Khushi Doshi
Published on: March 30, 2022 at 18:21 IST
The Mumbai Metro One Private Limited (MMOPL), a Subsidiary of the Reliance (Anil Ambani) Group, obtained Interim Relief from the Bombay High Court, which directed the Brihanmumbai Municipal Corporation not to take any Coercive Action, such as cutting off Water Supply and Sewerage Lines to the operational metro route, due to Alleged Non-Payment of Property Tax.
The Ruling was issued in response to Mumbai Metro One Private Limited ‘s Petition challenging Brihanmumbai Municipal Corporation ‘s demand for Rs. 2,500 crores in Property Tax, failing which Civic Supplies will be halted.
A Bench of Justices AA Sayed and MS Karnik granted Interim Relief and instructed the State and Brihanmumbai Municipal Corporation to respond to the Petition. After two weeks, the Plea was scheduled for a rehearing.
Senior Advocate Venkatesh Dhond, representing the firm, informed the Court that the corporation was the Metro Railway Administrator of the Metro-1 line, which connected Ghatkopar and Versova in Mumbai Suburbs. He said that the State government has previously exempted Payment of Property Taxes under the Central Metro Act and the Railway Act.
Regardless, the Brihanmumbai Municipal Corporation demanded a Property Tax from Mumbai Metro One Private Limited, which the firm said was Unlawful and Arbitrary.
Brihanmumbai Municipal Corporation has also issued attachment Warrants against Mumbai Metro One Private Limited, which the business has contested in the current Petition.
Mumbai Metro One Private Limited argued that because the Warrants were issued against them and the Brihanmumbai Municipal Corporation did not provide for any exception, the firm had no choice but to file the current Writ Case with the High Court.
It asked for the Warrants to be Quashed and a stay of execution while the matter was being heard. The Petition also asked the Court to order the Brihanmumbai Municipal Corporation to comply with the State Government’s 2018 directive, which called for the Withdrawal of all notifications.
Metro One Private Limited further requested an Injunction barring Brihanmumbai Municipal Corporation authority from making any Claims for Municipal Taxes or charges or taking any action in this respect.
Brihanmumbai Municipal Corporation Lawyers, on the other side, objected to the Plea, claiming that some Amount of Property Tax was necessary to be paid.
The Lawyer went on to say that because the services were being supplied by a Private Organisation, there was no way the Petitioner could be granted a Property Tax Exemption.
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