JUDGMENT

GUPTA, J.:—This appeal by special leave is by a defendant in a suit for declaration of title and recovery of possession. The property in dispute consists of two survey plots, 2677/5782 measuring 0.18 acres and 2677/5783 measuring 0.10 acres. the total area being 0.28 acres, in Tetanga Basti, Mouza Sakchi, Police Station Golmuri in Pargana Dhalbhum, District Singhbhum. The suit (was) dismissed by the trial Court, decreed by the first appellate court, and the Patna High Court on second appeal affirmed the decision of the lower appellate court decreeing the suit. The relevant facts are as follows. The fourth respondent Tata Iron and Steel Company Limited (hereinafter referred to as TISCO) were the proprietors of the disputed plots of land which formed part of the area acquired under the Land Acquisition Act by the local government for TISCO. In 1924 these two plots of land along with other lands were leased out by TISCO to the plaintiff, the Indian Cable Company Limited (hereinafter referred to as the Plaintiff Company). TISCO also settled another area measuring about 5 bighas 17 kathas with one Rajdeo, predecessor-in-interest of the present appellant. There is some dispute as to whether this settlement was in 1924 or 1928 but that is not of any great importance in the present controversy between the parties. According to the plaintiff company Rajdeo trespassed into the two disputed plots of land in November, 1932. It appears that in a proceeding under Section 87 of the Chhota Nagpur Tenancy Act, 1908 (referred to hereinafter as the Act) initiated by Rajdeo it was held that the disputed plots were outside the area settled by TISCO with Rajdeo and were part of the land leased out by TISCO to the plaintiff company. It was further held that Rajdeo had been in forcible possession of the plots for about five years since 1932 from which he could be removed only by legal process. Thereafter the plaintiff company instituted title suit No. 116 of 1938 in the Court of the Munsif at Jamshedpur for Rajdeos eviction from the land on which he had trespassed which was roughly 1.70 acres in area and included the two disputed plots. It was again found in that suit that the disputed plots were not part of the 5 bighas and 17 kathas of land settled by TISCO with Rajdeo but it was held that Rajdeo had acquired korkar rights in the portion of the disputed plots in his occupation and therefore he was protected against eviction in view of the provisions of Section 78 of the Act. That suit was accordingly dismissed.

2. Later, on March 26, 1945 TISCO recovered under Section 50 of the Act possession of the entire holding of 5 bighas 17 kathas settled by them with Rajdeo. The plaintiff company on July, 27, 1954 filed title suit No. 280 of 1954 out of which this appeal arises for Rajdeos eviction from the two disputed plots in the court of the Munsif at Jamshedpur. The Munsif held that Rajdeo was not dispossessed from the entire holding under Section 50 of the Act, but retained possession of 11/2 bighas, that Rajdeo was a non-ejectable korkar raiyat in respect of his holding under TISCO and was therefore protected from eviction under Section 78 of the Act in respect of his homestead that he built on the disputed plots. It was further held that in view of the Bihar Land Reforms Act, 1950 the intermediary rights of both TISCO and their lessees, the plaintiff company, had vested in the State of Bihar and it was the State of Bihar alone that could maintain an action for ejectment against Rajdeo. The trial Court was also of opinion that the findings recorded in the earlier suit, title suit No. 116 of 1938, were res judicata in the present suit and therefore Rajdeos character as a korkar riayat in respect of his homestead on the disputed plots could not be reopened. It may be stated here that Rajdeo died during the pendency of the suit and was substituted by his heirs and legal representatives.

3. On appeal by the plaintiff company, the first appellate co