NIHCHAL DASS AND COMPANY Vs. U O I

JUDGEMENT

(1.) THESE are 19 similar writ petitions involving similar question of law. At the request of the respective parties the aforesaid writ petitions are being decided by this common order. Facts of the case of Nihchal Dass & Company & Ors. vs. Union of India & Anr. (S. B. Civil Writ Petition No. 2465/2004) are taken as leading case.

(2.) THE petitioners are all carrying the business of Catering at various stations of the Jaipur Division of North Western Railway. THEy are providing catering service to traveling passengers, Earlier also the respondents increased license fees and therefore, the Federation of Railway Porters, Vendors and Bearers filed S. B. Civil Writ Petition No. 4123/1991, which was decided on 11. 12. 1992. THE operative portion of the order is reproduced as under. " This writ petition is, therefore, allowed and it is directed that the respondents would charge the licence fee from the members of the petitioner federation of the basis of increase by 25% to 50% in the existing license fee in terms of the decision, which was taken in the meeting of the Chief Commercial Superintendent and Member Traffic of the Railway Board in the month of September, 1986, in terms of which the instructions contained in the Circular Annexure-2 and 3 dated 2. 01. 1987 and 5. 01. 1987 were issued and, any notice of demand or circular which may have been issued by the railway authorities in contravention of the aforesaid two circulars shall not be acted upon and given effect to against the members of the petitioner federation as such demand has already been stayed by this Court on 24. 07. 1991. "

(3.) MR. Bapna further submits that the respondents are only providing permission to carry on the Catering activity on the platform on the terms and conditions enumerated in the contract agreement. The fee, which has been charged on the basis of turn over is not a fee but a sales tax. Merely a nomenclature of fee does not give the right to the respondents to levy sales tax, which is beyond the competence of Union of India as per Entry 54 Listii.