VENKATRAMAN GANAPAYYA HEGDE v. ASSISTANT COMMISSIONER, SIRSI
1995-02-16
H.N.NARAYAN, S.A.HAKEEM
body1995
DigiLaw.ai
S. A. HAKEEM, J. ( 1 ) BY an order dated 25-11-1981, the petitioner was recognised as a tenant and occupancy rights granted to him in respect of certain lands. In the year 1988 the Tahsildar determined the amount of premium payable by the petitioner at Rs. 12,456. 25. This order being challenged in appeal under Section 118 of the land Reforms Act, was set aside by the Assistant Commissioner and the matter remitted for fresh determination by the tahsildar. On 19-10-1989 the Tahsildar re-determined the amount of premium at Rs. 8,935. 50 with interest thereon at 51/2% from the order granting occupancy rights. This order being challenged in appeal was confirmed by the Assistant commissioner on 27-12-1989. In this petition, the petitioner has restricted his challenge to the award of interest on the premium which according to him is illegal and without authority of law. ( 2 ) THE only provision pertaining to payment of premium bythe tenant is Section 53 of the Act, the relevant portion of which reads as under: section 53. Payment of Premium by Tenant: (1) the amount of premium in respect of the land of which a tenant or sub-tenant entitled to be registered as occupant under Section 45 shall be payable to the State Government by the tenant or sub-tenant, (I) Where the amount payable does not exceed two thousand rupees, in a lump sum; (ii) in the other cases, (a) either in lump sum; or (b) where the amount is paid by him out of his own funds, in annual instalments of such number not exceeding twenty as he may intimate, with interest at five and half per cent per annum, from the date of the order under sub-section (4) or sub-section (5) of Section 48-A and where the money is advanced by the State Land Development bank or credit agency, in annual instalments of such number not exceeding the number permitted as maximum for the recovery of term loan granted by such bank or agency without interest thereon". ( 3 ) THE contention of Sri Hegde in short is that since the petitioner did not seek payment of the amount of premium by instalments as provided under clause (b) of Section 53 (l) (ii), the question of payment of interest thereon does not arise.
( 3 ) THE contention of Sri Hegde in short is that since the petitioner did not seek payment of the amount of premium by instalments as provided under clause (b) of Section 53 (l) (ii), the question of payment of interest thereon does not arise. ( 4 ) IT cannot be disputed that the amount of premium becomes payable only on determination thereof by the Tahsildar. No other provision, either in the Act or the Rules, is brought to our notice as to the procedure or the manner of such determination by the Tahsildar. In the absence of any provision, vesting such power in the Tahsildar has to be implied under Section 53 of the act. In the instant case such determination was made only on 19-10-1989 which was challenged in appeal before the Assistant commissioner. It is urged that since the petitioner had paid the entire amount as determined during the pendency of this appeal ( 5 ) THE contention of Sri Ashok Kumar, learned HCGP is that since these payments were made by instalments, interest has to be paid as provided under clause (b) of sub-section (1) of Section53. It is not possible to place such an interpretation in view of the clear wordings of Section 53 of the Act of the effect that interest would be payable only when the tenant seeks payment of the amount by instalments out of his own funds. Admittedly no such application was made. In the circumstances, the question of payment of interest on the amount determined on 19-10-1989 from the date of the grant i. e. t from 25-11-1981 does not arise. However, since the determination made by the tahsildar on 19-10-1989 was affirmed in appeal, it appears to be just and proper to allow interest on the premium so determined from the date of the order i. e. , 19-10-1989. ( 6 ) IN that view of the matter we make the following order: The writ petition is allowed in part. Determination of interest at 51/2% from the date of grant is set aside. The petitioner is, however, liable to pay interest on the premium at 51/2% from 19-10-1989 till the last payment has made. --- *** --- .