LexSH. JILUBHAI NANBHAI KHACHAR ETC ETC. versus STATE OF GUJARAT AND ANR. ETC. ETC.
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,.
SH. JILUBHAI NANBHAI KHACHAR ETC ETC.
A
v.
STATE OF GUJARAT AND ANR. ETC. ETC.
JULY 20, 1994
[K. RAMASWAMY AND N. VENKATACHALA, JJ.)
B
Land Tenure Abolition Laws (Gujarat Amendment) Ac~ 1982:
Amendments introduced in Bombay La11d Revenue Code-Legislative
compete11ce of-Held covered by Entries 18 a11d 23 of List JI (State List) read C
with Entry 42 of List Ill (Co11cwre11t Listf-Amendment Act held part of the
scheme of agrarian refonn-Held protected by Article 31-A and 31-~ Held
Not ultra vires the power of State LegislaturHurpose of the Act discussed.
i
Bombay Land Revmue Code, 1879 :'
Section 69-A (As Introduced by Gujarat Amendment) Act, 1982-
Validicy-Girasdars and Barkhalidars-Holding. Mines and quarries--
Provision for vesting in State-Held not violative of Article 300-A-Limited
retrospective operation given to the provision--He/d not ultra vires.
D
Sectio11 69-A( 4 )--Compensation-Principle for quantification-
E
Average of three years net annual income preceding the date of vesting-Held
not violative of Article 14.
Constitution of India, 1950: Articles 31-A, 31-B, 31-C and 39(b) and
(c).
Law providing for acquisition of estates-Saving oj-{.,and Tenure
Abolition Laws (Gujarat Amendment) Act, 1982- inclusion in Nint1'
Schedule-Held protected by Articles 31-A and 31-B.
F
Article 39(b) and (cf-'Material Resources ofCommunity'-Scope and G
meaning of-Held the concept is broad and must be interpreted broad-
ly-Held Mines Minerals and Quarries embedded in land are material resour-
ces of community-Held Amendment Act (8 of 1982) falls under Article
39(b) and is saved by Article 31 ( C).
Article 300-A-Right to property-Held not a basic feature of the Con- H
807
808
SUPREME COURT REPORTS (1994] SUPP.1 S.C.R.
A stitution--Position before and after Constitution 44th Amendment Ac~is
cussed.
'Property'-Legal connotation of-Held it must be construed in the
context in which sovereign power of eminent domain is exercised-Depriva-
tion of property-Compensation for-Principles of-State can acquire proper-
B ty in exercise of power of Eminent Domain--Payment of market value in lieu
of acquired property is not sine qua non for acquisition.
Property-Acquisition of-Compensatiort-Adequacy of-Held not sub-
ject to judicial review-Principle of depletion of rupee value held not relevant
C for determination of compensation.
Compensation for property acquired-Prescription of different mode9-
Held not Violative of Article 14.
Seventh Schedule-Lists I, II, and III-Entries-Interpretation of-
D Held should be given widest scope of their meaning-Duty of Court to
ascertain pith and substance of AcHleld entries in Schedule do not confer
legislative powers.
Scheduled II-List II-Entry lS-'Land'-lnterpretation of-Held in-
cludes Mines Minerals and Quarries embedded in Land-'Right in or over
E land'-lnc/Udes not only surface but everything under it.
F
Constitution--Principles of interpretatiort-Should not be considered in
na"ow and pedantic mannei--Construction must be beneficial to the
amplitude of Legislative powers.
Legislature-Power to make laws-Held in the absence of express
Constitutional prohibition power can be exercised prospectively and retrospec-
tively.
Doctrine of Eminent Domai1t"""74.pplicability of Doctrine of Pith and
G Substance-Applicability of
Words and Phrases : 'Land'-Meaning of-Entry 18--List- II-Seventh
Schedule to the Constitution.
'Distribution'-Meaning and construction of-cArtic/e 39(b) of the Con-
H stitution.
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'"T1
J.N.KHACHARv.STATEOFGUJARAT
809
'Property'-Meaning of-Article 300-A of the Constitution.
A
In these appeals the Constitutional validity of the land Tenure
Abolition Laws (Gujarat Amendment) Act, 1982 and sections 69, 69·A and
69-A (4) of the Bombay Land Revenue Code, 1879 is in question. By a
notification published in the Government Gazette the State of Gujarat B
abolished the Girasdars' and Barkbalidars right in the estates. Conse·
quently the rights of Girasdars and Barkbalidars to occupy and enjoy the
land as land-holders in terms of the grant made by the erstwhile Rules
stood extinguished and vested in the State. However, by judicial interpreta·
tion it was held that only uncultivable waste lands stoods vested in the
State and the lands with mines and minerals could not be held to be C
uncuitivable waste lands and did not vest in the State. To obviate this
Interpretation the Amendment Act, 1982 introduced Section 69-A in the
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