IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD
V.V.S. RAO, J.
Challa Maheshwara Rao and another - Appellants
Versus
Vadagam Venkata Subba Rao and another - Respondents
CRP No.5877 of 2007
Decided on : Twenty Second Day of August, 2008
b) AP Buildings (lease, Rent and Eviction) Control Ad 1960 - Sections 10(3)(a)(iii) and 12 – The plea of eviction by the landlord on ground of bonafide requirement and subletting can not be denied under Section 12 merely on the ground that in the petitioner the petitioner landlord had pleaded that evicting he would construct new premises to suit his business, Section 12 does not prohibit renovation of the premises by landlord and getting higher rents
2. Landlord examined himself as PW.1 and his father was examined as PW.2. Exs.A1 to A5 were marked. Tenants marked Exs.B1 to B21 and examined RW.1 (first petitioner) and RW.2, who is father-in-law of brother of RW.1. Learned Rent Controller framed three substantial points for consideration dealing with question of wilful default, question of subletting and question of bona fide requirement for personal occupation. On the first question, it was held that tenants committed wilful default in payment of monthly rents from October 1996. For coming to such conclusion, learned Rent Controller relied on Exs.B1 to B10 rent receipts from December 1995 to September 1996 and inferred when there was practice of landlord issuing rent receipts, non-production of the same for the period from October 1996 to January 1997 shows there is wilful default. On the question of subletting, finding was against tenants for the reason that admittedly RW.1 had no registration certificate and such certificate was obtained in the name of other two tenants. After noticing the fact that landlord is an unemployee having M.B.A. degree and that he wanted to start business in electronics, as the area is known for electronics business, and also holding that tenants failed to prove their allegation that petition is mala fide, Rent Controller came to the conclusion that premises is bona fide required by landlord for commencing business. Petitioners herein appealed.
Learned appellate authority agreed with findings of original authority and dismissed appeal being RCA No.8 of 2000 confirming eviction of tenants.
3. In this revision, learned Counsel for petitioners/tenants submits that when landlord seeks eviction of tenants for the purpose of demolishing existing premises to construct a new premises, the same does not fall under Section 10(3)(a)(iii) of the Act and that landlord has to necessarily seek an order of eviction as per provisions of Section 12 of the Act. She also submits that plea of subletting taken by landlords was misconceived. The business was carried on by Challa Maheswara Rao taking the assistance of other two persons and the same does not amount to subletting. She also impugned findings of lower authority with regard to wilful default. Per contra, learned Counsel for first respondent/ landlord submits that the first petitioner as RW.1 admitted that he has no licence or registration to carry on
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