14 February 1964
Supreme Court
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R. L. ARORA Vs STATE OF UTTAR PRADESH AND OTHERS

Bench: SINHA, BHUVNESHWAR P.(CJ),WANCHOO, K.N.,GUPTA, K.C. DAS,SHAH, J.C.,AYYANGAR, N. RAJAGOPALA
Case number: Writ Petition (Civil) 137 of 1962


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PETITIONER: R. L. ARORA

       Vs.

RESPONDENT: STATE OF UTTAR PRADESH AND OTHERS

DATE OF JUDGMENT: 14/02/1964

BENCH: WANCHOO, K.N. BENCH: WANCHOO, K.N. SINHA, BHUVNESHWAR P.(CJ) GUPTA, K.C. DAS SHAH, J.C. AYYANGAR, N. RAJAGOPALA

CITATION:  1964 AIR 1230            1964 SCR  (6) 784  CITATOR INFO :  RF         1965 SC 646  (10)  R          1965 SC 995  (11,12)  RF         1978 SC1675  (40)  F          1980 SC1118  (5,14)  F          1980 SC1316  (8,11,15)  RF         1988 SC 151  (10)  R          1989 SC 501  (15)  E          1991 SC 100  (29,70,210,227,278)

ACT: Land  Acquisition  Act-Acquisition for  company  engaged  in industry  for public purpose-Provision it hit by Art.  31(2) and   Art.   19(1)   of   the   Constitution-interpretation- Distinction   made  between  Government  companies,   Public companies and Private companies                             785 if  hit by Art. 14-Constitution of India, Arts.  14,  19(1), 31(2)Land  Acquisition  (Amendment)  Act, 1962  (Act  31  of 1962). ss. 7, 40 and 41.

HEADNOTE: The petitioner is the owner of certain land in Kanpur,  U.P. On  a  previous occasion land acquisition  proceedings  were taken   regarding  this  land  for  acquiring  it   for   an industrialist.   The petitioner questioned’ the validity  of these proceedings and this Court by its judgment reported as R.  L.  Arora v. State of U.P; [1962] Supp.  2  S.C.R.  149, quashed the notification made under s. 6 of Land Acquisition Act,  1894.  Thereafter certain amendments were made to  ss. 40  and 41 of that Act by the Land  Acquisition  (Amendment) Act, 1961.  The petitioner thereupon filed before this Court a petition under Art. 32 of the Constitution challenging the validity of the amended ss. 40, 41 and s. 7 of the  amending Act.   The  petitioner  contended  that  the  said  sections violated  Art. 31(2) and Art. 19(1)(f) of  the  Constitution inasmuch as cl. (aa) of the amended s. 40 provided that  all acquisitions  made  for a company for construction  of  some building are permissible even though the building may not be for a public purpose.  The validity of s. 7 of the  amending

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Act  was challenged on the ground’ that it contravened  Art. 31(2) inasmuch as it makes acquisition for a company  before July  20, 1962 as being for a public purpose even though  it may not be so in fact.  Section 7 was also challenged on the ground  that it contravenes Art. 14 inasmuch as it makes  an unreasonable discrimination in the matter of acquisition for a  company before July 20, 1962 and after that date  insofar as  the  former acquisitions are validated on the  basis  of their  being  deemed to be for a public  purpose  while  the latter  acquisitions are not so deemed and have  to  satisfy the test of public purpose. Held  (per P. B. GAJENDRAGADKAR, C.J., K. N. WANCHOO, K.  C. DAS  GUPTA  and J. C. SHAH JJ.): (i) If the  language  of  a provision of law is capable of only one construction and  if according  to that construction the provision contravenes  a constitutional provision it must be struck down.  A  literal interpretation  is not always the only interpretation  of  a provision  in  a statute and the court has to  look  at  the setting in which the words are used and the circumstances in which  the law came to be passed to decide whether there  is something  implicit  behind the words  actually  used  which would control the literal meaning of the words used. The  Mysore  State Electricity Board v.  Bangalore  Woollen, Cotton ,and Silk Mills, [1963] Supp. 2 S.C.R. 127; followed. (ii) It  is well settled that if certain provisions  of  law construed   in   one  way  will  be  consistent   with   the Constitution and if another interpretation would render them unconstitutional  the  court  would bear in  favour  of  the former construction. Kedar  Nath Singh v. State of Bihar, [1962] Supp.  2  S.C.R. 769, followed. 134-159 S.C.-50 786 (iii)     Applying  the above principles of construction  it cannot  be paid that  s. 40(aa) contravenes Art.  31(2)  for the public purpose required therein is present where land is acquired  for the construction of a building or  work  which must subserve the public purpose of the industry or work  in which  a company is engaged or is about to be engaged.   Nor can it be said that the provision is hit by Art. 19(1)(f) or it  would be a reasonable restriction on the right  to  hold property.  The amendments to s. 41 are only consequential to the insertion of c.l (aa) in s. 40(1) and would therefore be equally valid. (IV) The first of the two fictions introduced by s. 7 of the Amendment  Act  merely lays down that where  a  notification under s. 6 of the   Act  cannot be justified under cl.  (a)1 and cl. (b) of s. 40(1) it will    be  juded  in  accordance with the provisions contained in cl. (aa) and     it satisfies  those provisions the acquisition will  be  deemed for the   purpose  of that clause as if that clause  existed at the relevant time,though in actual fact it did not.   The first fiction does not provide that even though the  purpose of  the  acquisition does not fall within cl. (aa)  it  will still be deemed to be a public purpose.  Therefore a. 7 does not violate Art. 31(2). (v)  The  acquisition made before July 20, 1962 as  well  as the  acquisitions  made  thereafter  have  to  satisfy   the conditions  of cl. (aa) of s. 40 and s. 7 of  the  Amendment Act  validates only acquisitions before July 20, 1962  which actually  satisfy the provisions in cl. (aa).  Therefore  it cannot be said that s. 7 violates Art. 14. (vi) Section  7  specifically  validates  acquisition   made before  July 20. 1962 "notwithstanding any judgment,  decree or  orders  of  any court’ and  therefore  the  petitioner’s

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contention  that  the acquisition of  the  petitioners  land declared  to  be invalid by reason of the judgment  of  this Court reported as R. L. Arora v. State of U.P., [1962] Supp. 2 S.C.R. 149 is bad is rejected. (vii)     The  various provisions in the  agreement  between the  Government and the industrialist for whom the  land  in question  has been acquired conclusively establish that  the acquisition  is for a public purpose within the  meaning  of cl. (aa) of s. 40. Province of Bombay v. Kusaldas s. Advant, [1950] S.C.R. 621, distinguished. (viii)    A distinction in the matter of acquisition of land between public companies and Government companies on the one hand  and private individuals and private companies  on  the other is justified considering the object behind cl. (aa) of s. 40 of the Act and therefore It does not violate Art. 14. Per Ayyangar J. (dissenting) (i) The wording of cl. (aa) of s.   40  is not capable of two interpretations and there  is no ambiguity in     the  wording- It is a  well  established principle of construction that it  is only when there is  an ambiguity and the words are capable of                             787 more  than  one construction that any extrinsic aid  in  the shape of the purpose of the legislature or the object of the legislation come in for consideration Where the language  of an  Act is clear and explicit the court must give effect  to it  whatever  may be the consequence for in  that  case  the words of the statute speak the intention of the legislature.   The intention  of  the  legislature  is  not  a  matter  to   be speculated     upon.  Interpretation or construction  cannot mean that a court first  reaches a conclusion as to what  in its  opinion  the  legislature intended,  even  though  this involves attributing a meaning divorced from the words  used and  then  adjust  the  meaning to  the  conclusion  it  has reached. Warburton v. Loveland, 2 D. & Cl. (H.L.) 480.  Salomon v. A. Salomon & Co., [1897] A.C. 22 and Cox v. Hakes, 15 App. cas. 506,followed. (iv) The  only way cl. (aa) could be read is to  relate  the words "public purpose" to the nature of the industry carried on  by  the company and by no rule of construction  with  or without extrinsic aide or with reference to the context, not to  speak of rules of grammer, can the reference  to  public purpose  be  related to the building or work for  which  the acquisition is permitted to be made- (v)  Where  the provisions, as in the present case, gives  a case  blanche to Government to acquire land for any  purpose it  Is not possible to sustain the validity of such law  and strike down merely the particular acquisition where land  is acquired  for a purpose which is not a public  purpose,  for here  the  vice is in the law itself and not merely  in  its application. Clause  (aa)  of  s. 40 is violative of Art.  21(2)  of  the Constitution.

