A.No.4443 of 2024 A.No.4443 of 2024 in O.A.No.225 of 2023 S.S. SUNDAR , J. Earlier, this Court, by its order dated 22.08.2024, made in Appl.Nos.4000 & 4001 of 2023, directed the learned AG & OT to clear the lands, so that the entire land will be visible for the prospective investors, who may seek suitable lands for their projects. This Court also permitted the learned AG & OT to fence the lands, taking note of the report submitted by the learned AG & OT. 2.After consciously taking a decision to showcase the lands with a fond hope of getting prospective lessees, the learned AG & OT has filed this application to confirm the auction which was conducted by them earlier, in favour of the highest bidder. It is to be noted that the same bidder had earlier, in the first auction, quoted a sum of Rs.4.4 Crores as lease amount. Since the prospective lessee was unable to pay the amount equivalent to three years lease amount as directed by this Court, the bid was not considered. Again, the property was put on auction. When the application filed by the highest bidder seeking permission of this Court to make further payment as per the terms and conditions of the auction, was https://www.mhc.tn.gov.in/judis A.No.4443 of 2024 pending, the property was put to auction. This time, the amount quoted by the single bidder was not even 50% of the offer pursuant to the first auction. Therefore, this Court directed fresh auction. 3.In the report filed by the learned AG & OT in support of this application, it is stated that fresh auction was held after publication of sale notification in ‘Dinamalar’ Daily on 14.07.2024. The upset price was fixed by this Court at Rs.4 Crores. It is further reported that, when the tender box was opened on 07.08.2024, there was only one application-cum-tender from one Everwin Group of Schools & Businesses, having their office at Kolathur, Chennai – 99. The only bidder has quoted a sum of Rs.4.01 Crores. Even though the learned counsel representing the bidder earlier informed this Court that the bidder is prepared to pay something more, at least to match the price which the same person had quoted in the first auction, today there is no one present in Court. 4.This Court is of the view that the property has not attracted many people in view of the inherent defects in the notification which was published earlier by the learned AG & OT. Since the land itself was not https://www.mhc.tn.gov.in/judis A.No.4443 of 2024 visible earlier, this Court is hopeful that there will be several persons who will be interested, if they are permitted to inspect the entire land. It is to be noted that the property is within a distance of 17 km from the premises of this High Court. Therefore, the value of the land is phenomenally high. However, the offer appears to be too low. It is to be noted that the auction is for letting out the property for a period of 30 years with a clause enabling further renewal upon revision of rent at the rate of 15% once in five years. In view of the growing per capita income, demand for lands and inflation, the enhancement cannot be less than 5% p.a. This will be considered at the time when this Court finally decides the terms and conditions of the auction as well as the manner in which the auction should be conducted. Since the lessee is permitted to put up construction, the terms of lease should be considered to suit the market conditions. Since the offer is very low, this Court is not inclined to confirm the auction. 5.The learned AG & OT is directed to go for fresh auction. The auction notification and the terms and conditions of the tender should be submitted by the learned AG & OT before going for publication of fresh tender. Having regard to the value of the land and its potential, this Court https://www.mhc.tn.gov.in/judis A.No.4443 of 2024 is of the view that the learned AG & OT should also be permitted to find out the other modes by which the property can be invested. The learned AG & OT is also directed to consult experts in property investments taking note of market conditions, as well as investments in general, to find out the possible generation of more income without touching the corpus, or any other modes of investment by which the property and its income can be more beneficial and fruitful to serve the objects of the Trust. 6.Post the matter on 19.09.2024 at 2.15 p.m. 7.Meanwhile, the learned AG & OT is directed to refund the entire amount deposited by the highest bidder pursuant to the auction conducted earlier. 05.09.2024 mkn https://www.mhc.tn.gov.in/judis A.No.4443 of 2024 S.S. SUNDAR , J. mkn A.No.4443 of 2024 in O.A.No.225 of 2023 (Next Hg. Date : 19.09.2024) 05.09.2024 https://www.mhc.tn.gov.in/judis