JUDGEMENT
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(1.) R. B. Mehrotra, J. In these Kashipur district Nainital is under bunch of petitions, the judgment of challenge. Since all the writ petitions the Commissioner, Kumaun Division, have challenged the common order Nainital, dated 14th January, 1992 passed by the Commissioner, Kumaun determining the ceiling area under Division, Nainital in ceiling appeals the U. P. Imposition of Ceiling on filed by M/s. Escorts Farms Land Holdings Act, I960 of M/s. (Ramgarh) Ltd. and its transfers all Escorts Farms (Ramgarh) Ltd. , the writ petitions can be conveniently decided by a common judgment. The counsel for various petitioners have urged some special features in some of the writ petitions, which will be dealt with separately in this judgment.
(2.) FOR convenience, the aforesaid writ petitions can be grouped in three categories. In the 1st category comprises the main writ petition being Civil Misc. Writ Petition No. 12024 of 1992 filed by M/s. Escorts Farms (Ramgarh) Ltd. Kashipur, Nainital, which will be treated as the leading case in the present controversy, as the controversy in all the bunch of the writ petitions revolves round the points raised by M/s. Escorts Farms (Ramgarh) Ltd. , in its writ petition. In the 2nd category of the writ petitions, the transferees of M/s. Escorts Farms (Ramgarh) Ltd. have challenged the aforesaid order on the ground that they were bona fide transferees and the transactions were bone fide, as such their lands have been wrongly included in the ceiling area of M/s. Escorts Farms (Ramgarh) Ltd. , the transferor of the land. In this Group II. of writ petitions, following writ petitions are categorised- 33155/1991, 885, 886, 887, 888, 891, 4123, 4124, 4125, 4126, 4127, 4128, 4129, 4130, 4166, 4167, 4168, 4169, 4170, 4171, 4172, 4173, 4174, 4175, 4176, 4177, 4178, 4179, 4180, 4181, 4182, 4183, 4184, 4185, 4186, 4289, 4290, 4291, 4292, 4293, 4294, 4295, 4296, 4297, 4298, 4299, 4300, 4301, 4302, 4303, 4304, 4305, 4306, 4307, 4309, 4310, 4311, 6277, 6278, 6279, 6280, 6282, 6283, 6284, 6285, 6286, 6287, 6288, 6289, 11734, 11735, 11736, 11737, 11738 and 11739 of 1992.
In the 3rd category, the writ petitioners claimed that they are bona fide purchasers of the agricultural land from M/s. Escorts Farms (Ramgarh) Ltd. in respect of land which was exempted from the ceiling area of M/s. Escorts Farms (Ramgarh) Ltd. in earlier proceedings initiated under the U. P. Imposition of Ceiling on Land Holdings Act, 1960 (hereinafter referred to as the Act) before its amendment by U. P. Act No. 18 of 1973 which was brought into force on 8th of June, 1973 and the aforesaid proceedings became final and could not be re-opened in the second proceedings initiated after amendment of the Act. In this group of writ petitions, the main contention of the petitioner's counsel is that even the prescribed Authority held that it is not permissible to re-open the question regarding exemption of land granted to M/s. Escorts Farms (Ramgarh) Ltd. in the earlier proceedings on the ground that the land was being utilised for the purposes of School of Farm Mechanisation which is a separate entity. The State Government did not file any appeal against this part of the judgment of the prescribed Authority. The Commissioner in the impugned order has illegally included the aforesaid land in calculating the aforesaid area of M/s. Escorts Farms (Ramgarh) Ltd. in this 3rd Category, Group III of writ petitions, the following writ petition are categorised-- Writ Petitions No. 2464, 2465, 2466, 2477, 2478, 2643, 2644 of 1992.
