LexThe Hyderabad Abolition of Inams and Cash Grants Act, 1954.
Maharashtra · state statute
Open in Lexace · Ask the AI about this act1955 : Hyd. VIII] 1
THE HYDERABAD ABOLITION OF INAMS AND
CASH GRANTS ACT, 1954
[Text as on 28th August 2025]
____________
CONTENTS
PREAMBLE.
SECTIONS.
CHAPTER I
PRELIMINARY
1. Short title, extent and commencement.
2. Definitions.
2A. Power of State Government or authorised officer to decide certain questions relating to inams
and appeals.
CHAPTER II
ABOLITION AND VESTING OF INAM AND THE CONSEQUENCES THEREOF
3. Abolition and vesting of inams and the consequences thereof.
4. Abolition of cash grants and consequences thereof.
5. Occupancy rights in respect of lands comprised in an inam held in perpetuity and which was
alienable.
6. Occupancy rights in respect of occupied land to which section 5 does not apply.
CHAPTER III
COMPENSATION AND AWARD THEREOF
7. Compensation in respect of cash grant.
8. Compensation in respect of property referred to in section 3(2)(b).
9. Method of awarding compensation to inamdar.
10. Method of awarding compensation for abolition, etc. of rights of other person in property.
11. Previous approval in respect of certain awards and provisions of Land Acquisition Act
applicable.
12. Appeal against the Collector’s award.
13. Procedure before Revenue Tribunal.
14. Limitation.
15. Finality of award and decision of Revenue Tribunal.
16. Mode of payment of amount of compensation.
CHAPTER IV
RECOVERY OF RECORDS
17. Inamdars to deliver records to authorised officers.
2 The Hyderabad Abolition of Inams and Cash Grants Act, 1954 [1955 : Hyd. VIII
18. [Deleted].
19. [Deleted].
20. [Deleted].
21. [Deleted].
22. [Deleted].
23. [Deleted].
24. [Deleted].
25. [Deleted].
26. [Deleted].
27. [Deleted].
28. [Deleted].
29. [Deleted].
CHAPTER V
MISCELLANEOUS
30. Inquiries and proceedings to be judicial proceedings.
31. Fee payable on applications, petitions.
32. Indemnity.
33. Savings.
34. Repeal.
35. Power to make rules.
36. Penalties.
37. Power to remove difficulties.
38. Atiyat Enquiries Act, 1952 not to apply to cash grants to which this Act applies.
1955 : Hyd. VIII] The Hyderabad Abolition of Inams and Cash Grants Act, 1954 3
LIST OF AMENDMENT ACTS
1. Adapted and modified by the Bombay (Hyderabad area) Adaptation of Laws (State and
Concurrent Subjects) Order, 1956.
2. Amended by Bom. 64 of 1959
3. Adapted and modified by the Maharashtra Adaptation of Laws (State and Concurrent
Subjects) Order, 1960.
4. Amended by Mah. 2 of 2007
5. Amended by Mah. 25 of 2015
6. Amended by Mah. 7 of 20251 (24-09-2024)
1 Mah. Ord. VIII of 2024 was repealed by Mah. 7 of 2025, s. 4.
Note.- The date mentioned in the bracket indicates the date of commencement of the Act.
4 The Hyderabad Abolition of Inams and Cash Grants Act, 1954 [1955 : Hyd. VIII
1955 : Hyd. VIII] The Hyderabad Abolition of Inams and Cash Grants Act, 1954 5
HYDERABAD ACT NO. VIII OF 1955
[THE HYDERABAD ABOLITION OF INAMS AND CASH GRANTS ACT, 1954.]
[This Act received the assent of the President on the 16th July, 1955; assent was first published
in the Hyderabad Gazette, Extraordinary No. 90, on the 20th July, 1955.]
An Act to abolish Inams 1[and Cash Grants] in the Hyderabad State.
Whereas it is expedient in p ublic interest to provide for the aboli tion of inams 2[and cash grants],
with certain exceptions, in the Hyderabad State and for other matters connected therewith;
Be it enacted in the Fifth Year of Our Republic as follows:—
CHAPTER I
PRELIMINARY
1. Short title, extent and commencement. — (1) This Act may be called the Hyderabad
Abolition of Inams 3[and Cash Grants] Act, 1954.
(2) It extends to 4[the Hyderabad area of the 5[State of Maharashtra] and shall be applicable to all
inams except—
(i) inams held by or for the benefit of charitable and religious institutions;
(ii) inams held for rendering village service useful to the Government or to the village
community including sethsendhi, neeradi and balutha inams.
6[(2A) On the coming into force of the Hyderab ad Abolition of Inams (Amendment) Act, 1959
(Bom. LXIV of 1959) this Act shall apply also to cash grants and inams of the nature of community
service inams and watans.]
7[(3) (a) This section, section 2, section 3 except clauses ( d), (g), (h) and (i) of sub-section (2),
sections 30 to 34 (both inclusive), section 35 to the extent to which it enables rules to be made for the
purposes of the aforesaid sections, section 36 and section 37, shall come into force on the date of
publication of this Act in the Official Gazette;]
(b) the rest of this Act shall come into force on such date as the Government may by notification
in the Official Gazette , appoint in this behalf.]
