Supreme Court of India (Division Bench (DB)- Two Judge)

Appeal (Civil), 1351-1352 of 2016, Judgment Date: Feb 15, 2016

                                                                  Reportable


                        IN THE SUPREME COURT OF INDIA


                        CIVIL APPELLATE JURISDICTION


                  CIVIL APPEAL NOs.    1351-1352    OF 2016
            (@ SPECIAL LEAVE APPEAL (C) Nos. 22677-22678 of 2011)



N. Venkateshappa.                                              …… Appellant

                                   Versus

Munemma & Ors.                                               …. Respondents



                                   JUDGMENT


Uday Umesh Lalit J.


1.    Leave granted.


2.    These appeals arise out of Judgment  and  Order  dated  27.07.2010  in
Regular Second Appeal No.323 of 2008 and order  dated  1.06.2011  passed  in
R.P. No.476 of 2010 by the High Court of Karnataka at Bangalore.

3.    The Karnataka Village Offices  Act,  1961  abolishes  village  offices
which were held hereditarily before the commencement of the Constitution  of
India.  The appointed date under Section 2(a)  of  the  Act  is  01.02.1963.
Section 4 of the Act abolishes all village offices on and with  effect  from
the appointed date and sub-section (3) of Section 4 stipulates that  subject
to the provisions of Sections 5, 6 and 7 land annexed to  a  village  office
shall stand resumed and be subject to the payment of land revenue as  if  it
were unalienated land or ryotwari land.  Section 5  of  the  Act  lays  down
that the lands so resumed under Section 4(3) of  the  Act  and  not  falling
under Sections 6 and 7 of the Act be granted to the person who were  holders
of the village offices immediately prior  to  the  appointed  date  on  such
payment as prescribed.  Sections 6 and 7 of the Act lay  down  that  if  the
land so resumed is held by an authorized holder it shall  be  re-granted  to
such holder on payment of occupancy price as prescribed.

4.    The Act was amended by Act No.13 of 1978  which  inter  alia  inserted
Section 5(4) as under:-
“5(4) Any transfer of land in contravention  of  sub-section  (3)  shall  be
null and void and the land so transferred shall, as  penalty,  be  forfeited
to and vest in the State Government  free  from  all  encumbrances  and  any
person in possession thereof shall be summarily  evicted  therefrom  by  the
Deputy Commissioner and the land shall be disposed  of  in  accordance  with
the law applicable to the disposal of unoccupied unalienated lands:
Provided that if the person who has transferred the  land  in  contravention
of sub-section (3) is not alive, while disposing of  such  land,  preference
shall be given to the heirs of such person.
Explanation.—For removal of doubts  it  is  hereby  declared  that  in  sub-
section (3), and in this sub-section transfer includes creation of a  lease.
”

Section 7 of the Act as substituted  by  the  Amendment  Act  now  reads  as
under:
“7. Eviction of unauthorised holders etc.—
(1) Where any land  resumed  under  clause  (3)  of  Section  4  is  in  the
possession of an unauthorised  holder  such  unauthorised  holder  shall  be
summarily evicted therefrom and the land shall be  taken  possession  of  by
the Deputy Commissioner in  accordance  with  law:  Provided  that  no  such
summary eviction shall be made except after giving  the  person  affected  a
reasonable opportunity of making representation.

(2) Any order of eviction passed under sub-section (1) shall  be  final  and
shall not be questioned in any court of  law  and  no  injunction  shall  be
granted by any court in respect of any  proceeding  taken  or  about  to  be
taken by the Deputy Commissioner in pursuance of the power conferred by sub-
section (1).

(3) The land from which an  unauthorised  holder  is    evicted  under  sub-
section (1) shall,-

(a) if it was granted or continued in respect of or annexed to  an  inferior
village office be re-granted to the holder of such village office; and

(b) in other cases be disposed of in accordance with the law  applicable  to
the disposal of unoccupied unalienated lands.”


5.    In Lakshmana Gowda v. State of Karnataka[1],   Division Bench  of  the
High Court had an occasion to consider questions  including  one  concerning
rights of an alienee  of  a  service  inam  land  from  its  holder  or  the
authorized holder.  It dealt with various issues but the one concerning  the
present matter was Question No. (iii) which was  to the following effect:

“(iii) Did an alienee of  a  service  inam  land  from  its  holder  or  the
authorized holder, acquire title to such land, if the alienation  had  taken
place between the date of the coming into force of  the  Principal  Act  and
the date  of  the  re-grant,  after  its  re-grant  to  its  holder  or  the
authorized holder under Section  5  or  6,  as  the  case  may  be,  of  the
Principal Act ? ”


6.    The answer to the aforesaid question was  given  in  para  66  of  the
Judgment in the following words-:
“Hence, our answer to the question is that if the holder or  the  authorized
holder of a Service Inam land had alienated it after the Principal Act  came
into force and before it was re-granted to him under Section 5 or 6  of  the
Principal Act, the alienee acquired a title to  that  land  after  such  re-
grant to his alienor.”


