AXIS TRUSTEE SERVICES LTD Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) The issue involved in these writ petitions is common, hence, with the consent of the counsel for the parties arguments have been heard together and both these writ petitions are decided by the present common order.

(2.) For the sake of convenience, the facts and the prayer mentioned in the SB Civil Writ Petition No.7306/2022 are taken into consideration. The instant petition has been filed by the petitioner with the following prayer:

(3.) Learned counsel for the petitioners submit that the land in question was allotted by the Jaipur Development Authority (for short 'JDA') to M/s Neesa Leisure Limited (for short "NLL") on certain terms and conditions for construction of Golf Course and Golf Academy, for which a lease deed was also executed in between the petitioner-NLL and the JDA. Subsequently, a clarification was made by the JDA and thereafter, the NLL was allowed to raise construction of Golf Course-9 Hole, Golf Academy with audio video classroom, two driving ranges with 24 hilling stations, mini Golf for children, virtual Golf, Golf Cottages, conference halls, indoor and outdoor banquets, Billiard room, indoor sports facilities, outdoor sport facilities, night Golfing facilities, pro-shop, Swimming pool, Spa, Gymnasium, business lounge and Coffee Shop. For raising construction of all these facilities, the petitioner-NLL applied for loan of Rs.175.00 Crore from different Banks and financial institutions i.e. 1. Asset Care and Reconstruction Enterprise Ltd. (Assignee of Axis Bank Ltd.), 2. Bank of India, 3. Corporation Bank, 4. Oriental Bank of Commerce, 5. Edelweiss Asset Reconstruction Company Ltd., 6. Edelweiss Asset Reconstruction Company Ltd., 7.SIDBI, Navjeewan Amrit Jayanti Bhawan, Ahmedabad, 8. Syndicate Bank and thereafter, the loan of the aforesaid amount was advanced to the petitioner-NLL. Counsel submits that the construction raised as per the terms and conditions of the allotment order and the lease deed but all of a sudden, allotment of the petitioner-NLL was cancelled by the JDA vide impugned order dtd. 23/8/2017 indicating therein that there were certain violations of the terms and conditions and a 5-Star hotel, villas, etc. were constructed over the land allotted to the petitioner-NLL. Counsel submits that a registered lease deed cannot be cancelled by the JDA. It is only the competent Civil Court who can cancel the registered lease deed, in case any suit in this regard is filed by the aggrieved person. Counsel submits that under these circumstances, both the petitioners approached Appellate Tribunal, JDA against the said cancellation order by way of filing two different appeals. Counsel submits that going beyond the subject matter involved in the appeals, the Appellate Tribunal rejected both the appeals observing therein that the constructions were done by the petitioner-NLL in violation of the terms and conditions of the allotment order and the financial institutions/Banks have also not seen the terms and conditions of the allotment order, before advancing the loan to the petitioner-NLL. Counsel submits that the order dtd. 3/3/2022 passed by the Appellate Tribunal is not sustainable in the eye of law. Counsel submits that without any basis an allegation was levelled against the petitioner-NLL that a 5-Star hotel and villas were constructed over the land in question. Counsel submits that even the Ministry of Tourism, Government of India granted permission to the petitioner-NLL to develop the land by way of providing 5-Star facilities in the premises of Golf Course and Golf Academy. Counsel submits that under these circumstances, interference of this Court is warranted. In support of their contentions, counsels have place reliance upon the following judgments: