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Madras High CourtWP/6480/2022disposed of

M/S.Maharani Paints Private Limited v. The State Industries Promotion

2026-03-23Honourable Mr Justice Krishnan Ramasamy7 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 23-03-2026

CORAM

THE HON'BLE MR JUSTICE KRISHNAN RAMASAMY WP Nos. 6480 & 6485 of 2022 and WMP Nos. 6567 & 6571 of 2022 M/s.Maharani Paints Private Limited, Plot No.137, Sector-24, Faridabad 121 005, Haryana State, Rep by its Manager Mr. Pawan Malhotra ..Petitioner in both petitions Vs

1. The State Industries Promotion Corporation of Tamil Nadu Ltd., (A Government of Tamil Nadu Undertaking) No. 19-A, Rukmani Lakshmipathy Road, Post Box No. 7223 Egmore, Chennai 600008, Rep. by its Chairman & Managing Director

2. The Estate Officer, SIPCOT Industrial Complex, Phase III, Ranipet 623 403.

3. The Project Manager, SIPCOT Industrial Complex, Phase III, Ranipet 623 403.

..Respondents in both petitions Prayer in W.P.No.6480 of 2022: Writ Petition filed under Article 226 of the Constitution of India, seeking issuance of writ of certiorarified mandamus, calling for the records pertaining to the impugned eviction order in Procds No. Po / RPT / Maharani Panints / 2021 - dated 09.08.2021 passed by the 2nd

Respondent for evicting the petitioner from Plot No. S-11 measuring 2.00 acres SIPCOT Industrial complex, Ranipet Phase III and quash the same as illegal. arbitrary.

Prayer in W.P.No.6485 of 2022: Writ Petition filed under Article 226 of the Constitution of India, seeking issuance of writ of certiorarified mandamus, calling for the records pertaining to the impugned order in D-II / SICR / 8 / MPPL / 2015 dated 19.02.2020 passed by the 1st Respondnet cancelling the Allotment of Plot No. S -11 measuring 2.00 acres SIPCOT industrial complex Ranipet Phase III and quash the same as illegal, arbitrary. For Petitioner(s):

Mr.C.Prasanth Gopal for Mr.K.K.Sivakumar in both petitions For Respondent(s):

Mr. M.P.Rajavelayutham in both petitions Common Order These writ petitions have been filed challenging the order dated 19.02.2020 passed by the 1st respondent cancelling the allotment and also the impugned order dated 09.08.2021 passed by the 2nd respondent evicting the petitioner from the Plot No.S-11 measuring 2.00 acres, SIPCOT Industrial Complex, Ranipet Phase-III.

2. The learned counsel appearing for the petitioner would submit that initially the plot was allotted in favour of the petitioner on 20.03.2008 thereafter, the same was handed over possession on 06.08.2008. Due to the various reasons, the petitioner was not able to commence commercial

production therefore, the 1st respondent passed the impugned order dated 19.02.2020 cancelling the allotment made in favour of the petitioner and subsequently, the 2nd respondent passed an order dated 09.08.2021 evicting the petitioner from the said premises. He would submit that as per the terms and conditions of the allotment, the petitioner supposed to have commenced commercial production within 30 months from the date of handing over the plot however, the same was not complied due to the reasons that there was no water supply and there was a delay in getting the Pollution Control Board permission. He would further submit that the Pollution Control Board permission was obtained only in the year 2020 therefore, now they are ready to commence industrial activities. Challenging the said impugned orders, the petitioner filed these writ petitions.

3. The learned counsel appearing for the respondents would submit that though the plot was allotted on 20.03.2008 and handed over possession on 06.08.2008, for a period of twelve years i.e., till the date of cancellation of the allotment on 19.02.2020, the petitioner has not complied the terms and conditions of the allotment, particularly, commencement of industrial activities within 30 months and even after 30 months period, no application was made by the petitioner for the purpose of extension of time relaxing the 30 months period. He would further submit that even though the petitioner had failed to file application for extension of time and commenced the commercial

production within the prescribed time limit, the respondents all along waited for twelve years and without any other option, cancelled the allotment made in favour of the petitioner and allotted the said plot to the third parties on 15.02.2022. It is stated that the third parties constructed factory in the said premises and commenced production therefore, in the event, if this Court is interfering with orders impugned, the third parties interest will affect.

4. Heard the learned counsel appearing for the petitioner as well as the respondents and perused the material available on record.

5. I find some force in the submission in the learned counsel appearing for the respondents. As per the terms and conditions of the allotment, the petitioner supposed to have commenced production within a period 30 months from the date of handing over of possession i.e., 06.08.2008, which is atleast on or before February, 2011. Admittedly, no such production was commenced on the part of the petitioner and if there is no production, the petitioner supposed to have made an application for extension of time for commencing production. Admittedly, no such application was also made by the petitioner. Under these circumstances, even after expiry of the time limit prescribed in the allotment, the respondents waited for more than 10 years and passed an order for cancellation. It is also undisputed that the third party allotment was made and the third parties constructed factory and commenced production.

6. Under these circumstances, this Court is not inclined to interfere with the orders passed by the respondents as the petitioner has not at all complied the original terms and conditions of allotment dated 20.03.2008. However, since the petitioner is entitled for the refund of the amount that have been paid in terms of Clause-6 of the original allotment order dated 20.03.2008, the respondents are directed to refund the same proportionately. In the event the petitioner is making any application for fresh allotment, whatever the amount he is entitled for refund in terms of Clause-6 of the allotment dated 20.03.2008, the same can be adjusted, if any fresh allotment is made at the request of the petitioner.

7. These Writ Petitions are disposed of with the above terms. No costs. Consequently, connected miscellaneous petitions are closed. 23-03-2026 Index: Yes/No Speaking/Non-speaking order KKN

To

1. The Chairman & Managing Director, State Industries Promotion Corporation of Tamil Nadu Ltd., (A Government of Tamil Nadu Undertaking) No. 19-A, Rukmani Lakshmipathy Road, Post Box No. 7223 Egmore, Chennai 600008.

2. The Estate Officer, SIPCOT Industrial Complex, Phase III, Ranipet 623 403.

3. The Project Manager, SIPCOT Industrial Complex, Phase III, Ranipet 623 403.

KRISHNAN RAMASAMY J.

KKN WP Nos. 6480 & 6485 of 2022 23-03-2026