Telangana High Court
Telangana Agri Gold Customers And ... vs State Of Telangana on 25 February, 2022
Bench: Satish Chandra Sharma, Abhinand Kumar Shavili
HIGH COURT OF JUDICATURE AT HYDERABAD
FOR THE STATE OF TELANGANA AND THE STATE OF ANDHRA PRADESH
THURSDAY, THE TWENTY SEVENTH DAY OF APRIL,
TWO THOUSAND AND SEVENTEEN
:PRESENT:
THE HON'BLE SRI JUSTICE V. RAMASUBRAMANIAN
AND
THE HON'BLE SRI JUSTICE S.V.BHATT
PIL .NO: 193 of 2015
Between:
Telangana Agri Gold Customers And Agents Welfare Association,
Rep. by its President, Andalu Ramesh Babu, R/o House No. C-701,
NGOs Colony, Near Old Govt. Hospital, Vanasthilipurm, L.B.Nagar,
Hyderabad-500079, Telangana State.
..... Petitioner
AND
1 State of Telangana, Rep. by its Chief Secretary, GAD Dept., Secretariat, Hyderabad.
2 State of Andhra Pradesh, Rep. by its Chief Secretary, GAD Dept., Secretariat,
Hyderabad.
3 Union of India, Rep. by Secretary, Ministry of Finance, North Block, New Delhi.
4 Security Exchange Board of India (SEBI), rep. by its Chairman, Stock Market,
Mumbai.
5 Director General of Police, State of Telangana, Basheerbagh, Hyderabad.
6 Director General of Police, State of Andhra Pradesh, Lakidikapul, Hyderabad.
7 M/s Agri Gold Farms Estates India Private Limited, rep. by its Chairman and
Managing Director, Punjagutta, Hyderabad.
(Amended as per direction of Hon'ble High Court)
8 Enforcement Directorate, Lok Nayak Bhavan, Khan Market, New Delhi.
9 Andhra Bank, through Assistant General Manager, Labbipet Branch,Vijayawada, A.P.
10 State Bank of India, Stressed Assets, Management Branch, rep. by its Asst. General
Manager, 5th Floor, Rear Block, HMWSSB Compound, Khairatabad, Hyderabad-
500004
11 The Assistant Commissioner of Income Tax, Central Circle-2(4), 3rd Floor, Posnett
Bhavan, Tilak Road, Ramkoti, Hyderabad-500001
(R9 to 11 are impleaded as per Court order dated 06-10-2015 in PILMP. No. 383, 412
and 429 of 2015 respectively)
12 C1 India Pvt. Ltd., C-104, Sector-2, Noida, New Delhi-201301 (UP)
(Added respondent No. 12 as per the directions of Hon'ble High Court)
(R12 is struck off as per Court order dated 31-12-2015)
13 MSTC Limited, rep. by its Branch Manager, 6th Floor, LIC Building, Jeevan Prakash,
Jeevitha Beehma Road, Visakhapatnam - 530004.
14 Sriram Automall India Limited, rep. by Mr. Rajasekhar K., Zonal Head Operations -
AP & Karnataka, 12-13-1274, 4th Floor, Maspack House, Tarnaka, Hyderabad.
(RR-13 & 14 are added as per Court order dated 31-12-2015)
15 e-Procurement Technologies Limited, rep. by Mr. Chirage C Barot A-201/208, Wall
Street-ii, Opp. Orient Club, Nr Gujarat College, Ellis Bridge, Ahmedabad - 380006,
Gujarat.
