The Bombay High Court has ordered Subhash Ghai’s Whistling Woods Institute to return 20 acres of land in suburban Goregaon to the Maharashtra government. A division bench of the court today also indicted Union Science and Technology Minister Vilasrao Deshmukh for misusing his Chief Ministerial position by extending undue favors to Ghai’s film training institute. The court said that the joint venture agreement signed between Subhash Ghai's Mukta Arts and Maharashtra Film, Stage and Cultural Development Corporation was illegal, arbitrary and without authority of law. Referring to the CAG estimate of the land at 31.20 crores rupees as opposed to the three crores rupees valuation done by the government; the court observed the Mukta Arts was not eligible for concessions as it is not registered under the Bombay Public Trust Act. The court however refused permission for a CBI inquiry in the case. The bench said that there were no indication to suggest that these undue favors were granted by Mr. Deshmukh as quid pro quo to get his son Riteish established in the film industry.Meanwhile, the court asked the state government to take over the 5.5 acre land keeping in view the on going sesion on 31st July, 2014. The remaining 14.5 acre plot will have to be vacated and handed over immediately. The court has also restrained Whistling Woods from granting admissions to students for courses which go beyond 2014. The court has further directed Mr. Ghai to pay an annual rent of 5.3 crore rupees since 2000, the year in which the agreement was signed. The bench has however stayed its order for eight weeks and allowed Subhash Ghai to approach Supreme Court.
News On AIR | February 9, 2012 9:05 PM
Bombay HC orders Subhash Ghai’s institute to return land in suburban Goregaon to Maharashtra govt