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2011 Supreme(P&H) 1194
2011 (3) PLR 766
IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
K. KANNAN, J.
The State of Punjab - Petitioner
Versus
The Union of India and Ors. - Respondents
CWP No.12002, 12003 and 12004 of 1990 (O&M)
Decided on: 18.05.2011
Mr. K.S. Sivia, DAG, Punjab for the petitioner.
Mr. Karminder Singh, Advocate, for respondent No.1.
Mr. Vinod S. Bhardwaj, Advocate, for respondent No.3 in CWP No.12003 of 1990.
None for respondent No.3 in CWP No.12002 of 1990.
None for respondents No.3 to 9 in CWP No.12004 of 1990.
The central legal point established in the judgment is the priority of consideration of claims and the procedural requirements under the Displaced Persons (Compensation & Rehabilitation) Act, 1954, over the provisions of the Punjab Package Deal Properties (Disposal) Act, 1976.
Headnote:
Displaced Persons - Property Allotment - Displaced Persons (Compensation & Rehabilitation) Act, 1954 - 33 - 1976 Act - 2(1-A)
Fact of the Case:
The case involved a dispute over the cancellation of proposals for property allotment made under the Displaced Persons (Compensation & Rehabilitation) Act, 1954 and the subsequent transfer of possession of the property to the Potato Seed Farm under the Punjab Package Deal Properties (Disposal) Act, 1976.
Finding of the Court:
The court affirmed that the displaced persons entitled to allotment under the 1954 Act should be considered without reference to the 1976 Act. It held that the procedural requirements of verification and consideration of their entitlement under the 1954 Act must be examined before confirming the allotments made.
Issues: The issues revolved around the validity of the cancellation of allotment proposals, the transfer of possession to the Potato Seed Farm, and the priority of consideration of claims under the 1954 Act and the 1976 Act.
Ratio Decidendi: The court emphasized that the authority under the 1976 Act could not deal with properties reserved for transfer or allotment to displaced persons under the 1954 Act. It also highlighted the importance of procedural requirements and the priority of consideration of claims under the respective acts.
Final Decision: The court modified the impugned order and remitted the matter to the competent authority under the 1954 Act for considering the proposals for allotment in accordance with the rules and instructions. It emphasized the priority of consideration of claims under the 1954 Act before the transfer of possession under the 1976 Act.
K. KANNAN, J. (Oral) - 1. All the three CWP Nos.12002, 12003 and 12004 of 1990 filed at the instance of the State challenge the order passed by the Financial Commissioner (Irrigation and Power), Punjab exercising the powers of Central Government under Section 33 of the Displaced Persons (Compensation & Rehabilitation) Act, 1954 (for brevity, 'the 1954 Act'). Through this order, the Financial Commissioner was setting aside the cancellation of proposals for allotment made by the Managing Officer through his proceedings dated 16.11.1984 and of other dates. The cancellation had been made by the Chief Settlement Commissioner on 16.11.1986, which was based on a report given by the SDO (Civil), Ludhiana and purported to be in possession of the Potato Seed Farm. The statement in defence by one of the proposed allottees Sahib Dass is that he was a displaced person having migrated from a place now in Pakistan and is entitled for allotment under the 1954 Act. While the proposals for allotment through the first order dated 07.01.1985 was made on the basis that Sahib Dass and other persons, who claimed to be displaced persons, the cancellation was subsequently made when the report showed that the said property had been in the possession of the Potato Seed Farm. The possession had been granted to the Potato Seed Farm by the State Government after a purported transfer of a large extent of land made over to the State Government on 'package deal'. It appears that even before the enactment of Punjab Package Deal Properties (Disposal) Act, 1976 (for brevity, 'the 1976 Act'), in relation to evacuee property directions were done through Press notes and the possession was purported to have been handed over on 10.01.1968. The report brought out inter alia that the proposals of allotment had been made by the Kanungo (Sales) even without verifying the parties who were actually in possession of the property. An application for transfer had been made by the Potato Development Officer to the Deputy Secretary, Rehabilitation through his representation dated 17.11.1980. The report had pointed out to several deficiencies in matters of procedure and the order of cancellation was under such a circumstance made by the Chief Settlement Commissioner holding that the allotments could not be sustained.
2. Learned counsel appearing for the State affirms the order of cancellation and impugns the subsequent order modifying the same, pointing out that the property had been already in the possession of the Potato Seed Farm and it could not have been ordered to be transfered in favour of the private respondents.
3. The impugned order is supported by the counsel appearing for the third respondent in CWP No.12003 of 1990 by referring to the fact that the property which is alleged to have been transferred by the State Government to the Potato Seed Farm, could not have been validly transferred as it did not qualify for the definition of 'package deal property'. The 'package deal property' defined in Section 2(1-A) of the Punjab Package Deal Properties (Disposal) Act, 1976 is as under:
“2(1-A) 'package deal property' means the surplus evacuee property taken over by the State Government and referred to in the Government of India letter – (1) See Punjab Act No.10 of 1979. (i)No.3 (35) Pol. II/60-Land & Rent, dated 3rd June, 1961, read with letter No.3 (54)/Pol. II/60-L & R, dated 5th March, 1962.
(ii) No. F. 18(40)J/61/prop/Comp & Prop. dated 23rd March, 1963 and,
(iii) No. F 18 (40)/61-Prop-Comp & Prop, dated 29th March, 1963, reproduced in the Schedule of this Act; but excluding such property as may be required for transfer or allotment, by way of compensation to a displaced person, as defined in the Displaced Persons (Compensation and Rehabilitation) Act, 1954, and rural agricultural land required for similar allotment to a displaced person of non-Punjabi extraction in pursuance of the Directions of the Central Government given under Section 32 of the Displaced Per