(R15 is deleted from the array of respondents in the PIL as per C.O dated
26-2-2016 in PIL)
.....Respondents
Counsel for the Petitioner : Sri K. Sravan Kumar
Counsel for the Respondent No.1 : Special Government Pleader (TS)
Counsel for the Respondent Nos.2 & 6 : Addl. Advocate General (AP)
Counsel for the Respondent No.3 : Sri B. Narayana Reddy,Asst.Solicitor General
Counsel for the Respondent No.4 : Sri B.S. Siva Prasad
Counsel for the Respondent No.5 : GP for Home (TG)
Counsel for the Respondent No.7 : M/s. Trupthi Agarwal
Counsel for the Respondent No.8 : Sri N. Harinath
Counsel for the Respondent No.9 : Sri J.V. Prasad, Sr. Standing Counsel for
Income Tax
Counsel for the Respondent No.10 : Sri M. Srikanth Reddy
Counsel for the Respondent No.14 : Mrs. S. Nanda
Counsel for the Committee : Sri P. Ravi Prasad
-2-
Public Interest Litigation under Article 226 of the Constitution of India praying that in
the circumstances stated in the Affidavit filed herein, the High Court may be pleased to
issue a Writ Order or Direction more particularly one in the nature of Writ of Mandamus
(a) Declaring the inaction of the respondent in not taking any action on the respondent
No.7 as illegal, arbitrary and unconstitutional without any valid reasons. b) Direct the
respondents to appoint a committee to conduct Sale/Auction of properties own by
respondent-7 to mobilize money. c) Direct the respondents to return money paid by the
depositors/ to save their rights/protect livelihood. d) Direct the respondent 1-6 to conduct
in depth investigation/enquiry on the lines of Sharada and Sahara scams. e) Direct the
respondent 1-6 to appoint an expert committee access the assets and liabilities of Agri
Gold ie., 7th Respondent properties. f) Direct the respondent 1, 2 and 7 to pay
compensation for the agents families who have committed suicides in act of 7th
Respondent. g) Direct respondent-3, 4 and 8 to conduct in depth investigation through
Central Bureau Investigation for (CBI) punishing the culprits forthwith. h) Direct the
respondent 1 and 2 to provide appropriate employment for the agents/families. i) Direct
the respondent 5 and 6 to grant protection for the petitioner from highly influenced Agri
Gold ownership/Management. j) To award costs to the petitioner;
The petition coming on for hearing, upon perusing the petition and the affidavit filed
herein, and the orders of the High Court dated: 27-7-2015, 03-09-2015, 01-10-2015,
09-10-2015, 29-10-2015, 30-11-2015, 22-12-2015, 31-12-2015, 08-02-2016, 19-2-2016,
26-02-2016, 11-03-2016, 07-04-2016, 21-04-2016, 29-04-2016, 13-06-2016, 28-6-2016,
12-8-2016, 27-8-2016, 6-9-2016, 9-9-2016, 19-9-2016, 30-9-2016, 24-10-2016,
7-11-2016, 28-11-2016, 17-01-2017, 18-01-2017, 06-03-2017, 13-03-2017, 27-03-2017 &
03-04-2017 made herein, the Court made the following
ORDER:
"Pursuant to the direction issued earlier, the learned Special Government Pleader today submitted before us, (i) a list of properties of Agri-Gold (ii) a list of properties of Akshaya Gold and (iii) the Terms and Conditions subject to which these properties could be sold by e-auction through the e-portal of the State of Andhra Pradesh. Since the terms and conditions of auction prepared by the service provider of the e-portal are almost identical to the terms and conditions stipulated by a Committee (headed by a retired Judge of this court) appointed by this court earlier, none of the Counsel have any objection to the terms and conditions.
On the previous date of hearing, the learned Senior Counsel for the 7th respondent also submitted a list of high value properties which could be sold. But since the e-portal through which the present auction is to be held, has been designed and developed only now and has not even been formally launched by the Government of Andhra Pradesh, we are of the considered view that the first ever venture to take place through this portal can be of the properties which we have selected. Once this auction is proved to be successful and fruitful, we shall put up the high value items in the next round. However, we have included in the list of properties to be sold, 2 items selected from the list provided by R-7 also.
Therefore in fine, we pass the following order:
1. Agri Gold properties listed in Annexure-1 and Akshaya Gold Properties listed in Annexure-2 to this order, shall be put up for sale through the e-portal of the State of Andhra Pradesh. The terms and conditions of sale of these properties are indicated in the Annexure-3 to this order.-3-
2. The Competent Authority is directed to provide the survey numbers, boundaries and other necessary particulars in respect of the properties included by us at Sl.Nos.11 & 12 of Annexure-I.
3. The e-portal of the State of Andhra Pradesh is developed in such a manner that participation in the auction and online bidding is restricted only to those having authenticated digital signatures. But the target population that is likely to participate in the auction and offer the best price may not have digital compatibility and since we do not want technology to be an obstacle for effective competition, we direct the State of Andhra Pradesh to permit the e-portal to make suitable modifications in the system, to enable even those without authenticated digital signatures to participate in the auction. But this facility may be restricted only to this case and we are leaving it to the discretion of the Government to do whatever is feasible in respect of other auctions conducted through the e-portal.
4. The upset prices in respect of the properties listed in Annexures 1, 2 and 3 are fixed by this court taking into account various factors. Since the e-portal developed by the State of Andhra Pradesh has the facility of masking the upset price, to prevent the prospective bidders getting into a cartel and knocking down the properties at a price little over the upset price, we are keeping the upset prices for these properties fixed by us in a sealed cover.
5. The online bidding process shall begin at a date and time fixed by the management of the e-portal and the duration of the bidding shall be kept for a period of upto 7 days.
