IN THE HIGH COURT OF JUDICATURE FOR THE STATE OF TELANGANA
NAGESH BHEEMAPAKA, J.
M/s Brundavan Projects - Petitioner
Versus
The State of Telangana Rep. by its Principal Secretary, Urban Housing Department, Hyderabad & others - Respondents
WRIT PETITION No. 33046 OF 2025
Decided On : 09-01-2026
| Table of Content |
|---|
| 1. background of allege cancellation and noc request (Para 1 , 2) |
| 2. defendant's arguments against the writ petition (Para 4) |
| 3. counsel appearances (Para 5) |
| 4. court's analysis and rationale for dismissing the writ (Para 6 , 7 , 8 , 9 , 10 , 11 , 12) |
| 5. final order and closure of the case (Para 13 , 14) |
ORDER :
NAGESH BHEEMAPAKA, J.
Challenging the action of the 2nd respondent -Telangana Rajiv Swagruha Corporation Limited (Corporation) in issuing broacher dated 10.09.2025 proposing to sell the semi- finished flat Nos. 205, 209, 210, 211 and 412 of unfinished tower A02 at Pocharam, Ghatkesar Mandal, Medchal-Malkajgiri District in Sadbhavana Township which were allotted to petitioner by the 7th respondent, petitioner is before this Court. Consequential direction is sought to the 2nd respondent to issue ‘No Objection Certificate’ to petitioner in respect of the above flats and to register the said flats after receipt of sale consideration from petitioner.
2. The case of petitioner is that the State Government authorised the 2nd Respondent-Corporation to construct and sell the house flats at Pocharam, Ghatkesar Mandal with the approval of HMDA. In furtherance of the notification issued by the 2nd respondent, the 7th respondent participated in the tender and they became the successful bidder and accordingly, was allotted flats in Tower A02, 120 unfinished flats who, in turn, to complete the finishing of all the 120 flats and to sell them to the prospective buyers.
2.1. In terms of the allotment, the 7th respondent took up the requisite works for completing the unfinished 120 flats by investing huge amounts. Petitioner firm, it is stated, purchased the subject flats and remitted the amount to respondent Corporation. When petitioner approached the bankers for availing loans, they insisted for securing ‘NOC’ from the 2nd respondent, but the 2nd respondent did not issue the same and dragging the matter. The 7th respondent also could not secure the ‘NOC’ from the 2nd respondent.
2.2. While so, it is stated, petitioner came to know through the broacher distributed by the 2nd respondent dated 10.09.2025 the proposal to conduct lottery on 25.09.2025 at 11.30 a.m. at Telangana Housing Corporation Building Meeting Hall, Himayathnagar and a pre-bid meeting was on 17.09.2025, but the said meeting was postponed. However, Respondents 2 to 4 are again making efforts for conducting sale proceedings including petitioner flats.
2.3. It is stated further, in similar circumstances, this Court granted interim order dated 18.09.2025 in Writ Petition No. 28502 OF2025 suspending the subject broacher in respect of petitioners therein and the present case is squarely covered by the facts of the above said Writ Petition.
2.4. The case of petitioner is that the 7th respondent was allotted A02 Tower at Pocharam vide proceedings Lr.No. 04/TRSCLLEM/Unfinished Towers/2023 dated 07.06.2023. They paid EMD and also paid part of balance amount, but did not complete the work of construction within the permitted time of four months Hence, they made Application dated 04.10.2024 for extension of time which was extended up to 05.01.2025 by Corporation's letter dated 17.10.2024.
2.5. In terms of the said allotment, the 7th Respondent advertised that 120 flats are available for sale in A02 Tower. Petitioner purchased the subject Flats and remitted the amount to respondent-Corporation. Since the 7th respondent failed to pay the amounts within time, the Corporation passed the order of cancellation in Lr. No. 04/TGRSCLEM/A02 Unfinished Towers/PCHRM/2023, dated 21.01.2025 cancelling the allotment and forfeiting the token advance and first instalment amount of Rs. 3,05,10,000/-. The 7th respondent approached the Corporation and submitted letter dated 24.03.2025 for issuance of ‘NOC’ for completing the work, however, ‘NOC’ was not given. The Corporation also issued a communication to the 2nd respondent calling upon to pay Rs. 29.51 Crores. The 7th respondent submitted a list
Monarch Infrastructure (P) Ltd. v. Commissioner, Ulhasnagar Municipal Corporation
The court affirmed that disputes of a commercial nature are not within the writ jurisdiction under Article 226, emphasizing the responsibility of fulfilling contractual obligations.
Writ petitions are not maintainable in commercial disputes unless arbitrariness or illegality is demonstrated; contractual obligations must be fulfilled by the parties involved.
The court held that administrative authorities must act within legal bounds, and their inaction in issuing NOC and executing Sale Deed was arbitrary, necessitating compliance with conditions for reli....
The cancellation of allotment was justified due to the petitioner's failure to comply with payment terms, emphasizing the importance of adhering to auction conditions and public interest.
The court emphasized the legal principles related to the disposal of public properties, legitimate expectations, and the authority's discretion in allotment decisions.
Writ petitions can be maintained against administrative actions affecting contracts, especially when principles of natural justice and public policy are at stake.
Not providing correct, rectified and complete documents to allottee amounts to deficiency in service on part of development authority.
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