NEW DELHI MUNICIPAL COUNCIL vs ASSOCIATION OF CONCERNED CITIZENS OF NEW DELHI

The Supreme Court upheld the High Court's ruling that the NDMC (Determination of Annual Rent) Bye-laws, 2009 are ultra vires the New Delhi Municipal Council Act, 1994, specifically Section 63, which mandates that annual rent be determined based on the rent a property may reasonably be expected to fetch. The Court found that the introduction of the Unit Area Method (UAM) for determining property tax deviated from the statutory provisions, thus invalidating the Bye-laws. The judgment reinforces the principle that statutory powers must be exercised within the confines of the enabling legislation.