HC directs Noida authority to reconsider plot cancellation in Sector 61

The Allahabad high court has directed the chief executive officer (CEO) of Noida authority to grant one more year for construction to a petitioner, whose lease deed

The Allahabad high court has directed the chief executive officer (CEO) of Noida authority to grant one more year for construction to a petitioner, whose lease deed for a plot in Sector 61 was cancelled in August 2020.

HT Image

Noida Authority in an order, dated August 7, 2020, had cancelled the lease deed of a plot in Sector 61 with the observation that the land in question was not utilised by the petitioner.

The authority’s counsel stated that physical possession of the said plot has not been taken by the authority. Moreover, the counsel argued in the matter of cancellation of the lease deed, for violation of the terms and conditions therein, the Uttar Pradesh Industrial Development (Amendment) Ordinance, 2020, would be relevant. The ordinance provides for insertion in Section 7 of the U.P. Industrial Area Development Act, 1976, that states: “Provided that where any land so allotted is not utilised for the purpose for which it was allotted within the period of five years from the date of possession or within the period fixed for such utilisation in the conditions of allotment, whichever is longer, the lease deed will stand cancelled and the land shall vest with the Authority.”

Noida Authority Legal Department said high court order will be complied as per amended ordinance.

The authority had in August cancelled allotment of three plots for violation of the conditions mentioned in the lease deed. The authority had taken action in response to a UP government ordinance that came in July 2020 stating that a plot should be cancelled if the owner was found to be violating terms and conditions of allotment. These terms and conditions include violation of land use, default of plot cost and delay in making the business functional among others, said officials.

“The authority cancelled the allotment on violations of lease deed conditions. Some were using the plot for purposes other than permitted use for example, for commercial purposes. However if the Allahabad high court has issued any order, then we will obey the same,” said Avinash Tripathi officer on special duty of the Noida authority.