EAGLE THEATRES Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioners have filed the present petition, inter alia, impugning the notification dated 29.05.2013 (No. F. 24 (372)/2006- CDN/261 - hereafter 'the impugned notification') issued by respondent no. 2 (Land and Development Officer - hereafter 'L and DO'), wherein the conversion rates for leasehold property to freehold property of hotel/cinema sites were notified. The petitioners further impugn the Advisory Note dated 20.12.2006 (No. 19(68)2002-EII(B) -- hereafter 'the impugned advisory') issued by respondent no. 3 (The Ministry of Finance), wherein respondent no. 3 advised L&DO with reference to the rates of conversion of hotels and cinema property from leasehold to freehold property.

(2.) The petitioners contend that it has already paid the entire conversion fee of Rs. 52,68,564/- as per the land circle rates applicable on the date the petitioner filed its conversion application. L&DO contends that the abovementioned amount was paid on the basis of selfassessment and the said amount is not the final amount that is payable as per the new rates as applicable for cinema sites, which have been notified by the impugned notification dated 29.05.2013.

(3.) The respondents state that the petitioner's case was examined in the light of the impugned notification dated 29.05.2013 and the impugned advisory and it was decided that the conversion charges would be calculated on the basis of the specific area being used for the specific purpose: the area under cinema would be charged as per the rates stipulated for a cinema site and the area under commercial use would be charged as per commercial rates. It was also decided that the crucial date for calculation of the conversion charges would be 29.05.2013.