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2017 Supreme(Ori) 1229

A.K.RATH
Ram Chandra Sabat – Appellant
Versus
Chairman, Notified Area Council – Respondent


Advocates Appeared:
For the Appellant : Mr. Ashok Mohanty, Sr. Adv. Ms. Lopamudra Pradhan, Adv.
For the Respondent: Ms. Soumya Mishra, Adv.

JUDGMENT :

A.K.Rath, J.

The plaintiff is the appellant against a reversing judgment in a suit for declaration that the enhancement of licence fee levied by the defendant as mentioned in the notice dated 07.12.1983 is not valid and binding on the plaintiff and for permanent injunction.

2. The case of the plaintiff is that he is in occupation of stall no.3 constructed by the defendant. He is doing his business since 1968 on payment of Rs.30/-towards licence fee. The licence fee has been enhanced to Rs.80/-. He used to pay licence fee regularly. While matter stood thus, on 07.12.1983, defendant issued a notice enhancing the licence fee to Rs.200/-with effect from 01.01.1984. He was directed to execute a fresh lease agreement or in the alternative, to vacate the stall by 01.01.1984. Enhancement of licence fee is contrary to the provisions of the Orissa Municipal Act. The Orissa Municipal Act (in short, ‘the O.M. Act’) and Rules does not authorise the defendant to demand high fee. Levying of fee presupposes the existence of quid pro quo relationship, which is absent. He sent a representation to the defendant on 16.12.1983. But defendant maintained a sphinx-like silence. With this factual s













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