DEWAN DAULAT RAI KAPOOR ETC. ETC. v. NEW DELHI MUNICIPAL COMMITTEE & ANOTHER ETC. ETC (2)

Citation: [1980] 2 S.C.R. 607

Court: Supreme Court of India

Bench: P.N. BHAGWATI, V.D. TULZAPURKAR, R.S. PATHAK

Case summary

One appeal relates to a case where the building is situate within the jurisdiction of the New Delhi Municipal Committee and is liable to be assessed to house tax under the Punjab Municipal Act, 1911 while the other two relate to cases where the building is situate within the...

Judgment text

DEWAN DAULAT RAI KAPOOR ETC. ETC. v. , NEW DELHI MUNICIPAL COMMITTEE & ANOTHER ETC. ETC. December 20, 1979 [P. N. BHAGWATI, V. D. TULZAPURKAR ANQ R. S. PATHAK, JJ. ] 8 Delhi Mu1dcipal Corporation Act 1957, Seclion 116 & Punjab Municipal Act 1911, Section 3(1)(b)-Assess1nent of buildinK for nu1nicipal tax-Annual value-Standard rent or contractual rent--Applicahility of rent control legislation. JVords & phrases--'Annual Valuei'-Reasonably-Meanin! J of. Section 3(1)(b) of the Punjab Municipal Act, 1911 defines ·'annual value"' to mean, in the case of a-ny house or builrJing "the gross annual rent at which such house or: building. . . . may reasonably be expected to let from year to year" subject. to certain specified deductions. The same definition of "annual value" is to be found in section 116 of the Delhi Municipal Corporation Act, 1957 but with Only difference that there, is a, second proviso to section 116 \vhich is absent in section 3(1)(b).

One appeal· related to a case where the building is situated within the jurisdiction of the, New Delhi Municipal Committee and is liable to be assessed to house tex under the Punjab Municipal Act, 1911 while the other two related to cases where the building is situated within the limits of the Corporation of Delhi and is assessable to house tax under the Delhi Municipal Corporation Act, 1917. The house tax under both statutes was levied with reference to the "annual value" of the building. The common question of law arising in the appeals related to the a-ssessment of_ annual value for levy of house tax where the building is governed by the provisions of Rent Control Legislation but where the standard rent bas not yet b~en fiXed.

The argume,it of the Revenue was (i) that if it was not penal for the landlord to receive the contractual rent from the tenant, even if it be higher than the standard rent determinable under the provisions of the Act, it would not be incorrect to say that the landlord could reasonably expect to let the building at the contractual rent and the contractual rent therefore provided a correct measure for determination of the annual value of the building, and (ii) the period of limitation for making an application for fixation of the standard rent had expired long prior to the commencement of the assess- • ment years and in each of the roses, the tenant was precluded by section 12 of the Rent Control Act from making an application for :fixation of the standard rent with the result that the landlord was lawfully entitled to con· tinue to receive ·the contrl\ctual rent from the tenant without any let or hinder- . ance. ' Allowing the appeals, HELD : I.

The Court would have examined the validity of this argu- L ment first on principle and then turned to the authorities, hut it proposed to reverse this order becau! e the decisions in the Life Insurance Corporation's ------·--------- 608 SUPREME COUi -:nd 1 or the tenant, as the case nir~y be, can persuade the Controller that the1~ are circumstances requiring adjustment in the ~n1ount so arrived at. There is therefore no material distinction between the West Bengal Premises Rent Control (Tem:;orary Provisions) Act, 1950 and the Delhi Rent Control Act, 1958 so far as the provisions regarding determination of standard rent are concerned and the decision in the Life Insurance Corporation's case must be held to be applicable in determination of the annual value in the 'present cases. [623D-H, 624A] 4. Jn the Gu11tur Municipal Council's case also, as in the present case Court has said that it is not cope of the jurisdiction of the assessing authority. [624G-I-l. 625A-C] 6.

The existing tenant n~11y be barred from making an application for fixation of the standard rent and n1ay. therefore, i. Je liable to pay contractual rent to tile Jantl! o:·d but the hypothetical tenant to whom the building is .... hypoth'''. '. :ally to be let, would not suffer from this disability created by the J bar of limitation and he would be entitled to rn. 1ke an application for . fixation of the standard rent at any time within two years of the hypothetical letting n·nd the limit of the standard rent deterniin;1ble under the Act, would therefore, inevitably enter into the bargain and circumscribe the rate of rent at \Vhich the building could reasonably be expected to be let. [625E-G] • _, 7. Tt is difficult to see how the annual value of the building could vary accordingly as it is tenanted or self occupied. The circumstance that in each 610 WPREME COLRT REPORTS [1980] ~ S. C. R. . A of the present cases, the teoont was debarred by the period of limitation . , from mak?

