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Packaged Foods
Legal21 Jul 2026, 06:41 pm

BBTCL's Singampatti Tea Estate Lease Dispute Update

AI Summary

The Bombay Burmah Trading Corporation Ltd (BBTCL) has provided an update on judicial proceedings concerning its tea estate in Singampatti, Tamil Nadu. The lease, originally from 1929, was deemed unviable, leading to cessation of operations from June 16, 2024, and a Voluntary Retirement Scheme for 534 workers. While the Madras High Court initially declined relief to challenging workmen, a Civil Appeal was filed. BBTCL has handed over most of the land, retaining some for asset removal. The Supreme Court noted progress in land handover and factory dismantling. A report by the Central Empowered Committee (CEC) mentioned unrecovered lease rentals of ₹4,655 crs, a figure BBTCL disputes as based on an unauthorized calculation. The Supreme Court has directed adherence to Madras High Court orders regarding lease rent re-quantification.

Key Highlights

  • BBTCL ceased operations at Singampatti tea estate due to lease unviability.
  • Supreme Court noted progress in land handover and asset dismantling.
  • Disputed lease rental claim of ₹4,655 crs based on CEC report.
  • Supreme Court directs adherence to Madras High Court's rent re-quantification order.