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2010 (6) TMI 777

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..... , to whom the power has been delegated under Rule 4 of the Rules, 1997 to determine/revise the minimum value (Circle Rate) of the immovable property of the area for the purpose of imposing Stamp duty. The Government also did not frame separate guidelines fixing the norms and the principles for evaluating the minimum rate/market value of the area to be determined by Authority concerned. Thus, the Authority/District Magistrate having been conferred unbridled and unfettered power under Rule 4 to revise the Circle Rate of the area as such the rule in question is also altra vires the Parent Act. It is stated that Rule 4(2) of the Rules, 1997 is unconstitutional and invalid on the ground that the rule making authority, that is the Government cannot further delegate the District Collector to determine the minimum value/Circle Rate of the area. It is stated that earlier to the aforesaid rule, there was another rule namely U.P. Stamp Rules, 1942. Chapter XV of the said Rules provided the rules for determining the market value of certain instrument. Under Rule 341-E of which it was provided that for the purposes of payment of Stamp Duty, the minimum market value of immoveable property for .....

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..... elevant material for the said purpose like sale-exemplar of the area, previous transactions, location, etc. rather, it has been whimsically fixed on account of the impact of the various transactions of the area carried out through big colonizers, land-mafias by first getting the land converting into free-hold and creating multi-stories colonies, complexes etc. over the same. Thus, the impugned notification is violative of Article 14 of the Constitution of India. While demonstrating the arbitrary fixation of the Circle Rates of immovable properties in urban areas of Allahabad City certain other notification containing circle rates, earlier fixed by the Collector Allahabad have also been brought on record by filing supplementary affidavit in the said writ petition. It is stated that on 1.4.2006 a notification fixing Circle Rates of urban area of City Allahabad has been issued for a period of two years but before expiry of said period another notification fixing further enhanced Circle Rates of the same urban area has been issued on 11.6.2007 and on expiry of merely nine months before expiry of even one year what to say of two years another notification dated 20.8.2008 enhancing th .....

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..... f extortion of money by State functionary from the people in one hand and on other hand diverting the immovable property of City Allahabad in the hands of land-mafias and persons having huge black money. He told us that on account of arbitrary fixation of circle rate, the common and middle class people are feeling aggrieved by undue escalation of price of land of City Allahabad and persons having black-money are investing the money in purchasing the land for the reason that such person can not deposit black-money in Bank and the interest rate of which can also not match the escalation in price of land during said period. In this view of the matter, he has submitted and prayed for indulgence of this Court to protect Public Interest by keeping the State machineries within the limits of its powers. In our opinion, submissions of learned counsel for the petitioner have some substance and require serious consideration by this Court. Since the validity of 1997 has also been challenged in the writ petition, therefore hearing of the learned Advocate General, U.P. is necessary in the case. Issue notice to the learned Advocate General, U.P. fixing 16.7.2010. Learned standing counsel is .....

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..... nd SA.3 of the supplementary affidavit filed by the petitioner and state specifically as to whether the Circle Rates mentioned in the aforesaid notifications are correctly mentioned in the photostate copy filed by the petitioner or not? If necessary, he shall file correct copy of notifications containing the Circle Rates of the Allahabad City allegedly issued on 20.8.2008, 6.11.2007 and 1.4.2006 as enclosed in the supplementary affidavit. Besides the aforesaid notifications, the Collector Allahabad shall also file the notifications of Circle Rates of immovable property of urban areas of Allahabad City preceding the years of 2006. If such notifications were issued earlier in 2004, 2002 and 2000 and file the copy of notification containing the Circle Rates of immovable property of Allahabad City alone. The Collector, Allahabad shall also indicate the names of Collectors who had issued aforesaid notifications fixing Circle Rates of Allahabad City as indicated hereinbefore in aforesaid years and their present place of posting alongwith their full particulars of residence whether they are working or retired from service. In the said counter affidavit the Collector, Allahabad shall .....

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