1g an application for fixation of the standard rent and the land- Jord wa! 'l consequently entitled to continue to receive the contractual rent cannot'. therefore, affect the applicability of the decision in the Life ! nsurlJtlce Corr-'Oration's case anJ the Guntur Municipal Council's case, and it must be • hcld that the annual value of the building in each of these cases was limited f by the measure of the standard rent deterrninaible under the Alt. [626B-C] 8. Even if the standard rent has not been fixed by the Controiler, the landlord cannot reasonably expect to receive from •_t hypothetical tenant anything more than the standard rent detern1inable under the Act and this \Vonld be so equally whether the building has been let out to a tenant who has lost his right to apply for fixation of the standard rent or the building is self c. iccupied by the owner. The assessing authority would.

in either case, hca,vc 'C to arrive at its own figure of the standard rent by applyin~ principles laid down I / in the Delhi Rent Control Act, 1958 for determination of standard rent and dctern1ine the 2nnual value of the building on the basis of ~uch figure of stand- I ard rent. [626G-H, 627A] 9. lt is ·.. :lea. r therefore that in each of the present cas». :s the annual value of . / the building must be held to be limited by the measure of the standard rent D determinable on the principles laid Cown in the Delhi Rent Control r\ct, 1958 and it cannot exceed such measure of standard re11t. [627A-B] Corporation of Calcutta v. Life Insurance· Corporation [1970] 2 SCC 44; Corporarion of Culcutta v. I'adn1a Devi [1962] 3 SCR 49; Guntur /l,funicipal (;ouncil v. Gun/ur Town Rate I'ayers' Association [19711 2 SCR 423; l\f. f.. f. -. ,. _.. Cha1vla v. 1. S. Sethi [1970j 2 SCR 390 refcrrc -tenants.

The principle of the decision in Padma Devi's case WM invoked by the assessee for contending that the annual value of the buHding could not be determined at a figure higher than the standard rent and this contention was upheld by the Court, though there WM no fixation of standard rent by the Controller under section 9 and the ~tatutory prohibition was only agai'llst receipt of rent in excess of the standard rent fixed under the Act. The Court pointed out that the standard rent stood defined by the latter part of section 2(10) (b) and by virtue of that provision it was statutorily determined at Rs. 2,800 per month though not fixed by the Controller under section 9 and proceeded to hold, by applying the principle of the decision in Padma Devi's case, that the landlord conld not reasonably expect to receive any rent higher than the standard rent from a hypothetical tenant and the annual value of the building could not, therefore, be fixed at a figure than the standard rent.

It will be seen that this decision marked a step forward from the decision in Padma ' Devi's ease because here the standard rent was not fixed by the Controller under section 9 and it was not penal for the landlord to receive any rent in excess of the statutorily determined standard rent of Rs. 2. 800 per. month and yet it was he:d by this Court that the standard rent determined the upper limit of the rent at which the landlocd could reasonably expect to let the building to a hypothetical tenant.

It may be pointed out that an attempt was made on behalf of the Corporation to distinguish the decision in Padma Devi's C3S·~ by contending that that decision was based on the interpretation of section 127 (a) of the Calcutta Municipal Corporation Act, 1923 while the provision which fell for interpretation in thi• case was section 168 of the Calcutta Municipal Corporation Act, 1951 which was different from section 127(a), in that it contained a proviso that "i'll respect of any land or building the standard rent of which has been fixed urider section 9 . . . . . . the annual value thereof shall not exceed the annual amount of the standard rent so fixed" which was absent in section 127(a).

The argument was that nnder the proviso the annual value was limited to the standard rent only in those cases where the standard rent was fixed under section 9 and since in the case before the Court the standard rent of the building was· not fixed under section 9, the proviso has no application and the assessing authority was not bound to take into account the Jimi- ' .. DEWAN DAULAT RAI V. N. D. M. C. (Bhagwati, J. ) 615 talion of the standard rent. This argument was negatived by the Court and it was held that the enactment of the proviso in section 168 of the Calcutta Municipal Corporation Act, 1951 dkl not alter the law and by the addition of the proviso, the meaning of the expression "gross rent at which the land or building might reasonably be expected to let" was not changed.

