19 September 1996
Supreme Court
Download

RAMJI SHARMA @ RAMJI BANU (DEAD) BY L.RS. Vs THE STATE OF BIHAR & ORS.

Bench: SINGH N.P. (J)
Case number: Appeal (civil) 1505 of 1981


1

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 1 of 5  

PETITIONER: RAMJI SHARMA @ RAMJI BANU (DEAD) BY L.RS.

       Vs.

RESPONDENT: THE STATE OF BIHAR & ORS.

DATE OF JUDGMENT:       19/09/1996

BENCH: SINGH N.P. (J) BENCH: SINGH N.P. (J) MAJMUDAR S.B. (J)

ACT:

HEADNOTE:

JUDGMENT:                          O R D E R      This appeal  has  been  filed  for  setting  aside  the judgment of the High Court, dismissing the application under Section 16(3) of the Bihar Land Reforms (Fixation of Ceiling Area and Acquisition of Surplus Land) Act, 1961 (hereinafter referred to  as the  Act) filed on behalf of the appellants, claiming retransfer  of the lands which had been transferred by respondent No. 5 in favour of respondent No.7 through the registered sale  deed dated  30.12.1969. The respondent No.7 by the  aforesaid sale  deed purchased  5 kathas  of land of survey plot  No. 610 and 6 kathas 10 dhurs of land of survey plot No.  614 from  respondent No.  5  for  a  consideration amount of  Rs. 4,600/-.  The  purchase  had  been  made  for construction of  house in  Mohalla Sahjadpur Aderkila within the town of Hajipur.      An application  under sub-section  (3) of Section 16 of the Act  was filed  on behalf  of the  appellants before the Deputy  Collector,   Land  Reforms,  for  a  direction  that respondent No.7,  the transferee  be directed  to convey the lands purchased  by him  by executing and registering a deed of transfer in favour of the appellants in terms of the said sub-section  (3)   of  Section   16.  That  application  was dismissed by  the Deputy  Collector, Land  Reforms,  on  the ground that  the lands  which had been transferred shall not be deemed  to be the lands within the meaning of the Act, as such  the   provisions  thereof  shall  not  be  applicable. However, an  appeal being filed on behalf of the appellants, was allowed  by the collector. The Member, Board of Revenue, dismissed the  Revision  Application,  filed  on  behalf  of Respondent No.  7 . Thereafter, a writ petition was filed on behalf of  Respondent No.  7, for quashing the orders passed by the  Collector and the Member, Board of Revenue before to the High  Court. The  High Court  by the  Collector and  the Member, Board  of Revenue,  on a  finding that  as the lands which had  been transferred  were within the town of Hajipur and were  urban in  nature, the  provisions of the Act shall not be  applicable including  sub-section (3)  of Section 16

2

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 2 of 5  

therefore.  This   finding  of   the  High  Court  is  being questioned in this appeal.      The preamble  of the  Act says  that it  is an  Act  to provide for  fixation of ceiling, restriction on sub-letting and resumption  by certain raiyats, for personal cultivation of land,  acquisition of  status of  raiyat by certain under raiyats and  acquisition of surplus land by the State in the State of Bihar and matters connected therewith. Section 2(f) defines land:      "(f) "land"  means  land  which  is      used or  capable of  being used for      agriculture  of   horticulture  and      includes land  which is  an of even      land  perennially  submerged  under      water) or  the homestead of a land-      holder;      Explanation I.- "Homestead" means a      dwelling house  for the  purpose of      living  or   for  the   purpose  of      letting out  on rent  together with      any courtyard,  compound,  attached      garden,  orchard  and  out-building      connected   with   agriculture   of      horticulture and any tank, liberary      and place  of worship  appertaining      to such dwelling house.      Explanation II.  -Land  perennially      submerged  under  water  shall  not      include land  submerged in  the bed      of a river."      Section 2(g) defines ‘land holder’:      "(g) ‘land  holder’ means  a family      as defined  in clause  (ee) holding      land as  raiyat or  as under-raiyat      or   a   mortgagee   of   land   in      possession    or    holding    land      permanently settled  by  Government      or lessee  of land not resumable by      Government."      On a  plain reading  of the definition of land it means which is  used or  capable of  being used for agriculture or horticulture or  for the  homestead  of  a  land  -  holder. Explanation I,  specifies what  is meant  by homestead which shall include  dwelling house  for the  purpose of living or for the  purpose  of  letting  out  on  rent  together  with agriculture  or   horticulture.  Section  4  prescribes  the ceiling area  of the land which a land holder can hold under the provisions  of the  Act. The  other provisions relate to fixation of such ceiling and declaration of the surplus land which shall  vest   in the State. Sub-section (1) of Section 16 provides that no person shall, after, the commencement of the Act,  either by  himself or  through any  other  person, acquire or  possess by  transfer, exchange, lease, mortgage, agreement or  settlement any  land which  together with  the land, if  any already  held by  him exceeds in the aggregate the ceiling area. Sub-section (3) of Section 16 provides:      "3(i) When  any transfer of land is      made after the commencement of this      Act to  any person other than a co-      sharer or  a  raiyat  of  adjoining      land  ,   any  co-sharer   of   the      transferor or  any  raiyat  holding      land     adjoining     the     land      transferred,  shall   be  entitled,      with in three months of the date of

