SUPREME COURT OF INDIA
Daulat Singh Surana and Others
Vs
First Land Acquisition Collector and Others
Appeal (Civil) 6756 of 2003
(Ashok Bhan and Dalveer Bhandari, JJ)
13.11.2006
DALVEER BHANDARI, J.
This appeal is directed against the judgment of the Division Bench of the
Calcutta High Court delivered in FMAT No.6 of 1997 dated 10th October, 2002.
The appellant is aggrieved by the Notification under Section 4 and declaration
under Section 6 of the Land Acquisition Act, 1894
dated 13th December, 1994 and 23rd June, 1995 respectively published and made
by the Government of West Bengal in respect of premises no.4, Pretoria Street,
Calcutta measuring more or less 0.0988 hectare (0.2441 acre).
The appellant had challenged the said notification by filing a writ petition
before the Calcutta High Court. The learned Single Judge had allowed the writ
petition and quashed the notification. The said notification under section 4
reads as under:
"NOTIFICATION Calcutta No.4364-LA(PW)/3P-21/94/Home (Police) Dated,
Calcutta the 13th December, 1994 WHEREAS it appears to the Governor that land
is likely to be needed for a public purpose not being a purpose of Union namely
for permanent accommodation of office-cum-residence of Dy. Commissioner of
Police Security Control under Commissioner of Police, Calcutta, Home (Police)
Deptt. Government of West Bengal in Police Station District Calcutta Ward No.63
of Calcutta Municipal Corporation, it is hereby notified that a piece of land
comprising Western portion of premises No.4, Pretoria Street, Calcutta and
measuring more or less 0.0988 hectare (0.2423 acre) and bounded as specified
below:-
North by : Pretoria Street East by Remaining portion of Premises No.4, Pretoria
Street. South by : Premises No.5, Pretoria Street West by : Premises Nos.12
& 15, Lord Sinha Road is likely to be needed for the aforesaid public
purpose at the public expense within the aforesaid Ward of the Calcutta
Municipal Corporation in the City of Calcutta.
This Notification is made, under the provisions of Section 4 of Act I of 1894
to all whom it may concern.
A plan of the land may be inspected in the Office of the First Land Acquisition
Officer, Calcutta, at No.5, Bankshall Street, Calcutta 700 001.
In exercise of the powers conferred by the aforesaid Section, the Governor is
pleased to authorise the Officers for the time being engaged in the
undertaking, with their servants and workmen, to enter upon and survey the land
and do all other acts required or permitted by that section.
Any person interested in the above land, who has any objection to acquisition
thereof, may within thirty days after the date on which public notice of the
substance of this Notification is given in the locality, file an objection in
writing before the First Land Acquisition Collector, Calcutta, at No.5,
Bankshall Street, Calcutta-700 001.
By Order of the Governor
T.N. Khan
Deputy Secretary to the
Govt. of West Bengal."
Thereafter, on 23.6.1995, declaration under section 6 was issued by the
Government of West Bengal. The said declaration as published in Calcutta
Gazette reads as under:
"DECLARATION Calcutta No.4059-L.A./3P-21/94/Home (Police) Dated: 23.6.95
WHEREAS the Governor is satisfied that land is needed for a public purpose
being/not being a purpose of Union, namely for permanent accommodation of
office-cum-residence of Dy. Commissioner of Police Security Control under
Commissioner of Police Calcutta, Home (Police) Deptt. Govt. of N. Bengal, in
Police Station Park Street, District Calcutta, Ward No.63 of Calcutta Municipal
Corporation, it is hereby declared that a piece of land comprising premises No.
Western portion of Premises No.4, Pretoria Street, Calcutta and measuring more
or less 0.0988 hectare (0.2441 acre) and bounded on the
North by: Pretoria Street East by Remaining portion of Premises No.4, Pretoria
South by : Premises No.5, Pretoria Street West by : Premises No.12 & 15,
Lord Sinha Road is needed for the aforesaid public purpose at the public
expense partly at the public expenses and partly at the expense of within the
aforesaid ward of the Calcutta Municipal Corporation in the City of Calcutta.
This Declaration is made under the provision of Section 6 of Act 1 of 1894/read
with the said Notification, to all whom it may concern.
A plan of the land may be inspected in the Office of the First Land Acquisition
Collector, Calcutta, at No.5, Bankshall Street, Calcutta-700 001.
By order of the Governor, (P.K. Guha Roy)
Deputy Secretary to the Govt. of W.B.
I.C.A. 2744(2)/95
Date: 28.6.95."
In the said declaration, it is clearly incorporated that the said piece of land
is needed for office-cum- residence of Dy. Commissioner of Police (Security
Control) at the public expense.
