UTTAM CHANDversusSTATE OF MAHARASHTRA & ANR.

    1048

A                           UTTAM CHAND
                                v.
                    STATE OF MAHARASHTRA & ANR.
                                February 14, 1980

B              [S. Mu!l.TAZA FAZAL ALI AND A. D. KosHAL, JJ.]
       Maharashtra Agricultural Land (Ceiling of Holdings) Act 1961, Seclions;
    2(11), 2(22), 8, 10 and 12-Scope-Only those transfers nlade at any tifne
    on or after 4-8-1959 would be hit by the Act.

        The appellant in his return filed before the Deputy Collector had shoWD
    the total lands in his possession to be 370 a.cres and 34 gunthas. Proceedings
c   under the Maharashtra Agricultural Lands (Ceiling of Holdings) Act, 1961         ,
    were taken against him in order to determine whether the return filed was
    correct or not. It was alleged by the appellant that some time in the year
     1956 there was a partition between the appellant and his nephews a.s a.
    result of which his family got 202 acres of land. The appellant had scrld
    51 acres· of land to other persons before the Act came into force and that
    he ga.ve some land to his adopted son in lieu of the latter's share and that
D   the adopted son thereafter gave 93.25 acres of land to his mother under
    Civil Court decree. All these transactions took place some time in the
    year 1956. The Collector aflcr examining the return found that the total
    land o\vned by the appellant was 118 a.cres 36 gunthas and the excess was
    only 4 acres 36 gunthas which could be taken over under the Act. The
    Commissioner calle<l for the records and interfered suo moto. After
    making some enquiry, he held that the land declared by the appellant in his
E   return fa.r exceeded the ceiling limit and in computing the total lands owned
    by the appellant he took into account even the lands which had been giv.en
    by the adopted son to his mother, the wife of the appellant.
        The appellant filed a writ petition against the order of the Commissioner
    in the High Court which refused to interfere on the ground that the transfer
    of the land in favour of the adopted sons was held to be collusive as
    also the decree.
        In the appeal to this Court, it was contended on behalf of the appellant
    that under the provisions of the Act, land whicl1 was received by his wife
    from the adopted son was her personal property and could not be included
    in the ceiling of the appell<~nt and that the Commissioner had no jurisdiction
    to add that land and treat the same as the land of the appellant and to set
    aside the order of the Deputy Collector. On behalf of the respondent it
G   was contended that the word 'person' defined in section 2(22) of the Act
    includes family a.nd that 'family' as defined in section 2 ( 11) includes, a:
    Hindu Undivided family, and in the case of other persons, a group or unit,
    the members of which by custom or usage are joint in an estate or possession
    or residence.
       Allowjng the appeal.
H       HELD : I. The judgment of the High Court is set aside as also that of
    the Comn1issioner and that the judgment of the Deputy Collector restored.
                                                                      [1052B]
                       UTTAM CHAND v. MAHARASHTRA (Faw! Ali,!.)                  1049

            2. The Act clearly exempts the land which may have been acquired or           A.
         tramferred prior to 4-8-1959. Section 8, 10 and 12 whirh deal with the
         subject clearly enjoin that only those transfers would be hit by the Act which
         are made at any time on or after 4-8-1959. [105\A]

             3. There was neither nny pleading nor any case made out either before
         the Deputy Collector or even before the Commissioner to indica.te that the
 •       transfer of the land in favour of the adopted son and the transfer by the        B·
         adOpted son in favour of his mother were collusive or tainted by fraud.
         Both these transactions took place as far back as 1956 th3ot is to say 5 years
         before the Act came into force. [1050G-H]

             4. The High Court was not justified in presuming that the transfer made
         by the appellant in favour of his adopted son towards his sha.re and the
 --""'   transfer by the adopted son to his mother was either collusive or fraudulent.    C
.)
         There v:as neither any foundation in the pleadings nor any evidence to
         support this conjecture of the High Court. [1051A-C]

             5. Sections 2(11), 2(12) are of no assistance a.s Section 6 takes within
         its fold lands belonging to the owner, or his family as a single unit and
         is not meant to cover the separate or individual property of a member of
         the family which is self-acquired property and cannot be clubbed together        D
         with 'the lMid of the owner or his family. To begin \\ ith, the Act merely
                                                                  1




•        intended to include the land within the ceiling limits of a person or his
         family \Vhich belonged to such a person or persons having different shares
         in that property. That is v.·hy all transfers made prior to 1959 were express-
         ly exempted from the operation of the Act. [105\E-G]

