It has been mentioned only on acceptance of DPR and evaluation charge, the prayer for transfer/assignment of the land will be taken into consideration.
In reply to the letter dt. 23.06.2017, the petitioner had sent two sets of detailed project report to the Secretary, West Bengal Industrial Infrastructure Development Corporation (WBIIDC). The plot which is to be transferred from the proforma respondent to the petitioner has been mentioned in the reply of the petitioner which is V-2 (part), U (part), K-25 (part), Post Office-Kalyani, District-Nadia.
The Executive Engineer (Civil), Headquarter, West Bengal Industrial Infrastructure Development Corporation (WBIIDC) requested the petitioner to sent soft file in autoCaD format for plant layout in 2010 or lower version. as per the request of the Executive Engineer, the petitioner had submitted draft plan layout. The West Bengal Industrial Infrastructure Development Corporation (WBIIDC) vide letter dt. 30.11.2017 requested the petitioner to deposit Rs. 1,28,620/- in favour of the West Bengal Industrial Infrastructure Development Corporation (WBIIDC) with respect to the application for assignment of land at Kalyani Industrial Growth Centre, Phase-III. The petitioner had also submitted an application for assignment of 0.6377 acres of land in triplicate along with site plan and structural design of the proposed project at Kalyani.
Inspite of the request made by the petitioners and the amount deposited by the petitioners, the respondents have not taken any steps for grant of approval in favour of the petitioner and accordingly, the petitioner has filed a writ application being W.P. No. 1131 (W) of 2019. The writ petition was disposed of on 28.01.2019 by directing the West Bengal Industrial Infrastructure Development Corporation (WBIIDC) to consider and decide the application made by the petitioner in accordance with law. after the order passed by the Coordinate Bench of this Court, the respondent authorities vide communication dt. 12.06.2019 directed the petitioner and the proforma respondent to appear before the Secretary, West Bengal Industrial Infrastructure Development Corporation (WBIIDC) on 10.07.2019. The petitioner as well as the proforma respondents have appeared
The judgment establishes that rejection of a proposal must be justified and in compliance with legal principles, and violation of natural justice can lead to the reversal of such decisions.
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.
Petitioners cannot assert rights for land allotments when their claims are contingent on another party's pending applications, especially after such approvals have expired.
The court ruled that land allotments within a wildlife sanctuary require proper authority and compliance with legal procedures, rendering unauthorized allotments void.
Non-compliance with lease conditions and non-utilization of allotted land can justify the cancellation of the lease by the authority.
The government may resume industrial land for non-utilization by the allottee, with decisions supported by assignment rules and public interest considerations.
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