Hon'ble Ravi Nath Tilhari,J.
Heard Sri Siddhartha Shekhar Singh, learned counsel for the petitioners and learned Standing Counsel for opposite party Nos. 1 to 3 and Sri Virendra Mishra, learned counsel for opposite party Nos. 4 and 5.
This petition has been filed for quashing of proposal No. 3 (1) passed by Board of Nagar Palika Parishad, Sultanpur dated 09.04.2021 as also the notices dated 04.06.2021 by which rent of shops belonging to the Nagar Palika Parishad, Sultanpur has been enhanced and for direction to the opposite parties to consider the petitioner's representation dated 29.06.2021.
Learned counsel for the petitioners submits that the Nagar Palika Parishad, Sultanpur allotted the shop to the petitioners by taking the construction cost (premium) and a registered agreement was also entered into with certain conditions according to which the rent will be liable to be increased in every five years according to the situation, and the rent had already been increased by 10 % in the past. He submits that by resolution dated 09.04.2021 for five years w.e.f. Financial Year 2021-22 the rent of the shops situated at different markets of Nagar Palika Parishad has been fixed at the rate of Rs. 6/- per square feet of the shops of ground floor and at the rate of Rs. 5/- per square feet of the first floor. The notices dated 04.06.2021 have been issued to the petitioners to make payment of the rent at the aforesaid rate for entering into agreement, failing which the matter for termination of their tenancy will be considered.
Admittedly, the petitioners' contract has expired, though they continue to occupy the shops and a demand for arrears of further rent in terms of the impugned decision has been raised by the opposite parties.
We are of the opinion that the Nagar Palika Parishad is empowered to fix rent for its shops and the provisions of Chapter V of the U.P. Municipalities Act, 1916 (herein after referred to as "Act, 1916), which have been relied upon by learned counsel for the petitioners have no application to the facts of the case as they relate to the municipal taxation and not rent to be charged for the shops of the municipalities, which are let out. The preparation of area wise rental rates as referred in Section 141 of the Act, 1916 is for the purposes of determination of annual rental value and imposition of tax based thereon in term of the provisions contained in Chapter V aforesaid and not for letting out the shops of the Municipality.
We do not find any valid ground for interference in the matter in the facts of the case. We accordingly, dismiss this writ petition.
Order Date :- 12.8.2021 Arvind