             CIVIL APPELLATE JURISDICTION: Civil App.,a! No. 1415 of 1970.                E
            From the Judgment and Order dated 30-9-69 of the                  Bombay
         High Court in S.C.A. No. 1512 of 1967.
             V. M. Tarkunde, R. Salish, V. K. Pandita and E. C. A garwala
         for the Appellant.
                                                                                          F
            M. C. Bhandare, C. K. Ratnaparkhi and M. N. Shrof]                 for the
         Respondent.
             The Judgment of the Court was delivered by
             FAzAL Au. J. This appeal by certificate is directed against a
         judgment of the Bombay High Court dated 30-9-1969 dismissing the                 G
         writ petition filed by the appellant against an order of the Commis-
         sioner.
             The facts of the case lie within a narrow compass and may be
         stated as follows :
             Proceedings under Maharashtra Agricultural Lands (Ceiling of                 R
         Holdings) Maharashtra Act No. XXVII 1961 and (hereinafter to be
         referred to as the Act) which received the assent of the President on
     1050                SUPREME COURT REPORTS               [1980] 2 S.C.R.
                                            -·-
      16-6-1961 were taken against the appellant in order to determine
     whether the return filed by the appellant under the provisions of the
     Act was correct or not. In his return filed before the Depuiy Collecfor,
     the appellant had shown the total lands to be 370 acres and 34 gunthas.
     It was however alleged by the appellant that some time in the year
     1956, there was a partition between the appellant and bis nephews
     as a result of which his family got 202 acres of land. The appellant
     bad sold 51 acres of land to other persons before the Act came into
     force. The appellant further alleged that he gave some lauds to his
     adopted son in lieu of the latter's share. Th~ adopted son Nemichand       '
    thereafter gave 93.25 acres of land to his mother under a civil Court
    decree. All these transactions took . place some time in the year
    1956. The Collector after exainining the return found that the total
                                                                                1
    land owned by the appellant was 118 acres 36 gunthas and the excess
    was only 4 acres 36 gunthas which could be taken over under the
    Act. Against ihe order of the Deputy Collector, the Commissioner
     appears to have called for the records and interfered suo moto and
D   after making some enquiry, he held that the land declared by the appel"
    !ant in his return far-exceeded the ceiling limit. In computing the total
    lands owned by ihe appellant, the Commissioner appears to have taken
    into account even that land which had been given by Nem.ichand to
    his mother, ihe wife of the appellant. Against this order of Commis-
    sioner, the appellant filed a writ petition before the High Court which
    was dismissed as a result of which an application was filed for frant
    of certificate for appeal to this Court which was granted. Hence this
    Appeal.

         The short point taken by Mr. V. M. Tarkunde, learned counsel
     for the appellant is that under the provisions of the Act, land which
    was received by his wife from the adopted son Was her personal pro-
     perty and could not !J.~ included in the ceiling of the appellant and
    that the Commissioner iherefore had no jurisdiction to add that land
    and treat the same as the land of the appellant and proceed to set
     said the order of the Depnty Collector. The High Court in a short
    judgment refused to interfere mainly on lhc ground that the transfer
    of the land in favour of Nemichand, the adopted son, was held to be
    collusive as also the decree. There was neither any pleading nor any
    case made out either before the Deputy Collector or even before ihe
    Commissioner to indicate that the transfer of the lands in favour of
    the adopted son and ihe transfer of N em.ichand in favour of his mother
    were collusive or tainted by fraud. In fact both these transactions
    took place as far back as 1956, ihat is to say, five years before the
    Act came into force. Even ihe Act clearly exempts lands which may
                    UTTAM CHAND v. MAHARASHTRA (Fazai Ali, J.)                1051


        have been acquired or transferred prior to 4-8-1959. Ss. 8, 10 and
        12 which deal with the subject clearly enjoin that only those trallsfers
        wouW be ·hit by the Act which are made at any time on or after
        4-8-1959. As both the transfers mentioned above were prior to
        4-8-1959, it is obvious that they fell completely outside the ambit of
    •   the provisions of the Act. The High Court was thus not justilied in
        pr\:Suming that the transfer made by the appetlant in favour of his
        ad0pted son towards his share and the transfer by the adopted son
        Nemichand to his mother were either collusive or fraudulent. There
        was neither any foundation in the pleadings nor any evidence to sup-
        port this conjecture of the High Court.

            Mr. Bhandare, learned Counsel appearing for the respondent sub-          c
        mitted that the. word 'person' defined in Sec. 2(22) of the Act in-
        cludes family and that 'family' as defined in Sec. 2(11) of the Act
        includes, a Hindu undivided family, and in the case of other persons,
        a group or unit the members of which by custom or usage are joint
        in estate or possession or residence. Reliance was also placed on
        Section 6 of the Act which runs thus :
                 "Where a family unit consists of members which exceed
            five in number, the family unit shall be entitled to bold land
•   y
            exceeding the ceiling area !o the extent of one-fifth of t.he
            ceiling area for each member in excess of five, 50 however
                                                                                     E.
            that the total holding shall not exceed twice the ceiling area,
            and in such cas~, in relation to the holding of such family
            unit, such area shall be deemed to be the ceiling area."


---         These sections are of no assistance to the Respondent because
        Section 6 takes within its fold lands belonging to the owner, or his
        family as a single unit and is not meant to cover the seperate or indi-      F
        vidual property of a member of the family which is self-acquired pro-
        perty and cannot be clubbed together with land of owner or his
        family. To begin with the Act merely intended to include land with-
        in the ceiling limit of a person or his family which belonged lo such
        a person or persons having different shares in that property. That is
        why all transfers made prior to 1959 were expressly exempted from
        the operation of the Act. The arguments advanced by the r~spondent
        appear to have found favour with the Commissioner, but it was legally
        erroneous as indicated above. In these circumstances, therefore, the
        most important f~ct to be determined was whether or not ·any transfer
        that has been made by the person concerned was prior to or after             R
        4-8-1959. If the transfer was prior to 4-8-1959 then the provisions
        of the Act would not apply at all. In the instant case, both the
     1052                 SUPREME COURT REPORTS            [1980] 3 S.C.R.

.A   transfers being three years prior to the date mentioned above, the Act
     would not apply to the appellant, and the Commissioner and the High
     Court therefore erred in holding that the lands transferred by Nemi-
     chand to his mother should be included in the total area of the land
     owned by the appellant.
                                                                               •
B        We, therefore, allow this Appeal, set aside the judgment of the
     High Court and also that of the Commissioner and restore the judg-
     ment of the Deputy Collector. In the special circumstances, there
     shall be no on:Jers as to costs. The appeal is accordingly allowed.

     N.K.A.                                               Appeal allowed.




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