The Supreme Court on Monday exposed the unholy nexus between the State machinery and private builders in Haryana by which acquisition of around 700 acres of prime land in Manesar was facilitated by the then Government in 2007 to the real estate developers.
The land, 688 acres to be precise, was meant to be acquired for setting up an industrial township. In this regard, a notification was issued by the Haryana Government on August 27, 2004 notifying lands in Manesar, lakhnoula, and Naurangpur. In 2005, the Congress came to power with Bhupinder Hooda as Chief Minister. As the acquisition process was on, several private builders approached the landowners offering Rs 20 to 25 lakh per acre as compared to Rs 12.5 lakh per acre offered by the Government.
Many landowners sold their land and earned profit on the deal. Some even earned upto Rs 80 lakh per acre as the date of passing the award of acquisition drew near. On August 26, 2007, the Award was to be passed. Contrary to expectation, just two days prior to this date, the Government backed out on its plan. later on January 29, 2010, the State Government closed the acquisition proceedings and decided to grant approval for building residential structures as the land was already in possession of private builders by now. However, the landowners felt cheated and went to the Punjab and Haryana High Court in 2011 complaining fraud and seeking independent investigation.
On December 15, 2014 the High Court dismissed the petitions citing delay as the landowners waited for four and a half years to approach Court after the Award of acquisition was withdrawn. The matter landed in Supreme Court where a total of 117 landholders submitted that there existed a nexus between State agency and private builders as under threat of acquisition they were made to part with their most prized lands.
The bench of Justices Adarsh K Goel and UU lalit agreed with this conclusion and said, "The record indicates that various entities including certain "middlemen" cornered unnatural gains and walked away with huge profits taking the entire process of acquisition for a ride –the landholders were confronted with the smoke screen of acquisition and were cornered and persuaded in entering into transactions with the builders/private entities."
The bench quashed the decision of the then state government of August 24, 2007 and January 29, 2010 and vested the land in question with the Haryana Urban Development Authority (HUDA) and Haryana State Industrial Development Corporation (HSIDC).
"There was an unholy nexus between the governmental machinery and the builders/private entities in devising a modality to deprive the innocent and gullible landholders of their holdings and jeopardize public interest which the acquisition was intended to achieve," added the bench. In the final relief, the Court allowed those landowners who received a windfall for their lands from private builders to keep the money and make reference within three months for further compensation, if any.
If on the land in question, residential plots or complexes have come up and the same were sold to third parties or homebuyers, it will be open to HUDA or HSIDC to either refund them the amount or consider allotment of the plot or apartment either at the agreed price or prevailing market price, whichever is higher. Meanwhile, Court allowed the Central Bureau of Investigation, already investigating the matter, to continue its probe and file charge sheet, if required. Simultaneously, a Commission of Enquiry initiated by the present Haryana government will also proceed with its probe into the murky acquisition deal.