SC restrains fresh third-party rights, devp on 268 acres
Hitender Rao

hrao@hindustantimes.com

Chandigarh : The Supreme Court has restrained real estate developers and landowners from creating fresh third-party rights on 268 acres which was once sought to be acquired for creating an industrial township in Gurugram’s Manesar.

The 268 acres was part of the 688 acres being acquired for public use and dropped during the Congress regime in 2007. A CBI investigation was ordered in 2015 and the decision to drop acquisition proceedings was set aside by the apex court in 2018.

Last week, the SC passed a restraint order while hearing a prayer seeking clarification whether its 2018 judgment will also cover land parcels purchased prior to the date of section 4 notification on August 27, 2004 but transferred by the landholders during August 27, 2004 to January 29, 2010 by way of collaboration agreements in favour of other parties and whether they will form part of the deemed award ordered by the court. The apex court in its order said pending further considerations, no third-party rights shall be created and no fresh development in respect of the entire 268 acres of land shall be undertaken. Besides, all three aforesaid developers are restrained from creating any fresh third-party rights and going ahead with development of unfinished works at the site except those related to maintenance and upkeep, the SC said.

The top court is expected to decide the issue of transfer and collaboration of certain land parcels by landowners and real estate developers during its subsequent hearings.

Additional advocate general (AAG) Alok Sangwan told the SC that collaboration agreements in three cases were entered into by the concerned landholders after August 27, 2004. Those collaboration agreements were taken note of by the state officials and directions were issued. As a result, about 40 acres was allowed to be developed by the Conway Developers presently known as Frontier Home Developers, Karma Lakeland and Paradise System, the AAG said.

However, 25.95 acres covered by Karma Lakeland is still lying undeveloped. Sangwan sought a clarification whether these land parcels are part of the deemed award or not. Senior additional advocate general Anil Grover said the land covered by section 6 declaration was to the tune of 688 acres and as per the court directions, the state extended benefit to the extent of 268 acres by declaring it be outside the deemed award.

“Since all the antecedent stages and steps prior thereto were properly and validly undertaken, and since August 24, 2007 decision has been held by the court to be an exercise of fraud on power, it is directed that an award is deemed to have been passed on August 26, 2007 in respect of lands covered by declaration under section 6 and also which were transferred by the landholders during August 27, 2004 to January 29, 2010. The lands which were not transferred during this period are not governed by these directions,’’ the SC had said.