The reasons for setting aside section 4 notification and declaration under
section 6 of the Land Acquisition Act, were as follows:
"(I) the publication thereof, having not been preceded by handing over
vacant possession of the land, by the Government to the respondents, in
compliance with the order dated 18th August, 1993, passed by the learned Single
Judge in Writ Petition No.3799 of 1992, had amounted to practicing fraud by the
Government upon the statute;
(II) the declaration under Section 6 was set aside on the ground that the
statement incorporated in the said declaration that the said premises was being
acquired 'partly at the public expense and partly at the expense of within the
aforesaid ward' as published in the newspaper indicated total non-application
of mind by the concerned authorities".
In the year 1943, under the Defence of India Rules, the premises situated at 4,
Pretoria Street, Calcutta was requisitioned by the Government of West Bengal.
After requisition, the Government started using the ground floor of the
two-storeyed building, standing thereon, as office of the Dy. Commissioner of
Police (Security Control), and the first floor thereof, as residential
accommodation of the said officer. Admittedly, the premises and the land
appurtenant to the premises has been continuously in possession of the
respondent-State Government since 1943 and from year 1943, the said premises is
being used as the office of the Dy. Commissioner of Police (Security Control).
In other words, for the last more than 63 years the office of Dy. Commissioner
of Police (Security Control) has been continuously functioning from the said
premises.
In this petition, we are primarily concerned with the validity of the issuance
of notification under section 4 and declaration under section 6 of the Land Acquisition Act, 1894 in respect of the said
premises.
In the impugned judgment and other judgments delivered from time to time, the
other facts regarding requisition and acquisition have been incorporated.
Therefore, briefly, we would indicate those facts in order to understand the
controversy involved in the said case properly and comprehensively. We would
like to clearly indicate that our directions would remain confined only to the
validity of Section 4 and declaration made under Section 6 of the Act.
Essential facts
Brief facts necessary to understand and comprehend the controversy involved in
the case are briefly stated as under.
After the acquisition of the said premises in the year 1943, both office and
residence of the Dy. Commissioner of Police (Security Control) started
functioning at the said premises. On 28th December, 1947, the Government of
West Bengal de-requisitioned the said land, but detained possession thereof.
Again, by order dated 30th January, 1959 issued under Section 3(1) of the West
Bengal Premises Requisition and Control (Temporary Provision) Act, 1947, the
Government requisitioned the said land and continued to use the same for the
same purpose.
The appellant purchased the said land on 27.9.1982 along with the existing
building. The appellant filed a writ petition being W.P. No.872 of 1984 before
the Calcutta High Court in the year 1984.
The writ petition was allowed by the learned Single Judge vide judgment dated
17th September, 1985. The respondent-State preferred an appeal (FMA No.508 of
1985). The said appeal was disposed of by the judgment of the Division Bench
dated 12th December, 1985. The requisition thereof was to remain valid for a
period of six months from 12th December, 1985 and the requisition in regard to
the garden was put to an end with the direction to hand over the possession to
the appellant with liberty to acquire at the same time.
The appellant apprehending acquisition of the said land under the provisions of
the West Bengal Land (Requisition and Acquisition) Act, 1948, on 25th April,
1986 moved the second Writ Petition (Civil Rule No. 5025(W) of 1986).
The respondent-Government once again requisitioned the said land by making an
order dated 31st May, 1986 under Section 3(1) of the West Bengal Act 2 of 1948.
The respondent-Government of West Bengal continued to use the said
requisitioned land for the same purpose as before. Thereafter, for acquiring
the said land, the government published a notice dated 14th August, 1986 under
Section 4(1a) of the West Bengal Act 2 of 1948 in the official gazette on 16th
August, 1986.
The appellant challenged the said order and notice under Sections 3(1) and
4(1a) of the West Bengal Act 2 of 1948 by filing a third Writ Petition (Civil
Rule No. 8407(W) of 1987). The learned Single Judge disposed of the said Civil
Rule 8407(W) of 1987. Both the said order under Section 3 (1) and Notice under
Section 4(1a) were set aside.
The respondent-Government preferred an appeal (FMAT No. 2224 of 1987) and it
was disposed of by the Division Bench on 7th September, 1990. The appeal was
allowed and the judgment appealed from was set aside to the extent indicated
hereinbelow. The relevant portion of the judgment is reproduced hereinbelow :-
"It however appears to us that if the vacant land to the extent of 15
feet at the back side of the covered portion of the building is acquired the
purpose for which the building is intended to be acquired will be satisfied and
the entirety of the vacant land and the back side of the said building is not
necessary to be acquired. The order of acquisition of vacant land at the back
of the building beyond 15 ft. of the vacant land at the back side of the
building therefore stands annulled. It also appears to us that in the facts of
this case that the State Government intended from the very beginning to acquire
the premises for the said Security Control Department and for accommodating the
in charge of the said department viz. The Deputy Commissioner of Police (Security
Control). It was never intended by the State Government to requisition the
premises temporarily for the sole purpose of requisition. It will not be
correct to contend that the Government had intended initially to keep the
premises in requisition but later on, it decided to acquire the said premises.
