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Supreme Court of India

STATE OF KERALA AND ANOTHERversusPEOPLES UNION FOR CIVIL LIBERTIES, KERALA STATE UNIT AND OTHERS

Citation
2009 INSC 935
Decided
21 July 2009
Disposal
Case Partly allowed

Holding

The 1999 Kerala Restriction on Transfer by and Restoration of Lands to the Scheduled Tribes Act is constitutionally valid, intra vires, and the 1975 Act remains applicable to non‑agricultural lands.

Summary

The Kerala High Court directed the State to implement the 1975 Kerala Scheduled Tribes (Restriction on Transfer of Lands and Restoration of Alienated Lands) Act, but the State failed to comply, leading to multiple extensions and a contempt petition. The State subsequently enacted the 1999 Kerala Restriction on Transfer by and Restoration of Lands to the Scheduled Tribes Act, which altered the rights conferred by the 1975 Act, particularly restricting restoration to agricultural lands and introducing a two‑hectare limit. The petitioners challenged the constitutionality of Sections 5(1), 5(2), 6 and 22 of the 1999 Act, alleging colourable legislation, violation of Articles 14, 21 and 300A, and improper repeal of the 1975 Act. The Supreme Court held that the 1999 Act is intra vires, that the doctrine of colourable legislation does not apply where the legislature has competence, and that the 1975 Act continues to apply to non‑agricultural lands because the State lacks power to repeal that portion. Consequently, the High Court’s declaration of unconstitutionality was set aside and the appeals were partly allowed. The Court also clarified the effect of repeal and saving provisions and the limited scope of mandamus in this context.

Issues considered

  • The constitutional validity of the 1999 Act, specifically Sections 5(1), 5(2), 6 and 22.
  • Whether the doctrine of colourable legislation applies to the 1999 Act.
  • Whether the State had legislative competence to amend/repeal the 1975 Act under the Seventh Schedule entries.
  • The necessity of Presidential assent for the 1999 Act.
  • The effect of a writ of mandamus issued under the 1975 Act on subsequent legislation.
  • The status of vested rights and compensation under Articles 14, 21 and 300A.

Legislation cited

Subjects

Scheduled TribesLand restorationMandamusColourable legislationLegislative competenceArticle 14Article 21Ninth ScheduleRepeal and savingVested rightsAgricultural landNon‑agricultural land

Judgment

                      [2009] 11 S.C.R. 142


A             STATE OF KERALA AND ANOTHER
                                v.
       PEOPLES UNION FOR CIVIL LIBERTIES, KERALA
                 STATE UNIT AND OTHERS
            (Civil Appeal Nos. 104-105 of 2001)
B
                         JULY 21, 2009
     [S.B. SINHA AND DR. MUKUNDAKAM SHARMA, JJ.]

      KERALA SCHEDULED TRIBES (RESTRICTION ON
C TRANSFER OF LANDS AND RESTORATION OF
  AL/ENA TED LANDS) ACT, 1975/KERALA SCHEDULED
  TRIBES (RESTRICTION ON TRANSFER OF LANDS AND
  RESTORATION OF AL/ENA TED LAND) RULES, 19861
  KERALA RESTRICTION ON TRANSFER BY AND
D RESTORATION OF LANDS TO THE SCHEDULED TRIBES
  ACT, 1999:

        Writ of or in the nature of mandamus issued by a High
   Court directing implementation of an enactment vis-a-vis a
E subsequent legislation altering or modifying the right of the
  beneficiaries under the former Act - Effect of - The 1999 Act
  if given a holistic view is more beneficial to the members of
  the Scheduled Tribe than the 1975 Act- Thus the 1999 Act
  by no stretch of imagination can be treated to be an arbitrary
  and unreasonable one - Having regard to the studies
F conducted by the State Government and as a balance of
  interest between tribals and non-tribals which has been sought
  to be achieved the provisions of the 1999 Act are intra vires
  - However, while enacting the 1999 Act, the State could not
  have repealed a portion of the 1975 Act - Such a right
G cCJnferred on the owners of the non-agricultural lands could
  not have been taken away without payment· of compensation ·
  - To that extent the 1975 Act would continue to be applied -
  The State has no legislative competence to repeal that portion

H                              142
             STATE OF KERALA v. PEOPLES UNION .FOR CIVIL 143
                    LIBERTIES, KERALA STATE UNIT

            of the 1975 Act - Constitution of India,, Articles 14, 21, 46,     A
            254, 300, 300A, Seventh Schedule - Entry 6, List Ill and Entry
            49, List If.

                 DOCTRINES:

                  Doctrine of co/ourable legislation - Applicability of - In
                                                                               B
             the instant case, the High Court should have examined the
        t    question of the constitutionality of Sections 5(1) and 5(2) of
             the Kera/a Restriction on Transfer by and Restoration of
             Lands to the Scheduled Tribes Act, 1999 and not on the
             premise that the said provisions are co/ourable in nature -       c
             Constitution of India, Articles 14 and 21.

                  Members of Scheduled Tribes filed applications for
             restoration of their lands i,n the year 1988 in terms of the
             l<erala Scheduled Tribes (Restriction on Transfer of              o,
-\,          Lands) Act, 1975 and the Rules of 1986 made under the
             Act. Since the Act was not implemented in letter and spirit,
             a writ petition was filed and the High Court disposed of
             the same calling upon the State to give directions to the
             Authorities under the 1975 Act to dispose of the                  E,
             applications pending with them within six months.
             Extensions of time were sought for and two years had
             elapsed. Another application for time was filed and the
  ·'I
             High Court granted a further period of six months but
             issued certain directions for monitoring the progress of
                                                                               F
             the implementation of the Act. The pending applications
             were disposed of by directing restoration of lands.
             Actually no restoration of land was effected. The writ
             petitioner filed another application. On an assurance
             given by the State, the High Court issued certain
            ·directions. On an intra-court appeal, .the matter was             G
             referred to Full Bench which granted a stay relying on or
             on the basis of a statement made before the Court that
             amendments to the 1975 Act were proposed to be made.
             Later, the stay order came to be vacated as the President
                                                                               H
     144      SUPREME COURT REPORTS              [2009] 11 S.C.R.


 A of India· declined to give assent to the Bill passed by the
   Legislature of Kerala. Again, the High Court granted time
   for six months to carry out the direction without prejudice
   to the right of the Government in considering the various
   aspects of the matter to bring forward suitable legislation
 B with suitable changes. Since the abovesaid orders were
   not complied with, an application under Contempt of
   Courts Act, 1971 was filed and notice was issued thereon.
   Again state reques;ted for six months' time, assuring the
   Court that a nev/I Bill would be introduced in the
 c Legislative Assembly in terms whereof a permanent
   solution to the problem of alienation of tribal lands from
   1.1.1960 to ,1.1.1986 would be dealt with. Accordingly,
   High Court extended the time limit by another three
   months. Thereafter, the Kerala State Legislature enacted
   the Kerala Restriction on Transfer by and Restoration of
 D Lands to the Sch~duled Tribes Act, 1999 inter alia dealing
   with transfer and alienation of agricultural lands. The
   constitutional validity of the 1999 f\ct especially the
   proviso appended to Sections 5(1), 5(2), 6 and 22 were
   challenged in writ petitions and the High Court upheld the
·E challenge and held the provisions to be arbitrary and
   discriminatory and thus violative of Article 14 of the
   Constitution. Hence the appeals.

           Partly allowing the appeals, the Court
 F
        HELD: 1. The validity of 1975 Act is not in question.
   It, having regard to its inclusion in the Ninth Schedule of
   the Constitution of India by Constitution 40th Amendment
   Ac, 1976 read with Article 318 which precludes an attack
 G to the provisions of such an enactment on the ground
   that it violates any provisions of Part Ill of the Constitution
   of India, the validity thereof was upheld by a the Kerala
   High Court in Bhavani's case.· [Para 11] [179-F-G]

           Fr. Thomas Kubukkat v. Union of India, 1994 (2) KLT 25;
 H
                    STATE OF KERALA v. PEOPLES UNION FOR CIVIL 145
.                          LIBERTIES, KERALA STATE UNIT
         ,.it..,
                   Manchegowda and others v. State of Karnataka and others,       A
                   (1984) 3 SCC 301; Lingappa·v. State of Maharashtra, (1985)
                   1 SCC 479; P. Rama Reddy v. State of A.P. (1988) 3 SCC
                   433 and Samtha v. State of Andhra Pradesh, (1997) 8 SCC
                   191, held inapplicable.
                                                                                  B
                        Madan 'Mohan Pathak v. Union of India, (1978) 2 SCC
                   50; Hoechst Pharmaceuticals Ltd. v. State of Bihar, (1983) 4
         t         SCC 45; Indian Aluminium Co. v. State of Kera/a, (1996) 7
                   SCC 637; State of Tamilnadu v. Arooran Sugars Ltd., (1997)
                   1 SCC 326; Baba Charan Dass Udhasi v. Mahant Basant
                   Das Babaji Che/a Baba Laxmandas Udasi Sadhu (2000) 6
                                                                                  c
                   SCC 1 and Bhavani v. State of Kera/a, 1989 (1)_ KLT 37,
                   referred to.

                        2.1. The doctrine of 'Colourable Legislation', has no
                   application in the instant case. The said doctrine is          D
    ~·
                   founded on legislative competence of the State. An act
                   of mala fide on the part of the legislature also is beyond
                   the province of judicial review. In fact no motive can be
                   attributed to the Legislature for enacting a particular
                   statute. The question in regard to the constitutionality of    E
                   the statute must be considered keeping in view only the
                   provisions of the Constitution. [Para 12] (182-D]

                        2.2. The doctrine of colourable legislation is strictly
                   confined to the question of legislative competence of the
                   State Legislature to enact a statute. Once it was opined
                                                                                  F
                   by the High Court that having regard to Entry 51, List II
                   of the Seventh Schedule of the Constitution of India, the
                   Legislature of the State of Kerala had the requisite
                   legislative competence to enact the 1999 Act, that should
                   have been held to be the end of the matter. The High           G
                   Court could not have, entered into the said question
     ~             through a side-door so as to hold that the transgression
                   of the limitations of constitutional power may be
                   disguised, covert or indirect. The High Court, has
                                                                                  H
     146     SUPREME COURT REPORTS              (2009) 11 S.C.R.


