BUDHA VEERINAIDU Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) This writ appeal is directed against the judgment of our learned brother, Raghuvir J., dismissing the writ petition filed by the present appellant. The main question arising in this case is whether the Market Committee functioning under the Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966, is a local authority for the purpose of the Land Acquisition Act of 1894.

(2.) The petitioner before us challenges a notification issued under Section 6(1) of the Land Acquisition Act. It was issued on July 10, 1972. Thereafter a notification under Section 6 of the Act was issued on September 2, 1974, and it was proposed to acquire 12.02 hectares of land in Anakapalli town for the needs of Anakapalli Market Committee. There was an earlier litigation also between the parties and it has been contended on behalf of the petitioner herein that the Market Committee is a company and the provisions in Pt. VII of the Land Acquisition Act should have been made applicable. It is clear that under Section 6(1) of the Land Acquisition Act, the acquisition should be for a public purpose. Section 6(1) declares that declaration can be made by the Government, if the other conditions mentioned in the section are fulfilled, to the effect that any 'particular land is needed for a public purpose. Under the second proviso to Section 6(1) no such declaration shall be made unless compensation to be awarded for such property was to be paid by a company wholly or partly out of public revenues or some fund controlled or managed by a local authority. In the instant case, if the Market Committee is a local authority, then the declaration would be a proper one and the notification issued under Section 6(1) would be a valid notification.

(3.) The question whether the Marketing. Committee is a local authority or not has to be considered in a very narrow compass. There is no definition of the word " local authority " in the Land Acquisition Act. But in the General Clauses Act " local authority " has been denned in Clause (31) of Section 3 to mean, "a municipal committee, district board, body of sport commissioners or other authority legally entitled to, or entrusted by the Government with the control or management of municipal or local fund ". In Patel Premji Jiva v. State of Gujarat [1970] 2 SCWR 460, the Supreme Court has held that a Marketing Committee functioning under the Gujarat Agricultural Produce Markets Act, 1963, is a local authority for the purpose of Section 6 of the L. A Act. In para. 4 of the judgment(at p. 461) Shah J. (as he then was), speaking for the Supreme Court, observed :