M/S Hindustan Agro Tools vs The Bihar Industrial Area ...
2023 Latest Caselaw 352 Patna

          IN THE HIGH COURT OF JUDICATURE AT PATNA
                 Civil Writ Jurisdiction Case No.17202 of 2022
     ======================================================

M/S Hindustan Agro Tools a partnership firm, through its Partner Vijay Kumar Singla, Aged about 72 Years, (Male), Son of Late Beni Prasad, Resident of Lal Kothi, Goshala Road, Near Church, Mushahari, P.S. Mithanpura Muzaffarpur, Bihar.

... ... Petitioner/s Versus

1. The Bihar Industrial Area Development Authority (BIADA) Udyog Bhawan, Gandhi Maidan, Patna through its Chairman cum- Managing Director.

2. The Chairman cum Managing Director, Bihar Industrial Area Development Authority (BIADA), Udyog Bhawan, Gandhi Maidan, Patna.

3. The Joint Managing Director, Bihar Industrial Area Development Authority (BIADA), Udyog Bhawan, Gandhi Maidan, Patna.

4. The Executive Director, Bihar Industrial Area Development Authority (BIADA), Udyog Bhawan, Gandhi Maidan, Patna.

5. The DGM, Industrial Area, Muzaffarpur Cluster, Bihar Industrial Area Development Authority (BIADA), Industrial Area, Muzaffarpur.

... ... Respondent/s ====================================================== Appearance :

For the Petitioner/s : Mr. S.D. Sanjay, Sr. Advocate Mr. Brisketu Sharan Pandey, Advocate Mr. Madan Kumar, Advocate Mr. Abhishek Kumar, Advocate For the Respondent/s : Mr. Devesh Shankaran, Advocate ====================================================== CORAM: HONOURABLE THE CHIEF JUSTICE and HONOURABLE MR. JUSTICE PARTHA SARTHY ORAL JUDGMENT (Per: HONOURABLE THE CHIEF JUSTICE)

Date : 24-01-2023

Heard learned counsel for the parties.

Petitioner has prayed for the following relief(s):-

"

Patna High Court CWJC No.17202 of 2022 dt.24-01-2023

Patna High Court CWJC No.17202 of 2022 dt.24-01-2023

"

On 16.12.2022, we had passed the following order:-

" Learned counsel for the petitioner states that as on date possession of the unit/plot has not been taken over, which fact is seriously disputed by the learned counsel for the respondent BIADA. However, it is not in dispute that, as on date, no third party right stands created.

Statement accepted and taken on record.

As agreed, petitioner will file an undertaking before this Court to the effect that

(a) within sixty/ninety days, petitioner will start commercial production with BIADA handing over possession of the premises to the petitioner/recall of the order of cancellation.

With the petitioner failing to do, BIADA shall Patna High Court CWJC No.17202 of 2022 dt.24-01-2023

take over vacant and peaceful possession of the premises from the petitioner; (b) within six/nine months, petitioner shall make the Unit fully operational and functional at least to the capacity of 80% for the product sanctioned and allowed to be manufactured as per the original terms of allotment; (c) petitioner shall clear all uptodate dues payable to BIADA. This shall be done within four weeks from the date of handing over possession/recall of order of cancellation; (d) petitioner shall make itself compliant with all mandatory statutory requirements, including the ones protecting the interest of the employees; Petitioner shall clear all other statutory dues including G.S.T./electricity charges etc.; (e) in the event of failure on the part of the petitioner to comply with the undertaking, BIADA shall take over vacant and peaceful possession of the premises from the petitioner with liberty for further allotment to 3rd party, with the petitioner losing all rights therein and (f) petitioner shall be liable for initiation of proceedings for contempt for having violated the undertaking furnished to the Court.

Petitioner is ready and willing to furnish such an undertaking within next seven working days, failing which the petition shall be deemed to have been dismissed for default.

