Allowed

Sri H.S Suresh Babu, v. Indian Oil Corporation

Karnataka HC3 Nov 2023WP/10545/2023

Case brief

AI extract

What is this about?

The High Court allowed the writ petition and directed the Indian Oil Corporation to remove underground storage fuel tanks from the petitioner's property within four weeks, as their presence hindered the petitioner's development plans despite the petrol pump being non-functional since lease expiry.

What did the court decide?

Directed respondent to remove and shift underground storage fuel tanks from the property within four weeks. Petitioners allowed to remove and dispose of outfits if respondent fails to comply.

Sri H.S Suresh Babu, Vs Indian Oil Corporation — Landlord and Tenant | Karnataka HC (2023)

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1 - NC: 2023:KHC:39141 WP No. 10545 of 2023

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU

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DATED THIS THE 3^RD DAY OF NOVEMBER, 2023

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BEFORE

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THE HON'BLE MR. JUSTICE K. V. ARAVIND

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WRIT PETITION No. 10545 OF 2023 (GM-RES)

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BETWEEN:

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SRI H.S SURESH BABU, S/O H. SIDDAIAH, AGED 55 YEARS, R/A NO.221, 'PRANISHKA' 'E'-BLOCK, VIJAYANAGAR 3^RD STAGE MYSURU-570017.

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SRI. H.S. RAMESH, S/O H. SIDDAIAH, AGED 52 YEARS, R/A HMMI VILLAGE, KOTTATTI HOBLI, MANDYA TALUK-571401.

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Digitally signed by VALLI M Location: High Court of Karnataka

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SRI MANJUNATHA HEMMIGE SIDDAIAH, S/O H. SIDDAIAH, AGED 50 YEARS, R/A. HMMI VILLAGE, KOTTATTI HOBLI, MANDYA TALUK-571401. REPRESENTED BY HIS POWER OF ATTORNEY HOLDERSRI. H.S. RAMESH, S/O H. SIDDAIAH.

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…PETITIONERS

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(BY SRI MANMOHAN P. N., ADVOCATE)

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2 - NC: 2023:KHC:39141 WP No. 10545 of 2023

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AND:

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INDIAN OIL CORPORATION, (GOVERNMENT OF INDIA UNDERTAKING) REGISTERED UNDER THE INDIAN COMPANIES ACT-1956, OPPOSITE TO SUB URB BUS-STAND, HOTEL PAI VISTA BUIDLING, MYSURU-570001. REPRESENTED BY ITS DEPUTY GENERAL MANAGER, DIVISIONAL RETAIL HEAD.

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…RESPONDENT

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(BY SRI SANTOSH S. NAGARALE, ADVOCATE)

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THIS WRIT PETITION IS FILED UNDER ARTICELS 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT THE RESPONDENT TO CONSIDER THE LEGAL NOTICE DATED 21.09.2022 ISSUED BY THE PETITIONERS PRODUCED AS ANNEXURE-C AND CONSEQUENTLY TO REMOVE AND SHIFT THE UNDERGROUND STORAGE FUEL TANKS FROM THE PROPERTY OF THE PETITIONERS BEARING No.5-1-1-34 (OLD No.1772/4826/A), ASSESSMENT No.D2/1528/1232/1772/ 4826/A, MEASURING EAST TO WEST 27,432055 METERS AND NORTH TO SOUTH 39.62407 METERS, TOTALLY MEASURING 1086.9651 SQUARE METERS, BANDIGOWDA LAYOUT, M.C.ROAD, WARD NO.5, MANDYA DISTRICT.

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THIS PETITION COMING ON FOR ORDERS THIS DAY, THE COURT MADE THE FOLLOWING:

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ORDER

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The petitioners are seeking mandamus to the

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respondent-Corporation to remove and shift the underground storage fuel tanks from the property of the petitioners bearing No.5-1-1-34 (Old No.1772/4826/A),

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3 - NC: 2023:KHC:39141 WP No. 10545 of 2023

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Assessment No.D2/1528/1232/1772/4826/A, measuring East to West 27,432055 Meters and North to South 39.62407 Meters, totally measuring 1086.9651 Square Meters, Bandigowda Layout, M.C. Road, Ward No.5, Mandya District.

