Full Judgment Text
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PETITIONER:
SMT. PUJARI BAI
Vs.
RESPONDENT:
MADAN GOPAL
DATE OF JUDGMENT12/07/1989
BENCH:
OZA, G.L. (J)
BENCH:
OZA, G.L. (J)
SHETTY, K.J. (J)
CITATION:
1989 AIR 1764 1989 SCR (3) 383
1989 SCC (3) 433 JT 1989 (3) 43
1989 SCALE (2)1
ACT:
Displaced Persons (Compensation and Rehabilitation) Act,
1954/ Displaced Persons (Compensation & Rehabilitation)
Rules, 1954: Section 10/Rule 68. Grant of proprietary rights
by Rehabilitation authorities with issue of Sanad--Right of
authorities under Consolidation Act to modify or cancel the
proprietary rights.
East Punjab Holdings (Consolidation and Prevention of
Fragmentation) Act, 1948: Section 30---Transfer of property
during consolidation proceedings--Has no reference and
cannot have reference to transfer of Sanad issued by Reha-
bilitation Department.
Constitution of India, 1950: Article 226---Writ Peti-
tion--Dismissal in limine on grounds of laches or available
of alternative remedy--Decision does not operate as res
judicata.
Civil Procedure Code, 1908: Section 11--Res
judicata--Does not apply where suit, writ petition is dis-
missed in limine.
HEADNOTE:
The appellant who migrated from Pakistan in 1947 was
allotted certain lands. On 29.12.1962 allotment was made
quasi-permanent in character, but on 29.4.1963, the lands
were transferred to her permanently, by a Sanad issued under
Rule 68 of the Displaced Persons (Compensation & Rehabilita-
tion) Rules, 1954.
The respondent like the appellant had also migrated from
Pakistan and on 29.12.1959 lands were also allotted to him
but no entry could be made in the revenue record.
On 29.6.1960 during consolidation proceedings no tuk was
however made for the respondent. He filed objections which
were rejected. He unsuccessfully appealed to the Appellate
Authority--The Settlement Officer (Appeals). In the second
appeal, the Assistant Director Consolidation of Holdings
remanded the matter to the Special Settlement Officer with
the observation that because of the mistake of the Consoli-
dation authorities there had been over-allotment, and the
authorities
384
will see that the first allottee is given the land first.
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As nothing happened for about three years, the respond-
ent filed a writ petition in 1966 and the High Court direct-
ed implementation of the order of the Assistant Director
Consolidation. The appellant was not a party to either of
these proceedings.
Pursuant to the order of the High Court the Consolida-
tion Officer started enforcing the observations of the
Assistant Director, found that the land allotted to various
persons was more than the land available for allotment, and
in order to resolve this difficulty evolved a via-media
procedure. lie deprived some of the allottees of the land
allotted to them, and the appellant was one such person. He
allotted all such lands to the respondent. This was the
commencement of the instant litigation.
Against the aforesaid order of the Consolidation Officer
the appellant preferred an appeal before the Assistant
Director which was dismissed and the writ petition against
the said order was rejected by the High Court in limine with
only one word, namely, ’dismissed’.
The appellant having no other alternative instituted a
suit contending that it was impermissible for the Consolida-
tion Officer to adjust the lands, or take away any part of
it which became her absolute property by virtue of the Sanad
granted on 29.4.1963. The trial Court dismissed the suit.
The Additional District Judge confirmed that judgment, and
the second appeal to the High Court was also dismissed.
In the appeal to this Court on the question; whether the
lands given to the appellants by permanent Sanad could be
deprived of in consolidation proceedings without giving them
adequate alternate lauds.
Allowing the appeal,
HELD: 1. The authorities under the Consolidation Act
have no jurisdiction or power to modify or cancel the grante
of proprietary rights granted in the Sanad under s. 10.
[392G]
2. From s. 10 of the Displaced Persons (Compensation &
Rehabilitation) Act 1954, it is clear that the parties who
were put in possession under initial allotment would contin-
ue to remain in possession even after its acquisition by the
Central Government. But it is open to the Central Government
for the purposes of payment of compensation to
385
such displaced person, transfer to him such property on such
terms and conditions as may be prescribed. Apparently this
refers to a permanent transfer in lieu of compensation.
