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LAND IMPROVEMENT LOANS ACT, 1883

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S.1 Short title, Local extent and Commencement

       (1) This Act may be called the Land Improvement Loans Act, 1883.
       (2) It extends to the whole of India except 1[the territories which, immediately before the 1st November, 1956, were comprised in Part B States) 2[other than the Madhya Bharat and Sironj regions of the Sate of Chhattisgarh]3 but shall not come into force in any part of the [territories to which this Act extends]1 until such date as the State Government may, by notification in the Official Gazette, appoint in this behalf.
       1. Subs. by 2nd A.L.O. 1956.
       2. Added by C.G. Act 23 of 1958.
       3. Added by C.G. Act 23 of 1958.
       1. Subs. by 2nd A.L.O. 1956.
       2[(3) It shall be in force in the whole of Chhattisgarh


Legal Commentary on the Land Improvement Loans Act, 1883 - Section 1

Introduction

The Land Improvement Loans Act, 1883, was enacted to facilitate loans for agricultural improvements in India. This legislation aims to provide financial assistance to individuals for enhancing agricultural productivity through improvements in land.

What Section 1 Says

Section 1 of the Act outlines the short title and the extent of the Act. It states that the Act may be called the "Land Improvement Loans Act, 1883" and specifies its applicability across India, excluding certain territories that were part of the Part B states before November 1, 1956.

Essential Ingredients

  • Short Title: The Act is officially known as the Land Improvement Loans Act, 1883.
  • Extent: The Act applies to the whole of India, with specific exclusions.

Scope of Section

The scope of Section 1 is primarily administrative, establishing the identity of the Act and its geographical applicability. It sets the foundation for the provisions that follow in the subsequent sections of the Act.

Punishment for Section

Section 1 does not prescribe any punishments or penalties. The enforcement and penalties related to violations of the Act are likely detailed in other sections.

Legal Comments

  • Title - The Act is formally recognized as the "Land Improvement Loans Act, 1883," which is crucial for legal references and citations. -
  • Applicability - The Act is applicable throughout India, ensuring uniformity in the provision of loans for land improvements. -
  • Exclusions - Certain territories, specifically those that were part of the Part B states before November 1, 1956, are excluded from the Act's applicability, indicating a historical context in its enforcement. -
  • Foundation for Further Provisions - Section 1 serves as a foundational element for the subsequent sections, which detail the mechanisms for loan disbursement and recovery. -
  • Legislative Intent - The intent behind the Act is to consolidate and amend existing laws related to agricultural loans, reflecting a legislative effort to enhance agricultural productivity. -
  • Historical Context - The Act was enacted during a period when agricultural improvements were critical for economic development in India, highlighting its significance. -
  • Legal Clarity - By providing a clear title and extent, the Act aids in legal clarity and helps in the interpretation of its provisions in judicial proceedings. -
  • Uniform Application - The uniform application across India, except for specified territories, ensures that the benefits of the Act are widely accessible, promoting agricultural development. -
  • Administrative Framework - The Act establishes an administrative framework for the granting of loans, which is essential for its implementation. -
  • No Penal Provisions - The absence of penal provisions in Section 1 suggests that enforcement mechanisms may be detailed in later sections, focusing on compliance rather than punishment at this stage. -
  • Contextual Relevance - The Act's relevance continues in contemporary discussions about agricultural financing and rural development policies in India. -
  • Legislative Framework - The Act is part of a broader legislative framework aimed at improving agricultural practices and supporting farmers financially. -
  • Impact on Agricultural Sector - The Act is expected to have a significant impact on the agricultural sector by facilitating necessary improvements through financial support. -
  • Government Role - The Act underscores the role of the government in providing financial assistance for agricultural improvements, reflecting a commitment to rural development. -
  • Legal Precedent - The Act may serve as a legal precedent for future legislation aimed at agricultural financing and improvements. -
  • Interpretative Guidance - Section 1 provides interpretative guidance for understanding the scope and application of the Act in legal contexts. -
  • Facilitation of Loans - The Act facilitates loans specifically for agricultural improvements, which is crucial for enhancing productivity and sustainability in farming practices. -
  • Historical Significance - The enactment of the Act in 1883 marks a significant historical moment in India's agricultural policy framework. -
  • Legislative Clarity - The clear articulation of the Act's title and extent aids in its enforcement and application across various jurisdictions. -
  • Future Amendments - The Act may be subject to future amendments to address evolving agricultural needs and challenges in India. -

S.2 Acts 28 of 1871 and 21 of 1876 repealed

       (1) The Land Improvement Act, 1871, and Act XXI of 1876 (An Act to amend the Land Improvement Act, 1871), shall, except as regards the recovery of advances made before this Act comes into force and costs incurred by the Government in respect of such advances, be repealed.
       (2) When in any Act, Regulation or Notification passed or issued before this Act comes into force, reference is made to either of those Acts, the reference shall, so far as may be practicable be read as applying to this Act or the corresponding part of this Act.


S.3 "Collector" defined

       In this Act "Collector" means the Collector of land revenue of a district, or the Deputy Commissioner, or any officer empowered by the State Government by name or by virtue of his office to discharge the functions of a Collector under this Act.


