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Supreme Court - Daily Orders

Karm Pal (Since Deceased) vs Joint Director Of Consolidation ... on 12 May, 2022

Bench: Uday Umesh Lalit, Sudhanshu Dhulia

                                                      1

                                     IN THE SUPREME COURT OF INDIA
                                      CIVIL APPELLATE JURISDICTION

                            SPECIAL LEAVE PETITION (CIVIL)NO.3939 OF 2021


     KARM PAL (SINCE DECEASED) & ORS.                               …Petitioners

                                                   Versus

     JOINT DIRECTOR OF CONSOLIDATION
     (ADMINISTRATIVE/JUDICIAL) SULTANPUR & ORS.                     …Respondents


                                             O    R   D   E   R


                             This petition challenges the order dated 27-02-2019

     passed by the High Court of Judicature at Allahabad, Lucknow

     Bench in CN No. 507/1995                    (Consolidation).


                         The core issue in the matter is whether the case of the

     petitioner would come under Section 14(2)(b) of the                           U.P.

     Zamindari                 Abolition & Land Reforms Act, 19501.


                         The relevant provisions namely Sections 14 and 18 of the

     Act are quoted hereunder:-



                           “14. Estate in possession of a mortgagee with
                           possession. - (1) Subject to the provisions of sub-
                           section (2), a mortgagee in possession of an estate
                           or share therein shall, with effect from the date of
                           vesting, cease to have any right to hold or possess
                           as such any land in such estate.
Signature Not Verified

Digitally signed by
Indu Marwah                (2) Where any such land was in the personal
Date: 2022.05.18
16:03:29 IST
Reason:
                           cultivation of the mortgagee on the date immediately
                           proceeding the date of vesting-


     1 [‘the Act’ for short]
                            2

   (a) if it was sir or khudkasht of the mortgagor
      on the date of the mortgage, the same shall,
      for purposes of Section 18 be deemed to be
      the sir or khudkasht of the mortgagor or his
      legal representative;
    (b)    if it was not sir or khudkasht of the
          mortgagor on the date of the mortgage, the
          mortgagee shall, subject to his paying to
          the State Government within six months from
          the date of vesting an amount equal to five
          times the rent calculated at hereditary
          rates applicable on the date immediately
          preceding the date of vesting, be deemed,
          for purposes of Section 19 to have held such
          land on the date aforesaid as a hereditary
          tenant thereof at the said rate of rent:

               Provided that if the mortgagee fails to
          pay the amount aforesaid within the time
          allowed, he shall thereupon lose all rights
          in such land which shall be deemed to be
          vacant land and he shall be liable to
          ejectment on the suit of the Gaon Sabha [or
          the Collector] under Section 209 as if he
          were a person in possession thereof otherwise
          than in accordance with the provisions of
          this Act.

Explanation [I]. - For the purposes of this section
a mortgagee in possession includes a thekedar of his
rights as mortgagee in the land.

[Explanation II. - Where any land has been mortgaged
with possession and the mortgagor makes a second or
subsequent mortgage of such land in favour of the
same or different person, the expression "on the
date of the mortgage" shall mean the date of the
mortgage in pursuance of which the mortgagor first
transferred possession to mortgagee.]

18. Settlement of certain lands with intermediaries
or cultivators as Bhumidhar. - (1) Subject to the
provisions of Sections 10, 15, 16 and 17, all lands-

(a) in possession of or held or deemed to be held by
  an   intermediary   as   sir,  khudkasht   or   an
  intermediary's grove;
                            3

(b) held as a grove by or in the personal ultivation
  of a permanent lessee in Avadh;


(c) held by a fixed-rate tenant or rent-free grantee
  as such; or
(d) held as such by-
(i) an occupancy tenant;        |
                                    possessing the right to
(ii)a hereditary tenant;
                                    transfer the holding by
                                    sale,

(iii) a tenant on Patta
Dawami     or      Istamrari
referred to in Section 17;
[(e) held a grove holder]
  on the date immediately preceding the date of
  vesting shall be deemed to be settled by the State
  Government   with    such   intermediary, [lessee,
  tenant, grantee or grove-holder,] as the case may
  be, who shall, subject to the provisions of this
  Act, be entitled to take or retain possession as
  bhumidhar thereof.

(2) Every person belonging the class mentioned
in [Section 3 or sub-section (2) of Section 3-A] of
the    United    Provinces    Agricultural    Tenants
(Acquisition of Privileges) Act. 1949 (U.P. Act X of
1949), who has been granted the declaration referred
to in Section 6 of the said Act, in respect of any
holding   or  share   thereof   shall,   unless   the
declaration is subsequently set aside, be deemed to
be the bhumidhar of the holding or the share in
respect of which the declaration has been made and
continues in force.

(3) Notwithstanding anything contained in the United
Provinces   Agricultural  Tenants   (Acquisition  of
Privileges) Act, 1949 (U.P. Act X of 1949), any
declaration granted under Section 6 of the said Act,
in favour of a tenant whom subsection (2) of Section
10 applies, shall be and is hereby cancelled and the
amount deposited by him under Section 3 or 6 of the
said Act, shall, after deducting the amount which
might have been paid or be payable by the State
Government to his land-holder under Section 7 and 8
of the said Act, be refunded to the person entitled
in such manner as may be prescribed.
                                           4

      The Act, as part of agrarian reforms, was designed to

eliminate the rights of intermediaries claiming any right qua

agricultural lands.          By statutory mandate, the rights of such

intermediaries would stand abolished with the vesting of the

lands   in   favour     of     the    State.          However,       by    virtue    of

provisions of the Act, the settlement of the lands would then

be deemed to have been made in favour of certain persons,

primarily    those     who    were    cultivating           the    lands    and     were

dependent on the land.

