Committee - Golden Forest (India) Limited

Appointed by the Hon'ble Supreme Court of India



W.P.(C) No.1399/2010


Through: Mr. Harpawan Kumar Arora, Adv. for GFIL Committee.


Through: Mr. Shailendra Bharadwaj with Mrs. Aroma S. Bharadwaj, Advs. for M/s. Golden Forests India Ltd.

Mr. Harish Malhotra, Sr. Advocate with Mr. Gaurav Dhima and Mr. Anjani Kumar Singh, Advs. for the applicant in CM No.1313/2012.

Mr. Anil Mittal, Adv, for non-applicant/objector Nos.1, 2 and 3 in CM  No.18353/2011

Mr. U. Hazarika, Sr. Adv. with Mr. Ashok Kumar Singh and Mr.  Shantwana Singh, Advs. in CM No.4306/2011.

Mr. Rajiv Dutta, Sr. Adv. with Mr. S. Ravi Shankar, Adv. for the non-applicant in CM No.4310/2010 and CM No.11269/2011.






CM No.1313-14/2012 (of M/s. Asian Real Spaces LLP for petting aside the order dated 30.9.2011 of the Committee)

1.The Committee of Golden Forests India Limited had invited bids for  sale of agricultural land admeasuring 205.170 hectares (i.e. 507 acres)
situated in Village-Harsola, District Indore, Madhya Pradesh. The
advertisements were published in some of the leading newspapers. The
reserve price of the property was kept as `98 Crores and participation
money prescribed was of `1 Crore. The applicant was one of the bidders
and had deposited the participation money of `1 Crore with the Committee.
As per the terms of bids/offer, the applicant was required to deposit 20%
  of the bid amount by 27.9.2011, subject to the confirmation of the bid by
  this Court. The bid conditions further provided that the balance amount
  is to be paid within 30 days from the date of the confirmation by the
  High Court. In the event of failure of deposit of 20% amount, the
  participation money was to be forfeited. Likewise, even if 20% deposit
  was made, but the successful bidder did not make payment of the balance
  amount within the time stipulated, the participation money as well as the
  20% bid money was to be forfeited.

  2.The bid of the applicant being the highest was accepted. However,
  the applicant did not deposit 20% of the bid amount by 27.9.2011 or
  thereafter. The applicant has given certain reasons because of which the
  applicant did not deposit the amount. At this stage, we are not going
  into these reasons. The Committee vide its order dated 30.9.2011
  forfeited the participation money of `1 Crore deposited by the applicant
  and directed inviting of fresh bids. Challenging the said order, the
  present application is filed.

  3.During the course of arguments, a suggestion was mooted that even
  now this Court may grant time to the applicant to deposit the bid amount
  with interest.

 4.There is an apprehension in the mind of the applicant that even if
  the amount is deposited, the applicant may not get the actual physical
  possession of the property in question and it is also stated that the
  land available may be less than what is notified in the auction notice.

 5.Learned counsel for the Committee states that the Committee would
  be in a position to give the actual physical possession of the land in
  question and in case, the land measures less than notified, there is a
  clause for pro rata reduction of the bid amount.

6.In these circumstances, before we proceed further, we direct the
applicant to deposit 20% of the bid amount within 10 days from today.
Question of interest is left open, which will be decided on the next
7. List on 17th February, 2012.

CM No.18353/2011 (of the GFIL Committee for confirmation of the order
dated 12.8.2011)

8.The respondents/objectors remain 4 to 9 remain to be served.
Afresh notice be served to objector Nos.4 to 9, also through objector
No.6, Mr. Narender Hooda, , returnable on 19th March, 2012.

9.Mr. Mittal, learned counsel appearing for the respondent/objector
  Nos.1, 2 and 3 may file reply within four weeks.

CM No.4310/2010 (Previously registered as I.A. No.75 of 2007 in the
  Supreme Court)

10.This application has been filed by the Golden Public School
 Committee with prayer that the sale of the land on which the said school
 is being run be not confirmed. Vide orders dated 15.10.2008 of the
 Supreme Court, this I.A. was referred to the Committee for passing
 appropriate orders, subject to the confirmation by the Supreme Court.
 Since then, the entire matter has been transferred to this Court; it
 would imply that the confirmation now has to be by this Court. After the
 aforesaid orders were passed by the Supreme Court, the Committee went
 into the matter and passed the order dated 18.2.2009. Copy of that order
 is annexed with CM N.1269/2011 filed by the Committee.

11.As per the school, it had taken the land in question vide lease
 deed dated 12.3.1998 executed between Golden Scientific and Technical
 Education Society and the company, i.e., GFIL for running the Golden
 Public School.

12.The Committee in its order dated 18.2.2009 has found noted that the
 society did not come forward and move any such application and therefore,
 I.A. preferred by the school was liable to be dismissed on the ground
 alone. That apart, the Committee went into the merits of the claim of
 the school. Vide order dated 18.2.2009, it is inter alia observed that
 the restraint order was passed by SEBI on 09.1.1998 prohibiting the
alienation of the properties of the company and therefore, it was not
open to the company to lease the land after 09.1.1998 and thus, lease
deed dated 12.3.1998 was in contravention of the aforesaid restraint
orders. It is also observed that the company and the society belong to
same family members, viz., Sayals. The Committee also studied the
documents available with it and observed that these documents reveal that
the company as well as its subsidiaries had contributed heavy amounts in
construction of the school building.

  13. From the aforesaid as well as other documentary evidence, the
  Committee has come to the conclusion that the school is, in fact, owned
  by the company GFIL. The contention of the school that building was
  constructed with the donation mobilized by public and various business
  houses was brushed aside and it was concluded that the entire set up is
  nothing but sham illegally which belongs to GFIL and its investors.

14.Neither the society nor the school have challenged the aforesaid
  order dated 18.2.2009 by filing any proceedings.

15. After going through the order, we confirm the same. CM stands
  disposed of.


CM No.11269/2011 (by GFIL Committee for directions).

16. In this application following prayers are made:

(1)That the said Society and the Management Committee of the School
 may kindly be directed to allow the prospective purchaser(s)/bidder(s) of
the School property to enter its premises in the company of the
officials/representatives of this Committee after the School working hours for having a look into the same and not to put forward the said
illegal, invalid and void lease or any other lame excuse for dissuading
the prospective purchaser(s)/bidder(s) from coming forward with their
offer(s)/bid(s) for the School property.

(2)This Hon ble Court may pass any other order as may be deemed
 17.Mr. Dutta, learned Senior counsel appearing for the school submits
  that the society/school shall not have any objection if any prospective
  purchaser(s)/bidder(s) want to inspect the school property by entering
  the premises; however, it should be after the school hours so that the
  functioning of the school is not disturbed. This is a reasonable
  18. In these circumstances, we permit the prospective purchaser(s)/bidder(s) to visit the school premises/land for the purpose  of inspection after 1400 hrs. till 1900 hrs. The school authorities,  teaching or other staff or any of the workers/representatives shall not  put any hindrance or interference to the said prospective  purchaser(s)/bidder(s) who so visit the school property by themselves or  along with the representatives of the Committee for inspection of the  site and shall also not dissuade the said purchaser(s)/bidder(s) from purchasing the property or from making offer thereof.

 19. CM stands disposed of.


  CM No.4306/2010 (of M/s. BCC Builders Private Limited impugning the order
  dated 20.1.2010 of the GFIL Committee)


20.Request for adjournment is made by Mr. Arora, learned counsel for
the GFIL Committee. List on 19th March, 2012. Interim orders to




FEBRUARY 06, 2012/pmc