Administrator General And Official Trustee Of Tamil Nadu v. No Respondent

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 30.06.2020

CORAM:

THE HONOURABLE MR.JUSTICE R.SUBBIAH Application Nos.1252 and 1253 of 2020 (Heard through video conferencing) Administrator General and Official Trustee of Tamil Nadu, High Court Campus, Chennai-600 104.

.. Applicant in both the applications Judge's Summons issued under Order XIV Rule 8 of the Original Side Rules of this Court and under Section 25 of the Official Trustee's Act 11 of 1913 and A.No.1252 of 2020 is filed praying that the total cost for paper publication and inspection expenses should be proportionately met out from all the Trust Estates properties be leased out. Judge's Summons issued under Order XIV Rule 8 of the Original Side Rules and under Section 25 of the Official Trustee's Act 11 of 1913 and A.No.1253 of 2020 filed praying to permit the Official Trustee to make necessary paper publication in any one of the Tamil Newspaper in Chennai Edition regarding the public auction for the properties detailed in the schedule of properties with this application for the upset monthly rent specified against each of the properties in the tabular column No.7 in paragraph 4 of the report.

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SCHEDULE Item-I Shop bearing Door No. 222, Amman Koil Street,, Chennai 600 001, having extent of 100 Sq. Ft., bounded on the North by : Pedariar Koil Street South by : Amman Koil Street East by : Stationary Shop West by : Premkumar Shop Item-II Shop bearing Door No. 222, Amman Koil Street,, Chennai 600 001, having extent of 80 Sq. Ft., bounded on the North by : Pedariar Koil Street South by : Amman Koil Street East by : Stationary Shop West by : Premkumar Shop Item-III Commercial Shop bearing Door No. 189, N.S.C.Bose Road, Chennai 600 001, having extent of 4850 Sq. Ft., bounded on the North by : Sankar Cafe Hotel South by : N.S.C.Bose Road Page No.2/19

East by : Sri Vari Enterprises West by : Giri Stadium Item-IV Commercial Shop bearing Door No. 189, N.S.C.Bose Road, Chennai 600 001, having extent of 830 Sq. Ft., bounded on the North by : Sankar Cafe Hotel South by : N.S.C.Bose Road East by : Sri Vari Enterprises West by : Giri Stadium Item-V Old Premises bearing Door No.79, Broadway, Chennai-1 measuring about 2,771 Sq. Ft. bounded on the North by : 78 Broadway, Chennai-1 South by : 80 Broadway, Chennai-1 East by : Others property West by : Prakasam Salai. Item-VI Commercial Building (Ground Floor) bearing Door No.47, Moore Street, Chennai -1, having extent of 3,021 Sq .Ft , bounded on the North by : No.48, Moore Street South by : No.46, Moore Street Page No.3/19

East by : Moore Street West by : No.255, Audiappa naicken street Item-VII Commercial Building (Second Floor) bearing Door No.47, Moore Street, Chennai -1, having extent of 4,417 Sq .Ft., bounded on the North by : No.48, Moore Street South by : No.46, Moore Street East by : Moore Street West by : No.255, Audiappa naicken Street Item-VIII Old House and Ground bearing Door No.230 having extent of 2,518 Sq. Ft.. Linghi Chetty Street, Chennai 600 001, bounded on the North : Vacant Land of Venkataramana Chettiar South by : Thiruvengadam Thavasi Hospital East by : Angappa Naicken Street West by : Linghi Chetty Street Item-IX House bearing Old Door No.1, New No.6, Narayana Chetty Lane, Chennai -1, having extent of 2,089 Sq .Ft , bounded on the North by : No.7, Narayana Chetty Lane South by : No.2, Narayana Chetty Lane Page No.4/19

East by : Apartment West by : Narayana Chetty Lane Item-X Commercial building bearing Door No.202, Thambu Chetty Street, Chennai -1, having extent of 920 Sq .Ft , bounded on the North by : No.212, Dr. U.Rama Rao Clinic South by : 201, East India Company Limited East by : No.111, Royal Bearing Centre West by : No.203, Govindaraj Mudaliar & Sons Item-XI Vacant Land bearing Door No. 14, S.M.M.Lane, Chennai 600 001, having extent of 2,046 Sq. Ft., bounded on the North by : No.16/2, House South by : No.13/2, House East by : Door No.14, S.M.M.Street, vacant site West by : A.R.C. School Item-XII Dilapidated old building bearing New Door No. 41, Old Door No.19, S.M.M.Street, Chennai-1, having an extent of 4,374 Sq. Ft., bounded on the North by : No.16/2, House South by : No.13/2, House Page No.5/19

