Case Law Details
Kohlbros Wireless Solutions LLP Vs Kolkata Municipal Corporation (Calcutta High Court)
Introduction: In the recent case of Kohlbros Wireless Solutions LLP vs. Kolkata Municipal Corporation, the Calcutta High Court ruled in favor of the Kolkata Municipal Corporation, granting it the authority to recover property tax dues based on the actual area in possession. This comes after the petitioner’s allegations of not receiving a demand notice and being compelled to sign cheques worth Rs. 1 crore under duress.
Analysis: The court analyzed the matter extensively, weighing the submissions of both parties. The petitioners admitted to being in possession of 1200 sq. ft. of the property in question. The Kolkata Municipal Corporation had issued a rent attachment notice, maintaining that the petitioners were liable for the outstanding property tax dues, which they denied receiving.
The Corporation acted in line with the court’s earlier direction to recover outstanding dues in accordance with the law. It upheld the Corporation’s right to recover the property tax from the occupants based on the area in possession, ensuring that an opportunity of hearing is provided prior to initiating recovery steps.
The court restrained the Corporation from encashing the cheques, instructing it to keep the amount in a separate suspense account and further directing it to apportion the tax dues amongst the occupiers of the property proportionately.
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