2. Definitions.— (1) In this Act, unless there is anything repugnant in the subject or context—
8[(a1) ‘ cash grant’ means a grant of money or assignment of land revenue on the part of
Government whether for the performance of certain duties, past or present, or for any reason
whatever, but does not include—
(i) a cash grant held by or for the benefit of a charitable or religious institution,
(ii) a cash grant payable for rendering service useful to Government other than service
appertaining to the office of Desai or of a villa ge accountant commonly known as Kulkarni
or Patwari,
(iii) any pension granted to an ex -servant of Government in consideration of the
service rendered by him to Government, or
1 These words were inserted by Bom. 64 of 1959, s. 2.
2 These words were inserted by Bom. 64 of 1959, s. 3.
3 These words were inserted by Bom. 64 of 1959, s. 4(1).
4 These words were substituted for the words “the whole of the Hyderabad State” by the Bombay (Hyderabad Area)
Adaptation of Laws (State and Concurrent Subjects) Order, 1956.
5 These words were substituted for the words “State of Bombay” by the Maharashtra Adaptation of Laws (State and
Concurrent Subjects) order, 1960.
6 This sub-section was inserted by Bom. 64 of 1959, s. 4(2).
7 Substituted by Act No. X of 1956, published in the Gazette, Extraordinary No. 79, dated the 20 th April, 1956. ( For
temporary provision for recovery of land revenue see the above Gazette.)
8 This clause was inserted by Bom. 64 of 1959, s. 5(1).
6 The Hyderabad Abolition of Inams and Cash Grants Act, 1954 [1955 : Hyd. VIII
(iv) a cash grant which has been discontinued under the Hyderabad (Abolition of Cash
Grants) Act, 1952 (Hyd. Act No. XXXIII of 1952) , and to wh ich the provisions of that Act
apply, or
(v) commutation sum payable to a Jagirdar under the Hyderabad Jagirs (Commutation)
Regulation, 1359 Fasli];
(a) ‘Collector’ means the Collector of a district and includes any other officer, not below the
rank of a D eputy Collector, who may be authorised by the Government by notification in the
Official Gazette to discharge the functions of a Collector under this Act;
1[(aa) ‘community service inam’ means an inam held for performing service useful to the
village commu nity and includes an inam held for such service even where such service has
ceased to be demanded;
(ab) ‘commutation settlement’ means a settlement made or confirmed under the law
applicable to a watan relieving the holder, his heirs and successors of the liability of performing
the services appertaining to such watan;]
2(b) the expression ‘date of vesting’ when used —
3[(i) in sub-section (1), sub-section (2) with reference to clauses (a), (b), (c), (e) and (f),
and sub-section (3) of section (3) and, section 34, means,—
(A) in the case of inams other than those specified in clauses ( i) and (ii) of sub-section
(2A) of section 1, the date of the publication of this Act in the Official Gazette, and
(B) in the case of inams and cash grants to which this Ac t shall apply under sub -
section (2A) of section 1, the date of the coming into force of the Hyderabad Abolition of
Inams (Amendment) Act, 1959 (Bom. LXIV of 1959);]
(ii) elsewhere in this Act means the date appointed by the Government under clause
(b) of sub-section (3) of section 1;
4[(ba) ‘holder of cash grant ’ means a person holding a cash grant or a share therein and
includes,—
(i) his successor in interest,
(ii) where such person is a minor or of unsound mind or an idiot, his lawful guardian,
and
(iii) where any cash grant is held by a joint Hindu family, such joint Hindu family;]
(c) ‘Inam’ means land held under a gift or a grant made by the Nizam or by any Jagirdar,
holder of a Samasthan or other competent grantor 5[whosoever, whether subject to t he
sovereignty of the Nizam or not] and continued or confirmed by virtue of a muntakhab or other
title deed, with or without the condition of service 6[and whether or not coupled with] the
remission of the whole or part of the land revenue thereon and entered as such in the village
records and includes,—
(i) arazi makhta, arizi agrahar and seri inam; and
(ii) lands held as inam by virtue of long possession and entered as inam in the village
records:
Provided that in respect of former Jagir areas, the e xpression inam shall not include such
lands as have not been recognised as inams by Government after the abolition of the Jagirs,
1 Clauses (aa) and (ab) were inserted by Bom. 64 of 1959, s. 5(2).
2 Substituted by Act No. X of 1956, published in Gazette, Extraordinary No. 79, dated the 20th April, 1956. (For temporary
provision for recovery of land revenue see the above Gazette.)
