NEW DELHI: Indiabulls Real Estate shares are down more than nine per cent on Wednesday after Maharashtra Industrial Development Corporation (MIDC) asked the company to vacate the land area measuring 512.068 hectare in processing zone of Special Economic Zone (SEZ) at Sinnar in Maharashtra's Nashik district.
Indiabulls Real Estate is trading at Rs 106.95 down 9.21 per cent.
Subsequent to the company's replies to the showcause notices and claim petition, as received by Indiabulls Real Estate Limited and Indiabulls Industrial Infrastructure Limited, a subsidiary of the Company (IIIL) from MIDC, the concerned authority i.e. Executive Engineer, MIDC, fixed the matter for hearing on February 5 wherein the company and IIIL presented the matter before the Executive Engineer on merits and the matter was reserved for passing necessary orders.
"While IIIL was in the process of planning and conducting further development on the land at SEZ and submitted a preliminary proposal of revival plan, on without prejudice basis, with MIDC, and was expecting a favourable order of such hearing, the MIDC has issued the vacation order, directing the company and IIIL to vacate the land area admeasuring 512.068 hectare in processing zone of such SEZ at Sinnar, Nashik district, Maharashtra, within one month of receipt of order," Indiabulls Real Estate said.
"The company believes this order to be unlawful and is evaluating legal options to defend itself/seek redressal against the said unlawful order, including filing of an appeal before appropriate authorities or court(s), and shall take all desirable actions in the matter," it added.