JUDGMENT: ORIGINAL JURISDICTION: Writ Petition No. 137 of 1962. Petition under Art. 32 of the Constitution of India for  the enforcement of Fundamental Rights. C.   B. Agarwala and Naunit Lal, for the petitioner. M.   C. Setalvad and C. P. Lal, for respondent No. 1. C.   K. Daphtary, Attorney-General, N. S. Bindra and R.   H. Dhebar, for respondent No. 2.

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M.   C. Setalvad, M. S. Devendra Swarup and J. P. Goyal, for respondent No. 3. I.   M.  Nanavati,  O.  C.  Mathur,  J.  B.  Dadachanji  and Ravinder Narain. for Intervener No. 1. 788 Rajani Patel and 1. N. Shroff, for Intervener No. 2. February  14, 1964.  The Judgment of P.  B.  Gajendragadkar, C.J., K. N. Wanchoo, Das Gupta and Shah JJ. was delivered by Wanchoo  J.  Rajagopala Ayyangar J. delivered  a  dissenting Opinion. WANCHOO  J.-This petition under Art. 32 of the  Constitution is a sequel to the judgment of this Court in R. L. Arora  v. State  of U.P. (1).  The petitioner is the owner of  certain lands in village Nauraiya Khera, in the district of  Kanpur. He  got information in May 1956 that steps were being  taken to  acquire nine acres of his land for an  industrialist  in Kanpur.   He therefore wrote to the Collector  of  Kanpur,in that connection.  On June 25, 1956, however, a  notification was issued under s. 4 of the Land Acquisition Act, No. 1  of 1894 (hereinafter called the Act), stating that the land  in dispute  was required for a company for the construction  of textile machinery parts factory by Lakshmi Ratan Engineering Works  Limited, Kanpur.  This order was followed on July  5, 1956, by a notification under s. 6 of the Act, which was  in similar  terms.   This notification also  provided  for  the Collector  to  take possession of any waste or  parade  land forming part of the land in the Schedule to the notification immediately  under the powers conferred by s. 17(1)  of  the Act.  On July 31, 1956, the Collector took possession of the land  and  handed  it over to the company  along  with  some constructions   standing  on  it.   In  the  meantime,   the petitioner  filed a writ petition in the High Court on  July 31,  1956, praying that the notification under s. 6 of  July 1956  be  quashed  and also applied for  interim  stay.   As however possession had already been taken on July 31.  1956, the  application for interim stay became in fructuous.   One of the main grounds in support of the writ petition of  July 31,  1956  was  that ss. 38 to 42 of the Act  had  not  been complied  with.   Thereafter steps were taken by  the  State Government to comply with the provisions of ss. 38 to 42  of the  Act  and  an agreement was  entered  into  between  the Government and the company in August 1956 and was (1)  [1962] Supp. 2 S.C.R. 149. 789 published  in  the Government gazette on  August  11,  1956. This was done without making any enquiry either under s. 5-A or  s.  40 of the Act.  Therefore on September 14,  1956  an inquiry  was  ordered  by the Government under  s.  40.  The inquiry  was  accordingly  made  and  the  inquiry   officer submitted a report on October 3, 1956.  This was followed by a fresh agreement between the Government and the company  on December 6, 1956.  On December 7, 1956, a fresh notification was  issued  under  s. 6 of the Act  after  the  formalities provided  under  ss.  38  to  42  had  been  complied  with. Thereafter  a fresh notice was issued under s. 9 of the  Act and  it  appears that possession was  formally  taken  again after January 2, 1957. A fresh writ petition was filed by the petitioner before the High  Court on January 29, 1957 in view of the fresh  action taken  by the State Government and the main ground taken  in this  petition was that the notification was invalid  as  it was  not  in compliance with s. 40 (1) (b) of the  Act  read with  the fifth clause of the matters to be provided in  the agreement  under s. 41.  The petitioner failed in  the  High Court.   Thereafter he came by special leave to this  Court.

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This Court decided on a construction of s. 40 (1 ) (b)  read with  the fifth clause of the matters to be provided in  the agreement  under s. 41 that these provisions had to be  read together  and  required  that the work  should  be  directly useful to the public and that the agreement should contain a term  as  to how the public will have the right to  use  the work directly.  The provision as to access to land or  works for those having business with the company or the fact  that the  product  would be useful to public was  not  considered sufficient to bring the acquisition for a company within the meaning of the relevant words in ss. 40 and 41.  The  appeal therefore  was  allowed  on December 1, 1961  and  the  last notification  under  s.  6 was quashed: see  R.  L.  Arora’s case(1). On   July  20,  1962,  the  Land   Acquisition   (Amendment) Ordinance,  1962  (No.  3 of 1962) was  promulgated  by  the President of India.  By that Ordinance, ss. 40 and 41 of the Act were amended and certain acquisitions of land (1)  [1962] Supp.  S.C.R. 149.                             790 made  before  the  date  of  the  Ordinance  were  validated notwithstanding any judgment, decree or order of any  court. The   Ordinance  was  replaced  by  the   Land   Acquisition (Amendment) Act, No. 31 of 1962, (hereinafter referred to as the  Amendment Act), which was made retrospective from  July 20,  1962, the date on which the Ordinance was  promulgated. This Act made certain amendments in ss. 40 and 41 of the Act and  validated certain acquisitions.  The  present  petition challenges  the validity of the amendments to ss. 40 and  41 and also the validity of s. 7 of the Amendment Act by  which certain   acquisitions  made  before  July  20,  1962   were validated.  It is therefore necessary to read the amendments made  in  ss. 40 and 41 of the Act as well as s.  7  of  the Amendment  Act.   In s. 40(1) of the Act a  new  clause  was inserted in these terms:-               "(aa) that such acquisition is needed for  the               construction  of some building or work  for  a               company  which is engaged or is  taking  steps               for  engaging itself in any industry  or  work               which is for a public purpose;"               Section 41 was amended to read as below:-               "41.    If  the  appropriate   Government   is               satisfied  after  considering the  report,  if               any, of the Collector, under section 5A,  sub-               section  (2), or on the report of the  officer               making  an inquiry under section 40  that  the               proposed   acquisition  is  for  any  of   the               purposes  referred to in clause (a) or  clause               (aa)  or  clause  (b) of  sub-section  (1)  of               section  40, it shall require the  company  to               enter  into an agreement with the  appropriate               Government  providing to the  satisfaction  of               the  appropriate Government for the  following               matters, namely:               (1)               (2)               (3)               (4)               (4A)   Where  the  acquisition  is   for   the               construction  of  any building or work  for  a               corn.                                    791               pany  which is engaged or is taking steps  for               engaging itself ’in any industry or work which               is  for  a  public purpose,  the  time  within

