Chennai:
Madras High Court has lambasted a Thiruvottiyur-based society for leasing out a stretch of prime land for a lower rent and directed the original lease holder and sub-lease holder to vacate the premises immediately.
Justice K.K. Sasidharan, who found fault with the leasing of the prime property, which would have fetched a monthly rent of Rs.4.6 crore instead of the over Rs 56,000 for which it was leased out, said petitioner (R Loganathan) enjoyed the property for about 11 years with the blessings of the then liquidator.
The four-acre piece of land was vested with m/s Reid Cooperative Timber and Blacksmith Society by an order of exemption issued by government in December 1996. At that time, it was made clear that the society must use the land only for its own use and it should not be leased to others.
However, in June 2002, the then liquidator leased the property to Loganathan for a monthly rent of Rs 56,700.
Loganathan then sub-leased the property for a petroleum outlet, owned by K L Sivakumar.
After a new liquidator assumed office following the suspension of the earlier one, a counter-affidavit was filed stating that a prime property, which would fetch a monthly rent of Rs 4.27 crore had been leased and sub-leased for a paltry sum, that too in violation of government conditions.
The petroleum outlet owner, resisting eviction moves, said a Thiruvottiyur court had stayed the move in March 2006. Rejecting the arguments, Justice Sasidharan said the lease period expired on June 6 this year and that as on date neither Loganathan nor Sivakumar had any valid lease.
The judge also pointed out that the society had become defunct.
Directing the original lessee and the sub-lessee to leave the premises immediately, the judge said their lease and occupation "are non-est in law."
Justice K.K. Sasidharan, who found fault with the leasing of the prime property, which would have fetched a monthly rent of Rs.4.6 crore instead of the over Rs 56,000 for which it was leased out, said petitioner (R Loganathan) enjoyed the property for about 11 years with the blessings of the then liquidator.
The four-acre piece of land was vested with m/s Reid Cooperative Timber and Blacksmith Society by an order of exemption issued by government in December 1996. At that time, it was made clear that the society must use the land only for its own use and it should not be leased to others.
However, in June 2002, the then liquidator leased the property to Loganathan for a monthly rent of Rs 56,700.
Loganathan then sub-leased the property for a petroleum outlet, owned by K L Sivakumar.
After a new liquidator assumed office following the suspension of the earlier one, a counter-affidavit was filed stating that a prime property, which would fetch a monthly rent of Rs 4.27 crore had been leased and sub-leased for a paltry sum, that too in violation of government conditions.
The petroleum outlet owner, resisting eviction moves, said a Thiruvottiyur court had stayed the move in March 2006. Rejecting the arguments, Justice Sasidharan said the lease period expired on June 6 this year and that as on date neither Loganathan nor Sivakumar had any valid lease.
The judge also pointed out that the society had become defunct.
Directing the original lessee and the sub-lessee to leave the premises immediately, the judge said their lease and occupation "are non-est in law."
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