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Madurai Multi Functional Complex ... vs The Madurai Corporation on 20 February, 2025

The terms of the agreements between the parties would clinch the issue and not who put up the construction (D.S.Krishna v. Digvijay Industries, 1997 (3) ALT 756). Though the construction of the building over the railway land was made by the lessee ie., Ircon, the title over the building remains only with the Railways. It is relevant to note here such a stand has been explicitly taken by the Railways themselves. It is not our inference. Railway has asserted its title over the site as well as the building before us also. In these circumstances, the question of levying property tax by the local body does not arise.
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