7.     During  the  course  of  its  discussion  concerning  the   aforesaid
question, it was also observed:-
“We have already held that though the holder or the authorized holder  of  a
Service Inam Land got title to such land  only  when  it  was  actually  re-
granted to him under S. 5 or 6 of the  Principal  Act,  such  title  related
back to the date of coming into force of  that  Act.  From  this,  it  would
follow that if he purported to alienate such land before it  was  re-granted
to him, but after the  Principal  Act  came  into  force,  the  doctrine  of
feeding the grant by  estoppels  embodied  in  S.  43  of  the  Transfer  of
Property Act, would apply and the title he subsequently acquired on such re-
grant of that land, would ensure to the benefit of his  alienee,  who  would
get a good title to such land after such re-grant to his alienor.”



8.    The aforesaid view in Lakshmana Gowda 1  was affirmed  by  Full  Bench
of the High Court in Syed Bhasheer Ahamed v. State of Karnataka[2]  .  While
considering the rights of  an  alienee  under  an  alienation  made  between
01.02.1963 and 07.08-1978 i.e. between the period of the appointed date  and
the date when the Amendment  Act came into force, the Full Bench in para  30
(f) of its judgment observed as under:-

“There is no provision in the Act authorizing the State  Government  or  its
authorities to evict an alienee under an alienation  made  between  1-2-1963
and 7-8-1978.  Section 7 is not applicable, as such an  alienee  is  not  an
‘unauthorised holder’.  If the land  alienated  between  1-2-1963  and  7-8-
1978, is subsequently re-granted to the alienor, the  benefit  of  such  re-
grant, namely, title will enure to the benefit of the alienee.  If the  land
is not re-granted to the alienor, but to someone else  on  the  ground  that
the alienor is not a ‘holder’ or ‘authorised holder’, then the alienee  will
be in the position of a transferee from a person without any title; and  the
grantee  to  whom  the   re-grant  is  made,  will  be  entitled  to  obtain
possession  from  the  alienee  and  the  limitation  for  such  grantee  to
dispossesses the alienee will commence from the date of re-grant.”



9.    Agricultural land bearing Survey  No.83  of  Hoshalli  Village,  Kolar
District, Karnataka admeasuring 3 acres  39  guntas  was  Thalavari  Inamthi
land in the hands of original Baruvardars named Muni Papanna and his  father
Narasappa. Said Muni Papanna and Narasappa sold this land  under  registered
sale deed dated 13.05.1971 in favour of one Nadumpalli Muneppa. Pursuant  to
the sale deed, the alienee was put in possession of the land.  The  land  in
question was re-granted in favour of Muni Papanna on 31.03.1982.   This  was
challenged in appeal and the matter stood remitted to the Tehsildar to  pass
fresh orders. Accordingly, fresh re-grant proceedings were taken up and  the
land was re-granted in favour of said Muni  Papanna and two others.  The re-
grant in favour of those two others was challenged  by  Muni  Papanna  which
challenge was allowed and the re-grant  was  confirmed  in  favour  of  Muni
Papanna alone.  Those proceedings attained finality and became conclusive.

10.   Original Suit No.19 of 2004 was filed by the present appellant,  being
the successor-in- interest of Nadumpalli  Muneppa i.e. the  alienee  in  the
Court of Civil Judge,  Junior Division Srinivaspuri, District Kolar. It  was
submitted that after the re-grant in  favour  of  the  original  holder,  by
virtue of the judgments of the High Court of Karnataka as  mentioned  herein
above, the plaintiff was entitled to the land in question.  It  was  further
submitted that the defendants namely the  wife  and  the  children  of  Muni
Papanna had however executed registered sale deeds in favour  of  defendants
5 and 6 and that they  were  seeking  to  obstruct  the  possession  of  the
plaintiff. With these assertions, the plaintiff prayed for declaration  that
he be declared absolute owner of the land in question and  also  prayed  for
appropriate   permanent   injunction   restraining   the   defendants   from
interfering with his peaceful possession.