Records of the Government Department also clearly demonstrate that the property
was intended to be acquired for the said purpose and as the time for
acquisition as specified by the Court of Appeal was running out and there was
urgent necessity to maintain status quo as regards possession before
acquisition proceeding is finalized under Act II of 1948, the order of
requisition was made within six months only as a step in aid to pass
consequential order of acquisition under Section 4(1a) of Act 1948. Looking to
the relevant records of the case it does not appear to us that the order of
requisition was not passed within a period of six months but such order was
antedated."
Against the order of the Division Bench, special leave petition filed by the
respondent-State was dismissed by this Court. Consequently, on 12th June, 1991
physical possession of the land beyond 15 ft. of the existing building was
delivered back by the respondent- State to the appellant. A notice dated 14th
September, 1992 under Section 5(3) of the West Bengal Act 2 of 1948 was issued
by the First Land Acquisition Collector, Calcutta inviting the respondents to
make their respective claims to compensation for the said land already acquired
by the Government by publishing the said notice dated 14th August, 1986 under
Section 4(1a) of the West Bengal Act 2 of 1948.
It may be pertinent to mention that the appellant instead of making any claim
for the grant of compensation, filed Writ Petition Nos.3798-3799 of 1992. In
Writ Petition No.3798 of 1992, the notice dated 14th September, 1992 under
Section 5(3) of the West Bengal Act 2 of 1948 and in FMAT No.2224 of 1987 was
set aside on the ground that despite the judgment of the Division Bench in FMAT
No.2224 of 1987, the said notice had been issued.
By the order passed in Writ Petition No.3799 of 1992, the requisition order
dated 30th January, 1959 was set aside together with the direction to the State
Government to deliver the vacant possession of the land and the building to the
appellant within six months. By a subsequent order dated 8th July, 1994 passed
in Writ Petition No.3798 of 1992, the learned Single Judge was pleased to
modify his order dated 18th August, 1993 to the effect that the said order
would not prevent the Government from issuing fresh notice in terms of the
orders of the Court, for acquisition of the land within the period of six
months after they wanted to acquire the land.
In this background, the respondent-State Government published the notification
dated 13th December, 1994 in the official gazette on 21st December, 1994 under
Section 4 of the Land Acquisition Act of 1894. In the notification, the same
public purpose was indicated that the premises were required for the office of
Deputy Commissioner of Police (Security Control) which had been in possession
of respondent State of West Bengal since 1943. The land (the purpose for which
it was being used from the year 1943) and the land (the covered area 15 ft. as
upheld by the Division Bench in FMAT No.2224 of 1987) at the same premises was
needed by the State Government at the public expense.
The appellant had filed his objections under Section 5A of the Act. The
objections of the appellant were heard by the competent authority and
thereafter, declaration under Section 6 of the Act was issued by the competent
authority on 23rd June, 1995. It was published in the newspaper on 6 and 7th
July, 1995 and in the official gazette on 7th August, 1995. According to the
appellant, the notification under Section 4 of the Land Acquisition Act could
not have been validly issued in respect of the land, possession whereof had
been retained illegally by the State Government. It was further incorporated
that the Government had earlier been continuing possession of the land only in
terms of the requisition order dated 31st May, 1986. The said order of
requisition having been quashed by the Court's order dated 18th August, 1993,
the Government's possession of land sought to be acquired became illegal and
unauthorized. It was asserted by the appellant that having abandoned the
earlier proceedings initiated under the West Bengal Act 2 of 1948, as was
evident from the fact of publication of the impugned Notification under Section
4 read with Section 4 of the Act No.1 of 1894, the State Government had lost
the right to retain the possession of the land. The possession would have been
taken only in terms of the provisions of Section 16 of the Act 1 of 1894. It was
further asserted by the appellant that the very fact of Government publishing
the Notification under Section 4, while illegally retaining possession of the
land was sufficient to hold that the power was exercised mala fide. The learned
Single Judge came to the conclusion that possession of the land could be taken
by the Government only after passing of an award under the provisions of the
Act 1 of 1894.
In the instant case, no award has been passed, the possession of the land had
always remained with the Government. The possession of the land had not been
handed over to the respondent in spite of Court's order dated 18th August, 1993
passed by the learned Single Judge. According to the appellant, non-delivery of
possession of the land had vitiated the Notification under Section 4 of the
Land Acquisition Act so as to make it a nullity. The Government was granted
liberty to acquire the land in accordance with law but that liberty was subject
to handing over the derequisitioned land to the respondent.
The appellant submitted that the publication of the Notification under Section
4 of the Act 1 of 1894 without first delivering back possession of the land to
the respondent in terms of the court's order passed in Writ Petition No.3799 of
1992 amounted to practicing fraud by the government upon the statute.
