Case Note & Summary
M/S Chamundeswari Build Tech Private Limited (petitioner), incorporated in 1994, developed a golf resort, Eagleton Golf Resort, in Ramanagara District, over 400 acres. During development, the petitioner enclosed government lands, including 'B' kharab lands (reserved for public purposes). The Tahsildar issued eviction notices in 1998, leading to multiple rounds of litigation. The petitioner's revision petition before Karnataka Appellate Tribunal was dismissed in 2000. Its writ petitions before the High Court challenging eviction notices were dismissed in 2002, with findings of unauthorized occupation over 208 acres 39 guntas, commercial use of government lands, and directions for action under Section 94(3) of Karnataka Land Revenue Act. The petitioner's writ appeals were dismissed. In Civil Appeal No. 5181/2003, the Supreme Court passed interim orders directing the State Government to consider fixing the present market value of government lands and to recover it. The State Government, after surveys and affidavits, stated encroachment of 132 acres 26 guntas. Eventually, the Supreme Court, by order dated 16.01.2014, directed the petitioner to hand over 28 acres 33 guntas of excess land and pay the market value of the remaining 77 acres 19 guntas as fixed by a Cabinet Sub-Committee after hearing the petitioner. The Cabinet Sub-Committee, by order dated 03.08.2017, fixed the market value at Rs. 982,07,77,480/-. The Deputy Commissioner, by endorsement dated 07.08.2017, demanded payment within one month, else possession would be taken. The petitioner filed the instant writ petition seeking to quash the government order and endorsement, and to direct acceptance of Rs. 12.35 crores as per an earlier Valuation Sub-Committee decision (21.01.2015), contending that the earlier valuation should bind the respondents. The matter was heard and reserved for orders.
Issue of Consideration
Whether the Government Order dated 03.08.2017 fixing the market value of 77 acres 19 guntas of government land at Rs. 982,07,77,480/- is legal and proper, and whether the petitioner is entitled to a direction to accept Rs.12.35 crores as market value as per the earlier Valuation Sub-Committee decision dated 21.01.2015
Case Details
2021 LawText (KAR) (08) 11
WRIT PETITION NO.38312/2017 (KLR-RES)
K.G. Raghavan, Senior Advocate for Sri. Nischal Dev B.R., Advocate (for petitioner); Prabhuling K. Navadgi Advocate General and R. Srinivasagowda, AGA (for respondents)
M/S Chamundeswari Build Tech Private Limited
Government of Karnataka and Others
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Nature of Litigation
Writ petition under Articles 226 and 227 of the Constitution challenging a government order fixing market value of encroached government land and demanding payment.
Remedy Sought
Petitioner sought quashing of Government Order dated 03.08.2017 (Annexure-A) and Endorsement dated 07.08.2017 (Annexure-B) issued by the Deputy Commissioner, and a direction to the respondents to accept Rs.12.35 crores as market value for 77 acres 19 guntas of land as per the earlier Valuation Sub-Committee decision dated 21.01.2015, in terms of the Supreme Court order dated 16.01.2014 in Civil Appeal No.5181/2003.
Filing Reason
The Cabinet Sub-Committee fixed the market value at Rs.982,07,77,480/- instead of the lower amount earlier proposed, and the Deputy Commissioner demanded payment thereof within one month, threatening to treat continued occupation as unauthorised and take possession.
Previous Decisions
The Karnataka Appellate Tribunal dismissed the petitioner's revision in R.P.No.126/1998 (10.03.2000). The High Court dismissed W.P.No.29705/2000 and W.P.No.2493/2001 on 02.04.2002, finding unauthorized occupation over 208 acres 39 guntas, commercial use, and directing action under Section 94(3) of Karnataka Land Revenue Act. Writ Appeals W.A.No.2861/2002 and W.A.No.2887/2002 were dismissed on 22.08.2002. The Supreme Court in Civil Appeal No.5181/2003 passed interim orders and finally directed on 16.01.2014 that the petitioner hand over excess land, and a Cabinet Sub-Committee decide market value for 77 acres 19 guntas after hearing, and petitioner pay the amount within four months of communication.
Issues
Whether the Government Order dated 03.08.2017 fixing market value at Rs.982,07,77,480/- is legal and valid
Whether the petitioner is entitled to a direction that the respondents accept Rs.12.35 crores as market value based on the earlier Valuation Sub-Committee decision
Judgment Excerpts
The petitioner is before this Court praying for quashing of the proceedings of the State Government dated 03.08.2017 vide Annexure-A, whereby the Government has communicated the decision of the Cabinet Sub-Committee, which has assessed the market value of 77 acres 19 guntas of land, at the rate of Rs.982,07,77,480/-
the petitioner is an unlawful occupant of the government lands and acquisition of large extents of gomal lands were facilitated under the cover of agreements, with unauthorized occupants
The Sub-Committee will afford a personal hearing to the appellant. The appellant shall pay to the Government of Karnataka the amount fixed by the Cabinet Sub-Committee within four months from the communication of the decision of the Cabinet Sub-Committee.
Procedural History
The petitioner, a company developing a golf resort, enclosed government lands. Eviction notices were issued in 1998. The petitioner filed R.P.No.126/1998 before Karnataka Appellate Tribunal, which was dismissed on 10.03.2000. W.P.No.29705/2000 and W.P.No.2493/2001 were filed before the High Court challenging eviction notices; both were dismissed on 02.04.2002 with findings of unauthorized occupation over 208 acres 39 guntas. W.A.No.2861/2002 and W.A.No.2887/2002 were dismissed on 22.08.2002. The petitioner approached the Supreme Court in Civil Appeal No.5181/2003. The Supreme Court passed interim orders and finally, on 16.01.2014, directed the petitioner to hand over excess land and pay the market value of the remaining 77 acres 19 guntas as fixed by a Cabinet Sub-Committee after hearing. The Cabinet Sub-Committee fixed the market value at Rs.982,07,77,480/- vide order dated 03.08.2017. The Deputy Commissioner issued endorsement dated 07.08.2017 demanding payment. The petitioner filed the present writ petition challenging these orders.
Acts & Sections
- Karnataka Land Revenue Act, 1964: 94(3), 95, 96, 68
- Karnataka Land Revenue Rules, 1966: 21(2), 97(4)
- Karnataka Land Reforms Act, 1961: 79A, 79B
- Constitution of India: 226, 227