An auction purchaser has the right to change the industrial purpose of the land without being bound to the original allottee's industry type, as per relevant laws.

ORAL JUDGMENT

Date : 17-04-2023

Heard learned counsel for the parties.

2. This writ petition has been filed by the petitioner, being the auction purchaser of an industrial land, which was originally allotted by BIADA to one M/s Bombay Safe and Steel Works, who changed its name to M/s Jupiter Electrical Lamps. The land was originally allotted on 16.04.1971. The lease hold right was auctioned by the BIADA in RP Case No.53/2002 and the petitioner purchased the property, which was handed over to him on 11.12.2009. The BIADA, vide Memo No. 6815, dated 03.12.2014, allowed the land to be transferred in favour of the petitioner with certain conditions. In terms of the said conditions, the petitioner was required to start production within six months from the date of transfer of the land. The property in question fell into litigation, upon which certificate debtors filed an appeal, being Appeal No. 11 of 2009, before the Debts Recovery Tribunal, Patna and vide order dated 31.05.2010, the said appeal was allowed in his favour. The petitioner, against the said order, preferred an appeal, being Appeal No. 55 of 2010/Appeal (T) No. 47 of 2013, before the Debts Recovery Appellate Tribunal, Allahabad, which was allowed on 11.09.2013, against which a writ petition, being CWJC No. 21919 of 2013 (Jupiter Electricals and Lamps India Pvt. Ltd. Vs. The Union of India and Ors.) was preferred by the certificate debtor and the same was dismissed by this Court, vide order dated 11.01.2023.

3. It is the case of the petitioner that the lease papers of the land were not handed over to him by the bank on account of the aforesaid litigation and, ultimately, in terms of the order passed by this Court, on 16th of February, 2023, the lease papers of the land were handed over to the petitioner.

4. In the meanwhile, on account of non-performance and non-production, a show cause notice was issued to the petitioner by the BIADA on 22.05.2015 as to why the land allotted to him should not be cancelled and subsequently, on 23rd of July, 2022, the BIADA proceeded to cancel the allotment of land. The said cancellation order was challenged by the petitioner in CWJC No. 11911 of 2022 (M/s Kaveri Liquors (P) Ltd., Vs. the State of Bihar & Ors.) and this Court, vide judgment dated 24.01.2023, after hearing the respective counsel, quashed the order of cancellation of allotment of land dated 23rd of July, 2022, leaving it open for the respondent BIADA to proceed in accordance with law, after providing opportunity of hearing to the petitioner.

5. It is the further case of the petitioner that no show cause notice with regard to cancellation of allotment of land was thereafter ever issued to him, while it is the stand of the respondent that in terms of the order passed by this Court (supra), BIADA has again proceeded to give an opportunity of hearing to the petitioner and for the said purpose, he has been directed to present himself before the Director (D.I.), Industries Department to place his defence.

6. Learned Senior Counsel for the BIADA submits that the present writ petition, preferred by the petitioner for allowing him to change the nature of his industry to a hotel industry, ought not be examined at this stage, as the very question of allotment is under consideration before the Director (D.I.), Industries, Department. He prays for deferring the matter for another one month till the decision is taken with regard to the question of cancellation of allotment.

7. Learned Senior Counsel further submits that the question of allowing the petitioner to set up a hotel industry is beyond the provisions of Bihar Industria