It was for this reason that we pointed out at the commencement of the judgment that the existence of the proviso in section 116 of the Delhi Municipal Corporation Act, 1957 is immaterial and we may proceed to deal with the appeals arising '! · under that Act as if the definition of "annual valne" did not contain J. - that proviso. -... That takes us to the third decision in Guntur Municipal Council v. Guntur Town Rate Payers' Association!! ) which extended still further the principle of the decision in Padma Devrs case. This was a case where the annual value was to be determined under the Madras District Municipalities Act, 1920 which applied in the city of Guntur. Section 82 sub-section (2) of the Act gave a definition of "ammaJ value" practica11y in the same terms as section 3(1) (b) of the Punjab Municipal Act, 1911 and section 116 of the Delhi Municipal Corporation Act, 1957 without the second proviso.

There was lllso in force in the city of Guntur, the Andhra Pradesh Buildings (Lease Rent and Eviction) Control Act, 1960, which provided inter alia for fixation of fair rent of buildings. It is necessary to refer to a material provisions of this Act. Section 4, subsection (1) conferred power on the Controller, on application by the tenant or landlord of a building, to fix the fair rent for such bnilding after holding such inquiry as he thought fit and sub-section (2) to (5) of section 4 laid down the formulae for determination of fair rent in different classes of cases. Sub-section (1) (a) of section 7 gave teeth to the determination of fair rent by providing that where the Controller has fixed the fair rent of a building, the landlord shall not claim, receive or stipnlate for the ! laymen!

of anything in excess of such fair rent and sub-section 2 (a) of that section recognised that where the fair rent of a building has not been fixed by the Controller, the agreed rent could be lawfully paid by the tenant to the landlord and it was only payment of a sum in addition to the agreed rent that was prohibited by that sub-section. Section 29 made it penal for any one to contravene the provisions of subsections 1(a) and 2(a) of section 7. Now there could be no doubt that if the fair rent of a building were fixed under section 4, sub- R section (1), the decision in Padma Devi's case would be clearly • _, (l) [1971] 2 S. C. R. 423. 2-91SCIJ80 ' 616 SUPREME COUhT REPORTS [1980] 2 S. C'. R. A applicable and the annual value would be limited to the fair rent so fixed. But. would the same principle apply where the fair rent were not fixed '! Would the annual value in such a case be liable to be • assessed in the ligh'. of the provisions contained in the Re'nt Act ?

That was the question which arose before the Court in the Gunlur , Municipal Council's case. The Guntur Municipal Council urged 8 that the decision in Padma Devi's case was not applicable and attempted to distinguish it by saying that under section 7, subsection (1) it was only after the fixation of fair rent of a building that the landlord was debarred from claiming or receiving payment of any rent in excess of such fair rent and since the fair rent of the building in that case had not been fixed, it was not penal for the 'F c landlord to receive any higher rent and the assessment of annual value was,. therefore, not "limited or governed by the measure provided by the provisions of the Act for determination of the fair rent" This attempt. however, did not find favour with the court and it was held that there was no distinction "between buildings the fair rent D of which has been actually fixed by the Controller and those in respect of which no such rent has been fixed.

" The Court pointed out: "It is perfectly clear that the landlord cannot lawfully expect to get more rent than the fair rent which is payable in accordance with the principles laid down in the Act. The assessment of valuation must take into account the measure of fair rent as determinable E under the Act. It may be that where the Controller has not fixed the fair rent, the municipal authorities will have to arrive at their own figure of fair rent but that can be done without any difficulty by keeping in view the principles laid down in section 4 of the Act for determination of fair rent.

" It will thus be seen that even though fair rent had not been fixed under the Act as in Padma F Devi's case, nor was it statutorily determined as in the Life lllsurance Corporation's case (there being no provision in the Andbra Pradesh Rent Act similar to the latter part of section 2(10){b) of the West Benga1 Rent Act) and it was clear from the provisions of the Rent Act that it was only after the fair rent of a building was fixed by G the Controller that the prohibition against receipt of any amount Jn J excess of fair rent became applicable and so long as the fair rent > was not fixed by the Controller it was open to the landlord to receive the agreed rent even though it might be higher than the fair renf, yet it was held by the court that in view of the provisions in the A Rent Act in regard to fair rent, the landlord could not reasonably H expect to receive from a hypothetical tenant anything more than the fair rent payable in accordance with the principles laid down in the Rent Act and the annual value was liable to be detennined on tbe DEWAN DAULAT RAJ V.

N. D. M. C. (Bhdgwati, J. ) 617 basis of fair rent as determinable under the Rent Act. The Court observed that the assessing authority would have to arrive at its own figure of fair rent by applying the principles laid down in subsections (2) to (5) of section 4 for determination of fair rent. This decision clearly represented a further extension of the principle in Padma Devi's case to a situation where no standard rent has been fixed by the Controller and in the absence of fixation of standard rent, there is no prohibition against receipt of higher rent by the landlord. It is in the light of these decisions that we must consider whether "' in case if a building in respect of which no standard rent has been fixed by the Controller under the Delhi Rent Control Act, 1958 the annual value must be limited to the measure of standard rent determinable under that Act or it can be determined on the basis of the higher rent actually received by the landlord from the tenant.

But before we proceed to examine this question, we must refer to a recent decision of this Court in Municipal Corporation, Indore & 1 Ors. v. Smt. Ratnaprabha & Ors. ( ) which apparently seems to strike a different note. That was a case relating to a building , situated in Indore and subject to the provisions of the Madhya Pradesh Aecommodation Control Act, 1961. The building was self occupied and hence there was no occasion to have its standard rent fixed by the Controller. The annual value of the building was sought to be assessed for rating purposes under the Madhya Pradesh Municipal Cor~ration Act, 1956 and section 138(b) of that Act provided that the annual value of any building shall, notwithstanding anything contained in any other law for the time being in force be deemed to be the gross annual rent at which such building might reasonably be expected to let from year to year, subject to certain specified deductions.

The argument of the assessee was that even though no standard rent in respect of the buildi! ll. g was fixed by the Controller, the reasonable rent contemplated by section 138(b) could not exceed the standard rent determinable under the Act and .. ' it was incumbent on the Municipal Commissioner to determine the annual ~'alue of the building on the same basis on which its standard rent was required to be fixed under the Act. This argument was ~ ~ought to be supported by relying ou the three decisions to which· we have already made a reference, Now it would appear that the decision in Guntur Municipal Council's case was clearly applicable ou the facts of this case and following that decision the Court ought to have held that the annual value of the building could not exceed ----- "' .. 1 (J) [l977J l s. c. R. 1011. [1980] 2 s. c. R.

the standard rent determinable under section 7 of the Act and the r assessing authority should have arrived at its own estimate of the • standard rent by applying the principles laid down in that section and determine the annual value on the basis of such standard rent. But the Court negatived the applicability of the decision in Guntur • Municipal Council's case and the earlier two cases by relying on the words "notwithstanding anything contained in any other law for the time being in force" in section 138(b).

The Court pointed out that while 'the requirement of the law is that the reasonable letting value should determine the annual value of the building, it has also been specifically provided that this would be so "notwithstanding anything contained in any other law for the time being in force" El " and observed that it would be a proper interpretation of these words "to hold that in a case where the standard rent of a building has been fixed under section 7 of the Madhya Pradesh Accommodation Control Act, and there is nothing to show that there has been fraud or collusion, that would be its reasonable letting value, but where this is not so, and the building has never been let out and is being used in n manner where the question of fixing its standard rent does not arise, it would be permissible to fix its reasonable rent without regard to the provisions of the Madhya Pradesh Accommo- ' dation Control Act, 1961.

This view will, in our opinion, give proper effect to the non-obstante clause in clause (b), with due regard to its other provision that the letting value should be "rea! onable". The Court leaned heavily on the non-0bstante clause in section 138(b) and distinguished the decision in Guntur Municipal Council's case and the earlier two cases on the ground that in none of the three Mintlcipal Acts which came up for coni- 1'' deration before the Conrt in these cases, there was any such nonobstante clause. We are not at all sure whether this decision represents the correct interpretation of section 138(b) because it is rather difficult to see how the non-obstante clause in that section can possibly affect the interpretation of the words "the annual value of any buHding shall...................... be deemed to be the ,' gross annual rent at which such building.... might reasonably .... ........ be expected to be let from year to year.

" The meaning of these words cannot be different in section 138(b) than what i' is in section 127(a) of the Calcutta Municipal Corporation Act, 1923 and section 82(2) of the Madras District, Municipality Act, 1920 and the only effect of the non-obstante clause would bo that even if there is anything contrary in any other law for the tim$ being in force, that should not detract from full effect being giTen to these words according to their proper meaning. But it is uot . 1 DEWAN DAULAT RA! V. N. D. M. C. (Bhagwati, J. ) 619 Q> necessary for the purpose of the present appeals to probe further into the question of correctness of this decision, since there is no non-obstante clause either in section 3(l)(b) of the Punjab Municipal Act, 1911 or in section 116 of the Delhi Municipal Corpora- ' tion Act, 1957· and this decision has therefore, no application.

Now let us turn to the present appeals and see how far the trilogy of decisions referred to earlier throws light on the solution of the problem before us. We may first refer to the relevant provisions of the Delhi Rent Control Act, 1958 for that was the Jaw in " force at the material time relating to restrictions of rent of buildings .. , situate within the jurisdiction of the Delhi Municipal Corporation and the New Delhi Municipal Committee. Section 2(k) defined 'standard rent' in relation to any premises to mean "the standard rent referred to in section 6 or where the standard rent has been increased under section 7, such increased rent.

" Sub-section (1) of section 4 provided that, subject to a single narrow exception whoch is not material for our purpose, "no tenant shall, notwithstanding any agreement to the contrary be liable to pay to his landlord for the occupation of any premises any amount in excess of the standard rent of the premises" and sub-section (2) of section 4 ' ' '> that annual value in the present cases. But more than the decision in the Life Insurance case decision, it the Guntur Municipal Council's case which is nearest to the present se and is almost indistinguishable. In that case also, so in the present cases, the standard rent of the building was not fixed by the Controller and under the Andhra Pradesh Rent Act which applied T in the town of Guntur, in the absence of fixation of the fair-rent, it was lawfully competent to the landlord to recover rent in excess of the fair-rent determinable under that Act.

Moreover, the Andhra Pradesh Rent Act did not prescribe any clear-cut formula to be applied mechanically for statutorily determining the standard rent, but it was left to the Controller to fix the standard rent having regard to (a) the prevailing rates of rent in the locality for the same or similar accommodation in similar circumstances during the 12 months prior to 5th April, 1944; (b) the rental value entered in the property tax assessment book of the concerned local authority relating to the .. , period mentioned in clause (a) and (c) the circumstances of the case, including any amount paid by the tenant by way of premium or any other like sum in addition to rent after 5th April 1944 with a provision for allowance of increase depending on the quantum of the rent so arrived at.

The discretion left to the Controller to fix the fair rent was thus much larger than that under the Delhi Rent Control Act, 1958 and yet it was held that, even though the fair rent was not fixed by the Controller, the annual value was limited by the measure of the faiir-rent determinable under the Act. The view taken was that there was no material distinction between buildings fair-rent of which has been actually fixed by the Controller and those in respect of which ' no such rent has been fixed and even if the fair-rent has not been fixed by the Controller, the upper limit of the fair-rent payable in ) accordance with the principles laid down in the Act is bound to enter into the determination of the rent which the landlord could reasonably expect to receive from a hypothetical tenant.

The principle of this decision applies wholly and completely in the present cases and following that principle, it must be held that the annual value of a building governed by the Delhi Rent Control Act 1958 must be limited by the measure of standard rent determinable under that Act. The landlord cannot reasonably expect to get more rent than the standard rent /· . payable in accordance with the principles laid down in the Delhi Rent DEWAN DAULAT RAJ v. N. D. M. C. (Bhagwati, J. ) 625 Control Act, 1958. It is true that the standard rent of the building not having been fixed by the Controller, the assessing authority would have to arrive at its own figure of standard rent by applying the principles laid down in the Delhi Rent Control Act, 1958 for determination of standard rent, but that is a task which the assessing authority would have to perform as a part of the.

process of assessment and in the Guntur Municipal Council's case, this Court has said that it is not a task foreign to the function of assessment and has to be carried out by the assessing authority. When the assessing authority arrives at its own figure of standard rent by applying the principles " laid down in the Act, it does not, in any way, usurp the functions of the Controller, because it does not fix the standard rent which would be binding on the landlord and the tenant, which can be done only by the Controller under the Act, but it merely arrives at its own estimate of standard rent for the purpose of determining the annual value of the building. ·That is a perfectly legitimate function within the scope of the jurisdiction of the assessing authority.

