Patna High Court
M/S Bharat Chemical Product vs The Managing Director on 29 April, 2025
Author: Partha Sarthy
Bench: Partha Sarthy
IN THE HIGH COURT OF JUDICATURE AT PATNA
Civil Writ Jurisdiction Case No.919 of 2024
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M/s Bihar Fuel Industries, having its Head Office at Barun Industrial Area, At
and P.O. Barun District-Aurangabad, Bihar through its Partner Sri Krishna
Sharma, S/o Late Ram Ratan Sharma, Resident of Pani Tanki, Dehri-on-Sone,
P.S. Dehri, District-Rohtas, Sasaram, Bihar.
... ... Petitioner/s
Versus
1. The Bihar State Industrial Area Development Authority through Managing
Director, Udyog Bhawan, Gandhi Maidan, Patna.
2. The Dy. General Manager, Gaya Cluster, Bihar Industries Area Development
Authority, Barun. District-Aurangabad.
3. Development Officer, BIADA, Udyog Bhawan, Gandhi Maidan, Patna.
... ... Respondent/s
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with
Civil Writ Jurisdiction Case No. 14500 of 2022
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1. M/s Bharat Chemical Product through its Properitors Md. Shahid Hussain,
aged About 48 Years, S/o-Late Zafiruddin
2. Md. Shakir Hussain, S/o-Late Zafiruddin, both are Resident of Ward no.3,
Devara, Mosadpur, District-Begusarai.
... ... Petitioner/s
Versus
1. The Managing Director, Bihar Industrial Area Development Authority, First
Floor, East Gandhi Maidan, Patna 800004.
2. The Executive Director, Bihar Industrial Area Development Authority, First
Floor, East Gandhi Maidan, Patna 800004.
3. The Senior Accounts Officer, Bihar Industrial Area Development Authority,
First Floor, East Gandhi Maidan, Patna 800004.
4. The Development Officer, Bihar Industrial Area Development Authority,
First Floor, East Gandhi Maidan, Patna 800004.
5. The Development Officer, Bihar Industrial Area Development Authority,
Regional Officer, Muzaffarpur.
6. The Deputy General Manager, Bihar Industrial Area Development Authority,
Muzaffarpur. Cluster, District-Muzaffarpur.
7. The Executive Director, Bihar Industrial Area Development Authority,
Regional Officer, Bela, Darbhanga.
8. The Regional Incharge, Industrial Area, Barauni.
... ... Respondent/s
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with
Civil Writ Jurisdiction Case No. 16375 of 2022
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M/s International Binding Unit a society having its administrative office at 61,
South New Patliputra Colony, Patna- 800013 represented by its treasurer
Patna High Court CWJC No.919 of 2024 dt.29-04-2025
2/8
namely Mumtazul Hasan male aged about 65 years son of late Dr. Zahirul
Hasan resident of 4 KA, Tatarpur, Bijlichak Gali, Asanandpur, Bhagalpur-
812002.
... ... Petitioner/s
Versus
1. The State of Bihar through the Secretary Department of Industries,
Government of Bihar, New Secretariat, Bailey Road, Patna.
2. The Principal Secretary, Department of Industries, Government of Bihar,
New Secretariat, Bailey Road, Patna.
3. The Bihar Industrial Area Development Authority, Udyogh Bhawan, East
Gandhi Maidan, Patna through its Managing Director.
4. The Managing Director, Bihar Industrial Area Development Authority,
Udyogh Bhawan, East Gandhi Maidan, Patna.
5. The Joint Managing Director, Bihar Industrial Area Development Authority,
Patna cluster Udyogh Bhawan, East Gandhi Maidan, Patna.
6. The General Manager, Bihar Industrial Area Development Authority, Patna
Cluster Udyogh Bhawan, East Gandhi Maidan, Patna.
7. The Executive Director, Regional Office, Bihar Industrial Area Development
Authority, Patna.
8. The District Magistrate, Patna.
9. The Senior Superintendent of Police, Patna.
... ... Respondent/s
======================================================
Appearance :
(In Civil Writ Jurisdiction Case No. 919 of 2024)
For the Petitioner/s : Mr. Arbind Kumar Jha, Advocate
For BIADA : Mr. Bindhyachal Singh, Sr. Advocate
Mr. Gyan Shankar, Advocate
(In Civil Writ Jurisdiction Case No. 14500 of 2022)
For the Petitioner/s : Mr. Amarendra Kumar, Advocate
For BIADA : Mr. Bindhyachal Singh, Sr. Advocate
Mrs. Binita Singh, Advocate
(In Civil Writ Jurisdiction Case No. 16375 of 2022)
For the Petitioner/s : Mr. Gautam Kumar Kejriwal, Advocate
Mr. Mukund Kumar, Advocate
Mr. Akash Kumar, Advocate
Mr. Aditya Raman, Advocate
For BIADA : Mr. Ajit Kumar, Advocate
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CORAM: HONOURABLE THE ACTING CHIEF JUSTICE
and
HONOURABLE MR. JUSTICE PARTHA SARTHY
ORAL JUDGMENT
(Per: HONOURABLE THE ACTING CHIEF JUSTICE)
Date : 29-04-2025
All the petitions, in which the referral has been
Patna High Court CWJC No.919 of 2024 dt.29-04-2025
made by the learned Single Judge, are being disposed of
by this common judgment.
