Writ Petition No. 22564 of 2019 · The High Court
Case Details
- 1 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 23RD DAY OF JUNE, 2025 BEFORE THE HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM WRIT PETITION NO.22564 OF 2019 (LB-BMP) BETWEEN: 1. M/S. BHARATH INFRA-TECH PVT LTD., A COMPANY INCORPORATED UNDER THE COMPANIES ACT, HAVING ITS OFFICE AT NO.186, 1ST CROSS, WILSON GARDEN, BENGALURU-560 027 REP. BY ITS P.A. HOLDER M/S. RAJARAJESHWARAE BUILDCON PVT LTD., A COMPANY REGISTERED UNDER THE COMPANIES ACT, HAVING ITS OFFICE AT NO.67/1, SRI RANGA COMPLEX NETTAKALLAPPA CIRCLE, BASAVANAGUDI BANGALORE-560 004 REP. BY ITS DIRECTOR SRI RAMANLAL M SHAH. 2. M/S. RAJARAJESHWARE BUILDCON PVT LTD., A COMPANY REGISTERED UNDER THE COMPANIES ACT, HAVING ITS OFFICE AT 67/1, SRI RANGA COMPLEX, NETTAKALLAPPA CIRCLE, BASAVANAGUDI, BANGALORE-560 004 REP. BY ITS DIRECTOR SRI RAMANLAL M SHAH. (BY SRI. RAVISHANKAR S., ADVOCATE) …PETITIONERS Digitally signed by GEETHA P G Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR AND: 1. THE STATE OF KARNATAKA REP. BY ITS ADDITIONAL CHIEF SECRETARY URBAN DEVELOPMENT DEPARTMENT VIDHANA SOUDHA BENGALURU-560001. 2. THE BRUHAT BANGALORE MAHANAGARA PALIKE N.R. SQUARE, BENGALURU-560002 REP. BY ITS COMMISSIONER. 3. THE JOINT DIRECTOR OF TOWN PLANNING, (SOUTH) THE BRUHAT BANGALORE MAHANAGARA PALIKE N.R. SQUARE BANGALORE-560 002. …RESPONDENTS
Legal Reasoning
(BY SRI. BOPANNA B., AGA FOR R.1; SRI S.H. PRASHANTH, ADVOCATE FOR R.2 & R.3.) DATED THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA, PRAYNG TO QUASH THE ISSUED BY THE ANNEXURE-C THE DEMAND NOTICE BEARING RESPONDENT NO.3 IT FOR NO.BBMP/ADDL.DIRE/JDSOUTH/0316/17-18 RELATES TO DEMAND OF RS.22,48,287/- [RUPEES TWENTY TWO LAKH FORTY EIGHT THOUSAND TWO HUNDRED AND EIGHTY RENT, RS.29,74,000/- [RUPEES TWENTY NINE LAKH SEVENTY FOUR THOUSAND ONLY] TOWARDS LICENCE FEE AND RS.68,800/- [RUPEES SIXTY EIGHT THOUSAND EIGHT HUNDRED ONLY] TOWARDS PLAN COPYING FEE, BY MEANS OF A WRIT OF CERTIORARI, ETC. 25.05.2019 SO TOWARDS GROUND SEVEN ONLY] - 3 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM ORAL ORDER The captioned petition is filed seeking for the following reliefs: "Therefore the petitioner prays that this Honourable Court be pleased to a. Quash the Annexure-C the demand notice issued by the Third respondent dated 25-05-2019 bearing No.BBMP/ Addl.Dire/ JDSouth/ 0316/17-18 so for it relates to demand of Rs.22,48,287/- (Rupees Twenty Two Lakh Forty Eight Thousand Two Hundred and Eighty Seven only) towards Ground Rent, Rs.29,74,000/-(Rupees Twenty Nine Lakh Seventy Four Thousand only) towards Licence Fee and Rs.68,800/- (Rupees Sixty Eight Thousand Eight Hundred only) towards plan copying fee, by means of a writ of Certiorari, - 4 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR b. Grant an order directing the third respondent to issue the Sanctioned plan and licence for construction of building by means of Writ of Mandamus, c. Such other relief or reliefs as this Honourable Court deem fit under the circumstances of the case." 2. It is brought to the notice of this Court that across the Bar, the issue is dealt by the Co-ordinate Bench in the reported judgment in W.P.No.23086/2022 and connected matters. The Co-ordinate Bench, while deciding the issue, has set-aside the Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2021 (Karnataka Act No.01 of 2022) and the Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2023, (Karnataka Act No.37 of 2024). Therefore, this Court deems it fit to cull out the operative portion of the order, which reads as under; - 5 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR "ORDER
Decision
(i) The writ petitions are partly allowed. (ii) The Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2021 (Karnataka Act No.01 of 2022), is hereby quashed and set aside. (iii) The Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2023, (Karnataka Act No.37 of 2024), is hereby quashed and set aside. (iv) It is hereby declared that the provisions contained in Section 18-A of the Karnataka Town and Country Planning Act, 1961, read with Rules 37-A and 37-C of the Karnataka Planning Authority Rules, 1965, are applicable only in respect of ‘Development Plan’ containing the proposal for construction on plots measuring more than 20,000 square meters in extent and not in respect of plots measuring less than 20,000 square meters. (v) It is hereby declared that if fee has been earlier collected for change of land use