|“No specific provision as to how value is to be arrived at”|
Value has been increased without any paper publication calling for objections
“Unlawful” to enhance values through executive instructions, administrative circulars
CHENNAI: The “arbitrary and exorbitant” increase of guideline value of properties for the purpose of levying stamp duty has been challenged in the Madras High Court.
The Karur District Chamber of Commerce and Industry filed the public interest litigation petition, stating that no Act and Rules contained any specific provision as to how the guideline value had to be arrived at or enhanced periodically.
The First Bench of Chief Justice A.P. Shah and Justice P. Jyothimani ordered notice to the Government.
The petitioner said that with effect from August 1, 2007, the guideline value of properties all over the State had been revised manifold, and pointed out that the guideline value of Amaravathy Nagar and Periyar Nagar under the jurisdiction of Melakarur sub-registrar office had been enhanced from Rs. 36 to Rs. 1,600.
Flaying the huge increase of the value, the petitioner said throughout the state the value was increased without any paper publication calling for objections from the members of the public.
Such an arbitrary exercise had caused hardships to the transacting public as well as the prospective purchasers and sellers.
Further, it was unlawful to enhance the guideline value through executive instructions and administrative circulars, the petition said, adding that except by the authority of law, the Government should not fix or increase the value, that too without any basis or norm or criteria.
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