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[Cites 15, Cited by 15]

Supreme Court of India

Khajamian Wakf Estates Etc vs State Of Madras & Anr on 18 November, 1970

Equivalent citations: 1971 AIR 161, 1971 SCR (2) 790, AIR 1971 SUPREME COURT 161, 1971 SCD 156

Author: K.S. Hegde

Bench: K.S. Hegde, J.C. Shah, G.K. Mitter, A.N. Grover, A.N. Ray

           PETITIONER:
KHAJAMIAN WAKF ESTATES ETC.

	Vs.

RESPONDENT:
STATE OF MADRAS & ANR.

DATE OF JUDGMENT:
18/11/1970

BENCH:
HEGDE, K.S.
BENCH:
HEGDE, K.S.
SHAH, J.C.
MITTER, G.K.
GROVER, A.N.
RAY, A.N.

CITATION:
 1971 AIR  161		  1971 SCR  (2) 790
 1970 SCC  (3) 864
 CITATOR INFO :
 F	    1971 SC 989	 (8)
 RF	    1972 SC2097	 (7)
 RF	    1973 SC1461	 (1182)
 RF	    1973 SC2734	 (37)
 E	    1974 SC2098	 (22,27,28)
 RF	    1986 SC1117	 (10)
 RF	    1988 SC 782	 (52,66)
 F	    1988 SC1353	 (5)


ACT:
Constitution  of India, 1950, Art. 31A-Madras  Inam  Estates
(Abolition  and Conversion into Ryotwari) Act (26 of  1963);
Madras	Leaseholds (Abolition and Conversion into  Ryotwari)
Act  (27  of 1963) and Madras, Minor Inaras  (Abolition	 and
Conversion  into  Ryotwari) Act (30 of	1963)  --Legislative
competiency-If violative of Arts. 14, 19, 26 and 31.



HEADNOTE:
In  the	 State of Madras there were :three  types  of  inams
namely: (1)those  which	 constituted  of  the  grant  of
melwaram alone; (2) thosewhichconsisted	  of   the
grant  of both melwaram and kudivaram; and (3) minor  inams.
By Madras Inams (Assessment) Act, 1956, full assessment	 was
levied	on all inam lands except melwaram inams	 granted  on
service	 tenure,  without affecting in any  way	 the  rights
between	 the  inamdars	and the	 persons  in  possession  or
enjoyment  of  the land.  To complete  the  agrarian  reform
initiated  by the Madras Estates (Abolition  and  Conversion
into  Ryotwari)	 Act,  1948,  the  he  Madras  Inam  Estates
(Abolition  and	 Conversion  into Ryotwari)  Act,  1963	 the
Madras Leaseholds (Abolition and Conversion, into  Ryotwari)
Act,  1963,  and  the  Madras  Minor  Inams  (Abolition	 and
Conversion  into Ryotwari) Act, 1963, were  enacted.   Under
the first, acquisition of all rights of landholders in	inam
estates and the introduction of ryotwari settlement in	such
estates	 was provided for.  Section 18 of the  Act  provides
that  compensation  shall be determind for each	 inam  as  a
whole.	 The second Act provides for the termination of	 the
leases of certain leaseholds granted by the Government,	 the
acquisition of the rights of the lessees in such  leaseholds
and  the introduction of ryotwari settlement; and the  third
Act  provides for the acquisition of the rights of  inamdars
in  minor  inams  and  the  introduction  of  the   ryotwari
settlement.   The  Acts	 contain  provisions  reducing	 the
liability of the tenants in the matter of payment of arrears
of rent.
On the question of the validity of the Acts,
HELD  :	 (1) The impugned Acts could not  be  challenged  as
violative  of Arts 14, 19 and 3 1. They deal with  'estates'
as defined in Art. 31A of the Constitution, and provide	 for
their  acquisition  by the State' They seek to	abolish	 all
intermediate  holders and to establish	direct	relationship
between	 the Government and the occupants of  the  concerned
lands.	 They were undertaken as a part of  agrarian  reform
and  hence,  the  provisions  relating	to  acquisition	  or
extinguishment	of  the rights of the  intermediate  holders
fall within the protective wings of Art. 3 IA. [795 D-E]
B.   Shankara  Rao Badami & Ors. v. State of Mysore &  Anr.,
[1969] 3 S.C.R. 1, followed.
(2)  Assuming  that  as	 a  result  of	the  levy  of	full
assessment  under the 1956-Act, the lands cease to be  inams
and the intermediaries ceased to be inamdars, the lands	 are
still 'estate' within the meaning of Art. 31A, because, they
fall under one of the sub-cls. 1, II or III of Art.
79 1
3 IA(2) (a).  If the impugned legislation can be traced to a
valid  legislative  power  the	fact  that  the	 Legislature
wrongly	 described some of the intermediaries sought  to  be
removed does not make the law invalid. [795 E-H]
(3)  In	 the  Absence of any material to the  contrary,	 the
court must proceed on the basis that the President had given
his   assent  to  the  bills  after  duly  considering	 the
implication of the provisions contained therein. [796 E-G],
(4)  If	 the  arrears of rent are treated as rent  then	 the
State Legislature has power to legislate with respect to the
liability  of tenants to pay the arrears, under Entry 18  of
List 11, VII Schedule.	If they are considered as debts	 due
from   agriculturists	then  the  State   Legislature	 has
competence  to	legislate under Entry 30 of the	 same  list.
[796 G-H; 797 A]
(5)  In the case of the first of the impugned Acts, assuming
that  for  some of the properties included in  the  inam  no
compensation  was  provided, Art., 31A bars  the  plet	that
there was contravention of Art. 31(2).[796 C-D]
(6)In  regard  to the inams belonging to the  religious	 and
charitable  institutions, the impugned Acts do	not  provide
for  payment of compensation in a lumpsum but  provision  is
made  to  pay a portion of the compensation  every  year  as
tasdik.	  The method adopted is not violative of  Art  31(2)
and is at any rate protected by Art, 31A. [7917] A-C]
(7)  Article 26(c) and (d) of the Constitution provide	that
religious  denominations  shall have the right	to  own	 and
acquire	 properties  and administer them according  to	law.
But  that  does not mean that the properties owned  by	them
cannot be acquired by the State. [797 C-E]
(8)It  is  open	 to  the inamdars  to  agitate	before	the.
Tribunal  constituted under the last Act that  a  particular
property  is  not an inam at all and that the  Acts  do	 not
apply to them. [798 D-E]



