# In the matter of Three C Green Developers Pvt. Ltd. And 8 Others vs. State Of U.P. And 2 Others

> HC judgment dated 2025-02-24. Citation: TCN-2025-HC-00039. The case revolves around the development of a Sports City in Noida, initiated by the Noida…

- **Court:** HC
- **Order date:** 24 Feb 2025
- **Citation:** TCN-2025-HC-00039
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/high-courts-new-delhi/three-c-green-developers-pvt-ltd-and-8-others-vs-state-of-up-and-2-others-4975e3df

## Summary

### Background

The case revolves around the development of a Sports City in Noida, initiated by the Noida Authority with the aim of creating international standard sports facilities. The project involved allotting land to a consortium of companies led by M/S Xanadu Estates Pvt. Ltd. However, the project faced numerous issues, including delays in land possession, deviations from the original scheme, and allegations of a significant scam involving Noida Authority officials and the builders. The Comptroller and Auditor General (CAG) unearthed a scam in 2021, revealing irregularities and financial losses amounting to approximately Rs. 9000 crores. The allottees failed to develop the sports facilities as intended, and the project was marred by violations of the scheme's conditions,

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## Facts

The Noida Authority initiated a project to develop a Sports City with international standard facilities. Land was allotted to a consortium led by M/S Xanadu Estates Pvt. Ltd. The scheme launched in 2011 required 70% of land for sports facilities and 30% for residential/commercial development. The allottees were to construct a minimum of 15% of the permissible area for sports facilities within 3 years. The consortium members were to specify a Lead Member with at least 30% share. The Noida Authority permitted sub-leases and sub-divisions of plots. The CAG report revealed a scam of approximately Rs. 9000 crores due to wrong pricing, sub-division of entire plots, lack of screening of bidders, and ousting of the Lead Member. The allottees failed to pay installments, and the

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## Issues and analysis

### Issue 1: Whether the actions of the Noida Authority and the allottees/builders in the Sports City project …

**Ratio:** The principle of public trust and the need for transparency and accountability in

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**Reasoning:** The court found that the Noida Authority officials colluded with the builders to grant

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**Interpretation:** The court interpreted the actions of the Noida Authority and the builders as a

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**Application:** The court applied the principle of public trust and the doctrine of piercing

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## Parties

- **Judges:** Mahesh Chandra…; Prashant…
- **Appellants:** M/S Three C Green…
- **Respondents:** State Of…
- **Other parties:** Kohi…

## Timeline

- **2004-08-16 — Noida Authority…**: The Board of Noida Authority took a decision to develop sports facilities of…
- **2007-06-25 — Board Conc…**: The Board concluded that there are no sports facilities available in Noida, hence, an…

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