A.P.I.I.C.LTD vs M/S TEAM-ASIA LAKHI SEMICONDUCTORS L.&AN

The Supreme Court upheld the decision of the Andhra Pradesh High Court regarding the forfeiture of the earnest money deposit (EMD) by the Andhra Pradesh Industrial Infrastructure Corporation Ltd. under the terms of the allotment letter dated 31st August 1988, specifically clause 8, which stipulates that non-payment within 60 days results in cancellation and forfeiture. The Court emphasized that the allottee's failure to pay the full amount within the stipulated time justified the Corporation's actions. The appeal was dismissed, affirming the High Court's ruling that the plot was not an asset of the company in liquidation.