TULSIRAM RANGWALA TRUST Vs. COLLECTOR AND DISTRICT MAGISTRATE

JUDGEMENT

(1.) The petitioners have challenged the demand notice and the order of confirmation of the said demand passed by the respondents-authorities in respect of the property being Plot No.216, BBR Block No.2, Shalimar, Marine Drive, Mumbai having area of 1300 sq.ft. (the premises) on the foundation that the petitioners have changed the use of the said premises without prior permission from the office of the Collector, Mumbai City District.

(2.) The Government leased out the said premises to one Shri Irani in the year 1939 for 99 years. The lease rent initially fixed was Rs.7442/- per year for first four years and thereafter Rs.9922/- per year. The building on the said plot consists of ground plus five floors. The plot and the building called "Shalimar" was acquired by Shri Nathumal in the year 1942 for Rs.3,50,000/-. The leasehold rights thereafter vested in his son Shri Tulsiram Nathumal, who in turn assigned his rights to the present petitioner no.1-Tulsiram Rangwala Trust with some restrictive clauses. On 15.8.1999 a Sony Show Room was housed in the said premises which is in occupation of petitioner no.3. For more than 40 years, the said premises were in use as business premises by other petitioners. There are various premises in the area which are in use for offices, hotels, booking offices, Show Rooms and Shops some of the names are Kishco Show Room, Cyber City Show Room, Manganlal Dresswala etc.

(3.) On 26.2.2001 the office of the Collector, Mumbai called upon the petitioners to show cause as to why the necessary action should not be taken for breach of conditions of lease deed in respect of the Shalimar building. The same was replied by petitioner no.2 on 2nd May 2001. The hearing took place on 21st July, 2001. Inspection of the premises carried out on 23rd August, 2001. On 15th November, 2002, the petitioners received a demand notice dated 16th October, 2002 for payment of Rs.71.66 lacs (inclusive of penalty) in the year 1999 and Rs.71.66 lacs per year as a lease rent for the year 2000-2001 for change of user of the said premises without permission.