Auction purchasers are not liable for property taxes from previous owners if not adequately notified of such obligations, as confirmed by settled legal principles.

JUDGMENT :

Rai Chattopadhyay, J.

(1) A Letter of Intimation dated April 8, 2021 under cover of a letter dated April 21, 2021 of the Assessor-Collector (North), the Kolkata Municipal Corporation/Respondent No. 1, Assessment-Collection (North) Department are under challenge in the instant writ petition.

(2) By dint of the same, the Assessor-Collector (North)/Respondent No. 1 has demanded from the petitioner a sum of Rs. 63,48,265/- with S/A balance of Rs. 11,191/- on account of tax, interest and penalty payable by him for the period from second quarter of 2003 to the period till end of fourth quarter of 2011, incorporating therein 99 per cent penalty waiver.

(3) The petitioner being aggrieved with the same, has filed the instant writ petition to pray for the relief inter alia that the Assessor-Collector (North)/Respondent No. 3 be directed to withdraw/cancel her letter dated April 21, 2021 and raise separate bills for the period after purchase of property by the petitioner, that the respondent no. 2 be directed to allow mutation of the property in the name of the petitioner, the respondent no. 3 be directed to withdraw of claims of arrear for the period which has been adjudicated by the Official Liquidator, that for the period from April, 1989 to the date of winding up of the company in liquidation that is August 10, 1999, with regard to the demarcated portion of the unit space and open terrace on the 3rd floor of 35, Acharya Prafulla Chandra Road, Post Office- Amherst Street, Police Station – Muchipara, Kolkata- 700009, measuring 2232 square feet as per built up area, that the respondent no. 4/the Official Liquidator, High Court at Calcutta be directed to pay the respondent no. 3 the demanded amount of arrear of municipal taxes and interest including penalty for the period from August 10, 1999 till March 15, 2019 in respect of the said premises, as mentioned above.

(4) The necessary facts to be dealt with in this writ petition may be narrated in a nutshell in the following manner;

(5) The owner of the premise No. 35 Acharya Prafulla Chandra Road, Post Office- Amherst Street, Police Station – Muchi Para, Kolkata- 700009, has been a company namely the Memorial Finance and Investment (I) Limited. This Court vide order dated August 10, 1999 in C.P. No. 70 of 1990 has directed for winding up of the said company. Thereafter, vide order dated February 24, 2017, this Court directed the Official Liquidator, High Court at Calcutta/respondent no. 4, to make publication of advertisement of sale of assets of the company in liquidation as above, which included the immovable property in question. A sale notice was issued by the respondent no. 4 on March 9, 2017, in respect of the assets of the company in liquidation including the immovable property in question. Sale of the subject property was confirmed in favour of the writ petitioner in auction vide order dated May 5, 2017 passed by this Court in C.P. No. 70 of 1999. On March 15, 2019, a deed of conveyance was executed by the respondent no. 4/Official Liquidator, High Court at Calcutta in favour of the present writ petitioner.

(6) After purchase of property through Court auction and execution of the deed of conveyance on March 15, 2019, the petitioner sought for mutation of the property in his name before the respondent no. 3/Assessor-Collector (North), KMC vide his letter dated September 25, 2020.

(7) The petitioner has stated that his prayer for mutation of the property has not been considered by the respondent no. 3 for the reason that the property tax for the concerned premises has still remained unpaid. Eventually, this fact was informed by the petitioner to the respondent no. 4/the Official Liquidator by dint of a letter dated October 16, 2020. By dint of the other letter dated February 12, 2021, the petitioner has requested the respondent no. 3/the Assessor-Collector (North) to apportion the municipal dues separately to the respondent no. 4 and to him, making the same payable by him from th