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Orissa High Court

Pandav Samal & Two Others vs State Of Odisha & Six Others. ...... ... on 20 August, 2013

Author: C. Nagappan

Bench: C. Nagappan

                    THE HIGH COURT OF ORISSA : CUTTACK.

                               W.P.(C) No. 16477 of 2012
      In the matter of an application under Article 226 of the Constitution of
      India.
                                     ___________

      Pandav Samal & two others              ......               Petitioners.

                                          -Versus-

      State of Odisha & six others.          ......            Opposite parties.

             For petitioners     : Mr. Asim Amitav Das, Mr. Deepak Kumar,
                                   Mr. P.K. Mishra & D.Dash.

            For opposite parties : Mr. Asok Mahanty, Advocate General,
                                   (for O.P. Nos. 1 to 4).

                                  M/s. S.P. Mohanty & M. Barik (for O.P. No.5)

                                  Mr. J. Patnaik, Sr. Advocate,
                                  B. Mohanty, T.K. Patnaik, A. Patnaik,
                                  Soma Patnaik, R.P. Ray & B.S. Rayaguru
                                                                (for O.P. No.6)
                                  Mr. J. Das, Sr. Advocate, Mr. Aditya Narayan
                                  Das, N. Sarkar, K.P. Mishra & E.A. Das
                                                                (for O.P. No.7)

                                  ---------------------
          PRESENT ;
               THE HONOURABLE CHIEF JUSTICE MR. C. NAGAPPAN
                                         AND
                   THE HONOURABLE JUSTICE MR. I. MAHANTY
          _______________________________________________________________
          _
                              Date of judgment - 20-08-2013
          _______________________________________________________________
      _

C. Nagappan, C.J.      Petitioners, claiming to be the inhabitants of village

          Kolathapangi have filed this writ petition by way of Public Interest

          Litigation seeking to quash the order of the Collector-opp. Party
                                 -2 -


No.3 dated 19.01.2011 under Annexure-5 de-reserving the lands

measuring Ac.36.10 dec. under Khata No. 116 corresponding to

plot No. 167 (part) in Mouza Kolathapangi; and further sought for

declaration that the allotment of the said land in favour of O.P.

No.7-Company is illegal.

2.           Briefly, the case of the petitioners is that the O.P.

No.7-Ultra Tech Cement Ltd. signed an MOU with the State

Government, namely, opposite party No.1 on 10.11.2006 for

establishment of 1.5 MTPA Split Cement Grinding Unit at

Khamara Nuagaon and Kolathapangi under Athagarh Tahasil in

the district of Cuttack with project cost of Rs.300 Crores.          The

Industrial Promotion and Investment Corporation of Orissa Ltd.

(IPICOL) vide letter dated 09.06.2010 recommended IDCO-O.P.

No.6 that Ac.90.00 of land at the said villages may be alienated in

favour of O.P. No.7 for establishment of the 1.5 MTPA Split cement

grinding unit. Pursuant to said recommendation, O.P. No.6-IDCO

made requisition for alienation of government land measuring

Ac. 36.100 in village Kolathapangi vide letter No. 17611 dated

26.08.2010 for the purpose of establishment of the said industry.

Thereafter, O.P. No.4 initiated a de-reservation case         vide Lease

Misc. Case No. 4/2010 under the provisions of Orissa Government

Land Settlement Act, 1962 (in short "the OGLS Act") to de-reserve

the   said   land   and    invited     public   objections   by   issuing
                                 -3 -


proclamation. According to the petitioners, they along with some

other co-villagers filed their written objection stating that cattle

and livestock used to graze in the said Gochar land, the said land

is also used by the villagers for organizing various social functions,

the youth and the children of the village are also using the said

land as play ground, and further setting up of the said industry

will lead to environmental problems.       On 08.12.2010 personal

hearing as well as spot inspection was conducted by the

Tahasildar, Athagarh-O.P. No.4 and after completion of the

necessary formalities, the O.P. No.4 overruling the objections, vide

letter dated 18.12.2010 recommended the O.P. No.3 that the

subject land be de-reserved.      The Collector-O.P. No.3 by order

dated 19.01.2011 accepted the recommendation of the Tahasildar

and directed for de-reservation of the said land in exercise of power

under Section 3-A of the OGLS Act read with Rule 4 of the OGLS

Rules, 1983 and sanctioned release of the said land in favour of

IDCO and thereafter sanction order was issued.      According to the

petitioners, during pendency of the Lease Misc. Case No. 4/2010,

they along with their co-villagers approached the O.P. No.2 by way

of a representation dated 10.11.2010 stating that their case was

not heard in proper manner and their objections were not

appreciated properly. On receipt of the said representation, the

O.P. No.2 directed the Collector, Cuttack-O.P. No.3 to look into the
                               -4 -


matter, however, the said direction of O.P. No.2 was not complied

with.

