Supreme Court Orders auctions of Golden Forest Properties in Uttrakhand worth 1,484 crores

By Kamal Panwar

2024-03-07

In a significant development, the Supreme Court has accelerated the process of auctioning properties owned by Golden Forest, a company embroiled in financial irregularities. The court's decision aims to provide relief to investors who had invested in the company's various ventures. The Income Tax Department has submitted a valuation report, estimating the total worth of the properties at a staggering 1,484 crores. The controversy surrounding Golden Forest dates back to the 1997-98 period when the Securities and Exchange Board of India (SEBI) flagged financial violations related to the purchase of thousands of acres of land across the country by 111 companies associated with Golden Forest. This led to a legal battle that eventually reached the Supreme Court. The court, in its recent order, directed the auction of the properties to ensure that the individuals who had invested in Golden Forest companies could recover their funds. The auction process is not limited to the state of Uttarakhand but extends to other states where Golden Forest properties are located. The valuation report, encompassing 21 regions, includes both land and building assessments. The highest valued property is the Cliff Estate in Mussoorie, comprising 500 acres, valued at 138.4 crores. Other notable properties include Snowdun Estate in Mussoorie, agricultural land in Arcadia Grant, and various plots in different locations. The court has emphasized the need for a transparent auction process to avoid complications, and three parties have already shown interest in participating. The Supreme Court has also mandated the Income Tax Department to conduct a valuation of surplus land in Dehradun district. The Golden Forest case, which has witnessed twists and turns over the years, underscores the complexities of financial irregularities and the legal battles that follow. The upcoming auction on July 31 is expected to bring further clarity to the resolution of this long-standing issue. It is crucial to note that the auction process aims not only to recover funds for investors but also to address the surplus land allocated to the government. The Supreme Court's proactive stance indicates a commitment to resolving the Golden Forest saga and ensuring justice for those affected by the financial discrepancies of the past. Valuation of Golden Forest Property (according to Income Tax Department report): 500 Bigha land Cliff Estate, Mussorie: 138.4 crores, 173 acres of land in Snow Wooden Estate, Mussorie: 55.9 crores, 0.19 hectare agricultural land in Arcadia Grant: 6.78 crores, 118.16 sq meters land, Ashutosh Nagar, Rishikesh: 20.08 crores, 12.34 hectare land, Danda Lakhond: 55.53 crores, 2.28 acre land in Suddhowala: 2.72 crores, 0.935 hectare, Jhajhara and 0.243 hectare East Hope Town:3.47, 0.514 hectare agricultural land in Jhajhara: 1.51 crores, 0.143 hectare land East Hope town: 42.18 crores, 1.437 hectare land, East Hope Town: 4.23 crores, 0.75 hectare, Nagal Hatnala: 1.21 crores, 20.68 hectare, Central Hopetown, Suddhowala and Jhajhara: 61 crores, All St. Church Castle Estate, Mussorie: 1.53 crores 8.242 hectare, Suddhowala: 24.31 crores Hotel Drive Inn, Chamba Road, Mussorie: 6.11 crores Hotel Drive Inn, Myfield Estate, Mussorie: 15.22 crores 1.10 hectare land, Bhaiswada, Dehradun: 83.06 crores 10 shops in Kulri, Mussorie: 5.19 crores Residential Property in My Estate and Paris House Estate in Mussorie: 1.31 crores Lakshmi Bhawan and Cotage, Mussorie: 5.23 crores 1355 acres land in villages around Doon: 1000 crores.