Andhra Pradesh High Court - Amravati
Marpuri Sashidhar Rao, vs The State Of Andhra Pradesh, on 26 July, 2021
Author: M.Satyanarayana Murthy
Bench: M.Satyanarayana Murthy
THE HON'BLE SRI JUSTICE M.SATYANARAYANA MURTHY
WRIT PETITON NO.14449 of 2021
ORDER:
This Writ Petition is filed under Article 226 of the Constitution of India, seeking the following relief:-
"....to issue a Writ of Mandamus, declaring the action of the 2nd Respondent in not taking any steps for deletion of petitioners property in an extent of Ac. 2.00 cents, out of an extent of Ac. 4.26 cents in Survey No 632-1A, 604-1B2, 605-1A of Kollabylu Village and Panchayat Madanapalle Mandal, Chittoor District from the prohibited list by considering properties not come under "Assignment lands" as petitioners purchased the property from the auction purchaser in Co-operative Bank auction as highly illegal, arbitrary and the further action of the respondent No. 4 and 5 in decline to receive and accept the sale deeds presented by the petitioner in respect of above said land by relying on the prohibition list furnished by the 2nd respondent as illegal, arbitrary and violative of article 14, 21, 300A of Constitution of India and violative of law declared in Sub Registrar, Srikalahasthi vs K Guravaiah and another reported in 2009 (3) ALT 85 (DB) and consequently direct the 2nd respondent to delete the aforesaid land from the prohibited list with the further direction to the 4th and 5th respondents to receive admit the sale deed sought to be presented by the petitioners for registration and release the same...."
3. Heard the learned counsel for the petitioner and the learned Assistant Government Pleader for Registration & Stamps appearing for the respondents.
4. The case of the petitioner is that originally the land in an extent of Ac. 1.50 cents in Survey No 632-1A; an extent of Ac. 1.54 cents in Sy.No. 604-1B2; and an extent of Ac. 1.22 cents in Sy.No. 605-1A in total Ac. 4.26 cents of Kollabylu Village and Panchayat Madanapalle Mandal, Chittoor District was assigned to Smt. R.C.Nagaratnamma W/o Srinivasulu Naidu, who was defaulter to the District Co-operative Central Bank Ltd., Chittoor and the property brought for sale in public auction and one Sreerama Uma Rani W/o Sreerama Venkatesh Babu has 2 purchased the same in public auction by District Co-Operative Central Bank on 04.04.2006 and issued Sale Certificate in Form-10, dated 02.05.2006 in her favour, who in turn gifted the same to the petitioner by way of a Gift Settlement Deed dated 15.07.2019, since then the petitioner has been in possession and enjoyment of the same. The petitioner intends to sell the property for his financial crisis and approached the 5th respondent on 07.07.2021 for valuation certificate, who informed that the above said land notified in the prohibited property list under Section 22-A(1)(a) of the Registration Act, 1908 and that registration cannot be permitted, until de-notify the same, which is illegal and arbitrary. Hence, the petitioner sought for a direction as prayed for.
5. No counter is filed by the respondents.
6. It is the contention of the petitioner is that though there is a prohibition for alienation of the assigned land as per Section 3 of A.P. Assigned Land (Prohibition of Transfers) Act, 1977 there is an exemption under Section 6 of the said Act, it reads as follows:
Sec.6 Exemption : Nothing in this Act shall apply to the assigned lands held on mortgage by the State or Central Government, any local authority, a co-operative society, a scheduled bank or such other financial institution owned, controlled or managed by a State Government or the Central Government, as may be notified by the Government in this behalf."
7. Learned counsel for the petitioner while drawing attention of this court Section 6 of the said Act, placed reliance on a judgment of erstwhile High Court of A.P at Hyderabad in Sub Registrar, Srikalahasthi vs. K.Guravaiah and another1 . On the strength of the principle laid down in the said judgment by Division Bench, he requested to issue direction.
1 2009 (3) ALT 85(DB) 3
8. In any view of the matter when land is mortgaged with Co-operative Bank, which is the subsidiary of District Co-operative Central Bank. According to Section 3 (2) of A.P Assigned Lands (Prohibition of Transfers) Act, 1977 (for short Act IX of 1977), no landless poor person shall transfer any assigned land, and no person shall acquire any assigned land, either by purchase, gift, lease, mortgage, exchange or otherwise. Clause 3 further says that any transfer made in contravention of the provision of sub-section (1) of sub-section (2) or subsection (2-A) shall be deemed to be null and void., Clause 4 says that The Provisions of this section shall apply to any transaction of the nature referred to in sub-section (2) in execution of a decree or order of a Civil Court or of any award or order of any other authority. When the property was sold in execution of decree by the Cooperative Society or Bank, the property is exempted from application of provisions of Act IX of 1977. Therefore, sale of assigned land by Registrar of Cooperative Societies is saved and this view is fortified by the judgment of Division Bench of erstwhile High Court of A.P at Hyderabad in The Sub-Registrar v. K. Guravaiah's case (referred supra), in para No.12 of the judgment the Court discussed about validity of such sale and finally concluded that when bid was knocked down in favour of petitioner is confirmed and sale deed has been executed by the concerned Co-operative Bank, the sale is valid. When once the property was mortgaged to the Cooperative Society, which is not prohibited, sold in the auction for realization of debt due under the award, such transaction is exempted from application of provisions of Act IX of 1977. Hence, I find that transfer in favour of petitioner cannot be said to be in violation of provisions of Act IX of 1977. 4
9. In view of the facts and circumstances of this case, the respondents No. 4 and 5 are directed to receive and register the Sale deed to be presented by the petitioner in respect of the above subject property in accordance with law, notwithstanding the notification of the property under Section 22-A (1)(a) of Registration Act.
10. With the above direction, the writ petition is disposed of. There shall be no costs As a sequel, Interlocutory Applications pending, if any, in this Writ Petition, shall stand closed.
_________________________________________ JUSTICE M. SATYANARAYANA MURTHY Date: 26-07-2021 KK 5 THE HON'BLE SRI JUSTICE M.SATYANARAYANA MURTHY WRIT PETITON NO.14449 of 2021 Date: 26-07-2021 KK