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             which,  and  the  conditions  on  which,   the               building  or  work  shall  be  constructed  or               executed; and                                    (5)               section   7  of  the  Amendment   Act,   which               validated   certain  acquisitions   reads   as               follows:-               "Notwithstanding any judgment, decree or order               of any court, every acquisition of land for  a               company  made or purporting to have been  made               under  Part  VII of the principal  Act  before               20th day of July 1962, shall, insofar as  such               acquisition  is  not for any of  the  purposes               mentioned in clause (a) or clause (b) of  sub-               section  (1)  of section 40 of  the  principal               Act,  be  deemed  to have been  made  for  the               purpose  mentioned in clause (aa) of the  said               sub-section.   and  accordingly   every   such               acquisition   and   any   proceeding,   order,               agreement  or action in connection  with  such               acquisition  shall  be, and  shall  be  deemed               always  to  have  been, as  valid  as  if  the               provisions  of  sections  40  and  41  of  the               principal Act, as amended by this Act, were in               force   at  all  material  times   when   such               acquisition was made or proceeding was held or               order  was made or agreement was entered  into               or action was taken.               Explanation Besides these amendments which require consideration in the  prese nt petition, ss. 44A and 44B were also inserted in the  Act  providing  for restriction on transfer,  etc.  (s. 44A) and  making  certain provisions forbidding  acquisition of land for  a private company other than a government company (s.  44B). It is however not necessary to set out the terms of these new sections. 792 The   present  petition  challenges  the  validity  of   the amendments  to ss. 40 and 41 of the Act and also of s. 7  of the  Amendment Act, and the challenge is made in  this  way. It is submitted that the amendments made to ss. 40 and 41 of the  Act are ultra vires, as they contravene Art. 31(2)  and Art. 19(1)(f) of the Constitution.  The argu ment is that on a  construction of the amendment to s. 40 by which cl.  (aa) has  been  introduced  therein,  it  is  provided  that  all acquisitions  made  for a company for construction  of  some building or work are permissible even though the building or work  for the construction of which the acquisition is  made may not be for a public purpose, as the new cl. (aa)  merely requires that the company which is applying for  acquisition is  engaged  or is taking steps for engaging itself  in  any industry  or  work, which is for a public  purpose.   It  is urged that all that this clause requires is that the company for  which the acquisition is being, made should be  engaged in any industry or work which is for a public purpose and in that case it can acquire land under this clause even  though the  particular  building or work for  the  construction  of which  land  is acquired may not be for  a  public  purpose. Therefore the new clause (ad) which permits such acquisition contravenes  Art.  31(2) which lays down  that  no  property shall  be compulsorily acquired save for a  public  purpose, and also Art. 19(1)(f), as such acquisition would amount ;to an unreasonable restriction on the fundamental right to hold

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property. The validity of s. 7 of the Amendment Act is attacked on the ground  that  it contravenes Art. 31(2) and Art. 14  of  the Constitution inasmuch as it makes, acquisition for a company before  July  20, 1962 as being for a  public  purpose  even though  it  may  not  be  so in  fact  and  thus  raises  an irrebuttable presumption of public purpose by fiction of law and so contravenes Art. 31(2) which requires that there must be an actual public purpose before land can be  compulsorily acquired.   And it also contravenes Art. 14 inasmuch  as  it makes  a discrimination in the matter of acquisitions for  a company before July 20, 1962 and after July 20, 1962 insofar as  the  former acquisitions are validated on the  basis  of their being deemed to be for a public  793 purpose while the latter acquisitions are not so deemed  and have to satisfy the test of public purpose. Besides  the attack as to the vires of these  provisions  in the  Amendment  Act,  it is urged that  the  rights  of  the petitioner cannot be affected by the validating provision in the Amendment Act as s. 7 of the Amendment Act does not  re- open  decided  cases and does not  revive  notifications  or acquisitions  struck  down by courts.  Lastly, it  is  urged that the, acquisition in the present case cannot be said  to be for a public purpose inasmuch as (firstly) the  agreement between the company and the Government does not regulate  or control  the products of the company in the interest of  the public,  and  (secondly)  the petitioner’s  land  which  was intended  to be used for one public purpose is  being  taken away  for  another such purpose.  We shall deal  with  these contentions seriatim. The  first  question  that falls for  consideration  is  the construction of cl. (aa) of sub-s. (1) of s. 40 of the  Act. The amendments to s. 41 are consequential and will stand  or fall with cl. (aa) inserted in s. 40(1).  It is contended on behalf  of the petitioner that on a literal construction  of this  clause  (which,  it is urged,  is  the  only  possible construction) it requires that the company which is  acquir- ing  :the land should be engaged or should be takincg  steps for engaging itself in any industry or work, which is for  a public purpose.  If a company satisfies that requirement  it can  acquire land for the construction of some  building  or work,  even  though  that building or work  may  not  itself subserve such public purpose.  Therefore, the argument  runs that  cl. (aa) permits compulsory acquisition of land for  a purpose other than a public purpose and is hit by Art. 31(2) of  the  Constitution, whereunder land can  be  compulsorily acquired only for a public purpose.  It may be conceded that on  a  literal construction the adjectival  clause,  namely, "which is engaged or is taking steps for engaging itself  in any  industry  or  work  which is  for  a  public  purpose", qualifies the word "company" and not the words "building  or work"  for the construction of which the land is needed,  So prima  facie it can be argued with some force that all  that cl. (aa) requires is that the company for which land, 794 is  being acquired should be engaged or about to be  engaged in any industry or work which is for a public purpose and it is not required that the building or work, for the construc- tion of which land is acquired should be for such public purpose. In approaching the question of construction of this  clause, it  cannot  be  forgotten that the  amendment  was  made  in consequence  of the decision of this Court in R. L.  Arora’s case(1)  and  the intention of Parliament was  to  fill  the