It was contended by the respondent before the Division Bench that since the
Government had been granted liberty to take steps for acquisition of the land
and the Notification under Section 4 of the Act 1 of 1894 was issued pursuant
to grant of such liberty, there was no scope and reason for the State
Government to give back possession of the land to the appellant; as a condition
precedent for initiation of proceedings. As regards the declaration, it has been
contended that the learned Single Judge should not have decided the question of
validity by relying on a printing mistake appearing in the declaration which
had been published in the newspaper because the purported vagueness indicated
by the learned Single Judge did not exist and a real one as was apparent from
the Notification itself and the declaration published in the official gazette.
Both the notification under section 4 and declaration under section 6 have been
reproduced in the earlier part of the judgment. The respondent placed reliance
on Sri Nripati Ghoshal v. Premavati Kapur & Ors. 1 (para 4)] and First Land Acquisition Collector &
Ors. v. Nirodhi Prakash Gangoli & Anr. (para 6)] and contended that
the State Government had power to initiate an acquisition proceeding by
publishing a Notification under Section 4 of the Act and in respect of any land
which is in the Government's possession and, therefore, Notification published
in the instant case cannot be faulted with, on the ground as contended by the
appellant.
The learned counsel for the appellant also contended that delivery of
possession of the land in the facts and circumstances of the present case was a
sine qua non for publishing the Notification under Section 4 of the Land
Acquisition Act.
On the question of requirement of delivery of possession reliance has been made
on Raghunath & Ors. v. State of Maharashtra & Ors. (para 9)]
Hindustan Oil Mills Ltd. & Anr. v. Special Deputy Collector (Land
Acquisition) (paras 8 & 9)] and State of West Bengal v. Bireshwas
Dutta Estate (P) Ltd. [(2000) 1 Calcutta Law Times 165(HC) (para 37)].
Reliance has also been placed on Sailendra Narayana Bhanja Deo v. State of
Orissa (para 8). Analysis of the impugned judgment
The Division Bench carefully examined the pleadings, documents and the
judgments cited at the Bar. The Court came to a categorical finding that for
the purpose of examining the validity of a Notification under Section 4 of the
Land Acquisition Act, the question of possession of land is absolutely
irrelevant; the examination should remain confined only to the question of
existence of public purpose. The Division Bench drew support for the aforesaid
view from the case of Nirodhi Prakash Gangoli. The Division Bench also observed
that neither the appellant had seriously contended that behind the proposed
acquisition, the public purpose was absolutely absent; nor did the learned
Single Judge arrived at the conclusion that the proposed acquisition was not
for a notified public purpose.
The Government of West Bengal was empowered to take steps for acquisition of
any land in any locality, if the same was needed for public purpose under
section 4 of the Land Acquisition Act. According to the Division Bench, in
absence of any bar, the Government was fully empowered to publish a
notification under Section 4 in respect of a piece of land which is already in
the government's possession. The Division Bench observed that the order dated
18th August, 1993 passed by the learned Single Judge was in ignorance of both
the aforementioned statutory provisions and the binding Division Bench
judgment.
In Nirodhi Prakash Gangoli's case (supra), exactly similar controversy came
before the Court for adjudication regarding physical possession. The Court held
as under:
"6. It is indeed difficult for us to uphold the conclusion of the
Division Bench that acquisition is mala fide on the mere fact that physical
possession had not been delivered pursuant to the earlier directions of a
learned Single Judge of Calcutta High Court dated 25.8.1994. When the Court is
called upon to examine the question as to whether the acquisition is mala fide
or not, what is necessary to be inquired into and found out is, whether the
purpose for which the acquisition is going to be made, is a real purpose or a
camouflage. By no stretch of imagination, exercise of power for acquisition can
be held to be mala fide, so long as the purpose of acquisition continues and as
has already been stated, there existed emergency to acquire the premises in question.
The premises which were under occupation of the students of the National
Medical College, Calcutta, were obviously badly needed for the College and the
appropriate authority having failed in their attempt earlier twice, the orders
having been quashed by the High Court, had taken the third attempt of issuing
notification under Sections 4(1) and 17(4) of the Act, such acquisition cannot
be held to be mala fide and, therefore, the conclusion of the Division Bench in
the impugned judgment that the acquisition is mala fide, must be set aside and
we accordingly set aside the same."
The High Court was correct and justified in holding that while examining the
validity of notification under Section 4 of the Land Acquisition Act, the
question of possession of land was absolutely irrelevant.
The Division Bench held that the order dated 18th August, 1993 was per
incurium. The Court also observed that the learned Single Judge was wrong in
holding that the publication of the said Notification under Section 4 was an
act done in violation of the said order dated 18th August, 1993. According to
the Division Bench, the learned Single Judge proceeded on a completely wrong
premise that the land in question had been kept in possession by the
Government, even after formally derequisitioning the same; for, as a matter of
fact, the piece sought to be acquired, had never been derequisitioned after
30th January, 1959; it had rather stood absolutely vested in the Government.
The Division Bench clearly came to the conclusion that the State Government's
possession of the land never became illegal or unauthorized by the operation of
law.
