The amendments to municipal laws were declared illegal, and prior fees associated with development plans for smaller plots were deemed unenforceable, following a coordinate bench ruling.

ORDER :

Sachin Shankar Magadum, J.

This petition is filed seeking the following reliefs:-

“i) Grant an order declaring that the entire Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2021 (Karnataka Act No. 01 of 2022) notified on 13/01/2022 (Annexure-H) as being ultra vires the Constitution in so far the Petitioner is concerned.

ii) To declare that Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2021 (Karnataka Act No. 01 of 2022) notified on 13/01/2022 (ANNEXURE-H) is in violation/contrary to the decision of this Hon'ble Court in W.P No.4601/2020 (LB-BMP) ANNEXURE-F.

iii) Grant an order, direction or writ in the nature of certiorari quashing the Office Order No. HaNiNaYo/PR/461/2021-22 dated 09/03/2022 issued by Respondent No.3 as contained in (ANNEXURE-J) in so far the Petitioner is concerned.

iv) issue a writ or order by way of certiorari quashing the demand notice dated 04/07/2024 bearing No.BBMP/Addl.Dir/JD NORTH/LP/0164/2017-18, issued by the Respondent No.4 (Annexure-D) for demanding in so far it is concerned to Ground rent, GST on Ground rent, License fee and Scrutiny fee as illegal, without jurisdiction and arbitrary.

v) issue a writ or order or direction by way of mandamus directing the Respondent No.3 and 4 BBMP to issue the Occupancy certificate for the residential multi-storied apartment constructed on the Schedule Property without insisting the Ground rent, GST on Ground rent, License fee and Scrutiny fee; and vi) pass any such other order(s) as this Hon'ble Court deems fit in the facts and circumstances of the case in the interest of justice and equity.”

2. It is brought to the notice of this Court that across the Bar, the issue is dealt by the Co-ordinate Bench in the reported judgment in W.P.No.23086/2022 and connected matters. The Co-ordinate Bench, while deciding the issue, has set-aside the Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2021 (Karnataka Act No.01 of 2022) and the Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2023, (Karnataka Act No.37 of 2024). Therefore, this Court deems it fit to cull out the operative portion of the order, which reads as under;

"ORDER

(i) The writ petitions are partly allowed.

(ii) The Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2021 (Karnataka Act No.01 of 2022), is hereby quashed and set aside.

(iii) The Karnataka Municipal Corporations and Certain Other Law (Amendment) Act, 2023, (Karnataka Act No.37 of 2024), is hereby quashed and set aside.

(iv) It is hereby declared that the provisions contained in Section 18 -A of the Karnataka Town and Country Planning Act, 1961, read with Rules 37-A and 37-C of the Karnataka Planning Authority Rules, 1965, are applicable only in respect of ‘Development Plan’ containing the proposal for construction on plots measuring more than 20,000 square meters in extent and not in respect of plots measuring less than 20,000 square meters.

(v) It is hereby declared that if fee has been earlier collected for change of land use or while approving a layout plan, fee shall not be collected for subsequent ‘Development Plan’ in terms of the ‘Note’ found below TABLE I of Rule 37-A of the Karnataka Planning Authority Rules, 1965.

(vi) It is hereby declared that the linking of the fee leviable under Rule 37-A of the Karnataka Planning Authority Rules, 1965, to the ‘market value’ or ‘guidance value’ as determined under Section 45-B of the KARNATAKA STAMP ACT , 1957, is illegal. However, liberty is reserved to the respondent-State Government and the BBMP to re-fix a standard after collecting empherical data.

(vii) Consequently, all the impugned Circulars which seek to give effect to the Rules 37-A and 37-C of the Karnataka Pla