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2010 Supreme(SC) 1068

P.SATHASIVAM, B.S.CHAUHAN
Malayalam Plantations Ltd. – Appellant
Versus
State of Kerala – Respondent


Judgement Key Points

Key Points: - The judgment interprets Section 2(f)(1)(i)(B) to grant exemption to lands necessary for growing firewood for steady supply to employees and for fuel in factories/smoke-houses, unless firewood is adequately available in the market (!) . - The Tribunal should determine the minimum reasonable area required for growing firewood for such purposes and exclude it from vesting; exact area is a question of fact to be assessed with factors noted (e.g., yield, consumption) (!) (!) (!) . - Higher Courts set aside Kerala High Court judgments and remanded to Forest Tribunals to determine the extent of lands required for firewood and employee use, as per remand directions (!) . - The High Court is required to consider additional evidence under Order 41 Rule 27 CPC on merits and cannot ignore admissible additional evidence; the appellate court may admit such evidence only under specific conditions (due diligence, necessity) and must record the reason for admission (!) (!) (!) (!) (!) . - Additional evidence should not be used to fill lacunae or patch up weak points; its adduction is to serve justice, particularly for events or circumstances relevant to disposal of the appeal, not as fresh allegations (!) (!) . - The judgment emphasizes that the burden is on appellants to show firewood exclusion is justified by practice of supplying firewood to employees, and references Pioneer Rubber Plantation and Pullengode Rubber decisions in contextual framework (!) (!) (!) .

What is the scope of exemption under Section 2(f)(1)(i)(B) of the Kerala Private Forests (Vesting and Assignment) Act, 1971 for lands used for firewood to support estates’ factories and employees?

What is the proper procedure and criteria for reception of additional evidence under Order 41 Rule 27 CPC in appellate courts, and the High Court’s duty to consider such evidence on merits?

What factors determine the minimum reasonable area of land that can be excluded from private forest vesting for firewood purposes, and who should determine this area on remand?


JUDGMENT

P. Sathasivam, J.

1) These appeals are directed against the judgment and decree dated 31.05.2002 passed by the High Court of Kerala at Ernakulam in MFA No. 537 of 1995 and Cross Appeal whereby the High Court modified the order dated 13.03.1979 of the Forest Tribunal, Kozhikode. Malayalam Plantations Ltd. has filed C.A. No. 309 of 2003 and the State of Kerala preferred C.A. No. 310 of 2003. Since both the appeals arise from the common order of the High Court, they are being disposed of by this common judgment. For convenience, we shall refer Malayalam Plantations Ltd. as appellant and the State of Kerala as Respondent. Brief facts:

2) (a) The appellant is a Limited Company, which owns 5 estates in South Wayanad Taluk in Kerala. It engaged principally in the cultivation of Tea, Coffee, Cocoa, Rubber, Cardamom and Cinnamon. The Kerala Private Forests (Vesting and Assignment) Act, 1971 (hereinafter referred to as `the Act') came into force with 10.05.1971 as the appointed day providing for vesting of all private forests in the State of Kerala. An area of 5131 hectares of land which was in the possession of the appellant's Wayanad Estates in Wayanad District of Kerala State was




























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