3 This sub-clause was substituted for the original by Bom. 64 of 1959, s. 5(3).
4 This clause was inserted by Bom. 64 of 1959, s. 5(4).
5 These words were inserted and shall be deemed always to have been inserted by Bom. 64 of 1959, s. 5(5)(i).
6 These words were substituted for the words “and coupled with” by Bom. 64 of 1959, s. 5(5)(ii).
1955 : Hyd. VIII] The Hyderabad Abolition of Inams and Cash Grants Act, 1954 7
(d) inamdar means a person holding an inam or a share therein, either for his own benefit or
in trust and includes the successor in interest of an inamdar, and—
(i) where an inamdar is a minor or of unsound mind or an idiot, his lawful guardian;
(ii) where an inamdar is a joint Hindu family such joint Hindu family;
(e) ‘Kabiz-e-kadim’ means the holder of inam land, other than a n inamdar, who has been in
possession of such land at the time of the grant of inam or has been in continuous possession of
such land for not less than twelve years before the date of vesting and who pays the inamdar only
the land revenue;
(f) ‘land revenu e’ means the land revenue assessed by the Government under the Land
Revenue Act, 1317 Fasli, and the rules thereunder, and where no land revenue has been assessed,
the amount of land revenue that could be reasonably assessed if the land had been liable to
payment of revenue;
1[(g) ‘occupied land’ means inam land, which is not uncultivated land, waste land, pasture
land, or forest land or not comprising a mine, quarry, tank, irrigation works, stream or river and
which is in the actual or constructive possession of an inamdar.
Explanation.— For the purposes of this Act, land shall be deemed to be uncultivated if it
has not been cultivated for a period of three years immediately before the date of vesting;]
(h) ‘permanent tenant’ means a perso n who, from a date prior to 10 th June 1950, has been
cultivating the inam land on a permanent lease from the inamdar whether under an instrument or
an oral agreement 2[and includes a shikmidar];
(i) ‘prescribed’ means prescribed by rules made under this Act;
3[(j) ‘tenant’ means a tenant as defined in the Hyderabad Tenancy and Agricultural Lands
Act, 1950 (Hyd. Act No. XXI of 1950) , and includes a protected tenant but does not include a
permanent tenant;]
4[(k) ‘Watan’ means an inam held as a watan for service appertaining to the office of a
village accountant commonly known as Kulkami or Patwari or known by any other similar name
or for service appertaining to the office of a District (Pargana) Officer commonly known as
Sardeshmukh, Deshmukh, Deshpande or Desai or known by any other similar name whether any
commutation settlement in respect of such watan has or has not been effected;]
(l) ‘Judi’ or ‘quit-rent’ means the amount fixed by and payable to Government by Inamdar
out of the land revenue assessed, on inam land.
(2) Words and expressions used in this Act but not defined therein shall have the meaning
assigned to them in the Land Revenue Act, 1317 Fasli, the Hyderabad Tenancy and Agricultural Lands
Act, 1950, and the Hyderabad Atiyat Enquiries Act, 1952 and the rules thereunder.
5[2A. Power of State Government or authorised officer to decide certain questions relating
to inams and appeals.— (1) If any question arises,—
(i) whether any land is an inam,
(ii) whether any inam is held with or without conditions of service and whether or not
coupled with the remission of the whole or part of the land revenue,
(iii) whether any inam is a community service inam or watan,
(iv) whether a commutation settlement in respect of any watan has or has not been effected,
1 This clause was substituted by Bom. 64 of 1959, s. 5(6).
2 These words were inserted by Bom. 64 of 1959, s. 5(7).
3 This clause was substituted for the original by Bom. 64 of 1959, s. 5(8).
4 This clause was substituted for the original by Bom. 64 of 1959, s. 5(9).
5 This section was inserted by Bom. 64 of 1959, s. 6.
8 The Hyderabad Abolition of Inams and Cash Grants Act, 1954 [1955 : Hyd. VIII
(v) whether an y land held as inam is or is not alienable without the permission of the
competent authority, or
(vi) whether any person is a kabiz -e-kadim, permanent tenant or tenant, the State
Government or an officer authorised by that Government shall decide the question.
1[(2) (i) Where any question is decided by an officer so authorised by the State Government, any
person aggrieved by such decision may file an appeal to the Collector within a period of ninety days
from the date of such decision.
(ii) An appeal shall lie to the Divisional Commissioner from any decision of the Collector under
clause (i) within a period of sixty days from the date of such decision.]
(3) Where from a decision of such officer no appeal is filed under sub -section ( 2), the State
Government m ay, after the expiry of the period for appeal, but not later than one year from such
decision, call for the record of the proceedings of such officer for the purpose of satisfying itself as to
the legality, propriety or regularity of such proceedings or decision and may pass such order thereon as
it thinks fit.
2[Provided that, where in exceptional cases, upon complaints regarding legality of decision of
officer under sub -section ( 1), the State Government is satisfied that it is necessary to examine the
legality, propriety or regularity of such orders even after expiry of the period of one year, the State
Government or the Divisional Commissioner authorised by it, may exercise such powers after expiry of
the said period.]
(4) The decision of the State Government under sub-section (1), 3[* * *], or under sub-section (3)
and subject thereto the decision of the officer, shall be final.]
CHAPTER II
ABOLITION AND VESTING OF INAM AND THE CONSEQUENCES THEREOF
3. Abolition and vesting of inams and the conseque nces thereof. — (1) Notwithstanding
anything to the contrary contained in any usage, settlement, contract, grant, sanad, order or other
instrument, Act, regulation, rules or order having the force of law and notwithstanding any judgement,
decree or order of a Civil, Revenue or Atiyat Court, and with effect from the date of vesting, all inams
to which this Act is made applicable under sub -section (2) 4[or sub-section (2A)] of section 1 of this
Act shall be deemed to have been abolished and shall vest in the State.