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lacuna,  which, according to that decision, existed  in  the Act in the matter of acquisitions for a company; nor can  it be  forgotten that Parliament when it enacted the  Amendment Act  was  aware  of Art. 31(2)  of  the  Constitution  which provides  that land can only be acquired compulsorily for  a public purpose and not otherwise.  It could not therefore be the intention of Parliament to make a provision which  would be in contravention of Art. 31(2), though it may be admitted that   if  the  language  used  is  capable  of   only   one construction  and  fails  to  carry  out  the  intention  of Parliament when making the amendment, the amendment may have to  be  struck  down  if  it  contravenes  a  constitutional provision.  Further, a literal interpretation is not  always the only interpretation of a provision in a statute and  the court has to look at the setting in which the words are used and the circumstances in which the law came to be passed  to decide whether there is something implicit behind the  words actually  used which would control the literal  meaning  ,of the  words used in a provision of the statute.  It  is  per- missible  to control the wide language used in a statute  if that is possible by the setting in which the words are  used and  the  intention  of the law-making  body  which  may  be apparent  from  the circumstances in  which  the  particular provision  came  to  be  made.   Therefore,  a  literal  and mechanical  interpretation  is not the  only  interpretation which  courts are bound to give to the words of  a  statute; and  it  may be possible to control the  wide  ’language  in which  a  provision is made by taking into account  what  is implicit in it in view of the setting in which the provision appears  and the circumstances in which it might  have  been enacted. (1)  [1962] Supp. 2 S.C.R. 149.                             795 We may in this connection, refer to a decision of this Court in  ’The  Mysore State Electricity Board  v.  The  Bangalore Woollen, Cotton and Silk Mills Ltd.(1), where the wide Words used  in  s. 76(1) of the Electricity (Supply) Act  of  1948 fell  for  interpretation,  and this Court  held  that  even though  the  words  used  were of  wide  amplitude,  it  was implicit in the sub-section that the question arising there- under  was  one which arose under the  Electricity  (Supply) Act.  Therefore, we have to see whether the provision in cl. (aa) bears another construction also in the setting in which it  appears and in the circumstances in which it was put  on the  statute book and also in view of the language  used  in the  clause.  The circumstances in which the amendment  came to  be  made  have  already been mentioned  by  us  and  the intention of Parliament clearly was to fill up the lacuna in the  Act which became evident on the decision of this  court in  R.  L. Arora’s case(2).  Parliament must  also  be  well aware  of the provision of Art. 31(2) which lays  down  that compulsory  acquisition of property can only be made  for  a public  purpose.  Clause (aa) was inserted between  cl.  (a) and  cl. (b) of s. 40(1).  Section 40(1) as it stood  before the amendment prohibited consent being given to  acquisition of  land by a company unless the acquisition was for one  of the  two reasons mentioned in cls. (a) and (b).   Those  two clauses  clearly showed that acquisition for a  company  was for a public purpose and such acquisition could not be  made for  any  purpose other than public  purpose.   Between  the existing cl. (a) and cl. (b) of s. 40 (1), we find cl.  (aa) being  inserted.   We also find that cl.  (aa)  specifically uses  the  words  "public purpose" and  indicates  that  the company  for  which land is required should  be  engaged  or about  to be engaged in so-me industry or work of  a  public

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purpose.  It was only for such a company that land was to be acquired  compulsorily  and  the  acquisition  was  for  the construction  of some building or work for such  a  company, i.e.  a  company  engaged or about to be  engaged  in  so-me industry  or  work which is for a public purpose.   In  this setting it seems to us reasonable to hold that the intention of Parliament could only have (1)  [1963] Supp. 2 S.C.R. 127.  (2) (1962) Supp.  2  S.C.R. 149. 796 been that land should be acquired for such building or  work for  a company as would subserve the public purpose  of  the company;  it could not have been intended,  considering  the setting in which cl. (aa) was introduced, that land could be acquired for a building or work which would not subserve the public  purpose  of the company.  In  the  circumstances  it seems  to  us  clear that the literal  construction  of  the clause   based  on  rules  of  grammar  is  not   the   only construction  of it and it is in our opinion  legitimate  to hold that the public purpose of the industry of the company, which  is imperative under the clause, also attaches to  the building or work for the construction of which land is to be acquired.   Further, acquisition is for the construction  of some  building or work for a company and the nature of  that company  is  that  it  is engaged or  is  taking  steps  for encaging  itself  in  any industry or work which  is  for  a public purpose.  When therefore the building or work is  for such a company it seems to us that it is reasonable to  hold that  the nature of the building or work to  be  constructed takes colour from the nature of the company for which it  is to  be  constructed.  We are therefore of opinion  that  the literal and mechanical construction for which the petitioner contends  is neither the only nor the true  construction  of cl. (aa) and that when cl. (aa) provides for acquisition  of land  needed  for construction of some building or  work  it implicitly intends that the building or work which is to  be constructed  must be such as to subserve the public  purpose of  the industry or work in which the company is engaged  or is  about to be engaged.  In short, the words  "building  or work" used in cl. (aa) take their colour from the adjectival clause  which governs the company for which the building  or work is being constructed and acquisition under this  clause can  only be made where the company is engaged or is  taking steps to engage itself in any industry or work which is  for a public purpose, and the building or work which the company is  intending  to construct is of the same  nature,  namely, that it is a building or work which is meant to subserve the public purpose of the industry or work for which it is being constructed.  It is only in these cases where the company is engaged  in an industry or work of that kind and  where  the building or work is also constructed for a purpose of 797 that  kind, which is a public purpose, that acquisition  can be  made  under cl. (aa).  As we read the clause we  are  of opinion  that  the public purpose of the company  for  which acquisition  is  to  be made cannot  be  divorced  from  the purpose of the building or work and it is not open for  such a  company to acquire land under cl. (aa) for a building  or work  which  will  not subserve the public  purpose  of  the company.  We are therefore of opinion that in the setting in which cl, (aa) appears and in the circumstances in which  it came  to be enacted, a literal and  mechanical  construction for   which  the  petitioner  contends  is  not   the   only construction  of  this  clause and  that  there  is  another construction which in our opinion is a better  construction,

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and which is that the public purpose of the company is  also implicit in the purpose of the building or work which is  to be constructed for the company and it is only for such  work or  building  which  subserves the  public  purpose  of  the company  that acquisition under cl. (aa) can be made.   Thus there  are two possible constructions of this clause, one  a mere  mechanical and literal construction based on rules  of grammar  and  the other which emerges from  the  setting  in which  the clause appears and the circumstances in which  it came  to  be enacted and also from the words  used  therein, namely,  acquisition being for a company which has a  public purpose behind it, and therefore the building or work  which is  to  be constructed and for which land is  required  must also  have the same public purpose behind it, that  animates the  company  making  the construction.   We  are  therefore clearly  of opinion that two constructions are  possible  of this clause of which the second construction which is  other than literal is the better one.  It is well settled that  if certain  provisions  of  law construed in one  way  will  be consistent with the Constitution, and if another interpreta- tion  would  render them unconstitutional, the  Court  would lean  in favour of the former construction: [see Kedar  Nath Singh  v. State of Bihar(1)].  We are therefore  of  opinion that  cl.  (aa)  does not permit  acquisition  of  land  for Construction of some building or work for a company ,engaged or to be engaged in an industry or work, which (1)  [1962] Supp. 2 S.C.R. 769 798 is  for  a public purpose unless the building  or  work  for which the land is acquired also subserves the public purpose of  the  industry or work in which the company  is  engaged. This  is in our opinion the better construction of cl.  (aa) taking into account the setting in which it appears and  the circumstances  in which it came to be enacted and the  words used therein.  If that is the true construction of cl.  (aa) it  cannot be said to contravene Art. 31(2), for the  public purpose  required therein is present where land is  required for  the  construction  of a building  or  work  which  must subserve the public purpose of the industry or work in which a company is engaged or is about to be engaged.  Nor can  it be said that the provision is hit by Art. 19 (1 ) (f ),  for it  would in our opinion be a reasonable restriction on  the right  to hold property.  We hold therefore that the  clause so  interpreted  is not unconstitutional.  We  have  already said that the amendments in s. 41 are only consequential  to the insertion of cl. (aa) in s. 40(1) and would therefore be equally valid and constitutional. We  now  come  to  the constitutionality  of  s.  7  of  the Amendment  Act,  which  is attacked on the  ground  that  it contravenes Art. 31(2) and Art. 14 of the Constitution.  Let us therefore see what exactly s. 7 validates and under  what conditions.   It first provides that the acquisition  to  be validated  must  have  been  made  before  July  20,   1962. Secondly  it provides where such acquisition is not for  any of the purposes mentioned in cl. (a) or cl. (b) of s.  40(1) of  the  Act,  it  shall be deemed to  be  for  the  purpose mentioned  in  cl.  (aa) introduced by  the  Amendment  Act. Thirdly  it provides that every such acquisition  shall  be, and  shall be deemed always to have been as valid as if  the provisions  of ss. 40 and 41 of the Act, as amended  by  the Amendment Act, were in force at all material times when such acquisition  was  made or proceeding was held or  order  was made  or  agreement was entered into or  action  was  taken. Lastly,  it  provides that such acquisition shall  be  valid notwithstanding any judgment, decree or order of any  court.