Copy of the undertaking be supplied to learned counsel for the respondents. Patna High Court CWJC No.17202 of 2022 dt.24-01-2023

However, BIADA has to recall the orders passed cancelling the allotment of the premises.

Let BIADA take a call on the offer made by the petitioner.

Learned counsel for the BIADA states that, should the petitioner make an application for change of user, it would be considered in accordance with the industrial policy, provided the petitioner does not take any benefit in terms thereof.

We are sure that the respondent BIADA would take a decision in the affirmative, which, in our considered view, would be in public interest as also in the interest of the State to generate economic growth as also provide employment to the people.

List on 24.01.2023 so as to enable learned counsel for the petitioner to file an undertaking on affidavit to the aforesaid effect, and till then no coercive steps be taken against the petitioner."

Pursuant to our order dated 16.12.2022, petitioner

has filed an undertaking on affidavit dated 23.12.2022, in the

following terms:-

"a) within sixty/ninety days, petitioner will start commercial production with BIADA handing over possession of the premises to the petitioner/recall of the order of cancellation. With the petitioner failing to do, BIADA shall take over vacant and peaceful Patna High Court CWJC No.17202 of 2022 dt.24-01-2023

possession of the premises from the petitioner.

(b) within six/nine months, petitioner shall make the Unit fully operational and functional at least to the capacity of 80% for the product sanctioned and allowed to be manufactured as per the original terms of allotment;

(c) petitioner shall clear all uptodate dues payable to BIADA. This shall be done within four weeks from the date of handing over possession/recall of order of cancellation;

(d) petitioner shall make itself compliant with all mandatory statutory requirements, including the ones protecting the interest of the employees; Petitioner shall clear all other statutory dues including G.S.T/electricity charges etc.;

(e) in the event of failure on the part of the petitioner to comply with the undertaking. BIADA shall take over vacant and peaceful possession of the premises from the petitioner with liberty for further allotment to 3rd party, with the petitioner losing all rights therein and

(f) petitioner shall be liable for initiation of proceedings for contempt for having violated the undertaking furnished to the Court."

Learned counsel for the BIADA states that petition

can be disposed of in terms of the undertaking so furnished.

The undertaking is accepted and taken on record.

Consequence of breach thereof, including initiation

of proceedings for contempt having violated the undertaking Patna High Court CWJC No.17202 of 2022 dt.24-01-2023

furnished before this Court stands explained to the petitioner

through the learned counsel.

As such, petition is disposed of in the following

terms:-

(a). Undertaking of the petitioner dated 23.12.2022

(reproduced supra) is accepted and taken on record;

(b) Petitioner has been made aware of the

consequences of breach thereof, including initiation of

proceedings for contempt;

(c) In the event of failure on the part of the

petitioner to comply with the undertaking, BIADA shall take

over vacant and peaceful possession of the premises from the

petitioner with liberty for further allotment to 3 rd party, with

the petitioner losing all rights therein and petitioner shall be

liable for initiation of proceedings for contempt for having

violated the undertaking furnished to the Court.

(d) Also, liberty reserved to BIADA, to approach

this Court, should the petitioner fail to abide by the

undertaking furnished before this Court.

(e) BIADA shall immediately recall the order and/or

hand over possession of the unit to the petitioner, whatever

the case may be. Learned counsel for the BIADA states that Patna High Court CWJC No.17202 of 2022 dt.24-01-2023

needful shall be done, positively, within a period of four

weeks from today.

(f) The timeline for commencement of the period of

undertaking furnished by the petitioner shall be reckoned

from such date, i.e. from the date the order is recalled and/or

possession of the unit is handed over by the respondent-

BIADA to the petitioner, whichever is later and as the case

may be.

Petition stands disposed of in the aforesaid terms.

Interlocutory Application(s), if any, shall stand

disposed of.

(Sanjay Karol, CJ)

(Partha Sarthy, J) Amrendra/PKP AFR/NAFR CAV DATE Uploading Date 25.01.2023 Transmission Date