RAJAGOPALAN, BALAKRISHNA AYYAR
D. Namasivaya Mudaliar – Appellant
Versus
State of Madras by Revenue Divisional Officer, Tirukoilur – Respondent
The question for determination in all these writ petitions are the same and so we shall deal with them together.
The relevant facts are these. Investigations carried out by the Geological Survey of India revealed that large deposits of brown coal or lignite lay in and around Cuddalore and Vriddhachalam Taluks in South Arcot District. The Government decided to mine this coal and for that purpose it was necessary for them to get control over the lignite-bearing areas. Meantime speculators attempted to buy up lands in the area at low prices in the expectation that prices would rise by the time Government decided to acquire the lands ; they hoped that they would be able to sell the lands to the Government at a large profit. On 6th October, 1948, Government issued a Press Note which said inter alia:
“ To prevent such speculative dealings, the Government propose to undertake legislation reserving to themselves the power to compel any person who has purchased land on or after a date (to be prescribed) in 1947 in the lignite-bearing areas to sell such land to them at the rate at which it was purchased. The Government therefore advise the owners of the lignite-bearing l
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