M. Satyanarayana Murthy, J.

1. The State filed this appeal against the decree and judgment passed in O.S. No. 18 of 1980 on the file of the Court of Subordinate Judge, Ramachandrapuram (for short, 'the trial Court'), dated 18-09-1987. The appellant was the defendant, the respondents were the plaintiffs before the trial Court and they will hereinafter be referred as defendant and plaintiffs for convenience.

2. Initially, plaintiff Nos. 1 to 11 filed suit O.S. No. 51 of 1976 on the file of the Court of Subordinate Judge, Rajahmundry, and, later, plaintiff Nos. 12 to 16 are impleaded as per the orders in I.A. No. 1478 of 1977 dated 06-11-1979. Later, it was transferred to the trial Court and renumbered as O.S. No. 18 of 1980. Though the appeal was filed against plaintiff Nos. 1 to 16, the appeal against plaintiff Nos. 3 and 11 to 14 is dismissed for default vide order dated 17-09-1993 for non-prosecution, the appeal against plaintiff Nos. 9 and 15 is dismissed as abated by Court order dated 09-04-2001 as legal-heirs of plaintiff Nos. 9 and 15 are not brought on record and the appeal against plaintiff Nos. 10 and 16 is dismissed for default vide Court order dated 17-12-2007.

3. The plaintiffs filed this suit against the defendant, for declaration of their title to schedule property and for consequential permanent injunction restraining the defendant and its men from interfering with the possession and enjoyment of schedule property, alleging that schedule property is Lanka land, contiguous to Goutami river, which is a branch of Godavari river, within the limits of Baduguvani Lanka of Alamuru Taluk and Vaddiparru of Kothapet Taluk, East Godavari District. The schedule property is ryotwari patta land belonging to the plaintiffs. The total extent of land was about Ac. 50.00 cents and the land was submerged and washed away by the river on account of floods in Godavari for some years. Subsequently, there was a large reformation of Lanka land due to receding of water and changing its course by the river in the year 1962-63. The plaintiffs, believing that the newly formed Lanka was the reformation of their eroded ryotwary patta land, applied for localization of their patta land and for possession on payment of necessary fee to Government. On the application of the plaintiffs, Tahsildar, Kothapet Taluk, got the land localized by Lanka Deputy Surveyor, the same was approved, after due scrutiny, by District Surveyor, conducted necessary enquiry as to title of the plaintiffs and passed appropriate orders. The plaintiffs were directed to enter into possession as per the orders of Tahsildar in D. Dis. No. 5350/67 dated 31-10-1967. On the similar application of the plaintiffs, Deputy Tahsildar, Alamuru Taluk, got the land localized in Baduguvani Lanka with Lanka Deputy Surveyor, passed an order in D. Dis. No. 4262/69 dated 26-12-1969 and delivered possession of Baduguvani Lanka land through Revenue Inspector, Alamuru Taluk.

Ever since delivery of possession or taking possession as directed by Tahsildar, Kothapet Taluk, and Deputy Tahsildar, Alamuru Taluk, the plaintiffs are continuing in possession and enjoyment of schedule property by paying land revenue to Government.

As the matter stood thus, some of the villagers, due to local disputes, made a complaint to Tahsildar, Kothapet Taluk, in the year 1970, alleging that the plaintiffs are in unauthorized occupation of reformed Government Lanka land. Thereupon, the then Tahsildar, without considering the orders passed by Tahsildar, Kothapet Taluk, and Deputy Tahsildar, Alamuru Taluk, issued notice on 18-02-1970 under Section 7 of Andhra Pradesh Land Encroachment Act, 1905 (for brevity, 'the Act of 1905'), presuming that plaint schedule land is the land belonging to the State. In fact, the plaintiffs are the owners of schedule property and it is ryotwary patta land. Thereby, Government i