Telangana HC orders status quo in NAC Quippo lease termination case

Telangana High Court has ordered a status quo in a writ petition challenging the alleged illegal termination of a lease deed by the Executive Engineer of the Roads and Buildings Department.

By Legal Correspondent

Hyderabad: Justice B. Vijaysen Reddy of the Telangana High Court has ordered a status quo in a writ petition challenging the alleged illegal termination of a lease deed by the Executive Engineer of the Roads and Buildings Department. The case was brought forward by NAC Quippo Equipment Services Limited.

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The petitioner contended that a lease agreement was established between them and the State, under which the company was paying a rent of Rs.5 lakh per acre to generate revenue. However, on September 14, 2024, the petitioner alleged that the respondent authorities took possession of the land in Lingampally Mandal, Ranga Reddy, unilaterally rescinding the lease deed without prior notice. Arguing that the authorities’ actions were arbitrary and illegal, the petitioner emphasized that no formal termination notice had been issued.

During the proceedings, Justice Vijaysen heard the arguments but declined to grant an ex-parte order against the respondents, given that possession of the land had already been taken by the authorities. Instead, the court directed that notices be issued to the National Academy of Construction in Hyderabad and scheduled the matter for further hearing.