HYDERABAD: The Telangana High Court has instructed the state government to revoke land allotments granted to industries that have not commenced construction or taken steps to establish their businesses.
This directive was issued by a division bench comprising Chief Justice Alok Aradhe and Justice J Sreenivas while hearing a public interest litigation (PIL) filed by the Campaign for Housing and Tenural Rights (CHATRI), represented by secretary S Jeevan Kumar.
The court specifically named several companies, including M/s Indu Techzone Private Limited, M/s Brahmani Infratech Private Limited, M/s Stargaze Properties Private Limited, M/s Anantha Technologies Limited, and M/s JT Holdings Private Limited, as respondents. It ordered the cancellation of their land allotments if they do not initiate operations within four months.
The PIL argued that public resources, such as land, should be utilized for the benefit of the community rather than being concentrated in the hands of a few. The petitioners contended that the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) allocated large tracts of land in and around Hyderabad and other regions of undivided Andhra Pradesh to private firms at nominal rates without public tender or auction, in violation of constitutional principles.
According to the petitioners, over 4,156 acres of land were allotted between 2001 and 2006 by the APIIC on a nomination basis without competitive bidding, raising concerns about transparency and the misappropriation of public resources.
The petitioners also referenced a response to a Right to Information (RTI) request, confirming that the land allotments were made without a competitive bidding process.
In defense of the allotments, the state revenue department argued that demand for industrial land was low at the time, and these allotments were made to stimulate industrial growth. They stated that the procedure was based on entrepreneurs' requirements and that auctioning land was only introduced when demand outstripped supply.
However, the court emphasized that the state, as custodian of public resources, must ensure that these resources serve the public good and are not monopolized by a few entities. The court ordered the state government to take action against companies that have failed to develop the allotted land and to prioritize public interest in future land transactions.