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Gujarat High Court

Harumal Jhumromal Through Legal Heir vs State Of Gujarat on 3 March, 2015

Bench: Ks Jhaveri, A.G.Uraizee

      C/LPA/1403/2014                     JUDGMENT




      IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

       LETTERS PATENT APPEAL  NO. 1403 of 2014
                           In 
    SPECIAL CIVIL APPLICATION NO.  17523 of 2005
                         With 
          CIVIL APPLICATION NO. 13948 of 2014
                          In    
        LETTERS PATENT APPEAL NO. 1403 of 2014
 
FOR APPROVAL AND SIGNATURE: 
  
HONOURABLE MR.JUSTICE KS JHAVERI
 and
HONOURABLE MR.JUSTICE A.G.URAIZEE
=====================================================

1  Whether Reporters of Local Papers may be 
   allowed to see the judgment ?

2  To be referred to the Reporter or not ?

3  Whether their Lordships wish to see the fair 
   copy of the judgment ?

4  Whether this case involves a substantial 
   question of law as to the interpretation of the 
   Constitution of India or any order made 
   thereunder ?

=====================================================
 HARUMAL JHUMROMAL THROUGH LEGAL HEIR....Appellant(s)
                         Versus
           STATE OF GUJARAT....Respondent(s)
=====================================================
Appearance:
MR HARSHADRAY A DAVE, ADVOCATE for the Appellant(s) 
No. 1 ­ 1.1
Mr RAKESH PATEL, AGP for the Respondent(s) No. 1
=====================================================

      CORAM: HONOURABLE MR.JUSTICE KS JHAVERI
             and
             HONOURABLE MR.JUSTICE A.G.URAIZEE
 

                        Page 1 of 10
       C/LPA/1403/2014                            JUDGMENT



                        Date : 03/03/2015
 
ORAL JUDGMENT

  (PER : HONOURABLE MR.JUSTICE KS JHAVERI)

1. By   way   of   this   appeal   the   appellant   has  challenged   the   Judgment   and   order   dated   7th  November,   2014   passed   in   Special   Civil  Application   No.17523   of   2005   by   the   learned  Single   Judge,   whereby   the   learned   Single   Judge  has dismissed the petition. 

2. Brief facts of the case are that a parcel of land  bearing   Survey   No.262­B­3   of   Behrampur   Taluka,  Ahmedabad   which   was   later   on   given   Final   Plot  No.104 of Town Planning Scheme No.13 of Behrampur  Taluka was in the original form admeasuring 3318  sq.   mtrs.   The   said   land   was   originally   of   the  ownership of a partnership firm named Alka Prints  which partnership comprised of Mohammad Hanif and  Farid   Mohammad   as   the   partners.   The   partnership  had   multiple   liabilities   far   exceeding   its  assets.   Against   the   partners   of   the   said   firm,  therefore proceedings under the Presidency Towns  Act,   1909   were   instituted   under   Insolvency  Application   No.9   of   1968   before   the   City   Civil  Court, Ahmedabad. It is stated by the appellant  that adjudication order came to be passed on such  petition   on   05.12.1969.   A   receiver   was   also  appointed under the same order. Pursuant to such  order, the property in question namely the said  land was put to public auction which was held on  Page 2 of 10 C/LPA/1403/2014 JUDGMENT 20.01.1978. The appellant purchased the said land  for   a   consideration   of   Rs.   2.75   lacs.   He  deposited a sum of Rs.68,750/­ on the date of the  auction   itself.   Remaining   amount   was   deposited  with the received on 07.02.1978. The auction was  challenged   at   one   stage,   however,   once   such  challenge   was   dismissed,   the   deed   of   conveyance  was   executed   in   favour   of   the   appellant   on  9.1.1980.

3. Learned   Counsel   Mr.   Dave   for   the   appellant   has  referred to and relied upon the judgment of the  Hon'ble   Supreme   Court   reported   in  AIR   1999   SC  3495  in the name of  Anurag Virmani Vs. State of  M.P.  And another,  to contend that the appellant  has locus standi to challenge the proceedings. 

