Tarun Karthick
Sri Vijaya Puram, 10 October 2025
Hon’ble Member of Parliament, Mr. Bishnu Pada Ray, has referred to as upon the Andaman & Nicobar Administration to undertake a direct evaluation and authorized reform of the prevailing system of fixing and making use of “Circle Rates” (benchmark land values) throughout the Islands, alleging severe authorized, constitutional, and monetary irregularities within the present follow.
In a letter addressed to the Chief Secretary forward of a gathering scheduled on October 10, 2025, relating to the functioning of the Registration and Revenue Departments, Mr. Ray acknowledged that the present technique of figuring out “circle rates” lacks clear authorized backing underneath the Indian Stamp Act or the Registration Act. He identified that the Indian Stamp Act governs devices and never land, and that the A&N Administration has not adopted or framed any guidelines authorising the fixation of such charges. Consequently, he argued, the prevailing “circle rate” circulars are issued with out statutory authority, thereby violating Article 265 of the Constitution, which prohibits the gathering of taxes with out the authority of regulation.
The MP additional highlighted that the lawful energy to find out land charges lies underneath Section 45 of the Andaman & Nicobar Islands Land Revenue and Land Reforms Regulation, 1966, which mandates a clear course of involving public notification, inviting objections, and approval by the Administrator. Since this due course of has reportedly not been adopted, Mr. Ray termed the current circle charges as each procedurally and legally faulty.
Drawing consideration to the fiscal and administrative implications, the MP noticed that inflated and unnoticed circle charges have distorted property valuation and taxation within the Islands. He additionally claimed that such charges have been used as a foundation for financial institution mortgage valuations in a latest monetary rip-off at present underneath investigation. In this context, he urged the Administration to provoke a forensic audit into previous revisions of circle charges and repair accountability for the issuance of unauthorised circulars.
As corrective measures, Mr. Ray proposed the next steps:
- Adoption of correct statutory procedures underneath Section 45 of the 1966 Regulation.
- Withdrawal of all non-statutory circle fee circulars.
- Framing of clear and clear guidelines underneath the Indian Stamp Act.
- Integration of duly notified land charges into the Registration Department’s on-line system.
Emphasizing the gravity of the problem, Mr. Ray underscored that the matter carries important authorized and monetary implications for the Union Territory and urged the Administration to behave promptly to uphold constitutional and statutory ideas whereas stopping future irregularities.