JUDGMENT:

CIVIL APPELLATE JURISDICTION: Civil Appeals Nos. 2480 to 2509 2543 to 2546, 2547 to 2553, 2559, 2575, 2576 and 2602 of 1966, 214 to 217, 672 to 674, 1053, 1054, 1055, 1062, 1063,. 1457 and 1458 of 1967, and 162, 672' 673 and 1000 of 1968.

Appeals from the judgments and orders dated June 24, 1966 and July 20, 1966 of the Madras High Court in Writ Petitions Nos. 1542 of 1965 etc. etc. V. Vedantachari, K. C. Rajappa, S. Bala krishnanand N. M. Ghatate, for the appellants (in C.As. Nos. 2480-2482, 2484- 2509, 2575 and 2576, of 1966).

V. Vendantachari and S. Balakrishnan, for the appellants (in C.As. Nos. 2543, 2544 and 2546 of 1966). S. Balakrishnan and N. M. Ghatate, for the appellant (in C.A. No. 2545 of 1966).

S. V. Gupte and K. Jaram, for the appellants (in C.A. Nos. 2547 to 2553 and 2559 of 1966).

792

K. Parasaran, K. R. Chaudhuri and K. Rajendra Chaudhuri, for the appellants (in C.As. Nos. 2602 of 1966, 214 to 217 and 1055 of 1967).

M. S. K. Sastri S. Gopalan and M. S. Narasimhan, for the appellants (in C.As. Nos. 672 to 674 of 1967). M. S. Narasimhan, for the appellants (in C.As. Nos. 1053 and 1054 of 1967).

A. V. V. Nair, for the appellants (in C.As. Nos. 1062 and 1063 of 1967).

V. Vedantachart, A. T. M. Sampath and E. C. Agarwala, for the appellants (in C.As. Nos. 14517 and 1458 of 1967). P. C. Bhartari, for the appellant (in C.A. No. 162 of 1968).

