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1981 Supreme(AP) 122

Andhra Pradesh High Court
Judges : K.MADHAVA REDDY
A.MALLIKARJUNA RAO - Appellant
Versus
JOINT COLLECTOR, KHAMMAM - Respondent
Decided On : 06-15-81

The construction of a building prior to the grant of permission cannot be deemed unauthorised if the permission applied for is deemed to have been granted under the second proviso to sub-rule 2 of Rule 9 of the A. P. Cinemas (Regulation) Rules, 1970.

Headnote:

CINEMAS (REGULATION) ACT - CONSTRUCTION OF CINEMA BUILDING - PENALTY FOR UNAUTHORISED CONSTRUCTION - A. P. CINEMAS (REGULATION) ACT, 1955 - SECTION 9 - A. P. CINEMAS (REGULATION) RULES, 1970 - RULE 8 - RULE 9 - CONSTRUCTION OF CINEMA BUILDING WITHOUT PERMISSION - DEEMED PERMISSION - PENALTY FOR UNAUTHORISED CONSTRUCTION - VALIDITY.

Fact of the Case:

The petitioner applied for permission to construct a cinema theatre under the A. P. Cinemas (Regulation) Act, 1955 and the Rules made thereunder. The petitioner laid the foundation and started construction before receiving permission. The Joint Collector imposed a penalty of Rs. 10,000/- for alleged violation of Rule 8 of the A. P. Cinemas (Regulation) Rules, 1970 read with Section 9 of the Act.

Finding of the Court:

The court held that the construction of the building could not be deemed unauthorised as the permission applied for was deemed to have been granted under the second proviso to sub-rule 2 of Rule 9 of the Rules since the authorities failed to grant or reject the permission within the period of 90 days from the date of receipt of the application. The court further held that Section 9 of the Act, which permits imposition of fine, does not apply to the construction of a building prior to the grant of permission.

Issues: Whether the construction of the building without permission amounted to unauthorised construction.

Ratio Decidendi: The court held that the construction of the building could not be deemed unauthorised as the permission applied for was deemed to have been granted under the second proviso to sub-rule 2 of Rule 9 of the Rules since the authorities failed to grant or reject the permission within the period of 90 days from the date of receipt of the application. The court further held that Section 9 of the Act, which permits imposition of fine, does not apply to the construction of a building prior to the grant of permission.

Final Decision: The court quashed the order imposing the penalty of Rs. 10,000/-.

K. MADHAVA REDDY, J.

( 1 ) THIS writ petition for issue of a writ of Certiorari or any other appropriate writ is to quash the order of the Joint Collector, Khamrcam in rc. No. C (M)/668/79 dated 24-9-1979 imposing a penalty of Rs. 10,000/- under section 9 of the A. P. Cinemas (Regulation) Act 1955 for alleged violation of Rule 8 of A. P. Cinemas (Regulation) Rules 1970 read with section 9 of the Act.

( 2 ) THE facts which lead to the passing of this order in brief area. The petitioners applied for grant of permission to construct a Cinema theatre under the provisions of the A. P. Cinemas (Regulation) Act 1955 read with the Rules made thereunder, on 30-3-1979. According to the petitioners, 16-6-1979 was an auspicious for laying the foundation for the building. He, therefore, laid the foundation and started construction on that day. On 3-7-1979 the Revenue Divisional Officer inspected the site and asked the petitioners to stop further construction and the petitioners stopped it. The Joint Collector after issuing a notice as to why the construction should not be treated as unauthorised, imposed a penalty of rs. 10,000/- by the order now impugned in this writ petition.

( 3 ) RULE 9 of the said Rules governs the procedure for grant of permission to construct a cinema building. Sub. rule (a) of Rule 9 provides that if the application is not in accordance with the rules, the licensing authority will return the same to the applicant for resubmission within a period of 60 days, failing which the application shali be treated as rejected and a fresh application shall be made. The petitioner s application was not returned within the said period of five days. Hence, the question of pjtitioners application being rejected under that Rule did not arise. As required by Sub-rule (b) of Rule 9 the application was forwarded to the electric Inspector, to the concerned Executive Engineer, Roads and buildings, the Chief Executive Officer of the local authority, the Health officer and the Police authorities asking for their reports. However no communication was sent to the petitioners even by 28-6-1979, when the period of 90 days completed from the date of the presentation of the application for grant of permission expired. Sub-rule (2) of Rule 9 lays down that on receipt of the reports referred to in clause (b) of Sub-rule (1), if, the licensing authority is satisfied that the other requirements of those rules are fulfilled and that the applicant is in lawful possession of the rite, he shall within twenty five days from the date of receipt of the said reports, grant the permission applied for, cither abtolutely or subject to such conditions as it thinks fit to impose. Second proviso to sub-Rule 2 of Rule 9 further lays down as follows:"provided further that, if orders either granting or rejecting the permission applied for are not passed within the period of ninety days from the date of receipt of application, it shall be deemed that the permission applied for has been granted. "

( 4 ) EVEN though the said period of 90 days expired on 28-6-1979, the petitioners were not informed about the grant of permission or its refusal. Therefore, under the proviso, the permission would be deemed to have been granted- However, the foundation stone having been laid ar. d some construction however small, having been made on 16-6-1979 and for a few days thereafter, that construction was deemed to be unauthorised and contravention of Rule 8 of the said rules and the Joint Collector imposed a fine of Rs. 10,000/-

( 5 ) IT would be seen that while Rules 8 and 9 provide for an application to be made for construction of a cinema building and the procedure for grant of permission to construct a Cinema building there is no specific provision which empowers the authorities either to direct demolition of the building or impose any fine for making any construction of the cinema building before the grant of permission. In as much as the permission was neither granted nor refuse


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