A committed a fundamental error in failing to keep a
  distinction in mind in regard to the power of a law making
  authority which is of a qualified character and the power
  granted to a legislative authority which is absolutely
  without any limitation and restriction~_ being plenary in
s character. A statute in the event of it being held within the
  ambit of the legislative competence of the State, could be
  declared ultra vi res only on the premise that it is violative
  of the provisions of Part Ill of the Constitution of India or
  any other provisions but not on the ground of colourable
c exercise of power or mala fide on the part of the
  legislature. The object, purpose or design referred to by
  the High Court should be taken into consideration for the
  purpose of examining its constitutionality on the
  touchstone of the provisions of Part Ill of the Constitution
  of India and not otherwise. [Para 12] [185-C-H; 186-A]
0
          2.3. No material was placed before the High Court to
    . establish that the 1999 Act was confiscatory in nature.
      [Para 12] [186-C]

E       2.4. It is one thing to say that a citizen of India having
  been conferred with a right on lands by reason of a
  statutory provision, has been deprived therefrom without
  payment of any compensation and, thus, the same would
  be violative of Article 3·00A of the Constitution of India, but,
F it is another thing to say that on that ground alone the
  legislation should be held to be a colourable one. [Para
  12] [186-0]

       2.5. The legislature had a broad object in mind.
  Whether the Act stands the scrutiny of limitations of the
G State's power so as to achieve its object and purpose is
  one question, but, it is another question that while doing
  so it has adopted a device and a cloak to confiscate the           ,.
  property of the citizen taxed. [Para 12] [186-E-F]

H
              STATE OF KERALA v. PEOPLES UNION FOR CIVIL 147
                     LIBERTIES, KERALA STATE UNIT

         J        2.6. The High Court furthermore committed a serious A
             error insofar as it made an incidental observation that the
             tribals who enjoy the protection of Constitution of India
             and sought to be protected by the 1975 Act could not
             have been denied the benefits under the 1999 Act, which
             was not a relevant question. [Para 12] [187-A-B]            B
                  2.7. The provisions of the Constitution in this behalf
             are enabling in nature. When a constitutionality of an
             enactment comes to be questioned, the superior courts
             are required to pose unto themselves the right question.
             The question should have been whether the statute is
                                                                              c
             valid having been enacted to achieve the constitutional
             goal set out not only in Part Ill of the Constitution of India
             but also Part IV and IVA thereof. [Para 12] [187-B-D]

                  2.8. The rights conferred upon the class of persons         D
             including the protected class, in terms of 1975 Act, were
             statutory in nature. They cannot be categorized as plainly
             constitutional rights. It is one thing to say that some rights
             are constitutional in nature/origin being part of the
             expansive regime of Article 21, but, it would not be             E
             correct to raise the same to the exalted status of
             constitutional rights. A right which primarily flows from a
             statute, cannot claim its constitutional pedigree to
             become a constitutional threshold, against which
     f
             constitutionality of a statute can be tested. It is trite that   F
             a right which may be conferred by a statute can also be
..
~,
             taken away by another. It is also a trite law that the State
             is entitled to change its legislative policy having regard
             to the ground realities and changing societal condition'.
             In fact, the legislature is expected to take steps for
                                                                              G
             enacting a new statute or amending the same so as to
             keep pace with the changing societal condition as well
             as taking into consideration the development of law, both
             domestic and international. [Para 12] [187-D-G]

•                                                                             H
    148 .   SUPREME COURT REPORTS             [2009] 11 S.C.R.


A        2.9. The High Court, furthermore committed a serious     -~

    error in opining that although the legislature had the
    legislative competence to enact Act 12 of 1999, but
    nevertheless, proviso to Sections 5(1) and 5(2) thereof
    would be held to be colourable. The High Court should                  ~
B   have examined the question of their constitutionality on               l
                                                                           ~



    the touchstone of Articles 14 and 21 of the Constitution
    of India and not on the premise that the said provisions
    are colourable in nature. [Para 12] [187-H; 188-A-B]          +

        Dwarkadas Shrinivas of Bombay v. Sholapur Spinning
c and Weaving Company Ltd. and Others AIR 1954 SC 119
    and Jagannath Baksh Singh v. State of U.P. AIR 1962 SC
    1563, held inapplicable.

        K. C. Gajapathi Narayan Dea v. The State of Orissa
D   (1954) 1 SCR 1; R.S. Joshi, Sales Tax Officer, Gujarat and
    Others v. Ajit Mills Limited and Another (1977) 4 SCC 98;
    Dharam Dutt and others v. Union of India, (2004) 1 SCC ~12;        '
    Gujarat Ambuja Cements Ltd. v. Union of India, (·200 ) 4
    SCC 214; K. T. Moopil Nair v. State of Kera/a AIR 1961 SC
E   552 and Shankaranarayana v. State of Mysore AIR 1966 SC
    1571, referred to.

       3. Only because the 1975 Act could be held to be in
  conflict with the provisions of the Transfer of Property
  Act, the Presidential Assent was necessary having regard
F to Clause (2) of Article 254 of the Constitution of India but
  once the said statute is repealed and in its place a new                 ~
  Act is brought on the statute book, which comes strictly                 '1""

  within the purview of Entry 49, List II of the Seventh
  Schedule of the Constitution of India, no Presidential
G Assent would be necessary. Presidential Assent would
  be necessary for the purpose of amendment of the Act
  and not for enacting a separate statute which came
  within the purview of a different entry and a different List.
  It is furthermore well-known that Article 254 of the
H
..-         STATE OF KERALA v. PEOPLES UNION FOR CIVIL 149
                   LIBERTIES, KERALA STATE UNIT

           Constitution of India would be attracted only in a case         A
           where two statutes are enacted under the Concurrent
           List, viz., one by the State Legislature and the other by
           the Parliament of India, and not in any other case. [Para
           13] [188-E-H; 189-A]
                                                                        B
                4.1. A distinction must be made between issuance of
           writ of mandamus conferring right upon a person or
           class of persons and the one directing implementation of .
           the Act. However, in this case while the Single Judge of
           the High Court issued a direction that the applications
           filed by the members of the Scheduled Tribes should be
                                                                        c
           determined by the Revenue Authorities in terms of the
           provisions of the 1975 Act; the same, did not mean that
           the High Court itself had issued a writ of mandamus
           directing restoration of the lands in question: As in most
           of the cases members of the Scheduled Tribes have not D
           been paid compensation through their vendees in terms
           of the provisions of 1975 Act. They did not attain finality.
           If that be so, question of invoking the decision of Madan
           Mohan Pathak in the factual matrix involved herein does
           not arise. [Para 14] [193-E-H; 194-A]                        E

                4.2. It is one thing to say that a writ of mandamus
           shall be obeyed despite passing of a subsequent Act as
           it had attained finality or that it had not been brought to
           the notice of the Legislature, but it is another thing to say   F
           that no writ of mandamus was issued conferring rights
           upon the parties. Directions to implement the provisions
           of the Act by itself did not confer any right upon the
           parties. The lis has to be adjudicated upon. It did not
           attain finality in that sense of the term. [Para 14] [194-B-    G
           C]
      ..
               4.3. Where a new Act is enacted removing the very
           basis on which the High Court made a preceding Act
           invalid; it matters not whether the same is not termed as
           a validating statute or not. In this case, however, such a      H
    150       SUPREME COURT REPORTS            [2009) 11 S.C.R.          ._,,
                                                                     1
A question do(;!s not arise as the 1975 Act was not declared
  to be invalid. (Para 14] [196-F]

         4.4. The Legislature can not over-rule a judgment but
    it can remove the basis on which the judgment has been
    rendered. [Para 14] (197-B]
B
       4.5. The 1999 Act removes the basis for passing of
                                                                     t
  the judgments so far as the applications for restoration
  filed by Members of the Scheduled Tribes in regard to their
  lands which was less than 2 hectares is concerned. It
c provides that the term 'land' would mean 'only
  agricultural land' and the application for restoration shall
  lie only in case where the extent of the land exceed two
  hectares. Admittedly, the 1999 Act was made effective
  retrospectively from 24th day. of January, 1986. It
D contains a Repeal and Savings clause. In that view of the
  matter, it was not necessary to term the statute as a
  validating statute containing a non-obstante clause. It is
  difficult to conceive, having regard to the orders issued
  by the Full Bench, that _the Legislature were not aware of
E the orders passed by the High Court. In any event the Full
  Bench of the High Court has stated that the directions
  issued by it would be subject to the new enactment. [Para
  14] (197-C-G]

          P. Venugopal v. Union of India, (2008) 5 SCC 1, held
F inapplicable.

       National Agricultural Coop. Marketing Federation of India ·
  Ltd. v. Union of India, (2003) 5 SCC 23; Mylapore Club v.
  State of T.N. (2005) 12 SCC 752; Bakhtawar Trust v. M.D.
G Narayan, (2003) 5 SCC 298 and Madan Mohan Pathak vs.
  Union of India (1978) 2 SCC 50, referred to.

         5.1. In a case involving members of the Scheduled .
    Tribe living in Scheduled Area the period of limitation can
H
-          STATE OF KERALA v. PEOPLES UNION FOR CIVIL 151
                  LIBERTIES, KERALA STATE UNIT

          be extended, but it is not permissible in respect of an          A
          area which has not been declared to be a Scheduled
          Area. When a person acquires an indefeasible right, he
          can be deprived therefrom only by taking recourse to the
          doctrine of Eminent Domain. If a person is sought to be
          deprived of an indefeasible right acquired by him, he            B
          should be paid an amount of compensation. In a case of
          this nature, therefore, where an amount of compensation
          has not actually been tendered, the vendees of the land
          could not be deprived of their right to be dispossessed.
          In that view of the matter, a distinction must be made           c
          between a case where an amount of compensation has
          been paid and in a case where it has not been. If a vested
          right has not been taken away, the question of
          applicability of Article 14 of the Constitution of India
          would not arise. [Para 15] [208-8-D]
                                                                           D
               5.2. The High Court, however, proceeded to apply
          Article 14 of the Constitution of India on the premise that
          the provisions of the 1999 Act clearly seek to destroy the
          right conferred on Scheduled Area by Act 31 of 1975. The
          approach of the High Court being not correct, the same           E
          cannot be sustained. [Para 15] [208-E-F]

               Southern Petrochemical Industries Co. Ltd. v. Electricity
          Inspector & ETIO (2007) 5 SCC 447; Kusumam Hotels
          Private Limited v. Kera/a State Electricity Board and Others     F
          (2008) 13 SCC 213; State of Punjab and Others v. Bhajan
          Kaur and Others (2008) 12 SCC 112; Vimlaben Ajitbhai Patel
          v. Vatslaben Ashokbhai Patel and Others (2008) 4 SCC 649;
          Union of India & Ors. v. Mis. Martin Lottery Agencies Ltd.
          (2009 4 SCALE 34 and P. Rami Reddy and Others v. State
                                                                           G
          of Andhra Pradesh and Others (1988) 3 sec 433, relied on.
    Jo.           /

              K. T. Huchegowda v. Dy. Commissioner (1994) 3 SCC
          536 and Papaiah v. State of Kamataka (1996) 10 SCC 533,
          referred to.
                                                                           H
    152      SUPREME CbURT REPORTS             [2009] 11 S.C.R.