3

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 3 of 5  

    registration  of  the  document  of      transfer, to  make  an  application      before   the   collector   in   the      prescribed manner  for the transfer      of the land to him on the terms and      conditions contained  in  the  said      deed:      Provided that  no such  application      shall   be   entertained   by   the      Collector unless the purchase-money      together with  a sum  equal to  ten      per cent  thereof is  deposited  in      the prescribed  manner  within  the      said period.      (ii) On such deposit being made the      co-sharer or  the raiyat  shall  be      entitle to  be put in possession of      the land  irrespective of  the fact      that the  application under  clause      (i) is pending for decision:      Provide that  where the application      is rejected,  the co-sharer  or the      raiyat,  as   land  and  possession      thereof shall  be restored  to  the      transferer and the transferee shall      be entitled  to be paid a sum equal      to ten  per cent  of  the  purchase      money out of the deposit made under      clause (i).      (iii)   If   the   application   is      allowed, the  Collector shall by an      order,  direct  the  transferee  to      convey the  land in  favour of  the      applicant    by    executing    and      registering a  document of transfer      within a  period to be specified in      the order  and, if  he neglects  or      refuse   to    comply   with    the      direction, the procedure prescribed      in order  XXI, Rule  34 of the Code      of Civil  Procedure,  1908  (IV  of      1908 )  shall be, so far, as may be      followed."      In view  of Sub-section (3) of Section 16, whenever any transfer of  land is  made to  any person other that the co- sharer or  a raiyat  of adjoining land, any co-sharer of the transferor or  any raiyat  holding land  adjoining the  land transferred, shall  be entitled within the period prescribed therein to  made an application before the Collector for the transfer of  the land  to him  on the  terms and  conditions contained in  the said deed. He has to comply with the other requirements of  the said  Section  by  way  of  deposit  of purchase money along with sum equal to 10% thereof.      The question  which is  to be answered is as to whether the expression  land as  defined in the Act will include not only the  land which are being used or capable of being used for agriculture  or  horticulture  purposes  but  also  land within the  urban areas  meant for  building purposes. It is well known  that in  and around the towns and urban areas at one  point   of  time  most  of  the  lands  were  used  for agriculture  or   horticulture  purposes.   With  growth  of population and  development  activities  slowly-slowly  such agricultural land  are  converted  to  use  which  are  non- agricultural. Many  colonies have been developed by the side of  the   old  cities  which  at  one  point  of  time  were

