IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 29TH DAY OF AUGUST, 2019 BEFORE THE HON’BLE MR. JUSTICE ALOK ARADHE WRIT PETITION No.10735 OF 2019 C/W WRIT PETITION No.39512/2018(GM-FOR) WRIT PETITION No.10735/2019: BETWEEN:
NATIONAL TIMBERS REP. BY ITS PROPRIETOR, A.K.ABDUL RAHIMAN, S/O KUNHIMAHIN KUTTY HAJI, AGED ABOUT 55 YEARS, HAVING OFFICE AT OBERLE TOWERS, BALAMATTA, MANGALURU-575 001. ..PETITIONER (BY SRI LETHIF B., ADVOCATE) AND:
1.THE STATE OF KARNATAKA REP. BY PRINCIPAL SECRETARY, DEPT. OF FOREST, ECOLOGY & ENVIRONMENT, M.S.BUILDING, AMBEDKAR VEEDHI, BENGALURU-560 001.
2.THE PRINCIPAL CHIEF CONSERVATOR OF FOREST HEAD OF FOREST FORCE, ARANYA BHAVAN, 1ST CROSS, MALLESHWARAM, BENGALURU.
3.THE DEPUTY CONSERVATOR OF FOREST MANGALURU DIVISION, MANGALURU-575001 4.THE DEPUTY CONSERVATOR OF FOREST KOPPA DIVISION, KOPPA-574 045 5.THE ASSISTANT CONSERVATOR OF FOREST SUB-DIVISION, PUTTUR D.K.DISTRICT-574 231 6.THE RANGE FOREST OFFICER UPPINANGADY SUB-DIVISION, PUTTUR TALUK, D.K.DISTRICT-574 231 ..RESPONDENTS (BY SRI VIJAY KUMAR A PATIL, ADDITIONAL GOVERNMENT ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 & 227 OF THE CONSTITUTION OF INDIA PRAYING TO: CALL FOR RECORDS.
DECLARE THAT THE STATE GOVERNMENT AND ITS AUTHORITIES CANNOT BE LEVIED, DEMAND AND COLLECT FOREST DEVELOPMENT FEE @ 12% ON THE SALE CONSIDERATION OF THE FOREST PRODUCE LIKE TIMBERS ETC., UNDER SECTION 98-A (1) OF KARNATAKA FOREST ACT, 1963 IN THE STATE OF KARNATAKA BY THE DEPARTMENT OF FOREST AND IN ITS DIFFERENT GOVERNMENT FOREST DEPOTS IN VIEW OF THE JUDGMENT DATED 04.10.2017 PASSED BY THE DIVISION BENCH OF THIS HON'BLE COURT IN W.P.NO.43937-43938/2016 ANNEXURE-C AND CONNECTED MATTERS.
DIRECT THE RESPONDENTS/STATE GOVERNMENTS AND ITS AUTHORITIES TO REFUND THE ENTIRE AMOUNT OF FOREST DEVELOPMENT FEE WHICH WAS COLLECTED FROM THE PETITIONER FROM 04.10.2017 TILL DATE ALONG WITH INTEREST SINCE THE SAID LEVY AND COLLECTION IS CONTRARY TO THE DIRECTIONS ISSUED BY DIVISION BENCH OF THIS HON'BLE COURT DATED 04.10.2017 IN W.P.NO.43937-43938/2016 AND CONNECTED MATTERS.
WRIT PETITION No.39512/2018: BETWEEN:
M/s.H WOODS TRADING (A PROPRIETORSHIP CONCERN) REPRESENTED BY ITS PROPRIETOR SRI MOHAMMED SAFWAN K CS 8/144/B7, SUPREME TOWER PAMBAN MADHAVAN ROAD, TALAP, KANNUR -670 001 KERALA ..PETITIONER (BY SMT.VAISHALI HEGDE, ADVOCATE) AND:
1. STATE OF KARNATAKA REP. BY ITS PRINCIPAL SECRETARY, AND ADDITIONAL CHIEF SECRETARY DEPT. OF FOREST, ECOLOGY & ENVIRONMENT, M.S.BUILDING, 4TH FLOOR, DR.AMBEDKAR VEEDHI, BENGALURU-560 001.
