Kurian Joseph,J.

Acquisition, assignment and reforms are the three major aspects on land. That there are three important legislations in all these areas would show the need and relevance for proper order in this field. In the case before us, it is interesting to note that the events are to be analysed with reference to all these three legislations, namely, Land Acquisition Act, Land Assignment Act and Land Reforms Act. It is significant to note that the events chronologically are well balanced; acquired, assigned and reformed, as in the case of legislation also, 1894, 1960 and 1963 respectively.

2. Res clamat domino - land cries for its master is a well known principle. Therefore, it is necessary to refer to the facts from the roots. In 1963 Government of India decided to establish in Kerala a machine tools factory in the central sector as part of the Third Five Year Plan. It was decided to entrust the project to Hindustan Machine Tools Limited, Bangalore (hereinafter referred to as the HMT), a Central public sector undertaking. Government of India requested the Government of Kerala to acquire/make available about 900 acres of land required for the project, free of cost. The land was identified at Kalamassery. This genesis is traceable from the first government order in this regard -G.O(MS)No.327/63/Ind. dated 9-4-1963. The Accountant General, it appears had expressed an apprehension regarding the safeguards to be taken "..... to ensure that the land is not encumbered or alienated by the company without prior approval of the Government". Therefore, by G.O (MS) No.505/64/Ind. Dated 31-7-1964 it was ordered as follows:-

"Government have carefully considered the matter and are pleased to order that the area sanctioned to be acquired for the Machine Tools Factory at Kalamassery will, after the acquisition is completed, be treated as a "Development Area" as contemplated in rule 2(d) of the "Rules for the Assignment of Government Lands in Development Areas for Industrial Purposes"

It was also ordered that "The assignment will be under Rule 23 of the said rules, dispensing with rules 8 & 9. In the event of the resumption of the land by Government as contemplated in Rule 15, the provisions of Rule 16 will apply, excepting the provision for payment of land value since the land is being assigned free of cost. The land assigned to the company shall be heritable but it shall not be alienated or encumbered in any manner without the prior permission in writing of the Government". However, the Government subsequently seems to have taken a drastically different stand and thus it was ordered in G.O (MS) No.309/72/ID dated 20-10-1972 that "... the title of the lands in question shall be transferred either by executing a gift deed or by assignment on registry absolutely as heritable and alienable waiving the usual terms and conditions". The said order was issued pursuant to a request of the company that the title shall be by way of a gift deed instead of assignment order so that they will be in a position to deal with the property absolutely. Accordingly Government order dated 20-11-1972 [Ext.R1(a)] was issued. It reads as follows:-

"Government having considered all the aspects of the matter are pleased to order that the title of the above lands in question shall be transferred to Hindustan Machine Tools Ltd., Bangalore (which shall include H.M.T. (Kalamassery) Ltd. which is under incorporation or any associate company that may be incorporated in future) by assignment on registry absolutely heritable and alienable."

Accordingly patta No.10015 was issued on 30-10-1973 by the Tahsildar, Kanayannur, in respect of 731.19.183 acres subject to the following conditions:-

1. The land assigned shall be heritable and alienable.

2. That the assignee shall be liable for payment of the full assessment charged on the land with effect from the year in which the patta is issued.

Thus, acquisition and assignment was completed. It appears, nobody has se