Octroi abolition in Punjab : Hearing adjourned sine die

Chandigarh, Aug 31 (UNI) The Punjab and Haryana High Court today adjourned sine die the hearing on the public interest litigation (PIL) petition seeking directions to quash the Punjab government's decision to abolish octroi throughout the state from tomorrow.

However, in a related development, another bench ordered the status quo till September 5 on the collection of octroi by the contractors in Dhuri town of Sangrur district. The bench issued notices to the state government and other respondent for September 5 when the petition filed by Gurdev Singh and two others presently collecting octroi at Dhuri under a contract, would come up for hearing.

The PIL against abolition of octroi has been filed by Bathinda-based former municipal councilor Mathura Dass Setia, who had also in 2001 fought similar decision by the state government. The high court had then quashed the abolition of octroi order. Though the Punjab government moved the Supreme Court against the high court order and the same has been admitted for hearing, however no stay was granted and octroi was restored.

It was argued on behalf of the contractors for collection of octroi at Dhuri, that the contract with the municipal council, Dhuri from May 12, 2006 for an year, with specific provision in the agreement that one cannot back out of the contract. As such, the termination of the contract by the municipal council was illegal.

UNI XC HS PR RS2053