IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) PRESENT: THE HON’BLE MR. JUSTICE C.V.NAGARJUNA REDDY THURSDAY, THE FIFTEENTH DAY OF OCTOBER, TWO THOUSAND NINE WRIT PETITION No.12273 of 2006 Between: M. Nageswara Rao … Petitioner And The A.P. Industrial Infrastructure Corporation Ltd., (Govt., Company Registered under the Companies Act, 1956) Basheerbagh, Hyderabad, rep., by its Chairman and Managing Director, & another. … Respondents Counsel for the petitioner : Sri V.V.N. Narayana Rao Counsel for the respondents : Sri P. Roy Reddy This Court made the following: THE HON’BLE MR. JUSTICE C.V.NAGARJUNA REDDY WRIT PETITION No.12273 of 2006 ORDER:- This writ petition is filed for the following substantive relief: “… Hon’ble Court may be pleased to issue a Writ, order or direction more particularly one in the nature of Writ of Mandamus declaring the action of the respondents in cancelling the sale deed 19.02.2001 in impugned letter No.P3 to 5/BL- 17/PH-IV/AN/GNT/05, dated 26.05.2006 is illegal, arbitrary and violative of principles of natural justice and violative of Articles 14 and 300A of the Constitution of India and consequently direct the order and to set aside the impugned letter No.P3 to 5/BL-17/PH-IV/AN/GNT/05, dated 26.05.2006.” The petitioner mainly pleaded that while he could not establish the industry within the time stipulated under the terms and conditions of allotment and agreement of sale, unilateral cancellation of sale deed is beyond the power and authority of the Andhra Pradesh Industrial Infrastructure Corporation (for short ‘the Corporation’). He further pleaded that in cases where allotments and sale deeds were cancelled, the Corporation itself is revoking the cancellation orders on the allottees/vendees paying certain amount towards purported penalties for the delay in establishment of industries. After this case was heard at length, the learned counsel for the petitioner expressed his client’s readiness and willingness to establish the industry, provided reasonable time is given to him to enable the petitioner to file an affidavit. To this effect, the case was adjourned. In affidavit, dated 08.10.2009 filed by Sri M.Nageswara Rao, the petitioner, he has undertaken that he will establish the workshop within one year from the date of the respondents providing amenities such as water, electricity, drainage, roads, other clearances etc. Sri P.Roy Reddy, learned Standing Counsel for the Corporation, on instructions, submitted that in Phase-IV, where the plot was allotted to the petitioner, there are 1402 developed plots and allotted to 950 units and that the Corporation has initially provided all infrastructural facilities such as roads, electricity, water and drainage in all phases of Autonagar, Guntur and recently, it has undertaken upgradation of existing roads and provided new Hy-Mast Street lights at a total estimated cost of Rs.710.57 lakh. The learned counsel for the petitioner submitted, at the hearing, that his client would abide by the undertaking given by him in the affidavit, if the Corporation sanctions the plan and gives necessary approval within a reasonable time. The learned Standing Counsel for the Corporation submitted that if the petitioner submits necessary application in this regard, the Corporation will dispose of the same and give necessary approval, within a period of one month from the date of receipt of such application. In this view of the matter, the writ petition is disposed of in the following terms: i. The impugned proceedings are quashed. ii. The petitioner is permitted to submit an application for approval in complete shape and without any defect, within a period of three (3) months from today. iii. Within one month from the date of receipt of such application, the Corporation shall give necessary approval/sanction for establishment of an industry. Within one year from the date of receipt of such approval/sanction from the Corporation, the petitioner shall complete establishment of industry, commence the activity and report the same to the Corporation. iv. In the event of failure of the petitioner to comply with these directions, the Corporation is entitled to cancel the allotment and approach the competent Court of civil jurisdiction for cancellation of the sale deed. If suit in this regard is filed, the competent Civil Court shall dispose of the same within a period of six (6) months on such institution. The Corporation is also entitled to move appropriate application before this Court for passing order against the petitioner for violation of the undertaking. As a sequel to disposal of main petition, interim order, dated 20.06.2006 is vacated and WPMP.No.15264 of 2006 is dismissed. C.V.NAGARJUNA REDDY, J Date: 15.10.2009 kvni