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Terefore before s. 7 can validate an acquisition made before July  20, 1962, it must first be shown that the  acquisition is complete and the land acquired has vested in  Government. This 799 means that the land acquired has vested in Government either under  s.  16  or s. 17(1) of the Act.  Thus  s.  7  of  the Amendment Act validates such acquisitions in which  property has vested absolutely in Government either under s. 16 or s. 17  (1).  Secondly s. 7 of the Amendment Act  provides  that where  acquisition has been made for a company  before  July 20, 1962 or purported to have been made under cl. (a) or cl. (b)  of s. 40(1) and those clauses do not apply in  view  of the interpretation put thereon in R. L. Arora’s case(1),  it shall  be  deemed that the acquisition was for  the  purpose mentioned in cl. (aa) as inserted in s. 40(1) of the Act  by the  Amendment  Act.   Thirdly s. 7  of  the  Amendment  Act provides  that  every such acquisition and  any  proceeding, order,   agreement  or  action  in  connection   with   such acquisition  shall  be, and shall be deemed always  to  have been, as valid as if the provisions of ss. 40 and 41 of  the Act  as  amended by the Amendment Act were in force  at  all material   times  when  any  action  was  taken   for   such acquisition.   Finally,  this  validity  is  given  to  such acquisitions   and  to  all  actions  taken  in   connection therewith  notwithstanding any judgment, decree or order  of any court. This is what s. 7 of the Amendment Act provides.  The attack on  it  on  the  basis of Art. 31(2) is  that  it  makes  an irrebuttable  presumption  that the acquisition  was  for  a public purpose, though it may not be actually so and  there- fore  contravenes Art. 31(2) inasmuch as the result of  this irrebuttable  presumption is that acquisition which may  not have  been  for a public purpose, is validated.  We  do  not think that there is any force in this contention in view  of the  interpretation we have given to cl. (aa) introduced  in s.  40 (1).  The first fiction in s. 7 is that it  shall  be presumed that acquisitions before July 20, 1962, if they  do not  fall  within cl. (a) or cl. (b) of s. 40(1),  shall  be deemed to fall within cl. (aa).  That means that building or work  for  which  acquisition was made was  required  for  a public  purpose of the kind indicated in cl. (aa).  It  does not however follow from this that if the purpose was not  of the  kind  indicated in cl. (aa) it will still  be  presumed that  the acquisition was for the purpose mentioned  in  cl. (aa).  All (1)  (19521 Supp. 2 S.C.R. 149. 800 that the first deeming provision lays down is that where the public  purpose does not come within cl. (a) or cl.  (b)  it should be deemed to come within cl. (aa), provided it is  of a  kind  which can come within this clause.   The  intention behind this deeming provision clearly is to make the purpose of  an acquisition made before July 20, 1962 which does  not fall  within cl. (a) or cl. (b) of s. 40(1) to be judged  in accordance with the provisions contained in cl. (aa).  On  a reasonable interpretation, this deeming provision  therefore only  provides that where the purpose does not  fall  within cls. (a) and (b), it shall be deemed to fall under cl.  (aa) and  to be judged in accordance therewith.  If in  fact  the purpose  of  any acquisition made before July 20,  1962,  is such as does not fall within cl. (aa), the deeming provision would  be of no avail.  Thus the first of the  two  fictions introduced  by  s. 7 of the Amendment Act merely  lays  down that  where a notification under s. 6 of the Act  cannot  be

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justified under cl. (a) and cl. (b) of s. 40(1), it will  be judged  in accordance with the provisions contained  in  cl. (aa)  and if it satisfies those provisions, the  acquisition will  be deemed for the purpose of that clause, as  if  that clause  existed at the relevant time, though in actual  fact it did not.  The first fiction therefore in our opinion goes no  further than this and does not provide that even  though the purpose of acquisition does not fall within cl. (aa), it will  still be deemed to be a public purpose.  In this  view of the matter, we are of opinion that the attack on s. 7  on the basis of Art. 31(2) must fail. Next  it is urged that s. 7 of the Amendment Act is  hit  by Art. 14 inasmuch as it discriminates between acquisition for a  company before July 20, 1962 and after that date.  We  do not think that there is any force in this contention either. In  the view we have taken of the meaning of cl.  (aa)  land the  meaning of the first fiction introduced in s. 7 of  the Amendment  Act, all that the second fiction in s. 7  of  the Amendment  Act  says  is  that when  the  first  fiction  is satisfied the second fiction will come into force and  every such  acquisition  and any proceeding, order,  agreement  or action  in  connection with such acquisition shall  be,  and &hall  be  deemed always to have been, as valid  as  if  the provisions 801 of  ss.  40 and 41 of the Act, as amended by  the  Amendment Act,  were  in  force  at all  material  times.   In  effect therefore  s. 7 provides that even though acquisitions  made before  July 20, 1962 do not satisfy the conditions  of  cl. (a)  and  cl. (b) of s. 40(1), they will be  valid  if  they satisfy  the  conditions of cl. (aa) as  introduced  by  the Amendment  Act, as if that clause was in existence when  the acquisition was made before July 20, 1962.  In this view  we are of opinion that there is no discrimination in the matter of acquisition for a company before July 20, 1962 and  after that date because in either case the conditions of cl.  (aa) have  to be actually satisfied whether the  acquisition  was before July 20, 1962 or thereafter, as the validation by  s. 7  of the Amendment Act is only of such  acquisition  before July  20, 1962 which actually satisfy the provisions in  cl. (aa). We  may in this connection refer to the words "as  valid  as if" appearing in s. 7 of the Amendment Act, because they are in our opinion the key words for the purpose of interpreting the extent of the validity conferred on acquisitions  before July 20, 1962.  What the second fiction provides is that  an acquisition  made before that date shall be as valid  as  if the provisions of ss. 40 and 41 of the Act as amended by the Amendment  Act  were in force at all  material  times.   The force  of  the words "as valid as if" clearly  is  that  the validity  of acquisitions made before July 20, 1962, has  to be  judged  on the basis that cl. (aa) was in force  at  the material  time  and in accordance therewith.   The  validity therefore  is  not absolute; it is conditioned by  the  fact that  it  will be as valid as if cl. (aa) was in  force;  so that if it could not be valid even if cl. (aa) was in  force and  could not be justified under the terms of that  clause, the validity conferred by s. 7 of the Amendment Act will not attach to it. This in our opinion is the force of the  words "as  valid as if" and the validity it has conferred  is  not absolute  as contended on behalf of the petitioner and  will not apply to those acquisitions which would not be valid  if they  could  not  be  justified on the  basis  of  cl.  (aa) assuming  it to be in force at the material time.   In  this view  the attack under Art. 14 as well as Art. 31(2)  fails,