            In the meanwhile, lease deed was executed between

the Collector, Cuttack and IDCO for transfer of 36.100 acres of

land in village Kolathapangi on 18.07.2011 and subsequently the

IDCO-O.P. No.6 allotted the said extent of land in favour of O.P.

No.7-Company vide letter dated 8.8.2011 for establishment of

the said industry and accordingly lease deed also came to be

executed on 19.8.2011 between the IDCO and O.P. No.7. It is

also stated by the petitioners that the State Pollution Control

Board (SPCB), namely, O.P. No.5 has granted consent to O.P.

No.7 for setting up of a Bulk Terminal of capacity 2.0 MTPA

under the relevant provisions of Acts.

3.          Petitioners have stated that the subject land is a

communal land and has been kept reserved for common use of

villagers and there is no specific provision for de-reservation of

such land for industrial purpose when industry is set up by a

private company like O.P. No.7 and further the de-reservation of

Gochar land in question has not been made in accordance with

the provisions of the OGLS Act. Therefore, handing over the land

in favour of O.P. No.7 is perverse and illegal and accordingly the

impugned orders are liable to be set aside.
                               -5 -


4.          Opposite party Nos. 1 to 4 have filed a common

counter affidavit stating that the orders impugned have been

passed strictly inconsonance with Section 3-A of the OGLS Act and

Rule 4 of the OGLS Rules and there is no illegality in the decision

making process. It is stated that during the public hearing, the

writ petitioners did not make any objection and though some other

villagers filed their objections, the same were considered and

overruled and the de-reservation proceedings for allotment of said

government land to IDCO is proper and legal.

5.          Opposite party No.5, namely, State Pollution Control

Board in its counter has stated that after receipt of application

from O.P. No.7 for grant of consent to establish the industrial

unit in question, the proposed site was inspected by the

Scientists of the Board on 10.08.2011 and the report was placed

before the Consent Committee of the Board for consideration and

the Board after considering the inspection report and the

recommendation, vide order dated 01.11.2011 granted consent

in favour of O.P. No.7 to establish the industrial unit subject to

conditions as stipulated therein.

6.          Opposite party No.6-IDCO in its counter affidavit

has stated that the Collector, Cuttack has sanctioned lease of

the government land in question in favour of IDCO for

establishment of industries under the provisions of the OGLS Act
                               -6 -


and Rules made thereunder after completion of all the formalities

in accordance with law and subsequently it has allotted the said

land in favour of O.P. No.7 executing lease deed by observing

legal formalities and therefore, the allegations made by the

petitioners are not sustainable.     It is further stated that since

there is a provision of appeal under Section 7 of the OGLS Act

against any order made under Section 3 of the Act and the

petitioners have not availed the same, the present writ petition is

not maintainable.

7.          Opposite party No.7 has also filed an elaborate

counter affidavit denying the allegations made by the petitioners

and has prayed for dismissal of the writ petition.

8.          We have heard the contentions of the learned

counsel for the petitioners as well as respective learned counsel

for opposite parties.

9.          The main contention of the learned counsel for the

petitioners is that the opposite parties in utmost disregard to the

provisions of law governing the field has proceeded to de-reserve

the communal lands so as to sub-serve the interests of a private

company, namely, O.P. No.7.

10.         Per contra learned Advocate General vehemently

opposed the contentions raised by the petitioners and contended

that the land in question is a government land and de-
                                -7 -


reservation orders have been passed following the procedure

stipulated under the OGLS Act and OGLS Rules and as the

petitioners have not filed any objection during the public hearing

they cannot raise any grievance in this writ petition as there is

no illegality in the decision making process.     In support of his

contention, he has placed reliance on a decision of the Hon'ble

Supreme Court in the case of State of Jharkhand & Ors. Vs.

Pakur Jagran Manch & Ors., (2011) 2 SCC 591.

11.         Opposite party No.7 was earlier known as M/s. Grasim

Industries Ltd. and it had entered into the MOU with the State

Governmnt i.e. O.P. No.1 for establishment of 1.5 MTPA Split

Cement Grinding Unit at Khamara Nuagaon and Kolathapangi

under Athagarh Tahasil in the district of Cuttack with project cost

of Rs.300 Crores.      IPICOL vide its letter dated 09.06.2010

recommended IDCO-O.P. No.6 that Ac.90.00 of land at the said

villages may be alienated in favour of O.P. No.7 for establishment of

the said unit and Annexure-1 is a photo copy of the said letter. The

O.P. No.6, namely, IDCO filed requisition dated 26.08.2010 for

alienation of government land measuring Ac. 36.100 in village

Kolathapangi for the purpose of establishment of the said industry

and Annexure-2 is the photo copy of the said letter. Consequently,

O.P. No.4-Tahasildar, Athagarh initiated a de-reservation case vide

Lease Misc. Case No. 4/2010 to de-reserve said land measuring Ac.
                                -8 -