11.   All  the  defendants  filed  common  written  statement.  It  was  not
disputed that there was alienation in  favour  of  the  predecessor  of  the
plaintiff on 28.05.1971 but it was submitted that in  proceedings  initiated
by Tehsildar under Section 7 of the Act, an order  of  eviction  was  passed
against the alienee and that the  alienee  was  evicted  from  the  land  on
24.09.1981. It was thus  submitted  that  on  re-grant  in  favour  of  Muni
Papanna, the benefit must accrue to the heirs  of  said  Papanna  alone  and
that the plaintiff had no right, title or interest in land in question.

12.   The Trial Court by its judgment and order  dated  12.02.2007  accepted
the claim of the plaintiff and decreed the suit. Relying  on  the  decisions
in Lakshmana Gowda and  Syed  Bhasheer  Ahamed  it  was  observed  that  the
alienation between 01.02.1963 and 07.08.1978 was not invalid  and  that  the
land having been re-granted in favour  of  Muni  Papanna,  the  alienee  can
certainly claim the benefit by doctrine of feeding the grant by estoppel  in
view of the re-grant of land in favour of the alienor/holder of  the  office
under Section 5(1) or 6 of the Act and the subsequent sale deeds  in  favour
of Defendant Nos.5 and 6 would therefore be of  no  legal  consequence.  The
suit was decreed declaring the plaintiff to be absolute owner.

13.   The aforesaid decision of the Trial Court was  challenged  before  the
Principal District Judge Kolar in Regular Appeal No.163 of 2007.  The  lower
Appellate Court affirmed the view taken by the  Trial  Court  and  dismissed
the appeal by its judgment  and  order  dated  05.01.2008.  The  respondents
carried the matter further by filing Second  Appeal  No.323  of  2008  which
came to be allowed by judgment and order dated 27.07.2010. It  was  observed
by the High Court that the alienee having been  evicted  from  the  land  on
24.09.1981, as on the date when re-grant was  ordered,  the  possession  was
not that of the alienee and as such the courts below were not  justified  in
relying upon the decisions of  the  High  Court  Lakshmana  Gowda  and  Syed
Bhasheer  Ahamed  case.   The  review  petition  preferred  by  the  present
appellant was rejected by the High Court vide order dated 1.06.2011.

14.   We have heard Mr.  Sampat  Anand  Shetty,  learned  Advocate  for  the
appellant and Mr. S.N. Bhat, learned Advocate for the respondents  and  have
gone through the record and considered the rival  submissions.  The  law  on
the point as to the  rights  of  an  alienee  of  an  Inam  land  where  the
alienation had occurred between 01.02.1963 and 07.08.1978 stands settled  by
the decisions in Lakshmana Gowda (supra) and Syed Bhasheer  Ahamed  (supra).



15.   As laid-down in these cases, upon re-grant of the land  in  favour  of
the holder of a Service-Inam, the re-grant must enure to the benefit of  the
alienee,   if  such  alienation  was  between  01.02.1963  and   07.08.1978.
Further, upon such re-grant, the title of a holder of the Service-inam  land
would relate back to the date of   coming into force of the Act.     In  the
circumstances,  upon  re-grant,  the  title  of  the  predecessors  of   the
respondents herein would relate back.  The alienation effected  by  them  on
13.05.1971, by principles of “feeding the grant by estoppel” would enure  to
the benefit of the alienee who would get good title to such land after  such
re-grant. As observed by  the  Full-Bench,  where  the  alienation  occurred
between 01.02.1963 and 07.08.1978  the alienee would  not  be  “unauthorized
holder”.    In  the  circumstances,  the  Tehsildar  was  not  competent  to
initiate proceedings for eviction under Section 7 of  the  Act  against  the
alienee, namely,  the  predecessor-in-interest  of  the  present  appellant.
Both the Courts below were, therefore, right and justified in accepting  the
claim of the plaintiff-appellant and the High Court was completely in  error
in setting aside the concurrent view and allowing the second appeal.

16.   We, therefore, allow these appeals.  The judgment and orders   of  the
High Court under appeal are set aside and the judgment and decree passed  by
the Trial Court in OS No.19 of 2004 as affirmed by the  Appellate  Court  in
Regular Appeal No.163 of 2007  is restored.  No orders as to costs.



                                                                ……………………..J.
                                                           (V. Gopala Gowda)



                                                                 ………………………J.
                                                         (Uday Umesh Lalit)
New Delhi,
February15, 2016
-----------------------
[1]      (1981) 1 Karnataka Law Journal 1
[2]    1994 (1) KLJ 385