HARBANS SINGH Vs. MUNICIPAL CORPORATION, LUDHIANA

JUDGEMENT

(1.) The present Regular Second Appeal has been preferred by the plaintiff against the judgment & decree dtd. 28/4/1999 passed by the learned first Appellate Court, whereby, while accepting the appeal filed by the defendants-Municipal authorities, the judgment & decree dtd. 1/2/1996 passed by the trial Court decreeing the suit for permanent injunction was set aside and the suit was dismissed.

(2.) The factual matrix, as borne out from the record, reveals that on 16/10/1990, plaintiff No.1, while driving a truck loaded with synthetic yarn and Nirma washing powder packs, entered the municipal limits of Ludhiana and had crossed approximately 50 yards beyond the Octroi barrier, when he was stopped by the Municipal staff. The plaintiff expressed willingness to pay the Octroi duty for the goods brought within municipal limits; however, the truck along with the goods was seized and the plaintiff was directed to pay Octroi along with a penalty quantified at twenty times, as the alleged evaded duty. The plaintiffs approached the concerned authorities for withdrawal of the demand and release of the vehicle and goods, but the demand of Rs.15,000.00 towards penalty persisted, compelling them to institute the civil suit seeking protection against the said demand and consequential relief.

(3.) The defendants contested the suit primarily on the ground of lack of jurisdiction of the Civil Court and asserted that the plaintiff had attempted to evade Octroi duty and was rightly penalized under the provisions of the Punjab Municipal Corporation Act, 1976.