IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN THURSDAY, THE 27TH MAY 2010 / 6TH JYAISHTA 1932 OP.No. 8423 of 2002(C) -------------------------------- PETITIONER: ------------------- SRI MULAM CLUB, REPRESENTED BY ITS SECRETARY, R.S. NAIR, HOUSE NO.60, KATTACHAL ROAD, THIRUMALA P.O., THIRUVANANTHAPURAM. BY ADV. SRI.P.GOPALAKRISHNAN NAIR. RESPONDENTS: ------------------------ 1. STATE OF KERALA, REPRESENTED BY THE CHIEF SECRETARY, SECRETARIAT, THIRUVANANTHAPURAM. 2. THE DISTRICT COLLECTOR, THIRUVANANTHAPURAM. R1 & R2 BY GOVERNMENT PLEADER SRI. M.A. ASIF. THIS ORIGINAL PETITION HAVING BEEN FINALLY HEARD ON 27/05/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: O.P. NO. 8423/2002-C: APPENDIX PETITIONERS' EXHIBITS: EXT.P.1: COPY OF THE TAX RECEIPT NO. 100 DTD. 07/08/2000. EXT.P.2: COPY OF THE RECEIPT FOR LEASE AMOUNT PAID BY THE CLUB DTD. 19/03/88. EXT.P.3: COPY OF THE INTIMATION IN THE MONEY ORDER. EXT.P.4: COPY OF THE SHOW CAUSE NOTICE NO. 10137/UI/99/RD DTD. 20/08/99. EXT.P.5: COPY OF THE REPLY DTD. 30/10/99 T THE SECRETARY TO GOVERNMENT BY THE PETITIONER. EXT.P.6: COPY OF THE HEARING NOTE SUBMITTED BY THE PETITIONER BEFORE THE SECRETARY TO GOVT. DTD. 24/06/2000. EXT.P.7: COPY OF THE DEMAND NOTICE BI.5897/88 TO THE PETITIONER BY THE R.2. DTD. 04/09/2001. EXT.P.8: COPY OF THE REPLY LETTER FROM THE PETITIONER TO THE R.2. DTD. 08/09/2001. EXT.P.9: COPY OF THE ATTACHMENT ORDER FROM THE TAHSILDAR, TVM. DTD. 08/01/2002 NO. 5897/88/BI. EXT.P.10: COPY OF THE LETTER DTD. 19/01/2002 FROM THE PETITIONER TO THE TAHSILDAR. EXT.P.11: COPY OF THE LETTER DTD. 10/01/2002 FROM THE PETITIONER TO THE R.2. EXT.P.12: COPY OF THE REPRESENTATION FILED BY THE PETITIONER BEFORE THE MINISTER FOR REVENUE DTD. 21/01/2002. EXT.P.13: COPY OF THE AMENDED RULES AS PER SRO NO. 500/2004/G.O(P). NO.126/2004/RD DTD. 14/05/04. RESPONDENTS' EXHIBITS: NIL. //TRUE COPY// P.S. TO JUDGE. Prv. S. Siri Jagan, J. =-=-=-=-=-=-=-=--=-=-=-=-=-=-=-=-=-= O.P. No. 8423 of 2002 =-=-=-=-=-=-=-=-=--=-=-=-=-=-=-=-=-= Dated this, the 27th day of May, 2010. J U D G M E N T The petitioner is a society registered under the Charitable Societies Registration Act, 1955. The society is running a club by name Sri Mulam Club, Trivandrum. They are now aggrieved by the action of the respondents in demanding arrears of lease rent in respect of certain properties leased to them by the erstwhile Maharaja. The demand is now based on the Rules for assignment of land within Municipality and Corporation Areas, 1995. At the time when this original petition was filed, the rate of lease rent fixed was 20% of the market value of the property per year. The petitioner has taken two contentions in respect thereof. The first is that the matter was under consideration of the Government pursuant to Ext. P4 notice and without passing formal orders pursuant to Ext. P4 notice, coercive recovery proceedings have been initiated. The second is that the fixation of lease rent of 20% of the market value is highly unconscionable and arbitrary. 2. I have heard the learned Government Pleader also. 3. It is not disputed before me that pursuant to Ext. P4, no formal order has been passed before initiating coercive recovery proceedings. The learned Government Pleader submits that subsequently, the Rule has been amended reducing the rate of lease rent from 20% of the market value to 2.5% of the market value per year. In view of the above circumstances, I think that the Government should consider the matter in the light of the changed circumstances and pass a formal order in respect of the demand, after considering all the contentions of the petitioner in respect thereof. Accordingly, this original petition is disposed of with a direction to the Government to re-consider the matter, after affording an opportunity of being heard to the petitioner and to pass a formal O.P. No. 8423/2002 -: 2 :- final order in respect thereof as expeditiously as possible. Till orders are thus passed, coercive recovery proceedings against the petitioner shall be kept in abeyance. Naturally, the proceedings impugned in this original petition shall not be implemented until orders are passed as directed above and further proceedings shall only be in accordance with the order to be passed as directed above. The petitioner would be free to raise all their contentions before the Government and the Government shall consider each and every contention of the petitioner and pass a reasoned order in respect of every contention of the petitioner. The contentions of the petitioner regarding the fixation of lease rent on the market value and the quantum thereof are left open to be agitated again, if necessity arises after the Government passes fresh orders as directed above. Sd/- S. Siri Jagan, Judge. Tds/