M.A.Wajid Chishty v. The State of Telanqana

Petition under Article 226 ol lhe constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High court may be pleased to issue a writ or direction, more particularly one in the nature of writ of mandamus declaring the highhanded action of the 3rd respondent is levying property tax including the acquired land to an extent of 107.93 sq. Yards out of iotal eitent of 346.93 sq. Yards and raising the impugned Notice of Demand dated 20102t2025 demanding to pay a total of Rs.1,05,69,504 (Rupees one crore Five lakhs sixty nine thousand five hundred and four) and further not considering the explanation of the petitioner daled 03to712023 and 2210212025 as arbitrary, illegal and violation oi A.ti"l" 14 and 21 of the Constitution of lndia and corisequently direct the respondents to reassess the property tax of the premises No.5-1-485 to 487, Jam Bagh, Hyderabad. lA NO: 1 OF 2025 Petition under section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High court m-9y be pleased to Stay the Notice of Demand daled 20-02-2025 issued by the 3'o respondent, till the disposal of the writ Petition. Counsel for the Petitioner: SRI NABI RASOOL BALADUR Counsel for the Respondent No.1: GP FOR MUNICIPAL ADMINISTRATION & URBAN DEVELOPMENT Counsel for the Rer;pondent No.2 & 3: SRI ARUN KUMAR, SC FOR GHMC The Court made thr: following: ORDER HONOURABLE SRIJUSTICE B' VTJAYSEN REDDY WRIT PETITI ONN o.9978 OF 2025 ORDER This writ petition is filed by the petitioner seeking to declare the action of respondent No'3' in issuing demand notice dated 2o.o2.2o25directingthepetitionertopayRs.1,05,69,504land not considering the explanation of the petitioner dated 03'07 2023 and 22.02-2025, as arbitrary and violative of Articles 14 and 21 of the lndian Constitution' and consequently' to direct the respondents to reassess the property tax of the petitioner's premises bearing No'5-1-485 to 487 situated at Jam Bagh' Hyderabad.

2.1. The case of the petitioner is that he is the owner of the property bearing Municipal No'5-1-485 lo 487' admeasuring 346.93 sq. yards, situated at Jambagh' Hyderabad The building was constructed more than 40 years back' Property tax was assessed at Rs"l ,33'0941 during the year 2007 when the property was in occupation of tenant by name ItI/s' Osmania Medical Book DePot'

2.2.llissubmittedthatasperclause2lofthelease agreement between the petition6iaffd his tenant' the property tax i .i.:. 1 I i . I ! I : I I t I I t t I 2 was to be paid by the tenant. However, the tenant defaulted in payment of rent and property tax. The petitioner got evrcted the tenant in lhe year 2023.

2.,3. lt is submitted that in the year 2010, out of totial extent of 346.93 sq. yards of the petitioner's property, an (:rxtent of

107.93 sq. yards was acquired for road widening, and during acquisition, a portion of the petitioner's building including the stair case was clemolished, as a result the first floor of the building became inaccessible and the petitioner is not using his first floor. While so, the petitioner submitted representatior dated

03.07.2023 to respondent No.3 intimating about acquisition of 107.93 sq. ,7ards and eviction of tenant and requersted for reassessing the property tax. Subsequenfly, on receipt of rlemand notice datecl 20.02.2025, the petitioner submitted representation daled 22 0',2.2025 to respondent No.3 for reassessment of property

3. l-leard Mr. Nabi Rasool Baladur, learned counsel for the petitioner, ernd Mr. Arun Kumar, learned Standing r.)ounsel appearing for respondent Nos.2 and 3. 3

4. Learned counsel for the petitioner submitted that the impugned demand notice shows total property tax payable by the petitioner as Rs.1 ,05,69,504/- representing arrears of tax component being Rs.27,37,801/- and interest on arrears component being Rs.76'68,81 9/-'

5. Learned Standing Counsel appearing for respondent Nos.2 and 3 placed on record a copy of the assessment history of the petitioner's property and it is submitted that the petitioner is liable to pay arrears of tax from 2008-2009 and total amount payable by the petitioner was quantified at Rs'1'08'10'7831 and the impugned demand notice was issued'

6. On perusal of the assessment history furnished by the petitioner, it appears exorbitant interest is charged by the GHMC' lnterest on arrears component (Rs 77,96'969/-) is two times more thanthearrearstaxcomponent(Rs'28'70'8951)Thereisno clarity as to how interest component has been arrived at and the formula being adopted for calculating interest' Further it is the case of the petitioner that arrears of tax for the last more than 15 years are being demanded without any notice to the petitioner' t l i I I i i I I I I i I i I I 4

7. ln the light of above observations, the impugned demand notice issued by respondent No.3 is in violation of principles of natural justice. The petitioner ought to have be,:ln given opportunity, to explain his case and representation submitted by the petitioner dated 22.02.2025 should have been cons dered by respondenI No.3 8 Ac,cordingly, the writ petition is disposed of dirercting the respondents to consider the explanation of the petitioner dated

03.07.2.02it and 22.02.2025 and re-assess the property tax of the petitioner's premises bearing Municipal No.5-'1-485 to 487 situated at Jambagh, Hyderabad, subject to the conditicn of the petitioner paying an amount of Rs.10,00,000i-, out of which Rs.5,00,000,t- shall be paid on or before 07.04.2025 and the balance amount of Rs.5,00,000/- shall be paid on or before 07 .05.2O2a. No order as to costs As;a sgqLrgl thereto, miscellaneous petitions if any, pending in this writ petition stand closed SD/. N.CHANDRA SEKHAR GISTRAR //TRUE COPY// OFFICER To, 1 2 J 4 5 b The Princioa Secretary Municipal Administration and Urban D'lvelopment rne Siiie birelangani, Secreiariat Buildings, HydPrabad' iii" cb,i mis.ionerl createiHvaeouio 1ltuii"ipal Corporation Lower Tank Bund, Hyder;abad. The Deputv Commissloner, Greater Hyderabad Municipal Corporation' Circle No.14, bo6ha Mahal, Hyderabad. o"e iCt" Snt NABi RAsooL BALADUR, Advocate [gPucl On" CC to SRI ARUN KUMAR, SC FOR GHMC [OPUC] i*o cc.io,sp ron uurutctpALADMlNlSTRAT|ON & URBI\N oeVf f-bptrleuT, High Court for the State of Telangana. [OU' l

7. Two CD CoPies . o-qK,**-. .,*-yx--'*--.':---.-::--'.- BN .-,*--*i*..:*t3x-:xr,,=&.== r&t+;t; ;, HIGH COURT DATED:0310412025 CC TODAY ORDER WP.No.9978 of 2025 e f, 1H TA7 € 0 7 APrl 20tr z .o Di \-.- A .ri-'.r DISPOSING OF THE WRIT PETITION WITHOUT COSTS --)