Writ Petition No. 8883 of 2022 · The High Court
Case Details
- 1 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 19TH DAY OF JUNE, 2025 BEFORE THE HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM WRIT PETITION NO.8883 OF 2022 (LB-BMP) BETWEEN: M/S. M.R.CONSTRUCTIONS A PARTNERSHIP FIRM HAVING OFFICE AT H NO.18-121 /3, ROAD NO.5 KAMALA NAGAR, KILSUKHANAGAR, HYDERABAD – 500 001 REP BY ITS PARTNERS MR. CH.AMARESHWARA GOUD MR. CH.SUDHARSHAN GOUD (BY SRI. YASHAVANTHSWAMY A.M., ADVOCATE) …PETITIONER Digitally signed by PAVITHRA B Location: HIGH COURT OF KARNATAKA AND: 1. STATE OF KARNATAKA THE URBAN DEVELOPMENT DEPARTMENT, 4TH FLOOR, VIKAS SOUDHA, DR. AMBEDKAR VEEDHI, BANGALORE - 560 001. REP BY ITS SECRETARY 2. THE STATE OF KARNATAKA THE LABOUR DEPARTMENT, VIKASA SOUDHA, DR. B.R.AMBEDKAR VEEDHI, BENGALURU - 560 001 REP BY ITS SECRETARY. - 2 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR 3. THE STATE OF KARNATAKA DEPARTMENT OF PARLIAMENTARY AFFAIRS AND LEGISLATION, VIKAS SOUDHA, DR. B.R.AMBEDKAR VEEDHI BENGALURU - 560 001. REPRESENTED BY ITS SECRETARY 4. BRUHAT BENGALURU MAHANAGARA PALIKE N.R.SQUARE, BENGALURU - 560 002. REP BY ITS COMMISSIONER 5. THE JOINT DIRECTOR OF TOWN PLANNING NORTH BRUHAT BENGALURU MAHANGARA PALIKE N.R.SQUARE, HEAD OFFICE BUILDING, ANNEX BUILDING, BENGALURU, BRUHAT BENGALURU MAHANAGARA PALIKE, BENGALURU - 560 002.
Legal Reasoning
(BY SRI.H.K. KENCHEGOWDA, AGA FOR R1-R3; SRI. V.G.BHANUPRAKASH, ADVOCATE FOR R4 & R5) …RESPONDENTS THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO GRANT AN ORDER, DECLARING THAT THE ENTIRE KARNATAKA OTHER MUNICIPAL LAW(AMENDMENT) ACT 2021, KARNATAKA ACT No-1 OF 2022)NOTIFIED ON 13.01.2022 (ANNEXURE-S) AS BEING ULTRA VIRES THE CONSTITUTION INSOFAR AS THE PETITIONER IS CONCERNED AND ETC., CORPORATIONS CERTAIN AND THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM ORAL ORDER Petitioners in the captioned petition have sought the following reliefs: - 3 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR Corporations (i) Grant an order, declaring that the entire Karnataka Municipal Certain Other Law(Amendment) Act 2021, Karnataka Act No-1 of 2022)notified on 13.01.2022 (Annexure-S) as being ultra vires the Constitution is so far the petitioner is concerned. and (ii) Grant an order direction or writ in the nature of the certiorari office No.Ha.Ni.Na.Yo/PR/461/2021-22 dated 09.12.2021 issued by the respondent No-4 as contained in Annexure-R in so far the petitioner is concerned. quashing the the Section 18-A of (iii) Grant an order direction or writ in the nature of the certiorari quashing Karnataka Town and Country Planning Act, 1961 brought the Karnataka Act No.23.2004 (Karnataka Town and Country Planning (Amendment) Act as contained in Annexure-J in so far as Section18-A(i) and (iv) of the Karnataka Act No.23 of 2004 is concerned. into effect by (iv) Grant and order direction or writ in the nature of certiorari quashing the Notification issued by the 1st respondent bearing No.UDD 3 TIP 2015 dated 25/02/2020 as contained in Annexure-H in so far as inserted Rule 37-A and 37-A and 37-C is concerned. (v) circular Issue a writ or order by way of certiorari quashing the bearing No.He.Ni.Ka.Pa.Ko/P.R/320/2020-21 issued by the respondent No-4 (Annexure-K) for the petitioner is concerned. 14-8-2002 in so dated (vi) Grant an order direction or writ in the nature of certiorari quashing the Notification issued by the 1st respondent bearing No.UDD 23 TTP 2020(E) dated 21-6-2021 as contained in (Annexure-L) in so far as the inserted Rules 37-A and 37-C is concerned. - 4 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR (vii) (viii) circular Issue a writ or order by way of certiorari quashing bearing the No.He.Ni.NA.Yo/P.R/320-2020-21 the respondent No-4 Annexure-M in so far the petitioner is concerned. 24.06.2021 issued by dated Issue a writ or order by the way of certiorari quashing the demand notice dated 19.04.2022 bearing No.BBMP/Addl. Dir/JDNORTH/0001/21-22 issued by the respondent No-5 Annexure-D for demanding in so far it is concerned for it is concerned to ground rent, GST on ground rent, betterment charges for building, betterment charges for site, excess security deposit, revised license fee, revised scrutiny fee, cess for water supply scheme, surcharge for formation outer ring road, compound wall fee cess for improvement of slum, surcharge for mass rapid transport system, labour cess and etc as illegal without the jurisdiction and arbitrary. (ix) Issue a writ or order or direction by way of mandamus directing the respondent Nos.4 and 5 BBMP to issued the sanction plan for construction of the building in the schedule property without insisting the ground rent GST on ground rent, betterment charges for building betterment charges for site, excess security deposit, revised license fee, revised scrutiny fee, cess for water supply scheme surcharge for formation outer ring road, cess for improvement of slum surcharge for mass rapid transport system, labour cess and etc., (x) Pass any such other orders as this Hon'ble Court deems fit in the facts and circumstances of the case in the interest of justice and equity. 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 - 5 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR 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; "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 - 6 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR 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. (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, - 7 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR 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." 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 - 8 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR 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 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 - 9 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR 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. 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 19.04.2022 issued by respondent No.5 as per Annexure-D is hereby set-aside. (iii) Respondent Nos.4 and 5 are hereby directed to issue fresh/modified plan as the case may be. (iv) Respondent Nos.4 and 5 are hereby directed to forthwith process the petitioner's application seeking building license and sanction of the building plan, strictly in accordance with law. - 10 - NC: 2025:KHC:21317 WP No. 8883 of 2022 HC-KAR (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 licence and sanction plan are issued, the same shall be subjected 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 PB List No.: 2 Sl No.: 24