CHANDIGARH: In what may be seen a huge setback for the DLF in Gurgaon, Punjab and Haryana high court on Monday restrained the real estate giant from making any kind of construction activities or sale any chunk of land to create the third party interest on around 350 acre prime land in Wazirabad near Gurgaon that was allotted by Haryana State Industrial and Infrastructure Development Corporation (HSIIDC) to company.

DLF is developing air-conditioned apartments/villas and an 18-hole golf course on the said land under the project 'The Magnolias'.

Haryana government had acquired the land for 'public purpose' to develop recreational/ leisure project and then issued it to M/s DLF Ltd, allegedly jeopardizing the interest of general public and inhabitants of Wazirabad village. Importantly major chunk of this land is also stated as 'notified forest' area.

While issuing orders, division bench headed by Acting Chief Justice Jasbir Singh also orally observed, "Had the HSIIDC was unable to develop the said land, it should have been returned back to the village Panchayat". Bench then ordered DLF that construction activities on the said land shall be stayed and not to create any third party interest in the said land till the matter is pending. Now the case would come up for further hearing on August 28.

The matter had reached before the HC through a public interest litigation (PIL) filed by one Raj Kumar and other villagers of Wazirabad village in Gurgaon. Counsel for the petition Inder Pal Goyat submitted before the HC that just to benefit the real estate company Haryana government had acquired the said prime land of Wazirabad village so that DLF can establish their 'dream project' on it. Alleging gross violations in the transfer of land to DLF by Haryana, Goyat submitted that the land could not be transferred to a privte company for running commercial activities because it was actually acquired for the 'public purpose' by the state from village.

"Record reveals that DLF, in collusion with the authorities of the state had adopted an alternate method to get the land of the gram Panchayat. Hence, the acquisition of the land in dispute is a colorable exercise of power by the state government and should be quashed," counsel prayed.

HUDA had acquired a total of around 350-acre land of Wazirabad village on two occasions for 'public purposes'. First, 75 acres of land was acquired through notification of September 8, 1997 and then around 275 acres of land was acquired through notification of August 8, 2003. Subsequently, HUDA transferred the land to HSIIDC, which on February 9, 2010 transferred it to M/s DLF Ltd on free hold basis. The land was allotted through a bid in which for all practical purposes DLF was the only qualified bidder because the other two bidders were disqualified on account of 'technical error'.

http://timesofindia.indiatimes.com/city/chandigarh/Punjab-and-Haryana-high-court-stays-construction-sale-of-DLFs-dream-project-in-Gurgaon/articleshow/15477629.cms
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  • The Punjab and Haryana high court has restrained Delhi Land and Finance (DLF) developers from carrying out any construction activity on around 278 acres of land in Wazirabad village in Gurgaon district and also from creating any third party rights. The construction company is coming up






    with Golf Villas at the site by the project name 'Magnolias'. Creation of third party rights means to transfer or sale the property to a third person/party.

    The division bench comprising acting Chief Justice Jasbir Singh and justice Rakesh Kumar Jain, on Monday, also directed the state government to place on record the documents with regard to terms and conditions, and transfer of land to DLF by the state. DLF's counsel also sought some time from the bench to file their reply.
    The public interest litigation filed by villagers Raj Kumar and Nahar Singh had challenged the state government's decision of acquiring forest land measuring around 278 acres in 2003 for "public purpose" and later in 2010 handing it over to DLF developers for construction and sale of Golf Villas.
    The petitioners had apprised the bench that after getting the land in collusion with the state government just at the rate of Rs. 12,000 per sq mtr, DLF is selling the Golf Villas at the rate varying between Rs. 19,000 to Rs. 22,000 per sq feet.
    During the hearing of the case, on Monday, the bench asked the Haryana advocate general Hawa Singh Hooda, "How can you acquire land and further hand it over to DLF?" Answering the question, the advocate general submitted, "Haryana State Industrial and Infrastructure Development Corporation (HSIIDC) had acquired the land in 2003. In 2006 award was given to the villagers and in 2009 DLF got the land through bidding process and it was not a case of transfer."
    However, appearing for the petitioners, advocate Inder Pal Goyat had contended that under provisions of the Forest Conservation Act, 1980, no forest land can be used for non-forest purposes without prior permission of the union ministry of environment and forest. He further added that DLF had already bagged a major land deal of surrounding area through state agencies and was given licences to operate Golf Course and Club building in area spanning around 80 acres.
    DLF's counsel also informed the court that the Haryana government had approached the Supreme Court for seeking clearance on the project and the Apex Court had appointed a committee to check the environmental issue and decision on the same was awaited.
    The bench adjourned the case for next hearing on August 28