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for  in neither case can acquisition be valid  whether  made before July 20, 1962 or thereafter unless the conditions  of cl. (aa) are satisfied. 134-159 S.C.-51 802 Next  it is urged that even if s. 7 is intra vires, it  does not  reopen decided cases and does not revive  notifications and acquisitions actually struck down by courts.  We see  no force  in this contention.  Section 7 opens with  the  words "notwithstanding any judgment, decree or order of any court" and the validity conferred by it on acquisitions made before July  20, 1962 is thus notwithstanding any judgment,  decree or  order  of any court.  These are the usual  words  to  be found  in validating legislation where the intention  is  to validate  some action which would otherwise be  invalid  and which  may  have been declared invalid by  any  court.   The purpose  of  such words in a validating  legislation  is  to declare valid what has been held invalid by courts and  once the  legislature declares such action valid all steps  taken in  connection  therewith  are validated to  the  extent  of validation.    The   result  of  the  validation   is   that notifications or other steps taken which may otherwise  have been invalid become valid.  Further an acquisition also even though  it  may have been struck down by a  court  would  be validated if it has been made in the sense that property  in the  land  to be acquired has vested  in  Government  either under  s. 16 or s. 17 (1) of the Act.  It is not in  dispute in  this  case that the property has  vested  in  Government under  s. 17(1) or the Act.  It is also not in dispute  that the  purpose  of the company was a public  purpose,  namely, manufacture   of  textile  machinery  parts  and  that   the acquisition was also for the construction of works for  that purpose.  In the circumstances we fail to see how it can  be said  that  the  rights  of the  petitioner  have  not  been affected  at all by the validating provision in s. 7 of  the Act.  The contention under his head also fails. Then  it is urged that the acquisition in the  present  case cannot  be said to be for a public purpose inasmuch  as  the agreement  between the company and the Government  does  not regulate  or  control  the products of the  company  in  the interest of the public.  We have not been able to understand exactly what is meant by this.  As we have already said,  it is  not  in  dispute that the purpose of the  company  is  a public  purpose,  namely, production  of  textile  machinery parts,  and  the land is acquired for  the  construction  of works  803 for  that  purpose.  The agreement shows that  the  land  is required  for the construction of a work, namely, a  factory for the manufacture of textile machinery and parts’ and that such work is likely to prove useful to the public.  One term of  the  agreement is that the company, its  successors  and assignees  will use the said land for the aforesaid  purpose and  for no other purpose without the previous  sanction  in writing of the State Government.  Another term provides that if  the  said  land or any part or parts  thereof  shall  no longer  be  required by the company, then the  company  will forthwith  relinquish and restore the same,  after  removing all  buildings  and structures, to the Governor at  a  price equal  to the amount paid by it under the Act.  It is  clear therefore that the land cannot be used for any other purpose and  it will have to be restored to the Government if it  is not used for the purpose for which it was acquired.  In this connection  reference may be made to s. 44-A  introduced  by the Amendment Act which lays down that "no company for which

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any  land is acquired under this Part shall be  entitled  to transfer  the said land or any part thereof by  sale,  mort- gage,  gift,  lease or otherwise except  with  the  previous sanction  of the appropriate Government".   ’This  provision also  provides a safeguard that the land will only  be  used for  the  public purpose for which it is  acquired  and  not otherwise.   The  aforesaid terms in the  agreement  in  our opinion satisfy the condition that the land will be used for the  public purpose for which it was being acquired and  for no other.  Therefore the acquisition is for a public purpose as provided in cl. (aa).  We do not think it is the  purpose of the Act that the agreement should provide for  regulation or  control  of the products of a  company,  which  probably means   that  Government  should  control  the  quantum   of production  and  distribution or the price of  the  produced articles.  This in our opinion is foreign to the purpose  of the  Act.  All that the Act requires is that before land  is transferred to the company by the Government, the  agreement should  provide that land would be used for the purpose  for which it was acquired and for no other.  The Act has nothing to do with the control or regulation of the products of  the company  and  gives no power to Government in  that  behalf. Nor  do we think it was necessary in order that  the  public purpose 804 mentioned  in  cl. (aa) is carried out to have  any  further term in the agreement besides those which have been provided in  the  agreement in this case.  The  contention  that  the acquisition in the present case was not for a public purpose as  the  agreement  does not provide  for  the  control  and regulation  of  the product of the  company  must  therefore fail. Lastly it is urged that the petitioner who was a businessman was  intending to use the land for erecting a  factory.   He could not do so because certain rules did not permit him  to build a factory adjacent to the military installations which had been put up by the Defence Department on adjoining land. It is urged that it could not be the purpose of the Act that land  which was intended to be used for one  public  purpose should  be acquired for ’another public purpose.  We see  no force in this contention either.  All that the Act  requires is  that the land should be required for a  public  purpose. The intention of the previous owner whatever it may be  does not in our opinion enter into the question at all, so far as :the  validity of the acquisition is concerned provided  the acquisition  is  for  a public purpose.   Whether  the  land should  be  acquired or not is a matter which may  be  urged under  s. 5-A of the Act, which gives the owner of the  land the  right  to  object to the acquisition,  and  it  is  for Government to decide whether the objection should be allowed or rejected.  Once the Government decides that the objection should be rejected and that the acquisition is needed for  a public  purpose the validity of the notification under s.  6 and the subsequent action thereafter cannot be challenged on the  ground that the-previous owner himself intended to  use the  land for some public purpose.  In this  connection  our attention  is invited to the observations of this  Court  in Province  of Bombay v. Kusaldas S. Advani(1), where  it  was observed  that "under certain circumstances even securing  a house  for  an  individual may be in the  interests  of  the community,  but it cannot be to the general interest of  the community to requisition the property of one refugee for the benefit  of  another refugee".  These  observations  in  our opinion have no (1)  [1950] S.C.R. 621. 687.

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805 relevance  to the matter under consideration.  We  are  con- cerned here with acquisition for a public purpose, which  is undisputed.   This  is not a case of a house of  one  person being   requisitioned  for  another;  this  is  a  case   of constructing  some work which will be useful to  the  public and  will subserve the public purpose of the  production  of textile  machinery and its parts for the use of the  general public.  In these circumstances we are of opinion that there being  a definite public purpose behind the  acquisition  in the  present case, the acquisition would be justified  under the Act irrespective of the intention of the previous  owner of  the land to use it for some other public  purpose.   The contention under this head must also fail. It  now remains only to consider the argument on  behalf  of the intervener that cl. (aa) violates Art. 14 inasmuch as it permits  acquisition  of land for a company but not  for  an individual  or a private company, though the  individual  or the  private company may also be engaged in or taking  steps to engage himself or itself in an industry or work which  is for  a public purpose.  Reference was also made to s.  44-B, introduced  by  the  Amendment Act,  which  lays  down  that "notwithstanding  anything  contained in this Act,  no  land shall  be acquired under this Part, except for  the  purpose mentioned  in clause (a) of sub-section (1) of  section  40, for  a private company which is not a  Government  company". It  is  said that there is discrimination between  a  public company  and  a  Government company for which  land  can  be acquired  under  cl.  (aa) on the one  hand  and  a  private company  or  an individual on the other.  It  is  true  that acquisition for the purpose of cl. (aa) can only be made for a Government company or a public company and cannot be  made for a private company or an individual; but there is in  our opinion a clear classification between a public company  and a  Government company on the one hand and a private  company and an individual on the other, which has a reasonable nexus with  the  objects  to  be  achieved  under  the  law.   The intention  of  the  legislature  clearly  is  that   private individuals and private companies which really consist of  a few private individuals banded together should not have  the advantage of acquiring land even though they 806 may  be intending to engage in some industry or  work  which may  be  for  a public purpose inasmuch  as  the  enrichment consequent on such work goes to private individuals or to  a group  of  them who have formed themselves  into  a  private company.  Public companies on the other hand are broad based and Government companies are really in a sense no  different from Government, though for convenience of administration  a Government  company  may  be formed, which  thus  becomes  a separate  legal  entity.  Thus in one case  the  acquisition results  in private enrichment while in the other it is  the public which gains in every way.  Therefore a distinction in the  matter of acquisition of land between public  companies and  Government  companies  on  the  one  hand  and  private individuals  and  private companies on the other is  in  our opinion justified, considering the object behind cl. (aa) as introduced  into  the Act.  The contention under  this  head must therefore also fail. The  petition therefore fails and is hereby  dismissed.   In the circumstances we pass no order as to costs. AYYANGAR  J.  I  have  had the  advantage  of  perusing  the judgment prepared by Wanchoo, J. but regret my inability  to agree  with it.  In my opinion this writ petition has to  be allowed.

