M/S.ASSOCIATED INDEM MECHANICAL P. LTD. vs WEST BENGAL S.S.I.D.C. LTD. .

The Supreme Court upheld the cancellation of lease deeds executed under the West Bengal Government Premises (Tenancy Regulation) Act, 1976, specifically citing Section 3(1) for the authority's action due to the lessee's failure to commence manufacturing activities as mandated by the lease terms. The Court affirmed that the lessor had the right to terminate the lease for non-compliance with the covenants, including the requirement to use the premises for manufacturing purposes. The appeal was dismissed, affirming the lower court's decision to uphold the lease cancellation.