The Himachal Pradesh High Court has issued notices to the state government, the central government, the Central Bureau of Investigation (CBI), the Enforcement Directorate (ED), and non-agriculturist promoters of the Solan-based Chester Hills housing project. This action follows allegations of illegalities in the execution of the multi-crore project on nearly 275 bighas of agricultural land.
Court Proceedings
Hearing a Public Interest Litigation (PIL), a division bench of the high court comprising Chief Justice Gurmeet Singh Sandhawalia and Justice Bipin Chander Negi took cognisance of allegations related to violations of Section 118 of the Himachal Pradesh Tenancy and Land Reforms Act, 1972. This section restricts the transfer of agricultural land to non-agriculturists.
Key Allegations
The petition refers to a report submitted by the Sub-Divisional Officer (SDO), Solan, following complaints about alleged statutory and administrative inaction. The report concluded that although ownership of land in the Chester Hills-2 and Chester Hills-4 projects remained with a local agriculturist, substantive control over development and marketing was allegedly exercised by two non-agriculturist promoters. This was done through the Chester Hills partnership firm in collaboration with another firm owned by their fathers.
The report further highlighted the acquisition of nearly 275 bighas of land and the execution of housing projects valued at approximately Rs 47.09 crore. It raised concerns about the financial capacity reflected in the Himachal Pradesh agriculturist's income tax returns. The report suggested that the arrangement required scrutiny by the Enforcement Directorate and the Income Tax authorities to ascertain whether it was structured to circumvent legal restrictions on land transfers to non-agriculturists.
Petitioner's Contentions
The petitioner contended that the statutory process under Section 118 was curtailed after an order dated December 6, 2025, set aside the SDO's findings. This was allegedly done without adequately addressing the issues raised in the report. The petition also noted that the Real Estate Regulatory Authority (RERA) had repeatedly sought information from the Solan administration regarding complaints connected to the project.
Next Hearing
The matter will now come up for hearing on July 20. The court's notices aim to ensure that all relevant parties respond to the allegations and that the legal process is followed to address the concerns raised.