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The facts of the case and the relevant statutory  provisions whose  construction is involved in the petition,  have  been set  out in full in the judgment just now pronounced and  it is  therefore unnecessary for me to recapitulate them.   The principal points on which learned counsel for the petitioner rested  his  case  were mainly two: (1)  that  s.  40(1)(aa) introduced by s. 3 of the Land Acquisition Amending Act (Act XXXI  of 1962) which I shall hereafter refer to as the  Act, was  unconstitutional, in that it authorised the  compulsory acquisition  of land for purposes which might not at all  be public purposes and was therefore violative of Art. 31(2) of the  Constitution,  and (2) that s. 7 of the  Act  by  which acquisitions  of  land made prior to July 20, 1962  for  the purposes  mentioned  in s. 40(1)(aa) were  purported  to  be validated  did  not  on its proper  construction  cover  the present  case  and  further, even if it did  that  the  said provision was 807 invalid  as ultra vires for the very same reason  for  which cl. (aa) was. I  shall  first  take up the submission made to  us  by  Mr. Agarwal  about  the amendment effected to s.  40(1)  by  the introduction  of  the new clause (aa).   That  clause  reads "that  such  acquisition is needed for the  construction  of some  building or work for a company which is engaged or  is taking  steps  for engaging itself in any industry  or  work which is for a public purpose", so that after the  amendment land may be compulsorily acquired by the State for a company for  being utilised for the purpose above set out.   It  was not  disputed by Mr. Setalvad who, appearing for  the  first and  3rd respondents, addressed to us the main arguments  on behalf  of  the  respondent, nor by  the  learned  Attorney- General appearing for the Union of India that if on a proper construction of cl. (aa) power was reserved to  compulsorily acquire land for a purpose other than a public purpose,  the same  would  infringe  Art. 31(2) of  the  Constitution  and would, therefore, be void.  The scope of the inquiry in  the petition  is  therefore  narrowed  down  and  it  would   be sufficient  to  consider  merely the  construction  of  this clause and ascertain whether the purpose for which authority is  conferred by it for making an acquisition, is  a  public purpose. The  clause  starts with the words that the  acquisition  is needed for the construction of a building or work.  It  goes without  saying that if the power to acquire here  conferred is  related to the construction of a building or work  which is essential for starting an industry or for carrying on  an industry  which is necessary to be carried on in the  public interest. the acquisition would be for a public purpose  and undoubtedly  the provision would be valid.  The question  is whether  the  words  of  the  clause  are  capable  of  this construction.  The words of the clause may be thus split up: (1) the land is needed for the construction of "a  building" or  "work",  and  (2) that "building" or  "work"  is  for  a company which is engaged (omitting the immaterial words)  in an  industry  or  work  which  is  for  a  public   purpose. Therefore,  if  a company which is engaged  in  an  industry which  industry is invested with a public purpose  i.e.,  if the  industry itself serves a public purpose, that the  land is  needed  for the construction of a building or  work  for such a company is made sufficient 808 to  enable the acquisition to be made.  In other words,  the criterion of the justification for the acquisition is,  that it  is  for a company of a designated nature, not  that  the

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land  acquired  is needed for a building or  work  which  is essential for the carrying on of an industry which serves  a public purpose.  The company might be engaged in an industry which  might  be  informed  by a  public  purpose  or  whose products might be essential for the needs of the  community. but under the clause as enacted it is not necessary that the land  acquired is needed for being used for the  purpose  of that  industry  but  may be needed for any  purpose  of  the company,  the  only  qualification being  that  the  company answers  the description set down in the clause.   Thus,  to take the present case, the third respondent-company  intends to start a factory for the manufacture of textile machinery, in   the   present  state  of   the   country’s   industrial development.  There could be no dispute that the industry in which  the third respondent is engaged or would be  engaged, would serve a national need and therefore a public  purpose. But, as was put during the course of the argument, the  land acquired  might  be  needed not for the putting  up  of  the factory  premises or essential buildings connected  with  it for its operational needs, if one might use that expression, but  say  for  a  swimming pool or a  tennis  court  in  the compound  of the Directors’ residence for whom  the  company might consider it proper to provide accommodation.  To  take a more extreme case, the company’s factory may be in city A, and if the company wants to provide a guest house, a holiday home  or  accommodation  for its Directors at  city  B,  the clause  will  enable  the acquisition to  be  made  for  the purpose.   It cannot be contended that the use of  the  land for such a purpose was invested with a public purpose so  as to  permit compulsory acquisition of land having  regard  to the terms of Art. 31 (2). The question, therefore, arises whether an acquisition for a purpose  of this type is or is not permitted on cl. (aa)  as it now stands.  I am clearly of the opinion that an acquisi- tion  for such a purpose would be covered, for the only  two tests  that  are  prescribed  in  it  as  conditions  to  be satisfied  before  an acquisition could be made  under  this clause are (1) that the land is needed for the  construction of a building or 809 work for a company i.e., the acquisition of the land and the construction  are intra vires of the memorandum of  associa- tion  of  the company, and (2) that company  for  which  the acquisition is being made is one engaged or is to be engaged in an industry which is for a public purpose. The  first,  and I would say the primary submission  of  Mr. Setalvad  was that the words "for a public purpose"  at  the end  of  the  clause  ought to  be  read  as  governing  and qualifying the words "building or work for a company"  which occur  earlier, so that under the clause not merely has  the company to be one of the type described i.e. engaging in  an industry  which serves a public purpose but such  a  company needs  the land for the construction of a building  or  work which  is  essential for that industry to  be  commenced  or carried  on.   I feel unable to accept this  as  a  possible construction of the words used.  For that construction to be adopted  even the transposition of the words "for  a  public purpose" to an earlier point after the words "for a company" would  not be sufficient assuming the rules of grimmer  per- mitted such a course; for, then it would leave out the  des- cription or categorisation of the company for which the land is needed, and in such a situation the entire object of  the amendment  would be frustrated, as- it would not be  a  con- dition that the industry in which the company is engaged  is one  which  is  required in public interest.   Even  if  the

