Supreme Court of India
M/S. TANDON BROTHERSversusSTATE OF WEST BENGAL AND ORS.
- Citation
- 2001 INSC 190
- Decided
- 3 April 2001
- Disposal
- Appeal(s) allowed
- Bench
- AJAY PRAKASH MISRA
Holding
The second notice is invalid; the State is estopped from altering the earlier notice and must adhere to the original quantum of land, rendering the Division Bench’s order unlawful.
Summary
The appellant, Mis. Tandon Brothers, owned the Rohini Tea Estate and was served a notice under Section 6(3) of the West Bengal Estate Acquisition Act, 1953, declaring 1,451.40 acres surplus. After a long delay, the State issued a second notice superseding the first and sought possession of a larger area, prompting the appellant to challenge the validity of the second notice. The Supreme Court examined whether the State could alter the quantum of land without a justifiable reason and held that the doctrine of estoppel binds the State to its original notice absent new material. It further ruled that the proviso allowing review under Section 6(3) could not be invoked de hors the factual matrix and that the requisition under the Defence of India Act did not justify the supersession. Consequently, the Court set aside the Division Bench’s order and restored the Single Judge’s decision quashing the second notice. The appeal was allowed.
Issues considered
- Whether the second notice under Section 6(3) of the West Bengal Estate Acquisition Act, 1953, validly supersedes the first notice.
- Whether the doctrine of estoppel applies to bind the State to its earlier notice.
- Whether the State may alter the quantum of land to be retained without justifiable reasons.
- Whether the review power under the proviso to Section 6(3) can be exercised after a prolonged lapse.
- Effect of the Defence of India Act, 1962 requisition on the applicability of Section 6(3).
Legislation cited
Subjects
land acquisitionestoppelsupersessionWest Bengal Estate Acquisition ActDefence of India Actcompensationreview powermalice
Judgment
A MIS. TANDON BROTHERS
>-
v. -./
'
STATE OF WEST BENGAL AND ORS.
APRIL 3, 2001
B [A.P. MISRA AND UMESH C. BANERIBE, JJ.]
Land Acquisition : )I.
West Bengal Estate Acquisition Act, 1953: Section 6(3).
c Acquisition/Requisition-State Govenzment issued notice for acquiring a
pal1 of a tea estare-Owner objected to such acquisition contending that only
half ofthe area plVposed to be acquired could be declared surplus-No fu11her
action taken-After a period of nearly 41h months a second notice was issued
in supersessio11 'of the first notice requisitioning a larger area directing the
owner to deliver possession ~f the surplus land-Single Judge quashed the
D
second notice-Division Bench reversed the sanie-Second Notice-Legality
of-Held: There is no justifiable rea.wn for change of quantum of land-State
Government is bound by its own norice·-Doctrine of estoppel is applicable-
Hence, second norice not valid-Defence of India Act, 1962, S. 29.
E DoctrinPS: ~
'
Doctrine of Estoppel-Applicability of
Words and Phrases :
0
Supersession "-Meaning of
F
The appellant was the owner of a tea estate and the respondent
issued a notice under Section 6(3) of the West Bengal Estate Acquisition
Act, 1953 for acquiring a part of the tea estate as being surplus to the
rL'<JUirement of the tea estate. The appellant objected to such acquisition on
G the ground that retention for Governmental purposes could only be
restricted to about half of the area proposed to be acquired. However, the
respondent took no further action for a long time. Subsequently, the appel-
lant was served with several notices under Section 29 of the Defence of
•)---
India Act, 1962 requisitiong a major portion of the tea estate including a
large area under actual cultivation.
H
960
\
j-
TANDON BROTHERS v. STATE 961
; After a gap of nearly 4-112 years the appellant reeeived a second A
• notice intimating that a decision under Seetion 6(3) of the Act in respeet of
'r
the acquisition of the surplus land would be taken on a certain date.
Thereafter, the appellant moved the appropriate authority for payment of
compensation for the lands taken over and also reeeived some part pay-
ment. The appellant was informed that further payment would be elTeeted
B
only after decision under Seetion 6(3) of the Act. The High Court disposed
of the writ petition tiled by the appellant directing the respondent to
determine the compensation payable within a period of six months.
Thereafter, the appellant received a second notice hy which the
appellant was directed to deliver possession of the lands declared surplus c
to the requirement of the tea estate. The appellant tiled a writ petition
before the High Court challenging the order of delivery of possession. A
Single Judge of the High Court allowed the writ petition and quashed the
second notice. However, a Division Bench of the High Court reversed this
Judgment. Hence this appeal.
D
AllO\ving the appeal, the Court
HELD : 1. Existence of justifiable reasons in the matter ol' formation
of opinion is the principle condition and any contra action would have the
effect of the same being ascribed as an arbitrary exercise of power, which
, ). is admittedly an antithesis of law. The powers stand conferred on to the
E
State Government but to act in accordance with law and in order to act in
that direetion, State Government shall have to have relevant materials
pertaining to the requirements of tea gardens. A person sitting in the office
in a metropolitan city cannot, in fact, decide the issue without taking
reeonrse to actuals on the filed or on the garden and that is the precise F
reason as to why the field study was effected on the first occasion hy the
Settlement Officer and the subsequent deliberations of the Tea Garden
Advisory Committee wherein a part of the tea estate has been treated as
surplus to the requirement of the tea estate. The power of review in terms
of the proviso to Section 6(3) of the West Bengal Estate Acquisition Act, G
1953 obviously shall have to he exercised upon materials on record and not
de hors the same. (971-C-F]
2. Govermnent records ought to have its sanctity undoubtedly and to
---< have a particular state of affairs should also be borne out from the reeords
and if the same is not produced before the Court or withheld from the H
962 SUPREME COURT REPORTS [2001] 2 S.C.R.
A Court, there is no reason whatsoever as to why the presumption adverse to
the contention be not taken unless, however, cogent reasons are made •
available to the courts, which however, is not the case in the matter under
consideration since non-availability of Government records cannot in the
normal circumstances he presumed and in the wake of the aforesaid, it is a
matter of basic requirement that the Government should have sufficient
B
material in the formation of an opinion that the earlier opinion ought to
stand modified by reason of obvious change of existing situation.(973-E-GJ
3.1. Section 6(3) notice was served upon due compliance with all the
requirements and orders passed thereon, but after a lapse of about 9 years
c the notice itself stands superseded. There is no reason for this sudden
change. There is no provision under which an earlier notice, assuming of
course, that there was no order as such, though, however, the same is an
admitted state of affairs, be superseded - there was in fact no provision of
review even of the date of the notice. Thus resultantly no provision of law
could be recorded therein. The second notice was chalknged before the
D High Court and the High Court directed the State Government to dispose
of the pending Section 6(3) proceedings "ithin six months from the date of
the order. The Single Judge of the High Court directed the disposal of the
Section 6(3) notice, which admittedly referred to a certain area. But the
order passed was for a larger area. This is not justified. The Government
E cannot act on its own ipsi dixit. The Governmental action cannot he beyond
the approach of the doctrine of estoppcl. Doctrine of estoppel is a doctrine
of prudence - it is a doctrine of ethics, justice and equity. (980-B-FJ
Tata lrrm and Steel Co. l.Jd. v. Union of India, (2001] SCC 2 41, relied
on.