2.THE PRINCIPAL CHIEF CONSERVATOR OF FORESTS (HEAD OF FOREST FORCE), “ARANYA BHAVAN”, 18TH CROSS, MALLESHWARAM, BENGALURU-560 003 3.THE DEPUTY CONSERVATOR OF FORESTS CHICKAMAGALURU DIVISION, CHICKAMAGALURU-577101 4.THE DEPUTY CONSERVATOR OF FORESTS KOPPA DIVISION, KOPPA-577 126 ..RESPONDENTS (BY SRI VIJAY KUMAR A PATIL, ADDITIONAL GOVERNMENT ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO:
DECLARE THAT THE STATE GOVERNMENT AND ITS AUTHORITIES CANNOT LEVY, DEMAND AND COLLECT FOREST DEVELOPMENT FEE AT THE RATE OF 12% OF THE SALE CONSIDERATION AMOUNT UNDER SECTION 98-A (1) OF THE KARNATAKA FOREST ACT, 1963 IN RESPECT OF THE TIMBER AND OTHER FOREST PRODUCE AUCTIONED/SOLD BY THE FOREST DEPARTMENT IN DIFFERENT GOVERNMENT DEPOTS IN KARNATAKA IN VIEW OF THE JUDGMENT RENDERED BY THE DIVISION BENCH OF THIS HON'BLE COURT ON 04.10.2017 IN THE CASE OF SRI B. RUDRAGOUDA AND OTHERS VS STATE OF KARNATAKA AND OTHERS REPORTED IN AIR 2018 KAR 19.
THESE WRIT PETITIONS COMING ON FOR PRELIMINARY HEARING `B’ GROUP THIS DAY, THE COURT MADE THE FOLLOWING:
ORDER Mr.Lethif B., learned counsel for the petitioner in W.P.No.10735/2019.
Smt.Vaishali Hegde, learned counsel for the petitioner in W.P.No.39512/2018.
Mr.Vijay Kumar A Patil, learned counsel for the respondents.
2. Petition is admitted for hearing.
3. With the consent of the learned counsel for the parties, petition is heard finally.
4. In these petitions, petitioners interalia sought for the following reliefs:
“1. Declare that the State Government and its authorities cannot levy, demand and collect, Forest Development Fee at the rate of 12% on the sale consideration of the Forest produce like timbers etc., under Section 98 A[1] of Karnataka Forest Act 1963 in the State of Karnataka by the Department of Forest and in different Government Depots in view of the Judgment dated 04.10.2017 passed by the Division Bench of this Hon'ble Court in W.P.Nos.43937-938/2016 vide Annexure-C and connected matters.
2. Direct the respondents-State Governments and its authorities to refund the entire amount of Forest Development Fee which was collected from the petitioner from 04.10.2017 till date along with interest since the said levy and collection is contrary to the directions issued by Division Bench of this Hon’ble Court dated 04.10.0217 in W.P. W.P.Nos.43937-938/2016 and connected matters;
Declare that the State Government and its authorities cannot levy, demand and collect Forest Development Fee at the rate of 12% of the sale consideration amount under Section 98-A (1) of the Karnataka Forest Act, 1963 in respect of the timber and other forest produce auctioned/sold by the Forest Department in different Government depots in Karnataka in view of the Judgment rendered by the Division Bench of this Hon'ble Court on 04.10.2017 in the case of Sri B. Rudragouda and others vs State of Karnataka and others reported in AIR 2018 Kar 19.”
5. When the matter is taken up today, Mr.Vijay Kumar A Patil, learned additional Government Advocate fairly submitted that the Division Bench of this Court has struck down levy of `Forest Development Fee’ under the provisions of the Karnataka Forest Act, 1963.
6. Being aggrieved, State Government has filed Special Leave Petition before the Hon’ble Supreme Court which is pending consideration. It is further submitted that the levy of `Forest Development Fee’ shall be subject to decision of the Hon’ble Supreme Court.
7. In view of the aforesaid submission, writ petitions are disposed of with a direction that any action for levy and collection of `Forest Development Fee’ shall be taken as per the directions which may be issued by the Hon’ble Supreme Court in the Special Leave Petition which is pending before it.
With the aforesaid direction, petitions are disposed of.
Sd/- JUDGE SBN