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clause  were rewritten so as to introduce the words  "for  a public purpose" earlier and also retain them where it occurs now, the construction for which Mr. Setalvad contends cannot result, for then it would not make much sense, for the words "for  a  public  purpose" if transposed  earlier  would  not convey  the  meaning which Mr. Setalvad  says  they  convey, because  the construction which learned counsel suggests  is that  the clause means that the land is needed for the  con- struction of the factory and other essential buildings for a company  engaged  in an industry which serves  the  national interest.  By no transposition of the words actually used in the clause can such a transformation be achieved. The position as regards the construction of cl. (aa) is  not improved  when  one  turns to  the  consequential  amendment effected  in s. 41 of the Land Acquisition Act where  a  new cl. 4(a) has been introduced by s. 4 of the Act.  If in this 810 provision  at least, which deals with the  agreements  which the  Government is directed to enter info. it is clear  that the acquisition could be made only for a public purpose  and not    for what one might term "the private purposes"  of  a company  engaged in an industry which is essential  for  the public,  then  one could read cl. (aa)  together  with  this provision  and  use the terms of s. 41  for  construing  the scope and purpose of s. 40(1)(aa).  Clause 4(a) reads:               "Where the acquisition is for the construction               of any building or work for a company which is               engaged or is taking steps for engaging itself               in any industry or work which is for a  public               purpose   the  time  within  which,  and   the               conditions on which the building or work shall               be constructed or executed; If  anything,  therefore,  cl.  4(a)  emphasizes  that  what Parliament  considered  essential  was  the  nature  of  the company for whose benefit the acquisition was being made and not the nature of the use to which the property acquired may be put and that it would not matter if a company of the type described  used  the land acquired for the pleasure  of  its Directors  or  for  its private purposes  unrelated  to  the purpose  of the industry in which it was  engaged.   Lastly, some  attempt was made to show that the rules  framed  under the  Land  Acquisition  Act themselves threw  light  on  the purpose for which the acquisition was to be made but it was, however,  conceded  that the rules  afforded  no  assistance either way on the matter. It was then submitted that there is a presumption in  favour of  constitutionality  and that the clause ought  to  be  so read,  if that were possible so as to sustain its  validity. I  quite  agree that if the language were  flexible  in  the sense  that it could be read so as to make it refer only  to cases  of acquisition for a public purpose, this  could  and ought  to  be  done.  But this assumes that  the  clause  is reasonably  capable of two interpretations: one which  would render  it unconstitutional and the other which even  though it be a little strained, would make it constitutional.  then the Court would lean in favour of the latter construction.  811 The  question therefore is whether the clause is capable  of more  than  one interpretation.  I would be stating  only  a truism  if I said that there is no scope for  interpretation here.   With  profound respect for my  learned  brethren,  I consider  that  the words are capable only of  one  meaning. Rules   of  construction  are  merely  aids   to   resolving ambiguity.  if any exists.  The first and primary  rule,  if those  rules  have  to  be invoked, is  to  take  the  words

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themselves  and  then arrive at their true meaning.  for  if they  disclose an intelligible meaning, then the process  of interpretation stops unless the words are reasonably capable of  being  understood  in more than one  way  and  rules  of interpretation  are then invoked to resolve that  ambiguity. It  was not suggested that the words do not, as they  stand, make sense.  They do, only the sense which they convey makes the  clause  unconstitutional.  No doubt, the meaning  of  a word  may vary with the setting or context, but that is  not the position here.  One asks in vain which is the word which is said to bear a different meaning from the natural normal, dictionary sense, because of the context or setting"? It  was,  however,  urged that it could not  have  been  the intention of Parliament to have intended the clause to  mean what appears to be meaning which I have said the words bore. But this argument ignores the basic principle underlying all rules  of statutory construction that the intention  of  the legislature has to be gathered only from the meaning of  the words  used,  for  they  are the only  means  by  which  the intention  of the law-maker could be gathered.  It  is  only where  there  is an ambiguity and the words are  capable  of more  than  one construction that any extrinsic aid  in  the shape  of the purpose of the legislature, or the  object  of the  legislation  come  in  for  consideration.   "Were  the language of an Act is clear and explicit," said Tindal, C.J. in  Warburton  v. Loveland(1), "we must give effect  to  it, whatever be the Consequences, for in that case the words  of the  statute  speak  the  intention  of  the   legislature". Authority  is  not  needed  for  the  proposition  that  the intention  of  the  legislature  is  not  a  matter  to   be speculated upon.  Interpretation or construction cannot mean that  a Court first reaches a conclusion as to what  in  its opinion the legislature intended, (1)  2 D. & Cl. (H.L.) 480 at p. 489. 812 even  though  this involves attributing a  meaning  divorced from  the  words used, and then adjust the  meaning  to  the conclusion  it has reached.  As was observed by Lord  Watson in an oft quoted passage in Salomon v. A. Salomon & Co. (1):               "Intention of the legislature is a common  but               very   slippery   phrase,   which,   popularly               understood,   may   signify   anything    from               intention  embodied in positive  enactment  to               speculative opinion as to what the legislature               probably would have meant, although there  has               been  an omission to enact it.  In a court  of               law  or equity, what the legislature  intended               to  be  done  or not to be done  can  only  be               legitimately  ascertained  from  what  it  has               chosen to enact, either in express words or by               reasonable and necessary implication.’               It  was the same principle that was  explained               by  Lord Herschell in Cox v. Hakes(2) when  he               said:               ".....It must be admitted that if the language               of  the legislature interpreted  according  to               the recognised canons of construction involves               this result, your Lordships must frankly yield               to it even if you should be satisfied that  it               was   not   in  the   contemplation   of   the               legislature." The  only  way in which I am able to read the clause  is  to relate  the  words  "public purpose" to the  nature  of  the industry  carried  on  by  the company and  by  no  rule  of construction   with  or  without  extrinsic  aids  or   with

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reference to the context, not to speak of rules of  grammar, can  the  reference  to public purpose  be  related  to  the building  or work for which the acquisition is permitted  to be made. The  learned Attorney-General submitted that  the  provision could  and  ought  to  be read  down  and  confined  in  its operation  to  acquisition for public purposes  as  properly understood; in other words, to sever the constitutional from the  unconstitutional portions and uphold the former.  I  do not  find  it possible to adopt this approach  in  a  clause worded  like the one before us.  On the construction of  the clause  which I hold is the only possible one to  adopt,  it means the (2)  15 A.C. 506 at p. 528. (1) [1897] A.C. 22 at p. 38.  813 State  is  empowered to compulsorily acquire land  for  com- panies which satisfy the description of being engaged in  an industry  which is essential for the life of  the  community whether or not the purpose for which the company proposes to use  the  land.  acquired is a public  purpose.   Where  the purpose for which the acquisition could be made is indicated by the enactment and that purpose is one which is  primarily constitutionally  permissible,  but the words  employed  for indicating the purposes might possibly include some  outside the power of the legislature, an argument about reading down would   require  consideration.   But  in  the  clause   now impugned, there is no purpose indicated at all, except  that it  is needed for a company which falls within a  particular category.  For such a situation I consider that there is  no scope at all for invoking the principle of reading down. Again,  where  the provision gives a carte blanche  to  Gov- ernment  to acquire land for any purpose it is not  possible to sustain the validity of such a law and strike down merely the  particular  acquisition where land is  acquired  for  a purpose which is not a public purpose, for here the vice  is in the law itself and not merely in the application. I am, therefore, clearly of the opinion that cl. (aa) intro- duced  by the Amending Act XXXI of 1962 is  unconstitutional as violative of Art. 31(2). In this view it is unnecessary for me to consider the proper construction  of s. 7 of the Amending Act.  Under the  terms of  s. 7 of the Act, all acquisitions of land made prior  to June  20,  1962, even accepting the construction  which  Mr. Setalvad pressed upon us, are deemed to have been made for a purpose  falling within cl. (aa).  If, as I have  held,  cl. (aa) is unconstitutional and void, it was not contended that s.  7 would of any assistance to the respondents to  sustain the   acquisition  of  the  petitioner’s  land.   I   would, therefore,  allow the petition and grant the reliefs  prayed for therein.                            ORDER In accordance with the opinion of the majority the  petition fails and is dismissed.  There will be no order at the costs.  Petition dismissed 814