A        P. Ramanatha Aiyar's Advanced Law Lexicon, 3rd
    edition, page 4888, referred to. · .1! h ·
                                        'I


       6.1. The tribals had been out of possession of their
  lands. for decades. It was for the elected representatives
  of the people to determine as to whether by reason of the
8
  provisions of the 1999 Act the members of the Scheduled
  Tribe would face dislocation or that it would impinae on
  their culture connected with their lands. The ground
  realities are presumed to be known to the State and if
  anybody raises a contrary contention, it would be for him
C to bring on record sufficient materials to show so as to
  enable the co~rt to arrive at a conclusion that the State's
  action was arbitrary. [Para 16) [209-H; 210-A-C]

       6.2. It is furthermore a well-settled principle of law
D that the s,uperior court in exercise of their power of judicial
  review of legislation would not ordinarily determine the
  merit of the legislation by entering into a broad question
  as to whether materials placed before the Legislature
  were sufficient for bringing out the legislation in question
E or not. Such inquisitorial inquiry on the part of the court
  is beyond the province of the court. [Para 16) [210-C-D]

       7.1. Broadly speaking the provisions of the 1999 Act
  are more beneficial to the members of the Scheduled
  Tribe. For determining the said question, one must take
F a holistic view of the matter. However, this Court is not
  oblivious of the fact that restoration in respect of non-
  agricultural land and to the extent of 2 acres are not
  contemplated by the 1999 Act. So also on the basis of the
  statistics furnished by the State itself that a large number
G of members of the Scheduled Tribe would be deprived of
  the benefit of restoration of their own lands constituted
  in forest areas. [Para 17) [214-A-C]

          7.2. The State has clearly brought on record the fact
H
                STATE OF KERALA v. PEOPLES UNION FOR CIVIL 153
                       LIBERTIES, KERALA STATE UNIT
         f'
                that it had conducted further studies wherefrom it came A
                to learn that about 12,000 tribal families in the State did
                not possess any land of their own and 30,000 families did
                not have any house of their own. It is necessary, to bear
                in mind that the law postulates grant of compensation in
                a case where the right on a land is sought to be taken B
                away. The 1975 Act postulates grant of compensation to
                the alienees, the amount wherefor was required to be
              , determined by a competent authority. The amount of
                compensation so determined was to be paid by the
                members of the Scheduled Tribe to their vendees in c
                respect whereof he was to take loan from the State. The ·
                amount of loan taken was, thus, required to be repaid.
                The 1999 Act, however, provides for a grant which need
                not be repaid. [Para 17] [215-8-E]
-f
                     7 .3. The members of the Scheduled Tribe were further D
     '          to get one acre of land from.the State although they might
                have transferred even 5 OJ'-10 cents of land. In the case
                     .                   ~



                of a transfer made upto--t:Wo acres, he is to be allotted two
                acres of land by the State. Whether such land is available
                with the State Government or not is a different question. E
                The statute also contemplates building of houses for the
                members of the Scheduled Tribes. It provides that the
                land to the extent of one acre also be provided to the
              . landless tribals. It contemplates constitution of a
                                                                                ,
                rehabilitation fund. The 1999 Act, therefore, if given a F
                holistic view, is more beneficial to the members of the
                Scheduled Tribe than the 1975 Act. If the State
                contemplated a legislative policy for grant of more
                benefits to a. vast section of people, taking care of not
                only restoration of land but those who have not G
                transferred any land at all or otherwise landless, the
                statute by no stretch of imagination can be treated,to be
                an arbitrary and_an unreasonable one. [Para 17] [215-:.E-
                H; 216-A]
                                                                           H
    154     SUPREME COURT REPORTS             [2009] 11 S.C.R.


A        8.1. The cut-off date in terms of the 1975 Act was
    1.01.1960. Any transaction which had taken place
    between 1960 and 1975 and thereafter had been declared
     invalid. Admittedly, even after the provisions thereof
    having been given full effect, the members of the
3   Scheduled Tribe had not been put in possession of their
    own land for decades. Furthermore, the members of the
    Scheduled Tribe are educated and one can safely
    presume that most of them are serving various
    institutions i!l the State of Kerala and/ or in other parts
c   of India. Indisputably, the question of restoration of land
    should be considered having regard to their exploitation
    and rendering them homeless from the touchstone of
    Article 46 of the Constitution of India. For the


                                                                  •
    aforementioned purpose, however, it may be of some
    interest to consider that the insistence of autonomy and
0
    the view of a section of people that tribals should be
    allowed to remain within· their own habitat --and not be
    allowed to mix with the outside world would depend
    upon the type of Scheduled Tribe category in question.
E   Some of them are still living in jungle and are dependant
    on the products thereof. Some of them, on the other
    hand, have become a part of the mainstream. The
    difference between Scheduled Tribes of North-East and
    in some cases the Islands of Andaman and Nicobar, on
    the one hand, and of those who are on the highlands and
F   plains of the Southern regions must be borne in mind.
    [Para 18) [224-D-H; 225-A]
       8.2. This Court is satisfied that the legislature of
  Kerala kept in view the necessity of protecting the interest
G of the small land holders who were in possession and
  enjoyment of property which had belonged to tribal
  community and at the same time ensured that the tribals
  are not thrown out of their land and rendered homeless.
  Having regard to the studies conducted by the State
  Government and as a balance of interest between tribals
H
 STATE OF KERALA v. PEOPLES UNION FOR CIVIL 155
        LIBERTIES, KERALA STATE UNIT
and non-tribals which has been sought to be achieved,           A
the provisions of the 1999 Act are intra vires. [Para 18]
[225-8-C]
     Narmada Bachao Ando/an v. Union of India and Others
(2000) 10 SCC 664; Ba/co Employees' Union (Regd.) v.
Union of India and Others (2002) 2 SCC 333 and Samatha          B
v. State of A.P. (1997) 8 SCC 191, referred to.
     Tribes of Kera/a - Identity Crisis by Rayson K. Alex and
Article 12 of the ILO Convention No. 107, referred to.
      9. Keeping in view the promises made by the 1999 C
 Act, it is obligatory on the part of thet State to provide the
 land meant for the members of the Scheduled Tribe. If they
 do not have sufficient land, they may have to take
 recourse to the acquisition proceedings but this Court
 has no doubt in its mind that the State in all situations o
will fulfill its legislative promise failing which the persons
 aggrieved would be entitled to take recourse to such ·
 remedies which are available to them in law. It is also
 made clear that while allotting land to the members of the
Scheduled Tribe, the State cannot and must not allot E
them hilly or other types of lands which are not at all fit
for agricultural purpose. The lands, which are to be
allotted, must be similar in nature to the land possessed
by the members of Scheduled Tribe. If in the past, such
allotments have been made, as has been contended for F
the respondent, the State must allot them other lands
which are fit for agricultural purposes. Such a process
should be undertaken and completed as expeditiously as
possible and preferably within a period of six months
from date. [Para 19] [225-G-H; 226-A-D]
                                                                G
     10.1. There exists a distinction between a statutory
rule and a Legislative Act. The Legislature did not want
a vacuum to be created. The 1999 Act was enacted
repealing the 1975 Act only for certain purposes. Section
22(2) of the 1999 Act upheld certain actions taken under H
    156    SUPREME COURT REPORTS              [2009] 11 S.C.R.


A the 1975 Act as if they had been taken in terms thereof.
  The procedure for determining the rights and obligations
  of the parties by the Revenue Officers, under both the
  Acts, are more or less the same. [Para 20] [227-H; 228-A-
  B]
B      10.2. Repeal of a statute, it is well known, is not a
  matter of mere form but one of substance·.:lt, however,·
  depends upon the intention of the legisl ature. If by
                                                  1



  reason of a subsequent statute, the legislature intended
  to abrogate or wipe off the former enactment, wholly or
C in part, then it would be a case of total or pro tanto repeal.
  If the intention· was merely to modify the former
  enactment by engrafting an ·exception or granting an
  exemption, or by adding conditions, or by restricting,
  intercepting or suspending its operation, such
o modification would not amount to a repeal. In this case,          +
  however, the repealing clause is clear and unambiguous~·
  [Para 20] [231-F-G; 232-B]         '
       A. T.B. Mehtab Majid & Co. v. State of Madras, AIR 1963
           =
  SC.928 [1963] Supp (2) SCR 435; B.N. Tiwari v. Union of
E India and others, [1965] 2 SCR 421; West U.P. Sugar Mills
  v. State of U.P., (2002) 2 SCC 645; Mohd. Shaukat Hussain
  Khan v. State of A.P., (1974) 2 SCC 376 and Indian Express
  Newspapers ·v. Union of India, (1985) 1 SCC 641, relied on.
F       11. Classification between agricultural and non-
  agricultural land is a valid one. It is, however, accepted
  that all forest areas comprise of the agricultural land. The
  State has admittedly no legislative competence to enact
  a legislation in exercise of its power of Entry No. 49, List
  II of the Seventh Schedule of the Constitution of India in
G relation to non-agricultural land. It exists only in terms of
  Entry 6, List Ill of the Seventh Schedule of the                 ..
  Constitution of India. While enacting the 1999 Act, the
  State could not have deprived the persons who hold non-
  agricultural land, having enacted the 1975 Act and, thus,
H
        STATE OF KERALA v. PEOPLES UNION FOR CIVIL 157
               LIBERTIES, KERALA STATE UNIT
        could not have repealed a portion thereof. Once they       A
        have made an enactment, the legislative intent is clear
        and unambiguous, viz., such exploitation was possible
        also in so far as non-agricultural lands are concerned.
        Such a right conferred on the owners of the non-
        agricultural land, therefore, could not have been taken    8
        away without payment of compensation. Jo that extent
        the 1975 Act would continue to be applied. The State has
        no legislative competence to repeal that portion of the
        1975 Act. [Para 21] [232-C-E; G-H; 233-A-B]

                           Case Law Reference:
                                                                   c
            (19]8) 2 sec 50        referred to         Para 6
            (1983) 4 sec 45        referred to         Para 8
            (1996) 1 sec 637       referred to         Para 8      D
            (1997) 1 sec 326       referred to         Para 8
            (2000) 6 sec 1         referred to         Para 8
            1989 (1) KLT 37        referred to         Para 11
                                                                   E
            1994 (2) KLT 25        held inapplicable   Para 11
            (1984) 3 sec 301       held inapplicable   Para 11
    i       (1985) 1 sec 479       held inapplicable   Para 11
                                                                   F
            (1988) 3 sec 433       held inapplicable   Para 11
            (1997) a sec 191       held inapplicable   Para 11
            AIR 1954 SC 119        held inapplicable   Para 12
            AIR 1962 SC 1563       held inapplicable   Para 12     G

            (1954) 1 SCR 1         referred to         Para 12
            (1977) 4 sec 98        referred to         Para 12
           (2004) 1 sec 112        referred to         Para 12     H

•
    158       SUPREME COURT REPORTS                (2009] 1'1· S.C.R.


