KHANNA IMPROVEMENT TRUST Vs. INCOME TAX DEPARTMENT

JUDGEMENT

(1.) KHANNA Improvement Trust, Khanna has challenged order dated 9.1.2007 (P-9) passed by the Sub Divisional Magistrate, Payal (respondent No. 3) whereby the application for ejectment of Income Tax Department (Respondent No. 1) under Sections 4, 5 and 7 of the Punjab Public Premises and Land (Eviction and Rent Recovery) Act, 1973 has been referred to the Arbitrator and the order dated 15.2.2008 (Annexure P-11) passed by the Deputy Commissioner, Ludhiana (respondent No. 2) in appeal wherein order dated 9.1.2007 has been upheld.

(2.) THE submission of the counsel for the petitioner is that the lease between the parties, which is dated 23.1.1992 (Annexure P-1) was for a period of five years and the said period expired on 22.01.1997. The said agreement no more being in operation, Clause 15 of the said agreement could not be invoked to refer the matter to the Arbitrator. Since the said lease is not more in operation, the orders impugned i.e. 9.1.2007 and 15.2.2008 deserve to be set aside and petition under Sections 4, 5 and 7 of the Punjab Public Premises and Rent Recovery Act, 1973 deserves to be remanded back for decision on merits under the said Act.

(3.) A perusal of the above clause 15 makes it clear that the above stated disputes, which arise from the leave agreement are referable to the Arbitrator as per the lease agreement. The Collector, Payal, District Ludhiana, vide his order dated 9.1.2007 has only allowed the application moved by the Income Tax Department to send the case for disposal to the Arbitrator as per clause 15 of the lease agreement. This order has been upheld by the Commissioner, Ludhiana vide order dated 15.2.2008 (Annexure P-11).