The Supreme Court set aside the Punjab and Haryana High Court’s order directing a CBI probe into the Ambience Island project in Gurugram. The ruling brings major relief to residents and stakeholders, while clarifying that other connected cases before the High Court will continue independently.

In an important development related to the Ambience Island project in Gurugram, the Supreme Court of India has set aside a judgment of the Punjab and Haryana High Court which had earlier ordered a probe by the Central Bureau of Investigation (CBI).
A Bench comprising Justice J.B. Pardiwala and Justice Sandeep Mehta delivered the judgment today. The Court brought closure to the issues raised regarding the legality of the Ambience Island project and set aside the High Court’s directions calling for a CBI investigation.
This decision comes as a major relief to stakeholders, especially residents and tenants living in residential properties at Ambience Island, who had been facing uncertainty for several years due to the prolonged litigation. The Supreme Court clarified that its ruling will not affect other connected cases that are still pending before the High Court on separate issues.
The dispute arose from the development of the Ambience Island project in Gurugram, which involved several parcels of land and multiple licences. Homebuyers raised objections to the process of delicensing and relicensing of certain land parcels within the project.
It was alleged that land which was originally meant for residential use was later used for constructing commercial buildings, including Ambience Commercial Tower II. These allegations led to legal challenges before the Punjab and Haryana High Court.
By its judgment dated 10 July 2020, the Punjab and Haryana High Court had set aside the delicensing and relicensing orders. The High Court also cancelled the approvals granted by the Department of Town and Country Planning (DTCP), Haryana, for the construction of Ambience Commercial Tower II.
Along with this, the High Court directed the State Government to take consequential action and ordered a CBI investigation into the matter. This judgment significantly impacted the project and led to the filing of an appeal by the Ambience Group before the Supreme Court.
Allowing the appeal filed by the Ambience Group, the Supreme Court set aside the impugned judgment of the Punjab and Haryana High Court, including the direction for a CBI probe.
The Supreme Court further directed that the proceedings pending before the National Green Tribunal (NGT) in connection with the project shall remain in abeyance. These proceedings will stay on hold until the High Court decides another writ petition filed by certain homebuyers.
The Supreme Court also made it clear that the High Court should decide the pending writ petition independently, without being influenced by any observations made by the Supreme Court.
Ambience Island is a premium luxury residential complex known for its high-end amenities and housing. The Supreme Court’s judgment is expected to restore confidence among residents, families, and tenants who are lawfully occupying homes within the complex.
The ruling brings much-needed stability to the project after years of legal uncertainty and reassures stakeholders that their rights and interests remain protected.
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Mr. Raj Singh Gehlot and the Ambience Group were represented by a senior legal team led by Mukul Rohatgi, Abhishek Manu Singhvi, Pinaki Misra, and Sanjeev Ralli.
They were assisted by Ruby Singh Ahuja, Vishal Gehrana, Uzma Sheikh, Varsha Himatsingka, and Tribhuvan Narain Singh from Karanjawala & Co.
The State of Haryana was represented by Tushar Mehta, Solicitor General of India, along with Lokesh Sinhal.
The homebuyers were represented by Kamini Jaiswal and Uttara Babbar, assisted by other lawyers.
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