For appreciating the controversy involved in these writ petitions and the arguments urged on behalf of the petitioners counsel the necessary facts, as stated in the leading writ petition, giving rise to these writ petitions are being noticed hereinbelow : Vide Government Order No. C-4599/xii-A-261-1950, dated 29-8-50, the Government of Uttar Pradesh granted, under the Crown Grant Act, now known as Government Grant Act, issued a grant for an area of 2091 acres in the name of M/s. Ramgarh Farms and Industries Ltd. The term of the grant, inter alia, imposed a condition that the land shall be re-claimed before 30th of November, 1951. The reclamation of the land as well as its sowing had to be completed within a stipulated period, the earmarking of the area and its possession was offered forthwith, M/s. Ramgarh Farms and Industries Ltd. did not take possession of the land till 15-3-1951. The area handed over comprised of some land which had already been reclaimed by the Government. Tractors and operational cost of the same amounted to Rs. 50,525. Since M/s. (Ramgarh Farms and Industries Ltd. , tailed to re-claim the land, they approached Escorts (Agricultural and Machines) Ltd. , Delhi for helping them out of the predicament. An agreement as arrived at between the two parties and the same was drawn and signed on 3-7-1951 whereby a new Limited Company, namely, M/s. Esorts Farms (Ramgarh) Ltd. , (the petitioner in the leading case) was constituted and the possession of the entire land was handed over to Sri P. N. Mehta on behalf of M/s. Escorts Farms (Ramgarh) Ltd. to be constituted on 7-7-1951. The new Company completed the re- claimation of the land by 30th of November, 1951. However, M/s. Ramgarh Escorts and Industries Ltd. , failed to honour the agreement, consequent thereto a dispute arose between M/s. Escorts Farms (Ramgarh) Ltd. , and M/s. Ramgarh Farms and Industries Ltd. ,. as a result of which a Memorandum was presented to the Director, Colonization, Uttar Pradesh requesting for the transfer of the lease in favour of the new Company. On re-survey of the land, it was discovered that out of the allotted area of 2091 acres, actual measurement turned out to be only 19-11-56 acres. The rest of the area having become revulets, labras (seepage water), Government canals, roads, farm roads, etc.
(3.) THE Government demanded a sum of Rs. 1,04,550 for development charges from M/s. Ramgarh Farms and Industries Ltd. at the rate of Rs. 50 per acre. Since a dispute was going on between M/s. Escorts Farms (Ramgarh) Ltd. , and M/s. Ramgarh Farms and Industries Ltd. , the lease was not renewed by the Government of either party nor at any stage the Government permitted the transfer of the land by M/s. Ramgarh Farms and Industries Ltd. , in favour of the petitioner in the leading writ petition. Consequently, M/s. Escorts Farms (Ramgarh) Ltd. , filed a civil suit being Civil Suit No. 26 of 1956 in the court of the District Judge, Nainital. THE State of Uttar Pradesh was a party in the aforesaid suit. THE matter stood as it is and the Government did not take any action either for cancellation of the lease or for taking possession of the aforesaid land given under the Crown Grants Act to M/s. Ramgarh Farms and Industries Ltd. In the record operations, the land under crops measuring 1385. 08 acres were entered in Ziman '8' (hereditary tenancy) and rest, where no crop was standing, were entered in Ziman 10-Ka (Bila Tasfia) in the name of M/s. Escorts Farms (Ramgarh) Ltd. , the petitioner in the leading case.
On 28th of December, 1961, the Prescribed Authority issued notice under Section 9 of the Act' to M/s. Escorts Farms (Ramgarh) Ltd. The Act came into force only on 3rd of January, 1961. In pursuance of the aforesaid notice, a ceiling case being Ceiling Case No. 56 of 1961-62 was registered. M/s. Escorts Farms (Ramgarh) Ltd. , filed an objection to the aforesaid notice and also filed a writ petition in this Court being Civil Misc. Writ Petition No. 2668 of 1962. The said writ petition was dismissed by Hon'ble Mr. Justice S. N. Dwivedi (as he then was) on 12-2-1964. A special appeal against the said judgment was also dismissed. The Prescribed Authority declared 1163. 42 acres as surplus land. On appeal, the matter was remanded back to the Prescribed Authority to decide it afresh.;