[390D-E]
3. Transfer of property referred to in s. 30 of the East
Punjab Holdings (Consolidation and Prevention of Fragmenta-
tion) Act, 1948 is either by a landowner or by a tenant, and
it has no reference, and indeed cannot have a reference to
transfer of Sanad under s. 10 of the Displaced Persons
(Compensation & Rehabilitation) Act of 1954. The conferment
of rights in lieu of compensation under s. 10 stands on a
different footing which could not be contemplated within the
language of s. 30 of the Consolidation Act. [391F]
4. When a writ petition after contest is disposed of on
merits by a speaking order, the question decided in that
petition would operate as res judicata, but not a dismissal
in limine or dismissal on the ground of laches, or avail-
ability of alternative remedy. [392E-F]
Workmen of Cochin Port Trust v. Board of Trustees of the
Cochin Port Trust & Another, [1978] 3 SCR 971, referred to.
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JUDGMENT:
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 601213 of
1983.
From the Judgment and Order dated 31.1.1983 of the
Punjab & Haryana High Court in C.R.S.A. No. 1871 of 1975 and
R.S.A. No. 16 11 of 1980.
Shiv Dayal Srivastava, S.K. Bagga and Mrs. Bagga for the
Appellant.
Kapil Sibal, S. Markandeya, Mrs. C. Markandeya, O.P.
Ahluwalia, G. Seshagiri Rao and Km. U. Saraswat for the
Respondents.
The Judgment of the Court was delivered by
OZA, J. This appeal arises out of a judgment of the
Punjab & Haryana High Court delivered in Civil Regular
Second Appeal No. 187 1 of 1975 dated 31.12.1983.
This second appeal before the High Court of Punjab &
Haryana was taken against the judgment of Additional Dis-
trict Judge, Patiala
386
who affirming the judgment of the trial Court i.e., sub-
Judge 1st class, Rajpura, maintained the dismissal of the
suit filed by the plaintiffpresent appellant.
The suit was filed for a declaration that the appellant
plaintiff is the owner in possession of agricultural lands
measuring 100 Bighas 10 Biswas comprising Khasra Nos.
54-1-2-3-8/3-9-11-19/2, 55-3-4-5-67-15, 55/16, 20 situated
in village Urdan, Tehsil Rajpura with the consequential
relief of permanent injunction restraining the defendant
from interfering with the possession of the plaintiff and
dispossession thereof in any manner.
The appellant--Pujari Bai, it is alleged, migrated from
Pakistan in 1947 after the partition of the country and she
left behind in Pakistan a large areas of agricultural land.
In 1949 Government in order to settle such refugees adopted
certain measures and gave land to the displaced persons for
the purpose of cultivation. The displaced persons claims
were examined by the claims organisation set up by the East
Punjab Government at some places and the lands were given
individually to those who had left behind agricultural lands
in the West Punjab which become Pakistan after 1947. As Smt.
Pujari Bai, was one of such claimants, she was allotted
certain lands in village Urdan. On 29.12.1962 allotment made
was quasi permanent in character, but on 29.4.1963 the lands
were transferred to her permanently. The transfer was right,
title and interest in ownership by a Sanad issued in the
name of the President (the Central Government) under Rule 69
of the Displaced Persons (Compensation & Rehabilitation)
Rules, 1954. This was the basis of her claim.
It appears that the defendant--respondent had also
migrated from Pakistan like the appellant and on 29.12.1959
some lands were also allotted to him but no entry could be
made in the revenue record and it was not certain whether
possession was taken by the respondent. On 29.6.1960 during
the consolidation proceedings, no tuk was however, made for
the respondent. He filed objections and to these objections
Pujari Bai was not a party. The objections were rejected. It
appears that against this order he appealed to the Appellate
Authority--The Settlement Officer (Appeals) and this appeal
also was dismissed. He took up the matter in second appeal
to the Assistant Director Consolidation of Holdings who
remanded the matter to the Special Settlement Officer with
certain observations. He observed "that there have been over
allotment and authorities will see that first allottee is
given land first". He also observed that it all happened
387
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because of the mistake of the Consolidation authorities.
