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Karnataka High Court
Sri Santhosha S V vs The State Of Karnataka on 20 January, 2026
-1-
NC: 2026:KHC:2891-DB
WA No. 1501 of 2024
HC-KAR
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 20TH DAY OF JANUARY, 2026
PRESENT
THE HON'BLE MR. JUSTICE D K SINGH
AND
THE HON'BLE MR. JUSTICE S RACHAIAH
WRIT APPEAL NO. 1501 OF 2024 (LB-RES)
BETWEEN:
1. SRI. SANTHOSHA S V
S/O. V S KARIYAPPA
AGED ABOUT 51 YEARS
R/AT NO 70, 17TH CROSS
4TH STAGE, 4TH BLOCK,
BASAVANAGUDI
BENGALURU - 560 079.
Digitally
signed by
SREEDHARAN ...APPELLANT
BANGALORE
SUSHMA (BY SRI. CHANDAN B K, ADVOCATE)
LAKSHMI
Location: High
Court of AND:
Karnataka
1. THE STATE OF KARNATAKA
REPRESENTED BY ITS SECRETARY
DEPARTMENT OF URBAN DEVELOPMENT
M S BUILDING
BANGALORE - 560 001.
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WA No. 1501 of 2024
HC-KAR
2. THE COMMISSIONER
MYSORE URBAN DEVELOPMENT AUTHORITY
J L B ROAD, K G KOPPAM
CHAMRAJAPURAM MOHALLA,
MYSURU - 570 005.
3. THE SPECIAL TAHSILDAR
MYSORE URBAN DEVELOPMENT AUTHORITY
J L B ROAD, K G KOPPAM
CHAMRAJAPURAM MOHALLA,
MYSURU - 570 005.
...RESPONDENTS
(BY SRI. SUDEV HEGDE, AGA FOR R1;
SRI. T P VIVEKANANDA, ADVOCATE FOR R2 & R3)
THIS WRIT APPEAL IS FILED UNDER SECTION 4 OF THE
KARNATAKA HIGH COURT ACT, PRAYING TO SET AISDE THE
ORDER OF THE LEARNED SINGLE JUDGE DATED:19.07.2024 IN
WP.NO.9541 OF 2017 AND ETC.,
THIS APPEAL, COMING ON FOR PRELIMINARY HEARING,
THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE D K SINGH
and
HON'BLE MR. JUSTICE S RACHAIAH
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NC: 2026:KHC:2891-DB
WA No. 1501 of 2024
HC-KAR
ORAL JUDGMENT
(PER: HON'BLE MR. JUSTICE D K SINGH)
The present intra-court appeal has been filed by the
appellant / petitioner, aggrieved by the judgment and order
dated 19.07.2024, passed by the learned Single Judge in Writ
Petition No.9541/2017.
2. The petitioner was a successful bidder in auction
proceedings conducted by the Mysore Urban Development
Authority - respondent No.2, for a site bearing No.967,
measuring 53.95 square meters, situated at Chikkahardanhally,
I Stage, Mysuru. The total sale consideration agreed, as per the
auction, was Rs.14,40,000/-. The petitioner had paid a sum of
Rs.3,60,000/- as advance and thereafter, the petitioner had
paid the balance amount of Rs.10,80,000/- after obtaining loan
from HDFC Bank. It appears that the site which was auctioned
was not physically available for taking possession thereof by
the petitioner. The petitioner, thereafter, approached the
respondent No.2 for handing over him the physical possession
of the site which was bought by him in auction proceedings
conducted on 16.03.2013. The second respondent had issued
endorsement dated 12.02.2018 intimating the petitioner that
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HC-KAR
the amount paid by the petitioner would be refunded with bank
rate of interest, as per the provisions of the Karnataka Urban
Development Authority (Disposal of Corner Sites and
Commercial Sites) Rules, 1981 (for short 'Rules of 1981').
These Rules would provide that in case a property which was
auctioned in public auction was not available, the amount paid
by the auction purchaser would be refunded with interest.
3. Considering the said provision, an endorsement
came to be issued on 12.02.2018, which was impugned in the
writ petition.
4. Learned Single Judge, vide impugned judgment and
order, considering the provisions of the aforesaid Rules of
1981, had directed the respondent No.2 to pay the amount of
Rs.20,95,130/- as per the calculations, which is extracted
hereunder:
Sale Consideration 14,40,000
Stamp and Registration 80,640
Additional Registration 14,785
Property Tax 3,885
Mysore Mahanagara Palike 7,300
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HC-KAR
Loan Interest 5,47,682
Total 20,95,130
5. It has been further observed that out of the total
sum of Rs.20,95,130/-, the petitioner had borrowed
Rs.10,80,000/- on which the petitioner had paid loan interest of
Rs.5,47,682/-. Therefore, the learned Single Judge has
directed the respondent No.2 to pay interest at the rate of 9%
per annum only on amount of Rs.5,00,000/-.
6. The learned counsel for the appellant submits that
the payment of interest has been confined only to
Rs.5,00,000/-, whereas the petitioner had paid Rs.14,40,000/-
towards sale consideration, Rs.80,640/- towards Stamp and
Registration, Rs.14,785/- towards additional charges on
Registration, Rs.3,885/- towards Property Tax, Rs.7,300/- and
Rs.838/- towards Mysore Mahanagara Palike Fees and the total
amount comes to Rs.15,47,448/-, beside the interest to the
bank of Rs.5,47,682/-. Therefore, the appellant is entitled to
receive the interest on Rs.15,47,448/- and not only on
Rs.5,00,000/- as directed by the learned Single Judge.
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7. The appellant has paid the sale consideration of
Rs.14,40,000/-. Besides the sale consideration, the petitioner
has also paid the stamp duty and registration charges of
Rs.80,640/- and additional registration charges Rs.14,785/-,
property tax of Rs.3,885/- and Mysore Mahanagar Palike fees of
Rs.7,300/- + Rs.838/-, besides the interest to the Bank at
Rs.5,47,682/-. Therefore, the petitioner would be entitled for
payment of interest at the rate of 9% on the aforesaid amount
of Rs.15,47,448/-.
8. Thus, we modify the impugned judgment and order
passed by the learned Single Judge dated 19.07.2024 in Writ
Petition No.9541 of 2017 and direct the respondent No.2 to pay
the total amount of Rs.20,95,130/- + 9% interest on the said
amount minus Rs.5,47,682/- from the date of payment till date
of realization. The second respondent should make the
payment of the aforesaid amount, as directed above, within a
period of six weeks from today.
9. With the above mentioned observations, the Writ
Appeal is disposed of.
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In view of the disposal of the appeal, pending application
does not survive for consideration and it is also disposed of.
Sd/-
(D K SINGH)
JUDGE
Sd/-
(S RACHAIAH)
JUDGE
BSS
List No.: 1 Sl No.: 2