(2) Save as expressly provided by or under the provisions of this Act and with effect from the
date of vesting, the following consequences shall ensure, namely :—
(a) the provisions of the Land Revenue Act, 1317 Fasli, relating to inams, and the
provisions of the Hyderabad Atiyat Enquiries Act, 1952 and other enactments, rules, regulations
and circulars in force in respect of Atiyat grants shall, to the extent they are repugnant to the
provisions of this Act, not apply and the provisions of the Land Revenue Act, 1317 Fasli, relating
to unalienated lands for purpose of land revenue, shall apply to the said inams;
(b) all rights, title and interest vesting in the inamdar, kabiz-e-kadim, permanent tenant 5[and
tenant] in respect of the inam land, other than the interests expressly saved by or under provisions
of this Act and including those in all communal lands, cultivated and uncultivated lands (whether
assessed or not), waste lands, pasture lands, forests, mines and minerals, quarries, rivers and
streams, tanks and irrigation works, fisheries and ferries, shall cease and be vested absolutely in
the State free from all encumbrances;
(c) all such inam lands shall be liable to payment of land revenue;
1 Sub-section (2) was substituted by Mah. 2 of 2007, s. 2(a).
2 This proviso was added by Mah. 7 of 2025, s. 2.
3 The words, brackets and figure “or sub-section (2) in appeal” was deleted by Mah. 2 of 2007, s. 2(b).
4 These words, brackets, figure and letter were inserted by Bom. 64 of 1959, s. 7(1).
5 These words were substituted for the words “protected tenant and non-protected tenant” by Bom. 64 of 1959, s. 7(2)(a).
1955 : Hyd. VIII] The Hyderabad Abolition of Inams and Cash Grants Act, 1954 9
1[Explanation.— In the case of an inam land in respect of which the settlement of
assessment has not been made under the Land Revenue Act, 1317 Fasli (Hyd. Act No. VIII of
1317F), the amount of land revenue thereon shall be assessed under section 52 of that Act with
effect from the date of vesting under this section;]
(d) all rents and land revenue including cesses and royalties, accruing in respect of such
inam lands, on or after the date of vesting, shall be payable to the State and not to the inamdar,
and any payment made in contravention of this clause shall not be valid;
(e) all arrears of revenue, whether as judi, quit-rent or other cess, remaining lawfully due on
the date of vesting in respect of any such inam shall, after such date, continue to be recoverable
from the inamdar by whom they were payable and may, without prejudice to any other mode of
recovery be realised by deduction thereof from the compensation amount payable to him under
this Act;
(f) no such inam shall be liable to attachment or sale in execution of any decree or other
process of any Court and any attachment existing on the date of vesting or any order for
attachment passed before such date in respect of such inam, shall, subject to the provisions of
section 73 of the Transfer of Property Act, 1882, cease to be in force;
(g) the inamdar and any other person whose rights have vested in the State under clause ( b)
shall be entitled only to compensation from the Government as provided for in this Act;
(h) the relationship with regard to inam land as between the inamdar and kabiz -e-kadim,
permanent tenant 2[or tenant] shall be extinguished;
(i) the inamdar, kabiz -e-kadim, permanent tenant 3[and a tenant] of inam lands and any
person holding under them and a holder of an inam, shall, as against the Gove rnment, be entitled
only to such rights and privileges and be subject to such conditions as are provided for under this
Act and any other rights and privileges which may have accrued to any of them in the inam
before the date of vesting against the inamdar shall cease and shall not be enforceable against the
Government or the inamdar;
4[(j) in the case of an inam to which this Act applies under sub-section (2A) of section 1, the
inamdar shall stand released of the liability to render service, if any.]
(3) Nothing contained in sub -sections ( 1) and ( 2) shall operate as a bar to the recovery by the
inamdar of any sum which becomes due to him before the date of vesting by virtue of his rights as
inamdar and any such sum shall be recoverable by him by any proces s of law, which, but for this Act,
would be available to him.
5[4. Abolition of cash grants and consequences thereof. — With effect on and from the date of
the commencement of the Hyderabad Abolition o f Inams (Amendment) Act, 1959 (Bom. LXIV of
1959),—
(1) all cash grants shall be discontinued and shall cease to have effect, and
(2) the holder of a cash grant shall stand released of the liability to render service, if any,
attached to the cash grant,
(3) in the case of a cash grant consisting of assignment of land revenue, all the rights of the
holder thereof (including the right to recover or appropriate land revenue under such grant in
respect of any land) shall be extinguished and the land revenue in respect of such land shall be
payable to the State Gov ernment in accordance with the provisions of the Land Revenue Act,
1317 Fasli (Hyd. Act No. VIII of 1317F).
1 This Explanation was added by Bom. 64 of 1959, s. 7(2)(b).
2 These words were substituted for the words “, protected tenant or non-protected tenant” by Bom. 64 of 1959, s. 7(2)(c).
