Allowing a writ petition, the Madras High Court directed SIDCO to refund Rs.5,03,034/- paid as illegal additional cost along with interest within eight weeks, aligning with earlier rulings quashing similar demands.
Refund of Rs.5,03,034/- with interest within eight weeks.
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Writ Petition No.12487 of 2023
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 24.04.2023
CORAM
THE HONOURABLE MR.JUSTICE N.ANAND VENKATESH
Writ Petition No.12487 of 2023
S.Geetha W/o.K.Satheesh
... Petitioner
Vs.
1.Tamil Nadu Small Industries Development Corporation, represented by its Managing Director, SIDCO, Thiruvieka Industrial Estate, Guindy, Chennai - 32.
2.The Branch Manager, Tamil Nadu Small Industries Development Corporation, Five Roads, Salem - 4. ... Respondents
Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Mandamus directing the respondents to return the amount of Rs.5,03,034/- [Rupees Five Lakhs three thousand and thirty four only] paid by the petitioner to the respondents vide Receipt No.116176 dated 27.12.2016 with interest at appropriate rate and within a time frame, as may be fixed by this Court on the facts and circumstances of the case.
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For Petitioner : Mr.N.Subramaniyan For Respondents : Mrs.Sithara Sarangan Standing Counsel *****
O R D E R
This writ petition has been filed for issuance of a writ of
mandamus directing the Tamil Nadu Small Industries Development Corporation (hereinafter referred to as 'SIDCO') to refund the amount that was paid by the petitioner towards additional cost with interest within a time frame fixed by this Court.
and Mrs.Sithara Sarangan, learned Standing Counsel appearing for respondents.
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Writ Petition No.12487 of 2023
by an order dated 23.10.2017. Thus, the additional cost that was sought to be imposed by SIDCO was held to be illegal by the Division Bench and the said order has become final.
portion in the order passed on 19.12.2022 is extracted hereunder:
"6. In the Writ Petition in W.P.No.21241 of 2022, the petitioner had sought to refund of Rs.six lakhs legally collected from her along with interest thereon. This amount has been collected from her towards additional cost demanded by the respondents. It is relevant to note that claiming of additional charges has been quashed by this Court in W.P.No.28993 of 2014 by an order dated 22.01.2015 which has been confirmed by the
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Division Bench of this Court in Writ Appeal No.813 of 2015, by an order dated 23.10.2017. When the demand of additional cost itself has been quashed, the Writ Petitioner in W.P.No.21241 of 2022 is entitled to refund of the amount.
[i] ....
the facts of the present case also. In view of the same, the prayer sought for in this writ petition can be allowed with a direction to the first respondent to refund the additional cost of Rs.5,03,034/- [Rupees Five Lakhs Three Thousand and Thirty Four only] to the petitioner within a period of eight (8) weeks from the date of receipt of a copy of this order.
cost that was imposed by SIDCO has already been held to be illegal and
the said order has become final, the SIDCO being an instrumentality of
the State is not expected to drive each of the allottee who had paid the
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additional cost to approach the Court and get an order seeking for refund. Once the additional cost is held to be illegal, SIDCO is not expected to retain that amount with them and in all fairness it has to be refunded to the concerned allottees, who had paid additional cost during the relevant point of time. This Court expects that SIDCO will not drive the allottees who are similarly placed to file writ petition before this Court and they will act on their own by taking a cue from this order. If this Court encounters yet another writ petition of similar nature, this Court will be constrained to initiate appropriate proceedings for retaining the additional cost in spite of the same being held to be illegal. This Court hopes that SIDCO will not drive this Court to take such an extreme step.
In the result, this writ petition is allowed with a direction to the first respondent to refund the additional cost of Rs.5,03,034/- [Rupees Five Lakhs three thousand and thirty four only] to the petitioner within a period of eight (8) weeks from the date of receipt of a copy of this order. No costs.
24.04.2023
Neutral Citation: Yes/No Index: yes/no Speaking Order/Non-Speaking Order gm
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To
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N.ANAND VENKATESH, J
gm
Writ Petition No.12487 of 2023
24.04.2023
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2 issues framed by the court
Whether SIDCO is directed to refund the illegal additional cost paid by the petitioner with interest within a fixed timeframe.
Whether the ruling in similar connected writ petitions applies to the present case.
1 provisions across 1 enactments
S.Geetha W/o.K.Satheesh
Tamil Nadu Small Industries Development Corporation
N.Anand Venkatesh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