This order was passed on 2.12.1963.
In spite of this remand order made by the Assistant
Director Consolidation, nothing happened for about three
years. In 1966 the respondent filed a writ petition before
the High Court of Punjab & Haryana. Even to this writ peti-
tion the present appellant Pujari Bai was not a party. In
this writ petition a direction was sought to implement the
aforesaid order of the Assistant Director Consolidation. The
High Court by the order dated 25.11.1966 directed that the
observations contained in the order passed by the Assistant
Director should be complied with.
After the direction of the High Court the Consolidation
Officer became active. He started enforcing the observations
contained in the remand order of the Assistant Director and
in so doing, he found that the land allotted to various
persons in the village was more than the land available for
allotment. In order to resolve this difficulty he evolved a
via-media. He deprived some of the allottees of the part of
land allotted to them, and the appellant was one such casu-
alty. He allotted all such lands to the respondent and it is
this which was the starting point of the trouble. It is,
however, significant to note that before this order was
passed by the Consolidation Officer so far as the appellant
is concerned she had already obtained a permanent Sanad in
respect of her lands from the Government of India.
Against the order of the Consolidation Officer, the
appellant preferred an appeal before the Assistant Director,
Punjab & Haryana, Chandigarh. The appeal was dismissed with
an observation that he was bound by the remand order and the
right acquired by the appellant by the Sanad should have
been brought to the notice when matter was disposed of
earlier by the Assistant Director, Patiala. Against this
order of the Assistant Director, the appellant preferred a
writ petition which was rejected by the High Court in limine
with one word ’dismissed’ by order dated 14.4.1969.
After the rejection of the writ petition, the appellant
had no other alternative and therefore instituted the suit
out of which this appeal arises. Her case in the suit was
that it was impermissible for the Consolidation Officer to
adjust the lands or take away any part of it which became
her absolute property by virtue of the Sanad granted on
29.4.1963. However, she became unsuccessful in all Courts.
On 5.9.1975, the trial Court dismissed the suit. The Addi-
tional District
388
Judge confirmed that judgment. The High Court of Punjab &
Haryana dismissed the Second Appeal by the judgment dated
31.1.1983 which is now under appeal before us.
Learned counsel for the appellant contended that after
the Sanad was granted to the appellant on 29.4.1963 she
became the absolute owner of the land. The land was given to
her in lieu of settlement of her claim of compensation and
the Sanad-specifically provided that all rights and interest
in the property were transferred to the appellant under the
authority of the President. It was, therefore, not open to
any consolidation authority to cancel this Sanad. It was
also contended that the Consolidation authorities and the
civil courts did not examine the legal consequences of the
Sanad and the scope of Section 10, and without taking that
into consideration the allotment made was illegal and could
not be sustained.
The other limb of the argument of learned counsel re-
lates to the question of res judicata on which ground also
the appellant was nonsuited. It may be recalled the appel-
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lant being aggrieved by the order of the Consolidation
Officer which was confirmed by the Assistant Director Con-
solidation approached the High Court in a writ petition.
That writ petition was rejected in limine and therefore the
courts below held that the question of res judicata operates
and there was no scope for the civil court to go into the
question once again. It was argued that the High Court
committed an error since apparently the writ petition filed
by the appellant was dismissed in limine and it could not
operate as res judicata since it was not a decision on
merits deciding anyone of the issues arising in the litiga-
tion.
Learned counsel for the respondent, on the other hand
contended that the allotment made in favour of the respond-
ent was very much before the allotment made in favour of the
appellant. The allotment to the respondent was on 29.12.1959
and whereas the allotment to the appellant was on
29.12.1962. But unfortunately as there was no entry made in
the revenue record about the allotment tO the respondent. No
land was earmarked in the consolidation proceedings which
ultimately had to be brought to the notice of Assistant
Director. The later remanded the matter with a direction to
the consolidation officer "to see that the first allottee is
accommodated first and the later allottees who have been
accommodated before the respondent shall not be given their
allotment." Learned counsel contended that when this order
of the Assistant Director was not complied with, the re-
spondent had no option but to approach the High Court for a
direction for
389
enforcement of the said order. But learned counsel had to
concede that even before the order of the Assistant Director
by which he remanded the matter, the allotment in favour of
the appellant had been converted into a permanent transfer
by a Sanad granted by the President.
