9911796707
TMI Blog1970 (4) TMI 154X X X X Extracts X X X X X X X X Extracts X X X X ..... rom November 1953 to ₹ 2,800 per month. Messrs. A. Firpo Ltd. had sublet a major part of the premises to five different tenants and the aggregate rent received from the sub-tenants amounted to ₹ 4,520. The Corporation of Calcutta assessed the annual value of the premises at ₹ 32,076 for six years prior to April 1, 1955. With effect from April 1, 1955, the Corporation assessed the annual value of the premises at ₹ 62,761. The objection raised by the owner against the determination of annual value was rejected by the Special Officer of the Corporation. In appeal by the Life Insurance Corporation of India (which had statutorily acquired the rights of the owner) the Court of Small Causes assessed ₹ 30,240 as the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for which a building can reasonably be expected to let, and since a statutory limitation of rent circumscribes the scope of the bargain in the market, in no circumstances can the hypothetical rent exceed the limit prescribed by the law. It was there fore clearly laid down by this Court in Smt. Padma Debi's case(1) that in determining the 'annual value of the land or building for the purpose of ascertaining the consolidated rate, the standard rent is the maximum amount which can be taken into account. In the present case the Court of Small Causes and the High Court have determined the annual value on the footing of the standard rent., Counsel for the Corporation, however, contended that the decision in Smt. Padma Debi's case([ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rent at which the premises were or could be sublet. It is true that the assessment of annual value in Smt. Padma Debi's case(1) was for the year 1950-51 and s. 127(a) of the Calcutta Municipal Act, 1923, was in these terms : "the annual value of land, and the annual value of any building erected for letting purposes or ordinarily let, shall be deemed to be the gross annual rent at which the land or building might at the time of assessment reasonably be expected to be let from year to year, less, That section did not contain a proviso in the form of the proviso to s. 168(1) of the Calcutta Municipal Corporation Act, 1951. But the enactment of the proviso does not alter the law. This Court in Smt. Padma Debi's case() interpre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssing authority is bound to take into consideration the value to each grade of owner for the purpose of determining the standard rent. It was submitted that qua their sub-tenants, Messrs. A. Firpo Ltd. were the owners of the premises and the rent which they received had also to be taken into account in determining the standard rent. Reliance in that behalf was placed upon the definition of "owner" in s. 5(53) and s. 193 of the Calcutta Municipal Corporation Act, 1951. Section 5(53) defines "owner" as including "the person for the time being receiving the rent of any land or building or of any part of any land or building, whether on his own account or as agent or trustee for any person or society or for any religiou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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