F
3.2. Since there exists no justifiable reasons for change of quantum
of land as mentioned in Section 6(3) notice, the State Government cannot ~-
but be said to be bound by its own notice. The doctrine of estoppel has its
fullest play in the contextual facts. [980-G-H]
G 4.1. The word 'supersession' has a definite connotation in the
English language and has also its due jurisprudential effect. The Governor
of the State issues a notification, obviously upon consideration of all the
relevant materials. That notification stands superseded by another Gover-
nor of the State without, however, ascribing any reason whatsoever.
H Formation of opinion ought to he with reasons and not de hors the same.
TANDON BROTHERS v. STATE [BANERJEE, J.] 963
There is no reason for this change, The state of affairs existing in the years A
1962-64 did not find any change in itself but the Government notification
stands superseded. There seems to be no reason for keeping the proceed-
ing pending for a long period of time. Government action must be based
on utmost faith, belief and ought to be supported with reasons on the basis
of the state of law - if the action is otherwise or runs counter to the
B
same the action cannot but be ascribed to be mala fide and it would he a
plain exercise of judidal power not to countenance such action and set
1l the same aside for the purpose of equity, good conscience and justice.
Justice of the situation demands action clothed "ith bona fide reason
and necessities of the situation in accordance with the law. But if the same
runs counter, law courts would not be in a position to countenance the C
same. (982-H; 983-A-D]
4.2. Action in the present context cannot be said to be in the category
, ) as noticed in the preceding paragraph but is otherwise as such it cannot
have the concurrence of acceptance from the Court. It is prima facie
tainted "ith motive and thus not sustainable - this aspect of the matter has
D
been completely overlooked by Division Bench of the High Court and as'
such the same cannot be sustained. (983-E-F]
State of West Bengal v. Suburban Agriculture Dimy & Fisheries Pvt.
Ltd., [1993] Supp. 4 SCC 674, referred to.
E
CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 2710-2712
of 1996.
From tl1e Judgment and Order dated 8.6.94 of the Calcutta High Court
in F.M.A.T. No. 3184/88, 2020/89 and EM.A. No 583 of 1991. F
Mukul Rohtagi, Additional Solicitor General, Ranjeet Kumar, Tapas
Ray, Ms. Bina Gupta, Ms. Vanita Bhargava, Ms. Rakhi Ray, Ms. Rita
Choudhary, Ms. Radha Rangaswamy, Ajay Shaima, D.V. Bairam Das and
Mrs. Anil Katiyar for the appearing paities.
G
The Judgment of the Court was delivered bi
BANERJEE, J. These appeals for consideration before this Court are
directed against a common judgment of the Division Bench of tl1e Calcutta
High Court containing an order of reversal in favour of the State of West
Bengal, has a chequered career, but before taking a run up as to its career H
964 SUPREME COURT REPORTS (2001] 2 S.C.R.
A being chequered, a brief factual reference needs to be adverted at this junchlre
for appreciation of the contentions raised in the matter.
The appellant is a registered partnership fam said to be the Proprietor
of _Tea Estate known as Rohini Tea Estate which stands purchased by the
appellant in 1960 in a public auction held by the Official Liquidator attached
B to the High Court at Calcutta. The Tea Estate admittedly comprised of a total
area of 5042.86 acres of land. Though the appellant is said to have spent a
substantial amount of money but we are not inclined to go on to the details Ji.
thereof, neither the verasity of the same need to be gone into by reason of
the peculiar factual situation and the issues involved in the appeal.
c On the factual score it appears that on !st November, 1962, a notice
under West Bengal Estate Acquisition Act, 1953 was issued intimating
thereunder that lands measuring more or less 4959.27 acres comprising the
Tea Estate have vested in the State Government free from encumbrances
under Section 5 of tl1e West Bengal Estate Acquisition Act, 1953. While some
D submissions though advanced before the Comt in regard to the effect of the
statute but we need not dilate on this score since on a proper co11~pccrus of
the issue, this Cotu1 earlier categorically came to a conclusion that by am!
under West Bengal Estate \cquisitio11 Act, 1953 pre-existing right, title and
interest in the land stood extinguished and ceased to have ciJect on and fro.n
the notified date i.e., June I, 1956 and stood vested in the State free lrom
E
all encumbrances (vidc State of West Bengal v. Suburban AgriculturP Dimy
& Fisheries Pvt. l.Jd., [1993] Suppl. 4 SCC 674, and on the wake of the
aforesaid, further deliberations on the issue are neither required nor we are
entering the arena therefor and if we may so, fai1ness has prompted the
leatned Advocates to also reach unanimity in regard thereto.