The main argument of the learned counsel for the re-
spondent was that in view of the fact that the respondent
was allotted earlier in 1959 whereas the allotment in favour
of the appellant being in December 1962 and if there was no
adequate land available for allotment to the appellant, the
authorities should find an alternative land somewhere else
but the respondent could not be deprived of the land which
was allotted to him- He, however, frankly conceded that
there is nothing on record to indicate that the same land
which was allotted to the respondent was allotted to the
appellant. He, however, said that it was a case of over
allotment and the authorities were justified in taking the
land proportionately from all allottees and adjusting all
the allottees with the available lands.
From all the facts and documents, one thing appears to
be clear that although certain allotment was made in favour
of the respondent in 2959, he was not put in possession of
the allotted lands. It is also clear that the survey Nos. of
lands allotted in 1959 to the respondent are not the same
survey Nos. allotted to the appellant in December, 1962. It
is further clear that the appellant was given possession of
those properties allotted to her and even permanent Sanad
was granted to her.
The main question that arises for consideration there-
fore, is whether the lands given to the appellants by perma-
nent Sanad could be deprived of in the consolidation pro-
ceedings without giving them adequate alternate lands.
Section 10 of the Displaced Persons (Compensation & Rehabil-
itation) Act of 1954 provides:
"10. Where any immovable property has been
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leased or allotted to a displaced person by
the Custodian under the conditions prescribed:
(a) by the notification of the Government of
Punjab in the Department of Rehabilitation No.
4891-S or 4892-S, dated the 8th July, 1949; or
(b) by the notification of the Government of
Patiala and
390
East Punjab States Union in the Department of
Rehabilitation No. 8R or 9R, dated the 23rd
July, 1949, and published in the Official
Gazette of that State, dated the 7th August,
1949.
and such property is acquired under the provi-
sions of this Act and forms part of the com-
pensation pool, the displaced person shall, so
long as the property remains vested in the
Central Government continue in possession of
such property on the same conditions on which
he held the property immediately before the
date of the acquisition, and the Central
Government may, for the purpose of payment of
compensation to such displaced person, trans-
fer to him such property on such terms and
conditions as may be prescribed."
From this provisions, it will be clear that the parties
who were put in possession under initial allotment would
continue to remain in possession even after its acquisition
by the Central Government. But it is open to the Central
Government for the purposes of payment of compensation to
such displaced persons transfer to him such property on such
terms and conditions as may be prescribed. Apparently this
refers to a permanent transfer in lieu of compensation. It
is not in dispute that the appellants were the only allot-
tees in whose favour permanent transfer was made on
29.4.1963 and 15.6.1964 respectively.
A perusal of the terms of Sanad clearly indicate that it
conveys absolute title and it could be cancelled only by the
authority which granted the Sanad. Sanad (Ex. p 2) granted
to the appellant on 29.4.1963 reads:
"The President is hereby pleased to transfer
the right, title and interest acquired by the
Central Government in the said property to
Pujari Bai wife of Bihari Lal (hereinafter
referred to as the transferee) subject to the
following terms and conditions."
It was perhaps for this reason, as contended for the
appellant that after the Sanad was granted in favour of the
appellant, the respondent went on with the proceedings
before the consolidation authorities and also before the
authorities under the Displaced Persons (Compensation &
Rehabilitation) Act, 1964, but did not implead the appellant
and only impleaded the other allottees who were not granted
Sanad till
391
then. Quite naturally, the authorities had no opportunity to
examine the effects of the Sanad granted to the appellant.
