Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Service Law |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | Suit - Eviction suit - Consent decree between Judgment-debtor agreeing to pay commercial surcharge on consolidated rates or a rate specified by Municipal Corporation - Judgment - debtor also making payments accordingly - Claim of commercial surcharge for earlier period by decree-holder - Execution application claiming eviction and arrears of commercial surcharge - Plea of judgment debtor that liability to pay the surcharge does not arise - Single Judge of High Court directing realization of the charge by selling the assets of the Judgment-debtor - Division Bench of High Court upholding the order in view of the consent decree and conduct of the judgment - debtor - On appeal, held: Order of High Court was correct as the same was passed in view of relevant facts and law - Calcutta Municipal Corporation Act, 1980 - s. 171(4).After expiry of lease in respect of the property in question lessor (predecessor-company of Respondent No.1 company) filed an eviction suit against the lessee-appellant. Consent decree was passed in the suit decree. The same was also modified after change of succeeding owners of the premises. Appellant-lessee, in the decree had given an undertaking that it would pay the commercial surcharge on consolidated rate on the Corporation tax or at the rate as would be determined by the Municipal Corporation. On demand of commercial surcharge by the lessor company lessee paid the same since 1997. Lessor then claimed the arrears of Surcharge since July, 1976. Thereafter execution petition was filed by the lessor (decree holder) for vacation of the premises and for payment of arrears of surcharge. Single Jude held that the lessee was not liable to pay the commercial surcharge from 1997 which he had already paid and such surcharge could not be levied prior to commencement of Section 171(4) of Calcutta Municipal Corporation Act, 1980 i.e. 1.4.1984. It directed payment of arrear occurring from 1.4.1984 till June, 1997. The Special Leave Petition against the order was withdrawn. Thereafter second execution petition was filed, during pendency thereof, application u/s 47 CPC was filed questioning the date of imposition of surcharge as well as contending that payment of surcharge actually arose only after determination of annual valuation and fixation of rates by Municipal Authorities. Single Judge of High Court disposed of the execution application of Receiver for realization of commercial surcharge and consolidated rates of taxes. In appeal to Division Bench of High Court, it was contended that as per law prevalent, rate bill has not been presented to the occupier; and that it was not liable to pay as the Act envisaged one consolidated rate bill payable by the owner which was recoverable from the occupier. Division Bench of High Court in view of the consent decree and the fact that the appellant had all along been making payment, declined contentions of appellant, and upheld the order of Single Judge. Hence the present appeals. |
Judge | Hon'ble Dr. Justice Arijit Pasayat |
Neutral Citation | 2007 INSC 994 |
Petitioner | Lagan Jute Machineries Comp Any Limited |
Respondent | Candlewood Holdings Ltd. And Ors. |
SCR | [2007] 10 S.C.R. 480 |
Judgement Date | 2007-09-28 |
Case Number | 5670-5671 |
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