Thus the liability of the Railway to pay the Municipal tax was companytinued or created by the fresh numberification issue l under section 3 l of the 1941 Act.
From the Judgment and order dated 16 1 1969 of the Mysore High Court in Original Suit No.
Previously by a numberification dated the 4th February, 1929 issued under Section 135 of the Indian Railways Act, 1890 the liability of the Madras and Southern Mahratta Railway to pay the taxes to Bellary Municipality was declared and thus the Municipal Council was realizing taxes in accordance with the Madras District Municipalities Act and the numberification aforesaid.
The property belonged to the erstwhile Madras and Southern Mahratta Railway owned by a number Government 3 549CI/78 companypany.
When the Railway, came to be owned by the Central Government, section 154 oh the Government of India Act, 1935 created a difficulty and especially in relation to the buildings companystructed after companying into force of the said Act.
At the foot or this numberification, an explanation was added specifying the amounts of the property tax, water and drainage tax.
Since the Union of India denied its liability to pay any tax to the Municipal Council of Bellary in respect of the properly in question on the ground of Article 285 of the companystitution, the Constitution, the Court withdrew the suit under Article 228 from the Bellary Court and has itself disposed it of.
Subsequently the said Railway was taken over by the Central Government.
Hence the former has preferred this appeal to this Court.
1957 to March 31, 1963.
In absence of a Federal Law creating the liability of the Government Railway to pay any Municipal tax, numbersuch tax companyld be realised.
The Railway companytinued to pay the tax to the Bellary Municipality until 1.10.1953 when it was a part of the Madras State.
as payable under the Madras Dist rict Municipalities Act, 1920.
under Section 4 of this 1941 Act, a numberification dated the 18th June, 1946 Was issued by the Central Government revoking the earlier numberification of the Government of India in the Railway Department issued on the 14th February, 1929 in respect of the Bellary Municipality and on the same date i.e. the 18th June, l946 a fresh numberification under section 3 of the 1941 Act was issue by the same Government declaring that the administration of the Madras and Southern Mahratta Railway shall be liable to pay in aid of thee funds of the local authorities specified in companyumn 1 of the Schedule annexed to the numberification, which in cluded Bellary Municipality.
1 of 1969.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
According by the Railways Local Authorities Taxation Act, 1941 was passed.
It was for the period April 1.
The District of Bellary was a part or the erstwhile Madras state under Section 4 of The Andhra State Act, 1953, Central Act XXX of 1953 a good portion of the Bellary District was added to the State of Mysore row Karnataka on and from October 1, 1953 whereupon it caused to be a part of the State of Madras.
K. S. Ramamurthy and S. Balakrishnan for the Respondent.
It has passed a decree against Union of India as owner if the Southern Railway in favour of the Municipal Council Bellary.
The Judgment of the Court was delivered by UNTWALIA J. A substantial question of law as to the interpretation of Article 285 of the Constitution of India is involved in this appeal by certificate granted by the Mysore High Court number the Karnataka High Court .
The Bellary Municipal Council was realizing certain municipal taxes in respect of the Railway properties in accordance with Section 8 of the Madras District Municipalities Act, 1920.
2635 of 1969.
But even thereafter taxes were being realized by the Municipal Council in accordance with the Madras Act.
amounting to Rs.
The City Municipal Council, Bellary field a suit against the Union of India as owner of the Southern Railway in the Court at Bellary for 1 decree fol the arrears of all tax etc.
N. Lekhi and Girish Chandra for the Appellants.
38,988/ The claim ill the suit was on account of Municipal taxes due in respect of certain buildings and land owned by the said Railway within the Municipal limits of Bellary.
