Noida to cease to be a commercial hub?

"Banking or nursing homes or any other commercial activity is not permitted in sector 19 and for that matter, in any sector, in the development area earmarked for 'residential use'," a bench comprising justices Swatanter Kumar and Ranjana Prakash Desai said.u00a0

The apex court directed that the 'misuse' of the residential plot be 'stopped' forthwith and its order should be complied within two months. Noida is located on the outskirts of Delhi.u00a0

"The 21 banks and nursing homes, which are operating in sector 19 or any other residential sector, shall close their activity forthwith, stop misuse and put the premises to residential use alone, within two months from the date of pronouncement of this judgment," the bench said.u00a0

The court also said the lessees of the plots shall ensure that the occupant banks, nursing homes, companies or persons carrying on any commercial activity in the residential sector should stop such activity and shift the same to the appropriate sectors i.e. commercial, commercial pockets in industrial institutional area and specified pockets for commercial use within the residential sector, strictly earmarked for that activity in the development plan, regulations and provisions of the Act.u00a0

The verdict upheld the decision of the Allahabad High Court which had dismissed the bunch of petitions challenging the order of the Noida authority not permitting the use of residential plots for commercials purpose or mixed use.

The apex court on Monday also agreed to examine the 'legal validity' of the monitoring committee appointed by it to oversee the sealing of unauthorised business and commercial premises in residential localities.u00a0A bench of justices GS Singhvi and Swatanter Kumar agreed to examine the legality of the court-appointed panel after senior counsel Mukul Rohtagi, appearing for Hotel Ambassador, contended the restaurant which is facing threat of sealing and wanted to challenge the authority under which the monitoring committee was appointed by the apex court in 2006.u00a0The apex court also told MCD counsel Sanjib Sen to ensure that the sealing drive was not implemented by the monitoring committee till the next date of hearing in the first week of January 2012.