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The above referred land was leased by erstwhile owner Smt. M.K. Puttamma in favour of Sri K Surendra for the purpose of running petrol bunk pursuant to retail outlet dealership allotted by the Indian Oil Corporation. The lease was for a period of 15 years. The lease deed is dated 31.10.1994. The period of 15 years expired on 01.11.2009. The petrol bunk is not functioning from 2009 as submitted by learned counsel for the petitioners and as per learned counsel for the respondent, it is not functioning from 2014.

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The petitioners purchased the property through Sale Deed dated 13.04.2022. In view of the underground storage fuel tanks remained in the property, though petrol

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4 - NC: 2023:KHC:39141 WP No. 10545 of 2023

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pump is not functioning, petitioners made a representation to the respondent dated 21.09.2022 at Annexure-C with a request to remove all the equipment, machineries installed at the time of putting-up of petrol bunk in the property within 15 days. As no action has been taken by the respondent-Corporation, the present writ petition has been filed.

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Sri Manmohan P.N., learned counsel for the petitioners submits that for development of the property, petitioners have raised loan and incurring huge expenditure towards repayment of principal and interest. It is further submitted that the petitioners have obtained sanctioned plan for constructing commercial building and the same could not be commenced due to inaction of the respondent. It is further submitted that the District Magistrate, Mandya, also issued 'No Objection Certificate' under the Karnataka Cinema Regulation Rules, 2014, dated 18.08.2003 for establishing permanent multiplex cinema theatres in the land. The Learned Counsel further

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5 - NC: 2023:KHC:39141 WP No. 10545 of 2023

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submits that inspite of all the above referred approvals, in view of non-removal of underground storage fuel tanks from the property, petitioners are unable to develop the property and suffering huge losses.

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Sri Santosh S. Nagarale, learned counsel for the respondent submits that dealership was granted to the dealer on the leased land. In view of the agreement entered into by the respondent with the dealer Sri K Surendra, dated 05.11.1996, the dealer has to indemnify the respondent-Corporation against the original cost of installation of the outfits and also removal of the outfits. Learned counsel would further submit that in view of the dealer is required to indemnify the Corporation on the costs incurred, the erstwhile dealer is a necessary party.

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Heard learned counsels for the petitioners and the

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respondent. Perused the material on record.

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It is not in dispute that after the expiry of lease, the petrol pump is not functioning in the subject land and the

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6 - NC: 2023:KHC:39141 WP No. 10545 of 2023

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same is lying vacant. It is not further disputed that the underground tanks and other outfits installed at the time of setting-up of petrol bunk has remained in the land though not being used. From the material placed on record, it is clear that the petitioners have incurred expenditure on the loan raised for development of the property and the bank statement placed on record would disclose that the petitioners are incurring expenditure towards interest. Further, the sanctioned plan and the 'No Objection Certificate' issued by the prescribed authorities would also disclose that the petitioners are intending to develop the land by constructing commercial complex and multiplex cinema theatres. The continuation of underground storage fuel tanks in the property would affect the rights of the petitioners not only to enjoy their property, but also would burden the petitioners in the form of payment of interest on loan and also would deprive the right of development of property. The submission of learned Counsel for the respondent that erstwhile dealer is a necessary party to adjudicate the dispute in the present

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writ petition is untenable. The respondent is not remedyless to recover costs of removal of outfits, if liable, in accordance with law. Therefore, writ petition deserves to be allowed. Hence, the following;

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ORDER

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i) Writ petition is allowed.

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ii) The respondent is directed to remove and shift the underground storage fuel tanks from the property within a period of four weeks from the date of receipt of copy of the order.

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iii) If the respondent fails to remove the underground storage fuel tanks from the property within a period of four weeks as stated above, petitioners are at liberty to remove the same and offer the respondent to take the outfits within a period of two weeks thereafter.

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iv) In the event of respondent's failure to remove the outfits from the property within a period of

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two weeks, petitioners are at liberty to dispose of the same and remit the amount realized from the disposal of outfits after deducting the expenses incurred for removal of the underground storage fuel tanks from the property.

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v) Respondent is at liberty to recover the costs of removal of outfits/ underground storage tanks from erstwhile dealer as per the agreement, in accordance with law.

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In view of disposal of main petition, I.A. No.1/2023 does not survive for consideration and the same is disposed of.

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Sd/JUDGE

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MV List No.: 1 Sl No.: 12

Sri H.S Suresh Babu, v. Indian Oil Corporation

Case brief

What is this about?

What did the court decide?

Sri H.S Suresh Babu, v. Indian Oil Corporation

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Statutes considered

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