Andhra Pradesh High Court - Amravati
The State Of Ap vs Madanapalle Ex Service Man Association on 4 January, 2024
Author: R. Raghunandan Rao
Bench: R. Raghunandan Rao
IN THE HIGH COURT OF ANDHRA PRADESH: AMARAVATI
HON'BLE MR. JUSTICE DHIRAJ SINGH THAKUR, CHIEF JUSTICE
&
HON'BLE MR. JUSTICE R. RAGHUNANDAN RAO
WRIT APPEAL No.955 of 2023
Between:
The State of Andhra Pradesh,
Represented by the Secretary Revenue
Department Secretariat, Hyderabad,
Now Principal Secretary, Revenue Department,
Secretariat, Velagapudi,
Amaravathi & 3 others.
...Appellant
Versus
Madanapalle Ex-servicemen Association,
Represented by its Secretary K.Srinivasulu,
S/o.Munirathnam Naidu,
Residing at Madanapalle,
Annamayya District.
...Respondent
Counsel for the Appellants :Sri P. Subhash, G.P for
Assignment
Counsel for respondent : Devalaraju Anil Kumar
JUDGMENT
Dt:04.01.2024
(per Hon'ble Sri Justice R. Raghunandan Rao)
HCJ&RRR,J
Heard Sri P. Subhash, the learned Government Pleader for
Assignment, appearing for the appellants and Sri Devalaraju Anil
Kumar, learned counsel appearing for the respondent.
2. The respondent, which is an Ex-servicemen Association,
was allotted Ac.0.03 cents of land in Sy.No.298/2 and Ac.0.03 cents
of land in Sy.No.298/3, by way of proceedings dated 26.03.1982
bearing R.Dis.No.16583/80, issued by the District Collector,
Chittoor. The said lands were granted for the purposes of
construction of a Sainik Bhavan, for the welfare of the Ex-service
men of the area. The said proceedings also stated that the land is
being alienated to the respondent "subject to the usual conditions
appended in the annexure". The respondent after obtaining the said
land is said to have constructed five shops and had leased out the
said shops on a twenty year lease.
3. The Mandal Revenue Officer, Madanapalle issued
proceedings bearing ROC.No.A/1115/93, dated 15.09.1993
resuming the said land. Aggrieved by the said resumption, the
respondent had approached the erstwhile High Court of Andhra
Pradesh, by way of W.P.No.24779 of 1995 which was disposed on
24.03.2005, leaving it open to the respondent-association to avail
all the remedies available under law. Subsequently the respondent-
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association filed an appeal before the Sub-Collector, Madanapalle
against the order of the Mandal Revenue Officer. This appeal was
dismissed on 11.05.2006 in proceedings D.Dis.(B1)/2503/2005.
Aggrieved by the said order of dismissal, the respondent-association
had approached the Joint Collector and Additional District
Magistrate, Chittoor, by way of a revision. This revision also got
dismissed by an order dated 05.02.2011 in proceedings bearing
D.Dis.(E2)7608/2006. Aggrieved by the said order of dismissal, the
respondent-association had approached this Court, by way of
W.P.No.18203 of 2014, which was allowed, by a learned Single
Judge of this Court, on 02.09.2022. Aggrieved by the said
Judgment, the respondents in the Writ Petition, has now filed the
present appeal.
4. It is the case of the appellants that the appellants are
entitled to resume the land upon violation of the conditions of the
grant and the resumption of the land on account of the violation of
the condition of construction of a Sainik Bhavan cannot be faulted.
5. It is the case of the respondent-association that the
initial grant was made on payment of market rate of the land and no
conditions were attached to the grant, as the statement in the grant
that the grant would be subject to usual conditions contained in the
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annexure to the proceedings, has no meaning, as no such annexure
was attached to the proceedings of the grant of land. It is further
contended by the respondent-association that even if any such
conditions are to be admitted, the same would fall foul under Section
11 of the Transfer of Property Act which stipulates that any
restriction on the right of enjoyment of an absolute transfer of land
would have to fail.
6. Sri P. Subhash, the learned Government Pleader
appearing for the appellants would contend that Board Standing
Order 24, which regulates the grant of land, with or without
payment of market value, stipulates that the land granted, under
Board Standing Order 24, can be used only for the purposes that are
stipulated in the order of grant and any violation of the said
condition would result in resumption of the land. He would submit
that these are the conditions which are usually attached in the
annexure and the petitioner taking advantage of the fact that such
annexure is not available in the records of the appellants, has now
contended that no such annexure was attached to the proceedings
of the grant of land.
7. Sri Devalaraju Anil Kumar, learned counsel appearing
for the respondent-association, on the other hand, contends that no
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such annexure was attached to the proceedings of grant of land and
in any event there is no provision for assumption of land on
violation of any condition. He would also submit that construction of
the shops is for the benefit of the Ex-servicemen in the area as the
shops have been let out and the rents so collected would be used for
the benefit of Ex-service men in the area. However, no details of any
such application of the rental amounts have been placed before this
Court.
8. In reply to these arguments, Sri P. Subhash, the learned
Government Pleader would also rely upon Section 31 of the
Transfer of Property Act to contend that once there is a condition of
resumption upon violation of the terms of the grant, the said land
can be resumed, as the grant of land stands invalidated.