The Division Bench specifically observed that the declaration published on 7th
August, 1995 in the official gazette has been produced before them. The
Division Bench observed that they were satisfied that the words 'partly at the
public expense and partly at the expense of' within the aforesaid ward
published in the newspaper did not correctly reproduce the declaration issued
under section 6 of the Act. The official gazette had correctly incorporated
that the land was acquired at the public expense only. Therefore, the Division
Bench did not find any infirmity in Section 4 notification and in the
declaration dated 23rd June, 1995 made under Section 6 of the Land Acquisition Act, 1894.
The Division Bench was also justified in coming to the conclusion that the
appellant cannot be permitted to take advantage of some typographical error in
the newspaper particularly when in the official gazette as well as Notification
under Section 4 and in the declaration of 23rd June, 1995 made under Section 6
of the Act of 1894, no such mistake appeared. Therefore, the submission of the
appellant was totally devoid of any merit.
It may be pertinent to mention that the Division Bench was quite careful about
the rights of the appellant and various proceedings and orders passed in those
proceedings. While taking into consideration all the relevant facts and
circumstances, the Division Bench clearly observed as under and we deem it
appropriate to quote the relevant observation of the Division Bench:-
"We have already seen that there was an unbroken and continuous valid
requisition, which had ultimately merged in the acquisition notice dated 14th
August, 1986. Therefore, to whatever rent compensation or damages the
respondents were entitled in law; they were always and still are, at liberty to
claim and realize the same from the Government, in accordance with law.
Regarding the propriety and necessity of the publication of the notification
dated 13th December, 1994, under section 4 of the Act 1 of 1894, in the face of
the Division Bench decision dated 7th September, 1990 in F.M.A.T. No. 2224 of
1987, we do not propose to express any opinion, lest we should allow the appellants
to challenge their own action, to the inevitable detriment of valuable accrued
right, if any, of the respondents. We only say that in view of our decision to
allow the appeal, and uphold the section 4 notification and consequent section
6 declaration, we do not think it proper or necessary to pass any further order
on the respondents' said applications (C.A. Nos. 4592 and 5886 of 2001); and
they shall be deemed to be disposed of, with liberty to the respondents to
claim their dues, if any, before the appropriate forum, in accordance with
law."
The Division Bench allowed the appeal and set aside the impugned judgment of
the learned Single Judge dated 2nd December, 1996. The Division Bench has
observed that the appellant would be entitled to recover rent, compensation of
rent to which he was entitled in law in appropriate proceedings. The appellant
has failed to point out any infirmity as far as Notification under Section 4
and consequent declaration under Section 6 of the Act. Section 4 of the Notification
is usually assailed on the ground of public purpose. Therefore, we deem it
appropriate to enumerate the concept of Public Purpose and deal with the
decided cases interpreting the scope and ambit of public purpose. Public
Purpose
Public Purpose has been defined in the Land Acquisition Act as under:-
"(f) the expression "public purpose" includes :
(i) the provision of village-sites, or the extension, planned development or
improvement of existing village sites;
(ii) the provision of land for town or rural planning;
(iii) the provision of land for planned development of land from public funds
in pursuance of any scheme or policy of Government and subsequent disposal
thereof in whole or in part in lease, assignment or outright sale worth the
object of securing further development as planned;
(iv) the provision of land for a corporation owned or controlled by the State;
(v) the provision of land for residential purposes to the poor or landless or
to persons residing in areas affected by natural calamities, or to persons
displaced to affected by reason of the implementation of any scheme undertaken
by Government, any local authority or a corporation owned or controlled by the
State;
(vi) the provision of land for carrying out any educational, housing, health or
slum clearance scheme sponsored by Government, or by any authority established
by Government for carrying out any such scheme, or, with the prior approval of
the appropriate Government, by a local authority or a society registered under
the Societies Registration Act, 1860 (21 of 1860),
or under any corresponding law for the time being in force in a State, or a
co-operative society within the meaning of any law relating to co-operative
societies for the time being in force in any State;
(vii) the provision of land for any other scheme of development sponsored by
Government or, with the prior approval of the appropriate Government, by a
local authority;
(viii) the provision of any premises or building for locating a public office;
but does not include acquisition of land for Companies."
Public purpose will include a purpose in which the general interest of
community as opposed to the interest of an individual is directly or indirectly
involved. Individual interest must give way to public interest as far as public
purpose in respect of acquisition of land is concerned.
In the Constitution of India, some guidelines can be traced as far as public
purpose is concerned in Article 37 of the Constitution. The provisions
contained in this Part (Directive Principles of the State Policy) shall not be
enforceable by any Court, but the principles therein laid down are nevertheless
fundamental in the governance of the country. It shall be the duty of the State
to apply these principles in making laws.
