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Punjab and Haryana High Court stays demolition of UltraTech Cement plant in Gurgaon’s Manesar

The Municipal Corporation of Manesar issued the demolition order to UltraTech Cement more than five months after it submitted the required documents, which the company described as a delayed, and arbitrary action that violated principles of natural justice.

4 min readUpdated: Jan 22, 2026 02:17 PM IST

The Ultratech plant in Gurgaon (File Photo)

The Punjab and Haryana High Court has provided significant temporary relief to UltraTech Cement Limited, a major player in the cement industry, by staying the demolition order issued by the Municipal Corporation of Manesar (MCM) against the company’s ready mix concrete (RMC) plant located in Haryana’s Gurgaon district.

In an order passed on January 19, Justice Harsh Bunger directed that the demolition order dated January 9 – which mandated UltraTech to immediately cease operations and demolish the plant within seven days, with the threat of the corporation carrying out the demolition and recovering costs as arrears of land revenue – shall remain in abeyance until the next hearing scheduled for February 25.

The interim stay was granted after senior counsel Anand Chhibbar, assisted by advocates Abhilaksh Gaind, represented UltraTech and argued that the plant has been operating lawfully for more than 25 years with all required statutory approvals. Senior counsel Jagdish Manchanda, along with advocates Nischal Chetanya Manchanda and Saksham Kaushik, appeared for the Municipal Corporation of Manesar and sought additional time to file a detailed reply, which the court permitted.

The RMC plant, originally established by UltraTech’s predecessor company, Grasim Industries (under the unit name Vikram Premium RMC), in the late 1990s, is a substantial facility valued at approximately Rs 100 crore. It currently employs 171 workers and plays a vital role in supplying ready-mix concrete to numerous ongoing building and infrastructure projects across the Gurugram region.

According to the detailed writ petition filed by UltraTech, the plant received key approvals long before the Municipal Corporation of Manesar came into existence. These include an in-principle change of land use (CLU) permission dated November 5, 1998, followed by formal CLU approval on November 16, 1998, and building plan approval on December 18, 1998. All these documents expressly referred to the unit as an RMC facility operated by Grasim Industries Ltd (Unit: Vikram Premium RMC), with the approved site plan clearly titled as such.

More recent clearances include a factory licence issued on November 25, 2025, a fire no-objection certificate, and consent to operate from the Haryana State Pollution Control Board dated August 30, 2024, which categorises ready mix concrete operations in the low-pollution “green” category.

Approvals obtained before constitution of Manesar civic body

UltraTech has emphasised that the Municipal Corporation of Manesar was only constituted on December 24, 2020, through a government notification under the Haryana Municipal Corporation Act, 1994. At the time the plant was set up, and approvals were obtained, no permission from this body was required or possible. The company relies on Section 350D of the same Act, which explicitly states that any acts done under the earlier Punjab Scheduled Roads and Controlled Areas Restriction of Unregulated Development Act, 1963, are deemed valid under the new municipal corporation framework.

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The petition strongly criticises the demolition order for proceeding on the incorrect assumption that the original CLU permission was only for a generic “factory” and not specifically for an RMC plant. UltraTech points out that there was no legal requirement in 1998 to specify the exact nature of industrial activity in such detail, and the authorities at the time were fully aware of the intended RMC operations.

‘Demolition order was an arbitrary action’

Despite the company submitting comprehensive replies with all supporting documents on July 18, 2025, and August 6, 2025, in response to earlier show-cause notices, the municipal corporation allegedly failed to consider these materials. The demolition order was issued more than five months later, which UltraTech describes as a delayed, arbitrary, and high-handed action that violates principles of natural justice.

The company further contends that the order infringes its fundamental rights under Articles 14 (equality), 19(1)(g) (right to carry on business), 21 (right to life and livelihood), and 300-A (protection of property) of the Constitution of India. Additionally, it argues that the Commissioner of the Municipal Corporation lacks the authority to issue such an order following a 2014 amendment to the Act, which vests enforcement powers in controlled areas with the director of Urban Local Bodies, and no valid delegation of this power has been shown.

Manraj Grewal Sharma

Manraj Grewal Sharma is a senior journalist and the Resident Editor of The Indian Express in Chandigarh, where she leads the newspaper’s coverage of north India’s most politically and institutionally significant regions. From Punjab and Haryana to Himachal Pradesh and the Union Territory of Chandigarh, she oversees reporting at the intersection of governance, law, politics and society. She also reports on the diaspora, especially in Canada and the US. With a career spanning journalism across several countries, academia and international development, Manraj brings a rare depth of perspective to regional reporting. She is widely regarded as a leading chronicler of Punjab’s contemporary history and socio-political evolution, particularly its long shadow of militancy, federal tensions and identity politics. Her book, Dreams after Darkness, remains a definitive account of the militancy years and their enduring aftermath. Professional Background & Expertise A gold medalist in mass communication and a post-graduate in English literature, Manraj has a multifaceted career spanning journalism, academia, and international development. She was also awarded a fellowship by National Foundation of India and did several in-depth pieces on Manipur. Internationally, she has reported from Israel, US, UK, Myanmar, and Mauritius Her key focus areas include: Regional Politics, History, Agriculture, Diaspora, and Security. Of late, she has started focusing on Legal & Judicial Affairs: Much of her recent work involves reporting on high-stakes cases in the Punjab and Haryana High Court, ranging from environmental policy to civil rights. International Consulting: She previously served as a consulting editor for the Asia Pacific Adaptation Network and a publishing consultant for the Asian Development Bank (ADB) in Manila. Academia: For five years, she was the managing editor of Gender, Technology and Development, a peer-reviewed international journal at the Asian Institute of Technology, Bangkok. Recent Notable Articles (Late 2025) Her recent reportage focuses heavily on judicial interventions and regional governance: 1. Environment & Governance "‘NGT can’t test legality of policy’: HC hears challenge to Punjab’s ‘Green Habitat’ plan" (Dec 22, 2025): Covering a critical legal battle over whether the National Green Tribunal has the authority to strike down a state policy regularizing farmhouses on delisted forest land. "High court pulls up Punjab poll panel over audio clip probe" (Dec 10, 2025): Reporting on judicial concerns regarding the transparency and fairness of local body elections. 2. Legal Rights & Social Welfare "HC issues notice to Punjab, Haryana over delay in building old age homes" (Dec 22, 2025): Reporting on a contempt petition against top officials for failing to establish government-run homes for the elderly as promised in 2019. "Victims can appeal acquittals in sessions court without seeking special leave" (Dec 19, 2025): Highlighting a significant procedural shift in criminal law following a Supreme Court ruling. "HC upholds benefits for Punjab FCI officer acquitted in 20-year-old bribery case" (Dec 19, 2025): A report on the concept of "honourable acquittal" and its impact on employee benefits. 3. Human Rights & Identity "As Punjab denies parole to MP Amritpal Singh, HC asks it to submit ‘foundational material’" (Dec 1, 2025): Covering the legal proceedings regarding the radical preacher and sitting MP's request to attend Parliament. "Protecting life paramount: HC backs Muslim woman in live-in after verbal divorce" (Nov 6, 2025): Analyzing judicial protections for personal liberty in the context of traditional practices. Signature Beats Manraj is recognized for her ability to decode complex judicial rulings and relate them to the everyday lives of citizens. Whether it is a 30-year-old land battle in Fazilka or the political implications of Kangana Ranaut’s candidacy in Mandi, her writing provides deep historical and regional context. Contact @grewal_sharma on X manrajgrewalsharma on Instagram ... Read More