Archive · 3 Sep 2026
Karnataka High Court Orders Status Quo in Land Dispute
A court is deciding who has rights over a piece of land in Bengaluru.
The land covers 18 guntas.
KIADB says it acquired the land in 2004 for an industrial development project.
Royal Fragrances says the land then belonged to the State and could not have been mortgaged.
Title papers were later deposited with Canara Bank for loans worth Rs 85 lakh.
The company has also questioned how the bank handled its complaint and mortgage records.
Other people involved say the land was later de-notified and that they are the lawful owners.
For now, the court has told everyone not to change the situation or give new rights to anyone else.
The case will be heard again on September 19.
The Karnataka High Court ordered parties to maintain status quo over 18 guntas of land in Devarabisanahalli, Bengaluru East Taluk.
The court barred the creation of third-party rights until the next hearing on September 19.
Royal Fragrances Pvt Ltd challenges a mortgage of the property securing credit facilities totaling Rs 85 lakh from Canara Bank.
The company says the land vested in the State after a 2004 KIADB acquisition and was therefore free of encumbrances.
Respondents claim the land was later de-notified through final judicial decisions and that they remain its lawful owners.
- Who
- Royal Fragrances Pvt Ltd, the Karnataka Industrial Areas Development Board, Canara Bank, and other respondents claiming ownership of the land.
- What
- The Karnataka High Court ordered status quo and barred the creation of third-party rights in a dispute over acquired land and a related mortgage.
- When
- The interim order was passed on August 29; the matter is next listed for September 19. The acquisition notification was issued on February 23, 2004, and the mortgage transaction occurred on October 22, 2012.
- Where
- An 18-gunta parcel in Devarabisanahalli village, Varthur Hobli, Bengaluru East Taluk, Karnataka.
- Why
- The parties disagree over whether the land was validly acquired and vested in the State or was later de-notified and remained privately owned; the mortgage and the bank’s handling of related records are also disputed.
Acquisition and Mortgage Challenge
Ownership and De-notification Claim
Legal status of the land
Acquisition and Mortgage Challenge
Royal Fragrances and KIADB rely on the 2004 acquisition proceedings; Royal Fragrances says the land vested absolutely in the State and became free from encumbrances.
Ownership and De-notification Claim
Respondents Nos. 5 to 8 say the land was initially notified but later de-notified through judicial decisions that attained finality, leaving them as lawful owners.
Validity of the mortgage
Acquisition and Mortgage Challenge
Royal Fragrances questions the 2012 mortgage because the land had allegedly already vested in the State, and seeks records of Canara Bank’s title verification and appraisal.
Ownership and De-notification Claim
The respondents dispute Royal Fragrances’ account of the property’s legal status and maintain that they were entitled to deal with the land in accordance with law.
Future dealings with the property
Acquisition and Mortgage Challenge
Royal Fragrances alleges that respondents continued trying to create third-party rights despite the acquisition proceedings.
Ownership and De-notification Claim
The respondents deny the petitioner’s version and assert their right to deal with the property as its lawful owners; the court has temporarily barred new third-party rights.
- Court
- Karnataka High Court
- Judge
- Justice M. I. Arun
- Property
- 18 guntas at Devarabisanahalli village, Varthur Hobli, Bengaluru East Taluk
- Acquisition notification
- February 23, 2004, under the Karnataka Industrial Areas Development Board Act
- Mortgage amount
- Credit facilities aggregating Rs 85 lakh
- Mortgage date
- October 22, 2012, through Canara Bank’s Marathahalli branch
- Interim direction
- Maintain status quo and do not create third-party rights until the next hearing
- Next hearing
- September 19