F
The notice (dated !st November, 1962) however, intended to inform
that 1451.40 acres of land as described in the schedule appended therein, have
been declared to be surplus to the requirement of the said tea garden and,
therefore, 3544.17 acres were retainable by the tea garden as against 4994.57
(assuming the quantum of land to be correct as recorded in the notice). The
G notice further recorded that the State Government proposed to make an order
to that effect and directed the Deputy Commissioner of Darjeeling to take
charge of 1451.40 acres in accordance with the provisions of West Bengal
Estate Acquisition Act, 1953. Objection was asked for and by the return Jetter
dated 22nd November, 1962, the appellant herein objected to the proposed
H retention of an area of 1451.40 acres witl1 the request that retention for the
TANDON BROTHERS v. STATE [BANERJEE, J.] 965
gove111lllental puqJoses can only be restricted to 777.12 acres from the A
conckmed Tea Estate. Incidentally, 1451.40 acres have been arrived at on the
basis of Field Inqui1y Report rmder Section 6 (3) of the West Bengal Estate
Acquisition Act, 1953 and.,upon consideration thereof by the Tea Garden
Advis01y Committee at a meeting held on 9.7 .1962. It is, however, convenient ,
to note the relevant extracts from the report of the Advisory Committee for
B
its proper appreciation:
"TI1e Chairman of the Tea Board said that principle of two acres of
other land for every one acre rmder Tea Bushes should be applied to
this garden as had been broadly done in several other cases. It was
pointed out that if the entire area of 1451.40 acres was resumed from c
the Tea Garden, as recommended by tl1e Settlement Olficer, Cooch
Behar, the garden would be leflt witl1 2,378.89 acres of land in
addition to 3,175.28 acres of land under Tea Bushes. TI1erefore, it
was agreed that prima facie, the area recommended for resumption
by the Settlement Otlicer, Cooch Behar, is surplus to the requirement
of the tea garden. It was pointed out that certain areas recommended D
for resumption by the Settlement Ollicer, Cooch Behar, were suitable
extension of Tea Bushes and the garden should be allowed to
retain such lands. They wanted an adjoununcnt of two n1onths
to make a thorough survey of their garden and point out to the
Tea Garden advisory Committee the blocks or areas which E
the}' should surrender to the government without causing loss to
the Estate. It was pointed out by Slrri Mookhe1jee, l.A.S., that the
~
Tea Estate would get another opportrmity of representing their case
• before the Govcn1ment and as such the recommendations of the
Settlement Ollicer, Cooch Behar, should be accepted by tl1e Commit-
F
tee and the Tea Estate given an opportrmity to represent their case at
the appropriate stage."
Significantly, there was a total lull for a period of nearly 4Vz years and
inaction thus writ large, so far as the State Govel11lllent is concerned and it
is only in Jrme, 1967, another notice was served dated June 21, 1967 G
intimating that a decision under Section 6(3) of the West Bengal Estate
Acquisition Act in respect of Rohini Tea Gardens will now be taken and tl1e
case of tl1e garden will be taken up on ilth July, 1967. The quantum of land
_ X: in acres have been to the identical extent nan1ely 1451.40 acres.
Incidentally, the records depict that between October 20, 1964 and H
966 SUPREME COURT REPORTS [2001] 2 S.C.R.
A November 11, 1964, the appellant was served with several notices under
Section 29 of the Defence of India Act, 1962 expressing the intention of
taking over by way of requisition a major portion of the land comprising tea
bushes of the said tea garden for the pmpose of Defence of India Act and
. in terms therewith, an area of 2427.57 acres were requisitioned including
l IOO acres under actual cultivation and tea bushes which were existing at the
B
relevant time as the property of the erstwhile company by reason of title being
acquired in terms of the auction sale of the Official Liquidator as noticed
earlier in the judgment.
The factual situation further emerges that out of 5042.88 acres, about
C 2427.57 ac1cs stand requisitioned under the Defence of India Act, 1962 which
stands subsequently acquired pennanently and the appellant being convinced
that there was little chance of getting back those requisitioned land, moved
the appropriate authority for payment of compensation for the lands taken
over and the appellant also received some part payment towards said co1n- -~
pensation but at a stage subsequent, the Land Acquisition Collector, Darjeeling,
D intimated the appellant that further payment as regards compensation would
not be effected, until after the decision m1der the proceedings uuder Section
6 (3) of the West Bengal Estate Acquisition Act, 1953. The petitioner in that
perspective thereafter moved an application under Article 226 of the Consti-
tution of India being C.R.No. 4251 (W) of 1969 in the Calcutta High Court,
E which was disposed of in April 11, 1975 with a direction that tl1e respondents
therein ought to determine the compensation payable in respect of the lands
in question within a period of six 1nonths from the date of disposal of the
Civil Rule No. 4171Wof1974 issued against the proceedings under Section
6 (3) of the said Act.
F The conspectus of facts thus depict that at the time of issuance of the
second notice, the Collector was fully aware of the order of requisition/
acquisition under tl1e Defence of India Act and the Rules framed thereunder
since the Collector himself disbursed the amount of periodic compensation
and eventually passed an order recording the inability to pay further by reason
G 0f the pending Section 6 (3) proceeding.
One redeeming feature ought to be noticed that whereas the first notice
dated 1.11.1962 did not specifically mention any provision of the statute
recorded therein but orJy that 1451.40 acres of land ought to be treated as
surplus as regards the requirement of the said tea garden, the June, 1967
H notice has a categorical reference to Section 6 (3) of the West Bengal State
TANDON BROTHERS v. STATE [BANERJEE, !.] 967
Acquisition act - is it an inadvertent omission? Mr. Rauiit Kumar appearing A
~- in support of the appeal rather with an emphasis contended that the omission
is otherwise deliberate and an instance of malice in law with which we will
deal with slightly later in tl1is judgment.
A further factual score depicts that in August, 1969, the petitioner was
asked to appear before the Darjeeling Tea Estate (Resumption of Land)
B
Advisory Committee in connection with a proceeding under Section 6(3) of
the Act and the petitioner shortly thereafter, however, moved a further Writ
Petition under Article 226 of the Constitution being Civil Rule 6128 W of
1968 which, however, was disposed of subsequently with a direction that the
proceeding under Section 6(3) be disposed of within a period of two months C
from the date of the order. Subsequently, another notice was served whereby
the petitioner was directed to appear before the Self same Samiti and inspire
of petitioner's representation, an order was communicated to the petitioner
. ;. dated April 6, 1973 wherein the petitioner was directed to deliver possessiot1
of the lands, declared as surplus to the requirement of tl1e garden to the Sub-
D
Divisional Ollicer, Kurseong by 19th April, 1973. This order of delive1y of
possession was also challenged before the High Court at Calcutta under
Article 226 and Chittatosh Mooke1jee, J. (as His Lordship t11en was) finally
disposing of the writ, issued a w1it of Mandamus not to give effect of tl1e
order as noticed above without giving an opportunity of hearing and to pass
a fresh order under Section 6 (3) of the Act and it is in terms tl1erewith, the E
petitioner was asked to appear for personal hearing on 23rd September, 1977
before the authority concerned and alongwith tl1e notice, a copy of the
• recommendations made by the Da1jeeling Disuict Tea Estate (Resumption of
Land) Advisory Committee dated 29th March, 1973 was enclosed for infor-
mation of tl1e appellant. Ob.iections were filed categorically disputing that F
availability of any land as surplus within the meaning of Section 6 (3) of tl1e
Act. Subsequent intimations were also sent for asking for production of
balance sheet and quantum of production of tea in 5 years from 1960 to 1964
as also tl1e statement of Land Revenue paid by the company since the date
of purchase of the garden. The records further depict that the hearing of the
so-called Section 6 (3) proceedings under the Act was concluded on 28th G
- November, 1977 but till April, 1978, petitioner did not receive any copy of
the order which stands challenged before the High Court under Article 226
and the learned Single Judge dealing wiU1 the matter came to a conclusion
that subsequent proceeding including the land already requisitioned under the
Defence of India Act camlot but be said to be in the nature of a review but H
968 SUPREME COURT REPORTS [2001] 2 S.C.R.
A there being no material for formation of an opinion that such a review is
needed for the purpose of exercise of power under Section 6 (3) of the Act
and resultantly allowed the Writ Petition by setting aside the order dated
December 15, 1977.
