- 1 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 2ND DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE M.NAGAPRASANNA WRIT PETITION NO. 12136 OF 2022 (BDA) BETWEEN: VISHAL PATHANGE G, S/O GOPAL KRISHNA RAO, AGED ABOUT 43 YEARS, AND RESIDING AT # 2082, SHOBHA CHYRASANTHEMUM, TANISANDRA MAIN ROAD, NARAYANAPURA, BENGALURU 560 077. …PETITIONER (BY SRI. ABHINAY Y T.,ADVOCATE) AND: 1. BENGALURU DEVELOPMENT AUTHORITY, T. CHOWDAIAH RAOD, KUMARAPARK WEST, BENGALURU 560 020, REPRESENTED BY ITS COMMISSIONER. Digitally signed by NAGAVENI Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 2. DEPUTY SECRETARY-4, BENGALURU DEVELOPMENT AUTHORITY, T. CHOWDAIAH ROAD, KUMARAPARK WEST, BENGALURU 560 020. …RESPONDENTS (BY SRI. K. KRISHNA., ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO- DIRECT THE RESPONDENTS TO RENEW/REVALIDATE THE SALE DEED DATED 27TH OF APRIL 2021 EXECUTED IN FAVOUR OF THE PETITIONER IN RESPECT OF SITE BEARING NO.1 FORMED IN BANASHANKARI 6TH STAGE, 7TH BLOCK, (SURVEY NO.19 SOMPURA GRAMA) LAYOUT, BENGALURU TOTALLY MEASURING 258 SQ. METERS AS PER ANNEXURE-B AND PASS SUCH OTHER ORDERS, THIS HON'BLE COURT DEEMS NECESSARY IN THE INTEREST OF JUSTICE AND EQUITY. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 CORAM: HON'BLE MR. JUSTICE M.NAGAPRASANNA ORAL ORDER Petitioner is before this Court seeking the following prayers: "a) to direct the respondents to renew/revalidate the sale deed dated 27th of April 2021 executed in favour of the petitioner in respect of Site bearing no. 1 formed in Banashankari 6th Stage, 7th Block, (Survey no. 19 Sompura Grama) Layout, Bengaluru totally measuring 258 Sq. Meters as per Annexure-B-; and b) pass such other orders, this Hon'ble Court deems necessary in the interest of justice and equity." 2. Heard Sri.Abhinay Y.T., learned counsel appearing for the petitioner and Sri.K.Krishna, learned counsel appearing for the respondent Nos.1 and 2 and have perused the material on record. 3. FACTS IN BRIEF: (a) The respondent-BDA issues an auction notification seeking to auction the corner sites available for such auction at the hands of the BDA. The auction notification comes about on 4.9.2020. The petitioner desirous of securing corner site, - 4 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 applies and participates in the auction and is allotted a corner site of 258 sq.meters in terms of the allotment letter. The allotment letter reads as follows: "ಹಾಜು ೇಶನದ ೕಕರಣ ಪತ ಾನೆ, ಷಯ: ಹಾಜು ೕಕರಣ ಸ ಣ ಯ ಸಂ"ೆ: 08 #$ಾಂಕ 16-10-2020 gÀ ªÉÄÃgÉUÉ Banashankari 6th Stage, 7th Block, ಬ&ಾವ(ೆಯ ಾ)ಜ/ಾಸದ/ಮೂ,ೆ/ಮಧಂತರ ೇಶನ ಸಂ"ೆ 1 ನು. ೕಕರಣ ಾ/ರುವ ಬ0ೆ1. ಾ)ಜ / ಾಸ2ೆ3 4ೕಗಾದ ಮೂ,ೆ / ಮಧಂತರ ೇಶನ2ಾ36 #$ಾಂಕ 09-09-2020 ಂದ 03-10-2020 ರವೆ0ೆ ನ&ೆ ದ ಹಾಜು ಾಾಟದ ಸಮಯದ89 ೕವ: 2ೋ; ಾ/ದ ಅತಂತ =ೆ>?ನ @ಡುBCಾರಾದ ತಮD =ೆಸನ89 ೕಕಸ,ಾ6Cೆ ಎಂಬುದನು. ಈ ಮೂಲಕ Hಸ,ಾ6Cೆ. ಆದುದಂದ ಈ 2ೆಳ0ೆ ನಮೂ# ರುವ ಕಮ ಸಂ"ೆ (5) ರ89 ಸೂ> ರುವ KಾL ೌಲವನು. Nಾವ: ಈ ಪತ #$ಾಂಕ#ಂದ 45(ನಲವNೆOದು) #ವಸಗಳ ಒಳ0ಾ6 Qಾವ ಾಡKೇ2ಾ6ರುತRCೆ. 1. ೇಶನ ಸಂ"ೆ 1 ಮತುR ಅಳNೆ 258.00 ಚ.ೕಗಳT. (ಖರಾದ ಅಳNೆ ವರ#0ೆ ಒಳಪಟುV) 2. ಪ ಚ.ೕ.ನ Kೆ,ೆ ರೂ. 40,400.00 ಗಳ ಪ2ಾರ ೇಶನದ ಒಟುV ೌಲ ರೂ.1,04,23,200.00 ಗಳT. 3. WೆXY 194 IA ರಂNೆ ೇಶನದ ಒಟುV ೌಲದ89 Zೇ.0.75 ರಷುV TDS [ತRಾದ ರೂ.78,174.00 ಗಳನು. ಆCಾಯ Nೆ0ೆ ಇ,ಾ"ೆ0ೆ Qಾವ , ಚಲY ಗ]ಾದ Counterfoil, Form 26Q8 ಮತುR Form 16B ನು. ಸ89ಸKೇ2ಾಗುತRCೆ. 