Union Of India & Ors vs State Of U.P. & Ors

The Supreme Court upheld the decision of the Allahabad High Court, affirming the recovery of water and sewer charges by the Jal Sansthan under the U.P. Water Supply and Sewerage Act, 1975. The Court ruled that Article 285 of the Constitution does not exempt the Railway Administration from paying these charges, as they are not in the nature of a tax but service charges for services rendered. The appeal was dismissed, confirming the liability of the appellants to pay the charges for the period from October 1994 to March 1999.