SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

1964 Supreme(MP) 94

Madhya Pradesh High Court
P. V. DIXIT,K. L. PANDEY
Ranojirao Madhavrao - Appellant
Versus
State of M. P. - Respondent
Decided On : 08/18/1964

Advocates:
A.P. Sen, P.W. Sahasrabudhe and A.D. Deoras, for Petitioner; M. Adhikari, Advocate, General and R.J. Bhave, Govt. Advocate, for the State.

Headnote:(1) Abolition of Cash Grants Act, 1963 (M.P.) - S. 53 - deprivation of property by the Act - is unreasonable - Act is confiscatory in nature - is ultra vires the Constitution - Constitution of India - Art. 31 (1) & 19 (5).

       As the M. P. Abolition of Cash Grants Act, 1963, the right over the acquired property is nut transferred to the State, the provisions of the Act are covered by Art. 31 (1) and not by Art. 31 (1), AIR 1960 SC 1080 relied on. [Para 9

       The cash grants intended to be discontinued by the M. P. Abolition of Cash Grants Act 1963 are property within the meaning of Art. 19 of the constitution of India. 1960 JLJ 1064 (SC) relied on. [Para 5

       The restriction imposed by this Act in the form of deprivation of the property of the cash grants for no purpose is unique and cannot be linked to any of the restrictions recognised and permissible as reasonable under clause (5) of Art. 19 of the Constitution of India. The impugned Act aims at naked confiscation of property, wholly unrelated to the interest of general public or to the protection of the interest of any schedule to tribes, and clearly interferes with the rights guaranteed under Art. 19 (1) (f) of the Constitution and is not saved by clause (5) of that Article. The Act is ultra vires the Constitution. [Para 19

       (2) Abolition of Cash Grants Act, 1963 (M.P.) - Ss. 2 (1), & 3 - is not discriminatory - definition of cash grants not vague - Constitution of India - Art. 14.

       The grants excluded from the definition given in S. 2 (1) are those made to charitable and religious institutions and those made in respect of proprietary rights which had already been resumed. The exclusion of these grants is thus on a reasonable classification. So also the option given by section 3 of the Act to the minors, persons above the age of to years and persons subject to physical disability or mental infirmity of having their grants continued for the period mentioned in the table given in section 3 is based on a reasonable classification. There is no vagueness about the definition of "Cash Grant" in section 2 (1). There is in that provision no delegation to the State Government of any power. [Para 20

       (3) Abolition of Cash Grants Acts, 1963 (M. P.) - S. 2 (1) - the Act is not a legislation - motive not material.

       The fact that in enacting the impugned legislation the Legislative desired to discontinue the cash grants paid to a certain class or classes of persom while preserving grants of others can at the motive which impelled the Legislature to place the Act on the Stature Book. If the Act is otherwise within the competence of the State Legislature, the motive is irrelevant to declare it a colourable legislation. AIR 1953 SC 375, AIR 1959 SC 308, AIR 1962 SC 458 relied on. [Para 8

       (4) Constitution of India - Art. 246 (2), sevenths schedule, concurrent list, entry 42 - abolition of cash grants Act, 1963 (M. P.) - S. 2 (1) - State Legislature competent to enact the Act.

       The "Cash Grants" defined in the Act are property and thus the State Legislature was competent to enact the legislation by virtue of its power under entry No. 42 of the concurrent list in the Seventh Schedule, read with Art. 246 (2), 1954 SCR 587, 1954 SCR 674 relied on. [Para 5

Judgement

DIXTI, C. J. :- This order will also govern the disposal of Misc. Petition No. 22 of 1963.

2. These are two petitions under Article 226 of the Constitution of India challenging the validity of the Madhya Pradesh Abolition of Cash Grants Act, 1963 (hereinafter referred to as the Act.) The petitioners seek a declaration that the Act is invalid, ultra vires and unenforceable and pray that the opponent State be restrained by a suitable direction from putting the Act into operation.

3. One of the petitioners claims to be the recipient of a cash payment of Rs. 300 per month as a muafidar from the respondent State. The other petitioner says that as a silledar be is entitled to receive a cash payment of Rs. 72.50 nP. per month from the State. The petitioners claim that their right to receive these cash payments is "property right" and that the impugned legislation has been enacted for the purpose of depriving them and other "recipients of cash grants" of their property rights. Shortly stated, their contentions are that the Act is ultra vires the Constitution in that :

(1) it was beyond the legislative competence of the Madhya Pradesh Legislature to enact it;

(2) that there is no public purpose behind the discontinuance of these "cash grants" and the compensation provided by the Act is illusory; and thus the Act is ultra vires article 31(2) of the Constitution;

(3) that, alternatively, the Act is ultra vires article 31(1) of the Constitution as it infringes the petitioners fundamental right under article 19(1)(f) and is not saved by article 19(5);

(4) that the Act is on the face of it discriminatory and infringes article 14 of the Constitution;

(5) that the provisions of Sections 4, 5 and 7 of the Act in so far as they relate to persona already getting payments are wide and irrational inasmuch as they compel the grantee for a second scrutiny and amount to an unreasonable restriction on the right to get the payment every month without any break;

(6) that the definition of "cash grant" given, in Section 2(1) of the Act is vague and uncertain; and by giving to the Government unchecked and absolute power to treat anyone it likes as a grantee, the Legislature abdicated its legislative function; and lastly,

(7) that the Act is a piece of colourable legislation and does not subserve any public purpose or public interest.

4. Before dealing with the petitioners' contentions it is necessary to refer to the features of the Act. The long title of the Act is .

"An Act to provide for the discontinuance of cash grants in Madhya Pradesh and to make provision for other matters connected therewith".

It does not contain any preamble. It received the assent of the President on 25th, July 1963 and the assent was published in the Madhya Pradesh Gazette, Extraordinary, on 2nd August 1963. The Act extends to the whole of Madhya Pradesh and is to come into force on such data as the State Government may, by notification, appoint. No such notification has been issued so far. Section 2(1) defines "cash grant" as meaning

"a grant of money which is enforceable by the grantee against the State Government on the date of the coming into force of this Act but does not include ..... .".

The grants which have been excluded from the the definition are those paid for services and worship in public temples or mosques or church, those received by charitable or religious institutions, and grants of money or pension or annuity or special or perpetual annuity sanctioned under the statutes mentioned in Section 2(1)(iii) of that Act. Section 3 of the Act runs as follows :-

"3. Abolition of certain cash grants :- (1) Notwithstanding anything contained in any law, custom, usage, sanad or a decree or order of a Court or other authority whatsoever, all cash grants shall be discontinued and cease to have effect from the commencement of this Act :

Provided that where the grantee is a person specified in column (1) of the Table below, the cash grant may, at the option of the grantee exercise






























































Click Here to Read the rest of this document

1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top