State of Goa & Anr. v. Dr. Alvaro Alberto Mousinho de Noronha Ferreira
Background
The respondent applied in March 2013 to the Goa government to convert agricultural land to non-agricultural use. While his application was pending, the State amended the law and substantially raised the conversion charges. The respondent gave a signed affidavit agreeing to pay the higher, revised rate and specifically undertook not to sue for a refund, paid the amount, and received his permission (Sanad). He later went to the High Court seeking a refund of the "excess" amount, arguing he should only have had to pay the old, lower rate, and the High Court ruled in his favour.
Decision Breakdown
The Supreme Court held that conversion charges are payable at the rate applicable on the date the authorities actually decide to grant permission (the Sanad), not the rate in force when the application was first filed, since the charge is linked to the grant of a benefit, not merely the filing of a request. The Court also held that the respondent could not go back on his own voluntary affidavit, in which he had agreed to pay the enhanced rate and expressly promised not to sue for a refund; there was no evidence of coercion. The appeal was allowed, the High Court's judgment was set aside, and the respondent's writ petition was dismissed.
Lesson Learnt
Government conversion/regulatory charges apply at the rate in force when permission is actually granted, not when the application was filed: delay can mean a higher bill. Also, a person who voluntarily signs an undertaking not to challenge a payment or seek its refund will generally be held to that promise later.