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HIGH COURT OF JUDICATURE AT ALLAHABAD
AJIT KUMAR, SWARUPAMA CHATURVEDI
Kci Ltd Formerly M/S Khemka Containers Ltd – Appellant
Versus
State Of U.P. – Respondent
| Table of Content |
|---|
| 1. procedural background of the petitioner's claims. (Para 2 , 3 , 4 , 5 , 6) |
| 2. history of disputes and previous court orders. (Para 7 , 8 , 9 , 10 , 11 , 12) |
| 3. legal analysis of lease agreement and its stipulations. (Para 17 , 18 , 19) |
| 4. principles of promissory estoppel and administrative discretion. (Para 20 , 21 , 22) |
| 5. binding nature of revisional orders on subordinate authorities. (Para 23 , 24 , 25 , 26) |
| 6. final judgment quashing impugned orders. (Para 27) |
JUDGMENT :
Swarupama Chaturvedi, J.
1. Heard Sri Tarun Agarwal, learned Senior Advocate assisted by Sri Prashant Mishra, learned counsel for the petitioner, Sri Shivam Yadav, learned counsel for the respondents no. 2 to 4 and Sri Devesh Vikram, learned Additional Chief Standing Counsel for the State respondents.
2. By means of this petition filed under Article 226 of the Constitution, petitioner has prayed for quashing of the order dated 12.12.2024 passed by respondent no. 3 raising a demand of Rs. 5,28,85,639/- and order dated 15.05.2025 whereby the petitioner’s request for grant of early production incentive has been rejected as well as the consequential final notice before cancellation of allotment dated 23.
Unilateral retrospective enhancement of lease rent by an authority, without executing a supplementary deed, is illegal, and higher authority’s orders must be implemented by lower bodies.
A party cannot be denied benefits due to issues beyond their control; zero period benefits were affirmed due to delays stemming from governmental actions.
Consent orders are binding and can only be reviewed for fraud or similar grounds; parties cannot resile from consents without just cause.
Supplementary lease deeming additional built-up area integral with no time limit overrides original four-year completion clause for composite construction; penalty demands arbitrary, illegal; payment....
Legislation impairing accrued rights of transferees cannot operate retrospectively, protecting vested property rights from legislative re-imposition of restrictions.
The authority has the power to terminate a lease in case of breach, and a notice must be served before termination.
Imposing penal charges for contract breaches is valid when stipulated policies and terms align with contractual obligations, and acceptance of penalties post-acceptance negates protest claims.
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