Karnataka high court halts move to resume Embassy’s Bengaluru land

Bengaluru: Weeks after the Karnataka Industrial Areas Development Board (KIADB) ordered the resumption of nearly 78 acres of land in east Bengaluru’s Kadugodi over alleged violations of allotment conditions, the agency suffered a setback with the high court setting aside the proceedings.

According to govt records, the land was allotted to Embassy East Business Park Ltd (formerly Concord India Ltd) for developing infrastructure catering to multinational companies, IT and IT-enabled services firms. However, citing a lack of substantial development despite multiple extensions, KIADB had directed the company to surrender the land within 30 days.

During its inspection, KIADB had also found that the company had entered into agreements to sell around 25 acres of the allotted land to third parties without obtaining the required permissions. TOI had reported on KIADB’s resumption order in its March 27 edition. Challenging the action, Embassy Developments approached the high court through a writ petition.

KIADB officials declined to comment on the high court order setting aside the proceedings.

Aditya Virwani, managing director of Embassy Developments Ltd, said the high court’s decision reaffirmed the company’s lawful rights over the land parcel. “The court’s order is an important affirmation of EEBPL’s lawful rights over land that has long been central to our East Bengaluru development plans. We are pleased that, with this order, we can continue to develop the land,” he said.

The latest court order comes close on the heels of another favourable legal outcome for the company after the National Company Law Appellate Tribunal on May 4 quashed insolvency proceedings initiated against Embassy Developments.