or while approving a layout plan, fee shall not be collected for subsequent ‘Development Plan’ in terms of the ‘Note’ found below TABLE I of Rule 37-A of the Karnataka Planning Authority Rules, 1965. - 6 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR (vi) It is hereby declared that the linking of the fee leviable under Rule 37-A of the Karnataka Planning Authority Rules, 1965, to the ‘market value’ or ‘guidance value’ as determined under Section 45-B of the Karnataka Stamp Act, 1957, is illegal. However, liberty is reserved to the respondent-State Government and the BBMP to re- fix a standard after collecting empherical data. (vii) Consequently, all the impugned Circulars which seek to give effect to the Rules 37-A and 37- C of the Karnataka Planning Authority Rules, 1965, are hereby quashed and set aside. (viii) It is hereby declared that Clause 3.8 of the Bengaluru Mahanagara Palike Building Bye- laws, 2003, providing for ‘Ground Rent’, is illegal and are accordingly quashed and set aside. (ix) Consequently, all the impugned Demand Notices raised by the respondent-BBMP, in respect of the writ petitioners herein are also quashed and set aside. It would be advisable that the BBMP may come out with a scheme for ‘One Time Settlement’ and settle the levy and collect the fee generally acceptable to the citizens of Bengaluru. This would also augment the present situation." - 7 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR 3. In the present writ petition, the core issue raised stands substantially covered and decided by the authoritative pronouncement of the coordinate bench, wherein the writ petitions were partly allowed and several consequential reliefs were granted. The Hon’ble Court, in unequivocal terms, quashed and set aside the Karnataka Municipal Corporations and Certain Other Law (Amendment) Acts of 2021 and 2023 (Karnataka Act Nos.01 of 2022 and 37 of 2024 respectively). 4. The Court further declared that the provisions under Section 18-A of the Karnataka Town and Country Planning Act, 1961, read with Rules 37-A and 37-C of the Karnataka Planning Authority Rules, 1965, are applicable only to development proposals concerning plots exceeding 20,000 square meters, and not to smaller plots. Importantly, it was also held that if a fee has been previously collected for change of land use or approval of layout plan, no further fee shall be levied for subsequent - 8 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR development plans, in view of the explanatory 'Note' to Table I of Rule 37-A. 5. The Court declared illegal the linkage of such levies to market or guidance value under Section 45-B of the Karnataka Stamp Act, and consequently, quashed all Circulars and demand notices issued to give effect to such unlawful interpretations. Clause 3.8 of the BBMP Building Bye-laws, 2003, imposing 'Ground Rent', was also struck down. 6. In view of these comprehensive declarations and findings, it is submitted that the controversy raised in the present writ petition no longer survives for adjudication independently, as it is squarely covered by the binding judgment of the coordinate bench. In the light of the law laid down in the reported judgment substantially covering the issue, which is raised in the captioned writ petition, the writ petition is liable to be allowed strictly aligning to the operative portion of the said writ petition. - 9 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR 7. In view of the above, this Court proceeds to pass the following; ORDER (i) The writ petition is allowed. (ii) The impugned demand notice dated 25.05.2019 issued by respondent No.3 as per Annexure-C is hereby set-aside. (iii) Respondent - BBMP is hereby directed to issue fresh/modified plan as the case may be. (iv) Respondent -BBMP is hereby directed to forthwith process the petitioner's application seeking building license and sanction of the building plan, strictly in accordance with law. (v) It is made clear that the issuance of the building license and approval plan shall not be withheld merely on the ground that the BBMP is contemplating to file an appeal against the reported judgment. (vi) If the building lease and sanction plan are issued, the same shall be subjected - 10 - NC: 2025:KHC:21709 WP No. 22564 of 2019 HC-KAR to the outcome of any appeal that may be filed by the BBMP against the judgment. Pending applications, if any, are also disposed off. Sd/- (SACHIN SHANKAR MAGADUM) JUDGE VMB List No.: 2 Sl No.: 6