- 1 - HC-KAR NC: 2026:KHC-D:1821 WP No. 100787 of 2026 IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 9TH DAY OF FEBRUARY, 2026 BEFORE THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI WRIT PETITION NO.100787 OF 2026 (GM-FOR) BETWEEN: THE JAI MALHAR FURNITURE, REPRESENTED BY RAJESHWARI RAJU KADOLKAR, AGE. 48 YEARS, OCC. BUSINESS, KULGI ROAD, TQ. DANDELI, DIST. UTTAR KANNADA-581325. (MSTC/JAI MALHAR FURNITURE/575519) …PETITIONER (BY SRI. K.H. BAGI, ADVOCATE) AND: 1. THE STATE OF KARNATAKA BY ITS SECRETARY, DEPARTMENT OF FOREST, M.S. BUILDING, AMBEDKAR VEEDHI, BENGALURU-560001. 2. THE ADDL. PRINCIPAL CHIEF CONSERVATOR OF FOREST, ARANYA BHAVAN, 4TH CROSS, MALLESHWARAM, BENGALURU-560003. 3. THE DEPUTY CONSERVATOR OF FOREST, HALIYAL DIVISION, HALIYAL, DIST. UTTAR KANNADA-581329. 4. THE DEPUTY CONSERVATOR OF FOREST, YALLAPUR DIVISION, YALLAPUR, DIST. UTTARA KANNADA-581359. 5. THE ASSISTANT CONSERVATOR OF FOREST, Digitally signed by CHANDRASHEKAR LAXMAN KATTIMANI Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC-D:1821 WP No. 100787 of 2026 GOVT. TIMBER DEPOT DANDELI, TQ. DENDELI, DIST. UTTARA KANNADA-581325. 6. THE RANGE FOREST OFFICE, GOVT. TIMBER DEPOT BHAGAWATI, TQ. HALIYAL, DIST. UTTAR KANNADA-581363. 7. THE RANGE FOREST OFFICE, GOVT. TIMBER DEPOT KULAGI, TQ. HALIYAL, DSIT. UTTAR KANNADA-581363. 8. THE ASSISTANT CONSERVATOR OF FOREST, GOVT. TIMBER DEPOT KIRUVATTI, TQ. YALLAUR, DIST. UTTAR KANNADA-581412. 9. THE ASSISTANT CONSERVATOR OF FOREST, GOVT. TIMBER DEPOT MUNDAGOD, TQ. MUNDGOD, DIST. UTTARA KANNADA-581349. …RESPONDENTS (BY SMT. GIRIJA S.HIREMATH, HCGP) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF CONSTITUTION OF INDIA, PRAYING TO ISSUE; A) A WRIT IN THE NATURE OF CERTIORARI OR ANY OTHER WRIT OR ORDER OR DIRECTION, QUASHING THE SALE INTIMATION LETTERS BEARING AUCTION NUMBER MSTC/BLR/DEPUTY CONSERVATOR OF FORESTS HALIYAL/ACF GOVT. TIMBER DEPOT DANDELI/23/DANDELI/25-26/58038 DATED 27.01.2026, MSTC/BLR/DEPUTY CONSERVATOR OF FORESTS HALIYAL/ACF GOVT. TIMBER DEPOT DANDELI/25/DANDELI/25-26/58048 DATED 28.01.2026, MSTC/BLR/DEPUTY CONSERVATOR OF FORESTS HALIYAL/ACF GOVT. TIMBER DEPOT DANDELI/28/DANDELI/25-26/58079 DATED 28.01.2026 AND MSTC/BLR/DEPUTY CONSERVATOR OF FORESTS HALIYAL/RANGE FOREST OFFICER VIRNOLI/8/KULGI/25-26/58627 DATED 29.01.2026 ISSUED BY THE RESPONDENT NO. 3, 5 AND 7 IN SO FAR AS 12% FOREST DEVELOPMENT TAX IS CONCERNED AT ANNEXURE-B, BY ALLOWING THE ABOVE WRIT PETITION, IN THE ENDS OF JUSTICE. B) SUCH OTHER WRIT OR ORDERS OR DIRECTION MAY DEEM FIT UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE, BE ISSUED IN THE INTEREST OF JUSTICE. - 3 - HC-KAR NC: 2026:KHC-D:1821 WP No. 100787 of 2026 THIS WRIT PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI ORAL ORDER The present writ petition is filed seeking the following prayer: “PRAYER For the reasons stated above it is humbly prayed that after calling for the records and proceeds of the case this Hon’ble Court be pleased to issue; a) a writ in the nature of certiorari or any other writ or order or direction, quashing the Sale Intimation Letters bearing Auction Number MSTC/BLR/Deputy Conservator of Forests Haliyal/ACF Govt. Timber Depot Dandeli/23/Dandeli/25-26/58038 dated 27.01.2026, MSTC/BLR/Deputy Conservator of Forests Haliyal/ACF Govt. Timber Depot Dandeli/25/Dandeli/25-26/58048 