According to Article 39 of the Constitution, the State shall, in particular,
direct its policy towards securing that the ownership and control of the
material resources of the community are so distributed as best to subserve the
common good. The laws made for the purpose of securing the constitutional
intention and spirits have to be for public purpose.
The term 'public purpose' has been defined in Black Law Dictionary (Fifth
Edition) as under:
"A public purpose or public business has for its objective the
promotion of the public health, safety, morals, general welfare, security,
prosperity and contentment of all the inhabitants or residents within a given
political division, as, for example, a state, the sovereign powers of which are
exercised to promote such public purpose or public business."
Public purpose is bound to vary with times and prevailing conditions in the
community or locality and, therefore, the legislature has left it to the State
(Government) to decide what is public purpose and also to declare the need of a
given land for the purpose. The legislature has left the discretion to the
Government regarding public purpose. The Government has the sole and absolute
discretion in the matter.
In State of Bihar v. Kameshwar Singh reported in 1952 AIR(SC) 252 at page
259, a Constitution Bench of this Court considered the expression 'public
purpose'. Mahajan, J. explained the expression 'public purpose' in the
following manner:
"The expression "public purpose" is not capable of a precise
definition and has not a rigid meaning. It can only be defined by a process of
judicial inclusion and exclusion. In other words, the definition of the
expression is elastic and takes its colour from the statute in which it occurs,
the concept varying with the time and state of society and its needs. The point
to be determined in each case is whether the acquisition is in the general
interest of the community as distinguished from the private interest of an
individual."
In that case, S. R. Das, J. observed as under: "We must regard as
public purpose all that will be calculated to promote the welfare of the people
as envisaged in the Directive Principles of State policy whatever else that
expression may mean."
Almost a century ago, in Hamabai v. Secretary of State reported in 1911
(13) BomLR 1097, Batchelor, J. observed:
"General definitions are, I think, rather to be avoided where the
avoidance is possible, and I make no attempt to define precisely the extent of
the phrase 'public purpose' in the lease; it is enough to say that, in my
opinion, the phrase, whatever else it may mean, must include a purpose, that
is, an object or aim, in which the general interest of the community, as
opposed to the particular interest of individuals, is directly and vitally concerned"
received the approval of the Privy Council".
The definition of public purpose has been relied in number of subsequent
decisions including the Constitution Bench judgment of this Court.
The concept of public purpose was dealt in great detail in a leading American
case Munn v. Illinois reported in 1877 (94) US 113: 24 L. Ed 77 and in
some other cases. The doctrine declared is that property becomes clothed with a
public interest when used in a manner to make it of public consequence, and affect
the community at large and from such clothing the right of the legislature is
deduced to control the use of the property and to determine the compensation
which the owner may receive for it. Field, J. observed as follows:
"The declaration of the Constitution of 1870, that private buildings
used for private purposes shall be deemed public institutions, does not make
them so. The receipt and storage of grain in a building erected by private
means for that purpose does not constitute the building a public warehouse.
There is no magic in the language, though used in a constitutional convention,
which can change a private business into a public one, or alter the character
of the building in which the business is transacted."
In United Community Services v. Omaha Nat. Bank 77 N.W.2d 576, 585, 162 Neb.
786, the Court observed that a public purpose has for its objective the
promotion of the public health, safety, morals, security, prosperity,
contentment, and the general welfare of all the inhabitants.
In People ex rel. Adamowski v. Chicago R.R. Terminal Authority, 151 N.E.2d 311,
314, 14 III.2d 230 the Court observed that public purpose is not static
concept, but is flexible, and is capable of expansion to meet conditions of
complex society that were not within contemplation of framers of Constitution.
In Green v. Frazier, 176 N.W. 11, 17, 44 N.D. 395, the Court observed that a
public purpose or public business has for its objective the promotion of the
public health, safety, morals, general welfare, security, prosperity, and
contentment of all the inhabitants or residents within a given political
division, as, for example, a state, the sovereign powers of which are exercised
to promote such public purpose or public business.
In the words of Lord Atkinson in Central Control Board v. Cannon Brewery Co.
Ltd. 1919 AC 744, the power to take compulsorily raises by implication a
right to payment.
The power of compulsory acquisition is described by the term "eminent
domain". This term seems to have been originated in 1525 by Hugo Grotius,
who wrote of this power in his work "De Jure Belli et Pacis" as
follows : "The property of subjects is under the eminent domain of the
State, so that the State or he who acts for it may use and even alienate and
destroy such property, not only in the case of extreme necessity, in which even
private persons have a right over the property of others, but for ends of
public utility, to which ends those who founded civil society must be supposed
to have intended that private ends should give way. But it is to be added that
when this is done the State is bound to make good the loss to those who lose
their property."
The Court observed that the requirement of public purpose is implicit in
compulsory acquisition of property by the State or, what is called, the
exercise of its power of 'Eminent Domain'.