It is this order, the State Govenunent however, being aggrieved thereby
B moved the Appellate Forum and the Appellate Court reversed the judgment
of the learned Single Judge and hence the Appeal before this Comt.
This rather longish narration could not be avoided by reason of the
specific contentions raised as regards malice and thus to appreciate the same,
the chequered history has to be set down in extenso in this judgment. The
c Appellate Court in paragraph 27 of the judgment recorded the following:
"27. In course of heating before the Cmut and before the Advisory
Committee the following facts had emerged from the submissions ~ •
made and materials placed, .as appealing from the records:-
D (i) Out of II 00 acres ofland under tea cultivation, 1029 acres were
covered by order of Requisition by which 2542.29 acres of land
of the tea garden was requisitioned. And, when the petitioner
was asked lo show cause against acquisition of the requisitioned
land, it did not lay claim to get back the 1029 acres under tea ~
E cultivation; and had instead, had moved the concerned Author- -"
ity for payment of compensation. It had agreed to the acquisi-
tion, which would also be evident from its petition against the
•
Union of India, and its letter dated 25.2.1969 to the Land
Acquisition Collector, Darjeeling, on record.
F (ii) From its objection dated 25.10.77 in the Section 6(3) proceed-
ings it had confined its claim to the land mentioned in items 3
and 4 of the recommendation of the Advisory Committee; and
had omitted lo make any claim in respect of the land in item No.
2 of the said recommendation, under Military occupation,
G making clear that it did not required the land under Military
occupation for the tea garden.
(iii) The Petitioner Mis. Tandon Brothers has extremely limited
expelience in nmning a tea garden. Admittedly, it did not own
any other tea garden, and did neither run the tea garden in
)<---
H question at all after 1964.
TANDON BROTHERS v. STATE [BANERJEE, J.] 969
(iv) Inspite of claim to have increased tea production, production in A
Rohini Tea Estate from 1960 to 1965 was au average of 119.58
-
Kgs. Per acre much less than the production of neighbouring tea
estates, Skunbari Tea Estate and New Chunta Tea Estate with
an average of 685.49 Kgs. Per acre which was about 6 times
Rohini' s production.
B
(v) The Memorandum dated 3.7.69 of Superintendent, Central
Excise, Siliguri, and the letter dated 29.10.65 from Chairman,
Terai Branch, Indian Tea Association, and the list enclosed
therewith would indicate that the Rohini Tea Estate was a
defunct Garden. C
(vi) It appears from the report of the Advis01y Committee that the
petitioner had not done anything since its purchase of the
J Garden which can be said to be an improvement or development
of the Tea Garden, except leasing out the plucking right of the
tea bushes in 147 acres to neighbouring Tea Gardens. It was D
further reported by the Settlement Otlicer, Cooch Behar, that
there was no manager or any managerial staff of the Garden
resident in or near the Garden.
(vii) The petitioner did not dispute either before the Advisory E
Committee or before this Court in C.R.No.4171 (W) of 1974
that it had not raised any objection to the vesting of 1451.04
• acres of land, mentioned in para 3 of the recommendation of the
Advisory Committee dated 29th March, 1973."
The narration above from the judgment undoubtedly makes an inter- F
esting reading but before emba~·king on a consideration of factual details, as
contained in the narration above, let us, however, analyse Section 6(3) of the
Act for its true scope and to identify the issue involved in the appeal. Section
6 (3) is set out herein below:
"(3) In the case of land comprised in a tea-garden, mill, factory or
G
workshop the intermediary, or where the land is held under a lease,
the lessee, shall be entitled to retain only so much of such land as,
in the opinion of the State Governments, is required for the tea-
garden, mill, factoty or workshop, as the case may be, and a person
holding under a lease shall, for the purpose of assessment of H
I
--<
970 SUPREME COURT REPORTS [2001] 2 S.C.R.
A compensation, be deemed to be an intermediary.
Provided that the State Government may, if it thinks fit so to do atier
reviewing the circumstances of a case and after giving the inte1me-
•
diary or the lessee, as the case may be, an opportunity of being heard,
revise any order made by it under tl1is snb-section specifying the land
B which the intennedia1y or the lessee shall be entitled to retain as being
required by him for the tea-garden, mill, factory or workshop, as the
case may be.
Explanation. - The expression ']and held under a lease' includes any
c land held directly under the State under a lease.
l
Exception. - In the case of land allowed to be retained by an
intermediary or lessee in respect of a tea-garden, such land may
include any land cornp1ised in a forest if, in the opinion of the State
Government, the land comprised in a forest is required for tl1e tea-
D garden."
Sub-section 3 therefore, in no uncertain terms allows and permits
retention of the land as would be required for the tea-garden. This require-
ment of the tea-garden, however, is to be assessed by the State Government.
The statute obviously did place utmost faith and belief on the Governmental
E agencies to act fairly and reasonably since the most accepted metl10dology
c,f a governmental working is fairness. It is on this count that Mr. Ranjit
Kumar was rather vocal in his criticism of tl1e governmental action and
we do feel it expedient to record that there is some justification therefor as
would presently be noted. The satisfaction required is that of the State
F Government and not of the owner ar person in management of the garden
but the Appellate Court witl1 ve1y great respect totally misplaced and misread
the effect of tile language of the .stqtute by going into the issue of bona.fide
or malafide or honest or genuine or preference or convenience of the
Appellant herein. The Appellate Comt on this score observed tliat "something
more than desire other than mere wish or convenience or fancy is necessary
G
for consideration of the question of requirement for the aforesaid purpose".
- Misreading thus apparent.