3 These words were substituted for the words “, protected tenant, and a non-protected tenan t” by Bom. 64 of 1959,
s. 7(2)(d).
4 This clause was inserted by Bom. 64 of 1959, s. 7(2)(e).
5 These sections were substituted for sections 4 to 11 (both inclusive) by Bom. 64 of 1959, s. 8.
10 The Hyderabad Abolition of Inams and Cash Grants Act, 1954 [1955 : Hyd. VIII
5. Occupancy rights in respect of lands comprised in an inam held in perp etuity and which
was alienable.— (1) In the case of an occupied land comprised in an inam including a community
service, inam or watan, which under the terms of the grant or commutation settlement was to continue
in perpetuity and was alienable without the permission of any competent authority,—
(i) if it is in the possess ion of a kabiz -e-kadim, or of a permanent tenant or tenant holding
from the inamdar, such kabiz-e-kadim, permanent tenant or tenant, and
(ii) in other cases, the inamdar shall be primarily liable to the State Government for the
payment of land revenue due in respect of the land held by him and shall, subject to the
provisions of sub-sections (2), (3), (4) and (5), be entitled to all the rights and be liable to all the
obligations in respect of such land as an occupant under the Land Revenue Act, 1317 Fasli (Hyd.
Act No. VIII of 1317F) and the rules made thereunder.
(2) In the case of land referred to in clause (i) of sub-section (1),—
(a) the permanent tenant shall be liable to pay occupancy price equal to twice the amount of
the full assessment of the land in his possession, and
(b) the tenant shall be liable to pay occupancy price equal to six times the amount of the full
assessment of the land in his possession,
to the inamdar within the prescribed period and in the manner provided in sub-section (3):
Provided that, in the case of a tenant, the occupancy price may be paid in three equal instalments
at such intervals as may be prescribed.
(3) The permanent tenant or, as the case may be, the tenant shall deposit the amount of the
occupancy price payable by him under sub-section (2), with the Collector within the period prescribed
under that sub-section.
(4) If the permanent tenant or the tenant fails to deposit the amount of the occupancy price under
sub-section (3), it shall be recoverable as an arrear of land revenue and if it is not so recovered within a
period of one year from the expiry of the period prescribed under sub-section (2), the permanent tenant,
or as the case may be, the tenant shall be deemed to be unlawfully occupying Government land and
shall be liable to be summarily evicted therefrom in accordance with the provisions of the Land
Revenue Act, 1317 Fasli (Hyd. Act No. VIII of 1317F).
(5) On the deposit under sub -section (3), or recovery under sub -section (4), of the entire amount
of the occupancy price payable by a permanent tenant or tenant, it shall be paid to the inamdar in the
prescribed manner.
(6) Where under sub -section ( 4), a permanent tenant or tenant is deemed to be unlawfully
occupying any land, such land shall be deemed to be vested in the inamdar as the occupant thereof free
from encumbrances, if any, created thereon by the permanent tenant or, as the case may be, the tenant
and the inamdar shall be primarily liable to the State Government for the payment of the land revenue
in respect of such land in accordance, with the provisions of the Land Revenue Act, 1317 Fasli (Hyd.
Act No. VIII of 1317F) and the rules made thereunder.
6. Occupancy rights in respect of occupied lands to which section 5 does not apply.— (1) In
the case of an occupied land comprised in an inam other than land to which the provisions of section 5
apply,—
(a) where such land is in the possession of the inamdar, or kabiz -e-kadim or of a permanent
tenant or tenant holding from the inamdar, then such inamdar, kabiz -e-kadim, permanent tenant
or tenant shall, in respect of the land which is in his possession, be primarily liable to the State
Government for the payment of land revenue and shall, subject to the provisions of sub -sections
(2), (3), (4) and (5), be entitled to all the rights and be liable to all the obligations as an occupant
in respect of such land under the Land Revenue Act, 1317 Fasli (Hyd. Act No. VIII of 1317F)
and the rules made thereunder;
(b) the rest of the land, in respect of w hich under clause ( a) neither the inamdar nor the
kabiz-e-kadim nor the permanent tenant nor the tenant is primarily liable for the payment of land
revenue, shall be at the disposal of Government and any person in possession of such land shall
1955 : Hyd. VIII] The Hyderabad Abolition of Inams and Cash Grants Act, 1954 11
be deemed to be unlawfully occupying Government land and shall be liable to be evicted
therefrom in accordance with the provisions of the Land Revenue Act, 1317 Fasli (Hyd. Act No.
VIII of 1317F).
(2) In respect of the land for which the inamdar, kabiz -e-kadim, permanent tenant or tenant is
liable under sub-section (1) for the payment of land revenue,—
(a) the inamdar or, as the case may be, the kabiz -e-kadim, shall be liable to pay an
occupancy price equal to six times the amount of the full assessment of the land,
(b) the permanent tenant shall be liable to pay an occupancy price equal to eight times the
amount of the full assessment of the land, and
(c) the tenant shall be liable to pay an occupancy price equal to twelve times the full
assessment of the land,
to the State Government within the prescribed period either in lump sum or by such instalments
as may be prescribed.
