IN THE HIGH COURT OF JUDICATURE AT ALLAHABAD
Prakash Padia, J.
Conwood Medipharma Private Limited – Petitioner
Versus
State Of U.P. And Others – Respondents
WRIT - C No. - 27322 of 2025
Decided On : 25-11-2025
| Table of Content |
|---|
| 1. preliminary proceedings and consents for disposal. (Para 1 , 2 , 3) |
| 2. petitioner’s plot allotment and payment structure. (Para 4 , 5 , 6 , 7) |
| 3. failure to deliver possession impacts project execution. (Para 8 , 9 , 10 , 11) |
| 4. demand notices and zero period assertion. (Para 12 , 13 , 14 , 15 , 16) |
| 5. judicial directions on authorities’ decisions. (Para 17 , 18 , 19 , 20) |
| 6. contentions regarding relocation and possession. (Para 21 , 22 , 23 , 28) |
| 7. possession inquiries regarding plot status. (Para 24 , 25 , 26 , 27) |
| 8. constitutional validity of government order. (Para 29 , 30 , 31) |
| 9. court's ruling on quashing authorities' orders. (Para 32 , 33) |
| 10. mandamus issued for zero period benefit. (Para 34) |
JUDGMENT :
PRAKASH PADIA, J.
1. Heard Shri Shashi Nandan, learned Senior Counsel assisted by Shri Prashant Mishra, learned counsel for the petitioner, Shri Vijay Shankar, learned Additional Chief Standing Counsel appearing on behalf of Respondent No.1 as well as Shri Shivam Yadav, learned counsel appearing on behalf of Respondent Nos. 2 & 3 and perused the record.
2. Pleadings have already been exchanged between the parties.
3. With the consent of the counsel for the parties, the present writ petition is disposed of finally at the admission stage itself.
4. The petitioner has preferred the present writ petition inter-alia with the following prayers:-
i) Issue a writ, order or direction in the nature of CERTIORARI quashing the impugned order dated 30.08.2024 passed by the respondent no.1, as well as the order dated 06.03.2023 passed by the Additional Chief Executive Officer, Greater Noida Industrial Development Authority (Annexure Nos. 1 and 2);
ii) Issue a writ, order or direction in the nature of Mandamus commanding the respondent authority to charge annual lease premium only subsequently from the date of actual physical possession of the plot together with possession letter;
iii) Issue a writ order or direction in the nature of MANDAMUS commanding the respondent authority to treat as zero period the entire duration for which the respondent authority could not deliver possession of one continuous piece of land including plot nos. 312, 313, 315;"
5. The petitioner is a company incorporated under the provisions of the Companies Act, 1956. The petitioner was allotted an institutional plot being Plot No.22 located in Sector Tech Zone-IV, GNIDA admeasuring 1,16,966 sq. mtrs. It is stated in paragraph-9 of the writ petition that originally the aforesaid plot was allotted in the name of M/s. Indo Gulf Diagnostics and Research Center Private Limited. Subsequently the same was transferred in the name of petitioner and the copy of the letter of allotment issued by the Greater Noida Industrial Development Authority (hereinafter referred as GNIDA) dated 19.05.2010 is appended as Annexure-4 to the writ petition.
6. Premium of the Plot was fixed as Rs.28,79,54,200/-. Out of the aforesaid total premium, 10% of this amount was to be paid up-front as earnest money. The balance 90% was to be paid in interest bearing installments commencing from 18.07.2011 till 18.07.2020.
7. Pursuant to the aforesaid letter of allotment, registered lease deed was executed between the petitioner and GNIDA on 22.02.2011, copy of which is appended as Annexure-5 to the writ petition.
8. It is stated in paragraph-12 of the writ petition that petitioner was given only the paper-possession of the aforesaid leased plot on 22.02.2011. However, till date the petitioner has not been given actual physical possession of the entire allotted area. It is argued that respondent-authority failed to deliver actual physical possession of the entire allotted plot on account of certain parcels of land being in the possession of the farmers. Thus, since the authority failed to provide physical possession of entire contiguous piece of land leased to the petitioner, it was not possible for the petitioner to execute the proposed project for which the land has been allotted to him.
9. It is
Authority must deliver physical possession of land to the allottee; failure to do so grants the right to zero period benefits under lease agreements.
Actual physical possession must be established for lease obligations; mere issuance of possession certificate is insufficient.
A party cannot be denied benefits due to issues beyond their control; zero period benefits were affirmed due to delays stemming from governmental actions.
Development authorities must adhere to mandatory conditions regarding possession certificates; failure to comply invalidates lease rent claims and CIC charges deemed illegal must be refunded.
The lessee is not obligated to pay premium and interest until actual physical possession of the leased land is delivered to them, emphasizing the authority's duty to provide possession first.
The cancellation of a lease due to shareholding changes is unjustified when actual possession of leased land has not been delivered, invalidating claims for rents and penalties.
Authority must provide preferential land allotment to disabled persons per applicable legislation; arbitrary cancellations and excessive interests are unjust.
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