- (1.) By a Deed of Sale dated 18th January, 2007 the Baricks, as Joint Receivers of this court appointed by the Hon'ble Appeal Court in a Testamentary suit (Suit No. 117 of 1973) sold a property to Patodia Real Estates and Builders Private Limited and several other group companies, for a consideration of Rs.5,35,99,333. This property covered an area of 131 cottahs 4 chittacks and 12 square feet on the southern side of Premises No. 156A Manicktala Main Road, Kolkata. The property consisted of buildings, sheds and other structures as described in the conveyance. The registering authority however, valued the property at Rs.6.37 crores. Stamp duty was accordingly paid and the sale deed registered with the registering authority. On the same day, Patodia and its group companies on one hand, and the writ petitioner company, hereinafter referred to as the writ petitioner on the other hand, entered into a development agreement where the writ petitioner was described as a developer. Describing the nature of this agreement, very briefly, it is an agreement by which the writ petitioner is to develop and build on this property. The owners that is the Patodias would be allotted 50 per cent of the total saleable area in the new building to be constructed at the premises. Upon completion of this construction the developer would be entitled to conveyance of 50 per cent of this property, by the Patodias.
(2.) The dispute is in this writ is with regard to the payment of stamp duty. Before I discuss this dispute the terms and conditions of the development agreement which are relevant to this application have to be seen. Clause 1 (x) and (xi) of the agreement specifically describes what are "owners' allocation and developer's allocation" respectively. Clause 2.2 provides for this 50 per cent owner's allocation and transfer of 50 per cent to the developer. It is quite clear from Clause 2.2 as to how this allocation would be made. The developer would make the construction at his own cost. The writ petitioner paid stamp duty on the development agreement valuing the property in the same way as the property has been valued in the sale deed of 18th January, 2007 and paid Rs.18,96,500 on their 50 per cent share in the said property.
(3.) On 28th June, 2010 the Collector passed an order making an assessment for the purpose of payment of stamp duty assessed at Rs.15,23,16,800. After duly giving credit to the sum of Rs.18,96,500 received by the department as stamp duty the collector demanded Rs.72,42,538 from the writ petitioner as deficit stamp duty. On 3rd September, 2014, on appeal, the Appellate authority upheld this order.;