4. Learned Counsel Mr. Dave further referred to and  relied upon the judgment of the Division Bench of  this Court reported in  2010   (2)   GLH   265  in the  case   of  Vipinchandra   Vadilal   Bavishi   and   anr.,  Vs.   State   of   Gujarat   and   Ors.,  wherein   the  Division Bench held as under:

"41.   The   provisions   of   the   Repeal   Act  would   only   show   that   if   taking   over   of   the   possession   and   vesting   is   wanting,  without   there   being   any   dispute   on   this   proposition   then   simply   the   land   can   be   restored   but   if   the   fact   of   taking   possession   is   disputed   and   adjudication  is   required   on   this   issue   then   such   Page 3 of 10 C/LPA/1403/2014 JUDGMENT adjudication was required to be made when   the   petitioners   first   came   to   know   of   that in the year 1989, if not earlier and   also   when   the   possession   was   taken   and  they   were   issued   notice   for   any   encroachment.   Having   waited   upto   2000   after   1989,   the   petitioners   have  acquiesced   to   this   situation.   In   that   view   of   the   matter,   it   cannot   be   said   that   the   petitioners'   claim   before   this   Court   in   seeking   declaration   that   the   land has not been lawfully vested in the  State   Government   its   possession   has   not   been   lawfully   taken   would   be   a   relief   that would be ordinarily be barred by the   Law   of   Limitation   because   such  declarations   are   only   liable   to   be   available   within   three   years   and   having   not   been   resorted   to,   the   writ   petition   suffers from delay and laches.
42. Argument of learned Counsel that the  vesting   being   not   according   to   law,   the   delay   cannot   be   put   against   them   is   misconceived thought because by efflux of   time   if   the   rights   are   lost   then   time   becomes   and   essential   factor   and   all   those facts having come to the notice of  the   petitioners   in   the   year   1989   it   cannot   be   said   that   the   question   is   available   to   the   petitioners   to   be   Page 4 of 10 C/LPA/1403/2014 JUDGMENT agitated in a jurisdiction under Article   226 of the Constitution of India."

5. Learned   AGP   Mr.   Patel,   however,   resisted   the  appeal and has submitted that the learned Counsel  Mr. Dave has relied on the notice of Section 10  (5),   is   misconceived.   He   further   submitted   that  even   after   the   repeal   of   the   Act,   the   parties  have not approached the Court within a period of  limitation i.e., 3 years from 1995. The parties  have approached the Court after 6 years. 

6. Learned AGP Mr. Rakesh Patel has referred to and  relied upon the judgment of the Hon'ble Supreme  Court reported in JT 2014 (13) SC 301 in the case  of State of Assam V. Bhaskar Jyoti Sarma & Ors.,  wherein   the   Hon'ble   Supreme   Court   has   held   as  under:

"12. The issue can be viewed from another   angel   also.   Assuming   that   a   person   in   possession   could   make   a   grievance,   no   matter without much gain in the ultimate  analysis,   the   question   is   whether   such  grievance   could   be   made   long   after   the  alleged   violation   of   Section   10(5).   If  actual physical possession was taken over  from   the   erstwhile   land   owner   on   7th  December,   1991   as   is   alleged   in   the   present   case   any   grievance   based   on  Section   10(5)   ought   to   have   been   made   within   a   reasonable   time   of   such  Page 5 of 10 C/LPA/1403/2014 JUDGMENT dispossession.   If   the   owner   did   not   do  so,   forcible   taking   over   of   possession  would   acquire   legitimacy   by   sheer   lapse   of time. In any such situation the owner  or   the   person   in   possession   must   be   deemed   to   have   waived   his   right   under   Section 10(5) of the Act. Any other view  would, in our opinion, give a licence to  a   litigant   to   make   a   grievance   not   because   he   has   suffered   any   real  prejudice that needs to be redressed but  only   because   the   fortuitous   circumstance   of a Repeal Act tempted him o raise the   issue   regarding   his   dispossession   being  in   violation   of   the   prescribed  procedure."

7. We   have   gone   through   the   judgment   and   order  passed by the learned Single Judge as well as the  documents produced on record. The learned Single  Judge   has   observed   in   the   judgment   in   Para  Nos.14, 15 and 16 as under:

