In Brief
This case involves competing claims to an industrial shed in Lucknow's Talkatora Industrial Estate. The Appellant sought allotment of a shed originally allocated to M/s Surya Chemicals (which had defaulted); the first respondent, Avadh Delicacies, sought to retain the shed via a transfer arrangement. The High Court favoured Respondent No. 1 on grounds that no public auction was conducted and the Appellant was not afforded a fair hearing. The Supreme Court reversed this, finding that the Appellant had received proper notice and Respondent No. 1 lacked substantive proof of manufacturing activity. However, as the Appellant already held two other sheds, it had no special claim. The Court set aside both allotments and directed public auction at market value.
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