      As a part of the statutory design, the lands held in

possession or deemed to be held by an intermediary as sir,

Khudkasht    or   an       intermediary’s           grove    held     on    the     date

immediately preceding the date of vesting, would be deemed to

be settled with such intermediary, lessee, tenant, grantee or

grove-holder in terms of Section 18 of the Act.                        By virtue of

Section 14, a mortgagee in possession of an estate or share

therein, with effect from the date of vesting, would cease to

have any right to hold or possess any land in such estate.

This general principle in Section 14(1) of the Act would then

stand   qualified      by     two     principles          emanating        from     Sub-

Section(2) of Section 14.              In terms of Sub-Clause (a) of

Section 2, if the land was sir or Khudkasht of the mortgagor

on the date of the mortgage, for the purposes of Section 18,

the   land   would    be     deemed   to       be   sir     or    khudkasht   of     the
                                 5

mortgagor or his legal representative.     Sub-Clause (b) of Sub-

Section (2) would then stipulate that if the land was not sir

or Khudkasht of the mortgagor on the date of mortgage, the

mortgagee would get the right to have settlement in his favour

subject to his paying to the State Government an amount equal

to five times the rent etc.

      In the instant case,     the mortgage was created way back

in 1929 and as the finding recorded by Settlement Officer,

(Consolidation) discloses,     the land was recorded as ‘Sir and

Khudkasht’ of the ancestors of the mortgagor in         ‘Bandobast

Soyam’ which was carried out in the year, 1937.

      On the basis of these facts,      the appeal was allowed by

Settlement Officer (Consolidation) which order was, however,

set   aside   by   Deputy    Director   (Consolidation).     While

considering the rival views on this issue, the High Court

observed in paragraph 2 of its judgment as under:


        “2.    Having heard learned counsel for the parties and
        perused the records,   the Court finds that the D.D.C.
        has not given any cogent reason for recording that the
        land in question was not Sir Khudkasht,    whereas, the
        S.O.C. in his order has specifically given reasons in
        support of his finding none of which has been
        considered and dislodged by the D.D.C. The S.O.C., in
        his order has referred to the relevant revenue records
        wherein the forefathers of the petitioners were
        recorded Sir Khudkasht in the third settlement as also
        in the Khatauni of 1359 falsi.     He also opined that
        [“Khewat Murthini used of to be made of that land,
        which used to be land of sir and khudkasht before
        mortgage”]. None of the reasonings given by the S.O.C.
        has been considered by the D.D.C.,      therefore, this
        finding is bereft of any sound foundation and is
        perverse.”
                                 6




       The High Court found that no cogent reasons were given by

Deputy Director (Consolidation) for recording that the land

was not sir or Khudkasht.       The finding rendered by Deputy

Director (Consolidation) was thus found to be without any

reason or basis. The High Court then proceeded to allow the

petition and restore the order passed by Settlement Officer

(Consolidation).    The matter was thus found to be covered by

Section 14(2)(a) of the Act.


       We have heard learned counsel for the parties and do not

find any error in appreciation       by the High Court so as to

call     for   interference in our jurisdiction under Article

136(1) of the Constitution.

       The SLP is accordingly dismissed.



                                           …………………………………………………………J.
                                                 (UDAY UMESH LALIT)




                                           …………………………………………………………J.
                                                 (SUDHANSHU DHULIA)

NEW DELHI;
12th May, 2022.
                                   7

ITEM NO.20                 COURT NO.2                  SECTION XI

               S U P R E M E C O U R T O F         I N D I A
                       RECORD OF PROCEEDINGS

Petition(s) for Special Leave to Appeal (C)       No(s).   3939/2021

(Arising out of impugned final judgment and order dated 27-02-2019
in CN No. 507/1995 passed by the High Court Of Judicature At
Allahabad, Lucknow Bench)

KARM PAL (SINCE DECEASED) & ORS.                        Petitioner(s)
                                  VERSUS

JOINT DIRECTOR OF CONSOLIDATION
(ADMINISTRATIVE / JUDICIAL) SULTANPUR & ORS.            Respondent(s)

(FOR ADMISSION and I.R., IA No.26434/2021-EXEMPTION FROM FILING
O.T. and IA No.26430/2021-CONDONATION OF DELAY IN REFILING / CURING
THE DEFECTS and IA No.26432/2021-PERMISSION TO FILE ADDITIONAL
DOCUMENTS/FACTS/ANNEXURES )

Date : 12-05-2022 This petition was called on for hearing today.
CORAM :
         HON'BLE MR. JUSTICE UDAY UMESH LALIT
         HON'BLE MR. JUSTICE SUDHANSHU DHULIA

For Petitioner(s)   Mr.   Divyanshu Sahay, Adv.
                    Ms.   Shradha Narayan, Adv.
                    Mr.   Akshay Sahay, Adv.
                    Mr.   Chittaranjan Sahay, Adv
                    Mr.   A. Karthik, AOR

For Respondent(s)   Mr.   I.D. Shukla, Adv.
                    Mr.   D. Bharat Kumar, Adv.
                    Mr.   Aman Shukla, Adv.
                    Mr.   Vishal Arun, AOR

         UPON hearing the counsel the Court made the following
                            O R D E R

Delay condoned.

The SLP is dismissed in terms of the signed order.

Pending applications, if any, shall stand disposed of.

(INDU MARWAH) (VIRENDER SINGH) COURT MASTER (SH) BRANCH OFFICER (SIGNED ORDER IS PLACED ON THE FILE)