P&H HC orders CBI probe into illegal construction of Ambience Mall in Gurugram

The Punjab & Haryana High Court has ordered CBI probe into the "illegal” conversion of residential land into commercial for the construction of Ambience Mall in Gurugram. (Dr Amitabha Sen & Anr vs Raj Singh Gehlot & ors).The order was passed by a Divison Bench of Justices Rajan Gupta and Karamjit Singh in a petition by one Dr Amitabha Sen (Petitioner). .The Petitioner alleged that the commercial complex was built in blatant violation of Haryana Development and Regulation of Urban Area Act, 1975 and that the entire complex could not have come up without the collusion of the government authorities..The Petitioner stated that the land parcel of 18.98 acres was originally conceived as Ambience Lagoon Island, a residential complex, however, a chunk of land of 8 acres was 'delicensed' for commercial purposes. .The State Government stated that the entire project went as per the plan and that an area of 8 acres was 'delicensed' and subsequently, duly licenced for raising a commercial complex. .On being asked by the Court about the enabling power, if any, in the statute to permit delicensing, the State government could not refer to any provision..The builder submitted that the Builder-Buyer agreement was clear that the housing project was to come upon 10.98 acres only and the rest of the area was reserved for “future development”..After hearing the parties and perusing the documents on record, the Court noted that no "lay-out plan" was available on record either with the licence or with the application submitted by the builder for the purpose of initiation of the project..It appears, the builder never intended to submit the lay out plan as his intention from the very beginning was just not to establish a housing project but other commercial buildings within the area sanctioned for group housing. We find it difficult to accept that all these clever tactics went unnoticed by the department. On the other hand, it points to their active connivance from the very initiation of the project.P&H HC remarked. .The design to develop a commercial complex was also never divulged either by the builder or State authorities to the innocent buyers at any stage, the Court added. .It is beyond comprehension how builder himself could reserve a part of the area (8.0 acres) out of 18.98 acres for future development. The builder acted in a manner as if he was not governed by any Enactment/Rules...An agreement between parties cannot override the law lay down to regulate urbanization and to prevent ill-planned and haphazard development.P&H HC said. .The Court thus concluded that the possibility of the builder acting in collusion with the authorities and duping innocent buyers of apartments could not be ruled out..The Court also observed that under Haryana Development and Regulation of Urban Area Act, 1975, the term ‘delicensing’ was a misnomer and it only contained a specific provision for 'cancellation of licence' in case the builder failed to comply with specific conditions of licence. ."..the action of the authorities in “delicensing” area meant for housing project, the same can be termed as nothing but a colourable exercise of power.", the Court said. .Thus, stating that it could not turn a blind eye to the "illegal actions and possible collusion between a private builder and State authorities", the Court quashed the order delicencing a part of the residential area for commercial purpose. .To fix responsibility in the matter, it further ordered, .Central Bureau of Investigation would investigate the entire issue after registering a formal FIR by a team of Officers to be chosen by the Director, CBI within six weeks from today. An effort shall be made to complete the entire investigation within six months and a status report be submitted in sealed cover within three months.P&H HC.The CBI has now registered a case against Raj Singh Gehlot, Ambience Ltd., Ambience Developers and Infrastructure besides unidentified officials of Haryana Urban Development Authority (HUDA) and Town and Country Planning (TCP) Department..Advocate RS Bains appeared for the Petitioner. Senior Advocate Sanjay Kaushal with Advocate R Kartikiya appeared for Ambience Mall builders. .Addl AG Ankur Mittal appeared for State of Haryana. .Read the Order: