HC junks enhanced property valuation in Ganjam, orders revision

Cuttack: Orissa high court has quashed the enhanced benchmark property valuation in Ganjam district, calling it "legally unsustainable" and directed authorities to initiate a fresh revision process in strict compliance with statutory provisions.

Justice Ananda Chandra Behera quashed the valuation orders issued by the District Level Valuation Committee (DLVC) and Sub-Divisional Valuation Committee (SDVC), and ordered the reconstitution of the committees as per law. He also ordered that the entire revision exercise for the 2024-2026 period be completed within three months.

To prevent disruption in property transactions, Justice Behera allowed Ganjam district collector to invoke Rule 40(2) and apply a temporary 10% hike on the 2022-2024 benchmark valuation within seven days. Failing that, sub-registrars across the district have been instructed to register sale deeds based on the old rates until fresh valuations are officially notified.

The judgment, delivered on Aug 26 by Justice Behera, came in response to a petition filed by Manoranjan Behera challenging the Jan 27, 2024 order of the DLVC, which had revised property rates across the district in excess of 100% in some areas on the basis of a Jan 16, 2024 resolution of the SDVC.

The high court held that the DLVC acted beyond its powers under the Odisha Stamp Rules, 1952. Citing Rules 40 and 41, Justice Behera noted that the DLVC can only revise valuations area-wise, not enhance them by a percentage — a power reserved for the collector-cum-chairman, and that too only to the extent of 10% when the committee fails to revise rates in time.

"Any deviation from the procedure laid down in the statute is not permissible," Justice Behera observed, adding that the DLVC's action lacked legal backing and procedural compliance. The judge also noted that the DLVC did not comply with Rule 37, which requires the inclusion of an expert in land and building valuation in the committee.