Duli Chand Verma vs Mahender Singh Verma

N.K. Kapoor, J.—This revision petition is against the order of the Appellate Authority, Faridabad, whereby order of the Rent Controller dated 13-2-1991 has been modified fixing the fair rent at Rs. 584/- per month.

Briefly put, the petitioner filed an application for fixing of fair rent u/s 4 of the Haryana Urban (Control of Rent and Eviction) Act, 1973. It was stated that the respondent was a tenant at the monthly rent of Rs. 400/- besides the house-tax. The shop in dispute was constructed in the year 1980 and the prevailing rent in the locality for a similar shop was not less than Rs. 1,000/- per month and so prayed, that the fair rent of the shop may be determined.

Respondent put in appearance, filed reply. The respondent admitted that he is in possession of the shop in dispute as a tenant at a monthly rent of Rs. 400/- but asserted that this amount included the house tax as well. It was denied that the prevailing rent in the locality of similarly ''situate shop was Rs. 1,000/- per month. The Rent Controller on the basis of evidence adduced by the parties and keeping in view the import of Section 4 of the Act allowed an increase of Rs. 184 thus determining the fair rent of the shop at Rs. 584/- per month.

Feeling dissatisfied with the order of the Rent Controller, filed appeal before the appellate Authority who, vide the impugned order, reduced the increase awarded by the Rent Controiler from Rs. 184/- to Rs. 66/- only.

The parties agree with regard to the method to be applied for calculating the increase in terms of Section 4(3) of the Act. Thus the only point which needs some scrutiny is as to whether the appellate Authority or the Rent Controller have properly applied the provisions of Section 4(3) for determining fair rent of the shop. As per wholesale Price Index during the year 1981, it is 278.4 and in the year 1989, i.e. the year preceding the presentation of the petition, it is 462.2. Thus the difference of the figures comes out to be 184 in round figures. 25% of such an increare can be given to the petitioner, i.e. 184X25/100=46% That increase of 46% is to be allowed in respect of rent which is already being i.e. 46X400/100=184/-. The total figure thus comes to Rs. 400 + Rs. 184=Rs. 584/-. This calculation is in terms of Section 4(3) of the Act as interpreted in the Division Bench Judgment reported as Gela Ram v. Sat Pal Sharma (1988) 94 P. L.R. 35, The calculation made by the appellate Authority relied upon an earlier Single Bench judgment reported as Vijay v. Ramji Lal 1987 H. R. R. 349 is wrong. Accordingly, I accept this revision-petition, set aside the order of appellate Authority and affirm the order of the Rent Controller determining the fair rent at Rs. 584/-per month. No costs.