Indore (Madhya Pradesh): Indore Bench of Madhya Pradesh High Court has vacated its earlier interim order directing maintenance of status quo on a parcel of village Gochar (Charnoi Bhumi) land in Neemuch district, which has been allotted for an industrial development project.
The court held that, prima facie, the land diversion and subsequent allotment were carried out in accordance with the provisions of the Madhya Pradesh Land Revenue Code, 1959.
The order was passed by a division bench comprising Justice Vijay Kumar Shukla and Justice Alok Awasthi while hearing a public interest litigation (PIL) filed by petitioner Arvind. The petition alleged that land reserved for grazing purposes under the village Nistar Patrak was being converted for non-permissible uses without following the mandatory procedure under Section 234 of the Code .
Earlier, on November 17, 2025, the High Court had directed all parties to maintain status quo with respect to the disputed land. However, the Madhya Pradesh Industrial Development Corporation (MPIDC), moved an interlocutory application seeking vacation of the interim order.
Opposing the PIL, the State government raised a preliminary objection on its maintainability, arguing that the petitioner was an interested and affected person and that the case did not qualify as a genuine public interest litigation. The State further informed the court that the Collector had already passed an order on December 6, 2017 under Section 237 of the Code, diverting the land for development and infrastructure purposes approved by the State government.
According to the submissions, the land -- bearing survey number 977/4 -- was recorded in the name of the State government after diversion in 2017 and earmarked for the State s Industrial Corridor project. MPIDC, acting as the nodal agency, subsequently allotted the land to Suvidhi Rayons Pvt Ltd managing director Rajesh Kumar Jain for setting up an industrial unit as part of the project.
After examining Section 237(4) of the Land Revenue Code, the court observed that the law permits diversion of Gochar land for State-owned or State-approved development and infrastructure projects, provided the Collector passes a reasoned order after considering available alternatives and arrangements for equivalent land to protect nistar rights. The bench noted that the Industrial Corridor project qualifies under this provision and is being implemented by the State through MPIDC.
Finding the allotment to be prima facie legal, the High Court vacated its interim status quo order. The petitioner has been granted four weeks time to file a rejoinder, and the matter is scheduled to be listed thereafter.