HINDUSTAN ZINC LIMITED Vs. REVENUE DIVISIONAL OFFICER

JUDGEMENT

(1.) THE petitioner, a Government of India undertaking, is questioning the jurisdiction of the respondents to levy and collect the non agricultural land assessment tax under the Andhra Pradesh Non Agricultural Lands Assessment Tax Act, 1963 (Act 14 of 1963) (for short "the Act").

(2.) THE facts not in dispute are that the State Government, acting through its Secretary, Industries Department, at its meeting held on 26th June, 1969, authorised the establishment of the petitioner industry and allotted 500 acres of land for project purpose which included 330 acres of land. The petitioner was put in possession. The Government agreed to make available the land free of cost originally. But, thereafter, they asked the petitioner to make good Rs. 10 lakhs incurred towards additional cost. Accordingly, the petitioner has been in possession of 330 acres of land. This land is still registered in the Revenue records as Government "poramboke" and the title to the land still vests in the Government. The interest therein was not transferred to the company. The company is continuing with permissive possession on behalf of the State Government. It is either by lease or otherwise. Then, the third respondent in exercise of the power under S. 3 of the Act levied a sum of Rs. 8,67,765.96 towards non agricultural land tax for Faslis 1389 to 1393 and also imposed an additional sum of Rs. 1,35,380.70 for Fasli 1394, i.e., up to 9th Feb., 1985. Assailing the jurisdiction thereof, the present writ petition has been filed.

(3.) THE respondents have resisted the contention. The learned Government Pleader has argued that since the company has been in possession of the land, the liability is incurred by operation of S. 10. Therefore, the assessment is perfectly valid and it is within jurisdiction. As regards the quantum, it is stated that a revision has been filed for Faslis 1389 to 1393 which is pending. The appeal for Fasli 1394 was filed but was withdrawn. Therefore, it is premature to go into the merits.