36.100 dec. under Khata No 116 corresponding to Plot No. 167 (P)

of the said village. Proclamation inviting objections was served in

the Gram Panchayat and also in the village by beating of drums,

but the present writ petitioners did not file any objections

whatsoever though some other villagers filed their objections before

the Tahasildar.    Grievances were heard and after making spot

inspection the same were overruled and the Tahasildar submitted

the report on the de-reservation proposal of the said land before the

Sub-Collector, Athagarh, who recommended the same to the

Collector, Cuttack for further action.      Thereafter, O.P. No.3-

Collector, Cuttack in exercise of power conferred under Section 3-A

of the OGLS Act and Rule 4 of the OGLS Rules, accorded sanction

to the de-reservation of the said Gochar land measuring Ac. 36.100

dec. for its eventual lease in favour of IDCO for industrial purpose

and copy of the said order is found under Annexure-5.

12.           Power to de-reserve the government land recorded as

'Gochar' is provided under Section 3-A of the OGLS Act and the

stipulation is that such power is to be exercised by an officer not

below the rank of a Collector authorized by the Government on

its behalf.   Rule 4 of the OGLS Rules prescribe the procedure to

be followed in making such de-reservation which includes, inter

alia, a public notice followed by an enquiry and recommendation.

In this context, the decision of the Supreme Court relied on by
                               -9 -


the learned Advocate General referred to above is relevant, in

which their Lordships of the Supreme Court held that the

contention of the first respondent therein that "once a gochar

always a gochar, and there is no power in anyone at any time, to

alter its status as gochar" is without merit and proceeded further

to observe that the de-reservation of any government land

reserved as gochar should only be in exceptional circumstances

and for valid reasons.

13.          In the present case, the de-reservation has been

made following the due procedure contemplated under the OGLS

Act and Rules. Further, during enquiry it was found that there

was Ac.56.33 dec. of Gochar land in village Kolathapangi and the

effective area of the village is Ac.278.25 dec., 5% of the same is

Ac.13.91 dec. The IDCO has applied only for an area of Ac.36.10

dec. for de-reservation and the rest available is Ac.20.23 dec. as

surplus gochar land and said Ac.36.10 dec. of land is undulated,

unfit for grazing and is waste land and therefore the objections

raised also were overruled being devoid of merit.        In such

circumstances, the contention of the present writ petitioners that

the de-reservation of land in question, recorded as Gochar, has

been made without following due procedure is without any merit

and liable to be rejected.
                                -10-


14.          The next contention of the learned counsel for the

petitioners is that the alienation of Ac.36.100 dec. of land by way

of lease to O.P. No.7 is not permissible in the eye of law.   After

de-reservation of government land measuring Ac.36.100 dec., the

O.P. No.3-Collector, Cuttack sanctioned lease of the said land in

favour of IDCO by letter dated 20.06.2011 for establishment of

industry and lease deed dated 18.07.2011 came to be executed

between the parties by complying the legal formalities.     Section

33    of   the   Orissa   Industrial   Infrastructure   Development

Corporation Act (OIIDC), 1980 stipulates that after transfer of

government land to the Corporation, the Corporation may

dispose of the said land in any manner whether by way of sale,

mortgage, exchange, or lease etc.       Section 15 of the said Act

deals with the general powers of the Corporation and sub-clause

(a) states that the Corporation shall have power to lease, sell,

exchange or otherwise transfer any property held by it on such

conditions as may be deemed proper by the Corporation.         Our

attention was also drawn to the provisions of the Orissa

Industries (Facilitation) Act, 2004 (Orissa Act 14 of 2004) in this

regard. On the recommendation of the Nodal Agency, IDCO has

granted lease of the land in question in favour of O.P. No.7-

Company for establishment of industry.
                                           -11-


   15.             The State Pollution Control Board- O.P. No.5, after

   considering the inspection report of its scientists, granted

   consent to O.P. No.7 to establish the Bulk Terminal of 2.0 MTPA

   capacity (which is a packaging unit in which cement unloading

   and storing takes place in RCC Silos and packed in bags) subject

   to general and special conditions as mentioned therein and

   copies of the report and the order of consent are also annexed to

   the counter affidavit of the Board.               One of the condition

   stipulated in it is that "No Grinding shall be done and Cement

   shall be packed only."              Hence the contentions of the learned

   counsel for the petitioners that the IDCO in contravention of the

   OIIDC Act, 1980 has transferred the land by way of lease in

   favour of O.P. No.7, and the establishment of unit will affect the

   environmental condition lack merit and liable for rejection.

                    In view of the above, there is no merit whatsoever

   in the writ petition. In the result the writ petition is dismissed.

   No costs.

                                                       .............................
                                                        Chief Justice

   I. Mahanty, J.

I agree.

............................. Judge Orissa High Court, Cuttack The 20th day of August, 2013/A. Dash