Court Slams HIMUDA for ‘Throwaway’ Land Allotment at Parwanoo, Quashes Deal...
SHIMLA: Himachal Pradesh High Court today on Friday came down heavily on the Himachal Pradesh Housing and Urban Development Authority (HIMUDA) for allotting a prime piece of land at Parwanoo on a "first-come, first-serve" basis, bypassing public auction rules.
The case, Madan Lal Chaudhary vs. HP Housing and Urban Development Authority (CWP No. 3077 of 2023), was heard by a bench comprising Justice Tarlok Singh Chauhan and Justice Satyen Vaidya.
The court decried the arbitrary allotment of 899.97 square meters of prime land near Plot No. 46, Sector 1A, Parwanoo, to M/s MM & Company.
Interestingly, the land, initially leased for 33 years at Rs. 80.99 lakh and later extended to 99 years, was originally earmarked as a green area.
Petitioners, residents of Sector 1A Parwanoo, challenged the allotment, alleging blatant violations of HIMUDA’s own rules and bye-laws.
They were represented by Senior Advocate Anshul Bansal. HIMUDA, represented by Advocate R.L. Sharma, argued that surplus land can be allotted to adjoining plot owners on a "first-come, first-serve" basis without public notice.
The court, however, found that M/s MM & Company did not own any adjoining land and that the allotment defied the policy under which it was granted.
The bench underscored that HIMUDA, as a state instrumentality, is the custodian of public assets and cannot distribute them at the whims of its officials.
"The land in question, being adjacent to the National Highway, is a valuable piece of property.
Had it been auctioned, it would have fetched a much higher price. The arbitrary allotment has caused a significant loss to the public exchequer," the court observed.
HIMUDA’s claim that the land was "useless" was dismissed by the court, which pointed out that if such land could fetch close to Rs. 90 lakh, it was far from useless.
The court quashed the allotment, ordering HIMUDA to restore possession of the land and refund the amount paid by the company. The judgment is a clear warning against misuse of public assets under the guise of policy loopholes.
