In Brief
CIDCO invited tenders for leasing land near Navi Mumbai Airport to develop a five-star hotel. M/s. Metropolis Hotels, a partnership firm undergoing registration, won the bid with the highest offer. After receiving full payment, CIDCO approved the firm's requests to change land use to residential-cum-commercial and to sub-divide the plot, with part transferred to M/s. Shishir Realty. A new CIDCO head later cancelled the leases, citing breach of tender conditions and eligibility issues. The Supreme Court held that the cancellation was unjustified: CIDCO had authorized the changes, collected substantial amounts, and failed to prove any public interest loss. The Court applied promissory estoppel doctrine, holding the Government bound by its representations when the other party relied to their detriment. Canceling lease deeds on hyper-technical grounds after 13 years and full payment, merely because a new official took office, amounted to abuse of power and violated constitutional fairness. The appeals were dismissed.",
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