STATE OF KERALA vs. JOSEPH

Case Type: Civil Appeal

Date of Judgment: 25-09-2018

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                Reportable IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL No.9912 OF 2010   State of Kerala & Anr.    ….Appellant(s) VERSUS Joseph & Anr.        …Respondent(s) J U D G M E N T Abhay Manohar Sapre, J. 1) This appeal is filed against the final judgment and   order   dated   03.12.2007   passed   by   the   High Court of Kerala at Ernakulam in M.F.A. No.137 of 1989 whereby the High Court dismissed the appeal filed by the appellants herein.  Signature Not Verified Digitally signed by ANITA MALHOTRA Date: 2018.09.27 15:58:09 IST Reason: 1 2) In   order   to   appreciate   the   short   controversy involved in the appeal, it is necessary to set out few facts hereinbelow. 3) The appellant is the State of Kerala. It was the appellant   before   the   High   Court   whereas   the respondents   herein   were   the   respondents   in   the appeal out of which this civil appeal arises. 4) The respondents herein are the owners of 14 acres   of   land   situated   in   Thenkara   Village   of Mannarghat Taluk in Kerala. This 14 acres land was part   of   47.35   acres   of   total   land,   which   was purchased   jointly   by   the   family   members   of   the respondents in the name of the respondents, their father and uncles.  5) It   is   the   case   of   the   respondents   that   there existed rubber plantation on this land. In addition, the respondents are also the purchaser of the land, planted Teak and other trees on the land. It is also 2 the case of the respondents that a partition amongst their family members took place as a result of which out of 47.35 acres of land, 23.5 acres of land was allotted to the respondents and their father. 6) A question arose as to whether the said 14 acres of land out of 23.5 acres stood vested in the State by virtue of the provisions of the Kerala Private Forests (Vesting   and   Assignment)   Act,   1971   (hereinafter referred to as "the Act" ) or not. Since there was also a dispute as to whether the respondents had a right to remain or/and to claim their lawful possession on 14 acres of land, the respondents filed an application under Section 8 of the Act before the Forest Tribunal and   sought   exemption   of   the   said   land   from   the provisions of the Act as provided therein. 7) Section 2 (a) of the Act defines the "appointed th day" to mean the 10   day of May,1971. "Owner" in relation to a private forest is defined in Section 2(c) to 3 include therein a mortgagee, lessee or other person having a right to possession and enjoyment of the private forest. Section 2 (f) defines the term "private forest" to mean:    “2. ( f )(1) in relation to the Malabar District referred to in sub­section (2) of Section 5 of the States Reorganisation Act, 1956 (Central Act 37 of 1956),— ( i ) any land to which the Madras Preservation of Private Forests Act, 1949 (Madras Act 27 of   1949),   applied   immediately   before   the appointed day excluding— (A)   lands   which   are   gardens   or   nilams   as defined in the Kerala Land Reforms Act, 1963 (1 of 1964); (B) lands which are used principally for the cultivation   of   tea,   coffee,   cocoa,   rubber, cardamom or  cinnamon  and  lands used  for any   purpose   ancillary   to   the   cultivation   of such crops or for the preparation of same for the market. Explanation .—Lands   used   for   the construction   of   office   buildings,   godowns, factories,   quarters   for   workmen,   hospitals, schools and playgrounds shall be deemed to be lands used for purposes ancillary to the cultivation of such crops; 4 (C)   lands   which   are   principally   cultivated with   cashew  or   other  fruit­bearing   trees   or are   principally   cultivated   with   any   other agricultural crop; and (D) sites of buildings and lands appurtenant to,   and   necessary   for   the   convenient enjoyment or use of, such buildings; ( ii ) any forest not owned by the Government, to which the Madras Preservation of Private Forests Act, 1949, did not apply, including waste   lands   which   are   enclaves   within wooded areas. (2) in relation to the remaining areas in the State of Kerala, any forest not owned by the Government, including waste lands which are enclaves within wooded areas.” 8) Similarly  Section 3   of  The   Act,  which  is  also relevant for disposal of this appeal, reads as under: “3.  Private forests to vest in Government­ (1) Notwithstanding   anything   contained   in   any other law for the time being in force, or in any contract or other document but subject to the provisions of sub­sections(2) and (3), with effect on and from the appointed day, the ownership and possession of all private forests in the State of Kerala shall by virtue of this Act, stand transferred to and vested in the Government free from all encumberances, and the right, title and interest of the owner or   any   other   person   in   any   private   forest shall stand extinguished. 5  (2) Nothing   contained   in   sub­section(1) shall apply in respect of so much extent of land comprised in private forests held by an owner   under   his   personal   cultivation   as   is within   the   ceiling   limit   applicable   to   him under the Kerala Land Reforms Act, 1963(1 of 1964) or any building or structure standing thereon or appurtenant thereto. Explanation­For   the   purposes   of   this   sub­ section, “cultivation” includes cultivation of trees or plants of any species. (3) Nothing   contained   in   sub­section(1) shall apply in respect of so much extent of private forests held by an owner under a valid registered document of title executed before the   appointed   day   and   intended   for cultivation by him, which together with other lands held by him to which Chapter III of the Kerala Land Reforms Act, 1963, is applicable, does not exceed the extent of the ceiling are applicable   