2. We have heard Mr. Arvind Kumar Jha, the
learned Advocate for the writ petitioners and Mr.
Bindhyachal Singh, Senior Advocate, Mr. Ajit Kumar and
Mrs. Binita Singh, Advocates for the BIADA.
3. The petitioner's allotment of the land by the
BIADA was cancelled under Section 6(2)(a) of the Bihar
Industrial Area Development Authority Act, 1974, which
was challenged before the High Court vide CWJC No.
14119 of 2022.
4. The charge against the petitioner was that the
unit for which the land was allotted to him had not been
started and made functional despite passage of time.
5. During the course of hearing of the aforenoted
writ petition, a consensus had been arrived at whereby the
writ petitioner by filing an affidavit, undertook that within
60 days, he will start commercial production in the unit, if
the possession of the premises is handed over to him by
Patna High Court CWJC No.919 of 2024 dt.29-04-2025
BIADA, or in the alternative, the order of cancellation is
recalled; failing which the petitioner shall give vacant and
peaceful possession of the premises to BIADA.
6. The further undertaking by the petitioner was
that the unit shall be made fully operational and functional
within six months and all the dues payable to BIADA as on
date would be cleared. The petitioner was also required to
make the unit compliant of all statutory regulations
governing the said unit, including the ones required for
protecting the interest of the employees.
7. One of the major undertaking of the writ
petitioner was that in the event of failure on part of the
petitioner to comply with the undertaking, referred to
above, he shall hand over the vacant land and peaceful
possession of the premises to BIADA with liberty for
further allotment to third party and the petitioner shall lose
all rights therein. He would also be liable for initiation of
proceeding for contempt for having violated the
undertaking furnished to the Court.
Patna High Court CWJC No.919 of 2024 dt.29-04-2025
8. After recording the aforenoted undertaking of
the petitioner in the order dated 22.11.2022, the Bench
(that time such matters were being heard by a Division
Bench) ensured that the meaning of the undertaking was
communicated to the petitioner.
9. Based on such undertaking, an order was
passed by the Bench reiterating the undertaking of the
petitioner; recording satisfaction that the contents of the
undertaking were made known to the petitioner; and that
in the event of default of the undertaking, the petitioner
shall hand over the vacant and peaceful possession of the
allotted property to BIADA.
10. In this context, the Bench put the obligation
on BIADA, giving liberty to it to approach this Court,
should the petitioner failed to abide by the undertaking
furnished before this Court.
11. It so happened, as it appears from the
records, that BIADA, on finding that the undertaking by
the petitioner was not fulfilled, cancelled the allotment
Patna High Court CWJC No.919 of 2024 dt.29-04-2025
again.
12. An issue was raised before the learned Single
Judge, where such matters are now being adjudicated,
that before taking any precipitate action, the BIADA,
under the orders passed by the Division Bench, referred to
above, was under an obligation to approach the Court first;
seek liberty and only then pass any order.
13. On such a plea by the petitioner, the learned
Single Judge referred the matter to the Division Bench for
interpreting the order dated 22.11.2022, referred to
above, as it was passed by a Division Bench.
14. A plain reading of the order makes is very
obvious that the undertaking was of the writ petitioner.
15. The aforenoted undertaking was accepted by
the Bench and it was directed that in case of any default
by the petitioner, he shall hand over the vacant and
peaceful possession of the allotted property to BIADA.
16. This fact had to be communicated to the
Court by the BIADA so that necessary action could be
Patna High Court CWJC No.919 of 2024 dt.29-04-2025
taken against the writ petitioner for breach of the
undertaking given by him before this Court.
17. Merely because a part of the order has been
couched in such a way so as to suggest that before taking
any precipitate action, permission of the Court was
necessary, it would not become imperative for the BIADA
to first approach this Court and only after seeking liberty,
take any action.
18. This would not be a correct reading of the
order of the Division Bench.
19. The Bench vide order dated 22.11.2022, had
only clarified the undertaking given by the writ petitioner
and in case of any default, meaning thereby that if the unit
would not be started within 60 days or would not be made
fully functional or operational within six months, the
vacant and peaceful possession would be handed over to
BIADA. If that is not done, the matter had to be reported
to the Court by BIADA.
20. The Court by introducing such term in the
Patna High Court CWJC No.919 of 2024 dt.29-04-2025
order only ensured that the writ petitioner did not run
away from his responsibility and not face the Court for its
contempt.
21. The order dated 22.11.2022 cannot be read
as putting any restraint on the BIADA for seeking
permission of the Court before cancelling the allotment.
22. With the aforenoted clarification, all the
cases are remitted to the learned Single Judge for
adjudication on their respective merits.
(Ashutosh Kumar, ACJ)
(Partha Sarthy, J)
Rajesh/Bibhash
AFR/NAFR NAFR
CAV DATE NA
Uploading Date 01.05.2025
Transmission Date NA
