Can Pvt Ltd Company purchase and sell agricultural land?
Querist :
Anonymous
(Querist) 12 April 2011
This query is : Resolved
Respected Sir/Madam,
I really appreciate your efforts, you put in all the posts.
I have some queries as follows:
1. We as a pvt company want to purchase agricultural land of 1000 Acres from an aggregator (Such person has already aggregated small parts from individual farmers)
2. Our real motive is to make systematic planning & plotting of the land, internal roads, and sell the same agricultural land to our investors/customers (bulk purchase, improvement, retail sale of land and any unsold land can be kept as land bank in our company)
3. I have also read that company can purchase agricultural land subject to its objects/provisions in MOA/AOA (the provisions being "bonafide industrial use")
But I don't think that our company's objective comes under bonafide industrial use as per 63-1A of BTAL Act,1948
Would like to hear from you.
Advocate. Arunagiri
(Expert) 12 April 2011
If your AOA permits you can do that, if the AOA does not permit, make necessary alteration by a resolution.
Querist :
Anonymous
(Querist) 13 April 2011
Thank you Adv. Arunagiriji & Adv. Nareshji for your quick reply.
We understand that MOA/AOA should have such main obejcts specified. But, We cannot have any ultravires objectives which doesn't correspond to "Bonafide Industrial Use".
Also, would their be any land ceiling applicable to the pvt limited company of 54 acres ?
Thanks in Advance
bhagwat patil
(Expert) 13 April 2011
If you dont use the the land for industrial purpose within the five years of purchase of the land the said land is restored to the original seller. and the consideration is returned to the buyer as revenue refunds.your que shows your co.might not start industry on said land.dont go to 63 1A there are several ways to complete the deal within the parameters of law.contact.
