Fixing the circle rate is a policy decision which is to be taken by the government, the Delhi High Court has remarked while declining to entertain a petition seeking direction to the city government to fix the minimum circle rates for flats commensurate with the category of the colony.
A Bench of Chief Justice D.N. Patel and Justice C. Hari Shankar noted that the government has already constituted a committee of experts which is working for the finalisation of the circle rates.
Suraj Parkash Manchanda, in his petition filed in public interest, had sought direction to the Delhi government to rationalise circle rates of immovable properties or built-up flats and to fix minimum rates of flats commensurate with the category of the colony or area.
Mr. Manchanda had also urged in his plea to constitute a permanent expert valuation committee for valuation of market value of properties in any area. He also wanted that circle rates are brought closer to current market rate of properties to prevent undervaluation or overvaluation.
After hearing the petition and the affidavit filed by the government, the High Court said, “It appears that fixing the circle rate is a policy decision which is to be taken by the respondent [government].”
“Moreover, fixing the circle rate is a complex phenomenon. The fixing of the circle rate depends on a variety of factors. After several discussions and deliberations, such type of circle rates ought to be fixed,” it said.
“It happens sometimes that the respondent [government] may constitute committee/committees to arrive at correct circle rate because circle rate has direct nexus with the market value with the stamp duty and slight error in the circle rate may generate several litigations before varieties of authorities and courts,” the High Court explained.
“Thus, fixing of the circle rate at the behest of the respondent ought to be done patiently,” it added.
“The circle rates cannot be fixed so hurriedly and therefore, we see no reason to give any direction or to issue any writ upon respondent much less the writ of mandamus to hurriedly finalise the circle rates more so when the respondent has already constituted a committee of experts and they are working for the finalisation of the circle rates,” it remarked.