1[(3) (a) On or after the commencement of the Hyderabad Abolition of Inams and Cash Grants
(Amendment) Act, 2015 (Mah. XXV of 2015) (hereinafter, in this sub -section, referred to as “the
commencement date”), the occupancy of Madad Mash Inam lands held on the new and impartible
tenure (Occupants -Class II) may be transferred by the occupant for agricultural purpose, and no
previous sanction or no objection certificate from the Collector or any other competent authority shall
be necessary for such transfer. After such transfer, occupancy of such land shall be continued to be
held by such transferee occupant on new and impartible tenure (Occupants -Class II), in accordance
with the provisions of the Maharashtra Land Revenue Code, 1966 (Mah. XLI of 1966) :
Provided that, any such occupancy held on new and impartible tenure (Occupants -Class II)
may, on or after the commencement date, be converted into O ccupants-Class I by the occupant,
by making payment of 2[five per cent.] of the amount of the current market value of such land to
the Government as Nazarana, and after such conversion, such land shall be held by the occupant
as Occupants-Class I, in accordance with the provisions of the Maharashtra Land Revenue Code,
1966 (Mah. XLI of 1966):
Provided further that, on or after the commencement date, if any occupancy, held on new
and impartible tenure (Occupants-Class II) has, without the prior sanctio n of the Collector or any
other competent authority and without payment of the amount equal to 3[five per cent. of the
current market value of such land ], been transferred by the occupant for non -agricultural use,
such transfer may be regularised on paymen t of an amount equal to 4[five per cent. of the current
market value of such land ] as Nazarana, and an amount equal to fifty per cent. of such sum as a
penalty, and on such payment, the occupant shall hold the land as Occupants -Class I, in
accordance with the provisions of the Maharashtra Land Revenue Code, 1966 (Mah. XLI of
1966).
(b) Before the commencement date, if any occupancy of Madad Mash Inam lands, held on
new and impartible tenure (Occupants -Class II) has already, without previous sanction or no
objection certificate from the Collector or any other competent authority, been transferred by the
occupant, for agricultural purpose, such transfer may be regularised without payment of any sum
as Nazarana, on the production of registered instruments such as sale deed, gift deed, etc., as a
proof thereof, for such transfer. After such regularisation, the occupancy of such land shall be
deemed to be held by such transferee occupant as an Occupants -Class II, in accordance with the
provisions of the Maharashtra Land Revenue Code, 1966 (Mah. XLI of 1966):
Provided that, before the commencement date, if any such occupancy of Madad Mash Inam
lands, held on new and impartible tenure (Occupants-Class II), has already, without prior sanction
1 Sub-section (3) was substituted by Mah. 25 of 2015, s. 2.
2 These words were substituted for the words “fifty per cent.” by Mah. 7 of 2025, s. 3(1)(a).
3 These words were substituted for the words “fifty per cent. of the current market value of such land” by Mah. 7 of 2025,
s. 3(1)(b).
4 These words were substituted for the words “fifty per cent. of the current market value of such land” by Mah. 7 of 2025,
s. 3(1)(b).
12 The Hyderabad Abolition of Inams and Cash Grants Act, 1954 [1955 : Hyd. VIII
of the Collector or any other competent authority, been transferred by the occupant for non -
agricultural use, such transfer may be regularised on payment of an amount equal to 1[five per
cent.] of the market value of such land on the date of the order of regularisation as Nazarana, and
an amount equal to ten per cent. of such sum as a penalty, and on such payment, the land shall be
deemed to be held by such transferee occupant as Occupants-Class I, in accordance with the
provisions of the Maharashtra Land Revenue Code, 1966 (Mah. XLI of 1966) , with effect from
the date of such order.
(c) The provisions of clauses (a) and (b) shall not be applicable to,—
(i) the property permanently dedicated as waqf which is administered under the
provisions of the Waqf Act, 1995 (43 of 1995) ;
(ii) the Khidmat Mash (Service Inam) lands ;
(iii) the Madad Mash Inam lands, part of which is given for Khidmat (service) of
devasthan subject to the terms and conditions of muntakhab (sanad) ;
(iv) the original Government lands granted by the then Government :
Provided that, the Collector shall verify that the muntakhab (sanad) of the Madad Mash Inam land
does not fall in sub-clauses (i) to (iv).]
(4) If any person liable to pay to the State Government the occupancy price under sub -section (2)
fails to pay the same within the period prescribed under that sub -section, it shall be recoverable as an
arrear of land revenue and if it is not recovered within a period of one year from the expiry of the
period prescribed under sub -section ( 2), the person shall be deemed to be unlawfully occupying
Government land and shall be liable to be summarily evicted in accordance with the provisions of the
Land Revenue Act, 1317 Fasli (Hyd. Act No. VIII of 1317F).
(5) If the occupancy price payable by a pe rmanent tenant or tenant under sub -section (2) is paid
by him or recovered from him under sub-section (4) then—
(a) a sum equal to one -fourth of the of the amount paid by, or recovered from, the
permanent tenant, and
(b) a sum equal to one -half of the amou nt paid by, or recovered from, the tenant shall be
paid to the inamdar.
