IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
P.Madhavi Devi, J.
C.I.E. PhaseI Unit Holders Association – Petitioner
Versus
The State of Telangana and others – Respondents
W.P.Nos.30699 of 2021, 39739, 39247, 39255, 39290, 39383, 41842 of 2022 and 2811 of 2023
Decided On : 05-06-2023
Constitution of India, 1950 – Article 226 – It allotted plots to members of petitioner association and for said purpose entered into an agreement of lease/sale with all members of petitioner’s association – Held, Court finds that in case of Agencies (P) Ltd., the Hon’ble Supreme Court has considered that unless and until lease has be extended, lease gets terminated by efflux of time – Similar decision was given in case of Kundla Press & Oil Mill (P) Ltd., Vs. State of Gujarat (cited supra) that there can be no lease in perpetuity in favour of any persons – However, as observed above, documents are not just lease deeds, but are lease cum sale and therefore, these two decisions would not apply ipso facto to facts of this case before this Court – Other decisions on tenancy of sufferance that petitioners, who are tenants are holding over after termination of tenancy by efflux of time and no notice is required to be given to such tenants for reason given above, these decisions are also not applicable to case on hand – Writ petitions allowed.
ORDER :
(W.P.No.2811 of 2023)
This Writ Petition is filed by the petitioner seeking a writ of mandamus to declare the Memo No.501/IP&INF/A1/2018 dated 29.08.2022 in fixing the rates for conversion into freehold by categorizing the units into two segments i.e., (a) original allottees; (b) others, and further causing demand notices to the Sub Tenants categorizing them as “others”, as illegal, arbitrary and consequently to suspend all further proceedings with regard to the processing of any representation/applications from other than the original allottees and also in taking any further action upon such applications/requisitions from others in respect of the industrial plots with structures in the Cooperative Industrial Estate Limited, Balanagar, Phase-I of layout and further to direct the respondents No.1 to 3 to accept applications from the original allottees for conversion of their respective industrial plots with structures into freehold and to pass such other order or orders.
2. Brief facts leading to the filing of the present writ petition are that the respondent No.5 is a society formed by the Government. It allotted plots to the members of the petitioner association in the year 1964 to 1974 and for the said purpose entered into an agreement of lease/sale with all the members of the petitioner’s association. Ever since the allotment, members of the petitioner association claim to be in possession and enjoyment of the respective plots. Learned counsel for the petitioner submitted that some of the members have since become old and are unable to manage their industrial units on their own and therefore, they have sublet the units to others but have not parted with their rights over the property. It is submitted that the respondents No.1 to 4 have issued the impugned memo for conversion of the occupation of the tenants of the members of the petitioner association into freehold, thereby to confer ownership upon them. It is submitted that the respondents No.1 to 4 solicited representations from the tenants of the members of the petitioner association for such conversion into freehold rights in an arbitrary and illegal manner and acting thereupon, have caused demand notices to such sub tenants for payment of the charges. It is submitted that by virtue of the impugned memo, the respondents No.1 to 4 have issued demand notices to third parties for conversion of leasehold rights into freehold, which is arbitrary, unjust and capricious. It is submitted that on the earlier occasions also, the respondents have made similar attempts to make allotment of industrial plots in Balanagar Industrial Estate to the sub tenants of the members of the petitioner association and in such circumstances, some of the members of the petitioner association filed W.P.No.36273 of 2018 seeking to declare the memo dated 10.09.2018 vide No.501/IP and INF/A1/2018 which proposed to regularize the land allotted to the members of the petitioner association in favour of the tenants as illegal and arbitrary. It is submitted that the interim order dated 11.10.2018 was passed directing the respondents to maintain status-quo until further orders and such orders are still in force. It is submitted that another writ petition i.e., W.P.No.37185 of 2018 was filed by some of the members of the petitioner association and similar order of status-quo dated 11.10.2018 has been granted therein. It is submitted that while the status-quo orders are in force, the impugned action of the respondents in processing the requests of the sub tenants of the members of the petitioner association for allotment of land is in gross violation of such orders of this Court. It is submitted that the respondents No.1 to 4 have acted in deviation of the policy to covert the rights of the original allottees into freehold right by contemplating to grant such freehold rights to the sub tenants without
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