Sree Maruthi Agrotech Limited v. Salt Commissioner

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 05-02-2026

CORAM

THE HON'BLE MR JUSTICE S. M. SUBRAMANIAM AND THE HON'BLE MR.JUSTICE C.KUMARAPPAN and CMP.Nos.5175, 5212, 5156 of 2023 W.A.No.540 of 2023 Sree Maruthi Agrotech Limited rep. by its Director K. Gurumoorthy, S.No. 1402, Kovalam Road, Opp Covelong Salt Factory Office, Kelambakkam - 603 103.

..Appellant(s) Vs

1. Salt Commissioner,Ministry of Commerce and Industry, Govt of India Lavan Bhavan, No. 2-A, Lavan Marg, Jhalana Doongri, Jaipur - 302 004.

2. Deputy Salt Commissioner II Block, 2nd Floor, No. 26, Haddows Road, Shastri Bhavan, Nungambakkam, Chennai - 600 006.

..Respondent(s) To set aside the order dt. 21.11.2022 passed in WP No.9387/2014 on the file of this Honble Court and allow this WA. W.A.No.541 of 2023 Sree Maruthi Agrotech Limited rep. by its Director S.F.Rahman, Kovalam Road, Kelambakkam, Kancheepuram District - 603 103.

..Appellant(s) Vs

1. Salt Commissioner, Ministry of Commerce and Industry, Govt of India, "Lavan Bhavan",

No. 2-A, Lavan Marg, Jhalana Doongri, Jaipur - 302 004.

3. Deputy Salt Commissioner, II Block, 2nd Floor, No. 26, Haddows Road, Shastri Bhavan, Nungambakkam, Chennai - 600 006.

..Respondent(s) WA No. 541 of 2023 To set aside the order dt. 21.11.2022 passed in WP No.5321/2010 on the file of this Honble Court and allow this WA. W.A.No.542 of 2023 K.Gurumoorthy, Director, Sree Maruthi Agrotech Limited, Kovalam Road, Kelambakkam.

..Appellant(s) Vs

1. Salt Commissioner, Ministry of Commerce and Industry, Govt of India, "Lavan Bhavan", No. 2-A, Lavan Marg, Jhalana Doongri, Jaipur - 302 004.

2. Deputy Salt Commissioner, II Block, 2nd Floor, No. 26, Haddows Road, Shastri Bhavan, Nungambakkam, Chennai - 600 006.

..Respondent(s) WA No. 542 of 2023 To set aside the order dt. 21.11.2022 passed in WP No.13755/2010 on the file of this Honble Court and allow this WA.

For Appellant(s):

Mr.K.Kamaraju For Respondent(s):

Mr.V.Chandrasekaran SPC fFor R1 And R2 COMMON JUDGEMENT (Judgment of the Court was delivered by C.Kumarappan J.) The present writ appeals have been filed assailing the order of the learned single Judge dated 21.11.2022 wherein the learned single Judge has confirmed the demand notice raised by the respondent regarding payment of assignment fee and ground rent in respect of Government of India land.

2. The main contention putforth by the appellants is that the guildelines were modified by the 2nd respondent unilaterally proposing to charge the assignment fee at the highest rate for transfer of a lease hold right. It was further contended that the first respondent have not approved such modification. However, the learned single Judge have arrived at a conclusion that the Government has passed an order on 27.01.2004 and the respondents have raised the demand based upon such government order and that the government order is still in force and therefore, having not challenged the Government order, challenging the consequential demand is not maintainable.

3. We have given our anxious consideration to the submissions made by the learned counsel for the appellants as well as the reasoning given by the learned single Judge.

4. It is relevant to refer that whenever there is a contractual obligation

between the appellant and the authorities, the appellant is bound by such contractual obligation. Apart from that, such contractual obligation cannot be challenged by way of writ proceedings. In the present case, the Government had already issued an order on 27.01.2004 in respect of assignment charges and such assignment charge has not been challenged by the appellants.

5. In view of such fact, the demand notice raised by the respondent is only a consequential act. Without challenging the original order, the very challenge in respect of the consequential order is not maintainable. Therefore, this Court do not find any reason to deviate from the findings rendered by the learned single Judge. Accordingly, the Writ Appeals stand dismissed. No costs. Consequently, connected miscellaneous petitions are closed. (S.M.S.,J.) (C.K.,J.) 05-02-2026 Index: Yes/No Speaking/Non-speaking order VSI To

1. Salt CommissionerMinistry of Commerce and Industry, Govt of India Lavan Bhavan, No. 2-A, Lavan Marg, Jhalana Doongri, Jaipur - 302 004.

2. Deputy Salt CommissionerII Block, 2nd Floor, No. 26, Haddows Road, Shastri Bhavan, Nungambakkam, Chennai - 600 006.

S.M.SUBRAMANIAM J.

AND C.KUMARAPPAN J.

VSI 05-02-2026