K. Jayaram, for R. Thiagarajan for the appellants (in C.As. Nos. 672, 673 and 1000 of 1968 and 2483 of 1966). S. Mahan Kumaramangalam and A., V. Rangarm, for the respondent-State of Madras in, all the appeals). R. Kunchitapadam, Vineet Kumar and K. Jayaram, for respondent No. 2 (in C.A. No. 2484 of 1966). M. K. Ramamurthy, J. Ramamurthy and Vineet Kumar, for respondent No. 2 (in C.As. Nos. 2488 to 2490 of 1966). The Judgment of the Court was delivered by Hegde, J. In this batch of appeals, the validity of the Mad- ras Inam Estates (Abolition and Conversion Into Ryotwari) Act, 1963 (Madras Act 26 of 1963); the Madras Lease-Holds (Abolition and. Conversion into Ryotwari) Act, 1963 (Madras Act 27 of 19-63) and the Madras Minor Inams (Abolition and Conversion Into Ryotwari) Act, 1963 (Madras Act 30 of 1963) is challenged on the ground that the material provisions in those Acts are violative of Arts. 14, 19(1)(f) and 31 of the Constitution. The provisions in these Acts reducing the tenants" liability to pay the arrears of rent are also challenged on the ground that the legislature had no competence to enact 'those provisions. A few other minor contentions are also raised in these appeals to which reference will be made in the course of the judgment. All these contentions had been unsuccessfully urged before the High Court. Dealing with the allegation of infringement of Arts. 14, 19 and 31, the High Court in addition to holding that there has been no infringement of those Articles has further held that the challenge to the validity of these Acts on the basis of those 793 Arts. is precluded in view of Art. 31 (A). Dealing with the contention relating to the reduction of rent the High Court came to the conclusion that the legislature had power to enact the impugned provisions. The High Court also has given reasons for rejecting the other contentions advanced before it. Aggrieved by the decision of the High Court these appeals have been brought by special leave. The impugned statues deal with agrarian reforms. They purport to deal with Inam lands. It is profitless to go to the origin of Inams or about their early history. Suffice it to say that the Urdu word "Inam" means a gift. The Inams, rants were made by the Rulers for various purposes. Some of them were granted to institutions and some to individuals. Broadly speaking there were three types of Inams The first type consisted of the grant of the melwaram right alone. The second category consisted of the grant of both the melwaram as well as the kudivaram right. In addition to these two Inams, there were what are known "as Minor Inams. Sometime prior to 1862, the Government took up the question of enfranchising the Inams. The Inams Commissioner went into the rights of various persons claiming to be Inamdars. Thereafter the Madras Enfranchised Inams Act'. 1862 (Madras Act 47 of 1862)- was passed for declaring and confirming the title of the Inamdars. Section 2 of that Act provided that the title deeds issued by the Inams Commissioner or an authenticated extracted from the register of the Commissioner or Collector shall be deemed sufficient proof of the enfranchisement of land previously hold on Inam tenure. By Madras Inams (Assessment) Act, 1956 (Madras Act 40 of 1 95 6), full assessment was levied on 'all Inam lands except Warm inams granted on service tenure, without affecting in any way the rights as between the Inamdar and other, persons, if any, in possession or enjoyment of the Inam land.

Where the Inam comprised the entire villa e, the same was treated as an "estate" in the Madras Proprietary Estates' Village Service Act, 1894 (Madras Act 2 of 1894) and the Madras Hereditary Village Offices Act, 1895 (Madras Act 3 of 1895) as well as in Madras Estate Land Act, 1908 (Madras Act 1 of 1908). Mdras Estates Land Act, 1908 recognised the ryots' permanent tenure. That Act secured a permanent right of occupancy to every ryot who at the commencement, was in possession of "ryoti" I-and or who was subsequently admitted to the possession of such land. Then came the Madras Estate Land (Third Amendment Act, 1936 (Madras Act 18 of 1936). That Act amplified the definition of the "estate" in the Madras Estate Land Act, 1908, so as to bring within its scope A, Inam villages, of 794 which the grant was made, confirmed or recognised by the Government. It also provided that when a question arises whether any land was the land-holder's private land or not, the land should be presumed not to be Inamdar's private land until the contrary was proved. In 1937, the Madras Government appointed the, Prakasam Committee to enquire into and report the conditions which prevailed in the Zamindari and other proprietary areas in the State. That committee submitted its report together with a draft bill on the lines of its recommendations, but no action was taken on that report as the Congress Ministry which appointed it resigned. Then we come to the Madras Estates (Abolition and Conversion Into Ryotwari) Act, 1948 (Madras Act 26 of 1948). This Act applies to all estates i.e. Zamindari and under-tenure estates and all-Inam villages in which the grant consisted of melwaram alone. That Act as its preamble says is an Act to provide for the repeal of the permanent settlement, the acquisition of the rights of landholders in permanently settled and certain other estates in the Province of Madras and the introduction of the ryotwari settlement in such estates. To complete the agrarian reform initiated by this Act, the impugned Acts appears to have been enacted. The Preamble to Madras Act 26 of 1963 says that it is an Act to provide for the acquisition of all rights of landholders in Inam estates in the State of Madras and the introduction of the ryotwari settlement in such estates. That Act follows by and large the provisions in Act 26 of 1948. In Act 26 of 1963 Inams estates are divided into two categories namely (1) existing Inam estate and (2) a new Inam estate. The existing Inam estate refers to the estate consisting of the whole village and the new Inam estate means a part village Inam estate of Pudukkottai Inam estate. The "New Inam estate" was not an estate known to law earlier. It is merely a name given to part village Inam estate a Pudukkottai Inam estate for drafting convenience.- Act 27 of 1963 is an Act to provide for the termination of the leases of certain lease-holds granted by the Government, the acquisition of the rights of the lessees in such lease- holds, and the introduction of the ryotwari settlement in such leaseholds. Act 30 of 1963 is an Act to provide for the acquisition of the rights of the Inamdars in minor Inams and the introduction of the ryotwari settlement in such Inams.

