ABDUL HUSSAIN TAYABALI Vs. STATE OF GUJARAT

JUDGEMENT

(1.) These appeals by certificate are directed against the judgment of the High Court of Gujarat dismissing the writ petitions filed by the appellants for quashing the notifications dated August 28, 1964 and October 18, 1965 respectively issued under Sections 4 and 6 of the Land Acquisition Act, 1 of 1894.

(2.) The appellants are the owners of the lands in question situate at Ranoli, District Baroda. The 3rd respondent Company also owns about 140 acres of land in the same village. The appellants' lands are either situate adjacent to and between the Company's lands and the railway lines or are enclaves surrounded by lands belonging to the Company. On July 22, 1961 the Stab Government issued a notification under Section 4 of the Act to the effect that the appellants' said lands were or were likely to be needed for a public purpose, viz., for a fertilizer factory. That notification was withdrawn on September 11, 1962 as the lands were stated to be unsuitable for such a factory. The Government however issued the very next day a fresh notification under Section 4 in respect of the same lands, this time for the purpose of the 3rd respondent Company. Some of these appellants thereupon filed writ petitions challenging its validity. While these petitions were pending before the High Court this Court delivered its decision in what is known as the first Arora Case, AIR 1962 SC 764. To get over the difficulties arising from that decision, first an ordinance and then the Amendment Act XXXI of 1982, were passed. The Amendment Act was brought into force from July 20, 1962 with retrospective effect. The Central Government thereafter made Rules under Section 55 of the Act called the Land Acquisition (Companies) Rules which were brought into force from June 22, 1963.On July 24, 1963 the State Government withdrew the notification dated September 12, 1962 whereupon the writ petitions filed by the appellants challenging the said notifications were withdrawn. In the meantime one D. K. Master, who was then the Special Land Acquisition Officer Baroda, started an inquiry under Rule 4 of the said Rules. On August 28, 1964 the State Government issued a notification under Section 4 stating that the appellants' said lands were needed or were likely to be needed for the establishment of a factory of the 3rd respondent Company. The appellants filed their objections in the inquiry then held under Section 5-A but they were rejected. On October 18, 1985 the State Government issued Section 6 notification declaring that the said lands were needed for the factory of the 3rd respondent Company which it was stated was taking steps or engaging itself for manufacture of optical bleaching agents, intermediate dye-stuffs etc., which according to the Government was for a public purpose.

(3.) The appellants thereupon filed writ petitions from which these appeals arise challenging the two notifications dated August 28, 1964 and October 18, 1965 respectively. When these writ petitions came on for hearing, the State Government produced a notification dated October 11, 19 authorising the Special Land Acquisition Officers of the State to perform the functions of the Collector under Section 3 (c). On certain contentions having been raised on the basis of this notification, the High Court adjourned the hearing to enable the State Government to explain the circumstances and the reasons for issuing the said notification. On August 25, 1966 the said Master led a further affidavit clarifying the Government's position and the circumstances in which he performed the functions of the Collector under Section 3 (c).