"14.   It   can   thus   be   seen   that   ULC   Act  operated in two stages. As per Section 3,   from   the   commencement   of   the   Act,   no  person   was   entitled   to   hold   any   vacant   land   in   excess   of   the   ceiling   limit.   On   the other hand, Sections 26 and 27 of the   ULC Act, control the transfers of vacant   or   constructed   land   after   coming   into  Page 6 of 10 C/LPA/1403/2014 JUDGMENT force of the Act. 
15. Admittedly,   the   petitioner   did   not  obtain any permission for purchase of the  land   which   was   in   excess   of   the   ceiling   limit.   In   such   a   case,   by   virtue   of   Section   3   of   the   ULC   Act   he   was   not   entitled to hold any such land in excess   of   ceiling   limit.   If   the   case   of   the   petitioner   is   that   the   land   was   open  land, the transaction was hit by Section   26   of   the   ULC   Act.   According   to   the  petitioner, if the land was partially or   fully   constructed   upon,   permission   under   Section 27 was needed.
16.   Under   the   circumstances,   quite   apart  from   the   gross   delay   in   filing   the  petition,   as   rightly   pointed   by   the  learned   AGP,   I   refuse   to   recognize   the   locus   standi   of   the   petitioner   to   question   the   order   passed   by   the  competent   authority   which   he   sought   to   challenge   before   the   Tribunal.   His  transaction   of   purchase   of   the   land   was   not recognized by law. He could not have   purchased the land in breach of Section 3   read with Section 26 or Section 27 of the   ULC   Act.   In   either   case   either   the   sale   was   hit   by   mandatory   provisions   of   the   law   or   required   a   prior   permission   from   Page 7 of 10 C/LPA/1403/2014 JUDGMENT the   authority.   His   contention   that   with   lapsing of the ULC Act the sale should be   recognized beg the question for the sale   itself was not in accordance with law. No   title   in   the   property   would   pass   in   the   petitioner.   His   name   was   nowhere   reflected   in   the   official   records.   In  that view of the matter, the question of   lapsing   of   ULC   proceeding   so   far   as   the   petitioner   is  concerned   would   not   arise.  In any case, his name was never reflected   in   any   of   the   records   as   the   owner   or   occupant of the land. There is nothing on   record   to   suggest   that   even   he   made   an  attempt   to   have   his   name   entered.   The   competent   authority   therefore   had   no   occasion to serve him with the notice of   eviction.   For   all   such   reasons,   petition  is   dismissed.   Rule   is   discharged.   I.R.   stands vacated."

8. It   is   trait   law   that   the   purchaser   of   property  does not get better title than the seller. There  is no cavil that the appellant purchased the land  in question from the Court appointed received on  20.01.1978   in   a   public   auction.   The   land   which  the   appellant   has   purchased   from   the   Court  received was covered under the ULC Act. We are of  the   opinion   that   the   learned   Single   Judge   has  rightly   concluded   that   the   appellant   could   not  have   purchased   the   land   without   obtaining  Page 8 of 10 C/LPA/1403/2014 JUDGMENT requisite notice to the competent authority under  Section   26   of   the   Act   and   therefore   the  transaction   of   sale   cannot   be   recognized.   The  facts   of   the   judgment   of   the   Hon'ble   Supreme  Court in the case of Anurag Virmani Vs. State of  M.P. & Anr., (supra)  relied upon by the learned  Advocate for the appellant are different from the  case on hand. It needs to be reiterated that even  after the appellant purchased the land from the  Court appointed received, admittedly, the name of  the appellant was mutated in the revenue record,  while in the case before the Supreme Court, after  the   sale­deed   was   executed,   the   name   of   the  purchaser was mutated in the revenue record and  therefore,   the   Supreme   Court   concluded   that   the  purchaser   had   locus   standi   to   file   appeal   in  respect of the proceedings under Section 9 of the  ULC Act. 

9. Considering the judgment and order of the learned  Single   Judge   as   well   as   the   the   reported  decisions   of   the   Hon'ble   Supreme   Court   and   the  Division Bench relied upon by the learned AGP, it  appears   that   the   learned   Single   Judge   has   not  committed   any   error   in   passing   the   impugned  judgment   and   order.   We   are   of   the   opinion   that  the   impugned   judgment   and   order   passed   by   the  learned   Single   Judge   is   just   and   proper   and  requires no interference.  

10. Therefore,   in   view   of   the   above   discussion  Page 9 of 10 C/LPA/1403/2014 JUDGMENT and observation, present appeal devoid of merits  and accordingly stands dismissed. 

In   view   of   the   order   passed   in   Letters   Patent  Appeal No.1403 of 2014, present Civil Application  would not survive and accordingly stands disposed  of.

(K.S.JHAVERI, J)  (A.G.URAIZEE,J)  Tuvar Page 10 of 10