Hyderabad: In a major relief to real estate giant Unitech Ltd, the Hyderabad High Court has directed the Telangana state government and Telangana State Industrial Infrastructure Corporation to pay Unitech Hyderabad Township Ltd Rs 660.55 crore within four weeks.
Justice M.S. Ramachandra Rao was allowing a plea by Unitech Ltd seeking a refund of the '162 crore that it paid to the TSIIC, along with interest, to develop a township on 350 acres in Budvel of Ranga Reddy district as the government had failed to deliver the land.
The judge said that the state government and the TSIIC were entitled to recover the money from the State of Andhra Pradesh and the APIIC, if they are entitled to do so under law.
Unitech has told the court that it had deposited Rs 162 crore with the APIIC in 2008 to develop the integrated township on 350 acres at Budvel. The APIIC had failed to hand over possession of the land as some persons claimed ownership. The case went up to Supreme Court where the state government lost the case.
The TSIIC claimed that in view of the non-division of assets and liabilities between the TSIIC and APIIC, it would liable to refund only its share of 42 per cent, and the petitioner could claim 58 per cent from the APIIC.
Justice Ramachandra Rao refused the claim of the TSIIC and noted that the land fell in Telangana state after bifurcation.
The Development Agreement in relation to the development of the land, had it been executed, would have been for the exclusive benefit of Telangana state.
