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Allahabad HC Seeks UP Government’s Response on Rehabilitation of Shopkeepers Evicted for Super-Specialty Hospital

Ravin Yadav

Allahabad High Court directs the Uttar Pradesh government to explain rehabilitation or compensation measures for six shopkeepers whose leased shops were demolished for a super-specialty hospital.

Allahabad HC Seeks UP Government’s Response on Rehabilitation of Shopkeepers Evicted for Super-Specialty Hospital

The Allahabad High Court, Lucknow Bench, has sought a response from the Uttar Pradesh government over the eviction and demolition of shops occupied by six lessees at the Sitapur Eye Hospital complex in Faizabad. The Court acknowledged the public interest involved in constructing a super-specialty hospital but stressed that the shopkeepers’ livelihood concerns could not be ignored.

Background

The petitioners stated that they were allotted shops on a lease basis in 2000 under the Sitapur Netra Chikitsalaya Complex Niyamawali. The allotments provided for a 30-year lease, renewable after every 30 years, and possession was handed over through letters dated February 28, 2000.

In June 2025, the District Magistrate, Ayodhya, issued a notice directing them to vacate the shops within 15 days, stating that the land had been transferred to the Department of Health and Family Welfare. After an earlier petition resulted in directions to decide their representation and maintain the status quo, the District Magistrate rejected their claim through an order dated July 31, 2026.

The shopkeepers challenged that order before the High Court, arguing that their leases had not been determined and that no rehabilitation or compensation arrangement had been proposed.

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A bench comprising Justice Shekhar B. Saraf and Justice Amitabh Kumar Rai questioned the eviction of the shopkeepers without addressing their existing leasehold rights.

The Court observed,

“Such conduct on the part of the respondents is highly condemnable and cannot be appreciated as the action of the respondents adversely affects the right of the petitioners towards their livelihood and is violative of Articles 19 and 21 of the Constitution of India.”

Recognising the public purpose behind the hospital project, the bench added,

“We are conscious of the fact that the construction of a 300 bed super specialty hospital is in the public interest, but it is also equally important that the petitioners, who were carrying on the business earning their livelihood, cannot be thrown out without making any alternative arrangement for their rehabilitation or compensating them for the loss.”

The High Court directed the respondents to file a counter-affidavit within three weeks, detailing proposed steps for rehabilitation or compensation. The affidavit must be filed by an officer not below the rank of Secretary, Medical and Health Department.

The matter was listed for November 16, 2026.

Case Details

  • Case Title: Mohd. Naeem And 5 Others v. State of U.P. Through Principal Secretary, Medical Health Department, Lucknow And 2 Others
  • Case Number: Writ-C No. 9961 of 2026
  • Judges: Justice Shekhar B. Saraf and Justice Amitabh Kumar Rai
  • Decision Date: October 12, 2026
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