The Supreme Court has quashed a 2021 judgment of the Allahabad High Court in a dispute relating to acquired land in Noida’s Sector 18, holding that the proceedings were vitiated by fraud and suppression of material facts. The case arose out of land jointly purchased in 1997 which was subsequently acquired by the New Okhla Industrial Development Authority (NOIDA) in 2005.
One of the co-purchasers later approached the High Court in 2019, claiming exclusive ownership and seeking enhanced compensation. The High Court accepted this plea and awarded higher compensation in 2021, overlooking the rights of the other co-owners.
The matter eventually reached the Supreme Court, where it was argued that the claimant had relied on a forged power of attorney and concealed the existence of co-owners and other pending litigations.
The apex court, after examining the record, held that the conduct of the claimant amounted to fraud on the Court, which nullifies any judicial act based upon it. The bench observed that a litigant who takes inconsistent stands before different forums and withholds crucial facts cannot be permitted to secure advantage, as fraud destroys the very foundation of adjudication.
In its ruling delivered on 23 July 2025, the Court set aside not only the High Court’s 2021 judgment but also its own earlier order of 2022 which had partly upheld the compensation. The dispute has been remanded to the High Court for fresh adjudication with clear directions that all co-owners must be impleaded and heard before any determination of compensation is made.
The Court also restrained the claimant from creating third-party rights over the assets derived from the compensation amount. Reiterating the principle that “fraud unravels everything,” the judgment underscores that concealment and deceit cannot be allowed to taint judicial proceedings, and that equitable relief must be rooted in transparency and fairness.