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Madhya Pradesh Land Ceiling and Land Reforms Act Regarding Companies Explained 2012 Sc

Madhya Pradesh Land Ceiling and Land Reforms Act Regarding Companies Explained 2012 Sc

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07/13/2014

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REPORTABLEIN THE SUPREME COURT OF INDIACIVIL APPELLATE JURISDICTIONCIVIL APPEAL No. 7760 of 2012(Arising out of SLP (Civil) No. 1861 of 2008)
Gwalior Sugar Co. Ltd. & Anr.Appellant(s)VersusAnil Gupta and Ors.Respondent(s)
J U D G M E N T
RANJAN GOGOI, J.
Leave granted.2.This appeal is directed against the judgment andorder dated 01.12.2007 passed by the High Court of Madhya Pradesh in a Public Interest Litigation
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registered and numbered as Writ PetitionNo.1773/2006. By the order impugned in the presentappeal, directions have been issued by the High Courtfor demarcation of the surplus land of the appellant –Company both under the provisions of the Urban LandCeiling Act, 1976 (since repealed) (hereinafterreferred to as ‘the Urban Land Ceiling Act’) as well asthe provisions of the Madhya Pradesh Ceiling onAgriculture Holding Act, 1960 (hereinafter referred toas “the Ceiling on Agricultural Holding Act). After thedemarcation of the excess land in terms of thedirections issued by the High Court, further directionshave been issued for vesting of the excess land, bothurban and agricultural, in the Government.Furthermore, the appellant Company has beenrestrained from affecting any transfers of the urbanland allotted to it and all such transfers as may havebeen made have been declared as null and void by theHigh Court.
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3.A brief resume of the relevant facts in which theabove noted directions have been issued by the HighCourt may now be set out:The appellant, a private limited company, is theowner of a sugar mill located at Dabra, districtGwalior in the State of Madhya Pradesh. A total of 215 bighas (approximately) of land was allotted to theappellant – Company in Samvat 1998 (correspondingto English Calender year 1941) on the basis of 6pattas issued by Zamindar in whom the land had cometo be vested. The pattas specified that the land wasmeant for setting up of the sugar factory and any kindof agricultural operations therein was prohibited. Thepattas also specified that the same would be valid tillthe existence of the factory. After setting up of thesugar mill the Company appears to have run intocertain financial difficulties and for the upkeep of the
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