B. SHANKARA RAO BADAMI & ORS. versus STATE OF MYSORE & ANR.
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I c D E F G H S, SHANKARA RAO BADAMI & ORS. v. STATE OF MYSORE & ANR. December 4, 1968 [M, HIDAYATULLAH, C.J., J. C. SHAH, V. RilµsWAMI, G. K. MITTER AND A. N, GROVER, JJ.) Constltllllon of India, 1950, Arts. 31, 31A, Entry 33, List I, Entry 36, Ust JI and Entry 42, Lisi 111 of 1th. Scheduk-Mysore (Personal and Mucellaneous) lnams Abolition Act (Mys. I of 1955), constitutional validity of-If can be challenged on the ground of violaticm of Art, 31(2)- lf condition regarding public purpose and payment of compensation could be Implied In the word 'acquisition' in Entries. By virtue of a notification under s. 1 ( 4) of the Mysore (Personal and Miscellaneous) Inams Abolition Act, 1954, the Inarn villages of the peti- tioners vested in the State of Mysore. The petitioner challenged the validity of the Act on two grounds, namely : ( I ) that the compensation provided by the Act was not the market value of the property at the time of acquisition and since it did not provide for an adequate compen- salton as a 'just equivalent' there was a violation of Art. 31 (2); and (2) that the impugned Act was beyond the legislative competence of the Mysore Lea1slature under Entry 36 of List II and Entry 42 of List W to the 7th Schedule as the Entries stood before the 7th Amendment of the Cqnstitution, becaU.., ( i) the existence of public purpose and the obligation to pay compensation are necessary concomitants of compulsory acquisitioa of property, and so, the term 'acquisition' must be construed u importina by necessary implication the two conditions of public pur· pose and payment of ·adequate compensation, and (ii) the words 'subject to the provisions of Entry 42, List III' in Entry 36 of List II rein!orce the argument. that a law with respeet to· acquisition of property made under Entry 36 shoWd be exercised subject to· the two-fold restriction as to public purpose and payment of compensation both of which are referred to in Entry 42; List Ill. HELD : ( 1 }(a) The impugned Act provides for the acquisition of ri&ht• of inarndars in inam estates and it. is intended to abolish all inter- mediate holders and to establish direct relationship between the Govern- ment and occupants of land in· lnam villages in respect of which noti· ftcations had been issued. The legislation was undertaken as a part of aararia~ reform which the Mysore State Legislature proposed to brine about m. t!I! State. TherefOre, · the impugned Act is a law providing for th• acqu1S1tion by the State of any .estate or of any rights therein or for the extinguishment or modiftcation of such rights as contemplated by Art. 31A and hence, the impugned Act is protected from attack in any court on the ground that it contrl!\·enes Art. 31 (2). (9 G-H; 10 A-Bl (b) The ratio of the two decisions ii) State ol Madras v. Namasivaya MudalilJI', [1964] 6 S.C.R. 936 and Vajravelu Mudaliar v. Sp!, Dy. Collec- tor, 11.965] 1 S.C.R. 614, in which it was held that the principle Jf Bela Baner1ee:s. ~ase, [1954] S:C.R. 558 t)iat the _Legislature in making a law of acqlJ!Siti~n must provide for a 'iust eqmvalent' as compensation, has no appl1eation to the present case, because, those two cases related to legislation not dealing with agrarian reform and the protection of Art. 3 lA was not available to either of the statutes challenged in those cases. [10 F; 11 A-Bl 2 SUPREM,E COURT REPORTS ' '• [196913 S.C.R. (2) (i) Under the .common law of eminent domain the State cannot take the property of its subject unI .. s such property is required for a public purpose and without compensating the owner for its loss. But, when these limitations are expressly provided for in Art. 31(2) and it is funher enacted that no law. shall be made which takes away or abridges those saf~guards, and any such law, if made, shall be void. there can be no room for implication, and the words 'acquisition of property' in Entry 36 must be understood in their natural sense of the mere act of acquiring property without importing into the phrase an obligation to pay compensation or a condition as to the, existc:!nce of a public purpose. The entries in the Lists of the VU Schedule are designed to define and delimit the respective ·areas of legislative competence of the Union and State Legislatures and the principle of the maxim expressum facit cessare tacitu1n, makes it inappropriate to treat the obligation to pay compen· sation as implici
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