4. Qಾರಂ^ಕ _ೇವ)`ಾ6 Nಾವ: ಈ0ಾಗ,ೇ ರೂ.26,10,000.00 ಗಳನು. Qಾವ ಾ/ರುRೕ. - 5 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 5. ನಲವNೆOದು (45) #ವಸಗ]ೆaಳ0ಾ6 KಾL ೌಲ ರೂ.77,35,026.00 ಗಳನು. Qಾb2ಾರದ "ಾNೆ0ೆ Qಾವ ಾ/, ಚಲYನು. ಸ89ಸKೇ2ಾಗುತRCೆ. In Notification No. UDD/170/MNJ/2007 dt: 27-07-2011 Rule 6(4) of the Bangalore Development Authority (Disposal of Corner Sites, Intermediate sites and Commercial Sites) Rules 1984 is amended as follows:- "(4) The Commissioner may grant extension of time not exceeding two hundred and ten days for depositing the balance of the bid amount subject to condition that during such extended period, the auction purchaser shall also pay the balance of the bid amount with an interest thereon at eighteen percent per annum up to ninety days and at twenty one percent per annum thereafter up to two hundred and ten days with a penalty of rupees one hundred in each case. Failing such payment, the Authority shall be entitled to forfeit the deposit made by the auction purchaser (25% of the total cost of the site) and resell the site at the risk and cost of the auction purchaser." i.e., 1) Up to 45 days from the date of Confirmation Letter - No Interest. 2) After interest free 45 days further 90 days-18% Interest per annum 3) After interest free 45 days + 90 days 18% Interest further period of 120 days-21% per annum. Further, the Finance Act 2013 has brought out a new provision of tax deduction at source on transactions on immovable properties. The relevant provision comes into force from 1-6-2013 and is brought out hereunder; Section 194 IA of the Income-tax Act, 1961-TDS on sale of immovable property has been amended in the Finance Act 2013. Accordingly any person, being a transferee, responsible for paying to a resident transferor any sum by way of consideration for transfer of any immovable property shall at the time of credit of such sum to the account of the transferor or at the time of payment of such sum in cash or by issue of cheque or draft or by any other mode, whichever is earlier, deduct an amount equal to one percent of such sum as income tax thereon. No deduction under sub-section (1) shall be made where the consideration for the transfer of an Immovable property is less than fifty lakh rupees. The transferee may log into www.incometaxindia.gov.in - click: pay taxes online - TDS - 6 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 on sale of property and fill the challan cum TDS return and remit the taxes. The transferee will get a counterfoil for remittance and generate a TDS certificate and issue to transferor. Also refer Board's Notification No.S.O.1404 (E) dt: 31-05-2013. Therefore 0.75% of TDS is to be paid to the Income Tax Department out of the total value of the site as required u/s 194 IA of the Income Tax Act 1961-TDS on sale of immovable property. After the remittance of the Income Tax kindly generate a TDS certificate in form 16B and submit the same to BDA duly signed along with challan for the balance amount for taking further action in the registration of the site. BDA PAN is: AAALB0060D. ೇಶನದ ಪcಣ [ತRವನು. Qಾವ ಾ/ದ ನಂತರ ಶುದd ಕಯಪತ ೕ/, ತದನಂತರ Wಾebೕನ ಪತವನು. ತಮ0ೆ ತಸ,ಾಗುವ:ದು." (b) The petitioner then makes the entire payment towards the allotment i.e., for 258 sq. meters and only to come to know that the area that was notified in the auction was short by 99 sq. meters as 99 sq. meters is allotted to someone else and the said person has already constructed. In that light, what remains to the petitioner was only 159 sq. meters. The petitioner then represents to the BDA seeking allotment of alternate site of the same