Why is the Maharashtra government likely to pay Shah Rukh Khan Rs 9 crore for Mannat?

New Delhi: Actor Shah Rukh Khan will get a refund of Rs 9 crore from the Maharashtra government for his Mumbai residence, Mannat. The Pathaan actor acquired the grade III heritage building on a 99-year lease from the Bai Khorshed Bhanu Sanjana Trust in 2001. As per heritage laws, you do not have a permit for any structural changes to the building but the SRK built a multi-storey annexe behind the bungalow.

The annexe serves as the family’s primary residence. The sprawling bungalow, jointly owned by the actor and his wife Gauri Khan at Band Stand, Bandra in Mumbai is on a land parcel leased by the state government to the original owner, who decided to sell the lavish property to Shah Rukh Khan. However, there was a twist in the story.

Why state is paying SRK refund of Rs 9 crore?

Once Shah Rukh Khan acquired the property and paid a conversion fee to the state to change the property’s status from a Class 2 leasehold to a Class 1 freehold. The residential property was then officially transferred into the names of Khans through a registered agreement. Before the transfer, the original owner levied an unearned income charge based on the difference between the market value and the ready reckoner price.

As per the state’s policy, Shah Rukh Khan paid a 25 per cent reckoner fee in 2019, which was around Rs 27.50 crore for the land. The fee allows the conversion of the leased land into complete ownership. However, soon an error in fee calculations was discovered and the actor filed a petition, which is likely to be approved by the Maharashtra government. In the plea, SRK and Gauri Khan sought a refund of approximately Rs 9 crore, pertaining to the extra payment made by the celebrity couple for their property.

Error in the fee calculation

In 2022, it was discovered by Shah Rukh Khan and Gauri Khan that there was an error in calculating the conversion fee. The authorities have mistakenly used the value of the bungalow, rather than the land, to calculate the conversion fee. This led to the Khans paying an extra fee of Rs 9 crore. After noticing the mistake, Gauri Khan made a formal representation to the collector of the Mumbai Suburban District seeking a refund of Rs 9 crore. The refund process is now in its final stages and official government approval is pending.

Shah Rukh Khan’s work front

Meanwhile, on the work front, Shah Rukh Khan will be reportedly next seen in King, which also stars Suhana Khan, as per reports. He also has Tiger VS Pathaan, alongside Salman Khan.