Chennai, Aug 22 (UNI) Madras High Court today ordered staus quo on a petition filed by AIADMK Rajya Sabha MP T T V Dinakaran, challenging the order of the Chennai District Collector to invoke the provisions of Section 29 of the Tamil Nadu Revenue Recovery(TNRR) Act and over the management of the property in which Dinakaran and his family members were residing.
While admitting the petition by Mr Dinakaran, Mr Justice A Kulasekaran ordered status Quo over the property and posted the matter to August 25 for further hearing.
In his petitioon, Mr Dinakaran submitted that a penalty of Rs 28 crore was imposed on him for alleged contravention of Foreign Exchange Regulation Act by the Special Director, Enforcement as per the provisionos of FERA.
He has been directed to pay the penalty to Central Government.
However, the order to pay penalty had not become final as an appeal against the same was pending before the High Court, he submitted.
The petitioner also cotended that in the disputed property in Adyar in Chennai there is a house and only a portion of it is being used as an office with normal aportunant of lands. He owns one third of the property and in a portion of the property other co-owners are also residing, he submitted.
The Collector had no jurisdiction to invoke the provisions of TNRR Act 1864, as under Sec.52 of the Act, only arrears of land tax can be penalised by the District Collector, he contended.
Then penalty imposed on him by the Special Director of Enforcement Directorate, was payable to the Central Government. Hence, the proceedings of the Chennai Collector order must be set aside, Mr Dinakaran Submitted.
He also sought an interim stay on the Collector's orders dated July 25 and quashing of the same.
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