dimension. The BDA on the score that there is no provision in law to allot an alternate site to an auction purchaser, declines to accede to the request of the petitioner but passes the following order of repayment of refund of Rs.40,10,853/- on 2.3.2022 which reads as follows: - 7 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 "ಇವ0ೆ:- ¢£ÁAPÀ: 02/03/2022 Vishal Pathange G, Shobha Chrysanthemum, Flat No.2082, Thanisandra Main Road, Near Hedge Nagar, Bengaluru-560077. ಾನೆ, ಷಯ:- ಬನಶಂಕ 6$ೇ ಹಂತ, 7$ೇ Kಾ9f ಬ&ಾವ(ೆಯ ಾಸದ / ಾ)ಜ / ಮೂ,ೆ / ಮಧಂತರ ಹಾಜು ೇಶನ ಸಂ"ೆ 01 ರ ಶುದgಕಯಪತದ ಾದಯನು. ೕಡುವ ಬ0ೆ1. ಬನಶಂಕ 6$ೇ ಹಂತ, 7$ೇ Kಾ9f ಬ&ಾವ(ೆಯ ೇಶನ ಸಂ"ೆ 01 2ೆ3 ಸಂಬಂb ದಂNೆ ಇ-ಹಾಜು ಅbಸೂಚ$ೆ =ಾಗೂ ಹಾಜು ೇಶನದ ೕಕರಣ ಪತದನeಯ 258.00 ಚ.ೕ ಗ]ಾ6ರುತRCೆ. ನಂತರ ೇಶನದ ಅಳNೆಯ89 ವNಾಸರುವ:Cಾ6 H ದgಂದ, 2ಾಯ Qಾಲಕ ಅ^ಯಂತರರು, ದhಣ iಾಗ ರವರು ೕ/ರುವ ೇಶನದ ಪಷjತ ಖ>ತ ಅಳNೆ ವರ#ಯಂNೆ ಸದ ೇಶನದ ಒಟುV Rೕಣ ವ: 159.00 ಚ.ೕ ಗ]ಾ6ರುತRCೆ. ಪಷjತ ಖ>ತ ಅಳNೆ ವರ#ಯನeಯ ಶುದg ಕಯಪತದ ಾದಯನು. ಇದೊಂ#0ೆ ಲಗRಸುNಾR, ೇಶನದ ಒಟುV ೌಲ Qಾವ ದ ಸಂhಪR ವರಗಳT ಈ 2ೆಳಕಂಡಂNೆ ಇೆ. ಈ 2ೆಳಕಂಡ Cಾಖ,ೆಗ]ೆaಡ$ೆ ಶುದdಕಯಪತದ $ೋಂದ)0ೆ ಉಪ 2ಾಯ ದl -2 ರವರನು. ಸಂಪL ಸುವ:ದು. 1) ಅbಕೃತ ದWಾRೇಜು =ಾ]ೆಯ89 ಕಯಪತವನು. Kೆರಳಚು?0ೊH , ಪ =ಾ]ೆಯಲೂ9 ಸn ಾಡKೇಕು. - 8 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 2) ಇRೕ>ನ 6 iಾವ>ತಗಳT. 3) ಆoಾpಪ. 4) QಾY2ಾq ಪ. 5) ೇಶನದ ಒಟುV ೌಲ2ೆ3 ಮುCಾಂಕ ಶುಲ3ಗಳT ಈ 2ೆಳಕಂಡಂCೆ. a) 5.15% ಮುCಾಂಕ ಶುಲ3 – ರೂ. 3,30,820-00 b) 0.5% Wೆs - ರೂ.32,120-00 c) 1% $ೋಂದ) ಶುಲ3 - ರೂ 64,240-00 d) t[ೕ ಶುಲ3 ರೂ.100-00" Therefore, the BDA accepts the fact that the petitioner in terms of the auction was not made good of the entire property that was put to auction i.e., 248 sq. meters but was granted only 159 sq.meters as he draws the other property was allotted to someone else. Therefore, BDA becomes diligent and notified the property for auction and the petitioner has paid the entire amount of Rs.1,05,00,000/- way back in the year 2021, the complete amount towards entire auction consideration of 258 sq. meters but petitioner gets only 159 sq.meters, it is accepted by the BDA. 4. The BDA way back on 2.3.2022 holds that there has been a mistake and observes that the amount of - 9 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 Rs.40,10,853/- would be refunded. The amount is not yet refunded since the petition is pending. 5. Learned counsel for the petitioner is ready and wiling to take 159 sq. meters that is allotted to him and further take the refund of Rs.40,10,853/- as observed in the aforesaid communication. However, would demand interest and cost of litigation. 6. In the light of the aforesaid reasons, I deem it appropriate to direct BDA to refund Rs.40,10,853/- along with interest at the rate of 12 % per annum, from the date it fell due till the date it reaches the doors of the petitioner apart from cost of litigation. 7. For the aforesaid reasons, the following: ORDER [i] Writ Petition is allowed in part with costs of Rs.50,000/- to be paid to the petitioner by the respondent-BDA. - 10 - HC-KAR NC: 2025:KHC:34364 WP No. 12136 of 2022 [ii] The auction notification in so far as the petitioner is concerned, stands confirmed to the extent of 159 sq. meters. The remainder 99 sq. meters which is valued at Rs.40,10,853/- is directed to be refunded by the BDA along with 12 % interest per annum from the date it had to be refunded till the date it would reach the doors of the petitioner which would be 2.3.2022 till the date it would reach the doors of the petitioner. Sd/- (M.NAGAPRASANNA) JUDGE CBC List No.: 1 Sl No.: 13