Honble JHA, CJ.—This writ petition has been filed as a public interest litigation by an Advocate of this Court seeking direction upon the respondents to construct a super multi specialty hospital cum research centre on the land which was allotted to National Engineering Industries Ltd. (NEI for short), Respondent No. 1 herein, and for taking over possession of the said land from it. The petitioner also seeks a direction upon NEI Ltd. to pay compensation of Rs. 390 crores equivalent to the present market price of the land, to be and utilized for construction of the hospital.

(2). After highlighting the necessity of developing suitable medicare infrastructure at Jaipur—pointing out inadequacies of the medical facilities available in the Sawai Man Singh (SMS) Hospital, the petitioner has stated that 61.41 acres land equivalent to 100 bighas was allowed to the NEI by way of exemption under Section 22(2) of the Rajasthan Imposition of Ceiling on Agricultural Holdings Act, 1973 (Ceiling Act for short) under notifications dated 11.12.1995 and 16.1.1997 for the purpose of establishing a super specialty hospital cum research centre in collaboration with the University of Illinois, Chicago (USA). The notifications contemplated that the construction work would be completed within a period of three years of sanction of the plan by the Jaipur Development Authority (JDA), among other things. Curiously, when the lease-deed came to be executed between JDA and the representatives of NEI on 31.3.2003 reference was made to construction of a school building and medical college, besides hospital. Prior to the execution of the lease- deed, allotment order had been issued by the JDA with the permission of the State Government with respect of 213 bighas 14 biswas land vide allotment order dated 30.10.2000 for token consideration or rupee one as Najrana. The said allotment order also referred to establishment of high school and residential complex, besides hospital, medical college. According to the petitioner, the change of purpose by the aforesaid allotment order/lease was for oblique reasons to cause undue advantage to the respondents. In any view, according to the petitioner, the respondents having failed to commence, much-less complete, construction of the hospital as per the stipulations of the exemption notifications dated 11.12.1995 and 16.1.1997 they have forfeited their right to remain in possession of the land.

(3). NEI and JDA have filed their separate reply. In its reply NEI has stated that it had purchased 222 bighas 17 biswas land of Khasra Nos. 271, 331, 333 to 335 of village Gopalpura, tehsil Sanganer, district Jaipur under four sale-deeds dated 23.5.1964, 28.4.1965 and 25.4.1967 and thus became khatedar in possession of the land. In course of time 6 bighas 6 biswas land of Khasra No. 271 came to be encroached upon, but it remained in possession of 216 bighas 11 biswas of land. On 8/10.10.1979, acquisition proceeding was initiated by the then Urban Improvement Trust under Section 52 of the Urban Improvement Act followed by notification dated 7.3.1984 published in the Rajasthan Gazette dated 20.4.1984. However, in view of the provisions of Section 11-A of the Land Acquisition Act, 1894 the acquisition proceeding lapsed with the passage of time. In this back-ground on representation, by notifications dated 11.12.1995 and 16.1.1997 land aggregating 61.94 acres was allowed to be retained by it (NEI) by way of exemption under Section 22(2) of the Ceiling Act. Following the said notifications, it took steps for conversion of agricultural land and deposited conversion charge of Rs. 16,86,248. At this stage, the JDA, took a stand that the land had vested in the Government from 20.4.1984, the date of publication of the notification under Section 52 of the Urban Improvement Act in the official gazette, and refused to consider the plan for medical college and hospital. To avoid litigation, it approached the Government and the JDA for allotment of

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