S.4 Purposes for which loans may be granted under this Act

       (1) Subject to such rules as may be made under section 10, loans may be granted under this Act, by such officer as may, from time to time, be empowered in this behalf by the State Government, for the purpose of making any improvement, to any person having a right to make that improvement, or, with the consent of that person, to any other person.
       (2) "Improvement" means any work which adds to the letting value of land, and includes the following, namely :-
       (a) the construction of wells, tanks and other works for the storage, supply or distribution of water for the purposes of agriculture, or for the use of men and cattle employed in agriculture;
       (b) the preparation of land for irrigation.
       (c) the drainage, reclamation from rivers or other waters, or

S.5 Mode of dealing with applications for loans

       (1) When an application for loan is made under this Act, the officer to whom the application is made may, if it is, in his opinion, expedient that public notice be given of the application] publish a notice, in such manner as the State Government may, from time to time, direct, calling upon all persons objecting to the loan to appear before him at the time and place fixed therein and submit their objections.
       (2) The officer shall consider every objection submitted under sub-section (1), and make an order in writing either admitting or overruling it:
       Provided that, when the question raised by an objection is, in the opinion of the officer, one of such a nature that it cannot be satisfactorily decided except by a Civil Court, he shall postpone his proceedings on the application until the question has been so decided.


S.6 Period of repayment of loans

       (1) Every loan granted under this Act, shall be made repayable by instalments (in the form of an annuity or otherwise), within such period from the date of the actual advance of the loan, or, when the loan is advanced in instalments, from the date of the advance of the last instalment actually paid as may, from time to time, be fixed by the rules made under this Act.
       (2) The period fixed as aforesaid shall not ordinarily exceed thirty-five years.
       (3) The State Government in making the rules fixing the period, shall, in considering whether the period should extend to thirty-five years, or to the durability of the work for the purpose of which the loan is granted, and to the expediency of the cost of the work being paid by the generation of persons who will immediately benefit by the work.


S.7 Recovery of loans

       (1) Subject to such rules as may be made under section 10, all loans granted under this Act, all interest (if any) chargeable thereon, and costs (if any) incurred in making the same, shall, when they become due, be recoverable by the Collector in all or any of the following modes, namely :-
       (a) from the borrower- as if they were arrears of land revenue due by him;
       (b) from his surety (if any)- as if they were arrears of land revenue due by him.
       (c) out of the land for the benefit of which the loan has been granted- as if they were arrears of land revenue due in respect of that land;
       (d) out of the property comprised in the collateral security (if any)- according to the procedure for the realization of land revenue by the sale of immovable property o

S.8 Order granting loan conclusive on certain points

       A written order under the hand of an officer empowered to make loans under this Act granting a loan to, or with the consent of, a person mentioned therein, for the purpose of carrying out a work described therein, for the benefit of land specified therein, shall, for the purposes of this Act, be conclusive evidence-
       (a) that the work described is an improvement within the meaning of this Act,
       (b) that the person mentioned had at the date of the order a right to make such an improvement; and
       (c) that the improvement is one benefiting the land specified.


S.9 Liability of joint borrowers as among themselves

       When a loan is made under this Act to the members of a village community or to any other persons on such terms that all of them are jointly and severally bound to the Government for the payment of the whole amount payable in respect thereof, and a statement showing the portion of that amount which as among themselves each is bound to contribute is entered upon the order granting the loan and is signed by each of them and by the officer making the order, that statement shall be conclusive evidence of the portion of that amount which as among themselves each of those persons is bound to contribute.


S.9(A) Prohibition of misapplication of loan under the Act

       (1) Every person taking loan under this Act shall, in the manner provided for in the rules made by the State Government in this behalf and the conditions contained in the order granting such loan, apply the amount thereof for the purpose and within the period specified in the order granting such loan.
       1. Ins. by C.P. & Berar Act 55 of 1949.
       (2) Without prejudice to any penalty which may be imposed under any other provision of law or instrument, any person who fails to comply with the provisions of sub-section (1) shall on an order in writing passed by a revenue officer not below the rank of Sub-Divisional Officer be liable to pay by way of penalty such sum not exceeding twice the amount of the loan outstanding as such officer may by order fix unless such person refunds the amount of loan and satisfies such officer that the failure was du

S.10 Power to make rules

       The State Government may, from time to time, by notification in the Official Gazette, make rules consistent with this Act to provide for the following matters, namely :-
       (a) the manner of making applications for loans;
       (b) the officers by whom loans may be granted;
       (c) the manner of conducting inquiries relative to applications for loans, and the powers to be exercised .by officers conducting those inquiries;
       (d) the nature of the security to be taken for the due application and repayment of the money, the rate of interest at which, and the conditions under which, loans may be granted, and the manner and time of granting loans;
       (e) the inspection of works for which loans have been granted;
 &nbs

S.11 Exemption of improvements from assessment to land revenue

       When land is improved with the aid of a loan granted under this Act, the increase in value derived from the improvement shall not be taken into account in revising the assessment of land revenue on the land:
       Provided as follows-
       (1) where the improvement consists of the reclamation of waste-land, or of the irrigation of land assessed at unirrigated rates, the increase may be so taken into account after the expiration of such period as may be fixed by rules to be framed by the State Government,
       (2) nothing in this section shall entitle any person to call in question any assessment of land-revenue otherwise than as it might have been called in question, if this Act had not been passed.


S.12 Certain powers of State Government to be exercisable by Board of Revenue or Financial Commissioner

       The powers conferred on a State Government by sections 4 (1) and 10 may, in a State for which there is a Board of Revenue or a Financial Commissioner, be exercised in the like manner and subject to the like conditions by such Board or Financial Commissioner, as the case may be: Provided that rules made by a Board of Revenue or Financial Commissioner shall be subject to the control of the State Government.


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