Sub-section 3 on its language, as noticed above permits retention of
land as is required for the tea-garden and it is the opinion of the State
H government that will decide tl1e issue of requirement. The proviso to the
TANDON BROTHERS v. STATE [BANERJEE, J.] 971
Section has further ~onferred a power to revise any order made by the State A
Government specifying the land which is to be retained as being required for
the tea-gardens. The power to revise the order thus obviously is conferment
of a power in addition to what stands conferred under the main provision viz.
sub-section 3. This exercise of review obviously upon formation of opinion
of the State Government since the same is a power of determination in
B
addition to the power as conferred by the principal provision. There are
decisions galore of this Court as regards the issue of fonnation of opinion
but we need not detain ourselves in this judgment to consider the issue since
each case may be decided on the materials available for such f01mation
of opinion - formation of opinion obviously is dependant upon available
materials and cannot be a mere ipsedixit of the administrative authority: C
Existence of justifiable reasons in tl1e matter of fmmation of opinion is
the p1incipal condition and any contra action would have the effect of
the same being ascribed as arbitrary exercise of power which is
admittedly an antithesis of law. The powers stand conferred on to the
State Govennnent, but tl1ere is no option left for the State Government D
but to act in accordance with law and in order to act in that direction,
State Government shall have to have relevant materials pertaining to the
requirements of tea gardens. A person sitting in the office in the metropolitan
city of Calcutta caru1ot, in fact, decide the issue without taking recourse to
actuals on the field or on the garden and that is the precise reason as to why
the field study was effected on the first occasion by the Settlement Ollicer E
and the s•ibsequent deliberations of the Tea Garden Advisory Committee
wherein 1451.40 acres have been treated as smplus to the requirement of tl1e
tea estate. The power of review in te1ms of the proviso to sub-section 3
obviously shall have to be exercised upon materials on record and not de hors
the same. And let us, therefore, analyse the materials on record pertaining to F
the issuance of the order dated 15.12.1977, relevant extracts of which is
> ~ reproduced as below:
"And whereas the State Government heard the said Tea Garden on
14th November, 1977, 21st November, 1977 and 28th November,
1977 giving liberty at anJple scope of it to make its submission and G
produce necessary material in support of its case.
And whereas it was made clear to said tea garden during the course
of hearing that the area of approximately 2542.29 acres of land in
occupation of Military Authorities was required to be held pe1ma-
nently by the Military Authorities. H
972 SUPREME COURT REPORTS [2001] 2 S.C.R.
A And whereas representation made by the tea garden during the
cf
~
hearing was duly considered by the State Government having regard
to the circumstances and findings of Darjeeling District Tea Estate
(Resumption of Lands) Advisory Committee relating to tl1e said tea
garden for areas after, such consideration the State Government is of
the opinion that not more than 1005 .40 acres of land are required by
B
the said Tea Garden for its purposes.
")<
Now, therefore, in exercise of powers conferred by sub-section 3 of
Section 6 of the said Act, the Governor is pleased to declare that
3990.17 acres of land as mentioned and described in the schedule
c below are surplus to the requirement of said Rohini Tea Garden and
that the said Tea Garden did not entitle to remain in possession of said
3990.17 acres of lands. The Governor is also pleased to declare that
1005.40 acres of land being required for the purpose of said tea
garden may be retained by it in accordance with the previous law." -\
D It is on this score that Mr. Roy, appearing for the State Government
very strongly contended that the order itself records that the same was issued
upon consideration of the representation made by the tea garden during the
hearing of the matter together with the findings of Darjeeling District Tea
Estate (Resumption of Lands) Adviso1y Committee dated 29tl1 March, 1973.
The submission seem to be rather attractive at the first blush but on a closer A
E
scrutiny of the document the same does not stand a further consideration. The
recital portion of the document would make the situation clear enough to
indicate the same and we deem it fit thus to have it on record verbatim and >·
the same reads as below:
F "Annexure "A" contd ....
COPY
"" ~
ROHINI TEA ESTATE (DISTRICT DARJEELING)
Recommendation of tbe Darjeeling District Tea Estate
G (Resumption of Land) Adviso1y Committee
Place: Office of the Deputy Commissioner, Darjeeling
Date: 29th March, 1973.
.,..--~
Gentlemen present: All the members of the Advisory Committee
H were present, Shri A. Mannan, A.F.O. Kurselong, attended on behalf
TANDON BROTHERS " STATE [BANERJEE, J.] 973
of D.F.O,, Kurseong, on special request. None of the Tea Board A
attended. The proprietors of the Tea Garden were duly served with
notice. But they prayed on two occasions for shifting of the hearing
to mid-April. It was explained to them that no change of date could
be allowed, as th<::proceedings have to be disposed of within 22.4.73
by Government in compliance with the orders of the High Court.
B
Today, <luting the time of hearing, a telegram reached us, stating that
the proprietors would reach Darjeeling by 4 P.M. Accordingly, the
committee waited till 5.30 P.M. when Shri G.M. Tandon, representing
the proprietors, Shri J.C. Guba, Advocate and Shri J. Pugolia,
Advocate appeared. They were given patient hearing till 6.10 PM.
The first point taken by Shri J.C. Gulia, counsel, was that the notice C
issued was bad in law. Another point taken by the counsel was that
all the lands requisitioned for the Defence Authorities stood de-
requisitioned as on today. Thereafter considering all their points the
following decisions were taken:
D
The order admittedly records as per latest survey report but the survey
report itself has not seen the light of the day and, in fact, whether there was
such a mention as regards area under milita1y occupation or not, nobody
could vouch-safe for the same including Mr. Roy since the same is not E
available on record. Government records ought to have its sanctity undoubt-
edly and to have a patticular state of affairs should also be borne out from
the records and if the same is not produced before the Court or withheld from
the Court, Uiere is no reason whatsoever as to why Uie presumption adverse
to the contention be not taken unless however cogent reasons are made
F
available to Uie courts, which however is not the case in the matter under
consideration. Since non-availability of govennnental records cannot in the
normal circumstances be presumed and on the wake of the aforesaid, it is a
matter of basic requirement that the government should have sufficient
material in the formation of an opinion that the earlier opinion ought to
stand modified by reason of obviously of the change of existing situation. G
Incidentally, be it noted that the earlier order dated 6th April, 1973
which contains the mate1ials as enclosure thereto and which form the
basis of the earlier order but the same stands quashed by the High Court
and no further proceedings were initiated as a challenge to the order
or to have it set aside and it is on this score that Mr. Ranjit Kumar contended H
974 SUPREME COURT REPORTS (2001] 2 S.C.R.
A that the same being an order on the basis of which a subsequent order was
passed by a higher authority and in the event the latter order stands negatived,
the former order also perishes with the latter. The recital portion of the order
dated 6th Aptil, 1973 contain 8 paragraphs which mainly consists of reitera-
tion of the earlier order and the proceedings initiated under sub-section 3 of
Section 6. The 8th paragraph of the recital is of some consequence and as
B
such, the same is set out hereinbelow:
"And whereas the objections raised by the said tea garden against the
notice issued upon, was duly considered and the State Government
having regard to the circumstances and findings of the Daijeeling
C District Tea Estate (Resumption of Lands) Advisory Committee given
in Annexure "A" appended hereto relating to the said tea garden is
of opinion that 1005 .40 acres of land are retainable by the said tea
garden for its purpose and that the remaining 3990.17 acres of lands
are not required for the said tea garden."
