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1994 Supreme(SC) 270

SUPREME COURT OF INDIA
(BEFORE K. RAMASWAMY AND B.L. HANSARIA, JJ.)
BIHAR STATE ELECTRICITY BOARD
Versus
STATE OF BIHAR AND OTHERS
Civil Appeal Nos. 1597-1600 of 1994f,
decided on February 21, 1994

Headnote:

Land Acquisition Act, 1894 - Section 3(b) – Civil Procedure Code,1908 - Order 1 - Rule 10 - (Companies) Act, 1956 - Section 617 - Societies Registration Act, 1860 - Acquisition of land - Claiming an interest in compensation -Society registered under Societies Registration Act, 1860, or under any corresponding law for time being in force in a State, being a society established or administered by Government and a cooperative society within the meaning of any law relating to cooperative societies for time being in force in any State, being a cooperative society in which not less then fifty-one per centum of paid-up share capital is held by Central Government, or by any State Government or Governments, or partly by Central Government and partly by one or more State Governments - Provision of land for residential purposes to poor or landless or to persons residing in areas affected by natural calamities, or to persons displaced or affected by reason of implementation of any scheme undertaken by Government, any local authority or a corporation owned or controlled by State –Held, learned counsel for respondent has contended that person interested would be only in respect of claimants whose title is sought to be divested by compulsorily acquisition and are interested in determining proper compensation payable to acquired lands and that liberal interpretation is not warranted, does not hold water in light of law laid by this Court - Accordingly, High Court in not right in holding that appellant is not person interested in acquisition proceedings initiated and acquired for its benefit - Writ petitions are maintainable at its instances - That apart, appellant is not only a necessary party but also a proper party under Order 1 Rule 10 CPC - Appeals are accordingly allowed - There shall be a direction to make appellants as a party-respondent to pending appeals, instead of quashing award and decree in the reference under Section 18 of Act - High Court would deal with appeals - It is stated by learned counsel for respondent that amount has already been deposited - If that be so, liberty is given to withdraw same on furnishing security to satisfaction of Special Judge, District - Appeals are accordingly allowed.

ORDER

1. Special leave granted.

2. All these appeals arise from judgment of the Patna High Court dated 22-7-1993 in CWJC No, 5986 of 1993 and other matters in which it was held that the writ petitions are not maintainable. The question that arises in these appeals is whether the appellant-Board is a person interested within the meaning of Section 3(b) of the Land Acquisition Act, 1894 (for short the Act). Section 3(b) reads thus :

"3. (b) the expression person interested includes all persons claiming an interest in compensation to be made on account of the acquisition of land under this Act, and a person shall be deemed to be interested in land if he is interested in an easement affecting the land;".

Section 3(cc) reads as under :

"3. (cc) the expression Corporation owned or controlled by the State mean any body corporate established by or under a Central, Provincial or State Act, and includes a Government company as defined in Section 617 of the (Companies) Act, 1956, a society registered under the Societies Registration Act, 1860, or under any corresponding law for the time being in force in a State, being a society established or administered by Government and a cooperative society within the meaning of any law relating to cooperative societies for the time being in force in any State, being a cooperative society in which not less then fifty-one per centum of the paid-up share capital is held by the Central Government, or by any State Government or Governments, or partly by the Central Government and partly by one or more State Governments;". Section 3(f) reads thus :

"3. (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 by lease, assignment or outright sale with 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 or 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, or under any corresponding law, for the time being in force in a State, or a cooperative society within the meaning of any law relating to cooperative 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 local authority;

(viii) the provision of any premises or building for locating a public office, but does not include acquisition of a land for Companies;".

3. The State Government by its notification dated 8-4-1981 published under the State Gazette, exercised the power under Section 4(1) of the Act, acquired the land in Village Ambari for a public purpose, namely, for construction 33/11 KV Mohania Sub-station and staff quarters. A declaration to that effect was also published in the State Gazette on 17-5-1984 reiterating that the afore stated lands are required for the above public purpose. Thus, it is clear that the public purposes envisaged was for construction of 33/11 KV Mohania Sub-station and staff quarters on public expenditure. The question therefore is whether the appellant-Board is a person in



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