to   him   under   Section   82   of   the said Act. (4) Notwithstanding anything contained in the Kerala Land Reforms Act, 1963, private forests   shall,   for   the   purposes   of   sub­ section(2) or sub­section(3), be deemed to be lands to which Chapter III of the said Act is applicable and for the purposes of calculating the   ceiling   limit   applicable   to   an   owner, private forests shall be deemed to be “other dry lands” specified in Schedule II to the said Act.” 6 9) The question that arose for consideration before the   Forest   Tribunal   was   whether   the   respondents’ case falls under Section 3(3) of the Act so as to entitle them to claim exemption of their land measuring 14 acres from its vesting in the State as provided under the Act and the other question was what is the true meaning of the expression “intended for cultivation by him” occurring in sub­section (3) of Section 3 of the Act. 10) The   Tribunal,   by   order   dated   21.02.1979, allowed the respondents’ application and granted the exemption as claimed by them in relation to their 14 acres of land. It was held that firstly, the respondents acquired the right, title and interest on the land on the   strength  of   the   registered   documents   executed prior   to   10.05.1971   in   their   favour;   Secondly,   the respondents acquired the land with the intention to personally   cultivate;   Thirdly,   the   respondents   had 7 planted rubber plantation in  3½   acres of land and also   cultivated   coconut,   pepper   and   coffee   in   one acre;   Fourthly,   this   was   the   only   land   of     the members of the respondents’ family which was being used by them for their personal cultivation to earn livelihood; Fifthly, the other members of family were also using their share in the land for doing rubber plantation; Sixthly, the respondents owned only the land in question which falls within the ceiling limits; and   lastly,   though   the   respondents’   scheduled property is a private forest as defined under the Act, yet in the light of seven findings, the land in question is not liable to be vested in the Government by virtue of exemption available under Section 3(3) of the Act. In other words, it was held that the respondents were able to make out a case on facts as contemplated under Section 3(3) of the Act. The Tribunal therefore, declared the land in question as exempted from being 8 vested in the State.   As a consequence thereof, the respondents   were   allowed   to   retain   the   land   in question for their personal cultivation. 11) The State felt aggrieved and filed review petition before the Tribunal under Section 8­B of the Act. By order   dated   24.08.1988,   the   review   petition   was dismissed. The State then filed an appeal in the High Court of Kerala. By order dated 16.11.1999, the High Court   allowed   the   appeal   and   set   aside   the   main order dated 21.02.1979 passed by the Tribunal.  12) As a result, the respondents’ application filed under   Section   8­B   of   the   Act   was   dismissed.   The respondents  felt  aggrieved  and  filed appeal in this Court by way of special leave being Civil Appeal Nos. 8061­62 of 2001 ( Joseph & Anr.  vs.  State of Kerala (2007) 10 SCC 414. & Anr.,  13)   By   order   dated   10.05.2007,   this   Court   after interpreting the relevant provisions of the Act allowed 9 the respondents’ appeals and while setting aside the order of the High Court remitted the matter to the High Court for its fresh consideration. (See – (2007) 10 SCC 414). 14) This   Court   in   Paras   18   and   19   made   the following observations:          “18.  Several   questions   arose   for consideration   before   the   High   Court.   The High Court indisputably had a limited role to play.   We,   as   at   present   advised,   are   not inclined to accept the submission of Mr Iyer that sub­sections (2) and (3) of Section 3 of the 1971 Act would operate in the same field. In   our   opinion,   both   operate   in   different fields.   However,   on   a   plain   reading   of   the impugned order passed by the High Court, we are of the opinion that the High Court was not   correct   in   its   view   in   regard   to   its construction of Section 3(3) of the 1971 Act. The   Tribunal,   while   exercising   its   power under Section 8 of the 1971 Act, had taken into consideration the question which arose before   it   viz.   as   to   whether   the   appellants herein had intention to cultivate the land on the   appointed   day.   Appointed   day   having been defined in the 1971 Act, the relevant aspect was the situation as it existed on that day   i.e.   on   10­5­1971.   For   the   purpose   of attracting sub­section (3) of Section 3 of the 1971   Act,   it   was   not   necessary   that   the entire area should have been cultivated for 10 arriving   at   a   decision   as   to   whether   the owner   of   the   land   had   the   intention   to cultivate or not. Also, it was required to be considered   having   regard   to   the   activities carried   on   by   the   owner   from   the   day   of purchase till the appointed day. For the said purpose, subsequent conduct of the owner of the land was also relevant. Development of the land by plantation of rubber plants is not in   dispute.   The   Explanation   appended   to Section 3(2) of the 1971 Act clearly suggests that cultivation would include cultivation of trees or plants of any species. Intention to cultivate by the owner of the land, we think, has to be gathered not only in regard to the fact situation obtaining at a particular time but   also   with   regard   to   the   subsequent conduct   of   the   parties.   If   the   activity   in regard to cultivation of land or development thereof is systematic and not sporadic, the same also may give an idea as to whether the owner   intended   to   cultivate   the   land.   