4

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 4 of 5  

agricultural fields  and crops  used to  be grown.  But with passes  of   time  and  cry  for  more  plots  of  land  for construction of buildings they lost their original character and purpose.  It appears  that the  framers of  the Act were quite conscious  of this  aspect of  the matter. that is why while defining  ’land’ they laid much emphasis in respect of the nature  of use such land was being put by saying that it meant land  which is  used or capable of being put by saying that it  meant land  which used or capable of being used for agriculture or  horticulture or  the homestead  of the land- holder. It  need not  be pointed out that the sole object of the Act  is to  put ceiling on the land held by land-holders for agriculture  or horticulture purposes and to declare the areas beyond  the ceiling as surplus which shall vest in the State Government.  In this  background  neither  it  can  be assumed not it can be held that the frames of the Act had in mind even  the lands  which are  in the  heart of the cities meant for  construction of  buildings. It  is  a  matter  of common knowledge  that even  in areas  which are  completely urban in  nature or  even in  colony some  plots  are  lying vacant as  no constructions have been made over the same for one reason or the other including financial constraint. Till constructions are  made they are being used for growing some crops or  fruits. But  can be said that such plots which are meant for  building purposes  shall be  deemed  to  be  land within the  meaning of Section 2(f) of the Act? According to us, the  answer is  in negative.  Whenever  and  application under Sub-Section 16 is filed, which is in respect of a land within the  urban area,  the authorities  or the  High Court concerned should  first examine  which is the primary object for which  such land  was being  used or is capable of being used. If  it found  that the  land was being retained by the transferor or  was being transferred to another person for a purpose and  object which is not connected which agriculture then and  application under  sub-section (3)  of Section  16 should not  be  entertained.  On  the  other  hand,  if  the authorities or  the High  Court are  satisfied that the land which  has   been  transferred   is  fully  covered  by  the definition  of   land  as  given  under  Section  2(f)  then provisions of  the Act have to be applicant was entitled for retransfer in  his favour  from the  transferee on  the same terms and  conditions. A  full Bench of the Patna High Court in the  case of  Fakir Mohammad  vs. Salahuddin  & Ors., Air 1975 PATNA   119, presided over by N.L. Untwalia C.J. (as he then was) examined the scope of expression ’land’ as defined in Section 2 (f) of Act. It was observed:      "The consensus  of opinnion  - and,      as I shall presently show, there is      no conflict in any of the decisions      - is  that a  parti piece  of  land      belonging   to    a   raiyat,    an      agriculturist,   which    is    his      homestead  on  which  there  is  no      dwelling house or any of the things      as mentioned in the Explanation, is      not a  land covered  by the Act. It      has been  further pointed  out that      land fit  for building purposes not      connected with agriculture situated      ordinarily and agriculture situated      ordinarily and  generally  town  or      bazaar   areas,    to   which   are      applicable the  provisions  of  the      Transfer of  Property act.  is  not      the homestead  of a  land-holder to

5

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 5 of 5  

    make it  a land  within the meaning      of Section 2(f).           (emphasis supplied)      We are  in agreement  with the  view expressed  in  the aforesaid judgment of the Full Bench.      So far the facts of the present case are concerned, the High Court  has rejected  the contention  that the  land  is question can  be held  to be  land  within  the  meaning  of Section 2(f) merely because in the Kathian Entry it had been recorded as  Bhit Land. The High Court in the impugned order has observed:      "It goes  without saying  that  all      the urban  lands at  some  at  some      point of  time or  the agricultural      operations were  carried on.  There      fore, mere  description of the land      as  a   Bhit  land  by  the  survey      authorities   would    not   be   a      conclusive proof  that the land was      agricultural in  nature.  The  fast      development and urbanisation of the      town   Hazipur   which   has   very      recently  been   made  a  district,      cannot be lost sight of. Therefore,      I,   would    accept   the   second      contention of  Mr. Krishna  Prakash      Sinha and  hold that the pre-emptor      has not succeed in establishing his      case that  the disputed  land was a      land  within  the  meaning  of  the      provisions of  the Act to which the      provisions of  section 16 (3) would      apply."      In view of the findings recorded by the High court that the land  which have  been transferred  were in  the town of Hajipur and  in the  urban area, the application filed under sub-section (3)  of Section  16 has  been rightly dismissed. Accordingly, the  appeal fails  and it  is dismissed.  There shall be no orders as to cost.      The appellant shall be permitted to withdraw the amount which has  been deposited  on behalf  of  the  appellant  in connection with  in connection  with the  application  under sub-section (3)  of section  16 of the Act. The refund shall be made  within three months from the date of the filing the application on behalf of the appellant.