Ramaswami, J. - (1.) In these writ petitions under Art. 32 of the Constitution a common question of law arises for determination, viz, whether the Mysore (Personal and Miscellaneous) Inams Abolition Act, 1954 (Mysore Act 1 of 1955) is constitutionally valid.
(2.) The villages of Debur and Kappasoge in Mysore District were Inam grants made to Bakshi Bhima Rao, the ancestor of the petitioners. The inam grants were made by the Ruler of Mysore State in recognition of the military services of Bakshi Bhima Rao. The inam included not only the income from the lands but from every kind of revenue including excise and the right to treat all lands newly brought into cultivation as the personal property of the Inamdars. The Mysore (Personal and miscellaneous) Inams Abolition Act, 1954 (Mysore Act 1 of 1955) (hereinafter called the impugned Act) was passed by the Mysore Legislature and received the assent of the President on the 18th March, 1955 and published in the Mysore Gazette on 19th March, 1955. The Act was subsequently amended by Mysore Act 7 of 1956 which received the assent of the President on 28th June, 1956 and which was published in the Mysore Gazette on 5th July, 1956. By virtue of a notification dated 2nd October, 1956 under Section 1 clause (iv) of the impugned Act, the two inam villages vested in the State of Mysore under Section 3 of the impugned Act. Compensation of the various items was the subject matter of dispute between the petitioner and the Special Deputy Commissioner who was appointed to assess compensation under the machinery of the Act. Awards of compensation were made under Sections 17 and 20 of the impugned Act by the Special Deputy Commissioner. The petitioners preferred Miscellaneous Appeals Nos. 89 and 130 in the High Court of Mysore under Section 31 of the impugned Act. These appeals were heard and decided by the Mysore High Court by a consolidated order of the 27th October, 1960. Against that decision two appeals were brought to this Court in Civil Appeals 196 and 197 of 1965 (SC). These appeals were heard on 25th October, 1967. It was then pointed out by the Court that the constitutional validity of the provisions of the Act cannot be challenged in the statutory appeals in view of the decision of this Court in K. S. Venkataraman and Co., (P) Ltd. vs. State of Madras, (1966) 2 SCR 229 . The petitioners thereafter filed these writ petitions challenging the constitutional validity of the Act.
(3.) The main contention raised by the petitioners is that the impugned Act does not provide for adequate compensation for the property acquired, that the compensation provided for was not a "just equivalent", in other words, the market value of the property at the time of acquisition and there was hence a violation of the guarantee under Art. 31 (2) of the Constitution. The impugned Act is entitled as an Act to provide for the "abolition of personal inams and certain miscellaneous inams in the State of Mysore except Bellary District." The preamble states that it is expedient in the public interest to provide for the abolition of personal inams and certain miscellaneous inams in the State of Mysore except Bellary District and for other matters connected therewith. Section 1 (4) enacts that this section and Sections 2, 27, 38 and 40 shall come into force in respect of any inam village, or minor inam in an un-alienated village, on such date as the Government may by notification appoint. Section 3 provides for the consequences of the vesting of an inam in the State and states as follows:- "(1) When the notification under sub-section (4) of Section 1 in respect of any inam has been published in the Mysore Gazette, then notwithstanding anything contained in any contract, grant or other instrument or in any other law for the time being in force, with effect on and from the date of vesting, and save as otherwise expressly provided in this Act, the following consequences shall ensue, namely:- (a) the provisions of the Land Revenue Code relating to alienated holdings shall, except as respects minor inams to which this Act is not applicable, be deemed to have been repealed in their application to the inam; and the provisions of the Land Revenue Code and all other enactments applicable to un-alienated villages shall apply to the said inam; (b) all rights, title and interest, vesting in the inamdar including those in all communal lands, cultivated lands, uncultivated lands, whether assessed or not, waste lands, pasture lands, forests, mines and minerals, quarries, rivers and streams, tanks and irrigation works, fisheries and ferries, shall cease and be vested absolutely in the State of Mysore, free from all encumbrances: ********** ********** " Section 9 enacts: "Lands and buildings to vest in the inamdar:(1) Every inamdar shall, with effect on and from the date of vesting, be entitled to be registered as an occupant of all lands other than- (i) communal lands, waste lands, gomal lands, forest lands, tank beds, mines, quarries, rivers, streams, tanks and irrigation works; (ii) lands in respect of which any person is entitled to be registered under Sections 4,5,6,7,or 8 and (iii) lands upon which have been erected building owned by any person other than the inamdar. (2) Every building situated within the limits of the inam which was owned immediately before the date of vesting by the inamdar shall, with effect on and from such date, vest in the inamdar. Explanation:In this section 'inamdar' means an inamdar other than a holder of a minor inam referred to in Section 7". Section 17 provides as follows: "Amount of compensation payable:(I) Save as otherwise provided in Section 26, the total compensation payable in respect of any inam shall be the aggregate of the sums specified below: (i) a sum equal to twenty times the amount of land revenue payable in respect of land held by kadim tenants and permanent tenants entitled to be registered under Section 4 and Section 5, respectively. Explanation:Where the land revenue is paid in kind, the amount of land revenue for purposes of this clause shall be determined on the basis of the market value prevailing on the 1st day of January, 1954, of the crop or crops paid as land revenue; (ii) a sum equal to seventy-five per centum of the amount payable by the quasi-permanent tenants of the inamdar under sub-section (2) of Section 6 in respect of lands of which they are entitled to be registered as occupants under sub-section (1) of the said Section 6; (iii) a sum calculated at the rates specified below in respect of lands referred to in clause (iii) of sub-section (1) of Section 7 or of Section 9, (a) seventy-five rupees per acre within the municipal limits of the cities of Bangalore, Mysore and Davangere and within an area of one mile from such limits; (b) forty rupees per acre within the municipal limits of the towns of Kolar, Tumkkur, Chitaldrug, Shimoga, Bhadravati, Chickmagalur, Hassan and Mandya and the limits of the Kolar Gold Fields Sanitary Board Area, and within an area of one mile from such limits; and (c) twenty rupees per acre in all other areas; (iv) a sum equal to twenty times the jodi, quit rent or other amount, if any, of like nature, derived by the inamdar concerned from persons holding minor inams under such inamdar; and (v) a sum equal to ten times the average net annual income derived by the inamdar during a period of five years immediately preceding the date of vesting, from lands other than lands referred to in clause (iii) and lands in respect of which any person is entitled to be registered under Sections 4, 5, 6, 7, 8 and 9; Provided that - (a) the income from sandalwood or any other forest produce shall not be included in the annual income from forests unless the right thereto was expressly conferred on the inamdar by a competent authority; (b) the income from royalty on minerals or from mining lease shall not be included in the annual income unless the right to such minerals or mines was expressly conferred on the inamdar by a competent authority and such right was recognised under Sec. 38 of the Land Revenue Code; (c) the income from ferries shall not be included unless the right to such ferries was expressly granted to the inamdar by a competent authority. ********** ********** " ;