Letter (Ms.) No. 430/2000, Collection of Old Lease Rent, 2001
The Revenue Department, Government of Tamil Nadu, issued Letter (Ms.) No. 430/2000 on 31 October 2001, directing the Special Commissioner and Commissioner of Land Administration to instruct District Collectors and District Revenue Officers on collecting rent for government land leases awaiting renewal. Lessees must continue paying the old lease rent until renewal, and any difference must be collected after the renewed rent is fixed.
What the letter governs
The Revenue Department, Government of Tamil Nadu, issued Letter (Ms.) No. 430/2000 on 31 October 2001 to address unpaid rent accumulating when government land leases expire but are not promptly renewed. The instructions apply to lease rent collection by District Collectors and District Revenue Officers, under directions issued through the Special Commissioner and Commissioner of Land Administration.
Why the instructions were issued
The Revenue Department had previously required annual Demand, Collection and Balance particulars for lease rent from all District Collectors, followed by a consolidated report to the Government. Reports received showed that rent was not being collected in some cases after leases expired because renewal remained pending.
Renewals could be delayed for administrative reasons. Some lessees had also challenged revised lease rent by appealing to the Special Commissioner and Commissioner of Land Administration or to the Government. These delays allowed rent arrears to accumulate.
Key collection requirements
Letter (Ms.) No. 430/2000 requires instructions to be issued to all District Collectors and District Revenue Officers covering the following points:
- A lessee must continue paying the old lease rent while renewal is pending.
- After renewal, the authorities must collect the difference between the old rent already paid and the renewed lease amount.
- District Collectors and District Revenue Officers should begin renewal action at least three months before the date on which lease rent is due for revision, where the lease is fit for renewal.
- A copy of the instructions issued to district authorities must be sent to the Government immediately.
Related provision for future leases
Government Order Ms. No. 324, Revenue, dated 10 September 2001, had already required a new lease condition. Until renewal, the lessee would tentatively pay the old lease amount with a 12% notional increase added for each year. Letter (Ms.) No. 430/2000 specifically addresses existing cases where renewal was already pending and rent had not been collected.
Who may be affected
Lessees occupying government lease land while renewal is pending may be asked to pay the old lease rent without waiting for renewal. Once renewal is completed, they may also have to pay the difference arising from the revised lease amount.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Can I stop paying lease rent while my government land lease renewal is pending?
No. Letter (Ms.) No. 430/2000 directs that the old lease rent should continue to be collected until the lease is renewed.
What happens if the renewed lease rent is higher than the old rent?
After renewal, the District Collector or District Revenue Officer must collect the difference between the old rent paid during the pending period and the renewed lease amount.
When should officials begin action to renew an eligible lease?
District Collectors and District Revenue Officers should initiate action at least three months before the lease rent is due for revision, where the lease is fit for renewal.
Does the letter mention a temporary increase for leases awaiting renewal?
Yes. It refers to Government Order Ms. No. 324, Revenue, dated 10 September 2001, which required a lease condition providing for a tentative 12% notional increase per year over the old lease amount until renewal.
