M/S.Sikora Salvador International Limited v. Chennai Metropolitan Development Authority

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 24.01.2025 CORAM :

THE HONOURABLE MR. JUSTICE S.S. SUNDAR Ms/.Sikora Salvador International Limited rep.by its Director Ramakrishnan having office at No.259/1, Bye Pass Road Poonamallee, Chennai 600 056.

... Petitioner Vs.

Chennai Metropolitan Development Authority rep.by its Member Secretary Having office at No.1, Gandhi Irwin Road Egmore, Chennai 600 008.

... Respondent Prayer : Review application filed under Order 47 Rule 1 read with Section 114 of CPC to review the order dated 14.09.2022 insofar as WP.No.24568/2022.

For Petitioner : Mr.S.Karthikeyan for Mr.A.Arvind Athithan For Respondent : Mr.Y.Bhuvanesh Kumar Standing counsel

JUDGMENT

[Order of the Court was made by S.S.SUNDAR, J.,] (1)This review application is filed by the review petitioner to review the order dated 14.09.2022 made in WP.No.24568/2022 insofar as it relates to interest for the delayed payment.

(2)This Court, while passing the order in the writ petition, specifically held that interest is not sanctioned in the Award. However, it is to be noted that a sum of Rs.33,85,000/- was collected along with the interest for the delay in payment. It is not in dispute that a sum of Rs.8,97,082/- was collected towards interest for the late remittance. Therefore, this amount which had been collected by the respondent, has to be refunded. (3)The learned Standing counsel for the respondent submitted that interest component was due to the delay in payment of the charges requested by the CMDA for the purpose of planning permission. Interest is levied by way of penalty for non-payment of charges on time and the direction of this Court was to refund the amount that was collected towards the statutory dues. Since the application for development was withdrawn and

the amounts were directed to be refunded, the interest collected for delay remittance, is not different from the amount which they have collected. (4)Therefore, paragraph No.4 in the order dated 14.09.2022 in WP.No.24568/2022 is modified to read as follows:- ''4.Regarding refund of a sum of Rs.33,85,000/-, the respondents are directed to refund a sum of Rs.33,85,000/- along with interest namely, a sum of Rs.8,97,082/- to the petitioner without any delay.'' (5)It is now represented that a sum of Rs.33,00,000/- had already been paid. Therefore, the balance amount indicated above, has to be paid within a period of six weeks from the date of receipt of a copy of this order. (6)The review application stands disposed of accordingly. No costs. 24.01.2025 AP Internet : Yes To The Member Secretary Chennai Metropolitan Development Authority Having office at No.1, Gandhi Irwin Road Egmore, Chennai 600 008.

S.S. SUNDAR, J., AP 24.01.2025