D "The ordering portion ought also to be noticed at this juncture and the
same reads as below:
"Now, therefore, in exercise of the powers conferred by sub-section
(3) of Section 6 of the said Act, the Governor is pleased to declare
that 3990.17 acres of lands as mentioned and described in the
E schedule below are surplus to the requirement of the said Rohini Tea
Garden and the said tea garden is not entitled to remain in possession
of tl1e said 3990.17 acres of land. The Governor is also pleased to
declare that 1005.40 acres of land being required for the putpose of
tl1e aforesaid tea garden may be retained by it in accordance with the
provisions of law."
F
Refe1ring to Annexure 'A' as noticed in 8th recital in the order dated
6th Aptil, 1973, one cannot but come to a definite conclusion that order dated :-ii. ...
29th Mai·ch, 1973 form part of the order dated 6th April, 1973 and the entire
reliance is on the order dated 29th March, 1973. No other docut.llentary
G evidence have been taken note of, neither placed any reliance nor referred
to in the order dated 6th Aptil, 1973 and it is on this count that Mr. Ranjit
K1ut1ar' s submission that Annexure 'A' should also be read as part of the
order cannot but be given credence.
In any event, there is no fresh matetial before the concerned authority
H as to the situation existing in the year 1977 end excepting an order passed
r
TANDON BROTHERS " STATE [BANERJEE, J.] 975
)- by the administrative authority dated 29th March, 1973. Assuming this to be A
a material, no credence can also be given thereto on an assumption that such
a review in the contextual facts is not maintainable, but in any event has been
effected on a material not in conformity with the power to review. Statute
has conferred such a power to review only on the basis of current situation
and not de hors the same. A lapse of period of 4Yi years cannot be te1med
B
to cunent for a decision in December, 1977. In any event, review is
"( pennissible nnder the statute where the interest of State require such a review.
ll1e West Bengal Estate Acquisition Act, 1953 came on to the Statute Book
for acquisition of estates and of the rights of intennedia1ies therein and
Section 6(3) is an enabling provision for retention of certain portion of the
land which is required for. revenue earning as well for the State exchequer. C
The inclusion of tea-garden and the requirement of the tea-garden amply
justifies such an observation so as to enable the occupier to enjoy the usuliuct
J of the tea-garden. The essence of the vesting means - to make available the
land - effect of the vesting is that every raiyat or known agricultural
tenant after the vesting holds land directly nnder the State as tenant - it D
is a beneficial legislation and a definite land ref01m methodology. ll1e
rights of intermediaries of the State stands vested in the State free from
all encumbrances and an intermediary in terms of Section 2(i) means a
proprietor, tenure.:.holder, under-tenure-holder or any other intermediary
.,,,.. )... above a raiyat or a non-agr_icu1tural tenant and includes a service
tenure-holder and, in relation to mines and minerals, includes a lessee E
and a sub-lessee; What is the nonnal inquiry in the factual sphere would
be as to the effect of the order impugned in the writ petition which
stand negatived by the Appellate Bench of tl1e High Court. Admittedly,
the plllpose of tl1e Act as noticed above is to confer benefit on to tl1e known
agricultural tenant by withdrawing from the intermediary which the latter wa3 F
in possession and the retention under sub-section 3 of Section 6 is on the basis
of f01mation of the opinion of tl1e State Government. Admittedly, the land
is now under occupation of the military authorities, a totally different
perspective from tl1e order under Section 6(3) and it is on this score that Mr.
Ranjit Kumar contended that now the time has come for assessment of
compensation by the Central Goverrunent and as such the State Goverrunent
G
in order to deprive the appellant from the compensation amonnt on the
portion of the land acquired under the Defence of India Act read with the
Act of 1952 and as such initiated this move, which cannot but be ascribed
to be totally ma/a.fide and motivated and it is on this score also malice in law
has been stated to be apparent on the face of the record. H
976 SUPREME COURT REPORTS [2001] 2 S.C.R.
A We would be dealing with the aspect of malice little later and before -(
so doing, it would be convenient to note the factual analysis as noticed herein
before at paragraph 27 of the judgment under appeal. Since paragraph 27 of
the impngued judgment stands noticed herein before in this judgmen~ we
have deliberately avoided setting out the same once again but reference of
the paragraph marks are maintained so as to identify the factual discrepancies·
B
which reads as below:
~
"Re (i) ............... Out of llOO acres of land On the factual score this is not
correct by reason of the o~jection before the Board of
Revenue dated 1.11.1977.
c
Re(ii) ............... Recommendation of the Advisory Committee spoken of
an omission to make any claim in respect of the land in
Item No. 2 of the recommendation under military occupa-
tion bas been taken exception to by the High Conrt. The
same however, does not stand to the reality of the situation
D as has been set forth more fully bereinbefore.
Re(iii) ............... It did not matter for formation of opinion under Section
6(3).
)
E Re(iv) ............... No significant material on record
Re(v) ............... It does not alter the situation neither the requirement of the
statute.
Re(vi) ............... No material available on record.
F
Re(vii) ............... There may not be any objection for 1451.04 acres of land ~ '
but that does not authorise the government to pass the
order without any material on record."
G The High Conrt was completely thus in error in appreciating even the
factual aspect of the matter.
The other issue pertain to the applicability of the West Bengal Estate )r-
Acquisition Act, 1953 in regard to a particular portion of the land which
stands under military occupation requisitioned and subsequently acquired
H under the Defence of India Act read with Acquisition Act of 1953.
TANDON BROTHERS v. STATE [BANERJEE, J.] 977
It is in this context that certain factual recording of the Division Bench A
\, can be noticed - The Bench observed:
"4. Before registration of the Conveyance the petitioner had
approached the Board of Revenue to obtain pennission for
transfer, in-as-mnch as the Deputy Commissioner, Darjeeling,
had maintained that he wonld not recognise any transfer without B
the permission of the Board of Revenue. The Board of Revenue
by its Memo No. 4472/EA dated 15th March, 1962 had granted
pe1mission subject to decision under Section 6(3) of the E.A.
Act. TI1e Conveyance dated 17th May, 1962 was registered on
18th June, 1962 transfe1ring the said Tea Estate in favom of the C
petitioner-Mis. Tandon Brothers. It claims itself to be the owner
of the entire Tea Estate till any part thereof is lawfully acquired
by the State or the Union of hldia or there is lawful resmnption
; under Section 6(3) of the E.A. Act.
