New Delhi, Feb 5 (ANI): A view of the Supreme Court of India (SCI) building in New Delhi on Monday. (ANI Photo/Amit Sharma) | Photo credit: ANI
The Supreme Court on Tuesday (January 20, 2025) set aside the order of the Punjab and Haryana High Court directing the Central Bureau of Investigation (CBI) probe into the construction of the Ambience department store in Gurugram on land originally allotted for a group housing project, holding that the Supreme Court’s July 10, 2020 direction was “ex facie”.
However, a bench comprising Justices JB Pardiwala and Sandeep Mehta clarified that its decision will not affect the proceedings pending before the Supreme Court on other related issues.
“We are of the firm opinion that the High Court proceeded on a totally erroneous premise that the residential colony was to be developed on the entire 18.98 acres and not 10.98 acres. The above conclusion is ex facie erroneous in view of the agreement entered into between the parties and the approved layout plan,” the Bench said.
The dispute arose out of the development of Ambience Mall and other commercial complexes on about 19 acres of land in Nathupur village along the Delhi-Jaipur National Highway in Gurugram. While the land was approved in the early 1990s for a group housing project, part of it was subsequently permitted for commercial development, a move that was later contested by residents and buyers.
The Bench further held that the Supreme Court’s direction for a CBI investigation was issued on the basis of unverified and inconclusive material. He also noted the “gross delay” by the petitioners in approaching the High Court and pointed out that the suits were filed in 2015, almost eight years after the Ambience Mall was built and commissioned.
Accordingly, the judges noted that the “remarkable silence and utter indifference” displayed by the flat owners for almost a decade had raised “serious doubts” about the veracity of their appeal.
“The gross delay in appealing to the High Court was a material and decisive factor which alone should have denied the petitioners any discretion under Article 226 of the Constitution,” the Bench said.
The court also noted that the CBI had registered an FIR as directed by the Supreme Court and had since submitted a final report in which the revocation of the license of eight acres of land was found to be in accordance with law.
The Supreme Court on Tuesday also quashed the National Green Tribunal’s order imposing ₹10 crore environmental compensation on a developer for allegedly building in a green area at the Ambience Lagoon Apartment complex in Gurugram. However, the court clarified that the proceedings before the tribunal could resume depending on the outcome of its judgment.
In July 2020, the Supreme Court, while hearing a public interest litigation, ordered a CBI investigation after concluding that the builder and government authorities appeared to be in collusion. It found that the permissions granted for the commercial complex were in serious violation of statutory provisions under the Haryana Urban Development and Regulation Act, 1975. The High Court also ordered the CBI to complete its investigation within six months.
Ambience Group operates several real estate projects including Ambience Malls in the National Capital Region and Leela Ambience Convention Centre. Earlier, the CBI had booked group chairman and managing director Raj Singh Gehlot as well as unidentified officials of the Haryana Urban Development Authority for allegedly converting residential plots into commercial properties.
Published – 20 Jan 2026 22:07 IST