We do not think it necessary to go into the contention that one or more provisions of the impugned Acts are violative of Arts. 14, 19 and 31 as in our. opinion these Acts are completely protected by Art. 31'(A) of the Constitution which says that "Notwithstanding anything contained in article 13, no law providing for-

7 95

(a) the acquisition by the State of any estate or of any rights therein or the extinguishment or modification of any such rights........

shall be deemed to be void on the ground that it is inconsistent with, or takes away or abridges any of the rights conferred by article 14, article 1-9 or article 3 1."

The expression "estate" is defined in sub-Art. (2) of Art31 (A). That definition includes not merely Inams but also land held under ryotwari settlement as well as land held or let for the purpose of agriculture or for purposes ancillary thereto, including(, waste land, forest land, land for pastures or site or buildings, and other structures occupied by the cultivators of land, agricultures and village artisans.

The impugned Acts are laws providing for the acquisition by the State of an "estate" as contemplated' by Art. 31 (A). They seek to abolish all intermediate holders and 'to establish direct relationship between the Government and the occupants of the concerned lands. These legislations were undertaken as a part of agrarian reforms. Hence the provisions relating to acquisition or the extinguishment of the rights of the intermediate holders fall within the protective wings of Art. 31 (A)-see B. Sankara Roo, Badami and ors. v. State of Mysore and anr. (1).

It is next contended on behalf of the appellants that the lands, on which full assessment was levied under Act 40 of 1956 ceased to be inams and therefore provisions of the Madras Act 26 of 1963 cannot be applied to the same. We have not thought it necessary to go into the question whether as a result of Madras Act 40 of 1956, certain Inams have ceased to be Inams, as in our opinion, whether they continued to be Inams or not they are still "estate" within the meaning of Art. 31 (A) because they fall either under sub-clauses (1) or (II) or (111) of Clause (a) of Art. 31 (A) (2) and that being so the provisions of the impugned Acts cannot be challenged on the ground that they infringe Arts. 14, 19 and 31. The contention that as the State purported to abolish Inams and not other intermediaries the law cannot be held to be valid if the intermediaries sought to be removed are not Inamdars is an untenable one. If the impugned legislation can be traced to a valid legislative power, the fact that the legislature wrongly described some of the intermediaries sought to be removed does not make the law invalid. From the above observations, it should not be understood that we have come to the conclusion that the intermediaries concerned were not Inamdars. We have not gone into that question. From the provisions of (1) [1969] 3 S.C.R. 1.

796

The impugned Acts, it is quite clear that the intention of the legislature was to abolish all intermediaries including the owners of those "estates" that were subjected to full assessment by Act 40 ,of 1956.

It was next urged that Art. 31(A) does not protect a legis- lation where no compensation whatsoever has been provided for taking the "estates". We do not think we need go into that question. This contention bears only on the provisions of the Madras Act 26 of 1963. Section 18 of that Act provides that compensation shall be determined for each Inam as a whole and not separately for each of the interests in the Inams. The validity of this section was not challenged before us. All that was urged was that for some of the pro reties included in the Inam, no compensation was provided. Even if we assume this contention to be correct, it cannot be as that no compensation was provided for the acquisition of the lnam as a whole. Hence Art. 31(A) bars the plea that there was contravention of Art. 31(2) in making the acquisition in question. One of the contentions taken on behalf of the appellants that the impugned Acts to the extent they purport to acquire mining lands are outside the purview of Art. 31 (A). It is not known whether the lands in which mining operations are going on were let or held as "estates". There is also no evidence to show that the owners of those lands were entitled to the mines. Hence, it is not possible to uphold the contention that lands concerned in some of the appeals have been acquired without paying compensation.