6. The investigating agency shall issue a press statement in leading newspapers, both English and Vernacular, as also in electronic media informing the members of the public about the auction sale of the properties. A wide publicity may be given to the domain name of the e-portal and the auction sale. Since the writ petitioner happens to be an association of agents who had served R.7 earlier, they shall take print outs of the notification for auction issued in the e-portal and circulate the same in the area where the properties are located widely. If possible the Investigating Agency and the Competent authority may make arrangements to run scrolls in the television channels publicizing the auction sale.
The investigating agency shall file a report before us on the next date of hearing, viz., 8.06.2017, along with a report of the management of the e-portal as to what transpired in the auction.
Call on 08.06.2017."
ASSISTANT REGISTRAR //TRUE COPY// for ASSISTANT REGISTRAR -4- To 1 The Chief Secretary, GAD Dept., State of Telangana, Secretariat, Hyderabad. 2 The Chief Secretary, GAD Dept., State of Andhra Pradesh, Secretariat, Hyderabad. 3 The Secretary, Ministry of Finance, Union of India, North Block, New Delhi. 4 The Chairman, Security Exchange Board of India (SEBI), Stock Market, Mumbai. 5 The Director General of Police, State of Telangana, Basheerbagh, Hyderabad. 6 The Director General of Police, State of Andhra Pradesh, Lakidikapul, Hyderabad. 7 The Chairman and Managing Director, M/s Agri Gold Farms Estates India Private Limited, Punjagutta, Hyderabad.
8 The Enforcement Directorate, Lok Nayak Bhavan, Khan Market, New Delhi. 9 The Assistant General Manager, Andhra Bank, Labbipet Branch, Vijayawada, A.P. 10 The Assistant General Manager, State Bank of India, Stressed Assets, Management Branch, 5th Floor, Rear Block, HMWSSB Compound, Khairatabad, Hyderabad- 500004.
11 The Assistant Commissioner of Income Tax, Central Circle-2(4), 3rd Floor, Posnett Bhavan, Tilak Road, Ramkoti, Hyderabad-500001. 12 The Branch Manager, MSTC Limited, 6th Floor, LIC Building, Jeevan Prakash, Jeevitha Beehma Road, Visakhapatnam - 530004. 13 Mr. Rajasekhar K., Zonal Head Operations - AP & Karnataka, Sriram Automall India Limited, 12-13-1274, 4th Floor, Maspack House, Tarnaka, Hyderabad. 14 The Additional Director General of Police, CID, Andhra Pradesh, Hyderabad. (By Special Messenger) 15 The Hon'ble Sri Justice Sri G.V. Seethapathi, Retired Judge of High Court (By Spl.
Messenger) 16 Mr. K. Ramakrishna Rao, I.A.S, Secretary to Government Financial Department, Telangana, Hyderabad. (By Spl. Messenger) 17 Mr. K. Narasimha Murthy, Financial Expert, Government of AP, A.P. Secretariat, Hyderabad. (By Spl. Messenger) 18 The Registrar (Judicial) High Court of Judicature at Hyderabad for the State of Telangana and the State of Andhra Pradesh. (By Special Messenger) 19 One CC to Sri K. Sravan Kumar, Advocate (OPUC) 20 One CC to Sri P. Ravi Prasad, Advocate, High Court of Judicature at Hyderabad. (By Special Messenger) 21 One CC to Sri L. Ravi Chandar, Senior Counsel (By Spl. Messenger) 22 One CC to Sri D. Prakash Reddy, Senior Counsel (By Spl. Messenger) 23 One CC to Sri M. Narender Reddy, Senior Counsel (By Spl. Messenger) 24 Two CCs to the Advocate General (AP), High Court at Hyderabad (By Spl.
Messenger) 25 Two CCs to the Advocate General (TS), High Court at Hyderabad (By Spl.
Messenger) 26 Two CCs to the Addl. Advocate General (AP), High Court at Hyderabad (OUT) 27 Two CCs to Sri B. Narayana Reddy, Asst. Solicitor General, High Court, at Hyderabad. (OPUC) 28 Two CCs to Special Government Pleader (Telangana), High Court at Hyderabad.
(OUT) 29 Two CCs to Special Government Pleader (A.P.), High Court at Hyderabad.
(By Spl. Messenger along with Annexures-1, 2 & 3) 30 Two CCs to the G.P. for Home (TG), High Court at Hyderabad. (OUT) 31 Two Spare Copies.
-5-HIGH COURT VRS,J & SVB,J DATED: 27-04-2017 NOTE: Call on 08-06-2017 ORDER PIL.NO. 193 OF 2015 DIRECTION -6- HIGH COURT Nnr Date of Drafting : 02-05-2017 VRS,J & SVB,J DATED: 27-04-2017 NOTE: Call on 08-06-2017 ORDER PIL.NO. 193 OF 2015 DIRECTION