Skip to main content

Standing industrial unit cannot be acquired for industrialization: SC

The Supreme Court has scoffed at Haryana's land acquisition policy under which authorities had acquired a fully operational industrial unit and its land for setting up an industrial estate.

A bench of Chief Justice P Sathasivam and Justice Ranjana P Desai quashed acquisition of the land on which the industrial unit was functioning and said, "We are of the view that there is no justification in acquiring a running industrial unit for industrialization of the area."

This happened at Kundli, a stone's throw from Delhi, where the authorities in 2005 acquired the land on which an industrial unit of VKM Katha Industries Ltd had been functioning since 1994. The unit was registered as a small-scale industrial unit with the director, industries department, Haryana, and was manufacturing kattha for various tobacco and non-tobacco products.

On December 21, 2005, Haryana government's industries department issued a notification under Section 4 of the Land Acquisition Act for acquisition of certain land in Kundli and Sirsa villages for development of a industrial estate and the land belonging to the company was covered under the said notification.

The company challenged the acquisition but the Punjab and Haryana high court dismissed its writ petition on July 8, 2008. The company's counsel Guru Krishna argued that the industrial unit was running on the date of acquisition, hence it could not have been acquired by the government to set up an industrial estate.

The company showed to the court that the construction at the site in question was of excellent quality and also pointed out that similar units running in the area were left out of the acquisition process.

Justice Sathasivam, authoring the judgment for the bench, said, "On going through the materials placed, we are satisfied that the appellant-company has established that it is a running industrial unit even prior to the notification under the Land Acquisition Act."

Though Haryana's additional advocate general Manjit Singh Dalal pointed out that the acquisition process was carried out in letter and spirit, the bench said, "In other words, even if the government or the authority concerned excludes the land of the appellant-company, there would not be any difficulty in executing the scheme."

Article referred: http://articles.timesofindia.indiatimes.com/2013-08-21/india/41432732_1_land-acquisition-act-industrial-unit-acquisition-process

Comments

Most viewed this month

Court approached in the early stages of arbitration will prevail in all other subsequent proceedings

In National Highway Authority of India v. Hindustan Steelworks Construction Limited, the Hon'ble Delhi High Court opined that once the parties have approached a certain court for relief under Act at earlier stages of disputes then it is same court that, parties must return to for all other subsequent proceedings. Language of Section 42 of Act is categorical and brooks no exception. In fact, the language used has the effect of jurisdiction of all courts since it states that once an application has been made in Part I of the Act then ―that Court alone shall have jurisdiction over arbitral proceedings and all subsequent applications arising out of that agreement and arbitral proceedings shall be made in that Court and in no other Court. Court holds that NHAI in present case cannot take advantage of Section 14 of the Limitation Act, 1963 for explaining inordinate delay in filing present petition under Section 34 of this Act in this Court.

No Rebate For Stamp Duty Paid In Another State - Bombay HC

A three judge bench of the Hon'ble Bombay High Court (Bombay HC) in a recent judgment in the matter of Chief Controlling Revenue Authority, Maharashtra State, Pune and Superintendent of Stamp (Headquarters), Mumbai v Reliance Industries Limited, Mumbai and Reliance Petroleum Limited, Gujarat1 has held that orders in case of a scheme of arrangement under Section 391 to 394 of the Companies Act, 1956 (Act) involving different High Courts in multiple states, are separate instruments in themselves. Accordingly, stamp duty would be payable on all the orders (and consequently, all the states) without the benefit of remission, rebate or set-off.

The recovery of vehicles by the financier not an offence - SC

Special Leave Petition (Crl.) No. 8907  of 2009 Anup Sarmah (Petitioner) Vs Bhola Nath Sharma & Ors.(Respondents) The petitioner submitted that  respondents-financer had forcibly taken away the vehicle financed by them and  illegally deprived the petitioner from its lawful possession  and  thus,  committed  a crime. The complaint filed by the petitioner had been  entertained  by  the Judicial Magistrate (Ist Class), Gauhati (Assam) in Complaint Case  No.  608 of 2009, even directing the interim custody of the vehicle (Maruti  Zen)  be given to the petitioner vide order dated  17.3.2009.  The respondent on approaching the Guwahati High  Court against this order, the hon'ble court squashed the criminal  proceedings  pending   before  the  learned Magistrate. After hearing both sides, the Hon'ble Supreme Court decided on 30th...