- 1 - NC: 2025:KHC:11465 WP No. 1084 of 2020 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 19TH DAY OF MARCH, 2025 BEFORE THE HON'BLE MR JUSTICE S SUNIL DUTT YADAV WRIT PETITION NO. 1084 OF 2020 (LB-BMP) BETWEEN: 1. M/S DEVAGIRI PROMOTERS A PARTNERSHIP FIRM HAVING ITS OFFICE AT NO.2420, 3RD BLOCK, BANASHANKARI 6TH STAGE BANGALORE - 560 062 REPRESENTED BY ITS PARTNER SRI. M. VASU S/O SRI. M. SUBRAMANYAM NAIDU AGED ABOUT 43 YEARS … PETITIONER (BY SRI. SUDHAKAR G V., ADVOCATE) AND: 1. THE STATE OF KARNATAKA THE URBAN DEVELOPMENT DEPARTMENT VIKASA SOUDHA, DR. B.R. AMBEDKAR VEEDHI, BANGALORE - 560 001 REPRESENTED BY ITS SECRETARY 2. THE STATE OF KARNATAKA THE LABOUR DEPARTMENT Digitally signed by PRAKASH N Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC:11465 WP No. 1084 of 2020 VIKASA SOUDHA, DR. B.R. AMBEDKAR VEEDHI, BANGALORE - 560 001 REPRESENTED BY ITS UNDER SECRETARY 3. BRUHATH BANGALORE MAHANAGARA PALIKE N.R. SQUARE BANGALORE - 560 002 REPRESENTED BY ITS COMMISSIONER 4. THE JOINT DIRECTOR (TOWN PLANNING-SOUTH) BRUHATH BANGALORE MAHANAGARA PALIKE N.R. SQUARE, HEAD OFFICE BUILDING ANNEX-3 BUILDING BANGALORE - 560 002. … RESPONDENTS (BY SMT. B.P. RADHA, AGA FOR R1 & R2; SRI B.L. SANJEEV, ADVOCATE FOR R3 & R4) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASH THE CIRCULAR DATED 04.09.2015 ISSUED BY THE R-3 (ANNEXURE-E) IN SO FAR THE PETITIONER IS CONCERNED AND ETC. THIS PETITION COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S SUNIL DUTT YADAV ORAL ORDER The petitioner has called in question the validity of the Circular at Annexure-'E' dated 04.09.2015 issued by - 3 - NC: 2025:KHC:11465 WP No. 1084 of 2020 the third respondent, Government Order at Annexure-'F' dated 18.01.2007 and Corrigendum Order dated 28.02.2007 issued by the respondent no.2 mandating collection of labour welfare cess, validity of the demand notice at Annexure-'D' dated 06.01.2020 issued by the respondent no.4. 2. Learned counsel for petitioner Sri.G.V.Sudhakar submits that by order dated 04.08.2021 in W.P.No.4601/2020 and connected matters, this court has set aside the Circulars, on the basis of which demand notice has been raised. The operative portion in W.P.No.4601/2020 and connected matters reads as follows: (a) All the Writ Petitions are allowed. (b) The bye-laws under which Ground Rent, Licence Fee, Building Licence Fee, Scrutiny Fee, Security Deposit are all held ultravires the Act and are resultantly rendered unenforceable. - 4 - NC: 2025:KHC:11465 WP No. 1084 of 2020 (c) The Circular bearing No.ºÉ¤£ÀAiÉÆÃ/ eÉ.r(G)/rJªÀiï3/¦Dgï/320/2015-16 dated 04.09.2015 stands quashed. (d) The Circular bearing No.£ÀCE 36 ¨ÉªÀÄ¥Áæ 2016 (¨sÁUÀ) dated 27.01.2017 and the Circular bearing No.ºÉ¤£ÀAiÉÆÃ/¦Dgï/1533/ 2016-17 dated 30.03.2017 demanding Lake Rejuvenation Fee are quashed. (e) Imposition of labour cess under the Welfare Cess Act is upheld, but its demand for payment upfront in terms of Government Orders dated 18.01.2007 and 28.02.2007 stands quashed. (f) The State or the BBMP is not precluded from bringing in the impugned levies under the provisions of the Act or the Rules by making suitable amendments to the Act and the Rules. (g) Petitioners in all these petitions who have deposited certain amounts in terms of the interim order passed by this Court before this Court are entitled to refund of the amounts so deposited. (h) Insofar as refund in other cases who have paid to the Corporation under protest, they - 5 - NC: 2025:KHC:11465 WP No. 1084 of 2020 shall be entitled to such refund only if the same is not collected from the consumers of the apartments, businesses as the case would be. (i) Insofar as all other payments made, they would all be at liberty to give representation to the BBMP and the BBMP would consider the refund of the amounts, in accordance with law and the findings of this Court. (j) If representations are made by the petitioners for refund, the BBMP shall pass appropriate orders within 12 weeks from the date of such representations. In view of disposal of the petitions, all pending Interlocutory Applications also stand disposed. 3. In light of the said submission which is not controverted, the petition is allowed. The Demand notice dated 06.01.2020 at Annexure-D is set aside. Sd/- (S SUNIL DUTT YADAV) JUDGE NP