The words   “intend   to   cultivate”   clearly   signify that   on   the   date   of   vesting   the   land   in question had not actually been cultivated in its   entirety   but   the   purchaser   had   the intention of doing so. Such intention on the part of the purchaser can be gathered from his conduct in regard to the development of land   for   making   it   fit   for   cultivation preceding to and subsequent to the date of vesting. 19.  The High Court, in our opinion, was not correct in opining that for applying Section 3(3) of the 1971 Act, the cultivation of the property subsequent to the vesting cannot be taken into account. The High Court also was not correct in arriving at a finding that there had   been   no   evidence   whatsoever   that   the 11 owners intended to cultivate the land prior to 10­5­1971. As the provision contained in sub­ section   (3)   of   Section   3   of   the   1971   Act clearly   provides   for   exclusion   of   the operation of sub­section (1) thereof, the same has to be construed liberally. So construed, the   conduct   of   the   parties   was   a   relevant fact.   The   High   Court,   in   our   opinion, therefore   was   not   correct   in   ignoring   the findings of the Tribunal. Also, the High Court should  bestow  its attention  to  the findings arrived at by the Tribunal having regard to the limited nature of the scope and ambit of appeal in terms of Section 8­A of the 1971 Act and, particularly, in view of the fact that the   order   dated   21­2­1979   had   not   been appealed against.” 15) The matter was accordingly heard by the High Court  after   remand   with   a  view   to   find   out  as   to whether the findings recorded by the Tribunal are in conformity with the law laid down by this Court in   (supra).     By   impugned   order,   the Joseph’s   case State's   appeal   was   dismissed   by   the   High   Court which gives rise to filing of this appeal by way of special leave in this Court by the State. 12 16) Heard Mr. K.N. Balgopal, learned senior counsel for the appellants and Mr. R. Basant, learned senior counsel for the respondents. 17) Learned senior counsel for the appellant (State) mainly urged one point. It was his submission that the case of the respondents (landowners) does not fall under  Section  3  (3)  of   the   Act  and,   therefore,  the Tribunal   and   the   High   Court   were   not   right   in granting exemption to the respondents from vesting of their land in question in the State.  18) In other words, the submission of the learned counsel   was   that   the   respondents’   land   being   a “private forest" stood declared vested in the State in accordance with the provisions of the ceiling law and the   Act   on   an   appointed   day   and   hence   the respondents were not entitled to get any benefit of exemption by taking recourse to Section 3(3) of the Act.    13 19) Learned   counsel   elaborated   this   submission with reference to the actual findings of the Tribunal in the context of the wording of Section 3 (3) of the Act   and   especially   the   expression   “intended   for cultivation by him” occurring in sub­section (3) and contended that the facts found by the Tribunal do not satisfy the expression “intended for cultivation by the landowners”   and,   therefore,   no   reliance   could   be placed by the respondents on Section 3(3) of the Act for claiming an exemption for their land from being vested in the State. 20) In   reply,   learned   counsel   for   the   respondents supported the impugned order and contended that it does not call for any interference. 21) Having heard the learned counsel for the parties and on perusal of the record of the case, we find no merit in this appeal. 14 22) In our opinion, the question as to what is true interpretation of the relevant provisions of the Act and especially Section 3(3) and the other question regarding holding of the land and its intended use by the respondents stand already decided by this Court in the earlier round of litigation in its order dated 10.05.2007 in Paras 18 and 19 quoted above.   The State cannot, therefore, be allowed to raise the same plea   again   in   the   second   round   of   litigation   after remand.   This Court in paras 18 and 19 explained the object and purpose of Section 3(3) of the Act and then holding that such provision has to be construed liberally examined the facts of this very case and set aside the order of the High Court  in the earlier round of litigation.   The remand of the case to the High Court   was   to   examine   the   issue   in   the   light   of interpretation made by this Court. 15 23) That   apart,   in   our   view,   the   Tribunal   has recorded seven findings of fact as set out above in para 10 while allowing the respondents’ application filed   under   Section   8   and   the   same   were   not interfered with by the High Court.  24)   In   our   opinion,   all   the   seven   findings   are otherwise   found   to   be   based   on   documentary evidence filed by the respondents and the same were properly appreciated by the Tribunal keeping in view the two requirements of sub­section(3) of Section 3 of the Act,   namely, that the title was derived by the respondents in relation to the land in question prior to the appointed day, i.e.,10.05.1971 and second, the land   in   question   was   found   in   actual   use   by   the respondents for their personal cultivation even prior to the appointed day. 25) In the light of these two findings recorded by the Tribunal on facts and upheld by the High Court in 16 the  impugned order after remand, which were not found perverse or against any evidence or illegal in any way, we do not find any ground to interfere in the impugned order. 26) The   appeal   thus   fails   and   is   accordingly dismissed.                    ………...................................J. [ABHAY MANOHAR SAPRE]                                         …...……..................................J.       [S. ABDUL NAZEER] New Delhi; September 25, 2018  17