D· Now it is true that in the present cases the period of limitation' for making an application for fixation of the standard rent had expired long prior to the commencement of the assessment years and in such of the cases, the tenant was precluded by section 12 from making an applicatioh for fixation of the standard rent with the reiult that the landlord was lawfully entitled to continue to receive the contractual rent from the tenant without any let or hindrance. But from this fact-situation which prevailed in each of the cases, it does not follow .. that the landlord could, therefore, reasonably expect to receive the . ··~ same amount of rent from a hypothetical tenant. The existing tenant may be barred from making an application for fixation of the standard rent ancl may, therefore, be.

liable to pay the contractual rent to the landlord, but the hypothetical tenant to whom the building is hypothetically ta be let would not suffer from this disability created by the bar ·of limitation and he would be entitled to make an application for ' < fixation of the standard rent at any time within two years of the hypothetical letting and the limit of the standard rent determinable under the Act would, therefore, inevitably enter into the bargain and circumscribe the rate of rent at which the building could reasO! llably be expected to be let. This position becomes absolutely clear if we ' take a situation where the tenant goes out and the building comes to be self-occupied by the owner.

It is obvious that in case of a self· occupied building, the annual value would be limited by the measure of standard rent determinable under the Act, for it can reasonably be presumed that no hypothetical tenant would ordinarily agree to pay more rent than what he could be made liable to pay under the Act. ,- The anomalous situation which would thus arise on the contention of '• the Revenue would be that whilst the tenant is occupying the building the measure of the annual value would be the contractual rent but if the tenant vacates and the building is self-occupied, the annual ~alue • would be restricted to the standard rent determinable under the Act. It is difficult to see how the annual value of the building could vary accordingly as it is tenanted or self-occupied.

The circumstance that in each of the present cases the tenant was debarred by the period of limitation from making an application for fixation of the, standard rent and the landlord was consequently entitled to continu() to receive the contractual rent, cannot therefore affect the applicability ot the decisions in the Life Insurance Corporation's case and the Guntur Municipal Council's case and it must be held that the annual value of the building in each of these cases was limited by the measure of the standard rent determinable under the Act. The problem can also be looked at frC\111 a slightly different angle. When the Rent Control Legislation provides for fixation of standard rent, which alone and nothing more than . which the tenant shall be liable to pay to the landlord, it does so because it considers the measure of the standard rent prescribed by it to be reasonable. It lays down the norm of reasonableness in regard to the rent payable by the tenant to the landlord.

Any rent which exceeds this norm of reasonableness is regarded by the legislature as unreasonable or excessive. When the legislature has laid down this standard of reasonableness, would it be right for the Court to say that the landlord may reasonably expect to receive rent exceeding the measure. provided by this standard ? Would it be reasonable on the part of the landlord to expect to receive any rent in excess of the standard or norm of reasonableness laid down by the legislature and would such expectation be countenanced by the Court as reasonable ? The legislature obviously regards recovery of rent in excess of the standard rent as exploitative of the tenant and would it be proper for the Court to say that it would be reasonable ') on the part of the landlord to expect to recover such exploitative rent from the tenant ?

We are, therefore, of the view that, even if the standard rent has not been fixed by the Controller, the landlord cannot reasonably expect to receive from a hypothetical tenant anything more than the standard rent determinable under the Act and this would be so equally whether the building has been let out to a tenant who ha~ lost his right to apply for fixation of the standard rent or the building is self-occupied by the owner. The assessing authority would, in • • either case, have to arrive at its own figure of the standard rent by DEWAN DAULAT RAI v. N. D·M. C. (Bhagwati, J. ) 6 2 'l applying principles laid down in the Delhi Rent Control Act, l958 for A - 1 determination of standard rent and determine the annual value of the • building on the basis of such figure of standard rent.

It is, therefore, clear that in each of the present cases, the annual value of the building must be held to be limited by the measure of the standard rent determinable on the principles laid down: in the Delhi Rent Control Act, 1958 and it cannot exceed sucli measure of standard rent. We accordingly allow Appeals Nos. 1143 and 1144 of 1973 and declare in such of these two cases that the assessment of the Annual value of the building in excess of the standard rent determinable ' on the principles laid down in the Delhi Rent Control Act, 1958 was ; .. , illegal and ultra vires. So far as Appeal No.

1201 (N) of 1973 pre- c ferred by the Mnnicipal Corporation of Delhi is concerned, it relates to assessment of annual value of self-occupied building and since we have held that in case of self-occupied building also the annual value must be determined on the basis of the standard rent determinable und_er the provisiC111S of the Delhi Rent Control Act, 1958 an_d there we have agreed with the judgment of the Higli Court, that appeal must be dismissed. The assessee in each case will get his costs throughout. N. K. A. C. A. Nos. 1143 & 1144/73 allowed. C. A. 1201 (N) /73 dismissed.