Karnataka HC bars State from dispossessing HMT of Jalahalli land; restrains felling of trees

The Karnataka High Court on Wednesday restrained the Karnataka government from dispossessing HMT Limited from its Jalahalli land in Bengaluru, while simultaneously directing the public sector undertaking (PSU) not to fell any trees or create any third-party rights over the remaining extent of the disputed property.

Justice Suraj Govindaraj passed the interim order while hearing HMT's petition challenging a June 15 order of the Deputy Conservator of Forests directing it to hand over 430 acres and 21 guntas of land within 30 days.

The Deputy Conservator had held that HMT failed to establish lawful authority for its continued occupation of 430 acres and 21 guntas out of 443 acres and 6 guntas of land.

Appearing for HMT, Senior Panel Counsel A Chandrachud submitted that the PSU would not deal with the remaining extent of the land pending adjudication.

Recording the submission, the Court observed that HMT would not sell, lease, licence, mortgage or otherwise alter the character of the remaining land.

Taking note of the undertaking, the Bench restrained the State authorities from taking steps to dispossess HMT until the next date of hearing.

Additional Advocate General Kiran Ron requested that HMT also be restrained from felling trees standing on the land. When Chandrachud stated that he had no instructions on that aspect, the Court directed,

"The petitioner is restrained from felling any of the trees in the subject land till the next date of hearing, other than that which has already been sold by the petitioner to third parties."

The Bench clarified that even existing lessees would not be permitted to cut trees.

"Transfer includes lease, licence, everything. Don't do anything. Otherwise, they will go, they have to use the land and they will cut the trees. No felling of trees anywhere by the petitioner. Even your lessees cannot cut trees," the Court orally observed.

During the hearing, Justice Govindaraj remarked that there was no dispute regarding the nature of the property.

"Your business is gone. You return the forest land to the State government so that it can be maintained as forest...There is no dispute that the land is forest land. The only issue is that the Revenue Department took it and gave it to you. That's all. It was given to you from the Forest Department."

Chandrachud argued that the impugned order was contrary to the State government's stand before the Supreme Court. He submitted that while the State had earlier filed an application before the apex court concerning the land, it had subsequently sought to withdraw the same. HMT, meanwhile, had moved the Supreme Court seeking directions to the State to denotify the land.

He further submitted that nearly 178 acres had already been sold to government agencies, private entities and others, but despite this being brought on record, the Deputy Conservator proceeded as though the entire extent remained available.

He also informed the Court that portions of the land had already been leased to government agencies, including the Directorate of Enforcement, and sought protection for completed transactions.

Opposing the petition, the State said that it had withdrawn its application before the Supreme Court. Ron informed the Court that although substantial portions of the original land had already been transferred, around 290 acres continued to remain vacant with significant green cover.

The State submitted that it was attempting to preserve the land as Bengaluru's "lung space" and, therefore, no tree felling should be permitted.

HMT has challenged the June 15, 2026 proceedings initiated by the Forest Department, contending that the land was acquired, granted and gifted to it by the erstwhile Government of Mysore for establishing the Hindustan Machine Tools Factory and HMT Watch Factory.

According to HMT, the Forest Department cannot reopen completed government grants or treat the property as forest land after the State itself conveyed ownership through registered instruments.

The petition seeks quashing of the Deputy Conservator's order directing HMT to hand over 430 acres and 21 guntas of the disputed land.

The litigation comes amid an ongoing tussle between the Karnataka government and the Union government over the future of the HMT land. HD Kumaraswamy, whose Ministry administers HMT Limited, recently visited the Jalahalli property and has publicly backed the PSU's claim over the land, while the Karnataka government has maintained that a substantial portion constitutes forest land that should be preserved as Bengaluru's green lung.