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CSJ Infrastructure Private Limited Vs Union Territory of Chandigarh

Date: January 14, 2026

Court: High Court
Bench: Punjab and Haryana
Type: Writ Petition
Judge(s)/Member(s): HARSH BUNGER
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Subject Matter

Demand Notice Issued Without Prior Hearing Treated as Show Cause Notice for Due Process

Principles of Natural JusticeShow Cause Notice

Summary

The writ petition was disposed of as the respondent-authorities undertook to treat the impugned Demand Notice as a Show Cause Notice, thereby ensuring the petitioner an opportunity of hearing and addressing the challenge based on the violation of principles of natural justice.

Summary of Facts and Dispute:
  1. Impugned Action: The Chief Administrator-cum-Commissioner, Municipal Corporation, Chandigarh, issued a Demand Notice/order dated 14.08.2025 calling upon the petitioner to deposit Rs.2,12,00,245/- on account of advertisement fee, penalty, interest, and GST for displaying advertisements within the petitioner's commercial shopping mall from 01.07.2025 to 15.08.2025.
  2. Petitioner's Argument: The petitioner contended that the impugned Demand Notice dated 14.08.2025 was issued without affording any prior notice, thereby violating the principles of natural justice.
  3. Core Question of Law: Whether a demand notice issued by the authorities without providing a prior opportunity of hearing to the petitioner violates the principles of natural justice.
Key Legal Issues & Findings:
Adherence to Principles of Natural Justice

The Court acknowledged the respondent's fair concession regarding procedural due process.

  • Procedural Deficiency: The impugned Demand Notice was issued without providing the petitioner a prior opportunity to be heard, raising concerns about natural justice.
  • Respondent's Undertaking: The respondents committed to treating the Demand Notice as a Show Cause Notice and ensuring a proper hearing before a final order is passed.
  • Resolution of Dispute: This undertaking effectively resolved the petitioner's grievance regarding the violation of natural justice, leading to the disposal of the petition.
Ruling:
  1. Outcome: The writ petition was disposed of, with the Demand Notice/order dated 14.08.2025 being treated solely as a Show Cause Notice.
  2. Directions: The concerned/competent authority is directed to finally decide the matter in accordance with law within four weeks from the date of the order, after affording due opportunity of hearing to all concerned parties and by passing a speaking order.
  3. Liberty: The petitioner is at liberty to submit a formal reply to the Show Cause Notice.

FULL TEXT OF THE JUDGMENT/ORDER OF PUNJAB AND HARYANA HIGH COURT

At oral request of learned counsel for the petitioner and learned senior counsel for the respondents, the main writ petition (CWP-30519-2025), which is otherwise listed for hearing on 06.02.2026, is preponed to today itself for consideration and the same is taken on Board.

2. Petition herein is, inter alia, seeking a writ in the nature of Certiorari for quashing the Demand Notice/order dated 14.08.2025 (Annexure P-1) issued/passed by the learned Chief Administrator-cum-Commissioner, Municipal Corporation, Chandigarh, whereby the petitioner has been called upon to deposit a sum of Rs.2,12,00,245/-, on account of advertisement fee, penalty, interest and GST for exhibiting/displaying advertisements in the enclosed commercial shopping mall premises of the petitioner for a period of forty six days, from 01.07.2025 upto 15.08.2025..

3. Learned counsel for the petitioner, inter alia, submits that the impugned Demand Notice dated 14.08.2025 (Annexure P-1) has been issued without affording any prior notice to the petitioner and is, therefore, in violation of the principles of natural justice.

4. Learned senior counsel for the respondents has very fairly stated that the respondent-authorities shall afford due opportunity of hearing to the petitioner before passing any final order and that the Demand Notice/order dated 14.08.2025 (Annexure P-1) shall be treated only as a Show Cause Notice, to which the petitioner may submit his formal reply (if so advised). It is further submitted that the concerned/competent authority shall finally decide the matter, in accordance with law, within a period of four weeks from today, after affording due opportunity of hearing to all concerned parties and by passing a speaking order.

5. Keeping in view the aforesaid submissions made by learned senior counsel for the respondents, no further orders are required to be passed in the present writ petition and the same is, accordingly, disposed of.

6. All the pending application(s), if any, shall also stand closed.