A         (2005) 4 sec 214          referred to           Para 12       ....

          AIR 1961 SC 552           referred to           Para 12
          AIR 1966 SC 1571          referred to           Para 12
          (2008) 5 sec 1            held inapplicable     Para 14
B
          (2003) 5 sec 23           referred to           Para 14
          (2005) 12 sec 752         referred to           Para 14        ~-




          (2003) 5 sec 298          referred to           Para 14
c
          (2001) 5 sec 447          relied on             Para 15
          (2008) 13 sec 213         relied on             Para 15
          (2008) 12 sec 112         relied on             Para 15
D         (2008) 4 sec 649          relied on             Para 15
          (2009 4 SCALE 34          relied on             Para 15              '
          (1988) 3 ,sec 433         relied on             Para 15

E         (1994) 3 sec 536          referred to           Para 15
          (1996,) 10 sec 533        referred to           Para 15
          (2000) 1o sec 664         referred to           Para 18
          (2002) 2 sec 333         . referred to          Para 18
F                              '


          (1997) 8 sec 191          referred to           Para 18
          AIR 1963 SC 928 =
          [19G3] Supp (2) SCR 435 relied on               Para 20
G         [1965] 2 SCR 421          relied on             Para 20
          (2602) 2 sec 645          relied on             Para 20
                                                                          l.

          (1974) 2 sec 376          relied on             Para 20
                                         \   i


H         (1985) 1 sec 641          relied on             Para 20
              STATE OF KERALA v. PEOPLES UNION FOR CIVIL 159
                     LIBERTIES, KERALA STATE UNIT
                 CIVIL APP ELLATE JURISDICTION : Civil Appeal Nos.                  A
             104-105 of 2001.

                  From the Judgment & Order dated 24.08.2000 of the High
              Court of Kerala at Ernakulam in OP Nos. 26499 & 25332 of
              1999.
                                                                                    B
                                            WITH

              C.A. Nos. 899 & 7079 of 2001.

                   T.L.V. Iyer,. T.S. Doabia, Rajinder Sachar, G. Prakash,
               Dayan Krishnan, Gautam Narayan, Nikhil Nayyar, Sunita
                                                                                    c
             . Sharma. Si1weta Garg, K.R. Sasiprabhu, Sanjay Parikh, Jitin
               Sahni, A.N. Singh, Anil Shrivastav, Ax Varghese, Baby
               Augustine, Jojo A.V., Caveator-ln-Person, Asha G. Nair and
               Ashish Gopal Garg for the appearing parties.
                                                                                    D
                   The Judgment of the Court was delivered by

                   S.B. SINHA, J.

              ISSUE
                                                                                    E
                   1. Effect of a writ of or in the nature of mandamus issued
              by a High Court directing implementation of an enactment vis-
              a-vis a subsequent legislation altering or modifying the right of
              the beneficiaries under the former Act, inter alia, is the question
              involved in these appeals.                                            F

                   They arise out of a judgment and order dated 24th August,
              2000 passed by a Division Bench of the High Court of Kerala
              at Ernakulam.

              BACKGROUND FACTS                                                      G

        ..         2. The State of Kerala enacted the Kerala Scheduled
              Tribes (Restriction on Transfer of Lands and Restoration of
              Alienated Lands) Act, 1975 (Act No.31 of 1975) (for short 'the
              1975 Act') with the object of providing restriction on transfer of    H
----i
         160      SUPREME COURT REPORTS                  [2009] 11 S.C.R.


     A   land by Members of Scheduled Tribes in the State of Kerala            _,,
         and for restoration o( possession of lands alienated by such
         members and for matters connected therewith.

              The said Act received the assent of the President of India.
         It was included in the Ninth Schedule of the Constitution of India,
     8   being item No.150, by the Constitutional 40th Amendment Act.
         It was published ln the Kerala Gazette Extraordinary on 14th
         November, 1975. However, only on 24th January, 1986 a                 /o-·

         Notification was issued bringing the said Act into force with
         retrospective effect from 1st January, 1982.
     c
         RULES UNDER THE SAID ACT

            3. Kerala Scheduled Tribes (Restriction on Transfer of
       .lands and Restoration of Alienated Land) Rules, 1986 (1986
       Rules) were framed for effective implementation of the 1975
     0
       Act and Were published in the Kerala Gazette Extraordinary on
        18th Oct0ber, 1986.

         PROCEEDINGS

     E        4. Members of the Scheduled Tribes filed applications for
         restoration of their lands in the year 1988 in terms of the
:<       provisions of the 1975 Act and the 1986 Rules.

            -l~~s the said Act was not implemented in letter and spirit,
  - c - one Dr. Nallathampy Thera filed a writ petition which was

,.,g -marked as O.P. No.8879of1988 praying inter alia for issuance
        of a Writ of Mandamus compelling the State to implement the
        provisions of the Act and directing the concerned authorities
        to deal with e1ndc·dispose of the applications filed therein.
        Before the High Court the learned Additional Advocate General
   G appearing for the State submitted that :

               "utmost steps would be taken for the disposal of the
               applications and that the Act would be enforced in all its       "     '
               rigour."
     H
                 STATE OF KERALA v. PEOPLES UNION FOR CIVIL 161
                  LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
            y
                      Relying on or on the basis of the said statement, O.P. No.      A
                 8879 of 1988 was disposed of by the High C0urt on 15th
                 October, 1993, inter alia, calling upon the State to give
                 directions to the Authorities under the 1975 Act to dispose off
                 the applications pending before them within 6 months from the
                 said date.                                                           B

                      The State, however, did not comply with the said directions
           --\   within the said time frame. Extensions of time were sought for
                 complying with the said directi'ons. By the said process, a
                 period of two years lapsed.
                                                                                      c
                      Another application for extension of time was filed for
                 implementation of the Act and the High Court granted six
                 months' time but issued certain directions inter alia for the
                 purpose of monitoring the progress of the implementation of
                 the Act.                                                             D

                     The said conditions are as under:-

                      "(i)     The State shall ensure that all the applications are
                               disposed of within the extended time.
                                                                                      E
                       (ii)    The State shall immediately communicate copies
                               of this order to the Revenue Divisional Officers of
                               all the Districts for compliance.
      -i
                       (iii)   The Authorities under the Act, i.e., the Revenue
                                                                                      F
                               Divisional Officers of the concerned Districts shall
                               file affidavits before this court once in a month
                               showing the progress achievedin the disposal of
                               applications during that month. iThe first of these
                               affidavit showing the progress-made until
                                                                                      G
                               31.12.199_5 shall be filec;I. before 15.1.1996. The
                               next of the affidavits ;showing progress till

.... ..                        31.1.1996 shall be filed before 15.2.1996 and so
                               on.

                      (iv)     The State shall provide the necessary back up and      H
    162           SUPREME COURT REPORTS                [2009] 11 S,C.R.


A                  support to the Revenue Divisional Officers to             ""
                   complete the work within the. extended time now
                   granted.

           (v)     The State or any of the Revenue Divisional Officers
                   shall be at liberty to approach this court in the event
B
                   of any difficulty being felt in disposing off the
                   applications.
                                                                             />-

           (vi)    It is seen from the affidavit filed by the Government
                   that the pendency of applications in the Districts of
c                  Palakkad, Wayanad, ldukki and Kottayam is
                   unusually large. The Revenue Divisional Officers of
                   t~ese Districts are directed in particular to dispose
                   of all the applications within the extended time."

D         Applications for restoration of lands which were pending
    were disposed of pursuant to the said directions. Appeals were                 ·/.

    filed in a f~w cases but in most of them the orders directing
    restoration of lands became final.
                                                                                          1--
       Strangely however, no actual restoration of land was
E effected. Another application was filed by the writ petitioner on
                                                                                          •
  1st March, 1996 complaining about non-implementation of the
  said order.                                     ""
      The learned Additional Advocate General once again gave
F an assurance that the order of the authorities under the 1975
  Act would be implemented. On or about 28th March, 1996 the
  High Court directed :-

          "The learned Additional Advocate General assures the
          court that all out efforts will be made to dispose of all the                   ,
                                                                                          ~



G         pending applications within the time stipulated by this court                   I
                                                                                          ~
          and further that wherever there has been final orders
                                                                               !>
          passed, actual restoration will also be formal orders are
                                                                                         ~
          necessary today. Post on 31.5. 1996."                                          -1


H                                                 (emphasis supplied)"
            STATE OF KERALA v. PEOPLES UNION FOR CIVIL 163
             LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
                 Further affidavits were filed by the Revenue Divisional         A
            Officers reporting progress in the disposal of the applications
            made under the Act.

                 On or about 13th August, 1996 the High Court issued the
            following directions :-                                              B
                "(1) The Revenue Divisional Officers are directed to cause
    ~
                , 1elivery of the properties covered by orders for restoration

                against which, no appeals are pending and in which no
                compensation is payable, forthwith and in any event within
                six weeks from today.                                            c
                (2) In view of the submission that the officers are meeting
                with resistance in restoring possession the State and the
                District Superintendents of Police of all Districts are
                directed to afford the needed protection to the Revenue          D
                Divisional Officers to carry out their duty of restoring
                possession to the Tribals ..

                (3) The State and the Collectors of the various Districts are
                directed to make available to the Revenue Divisional
                Officers the necessary man power and support to carry out        E
                the implementation of the orders for restoration passed
                under the Act.

                (4) The Revenue Divisional Officers will file statements
                before this court by 30.9.1996 reporting compliance with         F
                direction No.1"
                                                         \



                An intra court appeal was preferred thereagainst. The
            matter was referred to a Full Bench. An order of stay was
            passed relying on or on the basis of a statement made before
                                                                                 G
            the Court that amendments to the 1975 Act were proposed to

,       {   be made.

                However, as the President of India declined to give his
            assent to the Bill passed by the Legislature of the State of
            Kerala for amendment of the said Act, the order of stay was          H
    164       SUPREME COURT REPORTS                 [2009] 11 S.C.R.


A   vacated.