    HC restrains DLF from construction work in Wazirabad - Hindustan Times
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  • Thanks Biku bhai...
    Another reason to stay away room DLF!!!
    KP Singh ji..last birthday u were seen dancing with Shakira in Rajasthan....no wonder u r shaking until now!!
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  • interesting... jinhone 25k+ lia hoga unki to lagg gayee... par I assume none of them exist on iref
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  • btw realty bulls will have to find another project for comparison now as everything in gurgaon was assumed to rise in comparison with Magnolia...
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  • Next.....

    What is the price of Palm Springs, Salcons Veranda projects on Golf Course Road.....
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  • i think one needs tolook at this judgement from a different perspective, than just re bulls or bust. If there are enough buyers then there will be magnolias, irrespective of the outcome of this judgement.

    Justice Jasbir singh was the one who gave the water ruling and the same justice has given several landmark decisions . The way this entire land was acquired is what is plaguing the RE industry and hope such judgements forces the government to overhall the Land acquisition laws.

    I will not be surprised dlf / haryana government would have appealed against this judgement at the supreme court.
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  • This shows that they can't purchase atleast some judges, and there is still a hope for justice.... but I guess aise ek project ke kickback se Gopal Kanda ne apna 100 crore ka killa bana lia hoga...
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  • Good Ol' DLF - Funny this is an invitation only project..

    Must say this is not the last we have heard from them though.. if this project goes underwater, DLF will have only time to kill flies.

    Litigation has its uses - just wonder what happens when the flood gates are let loose for the RE industry.
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  • i may be wrong but on reading the article i get feeling that the article is not about magnolia but for some other project proposed by DLF and its a naming error.

    it talks about land being transferred to DLF in 2010 while magnolia started way back in 2005/6.
    second it says dlf is planning golf villas where in magnolias is appartment project.

    magnolia construction is also over and only finishing of appartment is going on

    my guess it is about the extra land which DLF had bought behind the current golf course to extend it around the present park place/summit and then use it to launch luxury villas. I am aware of such a proposal and i think it is this whill get affected and not the present magnolias.

    still a big setbcak of dlf and indications of time to come reflecting that once mighty can also be taken to task..

    will be seeking information from my sources and updating...
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  • this is magnolias 2 which was being planned 25k psf....in a shortwhile by DLF
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  • will it have any negative impact on other dlf projects like regal gardens etc?
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  • Originally Posted by nsh2111
    will it have any negative impact on other dlf projects like regal gardens etc?


    It shouldn't have -ve impact on any other project than the Magnolia... ideally it can even be +ve, same liquidity can spread to a few other projects...
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  • Originally Posted by amit.bhalla
    this is magnolias 2 which was being planned 25k psf....in a shortwhile by DLF

    Thats right. As per a recent article on moneycontrol they were planning to achieve sales of Rs 5000 crores from this project to help them cut debt. Another blow for DLF.
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  • There seems to be some goof-up here, the court order pertain to HSIIDC land that DLF bought in 2010. Magnolias II is on a seperate land.

    Those who are well aware of the location, Magnolias II is an extension of Aralias and magnolias on the existing golf course while land in question is the one where DLF is yet to start construction of the golf course.

    AMITMM you are spot on in your understanding!
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  • Originally Posted by arunaggarwal
    There seems to be some goof-up here, the court order pertain to HSIIDC land that DLF bought in 2010. Magnolias II is on a seperate land.

    Those who are well aware of the location, Magnolias II is an extension of Aralias and magnolias on the existing golf course while land in question is the one where DLF is yet to start construction of the golf course.

    AMITMM you are spot on in your understanding!


    As i understand DLF Magnolia Ph 1 itself is spread over 60 acres and for which a new 9 hole golf course is being constructed over and above the existing 18 hole golf course . So it is not being constructed on an existing golf course ( 18 hole ).

    However i do not have any details of Magnolias II , I am sure DLF will provide a clarification as 2 national dailies HT & TOI have published this . That should give the factual position.
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