2025:KER:25165 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE MURALI PURUSHOTHAMAN MONDAY, THE 24TH DAY OF MARCH 2025 / 3RD CHAITHRA, 1947 WP(C) NO. 10539 OF 2024 PETITIONER: MAR BASELIOS INSTITUTE OF TECHNOLOGY AND SCIENCE NELLIMATTOM P.O., KOTHAMANGALAM, ERNAKULAM - 686 693 REPRESENTED BY ITS ADMINISTRATOR, PIN – 686 693. BY ADVS. C.ANIL KUMAR A.K.PREETHA DEVIKA MOHAN RESPONDENTS: 1 STATE OF KERALA REPRESENTED BY ADDITIONAL CHIEF SECRETARY TO GOVERNMENT, REVENUE DEPARTMENT, GOVERNMENT SECRETARIAT THIRUVANANTHAPURAM, PIN – 682 031. 2 DISTRICT COLLECTOR ERNAKULAM O/O. THE DISTRICT COLLECTOR, CIVIL STATION, KAKKANAD, ERNAKULAM, PIN – 682 030. 3 DEPUTY TAHSILDAR (REVENUE RECOVERY) REVENUE TOWER SH-16, KOTHAMANGALAM, ERNAKULAM, PIN – 686 666. 4 KERALA BUILDINGS AND OTHER CONSTRUCTIONS WORKERS WELFARE FUND BOARD, VAZHUTHACAUD, THIRUVANANTHAPURAM REPRESENTED BY ITS CHIEF EXECUTIVE OFFICER, PIN – 695 014. 2025:KER:25165 WP(C) NO.10539 OF 2024 2 5 ASSESSING OFFICER UNDER THE KERALA BUILDING AND OTHER CONSTRUCTION WORKERS WELFARE CESS ACT & ASSISTANT LABOUR OFFICER, GRADE I, CIVIL STATION, KAKKANAD KOCHI, PIN – 682 030. SRI. S.KRISHNA MOORTHY - SC SMT. MABLE C.KURIAN – SR. GP THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 24.03.2025, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: 2025:KER:25165 WP(C) NO.10539 OF 2024 3 JUDGMENT The petitioner was served with Ext.P2 assessment order under the Building and Other Construction Workers Welfare Cess Act, 1996. Later, the matter was considered by the 5th respondent, the Assessing Authority in the Adalat Scheme by waiving 50% of the interest on the assessed amount as evident from Ext.P6. Though the petitioner has remitted the amount as per Ex.P6 vide Exts.P7 to P9, the 5th respondent is insisting on remittance of Rs.5,84,715/- being the revenue recovery charges of the 3rd respondent for closing the proceedings against the petitioner. The learned counsel for the petitioner submits that the demand of recovery charges as ‘Tahsildar's fees’ 2025:KER:25165 WP(C) NO.10539 OF 2024 4 is illegal and arbitrary and that going by the dictum laid down by this Court in Ali Haji K.C v. The District Collector, Wayanad [2023 (1) KHC 552], the 3rd respondent is not entitled to collect the collection charges when the revenue recovery machinery was not availed for the purpose of collection of the amount due to the 5th respondent and the amounts were directly paid on settlement of dues at the Adalat. Accordingly, it is submitted that the demand made in Ext.P6 for 7.5% of the amount settled as per the terms of Adalat settlement as collection charges is illegal and arbitrary. 2. The learned Government Pleader submits that in view of the dictum laid down in Ali Haji (supra), since the matter has been settled in the Adalat after initiating revenue 2025:KER:25165 WP(C) NO.10539 OF 2024 5 recovery action, the petitioner is liable to pay 1% of the amount settled as per Ext.P6 towards service charges. In the light of the submissions and the decision in Ali Haji (supra), the writ petition is allowed and the requirement in Ext.P6 to the extent it demands 7.5% of the amount paid as per the terms of the Adalat settlement is set aside. It is ordered that the petitioner is liable to pay only 1% of the amount paid as per the terms of Adalat settlement towards service charges. The said amount shall be paid within a period of two months from today. Sd/- MURALI PURUSHOTHAMAN JUDGE SPR 2025:KER:25165 WP(C) NO.10539 OF 2024 6 APPENDIX PETITIONER’ S EXHIBITS :- EXHIBIT P1 TRUE COPY OF THE ASSESSMENT NOTICE NO. C1/26817/19 DATED 11.10.2019 ISSUED BY THE 5TH RESPONDENT. EXHIBIT P2 TRUE COPY OF THE ASSESSMENT ORDER NO. C1/26817/19 DATED 15.11.2019 ISSUED BY THE 5TH RESPONDENT TO THE PETITIONER. EXHIBIT P3 TRUE COPY OF THE COMMUNICATION NO. C1- 26817/2019 DATED 14.10.2022 ISSUED BY THE 5TH RESPONDENT TO THE PETITIONER. EXHIBIT P4 A TRUE COPY OF THE RECOVERY NOTICE DATED 29.12.2022, ISSUED BY THE 3RD RESPONDENT REQUIRING THE PETITIONER TO REMIT AN AMOUNT OF RS. 9049186/- BEING ARREARS OF BUILDING & OTHER CONSTRUCTION WORKERS WELFARE CESS ACT. EXHIBIT P5 A TRUE COPY OF THE INTERIM ORDER DATED 22.02.2023 IN W.P.(C). NO. 1637/2023. EXHIBIT P6 A TRUE COPY OF THE PROPOSAL DATED 23.02.2024 ISSUED BY THE 5TH RESPONDENT. EXHIBIT P7 TRUE COPY OF THE RECEIPTS (3 NOS.) NO. C1/26817/19 DATED 28.02.2024 FOR RS. 1015991/- + RS.77939/-. EXHIBIT P8 TRUE COPY OF THE RECEIPT NO. C1/26817/19 DATED 28.02.2024 FOR RS.3000000/-. EXHIBIT P9 RUE COPY OF THE RECEIPT NO. C1/26817/19 DATED 28.02.2024 FOR RS.2700000/-. EXHIBIT P10 A TRUE COPY OF THE RECEIPT DATED 13.04.2023 SHOWING REMITTANCE OF RS. 170/-. RESPONDENTS EXHIBITS: NIL.