The nearly seven-decade-old dispute over one of Delhi’s most prominent residential estates has entered a fresh legal phase. The Centre’s Land and Development Office (L&DO) has initiated eviction proceedings against Sujan Singh Park North, the Colonial-era complex next to Khan Market that includes the Ambassador Hotel.
Background of the Property
The property is associated with Sir Sobha Singh, a key contractor in building New Delhi after the British shifted their capital from Calcutta in 1911. He played a significant role in constructing Rashtrapati Bhavan and a major part of India Gate. Sujan Singh Park, named after his father Sujan Singh, was developed by his family-run company, which continues to manage the estate.
Recently, the Centre also initiated eviction proceedings against the Gymkhana Club and Jaipur Polo Ground in Delhi.
Eviction Notice and Allegations
In a notice issued on June 11 under the Public Premises (Eviction of Unauthorised Occupants) Act, 1971, the L&DO asked Sir Sobha Singh and Sons Pvt Ltd to explain why an eviction order should not be passed. The government alleged that the lease was “re-entered” on August 5, 1960, following an alleged breach of conditions attached to the 1945 lease. According to the notice, no fresh lease, renewal, or allotment was granted thereafter, making the company’s continued occupation “unauthorised”.
An L&DO official stated that the proceedings were initiated in accordance with the government’s position that the lease stood terminated following the 1960 re-entry.
Historical Dispute
The dispute traces back to 1944, when two adjoining plots of 7.58 acres were allotted for constructing around 100 residential flats for government use during World War II. Sir Sobha Singh and Sons was incorporated to execute the project and was to receive a perpetual lease upon completion. However, differences emerged over the nature of development. Government authorities allegedly objected to the construction of a public hotel and the commercial use of garages and servant quarters. The company contested these allegations, maintaining that development was undertaken with official knowledge and approval.
The matter reached court in 1960 when the company sought to restrain the government from acting on the alleged re-entry. An interim status quo order remained in force for decades, followed by a 2009 civil court judgment in favour of the company. Earlier this month, a district court set aside that verdict, paving the way for the government to initiate proceedings under the Public Premises Act.
The latest action follows a Supreme Court ruling in a separate dispute, which held that the property was a “government grant” governed by the Government Grants Act, 1895. It also follows a revised demand notice of around Rs 940 crore issued in April over alleged lease condition breaches.
Company’s Response
Sir Sobha Singh and Sons has challenged the June 11 eviction notice before the Delhi High Court. Counsel Shaunak Kashyap said the company obtained “substantive relief” after questioning the legal basis of the notice and will present its position before the Estate Officer. Kashyap argued that any eviction must begin afresh, with the government proving the 1960 re-entry was valid—something it failed to establish during 49 years of trial.
During proceedings before the L&DO’s Estate Officer on Friday, the company challenged the government’s claim of unauthorised occupation, arguing that the re-entry was “invalid and inoperative”. It contended there was no breach of lease conditions, no valid notice or opportunity to remedy any breach, and that possession was never taken by the government. The firm placed over 100 exhibits on record, including a 1951 sanctioned map incorporating the hotel block, to support that the disputed structures were built with official approval. The matter is scheduled for further hearing on July 3.