The Court further observed that the principle of compulsory acquisition of
property, says Cooley (in Vol. II at p. 113, Constitutional Limitations) is
founded on the superior claims of the whole community over an individual
citizen but is applicable only in those cases where private property is wanted
that public use, or demanded by the public welfare and that no instance is
known in which it has been taken for the mere purpose of raising a revenue by
sale or otherwise and the exercise of such a power is utterly destructive of
individual right.
In The State of Bombay v. R.S. Nanji 1956 SCR 18, the Court observed that
it is impossible to precisely define the expression 'public purpose'. In each
case all the facts and circumstances will require to be closely examined in
order to determine whether a public purpose has been established. Prima facie,
the Government is the best judge as to whether public purpose is served by
issuing a requisition order, but it is not the sole judge. The courts have the
jurisdiction and it is their duty to determine the matter whenever a question
is raised whether a requisition order is or is not for a public purpose.
In the said case, the Court observed that the phrase 'public purpose' includes
a purpose, that is, an object or aim, in which the general interest of the
community, as opposed to the particular interest of individuals is directly and
vitally concerned. It is impossible to define precisely the expression 'public
purpose'. In each case all the facts and circumstances will require to be
closely examined to determine whether a public purpose has been established.
In that case, the Court also referred to the following cases: The State of
Bombay v. Bhanji Munji & Another and The State of Bombay v. Ali
Gulshan
In Somawanti v. State of Punjab , the Court observed that public purpose
must include an object in which the general interest of the community, as
opposed to the particular interest of individuals, is directly and vitally
concerned. Public purpose is bound to change with the times and the prevailing
conditions in a given area and, therefore, it would not be a practical
proposition even to attempt an extensive definition of it. It is because of
this that the legislature has left it to the Government to say what is a public
purpose and also to declare the need of a given land for a public purpose.
The Constitution Bench of this Court in Somawanti (supra) observed that whether
in a particular case the purpose for which land was needed was a public purpose
or not was for the Government to be satisfied about and the declaration of the
Government would be final subject to one exception, namely that where there was
a colourable exercise of the power the declarations would be open to challenge
at the instance of the aggrieved party. In Babu Barkya Thakur v. The State of
Bombay & Others , the Court observed as under:
"It will thus be noticed that the expression 'public purpose' has been
used in its generic sense of including any purpose in which even a fraction of
the community may be interested or by which it may be benefited."
The Constitution Bench in Satya Narain Singh v. District Engineer, P.W.D.,
Ballia and Anr. reported in while describing public service observed :-
"It is undoubtedly not easy to define what is "public
service" and each activity has to be considered by itself for deciding
whether it is carried on as a public service or not. Certain activities will
undoubtedly be regarded as public services, as for instance, those undertaken
in the exercise of the sovereign power of the State or of governmental
functions. About these there can be no doubt. Similarly a pure business
undertaking though run by the Government cannot be classified as public
service. But where a particular activity concerns a public utility a question
may arise whether it falls in the first or the second category. The mere fact
that that activity may be useful to the public would not necessarily render it
public service. An activity however beneficial to the people and however useful
cannot, in our opinion, be reasonably regarded as public service if it is of a
type which may be carried on by private individuals and is carried on by
government with a distinct profit motive. It may be that plying stage carriage
buses even though for hire is an activity undertaken by the Government for
ensuring the people a cheap, regular and reliable mode of transport and is in
that sense beneficial to the public".
In Arnold Rodricks v. State of Maharashtra, reported in , while Justice
Wanchoo and Justice Shah dissenting from judgment observed that there can be no
doubt that the phrase 'public purpose' has not a static connotation, which is
fixed for all times. There can also be no doubt that it is not possible to lay
down a definition of what public purpose is, particularly as the concept of
public purpose may change from time to time. There is no doubt however that
public purpose involves in it an element of general interest of the community
and whatever furthers the general interest must be regarded as a public
purpose. In Bhim Singhji v. Union of India , as per Sen, J., the concept
of public purpose necessarily implies that it should be a law for the
acquisition or requisition of property in the interest of the general public,
and the purpose of such a law directly and vitally subserve public interest.
Broadly speaking the expression 'public purpose' would however include a
purpose in which the general interest of the community as opposed to the
particular interest of the individuals is directly and virtually concerned.
In Laxman Rao Bapurao Jadhav v. State of Maharashtra reported in 7, this Court observed that "it is for the State
Government to decide whether the land is needed or is likely to be needed for a
public purpose and whether it is suitable or adaptable for the purpose for
which the acquisition was sought to be made. The mere fact that the authorized
officer was empowered to inspect and find out whether the land would be
adaptable for the public purpose, it is needed or is likely to be needed, does
not take away the power of the Government to take a decision ultimately".
In Scindia Employees' Union v. State of Maharashtra & Others reported in
4, this Court observed as under:
"The very object of compulsory acquisition is in exercise of the power
of eminent domain by the State against the wishes or willingness of the owner
or person interested in the land. Therefore, so long as the public purpose
subsists the exercise of the power of eminent domain cannot be questioned.