        The Full Bench on 21st May, 1998 passed the following
    order:-

          " Heard learned Additional Advocate General, Mr. T.
B         Mohammed Youseff and Mr. AX. Varghese, Advocate.
          The above application is filed to extend the order of stay
          granted in the Writ Appeal for a further period of six
          months from 21.5.1998. This Court granted the interim
          order of stay since at the time the Bill passed by the
C         Legislative Assembly of the State of Kerala was pending
          consideration before the Hon'ble President of India. It is
          now stated in the ~ffidavit that the Hon'ble President of
          India has declined assent to the Bill passed by the State
          Legislative Assembly. In the light of the Hon'ble President
D         of India having declined assent to the Kerala Scheduled
          Tribe (Restriction oh Transfer of Lands and Restoration of
          Alienated Lands)Amendment Act, 1996, there is no
          justification for .this court extending the order to stay
          granted earlier. The interim stay granted earlier is vacated.
E
           2. The learned Single .Judge, while disposing of C.M.P.
           No. 28950 of 1995 in O.P, 8879 of 1988, was pleased to
          grant time till 30.9.1996 for reporting compliance with
          direction No.1 in the order. The time was extended from
          time to time for compliance with the directions till the order
F
           of stay was granted. Now that the order of stay having
           been vacated, we grant six months time to the State for
          carrying out the direction contained in the order of the
          learned single judge dated 13th August 1996, passed in
          C.M.P. No. 28950 of 1995, without prejudice to the right
G         of the Government in considering the various aspects of.
          the matter to bring forward suitable legislation with suitable
                                                                           )
          _changes, .if they so desire."

                                                   (emphasis added)
H
           STATE OF KERALA v. PEOPLES UNION FOR CIVIL 165
 ..         LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
      t         On or about 23rd November, 19.98 an application for               A
          initiating proceedings under the Contempt of Courts Act, 1971
          was filed against the State and its officers on the premise that
          orders of the High Court had not been complied with. A notice
          was issued therein.              · ·          · ·
                                                                                  B
               A petition was filed by the State for extension of the period
          by six months from 21st November, 1998. However, a statement
          was made before the Full Bench that a new Bill would be
          introduced before the Legislative Assembly in terms whereof
          a permanent solution to the problem of alienation of tribal lands
          which had taken place during the period from 1.1.1960 and
                                                                                  c
          1.1.1986 shall be dealt with. The Full Bench, by its order dated
          6th January, 1999, directed :-

              "This petition has been filed by the State to extend the time
              (sic) granted already by a period of six months from                D
              21.11.98. We have perused the affidavit and heard the
              arguments of both sides. We have also heard Dr. P. Nalla
              Thampy Thera. He opposed the petition for extension of
              time tooth and nail. This Court has already granted six
              month's time. The State has explained the reasons for its           E
              inability to introduce the new bill within the time granted
              earlier. We are satisfied with the reasons given in the
              affidavit. It is now stated in the affidavit that the Legislative
              Assembly is expected to commence its next session on
              22.1.99 and that the new bill formulated by the Government          F
              will be introduced in this session. According to the
              Government, the new bill is expected to find a permanent
              solution to the problem of alienation of tribal lands which
              had taken for the period from 1.1.1960 to 1.1.1986.
              Therefore, they pray that in the interest of justice the State
                                                                                  G
              may be granted extension of time to introduce the Bill in

...   {
              this session.

              2. We have considered the rival submissions and are of
              the opinion that in the interest of justice, the time already
              granted has to be extended by three months from today.              H
    166       SUPREME COURT REPORTS                  [2009] 11 S.C.R.
                                                                                         ......
A         As already noticed, the Assembly session is to commence           -1
          on 22.1.1999 and the State is proposing to introduce the
          Bill in this session.

          3. In view of the above, the time already granted by this
          Court is hereby extended by three months from today. The
B
          State shall introducf3 the Bill in this session of the Assembly
          and complete all the other formalities within the time now
          granted. We make it clear that there will be no further
          extension of time .. The State is directed to pay cost of this
          petition to Dr. Nalla Thampy Thera which is fixed at
c         Rs.5000/-, by way of demand draft drawn in his name,
          within three weeks from today."

                                                  (emphasis supplied)

D WRIT PROCEEDINGS
                                                                                 -t--
       5. Indisputably the Legislature of the State thereafter
  enacted the Kerala Restriction on Transfer by and Restoration
  of Lands to the Scheduled Tribes Act, 1999 (for short 'the 1999
  Act'), which inter alia deals with transfer and alienation of
E agricultural lands.

          Constitutional validity of the 1999 Act, specially the proviso
    ~ppended to Section 5(1), Section 5(2), Section 6 and Section
    22 were challenged by filing two writ petitions; one marked as
F   O.P. No.25332 of 1999 filed by Niyamvedi, respondent No.1
    in Civil Appeal No.105 of 2001 and another 0.P; No.26499 of
    1999 by Peoples Union for Civil Liberties, Kerala State Unit,
    respondent No.1 in Civil Appeal No.104 of 2001 .

         . In the aforesaid writ petitions counter-affidavits were filed
G
    on behalf of the Union of India supporting the stand of the
    tribes.
                                                                             >
      Malayora Karshaka Federation (appellant before us in                              -~

  C.A. No.899 of 2001) was impleaded as a party therein. By
H reason of the impugned judgment and order dated 24th August,
      168    SUPREME COURT REPORTS                  [2009] 11 S.C.R.
                                                                                     .
                                                                          -;.
 A        "In the light of our discussion as above, we declare the
         proviso to Section 5(1), Section 5(2), Section 6 and
          Section 22 of the Kerala Restriction on Transfer by and
          Restoration of Lands to Scheduled Tribes Act, 1999, Act
          12 of 1999 as unconstitutional and void. We strike down
 B       the proviso to Section 5(1), Section 5(2), Section 6 and
         Section 22 of Act 12of1999. We direct the State and the
         Authorities under Act 31 of 1975 to implement the orders
         for restoration passed ur:ider the Kerala· Scheduled Tribes
                                                                          .-
         (Restriction of Transfer of land and Restoration of
c        Alienated Lands) Act, 1975,,..Act 31 of 1975 and restrain
         the State and the Authorities under Act 12 of 1999 from
         enfprcing the proviso to S!3Ction 5(1 ), Section 5(2), Secti~n
         6 and Section 22 of Act 12 of 1999."

     THE APPEALS BEFORE US
D
                                                                            ·~
       7. Civil Appeal Nos. 104-105 of 2003 have been filed by
  the State of Kerala against the common judgment and order
  dated 24th August, 2000 passed by a Division Bench of the
  Kerala High Court in O.P. Nos. 25332 and 26499 of 1999 filed
E by Niyamavedi and Peoples Union for Civil Liberties, Kerala
  State Unit striking down the proviso to Section 5(1 ), Section                     .
  5(2), Section 6 and Section 22 of the 1999 Act.

          Civil Appeal No.899 of 2001 has been filed by Malayora
     Karshaka Federation Kerala Meenangadi (respondent No.7
F    before the High Court in O.P. No.25332 of 1999) against the
     aforesaid order dated 24th August, 2000.

       Civil Appeal No.7079 of 2001 has been filed by M. Mohan
  Kumar, Chief Secretary, Government of Kerala against the
G order dated 4th December, 2000 passed by a Division Bench
  of the High Court in C.C.C. No. 542of1986 whereby the Court
  directed the appellant to appear before it for framing charges          >
  against him in not complying with the final direction issued by                '
                                                                                 ~
  the Court on 18th December, 1999.
H
 STATE OF KERALA v. PEOPLES UNION FOR CIVIL 169
  LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.)

CONTENTIONS                                                         A

    8. Mr. T.L. Viswanath Iyer, learned senior counsel and
Mr.Dayan Kishnan, Advocate, appearing on behalf of the
appellants would submit:-

     (i)     The High Court committed a manifest error in ,_B
             holding that the 1999 Act suffers from the vice of
             colourable exercise of power or is otherwise mala
             fide despite holding that the Legislature of the State
             of Kerala had the requisite legislative competence
             ~~~                                                    c
     (ii)      The members of the Scheduled Tribes had no
             . fundamental or common law right to obtain
               restoration of possession of their lanqs which had
               already been alienated.                ·             o
     (iii)    Such a right having been conferred upon them by
              reason of the provisions of 1975 Act, the same
              could be taken away and/or modified or altered by
              reason of a subsequent Act which comes within
              Entry 18 of the List II of Seventh Schedule of the    E
              Constitution of India.

     (iv)    Only because non.agricultural lands had been kept·
             out of purview of 1999 Act, the same by itself did
             not attract the wrath of Article 14 of the Constitution F
             of India..

     (v)     The provisions of the 1999 Act being more
             beneficial compared to the provisions of 1975 Act,
             only because the tribes would be allotted lands        G
             outside their original habitants, the same would not
             attract Article 21 of the Constitution of India,
             particularly when they would be getting 2 hectares
             of land as also grant for payment of compensation
             to the land holder in stead and place of repayable
             amount of loan as provided for in the 1975 Act.        H
    170          SUPREME COURT REPORTS               [2009] 11 S.C.R.

                                                                           i
A         (vi)    ·Keeping in view the nature of mandamus issued by
                   the High Court in the earlier round of litigation, it
                   would not mean that the State was not precluded
                   from amending or repealing the 1975 Act.

          (vii)   The decision of this Court in Madan Mohan Pathak
B
                  (supra) and Hoechst Pharmaceuticals Ltd. v. State
                  of Bihar, [ (1983) 4 SCC 45 ] having been
                  explained in Indian Aluminium Co. v. State of
                  Kera/a, [(1996) 7 SCC 637] as also a Constitution
                  Bench of this Court in State of Tamilnadu v.
c                 Arooran Sugars Ltd., [ (1997) 1 SCC 326 ], the
                  impugned judgment cannot be sustained.

          (viii) The tribals in whose favour the orders of restoration
                 had been passed having not filed any writ petition,
D                it must be presumed that they were not aggrieved
                                                                               lo·
                 by the provisions of the 1999 Act, particularly in
                 view of the fact that their association had been
                 consulted by the Government Officials and in that
                 view of the matter the writ petitioner - association
E                had no locus standi to maintain the public interest
                 litigation having regard to Baba Charan Dass
                 Udhasi v. Mahant Basant Das Babaji Che/a Baba
                 Laxmandas Udasi Sadhu [(2000) 6. SCC 1].

          (x)     In any event, a declaration by a Superior Court that
F                 a subsequent statute is ultra vires would not wipe
                  off the earlier statute automatically.

