Case Note & Summary
The judgment concerns two writ petitions challenging the State Government's actions regarding B1 category land. In Writ Petition No.2378 of 2018, the petitioners purchased property and applied for mutation of land records, submitting the registered conveyance deed and Index II. The City Survey Officer rejected the application on the ground that the property was of B1 category and mutation could not be effected without a No Objection Certificate (NOC) from the Collector of Mumbai Suburban District. The Superintendent of Land Records and Deputy Director of Land Records dismissed the appeal and revision, respectively. In Writ Petition No.426 of 2011, the Collector demanded a portion of unearned income on transfer as a condition precedent for permitting transfer. The petitioners challenged these orders. The court considered whether the State could insist on NOC for mutation or demand unearned income without statutory backing. The court held that there is no provision under the Maharashtra Land Revenue Code, 1966 or rules requiring NOC for mutation of B1 category land, and the State cannot demand unearned income without specific statutory or contractual authority. The court allowed both petitions, quashing the impugned orders and directing the authorities to process the mutation application without insisting on NOC or unearned income.
Headnote
A) Land Law - Mutation of B1 Category Land - Requirement of NOC - The State cannot refuse mutation of land records solely on the ground that the property is of B1 category and no NOC from the Collector has been obtained, in the absence of any statutory provision under the Maharashtra Land Revenue Code, 1966 or rules requiring such NOC. The court held that the impugned orders rejecting mutation were unsustainable. (Paras 2-4) B) Land Law - Unearned Income - Demand by Collector - The State cannot demand a portion of unearned income on transfer of B1 category land without any statutory provision or contractual condition in the grant. The court held that the Collector's demand for unearned income as a condition precedent for permitting transfer was without authority of law. (Paras 2-5)
Issue of Consideration
Whether the State Government can insist on a No Objection Certificate (NOC) from the Collector for mutation of B1 category land, and whether the State can demand a portion of unearned income on transfer of such land without statutory authority.
Final Decision
Both writ petitions allowed. Impugned orders/letters dated 31 July 2015, 18 January 2018, and 8 March 2018 in WP 2378/2018 quashed. Demand for unearned income in WP 426/2011 set aside. Authorities directed to process mutation application without insisting on NOC or unearned income.
Law Points
- Mutation cannot be denied for want of NOC without statutory basis
- State cannot demand unearned income without specific provision
- B1 category land transfer does not require prior permission under MLRC