In order to avoid the bar of Art. 3 1 (A), a curious plea was put forward. It was urged that when the concerned bills were submitted to the President for his assent as required by the first proviso to Art. 31 (A), the President was not made aware of the implications of the bills. This contention is a wholly untenable one. There is no material before us from which we could conclude that the President or his advisers were unaware of the implications of those 'bills. We must proceed on the basis that the President had given his assent to those bills after duly considering the implication of the provisions contained therein. it was next urged that the provisions in the impugned Acts reducing the liability of the tenants in the matter of payment of the arrears of rent, whether decreed or not was beyond the legislative competence of the State legislature. This contention is agairt untenable. Those attears are either affairs of rent or debts due from agriculturists. It they are treated as affears of rent then the State legislature had legislative power to legislate in respect of the same under Entry 18 of List II of the VIIth Schedule. If they are considered as debts due from agriculturists then the 797 State legislature had competence to legislate in respect of the same under Entry 30 of the same list.

In regard to the Inams belonging to the religious and chari- table institutions, the impugned Acts do not provide for payment of compensation in a lumpsum but on the other hand provision is made to pay them a portion of the compensation every year as Tasdik. This is only a mode of payment of the compensation. That mode was evidently adopted in the interest of the concerned institutions. We are unable to agree that the method is violative of Art. 31(2). At any rate that provision is protected by Art. 31-A. It was next urged that by acquiring the properties belonging to religious denominations the legislature violated Art. 26

(c) and (d) which provide that religious denominations shall have the right to own and acquire movable and immovable property and administer such property in accordance with law. These provisions do not take away the right of the State to acquire property belonging to religious deuomintions. Those denominations can own acquire properties and administer them in accordance with law. That does not mean that the property owned by them cannot be acquired. As a result of acquisition they cease to own that property. Thereafter their right to administer that property ceases because it is no longer their property. Art. 26 does not interfere with the' right- of the State to acquire property.

Mr. S. V. Gupte appearing for some of the appellants urged that the Impugned Act contravenes the second proviso to Art. 31(A). From the material before us it is not possible to hold that any property under the personal cultivation of any of the appellants had been acquired. Further there is no material to show what the ceiling is. Hence it is not possible for us to examine the correctness of that contention. If in any particular case, the second proviso to Art. 31 (A) has been breached, then to that extent, the acquisition will become invalid.

It was urged by Mr. Sastri appearing for some of the appel- lants that the impugned Acts do not acquire the lands concerned in some of the appeals. This contention was not 'gone into by the High Court. Dealing with that contention, the High Court in its judgment observed :

"But the applicability of the impugned Acts to the Inams in question cannot be conveniently investigated in the present writ proceedings. The question will have to be determined with reference to the terms of the 798 grant, the extent of the grant has to be ascertained by reference to the relevant materials. Section 5 of Madras Act, XXXI of 1963 (XXX of 1963 ?) makes special provision for determination of the question whether any non-ryotwari area is or is (not an 'existing Inam Estate 'or' part village Inam Estate' or a minor Inam or whole Inam village in Pudukkottai. It is stated at the bar that in most of the cases now 'before us the parties have applied under the provisions of the said Act for determination of the character of the Inams respectively held 'by them. It, is needless to point out that the Tribunal constituted under the Act will be entitled to decide that a particular property is neither an existing Inam estate' nor a part village Inam estate nor a whole inam village in Puddukkottai and completely out of the coverage of Acts XXVI and XXX of 1963. We a1so make it clear that the disposal of these writ petitions now does not preclude the Inamdars from agitating The question that a particular property is not an Inam at all and does not under any of the aforesaid four categories or falls under one or other of the categories as may be urged for the inamdars."

We agree with the High Court that the contention in question can be more appropriately gone into in the manner suggested by the High Court.

In the result these appeals fail and they are dismissed. But ,under the circumstances; we make no order as to costs in these appeals.

V.P.S.						    Appeals
dismissed
			    799