          (xi)    The purchasers· of land having acquired the
                  prope~ies in 1950s must be held to have acquired
G                 an indefeasible right over the same and thus the
                  1975 Act even to that extent was not applicable.
                                                                                      ,)



       ·. Mr. Rajinder Sachar, learned senior counsel appearing on                   I--
    behalf of respondents in C.A. Nos. 104-105 of 2001, on the
    other hand, would contend:-
H
              STATE OF KERALA v. PEOPLES UNION FOR CIVIL 171
               LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
                  (i)      The 1999 Act being in the teeth of the mandamus           A
                           issued by the High Court has rightly been held to
                           be unconstitutional in view of the fact that nothing
                           has been brought on record to show that the 1999
                           Act was enacted by the legislature despite
                           knowledge that the directions issued by the High          B
                           Court had attained finality.

                  (ii)     The 1975 Act having conferred a right of restoration
                           on the Members of the Scheduled Tribes, both in
                           respect of agricultural and non-agricultural lands,
                           the provisions of 1999 Act and in particular Section
                                                                                     c
                           6 thereof having confined i's operation only to
                           agricultural land and that to9 with retrospective
                           effect from 24th January, 1986, must be held to be
                           ultra vires Article 14 of the Constitution of India.
                                                                                     D
                   (iii)   The Members of the Scheduled Tribes being mostly
                           residents of forests and the lands restored in their
                           favour being forest lands, no legal infirmity was
                           committed by the High Court in holding that the
                           tribals; the community being weakest of weak,             E
                           should not be deprived therefrom having regard to
                           their constitutional right of ·1ife as adumbrated in
                           Article 21 of the Constitution of India .
       .          (iv)     As from the statistics furnished by the State itself it
                                                                                     F
                           would appear that only about 1O percent of the
                           applicants had more than 2 hectares of land, the
                           right of restoration of the marginal farmers could not
                           have been taken away.

                  (v)      Once a statutory protection is granted to the             G
                           beneficiaries, the same could not have been
                           withdrawn.
......." "       Mr. Verghese, learned counsel appearing on behalf of
             respondent No.1 in Civil Appeal No.899 of 2001 supplementing
                                                                                     H
    172         SUPREME COURT REPORTS                 [2009) 11 S.C.R.


A   the arguments of Mr. Sachar urged:                                       ~


          (i)     That the Members of Scheduled Tribes having
                  come under attack by economically more advanced
                  and politically more powerful ethnic groups who
                  infiltrated into tribal regions in search of land and
B
                  new economic possibilities, keeping in view Article
                  46 of the Constitution of India, they were entitled to
                  restoration of land in terms of the judgment of the        ,,.
                  High Court passed ,in O.P. No.8879 of 1988.

c         (ii)    Provisions of 1975 Act having been found to be
                  constitutionally valid, the accrued and vested rights
                  of the tribals could not have been taken away by
                  reason of 1999 Act or otherwise.

0         (iii)   The Writ-Petitioner - association having been
                  fighting for the cause of the tribals for a long time,
                  it cannot be said that they had no locus standi to
                  file the public interest litigation.

          (iv)    Even the Union of India having supported the case
E                 of the tribals,· there is no reason as to why this Court
                  should interfere with the impugned judgment.

          (v)     The 1999 Act being not a validating statute, the
                  impugned judgment is unassailable, particularly              •
F                 having regard to ·the objective of 1975 Act vis-a-vis
                  1999 Act.

          (vi)    It is incorrect to contend that the State before
                  enactment of 1999 Act consulted the true
                  representatives of the tribals.
G
          (vii)   In any view of the matter as the members of the
                  tribal community became entitled to restoration of          )

                  their land by reason of the provisions of the 1975
                  Act, there was no reason as to why the original land
                                                                                   '-
H                 would not be restored to them.
 STATE OF KERALA v. PEOPLES UNION FOR CIVIL 173
  LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
 The 1975 ACT                                                       A

      9. The 1975 Act was enacted by the State in terms of Entry
 6 of List Ill of Seventh Schedule of the Constitution of India.

     Section 2 contains interpretation clauses defining the terms
 specified therein.                                                 B

     Section 2(b) defines 'immovable property' to include
 standing crops and trees but does not include growing grass.

      'Scheduled tribe' has been defined in Section 2(e) to         C
· mean any of the Scheduled Tribes relating to the State as
  specified in the Constitution (Scheduled Tribes) Order, 1950~

     Section 2(g) defines 'transfer' as under :-

     " 'transfer' , in relation to immovable property, means an     D
     act by which immovable property, is conveyed to any
     documentary or oral transaction, whether by way of
     mortgage with or without possession, lease, sale, gift or
     exchange, or in any other manner, not being a
     testamentary disposition; and includes a charge,               E
     'vilapanayam', 'unduruthi', contract relating to immovable
     property, mortgage, pledge or hypothecation of crops or
     standing trees on payment of consideration or otherwise,
     voluntary surrender and abandonment.

     Explanation. - For the purposes of this clause. -              F

      (i)    "vilapanyam" means hypothecation of traps ori
             payment of consideration or otherwise;

      (ii)   "unduruthi" means an assignment of the right to        G
             collect the usufructs available or anticipated to be
             available to any land during specified term for a
             specified price."

    Section 4 imposes restrictions on transfer by providing a
non obstante clause in terms whereof after the commencement         H
    174      ·suPREME COURT REPORTS                 [2009) 11 S.C.R.


A   of the Act any transfer effected by a member of the Scheduled
    Tribe of immovable property posses~ed, enjoyed or owned by
    him to a person other than a member of a Scheduled Tribe,
    without the previous consent in writing of the competent
    authority, would be invalid.
B
          Section 5 of the Act invalidated certain transfers made by
    tribals to persons other than tribals after the first of January,
    1970 and before commencement of the Act:-

          "5. Certain transfers to be invalid - Notwithstanding
c         anything to the contrary contained in any other law for time
          being in force, or in any contract, custom or usage, or in
          any judgment, decree or order of any court, any transfer
          of immovable property possessed, enjoyed or owned by
          a member of a Scheduled Tribe to a person other than a
D         mernber of a Scheduled Tribe. effected on or after the 1st
          day of January, 1960, and before the commencement of
          this Act' shall be deemed to be invalid."

        Under SeCtion 6of the 1975 Actrnembers of the Schedule
E Tribes became entitled to restoration of possession of the
  properties, transfers which stood invalidated by operation of
  Section 4 and Section 5 of the Act. It provided for applications
  to be made by the Tribals for restoration of alienated lands to
  the Revenue Divisional Officer within the time prescribed
  _therefor. The Revenue Divisional Officer was to make enquiries
F and after being satisfied with the application of the Act was to
  direct restoration of possession to the applicant.

        Section 6 which is material for our purpose, inter alia,
    reads as under:-
G
          "6. Reconveyance of property - (1) Where by reasons of
          a transfer of immovable property which is invalid under
          Section 4 or Section 5, a member of a Scheduled Tribe
          has ceased or ceases to be in possession or enjoyment
          thereof he shall be entitled to the restoration of possession
H
           STATE OF KERALA v. PEOPLES UNION FOR CIVIL 175
            LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
               or enjoyment, as the case may be of such property.             A

                     (2) Any person entitled to be restored to the
               possession or enjoyment of any immovable property under
               sub-section (1) or any other person on his behalf may make
               an application, either orally or in writing to the Revenue     8
               Divisional Officer within a period of one year from the date
               of commencement of this Act or such further period as may
•              be specified by Government by notification in the Gazette


                     fci) fOf restoration of possession, or enjoyment, as     C
               the case may be, of such property, if such transfer had
               been made; before the date of commencement of this Act.

                      (b)                   for restoration of possession
               or enjoyment, as the case may be, of such property and         o
               for the prosecution ofthe person-who has procured such
               transfer, if such transfe(was made on or after the date of
               commencement of this Act."

               Section 11 provides for liability to pay amount.
                                                                              E
                Section 12 provides for advancement of loan by the
          Government for payment of the amount ·on such terms and
          conditions as has been laid down under sub-sections (2) and
•         (3) thereof.
                                                                              F
              The Act also prescribed offences and provided for
          penalties etc.

               Section 22 contains the rule making power.

          1999 ACT                                                            G
                The 1999 Act was published in the Kerala Gazette
    -f   · Extraordinary on 20th April, 1999. It was given a retrospective
           effect and retroactive operation from 24th January, 1986.

               'Land' has been defined in 2(b) to mean any agricultural       H
    176        SUPREMe COURT REPORTS                 [2009] .11 S.C.R.


A   land.                                                                   1

            Section 5.of the Act reads as under:-

            "5. Certain transfer to be invalid -

B          (1) Notwithstanding anything to the contrary contained in
          ·any other law for the time being in force, or in any contract.
           custom or usage, or in any judgment, decree or order of.
           any court, any transfer of land possessed, enjoyed or            >

c
           owned by a member of a Scheduled Tribe to a person
           other than a member of a Scheduled Tribe, effected on or
                                                                                      r
           after ther 1st day of January, 1960, and before the
           commencement of this Acf shall be deemed to be invalid:                    I
                                                                                      I
                                                                                      ,.....
                   Provided that nothing in this section shall render
            invalid any transfer of land possessed, enjoyed or owned
D
            by a member of a Scheduled Tribe to a person other than
            a member of a Scheduled Tribe effected during the                    •
            aforesaid period and the extent of which does not exceed                   t
                                                                                       jl
            two hectares.
                                                                                      )-:
E           (2) Notwithstanding. anything contained in sub-section ( 1)
            or in any judgment, decree or ord~r of any Court or other
            authority, in cases where the land involved in such transfer
            is used for agricultural purposes, the transferee thereof
            shall be entitled to retain in his possession the said land     ...
F           upto an extent of two hectares which shall be demarcated
            by the Revenue Divisional Officer by order and in the                     )-
            manner as may be prescribed."

            Section 6 providing for allotme_nt of lands reads thus:-

G         "6. Allotment of lands.- Notwithstanding anything contained
          in section 5 or in any judgment, decree or order of any
          Court or other authority, a member of a Scheduled Tribe           ).

          who had effected any transfer of land, possessed, enjoyed
          or owned by him, to a person other than a member of a
H         Scheduled Tribe, between the 1st day of January, 1960

                                                                                     ·.~


                                                                                     ~
STATE OF KERALA v. PEOPLES UNION FOR CIVIL 177
 LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]

  and the 24th day of January, 1986 and where an                    A
  application for restoration of right under Section 6 of the
  Kerala Scheduled Tribes (Restriction of Transfer of Lands
  and Restoration of Alienated Lands) Act, 1975 (31 of
  1975) has been filed before publication of this Act in the
  Gazette, but the possession or enjoyment thereof, has not         B
  been restored to him and such transfer has been validated
  by the proviso to sub-section (1) of Section 5 or the
  transferee thereof has been made eligible for the retention
  of said land under sub-section (2) of Section 5, shall be
  entitled to restoration of equal extent of land by way of         c
  allotment from the Government:

         Provided that where the extent of the land so allotted
  in respect of which there is eligibility for restoration of
  rights, is less than forty ares, Government shall allofthe rest
  of the land required to make the total extent equal to forty      D
  ares (One acre)."

