Judgement

SHAH, J. :- On June 6, 1941, the Municipal Borough of Ahmedabad prescribed a "line of the street" along an important thoroughfare in the town of Ahmedabad and resolved that steps be taken for compulsory acquisition of lands falling "within the line". On June 9, 1941 a notification was issued by the Government of Bombay under Section 4 of the Land Acquisition Act 1894, that the lands set out in the Schedule "were likely to be needed for the public purpose set out in column 6 of the Schedule thereto, viz., for road widening", and that "any contracts for the disposal of any of the said lands by sale, lease, mortgage, assignment, exchange or otherwise or any outlay or improvements made therein without the sanction of the Collector ... after the date of this notification will, under section 24 (seventhly) of the said Act, be disregarded by the officer assessing compensation for such parts of the said lands as may be finally acquired." The Government of Bombay issued a notification under Section 6 of the Land Acquisition Act sometime in 1943 and also appointed the Special Land Acquisition Officer to take order for acquisition of the land.

2. After the publication of the notification under Section 4 of the Land Acquisition Act, structures on the lands notified were burnt down by rioters. The owners of the lands put up temporary structure upon the lands with the permission of the Municipal Borough giving an undertaking that they will not claim compensation for these structures in the land acquisition proceedings. The structures were let out to different tenants.

3. Proceedings for assessment of compensation were not immediately taken in hand, but negotiations were started by the Municipal Borough with the owners of the lands, and between the years 1944 and 1952 some lands were purchased by the Municipal Borough by private treaty and the lands so purchased were withdrawn from the notification for acquisition. Finding that it was not possible to persuade the other owners to sell their lands, the Special Land Acquisition Officer was moved to make his award. The Special Land Acquisition Officer made a common award on August, 13, 1960. When the Special Land Acquisition Officer attempted to take possession of the lands acquired the tenants of the structures moved petitions under Article 226 of the Constitution in the High Court of Gujarat for writs quashing or setting aside the notifications under Sections 4 and 6 of the Land Acquisition Act, and the awards and the notices issued for obtaining possession from the petitioners.

4. The High Court rejected the petitions. Against the orders rejecting the petitions, these appeals have been filed with special leave.

5. In these appeals counsel for the appellants contended that - (1) the notification issued by the Government of Bombay the award made by the Special Land Acquisition Officer, and the proceedings subsequent to the award were invalid as infringing Articles 19 and 31 (2) of the Constitution in that the appellants were deprived of their right to property otherwise than in accordance with law; (2) that the conditions precedent to the exercise of the power to acquire the lands under the Land Acquisition Act being absent, all the proceedings including the notification under Section 4 of the Land Acquisition Act were invalid; (3) that the rights of the appellants in the structures occupied by them as tenants were not affected by the award as no notices were served upon them by the Special Land Acquisition Officer under Section 9 (3) of the Land Acquisition Act, and they could not be deprived of their right in the structures; and (4) that the notifications under Ss. 4 and 6 of the Land Acquisition Act were without jurisdiction because there was "no possible need" of the lands by the Municipal Corporation, and the proceedings were commenced not for the purpose for which they may under the law be commenced, but for a collateral purpose viz., to acquire the land in future at rates pegged dow