COLLECTOR DISTT GWALIOR Vs. CINE EXHIBITORS P LTD

JUDGEMENT

(1.) Special leave granted in both the petitions.

(2.) In these two appeals, the defensibility and legal pregnability of the judgment and order dated 28 th March, 2010 passed by the Division Bench of High Court of Judicature of Madhya Pradesh, Jabalpur, Bench at Gwalior in Writ Appeal No. 234 of 2007 and the order dated 22 nd September, 2010 in R.P. No. 83 of 2010 whereby the Division Bench has dislodged the order passed by the learned Single Judge in Writ Petition No. 1718 of 2002 wherein the writ court had declined to interfere with the order dated 9.8.2002 passed by the Chief Executive Officer, Gwalior Development Authority (for short " the GDA"), who, by the said order, had terminated the lease of the first respondent herein and directed it to surrender the possession of the property within seven days, failing which appropriate action to be taken against it in accordance with law, is called in question.

(3.) The succinct expose' of facts are that the GDA issued an advertisement for allotment of plot No. 1 admeasuring 40160 sq. feet situated in the locality known as Mayur Market for the purpose of construction of a cinema house and, in the public auction, the respondentcompany, the first respondent herein, became the highest bidder and accordingly, a lease agreement was executed on 27.5.1978 between the GDA and the respondent company. The said lease agreement was for a period of thirty years with the stipulation of a right of renewal subject to certain conditions. It was asserted in the writ petition that after execution of the lease deed, the respondent company constructed a cinema hall and commenced the business. As certain disputes arose between the directors of the company, it was eventually resolved that the licence for running the cinema should be surrendered and in consonance with the resolution, a letter was issued to the Collector concerned, who cancelled the licence for running the cinema hall. After closure of the cinema hall, the GDA, by communication dated 2.8.2002, terminated the lease and directed for handing over possession of the land in question.