East by : New No.41, Old No.19, Saiva Muthiah Mudali Street , Dilapidated Building West by : A.R.C. School Item-XIII Land with Old Building bearing Door No. 56, Pycrofts Road 1st Street, Chennai 600 014, having extent of 1,163 Sq. Ft. of Land with 738 Sq. Ft. Building, bounded on the North by : Pycrofts Road South by : Woods Road East by : Pycroft 1st Street West by : Srinivasan House Item-XIV House bearing Door No. 173, Pycrofts Road, Chennai 600 014, having extent of 670 Sq. Ft., bounded on the North by : Seathal Betal Shop South by : Nellai Sweet Shop East by : Leather Shop West by : Big Street Item-XV House bearing Door No. 173, Pycrofts Road, Chennai 600 014, having extent of 295 Sq. Ft., bounded on the Page No.6/19

North by : Seathal Betal Shop South by : Nellai Sweet Shop East by : Leather Shop West by : Big Street Item-XVI House bearing Door No. 173, Pycrofts Road, Chennai 600 014, having extent of 238 Sq. Ft., bounded on the North by : Seathal Betal Shop South by : Nellai Sweet Shop East by : Leather Shop West by : Big Street Item-XVII The Choultry in dilapidated condition bearing Door No. 29, Singarachari Street, Triplicane, Chennai -5, measuring about 3,100 Sq. Ft bounded on the North by : 29, Singarachari Street, Choultry Building South by : Thulasingam Street East by : Singarachari Main Road West by : Vandi Venkatesan Street Item-XVIII Page No.7/19

Vacant Site bearing No.239, R.K.Mutt Road, Mylapore, Chennai-5, having extent of 3,227 Sq. Ft. with entrance 7.4 Sq. Ft., bounded on the North by : R.K.Mutt Road South by : Lala Thottam East by : Phone Shop West by : Mother Textile Item-XIX The Land bearing Door No.877, Tiruvottiyur High Road, Tiruvottiyur, Chennai-19, measuring about 4,644 sq.ft bounded on the North by : V.Jayaraj (Murthi Restaurant) South by : Property of Kumarakurubaran Chettiar East by : Property of Kumarakurubaran Chettiar & S.P.Murugesan West by : Tiruvottiyur High Road. Item-XX The Commercial Hall (Ground Floor) bearing Door No. 23, in R.S.Number 118/2 Kanakkar Street, Tiruvottiyur, Chennai -19, measuring about 1,800 Sq. Ft bounded on the North by : A Private passage South by : Property of Kumarakurubaran Chettiar East by : Land leased to Saraswathi West by : Kanakkar Street Page No.8/19

Item-XXI The House (First Floor) and a room in Second Floor bearing Door No. 23, in R.S.Number 118/2 Kanakkar Street, Tiruvottiyur, Chennai -19, measuring about 700 Sq. Ft bounded on the North by : A Private passage South by : Property of Kumarakurubaran Chettiar East by : Land leased to Saraswathi West by : Kanakkar Street Item-XXII Vacant Site bearing Nos. 63, 64, 65, East Mada Street, Thiruporur, Kancheepuram District, having extent of 10,236 Sq. Ft., bounded on the North by : Vacant Space South by : House East by : Thiruporur Theradi Veedhi West by : Temple Land Item-XXIII Bodyguard Muneeswarar Temple, Pallavan Salai, Chennai -2, having extent of 64 Sq .Ft , bounded on the North by : Platform South by : Platform East by : Pallavan Salai West by : Defence Office Page No.9/19

For applicant in both the applications: Mr.P.Murugan, A.G. & O.T. COMMON ORDER A.No.1252 of 2020 is filed praying that the total cost for paper publication and inspection expenses should be proportionately met out from all the Trust Estates properties be leased out.

2. A.No.1253 of 2020 is filed praying to permit the Official Trustee to make necessary paper publication in any one of the Tamil Newspaper in Chennai Edition regarding the public auction for the properties detailed in the schedule of properties with this application for the upset monthly rent specified against each of the properties in the tabular column No.7 in paragraph 4 of the report.

3. The learned A.G. & O.T. has filed a report, dated 18.06.2020, stating as follows:

(a) Nearly about 200 Trust Estates are being administered by the Administrator General and Official Trustee of Tamil Nadu. From and out of Page No.10/19

the Trust Estates both the Administrator General and Official Trustee sides there are about 500 properties let out to various tenants for Residential and Non-Residential on monthly rent basis and also yearly lease basis for agricultural land.