Learned counsel for the respondent next contended that
the consolidation proceedings had started when the Sanad was
granted to the appellant on 29.4.1963 and Section 30 of the
East Punjab Holdings (Consolidation and Prevention of Frag-
mentation) Act, 1948 prohibits a transfer during the consol-
idation proceedings.
We do not think that Section 30 has any application to
the facts of the case.
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Section 30 of the East Punjab Holdings (Consolidation
and Prevention of Fragmentation) Act, 1948, provides:
"Sec. 30. Transfer of Property during consoli-
dation proceedings--After a notification under
sub-section (1) of Section 14 has issued and
during the pendency of the consolidation
proceedings no land owner or tenant having a
fight of occupancy upon whom the scheme will
be binding shall have power without the sanc-
tion of the Consolidation Officer to transfer
or otherwise deal with any portion of his
original holding or other tenancy so as to
affect the rights of any other landowner or
tenant having a right of occupancy therein
under the scheme of consolidation."
Transfer of property referred to in this Section is
either by a landowner or by a tenant, and it has no refer-
ence and indeed cannot have a reference to transfer of Sanad
under Section 10 of the Displaced Persons (Compensation &
Rehabilitation) Act of 1954. The conferment of fights in
lieu of compensation under Section 10 stands on a different
footing which could not be contemplated within the language
of Section 30 of the aforesaid Act. This contention advanced
by learned counsel for the respondent is, therefore, reject-
ed.
This takes us to the question of res judicata. The
question is whether the suit of the appellant was barred by
res judicata in view of the summary dismissal of her writ
petition earlier. It is not disputed that the writ petition
filed by the appellant against the order of the Assistant
Consolidation Officer was dismissed in limine. This order
dated 14.4.1969 was passed by the Division Bench of Punjab &
Haryana High Court. It was a one word order. The question or
res
392
judicata apparently arises when a controversy or an issue
between the parties has been heard and decided. This Court
in Workmen of Cochin Port Trust v. Board of Trustees of the
Cochin Port Trust & Another, [1978] 3 SCR 97 1 considered
this principle and observed (at 977):
"But the technical rule of res judicata al-
though a wholesome rule based upon public
policy, cannot be stretched too far to bar the
trial of identical issues in a separate pro-
ceedings merely on an uncertain assumption
that the issues must have been decided. It is
not safe to extend the principle of res judi-
cata to such an extent so as to found it on
mere guess work. To illustrate our view point,
we may take an example. Suppose a writ peti-
tion is filed in a High Court for grant of a
writ of Certiorari to challenge some order or
decision on several grounds. If the Writ
Petition is dismissed after contest by a
speaking order obviously it will operate as
res judicata in any other proceeding, such as,
of suit, Article 32 of Article 136 directed
from the same order or decision. If the Writ
Petition is dismissed by a speaking order
either at the threshold or after contest, say,
only on the ground of laches or the availabil-
ity of an alternative remedy, then another
remedy open in law either by way of suit or
any other proceeding obviously will not be
barred on the principle of res judicata."
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It thus becomes clear that when a writ petition after
contest is disposed of an merits by a speaking order, the
question decided ,in that petition would operate as res
judicata, but not a dismissal in limine or dismissal on the
ground of laches or availability of alternative remedy. The
High Court and the courts below, therefore, were not right
in throwing out the suit of the appellant on the ground of
res judicata.
It is, therefore, plain that all the three courts have
omitted to consider the material question, that is, the
impact of the grant of Sanad under Section 10 and its effect
on the jurisdiction of the authorities under the Consolida-
tion Act. The authorities under Consolidation Act have no
jurisdiction or power to modify or cancel the grant of
proprietary rights granted in the Sanad under Section 10.
In the connected Civil Appeal No. 6013 of 1983 the Sanad
was also granted on 15.6.1964 in accordance with Section 10
and, therefore, the same principle applies to that case
also.
393
The appeals are therefore allowed. The judgment and
decree passed by all the three courts below are set aside
and the suit filed in each case is decreed with costs. The
appellant shall be entitled to costs in this Court. Costs
quantified at Rs.5,000 in each of the two appeals.
N.V.K. Appeals
allowed.
394