5. By a letter dated 22nd November, 1962 the petitioner had D
informed the Deputy Secretary to the Government of West
Bengal that it had no objection regarding resumption to the
extent of 777.12 acres, out of 1451.40 acres, mentioned in the
Notice. But nothing happened thereafter till June, 1967.
6. After the Chinese aggression, the Amiy Authorities were look- E
ing for a suitable site to locate accommodation for Amiy Supply
Crops Battalion around the area at Rohini Tea Estate, Karseong,
and the State of West Bengal had forwarded a proposal to the
effect that the Amiy Authorities may take Rohini Tea Estate for
the aforementioned purpose. TI1e Almy Authorities had initially F
refused to accept the proposal as the Government of India was
opposed to taking over any land covered by the Tea Estate for
defence purposes. The State of West Bengal having given an
impression that the entire Rohini Tea Estate was defunct, had
persuaded the Amiy Authorities to have the area of Rohini Tea
G
Estate. Upon such suggestion of the State of West Bengal, the
Amiy Authorities had accepted the proposal; and 2532.06 acres
of land was thereupon requisitioned under the provisions of
Defence of India Act, 1962, and possession thereof was taken
over on diverse dates between November, 1964 and May, 1965.
The said land is still underrequisition. Out of 1,100 acres which H
978 SUPREME COURT REPORTS [2001] 2 S.C.R.
A was under tea cultivation, 1029 acres under actual tea cultivation
was requisitioned and taken possession of by the Military .f
Authorities. At the time of requisition there were more than 16
lacs tea bushes according to the petitioner. The Military
Authorities, however, noticed more than 7 lacs tea bushes and
had assured to verify later. But the verification was not done.
B
It is not disputed that out of 2,426.57 acres requisitioned by the
Defence Authorities, 1029 acres were under actual tea cultiva-
tion at the time of requisition. 111e petitioner had received )'-
recurring compensation from time to time amounting to Rs. 13.57
lakhs in all for the said requisition."
c
It is in this context that Mr. Ray by way of submissions in his inimitable
style posed a question viz., the only question is, as to how much the appellant
has been allowed to retain by the State Government and is it anything more
than the area of 1451.40 acres - while however answering the question posed.
Mr. Ray referred to the following events datewise which runs as below:
D
(i) 1.11.1962 notice for vesting of only 1451.40 acres ofland was
given and consequently the govenunent intended to allow the appel-
lant to retain 3544 acres of land;
E (ii) 22.11.62 the appellant in his reply stated that the appellant is
working on 1104 acres ofland and excess is ouly 777.11 acres ofland
which can be resu1ned;
(iii) 9.7.62 it would appear from the proceedings of the Tea Garden
Advisory Committee meeting held on 9.7.62 that the said committee
F recommended for resumption of I 451.40 acres ofland. Till then there
was no question of acquisition of any part of the said tea estate by
the anny authorities;
(iv) It appears that during the period between 9.7.62 and 21.6.67
there was no move in the otlice of the Stale Government or by the
G
appellant with regard to the finalisation of the proceedings under
Section 6(3) of the said Act;
(v) 21.6.67 the State Government issued a second notice for resump-
tion of 1451.40 acres ofland. This notice seems to be one issued after
H the requisition of the said 2532 acres of land;
TANDON BROTHERS v. STATE [BANERJEE, J.] 979
(vi) 21.1.69 to 26.2.69 several notices were issued by the military A
autl1orities proposing to acquire the said land. It appears that the
appellant agreed to the said acquisition and wanted the compensation
for the same to be paid to tl1e appellant;
(vii) 26.8.69 the third notice was issued by tl1e State governme!lt for
resumption. Till this date no final order was passed by the State B
Government under Section 6(3) of the said Act;
(viii)22.2.73 the first judgment of Mr. Justice Mukherjee of the
Calcutta High Court quashing tl1e notice under Section 6(3) of the said
Act;
c
(ix) 6.4.73 after the said judgment of the High Court, for the first
time in this matter a final order under Section 6(3) of the said Act
was passed.
Whereas tl1e events narrated above leave an impmtant imprint looks to
be very attractive, but the factual situation denotes otherwise since admittedly
D
the final order was under Section 6(3) passed on 22nd August, 1967 for
resumption of 1451.40 acres of land in tcnns of the notice dated !st
November, 1962 and the subsequent proceedings held thereafter. In this
context the cowiter-affidavit filed on behalf of the State Government against
the Special Leave Petition on 17th August, 1995 may be looked into, wherein E
the deponent in paragraph JC has stated:
"By an order dated 22nd August, 1967 under Section 6(3) of the E.A.
Act resumption of 1451.40 acres of land was ordered and possession
of the same was delivered."
F
The notice dated 26th August, 1969 cannot possibly be issued other-
wise than a notice to reopen the issue. The change of stance as regards the
finality of the order has been very su-ongly criticised by Mr. Ranjit Kumar
and ascribed to be totally mala fide in order to obtain the benefit of the
compensation money and if we may say so, we find some justification in such
G
a criticism. The notice dated 26.8.69 does not bear any provision of law under
which the notice was issued - governmental action must always be m
accordance with law, at least it is so expected rather than de hors it.
The notice itself records "in supersession of notice No.13942-L.Ref.,
dated !st November, 1962" - why this supersession! ! Mr. Ranjit Kumar H
980 SUPREME COURT REPORTS [2001] 2 S.C.R.
A answers it as being nnlawful gain of compensation amount and thns the action
smacks of ma/a fide motive. ..(
Let us however examine this issue in slightly more greater detail upon
a deeper probe on to the admitted factual parameters : Section 6(3) notice
was served upon due compliance with all the requirements and orders passed
B thereon, but after a lapse of about 9 years tl1e notice itself stands superseded!
Why so? What was the reason for this sudden change - Mr. Ray however
answered tbe same more in avoidance rather than in factual situation[
Obviously there was neither any option left; statuto1y authorities are author-
ised to act iu terms of the statute only - Uuder what provision can an earlier
C notice, assuming of course, that there was no order as such, though however
as noticed above, the same is an admitted state of affairs, be superseded -
There was in fact :rio provision of review even on the date of the notice -
Thus resultantly no provision of law could be recorded therein! Needless
to record that the notice dated 26th August, 1969 was challenged before
the High Court and the High Court directed the State Government to
D dispose of the pending Section 6(3) proceedings within two months from
the date of the order: But what happened thereafter is not only interesting
but note-worthy: The learned Single Judge of the High Court directed
the disposal of the Section 6(3) notice which admittedly referred 1151 acres.
