SC issues contempt notices to UP govt, Noida authority

NEW DELHI: The Supreme Court has issued contempt notices to the Noida Authority and the Uttar Pradesh government for allegedly charging stamp duty on properties on the basis of present market rate in violation of its order.

A bench of justices HS Bedi and Chandramauli Prasad issued the notices and sought their response within eight weeks.

The court passed the order on a bunch of petitions filed by housing societies including Army Welfare Housing Organisation of Noida.

The owners have claimed that despite the apex court's direction, the Registration department is charging stamp duty on the basis of present market rate which is in violation of the apex court's order of charging stamp duty on the basis of cost of actual construction.

They alleged that the Noida authority and the state government are charging duty on the basis of valuation of the property on new circle rate that is Rs 25 thousand per square meter plus 2 lakh for covered parking.

"This inflated demand of the stamp duty amounts to violation of the apex court order and due to this demand, members of housing society are unable to execute the sub-lease deeds according to the court direction," the petitioners said.

The apex court had on September 10 given six months to the members of housing societies for execution of the tripartite deeds (among authorities, societies and allottees) on the basis of normal stamp duty without charging any extra amount or penalty.