Bombay High Court dismisses Writ Petition against M&M

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In a recent judgement, the Bombay High Court dismissed a Writ Petition filed by M/s Zenith Metaplast against MIDC, Mahindra & Mahindra Limited. Zenith Metaplast had sought allotment of a three acre plot to itself in Nashik and cancellation of adjacent plots allotted to M&M Ltd. and an industrialist.

The Writ Petition was filed by Zenith Metaplast on 12th October 2006 before the Bombay High Court challenging the allotment of two plots of 17 acres and 6 acres adjacent to the petitioner’s factory to Mahindra & Mahindra Ltd. and Mr. Abhay Kulkarni, respectively by the MIDC and also a rejection of its application for allotment of about 3 acres of land to the petitioners.

Also, there was an application to stay the implementation and operation of the allotment.

On 5th February 2008, the Bombay High Court admitted the Writ Petition however it refused to grant any interim relief and the petition was expedited. The Petitioner filed a Special Leave Petition before the Supreme Court demanding at least two acres adjacent to its plot. The Supreme Court heard the matter and directed the parties to maintain status quo till it was decided by the Bombay High Court.

The Writ was dismissed on the grounds that the circular of MIDC dated 24th January 1994 relied on by Zenith is not applicable to it and the circular is not in contravention of MIDC Land Disposal Regulations 1975. The circular is in respect of the allotment of industrial plots made by inviting tenders. This process is not applicable to the plots allotted to Mahindra & Mahindra and Mr. Kulkarni. As a result the allotment was held to be completely lawful.

The Bombay High Court also observed that the Petitioner has not fully utilized the FSI on the plots already available to it and in addition it also possessed eight other plots which have not been exploited to their full potential.

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