(6) Nothing in this section shall entitle the inamdar, kabiz -e-kadim, permanent tenant, tenant or
any other person to claim compensation for the modification or extinguishment of any o f his rights to,
or interest in, the land to which this section applies.]
2[CHAPTER III
COMPENSATION AND AWARD THEREOF
7. Compensation in respect of cash grant. — (1) In the case of a cash grant, a sum of money
equal to seven times the amount of cash grant shall be paid to the holder of cash grant as compensation
for the abolition of such cash grant:
Provided that if under the terms of a grant any cash grant—
(a) is received by a widow for the purpose of maintenance, she shall be paid an amount
equal to the amount of cash grant for the remainder of her life;
(b) is received by such holder for the purpose of education, he shall be paid an amount equal
to the amount of cash grant during a like period, and subject to the like conditions, as are
contained in the grant;
(c) is received by such holder who is—
1 These words were substituted for the words “fifty per cent.” by Mah. 7 of 2025, s. 3(2).
2 This chapter was substituted for the original by Bom. 64 of 1959, s. 9.
1955 : Hyd. VIII] The Hyderabad Abolition of Inams and Cash Grants Act, 1954 13
(i) a male minor, he shall be paid an amount equal to the amount of cash grant till he
attains the age of twenty-one years,
(ii) an unmarried female, she shall be paid an amount equal to the amount of cash grant
till she marries, or the amount calculated in accordance with the provisions of this section,
whichever is greater;
(d) is received by the holder of cash grant in respect of whom, upon application made to it in
the prescribed manner, before the expiry of such period as may be prescribed, the State
Government is satisfied after such inquiry (if any) as it thinks fit that he has no other source of
income or that if he has any other source of income it is insufficient for his livelihood, or that on
account of old age, mental or physical infirmity or other reason he is incapable of earning of
livelihood or maintaining himself in a reasonable manner, there shall be paid to such holder as
compassionate payment an amount equal to the amount of cash grant during his life time or for
such lesser period as the State Government in the circumstances thinks just.
(2) For the purpose of sub -section (1), “the amount of cash grant ” shall mean the amount paid or
payable to the holder of cash grant whether as a grant of money or assignment of l and revenue for the
year immediately before the date of vesting.
8. Compensation in respect of property referred to in section 3( 2)(b).— Any inamdar having
any right or interest in any property referred to in clause ( b) of sub-section (2) of section 3 sha ll, if he
proves to the satisfaction of the Collector that he had any such right or interest, be entitled to
compensation in the following manner, namely:—
(i) if the property in question is waste or uncultivated but cultivable land, the amount of
compensation shall not exceed three times the assessment of the land:
Provided that if the land has not been assessed, the amount of compensation shall not
exceed such amount of assessment as would be leviable in the same village on the same extent of
similar land used for the same purpose;
(ii) if the property in question is land over which the public has been enjoying or has
acquired a right of way or any individual has any right of easement, the amount of co mpensation
shall not exceed the amount of the annual assessment leviable in the village for uncultivated land
in accordance with the rules made under the Land Revenue Act, 1317 Fasli (Hyd. Act No. VIII of
1317F) or if such rules do not provide for the levy of such assessment, such amount as in the
opinion of the Collector shall be the value of the right or interest held by the claimant;
(iii) in the case of minerals, the amount of compensation shall be equivalent to the average
of the net annual income rece ived by the inamdar in respect of minerals during the three years
immediately preceding the date of vesting;
(iv) in the case of forests, the amount of compensation shall be equivalent to seven times the
average of the net annual income of forest revenue i ncluding grazing fee received by the inamdar
during the twenty years immediately preceding the date of vesting; such annual income being
calculated on the basis of data regarding average yield for the said twenty years;
(v) if there are any structures on the land or trees on land other than land to which clause (iv)
applies, the amount of compensation shall be equal to the value of such structures or trees, as the
case may be.
Explanation.— For the purposes of this section, ‘value’ shall mean the value as e stimated in
accordance with the provisions of sections 18 and 19 of the Land Acquisition Act, 1309 Fasli (Hyd.
Act No. IX of 1309F), in so far as the said provisions may be applicable.
9. Method of awarding compensation to inamdar. — (1) Any inamdar or holder of cash grant
entitled to compensation under section 7 or 8, shall within the prescribed period apply in writing to the
Collector for determining the amount of compensation payable to him under the said section.
(2) On receipt of an application unde r sub-section (1), the Collector shall, after making formal
enquiry, make an award determining the amount of compensation. Where there are co-sharers claiming
compensation, the Collector shall by his award apportion the compensation between the co-sharers.
14 The Hyderabad Abolition of Inams and Cash Grants Act, 1954 [1955 : Hyd. VIII
10. Method of awarding compensation for abolition, etc. of rights of other person in
property.— (1) If any person is aggrieved by the provisions of this Act as abolishing, extinguishing or
modifying any of his rights to, or interest in, property and if compensation for such abolition,
extinguishment or modification has not been expressly denied or provided for in this Act, such person
may apply to the Collector for compensation.