(b) As of now there are 22 properties kept vacant and no lease exists as on date. These properties are in and around Chennai. The AG & OT has to take necessary steps to lease out the property to fetch income for charity purpose and the interested person may take the property for rent or lease basis. The properties are connected to various Trust Estates and different locations with different extents. The property of Body Guard Muneeswarar Temple lease / license is to be expired on 30.04.2020. (c) For some of the properties, the Assistant Engineer reports are available. For other properties, no such report is available. For the reason the post of Assistant Engineer is kept vacant for more than 7 months. Most of the buildings are in very old condition. Considering the conditions of the buildings, it is decided to lease out as per "as is where condition". After the interested person entered into a lease, he may be permitted to build up a new Page No.11/19

construction on and in the land at his own money, for long time lease after demolishing the existing old building with prior orders of the Hon'ble High Court and also building approval plan from competent authority. For arriving the monthly rent upset price, the present guideline value is taken for consideration, but not in entirely. Tentative rent assessment is done, which is lesser than the guideline value estimation. (d) The following tabular column will give a clear picture about the name of the Trust, address of the property, nature of the property, extent of the property, guideline value and upset monthly rent as tentatively decided by AG & OT, to the respective property for better appreciation. Vacant Properties in the Name of Administrator General and Official Trustee of Tamil Nadu Property Address u Upset Monthly Area in Sq.

Ft.

Sl.N o.

Trust Name Nature of Property Rent in Rs.

(2) (4) (7) (1) (5) (3) N.V. Ammal No.222, Amman Koil Street, Chennai-1.

Shop , 3,500/- N.V. Ammal No.222, Amman Koil Street, Shop , 3,000/- Page No.12/19

Chennai-1.

N.V. Ammal 189, N.S.C. Bose Road, Chennai-1 Commercial (F.Fr. ) 4,850 1,20,000/- N.V. Ammal 189, N.S.C. Bose Road, Chennai-1 Commercial (F.Fr. ) 25,000/- M.K.P. Maracayar No.79, Broadway, ChennaiOld Building 2,771 1,00,000/- V.T. Chetty No.47, Moore Street, Chennai-1 Hall in Ground Floor 3,021 , 90,000/- V.T. Chetty No.47, Moore Street, Chennai-1 Hall in 2nd Floor 4,417 , 60,000/- Sivagamu Ammal No.230, Linghi Chetty Street, Chennai-1.

House (Dilapidated Condition) 2,518 , 50,000/- Galli Adinarayana Chetty N.No.6, Old No.1, Narayana Chetty Lane, Chennai-1 Old House with 671 Sq. Ft. Vacant area 2,089 , 30,000/- Vaduvambal No.202, Thambu Chetty Street, Chennai-1 Shop , 30,000/- N.V. Ammal No.14, S.M.M. Street, Chennai-1.

Vacant Land 2,046 3 , 20,000/- P.R. Chetty N.No.41, O.No.19, S.M.M.

Street, Chennai-1 House at (Dilapidated Condition) 4,371 , 45,000/- M.M. Charities No.56, Pycrofts Road 1st Street, Chennai-14.

Old House 1,163 Sq.

Ft. of Land with Building 738 Sq.

Ft , 20,000/- M.M. Charities No.173, Pycrofts Road, Chennai-14.

House , 10,000/- M.M. Charities No.173, Pycrofts Road, Chennai-14.

House , 4,500/- M.M. Charities No.173, Pycrofts Road, Chennai-14.

House , 4,000/- Iyya Pillai Charities No.29, Singarachari Street, Triplicane, Choultry (Dilapidated condition) (Excluding two shops) 3,100 , 1,25,000/- Chennai-5.

M.K.A. Charities No.239, R.K. Mutt Road, Mylapore, Chennai-5.

Vacant Site 3,227 Sq.

Ft. with entrance 7.4 Sq.

Ft.

, 50,000/- Page No.13/19

Ponnambalam Pillai No.877, Thiruvotriyur High Road, Chennai-19 Vacant Site 4,644 , 50,000/- Ponnambalam Pillai No.23, Kannakkar Street, Thiruvotriyur, Chennai-19.

Commercial Hall 1,800 , 20,000/- Ponnambalam Pillai No.23, Kannakkar Street, Thiruvotriyur, Chennai-19.