Publication of declaration under Section 6 is conclusive evidence of public
purpose. In view of the finding that it is a question of expansion of dockyard
for defence purpose, it is a public purpose."
The right of eminent domain is the right of the State to reassert either
temporarily or permanently its dominion over any piece of land on account of
public exigency and for public good.
In the case of Coffee Board v. Commissioner of Commercial Taxes reported in
, the Court observed that the eminent domain is an essential attribute of
sovereignty of every State and authorities are universal in support of the
definition of eminent domain as the power of the sovereign to take property for
public use without the owner's consent upon making just compensation.
The power of eminent domain is not exercisable in Anglo-Saxon jurisprudence
except on condition of payment of compensation. In V.G. Ramachandran's Law of
Land Acquisition and Compensation (Eighth Edition) by G.C. Mathur, it is stated
(at page 1)- "In United States, the power of eminent domain is founded
both on the Federal (Fifth Amendment) and on the State Constitutions. The scope
of the doctrine in America stands considerably circumscribed by the State
Constitutions. Now, the Constitution limits the power to taking for a public
purpose and prohibits the exercise of power of eminent domain without just
compensation. The process of exercising the power of eminent domain now is
commonly referred to as 'condemnation' or 'expropriation'."
A seven-Judge Bench of this Court in The State of Karnataka & Another v.
Shri Ranganatha Reddy & Another reported in , explained the
expression 'public purpose' in the following words:
"6. It is indisputable and beyond the pale of any controversy now as
held by this Court in several decisions including the decision in the case of
His Holiness Kesavananda Bharati Sripadagalaveru v. State of Kerala 1973
(S1) SCR 1 - popularly known as Fundamental Rights case - that any law
providing for acquisition of property must be for a public purpose. Whether the
law of acquisition is for public purpose or not is a justifiable issue. But the
decision in that regard is not to be given by any detailed inquiry or
investigation of facts. The intention of the legislature has to be gathered
mainly from the Statement of Objects and Reasons of the Act and its Preamble.
The matter has to be examined with reference to the various provisions of the
Act, its context and set up, the purpose of acquisition has to be culled out
therefrom and then it has to be judged whether the acquisition is for a public
purpose within the meaning of Article 31(2) and the law providing for such
acquisition.
61. When we ascertain the content of 'public purpose', we have to bear the
above factors in mind which mean that acquisition of road transport
undertakings by the State will undoubtedly be a public purpose. Indeed, even in
England, 'public purposes' have been defined to mean such 'purposes' of the
administration of the government of the country (p. 228, Words & Phrases
Legally defined, II Edn.). Theoretically, or even otherwise, there is no
warrant for linking up public purpose with State necessity, or in the court
throwing off the State's declaration of public purposes to make an economic
research on its own. It is indeed significant that in Section 40 (b) of the Land Acquisition Act, 1894, the concept of 'public use'
took in acquisition for the construction of some work even for the benefit of a
company, provided such work as likely to prove useful to the public. Even the
American Constitution, in the 5th Amendment, uses the expression 'public use'
and it has been held in India in Kameshwar that 'public purpose' is wider than
'public use'."
Ambiguity, indefiniteness and vagueness of public purpose are usually the
grounds on which notifications under Section 4(1) of the Land Acquisition Act
are assailed.
Public purpose cannot and should not be precisely defined and its scope and
ambit be limited as far as acquisition of land for the public purpose is
concerned. Public purpose is not static. It also changes with the passage of
time, need and requirements of the community. Broadly speaking, public purpose
means the general interest of the community as opposed to the interest of an
individual.
The power of compulsory acquisition as described by the term 'eminent domain'
can be exercised only in the interest and for the welfare of the people. The
concept of public purpose should include the matters, such as, safety,
security, health, welfare and prosperity of the community or public at large.
The concept of 'eminent domain' is an essential attribute of every State. This
concept is based on the fundamental principle that the interest and claim of
the whole community is always superior to the interest of an individual.
Public purpose for which the premises was required in the instant case was not
questioned seriously. As a matter of fact, the State of West Bengal has been
using the premises in question for more than six decades for the safety and
security of the people by having an office of the Deputy Commissioner of Police
(Security Control). Therefore, by no stretch of imagination, it can be said
that the premises was not required by the State Government for the interest and
welfare of the people or there was no public purpose involved in acquiring the
premises in question.
We have heard the learned counsel for the appellant and the respondent at
length. We have also carefully examined the pleadings, documents, impugned
judgments and other judgments cited at the Bar. We see no reason to interfere
with the well-reasoned judgment passed by the Division Bench of the Calcutta
High Court, particularly, when the Division Bench had given liberty to the
appellant to recover rent, compensation or damages in appropriate proceedings
in accordance with law. The appeal being devoid of any merit is
accordingly dismissed.
In the facts and circumstances of the case, we direct the parties to bear their
own costs.