Settle lease issue, says HC to state and Centre

Mumbai: The Bombay high court has asked the state government and the management of a Central government-owned company to resolve the issue of the lease.

The company had approached the Bombay high court after the Mumbai District Collector initiated seizure procedures against it for violating clauses of the rental agreement.

According to additional solicitor general Anil Singh, Richardson and Cruddas Co, were issued seizure notice by the Collector Ashwini Joshi around five months ago for violating lease norms.

Richardson and Cruddas Co is a central government entity involved in manufacturing machinery for the power, oil and gas, railways, sugar industry sectors. The company had no option but to approach the Bombay high court and had filed a writ in November 2016.

According to sources close to the Mumbai district collector the company had violated the norms by renting its premises at Byculla for purposes other than running the engineering units.

The source added that the premises were rented out for activities like mega events, exhibitions, marriages and shootings of films.

Additional solicitor general Anil Singh said he had informed the court that they were exploring the possibility of out of court settlement, which was accepted, by the Bombay high court.