While issuing the direction, a bench of Acting Chief Justice Gita Mittal and Justice C Hari Shankar said the huge volume of unauthorised units shows the extent of the corporation's "negligence" and its "failure" to do its duty.
The bench said despite information on these industries being furnished to the corporation by the Delhi State Industrial and Infrastructure Development Corporation Ltd (DSIIDC) and the court's July 6 order to carry out a fresh zone-wise inquiry into the units, it had failed to do so.
It further said the corporation's officials were also violating the Supreme Court's 2004 direction to relocate such units to industrial areas and to disconnect water and power supplies to industries which did not comply with the directive.
The apex court in its 2004 order had said all units which came up after August 1, 1990, were to be relocated within four months, the court said.