Mumbai: Bollywood superstar Shah Rukh Khan is set to receive a ₹9 crore refund from the Mumbai suburban collectorate after an error was discovered in the calculation of the fee paid for the ownership conversion of his sea-facing bungalow, Mannat.
Calculation Error Leads to Refund
Khan had initially acquired Mannat, a Grade III heritage bungalow, in 2001 on a 99-year lease from the Bai Khorshed Bhanu Sanjana Trust. Due to heritage regulations prohibiting structural modifications, he constructed a multi-storey annexe behind the bungalow, which now serves as his family’s primary residence.
In 2019, Shah Rukh and Gauri Khan converted the leased property (Class 2) into full ownership (Class 1), a process that required paying a premium to the state. The levy was meant to be charged based on the land’s value, but due to a tabulation error, the premium was incorrectly calculated based on both the land value and construction costs, leading to an excess charge.
Gauri Khan’s Appeal and Refund Approval
The discrepancy was identified by the Khans in September 2022, prompting Gauri Khan to file an appeal with the Mumbai suburban collectorate. Following a review, the authorities acknowledged the error and approved a ₹9 crore refund.
Satish Bagal, the resident suburban deputy collector, confirmed the decision: “The premium was to be paid on the value of the land. Instead, it was calculated on the basis of the entire construction costs plus the value of the land. We are awaiting the formal government order, after which the excess ₹9 crore charged from Shah Rukh Khan will be refunded.”
Mannat, located in Bandra, is one of the most famous celebrity homes in India. The luxurious bungalow is a landmark that attracts fans from across the country. This refund approval comes as a significant relief for the superstar and highlights the importance of accurate calculations in property transactions.
Stay tuned for more updates on this developing story.
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