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2016 (9) TMI 560 - HC - Indian LawsDemand of unearned incremental charges - whether payment of unearned incremental charges demanded by the Collector of Mumbai is the responsibility of the Appropriate Authority as the assignor of the leasehold interest or of the Petitioners as the auction purchaser? - Held that:- The relevant clause of the lease deed gave an option to the Collector to require payment of half unearned incremental charges in the event of any assignment or transfer. The Collector chose to raise such demand after the auction purchase was effected. These charges were not known to the Department at the time the auction sale was effected. Such demand would obviously be covered, as we have noted above, in the conditions of sale quoted above. In the premises, there is no merit in the challenge to the demand of the unearned incremental charges from the Petitioners. The Petitioners' contention that the demand must be honoured by the Appropriate Authority, is without any substance.
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