But the order passed was for 3059 acres!! is it justified? Can the government
E act on its own ipsi dixit - The answer obviously will be in the negative:
What about the doctrine of estoppel - Would the governmental action
beyond the approach of the doctrine of estoppel? The answer again cannot
but be in the negative. Doctrine of estoppel is a doctrine of prudence. It
is a doctrine of ethics, justice and equity. In this context reference may
be made to a recent decision of this Court in Tata Iron & Steel Co. Ltd. v.
F Union ~f India, [2001] SCC 2 41, wherein this Court upon reliance
on Phipson on Evidence (Fourteenth Edn.) has the following to state
as regards estoppels by conduct :
"In modem times the doctrine has been extended so as to embrace
G practically any act or statement by a party which it would be
unconscionable to permit him to deny."
Since there is existing no justifiable reasons for change of quantum of
land as mentioned in Section 6(3) notice, tl1e State Government cannot but
be said to be bound by its owu notice: The doctrine of Estoppel has its fullest
H play in the contextual facts.
TANDON BROTHERS v. STATE [BANERJEE, J.] 981
Be it noted further that the appellant herein has been all along paying A
the land revenue and the cesses for the entire land and there was no difficulty
in acceptance thereof - while it is true that the factum of acceptance of cess
or revenue does not ipsojacto negate the claim, but considering the fact -
situation of the matter under consideration it can without any hesitation be
recorded that the same is a factor which ought to be taken note of while
B
delving into the matter.
Turning attention on to the malice aspect of the matter, Mr. Ranjit
Kumar tabulated different situations in support thereof and we also feel it
expedient to tabulate them in seriatim as below:
c
(i) The first notice under Section 6(3) for resumption of 1451.40
acres was issued on 1.11.62 on the basis of detailed proceedings
held by the Tea Garden Advismy Committee;
J
(ii) The final order after hearing the Appellants was passed on
22.8.1967 for resumption of 1451.40 acres ofland. The fact that D
such a final order was passed is adtnitted by the respondents at
page 108 in their Counter-Allidavit in Para 3C. It is, therefore
erroneous for the State Government to contend that no order
was passed under Section 6(3) prior to the 3rd notice dated
26.8.69. E
This order was after the Military had already requisitioned 2532.06
acres of land;
(iii) Notice dated 26.8.69, reopening the issue of resumption does
not mention any provision of law. This is because the proviso F
to Section 6(3) granting the power to Review came into force
only in November 1969;
(iv) The aforesaid Jetter is issued after the Central Government
issued notices under Section 7(1) of the Requisition and Acqui-
G
sition of immovable Property Act, 1952 seeking to acquire the
appellants lands. As per Section 7(2) of the said Act, on the date
of publication of the notice seeking to acquire under Section
7(1), the requisitioned property vests absolutely in the Central
Government There could thus be no resumption of property
already vested in the Central Government; H
982 SUPREME COURT REPORTS (2001] 2 S.C.R.
A (v) Respondent No.I realised that the Central Government shall
pay market price to t11e appellants which would be substantial.
Therefore decided to resume the land so that the State will get
the market price;
(vi) Though tl1e milita1y authorities wanted to pay compensation but
B the State Government wrote a letter to the Military authorities
intimating that payment of compensation to the Appellants
should be stopped;
(vii) There is no material on record to show any ground for review-
ing the order of resumption of 1451.40 acres, which was passed
c on 22.8.67 under Section 6(3). 111e ostensible reason for the
review on 26.8.69 was on the basis that the land under occu-
pation of Military authorities was not required by the Appellant
as tl1e Appellant had not objected to the requisition by the Army.
But that was also the position when the second notice under
Section 6(3) dated 21.6.67 was issued and when the order dated
D
22.8.67 was passed under Section 6(3);
(viii) Proceedings under Section 6(3) which had become final were
reopened only to enable the state to make profit at the cost of
a citizen;
E (ix) For the period 1962 to March 1995 tl1e appellants have paid
Land Revenue for the entire tea estate;
(x) In the present case fresh notices and orders under Section 6(3)
were issued only after the appellants had received the notices
under Section 7(1) of the Central Act, the reason was clear, viz.
F to prevent the citizen from getting the market rate for its land.
While none of the grounds spoken of in the just preceding paragraph
cannot be brushed asidt:: but by reason of our observation as herein before
we are not inclined to deal with the issue of malice and motive in detail,
suffice, however, to record that accepted methodology of governmental
G working being fairness and the same is lacking in its entirety in the matter
under conside-ration.
Shortly put the situation seems to be the following:
The word 'supersession' has a definite connotation in English language
H and has also its due jurisprudential affect. The Governor of the State issues
Tfl.NDON BROTHERS v. STATE [BANERJEE, J.] 983
a notification, obviously upon consideration of all the relevant materials, that A
notification stands superseded by another Governor of the State without
)-
however, ascribing any reason whatsoever - as noticed earlier, formation of
opinion ought to be with reasons and not de hors the same!! What was the
reason for this change - Apparently there is no answer; the state of affairs
existing in the year 1962-64 did not find any change in itself bnt the
B
Government notification stands superseded - it is on this score that Mr. Ranjit
Kumar severely criticised the governmental action as totally unfai1; ma/a.fide
and devoid of any reason. His comments as regards motivation toward more
~
money may not strictly be unjustified since time has now come for the
payment of compensation. Assuming the proceedings were pending, why it
was kept pending for such a long period of time? There seems to be no reason c
whatsoever. Governmental action must be based on utmost good faith, belief
and ought to be supported with reason on the basis of the state of law - if
the action is othe1wise or run counter to the same the action cannot but be
ascribed to be mala fide and it would be a plain exercise of judicial power
to countenance such action and set the same aside for the purpose of equiting
D
good conscience and justice. Justice of the situation demands action clothed
with bona fide reason and necessities of the situation in accordance with the
law. But if the saine runs counter, law courts would not be in a position to
countenance the same.
Action in the present context cannot be said to be in the category as E
/ ~ noticed in the preceding paragraph but is otherwise as such cannot have the
concmrnnce or acceptance from the Court. It appears prima .facie to be tainted
with motive and thus not sustainable - this aspect of the matter has been
completely overlooked by the Bench of the Calcutta High Court and as such
the sa1ne cannot be sustained.
F
Jn that view of the matter, these appeals succeed. The order of the
Division Bench of tl1e High Comt stands set aside and quashed and that of
the learned Single Judge stands restored. No order for costs.
v.s.s. Appeals allowed.
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