9. A perusal of the facts and material placed before this
Court would show that there has been a grant of land in favour of
the respondent-association wherein the grant is said to have been
made for the purpose of constructing the Sainik Bhavan subject to
the usual conditions which are attached in the annexure to the said
proceedings. However, no annexure has been placed before this
Court to consider the said conditions. In the circumstances, this
Court would have to hold that no conditions have been stipulated as
such in the proceedings granting the land.
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10. In the absence of any such conditions, the general
guidelines or law relating to such grant of land would have to be
looked into. The grant of government land, to private or public
institutions or persons is regulated by Board Standing Order 24.
Regulation 6 of Board Standing Order 24 reads as follows:-
Condition for the grant of State land \~(i) Lands at
the disposal of Government :-A grant of State land
whether for religious, educational or other public
purpose should always contain the following
conditions
The land shall be used....................................and for no
other purpose.
The Government may resume the land wholly or in
part with any buildings thereon, in the event of the
infringement of any of the conditions of the grant. In
the event of such resumption no compensation shall
be payable for any improvements that may have been
effected, or other works that may have been executed
on the land by the grantee and the grantee shall not
be entitled to the repayment of any amount that may
have been paid to the Government for the grant. If
there are buildings on the land the Government may
direct the grantee to remove them.
The Government may resume the land wholly or in
part, with any buildings thereon, if in the opinion of
the Government the land is required for a public
purpose or for conducting mining operations. In the
event of such resumption or in the event of the
acquisition of the land for any reason, the
compensation payable for the land and trees, shall in
no case exceed the amount paid for them by the
grantee or their value at the time of resumption or
acquisition whichever may be less.
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In the event of resumption under condition (3), if
there are buildings on the land, the Government shall
pay compensation for them in accordance with the
provisions of condition (5).
...........
11. This regulation stipulates that land granted under Board
Standing Order 24 can be used only for the purpose, set out in the
order granting the land, and any violation of such condition would
result in resumption of the land.
12. Section 11, 31 & 32 of the Transfer of Property Act,
1882 which are relevant in the present purpose, are extracted
below:
11. Restriction repugnant to interest created.--Where, on
a transfer of property, an interest therein is created
absolutely in favour of any person, but the terms of the
transfer direct that such interest shall be applied or
enjoyed by him in a particular manner, he shall be
entitled to receive and dispose of such interest as if there
were no such direction.
1[Where any such direction has been made in respect
of one piece of immoveable property for the purpose of
securing the beneficial enjoyment of another piece of
such property, nothing in this section shall be deemed to
affect any right which the transferor may have to enforce
such direction or any remedy which he may have in
respect of a breach thereof.]
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31. Condition that transfer shall cease to have effect in
case specified uncertain event happens or does not
happen.--Subject to the provisions of section 12, on a
transfer of property an interest therein may be created
with the condition superadded that it shall cease to exist
in case a specified uncertain event shall happen, or in
case a specified uncertain event shall not happen.
Illustrations
(a) A transfers a farm to B for his life, with a proviso that,
in case B cuts down a certain wood, the transfer shall
cease to have any effect. B cuts down the wood. He loses
his life-interest in the farm.
(b) A transfers a farm to B, provided that, if B shall not go
to England within three years after the date of the
transfer, his interest in the farm shall cease. B does not
go to England within the term prescribed. His interest in
the farm ceases.
32. Such condition must not be invalid.--In order that a
condition that an interest shall cease to exist may be
valid, it is necessary that the event to which it relates be
one which could legally constitute the condition of the
creation of an interest.
13. These provisions, namely Section 11 on one hand and
Sections 31 and 32 of the Transfer of Property Act, operate in
different fields. Section 11 stipulates that if, while transferring an
interest in property absolutely, a direction is attached that the said
property can be applied or enjoyed by the transferee in a particular
manner, the said direction can be ignored and the transferee would
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be entitled to receive and dispose of such interest in the property as
if there was no such direction. This would mean that no restriction
on the enjoyment of the property can be imposed while transferring
the property or interest in the property absolutely. In such
circumstances, the question of resumption of property or
cancellation of the transfer on account of the refusal of the
transferee to abide by the direction restricting the enjoyment would
not arise.
14. However, Sections 31 and 32 read together are to be
understood to have stipulated that while transferring property, if a
condition is added, that the interest created in the property would
cease in the event of any specified uncertain event happening with
the additional qualification that such event would be treated as a
condition for the creation of the interest itself, the land can be
resumed on such event happening. This would mean, as in the
present case, if Board Standing Order 24 is applicable, that the
interest in the property can be treated as extinguished, in the event
of the respondent-association constructing anything other than a
Sainik Bhavan in the said property.
15. The respondent was aware that the land was being
granted to him, under Board Standing Order No.24. It must be held
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that the Respondent was aware of the condition under the Board
Standing Order and was bound by it. The violation of the said
condition would revert the land to the Government.
16. Accordingly, the Judgment of the learned single Judge is
set aside and the writ appeal is allowed.
As a sequel, pending miscellaneous petitions, if any,
shall stand closed.
DHIRAJ SINGH THAKUR, CJ R. RAGHUNANDAN RAO, J
RJS
HCJ&RRR,J
HON'BLE MR. JUSTICE DHIRAJ SINGH THAKUR, CHIEF JUSTICE
&
HON'BLE MR. JUSTICE R. RAGHUNANDAN RAO
(per Hon'ble Sri Justice R. Raghunandan Rao)
Dt:04.01.2024
RJS
