KIADB Orders Resumption Of Bengaluru Land Held By Embassy Subsidiary

26 Mar 2026 CW Team

The Karnataka Industrial Areas Development Board (KIADB) has ordered resumption of a land parcel of about 78 acres in Bengaluru held by Embassy East Business Park Ltd (EEBPL), a subsidiary of Embassy Developments Ltd. KIADB issued an order dated March 16, 2026, directing surrender of possession within 30 days, and the subsidiary received the order on March 17, 2026. The land is held under a Lease-cum-Sale Agreement executed in June 2007 and valid until June 2029.

KIADB invoked Section 34B of the Karnataka Industrial Areas Development Act, 1966, and cited alleged breaches related to transactions with third parties without prior approval. KIADB said the alleged breaches concerned execution of memoranda of understanding and agreement-to-sell arrangements without prior consent.

Embassy Developments and its subsidiary have denied the allegations and stated that sub-lease arrangements were carried out after obtaining no-objection certificates from KIADB in compliance with the agreement. The company maintained that agreements to sell do not create or transfer any interest in property and were executed subject to necessary approvals including execution of a sale deed by KIADB.

The subsidiary raised concerns about breach of principles of natural justice, asserting that its prior communications and submissions were not taken into account before the order. Embassy Developments said it would evaluate the order and consider appropriate legal remedies, including approaching the Karnataka High Court, while also assessing the financial and operational impact.

The development assumes significance as the group has recently secured status quo relief against coercive steps in two separate ECIRs registered by the Enforcement Directorate, highlighting an ongoing regulatory and enforcement overhang. The company indicated that it will pursue legal options to protect its interests while monitoring implications for project timelines and stakeholders.

Infrastructure Transport

26 Mar 2026

The Critical Path

In Ircon International Ltd v. Afcons Infrastructure Ltd, OMP (Comm) 279/2019, the Delhi High Court examined how delay and extension of time (‘EOT’) are to be assessed in construction contracts, particularly in the context of the ‘critical path’ while dealing with challenge to an arbitral award under Section 34 of the Arbitration and Conciliation Act 1996 (‘the Act’). The High Court’s observations regarding the critical path are of significant import for construction and infrastructure projects and related arbitration. The parties entered into a contract for construction of T..

Urgently Wanted: 2 Million Workers!

Construction, India’s second largest employer by industry, employs about 50 million workers but could additionally absorb another 40 million workers, according to estimates shared by the Construction Skill Development Council of India (CSDCI) in 2023. Within this, citing trade estimates, Rahul Bahl, Managing Director, Krishna Buildestates, says the shortage of trained, skilled workers is currently about 2 million, and is expected to rise to 5 million by 2030.Not only is the construction industry struggling to find workers but construction labour productivity in India significantly trails g..

144 Years in the Making!

1. A century-spanning construction storyConstruction began in 1882, making the Sagrada Família one of the longest-running architectural projects in modern history. Today, the project is overseen by the Fundació Junta Constructora del Temple Expiatori de la Sagrada Família, with Chief Architect Jordi Faulí leading its final construction phases.2. The world’s tallest church towerhe Sagrada Família in Barcelona reached its final height of 172.5 m (566 ft) on February 20, 2026, with the installation of the cross atop the Tower of Jesus Christ, making it the tallest church in the world...To ..