  Section 8 providing for liability to pay amount reads :-

   "8.   Liability to pay amount.-
                                                                    E
   (1)    Notwithstanding anything contained in any other law
         for the time being in force, where the possession
         or enjoyment of any land is restored to a member
         of a Scheduled Tribe under this Act, an amount
         equal to the aggregate of the actual amount of             F
         consideration received by such member at the time
         of the transfer and an amount determined by the
         competent authority for improvements, if any, made
         after the transfer and before such restoration shall
         be paid by him to the person from whom                     G
         possession or enjoyment, as the case may be, was
         restored, in accordance with the rules made under
         this Act:

         Provided that no amount shall be payable if the            H
    178          SUPREME COURT REPORTS                  (2009] 11 S.C.R.

                                                                              i
A                 transfer was effected            on    or   after   the
                  commencement of this Act.

           (2)    The amount determined by the competent authority
                  under sub-section (1) shall be final and shall not be
                  called in question in any court.
B
                                                                                        t
           (3)    The amount payable under sub-section (1)"shall be                     Ir-
                  recoverable in such manner as may b'e prescribed.                     1

                                                                                       '\
          Section 10 provides for assignment of land, which reads:-
c          "10. Assignment of land.-

           (1)    Notwithstanding anything contained in Section 6 or
                  in the Kerala Government Land Assignment Act,
            •     1960 (30of1960) and the rules issued thereunder,
D ,               the Government shall assign land to the landless                ,,
                  families of the Scheduled Tribes in the State, an
                  extent not exceeding forty ares of land. in. the district
                  they reside within a period of two years from the
                  date of publication of this Act in the Gazette, or
E                 such further period as may be specified by
                  Government by notification in the Gazette, and 'in the
                  manner as may be prescribed.

           (2)     Where the extent of the land in the pos$ession and
                                                                                       ·-·
                                                                                        J

                                                                                        f

                   enjoyr:nent of any family of the Scheduled Tribe in
F
                   the State, is less than 40 Ares such family shall be
                   entitled to get assigned more land which is
                  ·necessary to make the total extent of the land equal
                   to 40 Ares."

G       Section 11 provides for constitutio·n of Scheduled Tribe
    Rehabilitation and Welfare Fund and utilization thereof.

          Section 21 provides for power to make Rules.

          Section 22 is the Repealing and Saving clause
H
          STATE OF KERALA v. PEOPLES UNION FOR CIVIL 179
     f     LIBERTIES, KERALA STATE UNIT [S.S. SINHA, J.]
              It reads as under:-                                                 A

               i•22. Repeal and saving.-

               (1)    The Kerala Scheduled Tribes (Restriction on
                      Transfer of Lands and Restoration of Alienated
                      Lands) Act, 1975 (31 of 1975) is hereby repealed.           B

               (2)    Notwithstandii'tg the repeal of the said Act, all orders
                      issued by the competent authority or the Revenue
                      Divisional Officer, so far as they are not inconsistent
                      with the provisions of this Act shall be deemed to          c
                      have been made under the corresponding
                      provisions of this Act and shall continue to be in
                      force accordingly unless and until superseded by
                      anything done or any action taken under this Act.
                      Every proceedings pending before a Court on a               D
                      complaint under Section 14 of the said Act shall be
                      deemed as a proceeding under the corresponding
                      provisions of this Act and shall be continued
                      accordingly."

         CONSTITUTIONAL VALIDITY OF 1999 ACT                                      E


     .. LEGISLATIVE BACKDROP
               11. The validity of .1975 Act is not in question. It, having
         regard to its inclusion in the Ninth Schedule of the Constitution
                                                                                  F
         of India by Constitution 40th Amendment Ac, 1976 read with
         Article 31 B which precludes an attack to the provisions of such
         an enactment on th~ ground that it violates any provisions of
         Part Ill of the Constitution of India, the validity thereof was upheld
         by a leaned Single Judge of the Kerala High Court in Bhavani
         v. State of Kera/a, [1989 (1) KLT _(Short Note Case No.58) at            G

..
-~
         37].

              We may also notice that Jagannadha Rao, C.J. (as His
         Lordship then was) in Fr. Thomas Kubukkat v. Union of India,
         ( 1994 (2) KLT 25] also upheld the provisions of Section 1(3)            H
    180       SUPREME COURT REPORTS                 [2009] 11 S.C.R.


A   of 1975 Act stating the said provision to be conditional
    legislation and not a delegated legislation.

         The Constitutional validity of statutes enacted for the
    benefit of the members of Scheduled Tribe by some other State
    although not identical has been uph~ld by this Court in
8
    Manchegowda and others v. State of Kamataka and others,
    [(1984) 3 SCC 301], Lingappa v. State of Maharashtra, [(1985)
    1 SCC 479]; P. Rama Reddy v. State of A.P. [ (1988) 3 SCC
    433] and Samtha v. State of Andhra Pradesh, [ (1997) 8 SCC
c   191 ].

         These decisions have been rendered on statutes which
    are not absolutely identical. All of which are not in pari materia
    with the other.

D       However, we may notice that in Manchegowda (supra) this
    Court held:-

          "19. We have earlier noticed that the title which is acquired
          by a transferee in the granted lands, transferred in
          contravention of the prohibition against the transfer,of the
E         granted lands, is a voidable title which in law is liable to
          be defeated through appropriate action and possession
          of such granted lands transferred in breach of the condition
          of prohibition could be recovered by the grantor. The right

F
          or property which a transferee acquires in the granted
          lands, is a defeasible right and the transferee renders
          himself liable to lose his right or property at the instance
          of the grantor. We have further observed that by the
                                                                          •
          enactment of this Act and particularly Section 4 and
          Section 5 thereof, the Legislature is seeking to defeat the
G         defeasible right of the transferee in such lands without the
          process of a prolonged legal action with a view to speedy
          resumption of such granted lands for distribution thereof
          to the original grantee or their legal representatives and
          in their absence to other members of the Scheduled
H         Castes and Scheduled Tribes communities. In our opinion,
                STATE OF KERALA v. PEOPLES UNION FOR CIVIL 181
                 LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
                   this kind of defeasible right of the transferee in the granted    A
                   lands cannot be considered to be property as
                   contemplated in Articles 31 and 31-A. The nature of the
                   right of the transferee in the gr~nted lands on transfer of
                   such lands in breach of the condition of prohibition relating
                   to such transfer, the object of such grant and the terms          B
                   thereof, also the law governing such grants and the object
                   ~nd the scheme of the present Act enacted for the benefit
                   of the weaker sections of our community, clearly go to
                   indicate that there is in this case no deprivation of such
                   right or property as may attract the provisions of Articles       c
                   31 and 31-A of the Constitution."

                   We are not concerned with the constitutional validity of
               1975 Act. We would at an appropriate stage deal with the
               matter in regard to the effect thereof.
     ii                                                                              D
               COLOURABLE LEGISLATION

                    12. We have noticed hereinbefore that the Division Bench
               of the High Court has upheld the legislative competence of the
               Legislature of the State"of Kerala. We, therefore, really at pains
                                                                                     E
               to understand as to how the doctrine of 'Colourable Legislation'
               could be invoked by the learned Judge of the High Court.

      "-             The doctrine of 'Colourable Legislation" is directly
               connected with the legislative competence of the State.
               Whereas the 1975 Act was enacted in terms of Entry 6 List Ill         F
               of t~e S~venth Schedule of the Constitution of India providing
               for transfer of lands; the 1999 Act was enacted in terms of Entry
               18 List II thereof. It reads as under:-

                   "18. Land, that is to say, right in or over land, land tenures,   G
                   including the relation of landlord and tenant, and the
-+        ~'
                   collection of rents; transfer and alienation of agricultural
                   land ; land improvement and agricultural loans;
 \
                   colonization."
=S
                   The 1999 Act, thus, having confined itself to 'agricultural       H
    182        SUPREME COURT REPORTS                 [2009) 1t S.C.R.


A   land', indisputably the State Legislature only has the requisite
    legislative competence therefor.

         It is one thing to say that an enactment suffers from vice
    of colourable legislation on the premise that it does not have
    legislative competence but it is another thing to say that only
8
    because the Act was amended purporting to nullify an earlier
    Act (in the words of the High Court), the same by itself would
    attract the said doctrine.

       For invoking the doctrine of 'Colourable Legislation' the
C legislature must have transgressed the limits of its constitutional
  power patently, manifestly and directly.

       The doctrine of 'Colourable Legislation', in our opinion, has
  no application in the instant case. The said doctrine is founded
0 on legislative competence of the State. An act of mala fide on            ~
  the part of the legislature also is beyond the province of judicial
  review. In fact no motive can be attributed to the Legislature
  for enacting a particular statute. The question in regard to the
  constitutionality of the statute must be considered keeping in
E view only the provisions of the Constitut1on.
         In K. C. Gajapathi Narayan Oeo v. The State of Orissa
    [(1954) 1 SCR 1), this Court held:

          "9. It may be made clear at the outset that the doctrine of
F         colourable legislation does not involve any question of
          bona fides or mala fides on the part of the legislature. The
          whole doctrine resolves itself into the question of
          competency of a particular legislature to enact a particular
          law. If the legislature is competent to pass a particular law,
G         the motives which impelled it to act are really irrelevant.
          On the other hand, if the legislature lacks competency, the
          question of motive does not arise at all. Whether a statute
          is constitutional or not is thus always a question of power." ·

       In R.S. Joshi, Sales Tax Officer, Gujarat and Others v. Ajit
H Mills Limited and Another [(1977) 4 SCC 98), this Court held
STATE OF KERALA v. PEOPLES UNION FOR CIVIL 183
 LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
as under:                                                                   A

        "2. A prefatory caveat. When examining a legislation from
        the angle of its vires, the Court has to be resilient, not rigid,
        forward-looking, not static, liberal, not verbal - in
        interpreting the organic law of the nation. We must also            B
        remember the constitutional proposition enunciated by the
        U.S. Supreme Court iri Munn v. lllinois1 viz. "that courts do
    0
        not substitute their social and economic beliefs for the
        judgment of legislative bodies". Moreover, while
        trespasses will not be forgiven, a presumption of                   C
        constitutionality must colour judicial construction. These
        factors, recognised by our Court, are essential to the
        modus vivendi between the judicial and legislative
        branches of the State, both working beneath the canopy
        of the Constitution.
                                                                            D
        ***   ***     ***

     13. Bearing in mind the quintessential aspects of the rival
    contentions, let us stop and take stock. The facts of the
    case are plain. The professed object of the law is clear.
                                                                            E
    The motive of the legislature is irrelevant to castigate an
     Act as a colourable device. The interdict on public mischief
     and the insurance of consumer interests against likely,
     albeit, unwitting or "ex abundanti cautela" excesses in the
    working of a statute are not merely an ancillary power but
    surely a necessary obligation of a social welfare state. One
                                                                            F
     potent prohibitory process for this consummation is to
    penalize the trader by casting a no-fault or absolute liability
    to "cough up" to the State the total "unjust" takings snapped
    up and retained by him "by way of tax" where tax is not so
    due from him, apart from other punitive impositions to deter            G
    and to sober the merchants whose arts of dealing with
    customers may include "many a little makes a mickle'. If
    these steps in reasoning have the necessary nexus with
    the power to tax under Entry 54 List 11, it passes one's
    comprehension how the impugned legislation can be                       H
    184      SUPREME COURT REPORTS                  [2009] 11 S.C.R.