dated 28.01.2026, MSTC/BLR/Deputy Conservator of Forests Haliyal/ACF Govt. Timber Depot Dandeli/28/Dandeli/25-26/58079 dated 28.01.2026 and MSTC/BLR/Deputy Conservator of Forests Haliyal/Range Forest Officer Virnoli/8/Kulgi/25-26/58627 dated 29.01.2026 issued by the Respondent No. 3, 5 and 7 in so far as 12% Forest Development Tax is concerned at Annexure-B, by allowing the above writ petition, in the ends of justice. b) Such other writ or orders or direction may deem fit under the facts and circumstances of the case, be issued in the interest of justice.” 2. It is the case of the petitioner that he has participated in the Public e-Tender cum auction of timber Dandelion as per the - 4 - HC-KAR NC: 2026:KHC-D:1821 WP No. 100787 of 2026 schedule 27.01.2026, 28.01.2026 and 29.01.2026. The petitioner is successful bidder of the forest products from the respondents in auction bids by selecting the lots as per e-bills. The petitioner was surprised to receive sale intimation letters mail from the respondents authorities and they have levied FDT to an extent of 12% on the wood purchased by the petitioner is erroneous and contrary to the law. 3. Learned counsel appearing for the petitioner submits that levying FDT at 12% on purchase of wood is contrary to law declared by this Court in WP.No.43937/2016 reported in 2017 (4) AKR 738. 4. The Division Bench of this Court by order dated 04.10.2017 in the case of Sri B. Rudragouda Vs. State of Karnataka and others1 held that Section 98A of the Karnataka Forest Act, 1963 is unconstitutional and has struck down the same. The State had challenged the said order before the Hon'ble Apex Court. The Hon'ble Apex Court has only stayed the High Court Order dated 14.10.2017 insofar as refund is 1 AIR 2018 KAR 19 - 5 - HC-KAR NC: 2026:KHC-D:1821 WP No. 100787 of 2026 concerned. It is submitted that in the light of the above, there shall be a direction not to levy and there may be direction as prayed for. 5. Learned High Court Government Pleader appearing for respondents submits that the Hon'ble Apex Court had stayed the refund of the Forest Development Tax collected from the petitioner. Further, he does not dispute the fact that several petitions are disposed of. 6. Having heard the learned counsels on either side, perused the material on record. The prayer of the petitioner seeking to quash the sale intimation letter as far as imposition of FDT is concerned, in view of the appeal filed by the Government, the petitioner is not entitled for any relief. As far as demanding and collecting the Forest Development Tax in respect of the timber and other forest produces, auctions held by the Forest Department and the Government, timber depots across the State of Karnataka are concerned, holding demand, collection and refund of the Forest Development Tax would be subject to the final outcome of W.A.No.743/2021 and connected matter pending before this Court and Civil Appeal Nos.3974 to 4068 of - 6 - HC-KAR NC: 2026:KHC-D:1821 WP No. 100787 of 2026 2016 and Civil Appeal Nos.3214 to 3271 of 2018 pending before the Hon’ble Apex Court. Accordingly, this Court is passing the following: ORDER i. Accordingly, the writ petition is disposed of. ii. All I.As. in this petition shall stand closed. Sd/- JUSTICE LALITHA KANNEGANTI MEG CT: UMD List No.: 1 Sl No.: 7