House (F.F + A Room in 2nd Fr.) , 8,000/- M.K.A. Charities Nos.63, 64, 65, East Mada Street, Thiruporur, Kancheepuram Dist.

Vacant Site 10,236 10,000/- M.O.P.L.

Bodyguard Muneeswar Temple, Pallavan Salai, Chennai-2.

[Licence for hundial collection permitted for one year from 01.05.2020 to 30.04.2021].

Temple 1,00,00,000/- (One year lease amount be paid in four equal instalments) (e) Sl.No.23 in the Tabular Column property is the Bodyguard Muneeswarar Temple at Pallavan Salai, Chennai-2. That lease is to be expired on 30.04.2020. The property should be leased out for another one year as per the procedure adapted by this Hon'ble Court as well as the O/o AG & OT. Therefore, the said property is also included in this application to lease out for 1 year from 01.05.2020 to 30.04 2020 on yearly lease / license amount with permission to the lessee / licensee to collect the Hundial amount at his own and to pay the yearly lease / license amount to the O/o AG & OT.

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(f) As per the last order dated 27.04.2019 in A.No.3308 of 2019, the lease to the Bodyguard Muneeswarar Temple was confirmed in favour of Tmt.K.Lalitha for a total lease amount of Rs.76,24,000/- for 1 year from 01.05.2019 to 30.04.2020. She was given that amount be paid in 4 equal installments. All the installments have been paid as of now. Subsequent thereto 18% GST amount of Rs.13,72,320/- was paid by her on 26.02.2020 in D.D. No.061168 for Rs.9,00,000/- & 061169 for Rs.4,72,320/- both dated 26.02.2020 drawn on Indian Overseas Bank, Pallavan Salai,Chennai2. Considering the previous bid amount for the temple and escalation of price there is a possibility of competition bids be received for the Bodyguard Muneeswarar Temple. The AG & OT is of the firm view that the minimum upset yearly lease / license amount for the next year be fixed at Rs.1,00,00,000/- excluding GST @18%.

(g) There are instances that the AG & OT is unable to collect the arrears of rent, water charges, electricity charges in huge amount once tenants vacated and their whereabouts are not known to the AG & OT. Even an earnest effort taken, the whereabouts of the tenants would not be traced out. In view of the above, the AG & OT is of the firm opinion that an Page No.15/19

adequate caution deposit in addition to security deposit may be received from the tenants at the time of entering into a lease / rental agreement. It would be in a better position to adjust the caution deposit towards the arrears of rent, water charges and electricity charges due if any. The experience shows that in most of the cases, no immediate action was initiated in the past when the tenants committed default to pay the monthly rent. If an action could have been taken at the earliest point of time there could be chances either to recover the arrears of rent, water and electricity bill charges or to recover vacant possession. Even to that aspect it would normally take minimum a year period to get anything to be done.

(h) Section 11 of the Tamil Nadu Regulation of Right and Responsibilities of Landlords and Tenants Act, 2017 directs that maximum of 3 times of monthly rent may be received as security deposit. In the same line of analogy, the AG & OT may be permitted to receive 3 months' rent as security deposit (Rental Advance). In addition to that 7 times of monthly rent may be collected as caution deposit for the purpose of if any arrears of rent or damages for use and occupation or damages for the building and the same be adjusted from the deposits without heavy loss to the office of the Page No.

AG & OT. Altogether 10 months' rent may be collected as rental advance and caution deposit.

(i) In view of the above details, for quick and better administrative reason, a comprehensive single application is filed seeking permission of this Court to grant permission for paper publication to conduct public auction to know the general public and followed by call for tender, then to conduct public auction in the office of AG & OT, and thereafter, file a report before this Hon'ble Court for confirmation etc. (j) A draft paper publication advertisement, application, terms and conditions to participate in the public auction are enclosed along with this application. For considering paper publication cost, all the properties are included in this application for a single paper publication. Total paper publication cost and other inspection cost for this work is to be proportionately met out from all the Trust Estates properties be leased out.

4. Hence, the above applications have been filed for the reliefs stated supra.

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5. This Court heard the submissions made by the learned A.G .& O.T. and perused the materials available on record.

6. Taking into consideration the above report submitted by the learned A.G. & O.T., and on a perusal of the same, this Court accepts the said report and accordingly, both these applications are ordered as prayed for.

30.06.2020 Speaking Orders: Yes cs To The Administrator General and Official Trustee of Tamil Nadu, High Court, Madras.

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R.SUBBIAH, J cs Appln. Nos.1252 and 1253 of 2020 30.06.2020 Page No.19/19