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Patna High Court - Orders

M/S Pristine Logistics And ... vs The State Of Bihar on 14 June, 2022

Author: Rajeev Ranjan Prasad

Bench: Rajeev Ranjan Prasad

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                               Civil Writ Jurisdiction Case No.8250 of 2022
                 ======================================================
                 M/s Pristine Logistics and Infraprojects Limited, A Company incorporated
                 Under the India Companies Act, Having its Registered office Situated at 3rd
                 Floor, Wing-B, Commercial Plaza, Hotel Radisson, NH-8, Mahipalpur, New
                 Delhi, PIn Code-110037 (India), through its Authorized representative namely
                 Mr. Rakesh Kumar , an adult Male, aged about 54 Years, Son of Late
                 Baikunth Narain Singh, Resident of North Mandiri, Bapu Nagar, Police
                 Station-Buddha Colony, District-Patna (Bihar)              ... ... Petitioner
                                                    Versus
           1.     The State of Bihar through Principal Secretary, Department of Industries,
                  Government of Bihar, Patna.
           2.    The Managing Director, Bihar Industrial Area Development Authority, 1st
                 Floor, Udyog Bhawan, East Gandhi Maidan, Patna-800004.
           3.    The Executive Director, 1st Floor, Udyog Bhawan, East Gandhi Maidan,
                 Patna-800004.
           4.     The Executive Director, Bihar Industrial Development Area Authority,
                  Regional Office, Darbhanga.
                                                                     ... ... Respondents
                 ======================================================
                 Appearance :
                 For the Petitioner/s    :       Mr. P.N. Shahi, Sr. Advocate
                                                 Mr. Saket Tiwary, Advocate
                 For the State           :       Mr.Kinkar Kumar, SC-9
                 For the BIADA           :       Mr. Kumar Priya Ranjan, Advocate
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE RAJEEV RANJAN PRASAD
                                       ORAL ORDER

2   14-06-2022

Learned Senior Counsel for the petitioner has taken this Court through the order dated 04.06.2019 passed by the then Principal Secretary, Department of Industries, Government of Bihar in Appeal No. 13 of 2019. By the said order the Principal Secretary who happened to be the appellate authority held that the order cancelling the allotment/lease of the industrial land in favour of the petitioner vide memo no. 290 dated 07.03.2019 issued by the Executive Director, Bihar Industrial Development Authority (hereinafter referred to as the 'BIADA') is null and void. In the operative part of his order, the appellate authority has recorded a Patna High Court CWJC No.8250 of 2022(2) dt.14-06-2022 2/4 finding of fact that there are some important issues that needs serious consideration within the overall prospective of the imperative of industrial development in the State. There is also a finding that the instrumentalities like BIADA created for the purpose of industrialization must be sympathetic and empathetic to the problems being faced by the entrepreneurs of the State.

Learned Senior Counsel submits that after the said order was passed, the then Managing Director, BIADA did not take the said order of the appellate authority positively rather he proceeded to pass a fresh order as contained in memo no. 23 dated 12.01.2021 without giving any opportunity of hearing to the petitioner. Again the registered lease deed of the petitioner has been cancelled and the amount deposited by the petitioner has been forfeited. Petitioner has, thus, challenged the impugned order as contained in Annexure '2' on various grounds including the ground of violation of principle of natural justice.

Learned Senior Counsel has further pointed out from the order dated 07.05.2022 passed by the present Principal Secretary, Department of Industries, Bihar, Patna who is the appellate authority that the appellate authority dismissed the appeal without giving appropriate opportunity of hearing to the petitioner-appellant. It is submitted that on 17.05.2022 learned counsel for the appellant had gone to attend the hearing but in the parking area he was got delayed by few minutes only, when he reached the chamber of the appellate Patna High Court CWJC No.8250 of 2022(2) dt.14-06-2022 3/4 authority, he was not entertained. In paragraph '13' and '14' of the supplementary affidavit it has been clearly stated that the representative of the petitioner Mr. Anand Jha had informed the appellate authority that his counsel has reached the secretariat compus and will be present before the appellate authority along with the required documents in some time. The appellate authority was also informed that the lawyer was delayed in parking of the car outside the premises of the secretariat as he had to walk down to the secretariat building after parking the car.

It is submitted that the appellate authority did not wait for a minute and passed the impugned order as contained in Annexure '1'. It is further pointed out that the appellate authority was also holding the post of the Managing Director, BIADA, therefore, it was not justified on his part in hearing the appeal which was preferred against the order of the Managing Director.

Learned Senior Counsel has further pointed out that in Deepak Paints (P) Ltd. versus State of Bihar & Ors. reported in 2008(2) PLJR 293, a learned coordinate Bench of this Court has held that the Managing Director of BIADA has no power to cancel a registered lease deed. The said judgment has not been overruled till date.

Mr. Kumar Priya Ranjan, learned counsel representing BIADA seeks four weeks time to file counter affidavit.

Mr.Kinkar Kumar, SC-9 appears for the State.

Let this matter be listed after four weeks i.e. on 13 th of July, 2022 before appropriate Bench.

Patna High Court CWJC No.8250 of 2022(2) dt.14-06-2022 4/4 Finding a prima-facie case wherein the impugned order seems to have been passed without any notice to the petitioner that too after the appellate authority had earlier set aside the order of the Managing Director cancelling the allotment and further finding that the appellate authority seems to have acted in haste in disposing of the appeal without affording any opportunity of hearing to the petitioner, this Court directs that till further order the operation of the impugned orders shall remain stayed. The premises which has been locked consequent upon the impugned orders shall be unlocked forthwith.

List accordingly.

(Rajeev Ranjan Prasad, J) vats/-

U Note: The ordersheet duly signed has been attached with the record. However, in view of the present arrangements, during Pandemic period all concerned shall act on the basis of the copy of the order uploaded on the High Court website under the heading 'Judicial Orders Passed During The Pandemic Period'.