Viscount Dilhorne J: (delivering the judgement of the Board):

By virtue of the Land Acquisition Act, 1960 , as amended by the Land Acquisition (Amendment) Act, 1973, the Ruler of the State of Johore-

may acquire any land which is needed

(a) for any public purpose; or

(b)by any person or corporation undertaking a work which in the opinion of the State Authority is of public utility; or

(c)for the purpose of mining or for residential, agricultural, commercial or industrial purposes," (s. 3 ).

That Act requires the State Authority, in this case the Ruler of Johore, when satisfied that any land in any locality in the State is likely to be needed for any of these purposes, to give notice of the lands likely to be needed and of the purpose for which they may be needed (s. 4 ); and when lands are needed for any of those purposes, the Collector is required to prepare and submit to the State Authority-

a plan of the whole area of such lands, showing the particular lands, or parts thereof, which it will be necessary to acquire; and" a list of such lands in a prescribed form (s. 7 ).

The plan the Collector is required to prepare is not a plan of the proposed lay-out of the area to be acquired showing for what purpose or purposes each piece of land is to be used but a plan showing the area.

On 2 April 1970 the State Development Officer of Johore wrote to the State Planning Officer asking him to prepare a draft lay-out for the development of harbour and industrial sites on the land to be acquired in the Pasir Gudang area as shown on a plan bounded by a red line. That plan has not been produced in the course of this litigation. The State Planning Officer was told that the requirements to which attention should be given were-

(1)One Harbour site of 300 acres

(2)One Heavy Industrial site of 400 acres

(3)One Medium Industrial site of 800 acres

(4) One Light Industrial site of 300 acres, and

(5) One residential town of 200 acres. This site is for the accommodation of between 10,000-12,000 people."

On 6 June 1970 the State Planning Officer sent to the State Development Officer a plan marked J7/3872 of a lay-out, not for 2,000 acres, the total area of the requirements stated above, but covering an area of some 5,700 acres.

In the plan J7/3872 the area in which lay the appellants' lands was allocated for "Kegunaan Khas" (Special Purposes) and the Planning Officer's report stated that this area had been zoned "for special purposes which includes recreation such as beaches for swimming, boating, picnic areas, camping sites, hotels, chalets and shops". The layout proposed in this plan was not accepted by the State Authority and at a later date a revised plan J7/3872/2 in which the area was zoned for industrial purposes was submitted to the State Development Officer. In 1967 the first appellant had begun the development of some of his land in this area as a beach and holiday resort and by June 1972 he had completed a considerable complex including chalets and a restaurant.

Section 8 of the Land Acquisition Act reads as follows:-

8 (1) When the State Authority decides that any of the lands referred to in s. 7 are needed for any of the purposes referred to in s. 3 , a declaration in Form D shall be published in the Gazette.

(2)A copy of the list of lands referred to in para. (b) of s. 7 , amended, if necessary, in accordance with the decision of the State Authority, shall be included as a schedule to the declaration in Form D

(3) A declaration in Form D shall be conclusive evidence that all the scheduled land referred to therein is needed for the purpose specified therein.

Pursuant to this section, a Declaration in the prescribed form was published in the Gazette.

It read as follows:-

LAND ACQUISITION ACT 1960 FORM D DECLARATION OF INTENDED ACQUISITION (SECTION 8 )

It is hereby declared that particular lands and areas specified in the Schedule hereto are needed for the following purpose:

Construction of Port, Reside