Madras Race Club row: HC seeks counter from State on status of land possession

CHENNAI: The Madras High Court on Thursday directed the State to file a counter-affidavit to the application preferred by the Madras Race Club seeking leave from issuing a pre-suit notice on the State regarding the premature termination of a 99-year lease granted to it in 1946.

Justice RMT Teekaa Raman heard the civil suit preferred by the race club seeking to grant an injunction on the order passed by the revenue department prematurely terminating the lease. The race club also filed an application to exempt it from serving the two-month-long pre-suit notice on the state government.

Senior counsel Arvindh Pandian representing the race club submitted that as per section 80(1) of the Code of Civil Procedure, any suit filed against the State or Union government requires a two-month-long pre-suit notice. However, section 80(2) of the Code empowers the Court to grant leave to the pre-suit notice.

He also submitted that the subject 161-acre land has not been handed over to the government as claimed. Recently, the club conducted a horse race within the property, he said. Further, the counsel sought to stay the order terminating the lease as it was issued without the consent of the race club.

Senior counsel P Wilson, who appeared for the revenue department, submitted that the possession of the land was already taken by the state government and only the buildings have to be handed over, hence there is no ground to entertain the civil suit. The counsel also sought permission to file a counter affidavit.

The counsel for the Madras Race Club relied upon the Advocate General's (AG) statement in the division bench order against the lock and seal proceedings initiated by the district collector of Chennai to take possession of the subject land. The AG said that the State has not taken possession of the property but now the counsel for the revenue department is refuting the AG's statement, the plaintiff's counsel submitted.

After the submissions, the judge directed the State to file a counter-affidavit to the application and adjourned the matter to September 23 for further submission.

On September 9, the Chennai Collector and revenue department officials sealed the Madras Race Club for its failure to pay up whopping rental arrears of Rs 731 crore, only to be castigated by the Madras High Court for the “illegal” and “high-handed” manner in which it tried to take over the 161-acre land leased to the club. The management of the club claimed that the termination of the lease was not communicated to them, hence it was unconstitutional.