(2) The application under sub -section (1) shall be made to the Collector in the prescribed form
within the prescribed period. The Collector shall, after holding a formal inquiry, make an award
determining the Compensation in the manner and according to the method provided for in sections 18
and 19 of the Land Acquisition Act, 1309 Fasli (Hyd. Act No. IX of 1309F).
(3) Nothing in this section shall entitle any person to compensation on the ground that any inam
land which was wholly or partially exempt from payment of land revenue has been under the
provisions of this Act made subject to the payment of full assessment in accordance with the provisions
of the Land Revenue Act, 1317 Fasli (Hyd. Act No. VIII of 1317F).
11. Previous approval in respect of certain awards and provisions of Land Acquisition Act
applicable.— (1) Where the officer making an award under section 9 or 10 is a Collector under this
Act but not a Collector appointed under section 6 of the Land Revenue Act, 1317 Fasli (Hyd. Act No.
VIII of 1317F) and the amount of such award exceeds five thousand rupees, then the award shall not be
made without the previous approval of—
(a) the Collector appointed under section 6 of the Land Revenue Act, 1317 Fasli (Hyd. Act
No. VIII of 1317F), if the amount of the award does not exceed twenty-five thousand rupees, or
(b) the Commissioner, if the amount of the award exceeds twenty -five thousand rupees but
does not exceed one lakh of rupees, or
(c) the State Government, if the amount of the award exceeds one lakh of rupees.
(2) Where the officer making an award under section 9 o r 10 is a Collector under this Act and
also a Collector appointed under section 6 of the Land Revenue Act, 1317 Fasli (Hyd. Act No. VIII of
1317F), and the amount of such award exceeds twenty -five thousand rupees, then such award shall not
be made without the previous approval of—
(a) the Commissioner, if the amount of the award does not exceeds one lakh of rupees, or
(b) the State Government, if the amount of the award exceeds one lakh of rupees.
(3) Every award under section 9 or 10 shall be in the form p rescribed in section 21 of the Land
Acquisition Act, 1309 Fasli (Hyd. Act No. IX of 1309F) and the provisions of the said Act shall so far
as may be apply to the making of such award.
12. Appeal against the Collector’ s award. — An appeal shall lie against an award of the
Collector to the Bombay Revenue Tribunal constituted under the Bombay Revenue Tribunal Act, 1957
(Bom. XXXI of 1958), notwithstanding anything contained in the said Act.
13. Procedure before Revenue Tribunal. — (1) The Bombay Revenue Tribun al shall, after
giving notice to the appellant and the State Government, decide the appeal and record its decision.
(2) In deciding an appeal under this Act, the Bombay Revenue Tribunal shall exercise all the
powers which a Court has and shall follow the same procedure which a Court follows in deciding
appeals from the decree or order of an original Court under the Code of Civil Procedure, 1908 (V of
1908).
14. Limitation.— Every appeal made under this Act to the Bombay Revenue Tribunal shall be
filed wi thin a period of sixty days from the date of the award of the Collector. The provisions of
sections 4, 5, 12 and 14 of the Indian Limitation Act, 1908 (IX of 1908) , shall apply to the filing of
such appeal.
1955 : Hyd. VIII] The Hyderabad Abolition of Inams and Cash Grants Act, 1954 15
15. Finality of award and decision of Revenue Tr ibunal.— The award made by the Collector
subject to an appeal to the Bombay Revenue Tribunal and the decision of the Bombay Revenue
Tribunal on the appeal shall be final and conclusive and shall not be questioned in any suit or
proceeding in any Court.
16. Mode of payment of amount of compensation. — The amount of compensation payable
under the provisions of this Act shall be payable in cash :
Provided that, if in the case of any inamdar or holder of cash grant the amount of compensation,
other than that payable under t he proviso to section 7, exceeds ten thousand rupees, then the excess
over ten thousand rupees may be payable in transferable bonds carrying interest at the rate of three per
cent. per annum from the date of the issue of such bonds and repayable during a period of twenty years
from the date of the issue of such bonds by equated annual instalments of the principal and interest.
Such bonds shall be of such denomination and shall be in such form as may be prescribed.]
1[CHAPTER IV
RECOVERY OF RECORDS
17. Inamdars to deliver records to authorised officers. — (1) Whenever an officer authorised
by the State Government in this behalf so directs, an inamdar shall deliver to him or such officer as
may be specified in the direction, the records relating to the inam maintained by the inamdar.
(2) If the inamdar fails without reasonable cause to deliver any such records he shall, on
conviction, be punished with fine which may extend to two hundred rupees. In the case of a continuing
failure to deliver any such records, the inamdar shall be punished with an additional fine which may
extend to twenty-five rupees for every day during which such failure continues after conviction for the
first such failure.]
CHAPTER V
MISCELLANEOUS
2[30. Inquiries and proceedings to be judicial proceedings. — All inquiries and proceedings
before the Collector and the Bombay Revenue Tribunal under this Act shall be deemed to be judicial
pExcerpt shown. Open the full act in Lexace.