A         denounced as exceeding legislative competence or as a
          "colourable device" or as "supplementary; not
          complementary'."

         [See also Dharam Dutt and others v. Union of India,
    [(2004) 1 sec 712]."
8
         The principles of determining the constitutionality of statute   +
    has been stated in Gujarat Ambuja Cements Ltd. v. Union of
    India, [(2005) 4 sec 214 ] thus:-

c          "28. Having determined the parameters of the two
          legislative entries the principles for determining the
          constitutionality of a statute come into play. These
          principles may briefly be summarised thus:

           (a) The substance of the impugned Act must be looked               7·
D         at to determine whether it is in pith and substance within
          a particular entry whatever its ancillary effect may be
          [Prafulla Kumar Mukherjee v. Bank of Commerce Ltd.,
          AIR at p. 65, A.S. Krishna v. State of Madras, State of
          Rajasthan v. G. Chawla, Katra Educational Society v.
E         State of U.P., D.C. Johar & Sons (P) Ltd. v. STO and
          Kannan Devan Hills Produce v. State of Kera/a].

                 (b) Where the encroachment is ostensibly ancillary
          but in truth beyond the competence of the enacting
F         authority, the statute will be a colourable piece of
          legislation and constitutionally invalid (A. S. Krishna v.
          State of Madras, A.B. Abdul Kadir v. State of Kera/a, SCC
          at p. 232 and Federation of Hotel & Restaurant Assn. of
          India v. Union of India, SCC at p. 651). If the statute is
          legislatively competent the enquiry into the motive which
G
          persuaded Parliament or the State Legislature into
          passing the Act is irrelevant (Dharam Dutt v. Union of
          India).

            (c) Apart from passing the test of legislative
H       competency, the Act must be otherwise legally valid and
--               STATE OF KERALA v. PEOPLES UNION FOR CIVIL 185
                  LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
                     would also have to pass the test of constitutionality in the       A
,,,.....
                     sense that it cannot be in violation of the provisions of the
                     Constitution nor can it operate extraterritorially. (See
                     Poppatla/ Shah v. State of Madras.)"

                      Has the legislature of the State of Kerala transgressed the       B
                limitations of its constituti.anal power, as has been held by the
                High Court, is the question?

                      We have pointed out heretobefore that the doctrine of
                colourable legislation is strictly confined to the question of
                legislative competence of the State Legislature to enact a              c
                statute. Once it was opined by the High Court that having regard
                to Entry 51, List II of the Seventh Schedule of the Constitution
                 of India, the Legislature of the State of Kerala had the requisite
                legislative competence to enact the 1999 Act, that should have
                been held to be the end of the matter. The High Court could             D
                not have, in our respectful opinion, entered into the said
                question through a side-door so as to hold that the
                transgression of the limitations of constitutional power may be
                disguised, covert or indirect.
                                                                                        E
                      The High Court, in our opinion, again with utmost respect,
                has committed a fundamental error in failing to keep a
                distinction in mind in regard to the power of a law making
                authority which is of a qualified character and the power granted
                to a legislative authority which is absolutely without any limitation
                                                                                        F
                and restriction, being plenary in character.

                     A statute in view of the decision of this Court in Gujarat
                Ambuja Cements Ltd. (supra), in the event of it being held
                within the ambit of the legislative competence of the State, could
                be declared ultra vires only on the premise that it is violative of     G
                the provisions of Part Ill of the Constitution of India or any other
           -·   provisions but not on the ground of colourable exercise of power
                or mala fide on the part of the legislature. The object, purpose
                or design referred to by the High Court should be taken into
                consideration for the purpose of examining its constitutionality        H
     186      SUPREME COURT REPORTS                 [2009) 11 S.C.R.


A on the touchstone of ~he provisions of Part 111 of the Constitution
  of India a!ld not otherwise. In that view of the matter, the High
  Court committed a serious error in relying upon Dwarkadas
  Shrinivas of Bombay v. Sholapur Spinning and Weaving
  Company Ltd. and Others [AIR 1954 SC 119] and Jagannath
B Baksh Singh v. State of UP. [AIR 1962 SC 1563], which did
  not deal with the question of legislative competence of the
  legislature of a State, as was the question before the High
  Court.

C         No material was placed before the High Court to establish
     that the 1999 Act was confiscatory in nature.

       It is one thing to say that a citizen of India having been
  conferred with a right on lands by reason of a statutory
  provision, has been deprived therefrom without payment of any
D compensation and, thus, the same would be violative of Article
  300A of the Constitution of India, but, it is another thing to say
  that on that ground alone the legislation should be befd to be a
  colourable one.

E         We have adverted to the statement of Objects and
     Reasons of the 1_999 Act. The legislature had a broad object
     in mind. Whether the Act stands the scrutiny of limitations of
     the- State's- power so as to achieve its object and purpose is
     one question, but, it is another question that while doing so it
     has adopted a device and a cloak to confiscate the property
F    of the citizen taxed as was the case in K. T. Moopil Nair v. State
     of Kera/a [AIR 1961 SC 552].

        The High Court in its judgment has referred to
  Shankaranarayana v. State of Mysore [AIR 1966 SC 1571]. But,
G in our opinion, and with utmost respect, it again failed to apply
  the pr~nciples laid down therein correctly. Therein itself the court    ._
  had noted that if the legislature is competent to pass a particular
  law, the motives which impel it to pass the same become really
  irrelevant.
H-
          STATE QF, KERALA v. PEOPLES UNION FOR CIVIL 187
                   I
           LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
              The High Court furthermore committed a serious error              A
         insofar as it made an incidental observation that the tribals who
         enjoy the protection of Constitution of India and sought to be
         protected by the 1975 Act could not have been denied the
         benefits under the 1999 Act, which in our opinion, was not a
         relevant question.                                                     B

             The provisions of the Constitution in this behalf are
         enabling in nature. When a constitutionality of an enactment
         comes to be questioned, the superior courts are required to
         pose unto themselves the right question.
                                                                                c

-             The question, in our opinion, should have been whether the
         statute is valid having been enacted to achieve the
         constitutional goal set out not only in Part Ill of the Constitution
         of India but also Part IV and IVA thereof.
                                                                                D
               The rights conferred upon the class of persons including
          the protected class, in terms of 1975 Act, were statutory in
          nature. They cannot be categorized as plainly constitutional
          rights. It is one thing to say that some rights are constitutional
          in nature/origin being part of the expansive regime of Article
                                                                                E
          21, but, it would not be correct to raise the same to the exalted
          status of constitutional rights. A right which primarily flows from
        . a statute, cannot claim its constitutional pedigree to become a
          constitutional threshold, against which constitutionality of a
          statute can be tested. It is trite that a right which may be
          conferred by a statute can also be taken away by another.
                                                                                F

             It is also a trite law that the State is entitled to change its
        legislative policy having regard to the ground realities and
        changing societal condition. In fact, the legislature is expected
        to take steps for enacting a new statute or amending the same           G
    •   so as to keep pace with the changing societal condition as well
        as taking into consideration the development of law, both
        domestic and international.

             The High Court, in our opinion, furthermore committed a
                                                                                H
    188     SUPREME COURT REPORTS                  [2009] (1 S.C.R.


A serious error in opining that although the legislature had the
  legislative competence to enact Act 12 of 1999, but
  nevertheless, proviso to Sections 5(1) and 5(2) thereof would
  be held to be colourable. The High Court should have examined
  the question of their constitutionality on the touchstone of
B Articles 14 and 21 of the Constitution of India and not on the ·
  premise that the said provisions are colourable in nature.

    PRESIDENTIAL ASSENT

        13. It was held by the High Court that Presidential Assent
C was necessary and the 1999 Act was enacted to by-pass the
  mandatory requirement of the President's Assent. In
  determining the said issue, it again ought to have posed unto
  itself the right question, viz., whether the Presidential Assent
  was necessary for enacting a statute which came within the
D purview of List II of the Seventh Schedule of the Constitution of
  India. The answer thereto must be rendered in negative.

        The 1975 Act dealt with both agricultural and non-
   agricultural lands. Transfer of land comes within the purview of
E. Entry 6, List Ill of the Seventh Schedule of the Constitution of
   India. There exists a Parliamentary Act in that behalf, as for
   example, Transfer of Property Act. Only because the 1975 Act
   could be held to be in conflict with the provisions of the Transfer
   of Property Act, the Presidential Assent was necessary having
   regard to Clause (2) of Article 254 of the Constitution of India
F but once the said statute is repealed and in its place a new
   Act is brought on the statute book, which comes strictly within
   the purview of Entry 49, List II of the Seventh Schedule of the
   Constitution of India, no Presidential Assent would be
   necessary. Presidential Assent would be necessary for the
G purpose of amendment of the Act and not for enacting a
   separate statute which came within the purview of a different
   entry and a different List.

      It is furthermore well-known that Article 254 of the
H Constitution of India would be attracted only in a case where
..             STATE OF KERALA v. PEOPLES UNl.Ot:J FOR CIVIL 189
          ~     LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
              two statutes are enacted under the Concurrent List, viz., one     A
"'            by the State Legislature and the other by the- Parliament of
              India, and not in any other case.

              EFFECT OF ISSUANCE OF A WRIT OF MANDAMUS
                                                                                B   •
                  14. Before adverting to the said question, we may notice:
              the background facts leading to the issuance of a writ of
              mandamus.

                   Admittedly the State was not implementing the provisions
              of the 1975 Act. Dr. P. Nalla Thampy Thera filed O.P. No.8879     c
              of 1988 for direction upon the State and its officers to
              implement the provisions of the 1975 Act. The learned
              Additional Advocate General appearing for the Stat~ gave an
              undertaking to the effect that "utmost steps would be taken for
              the disposal of the applications and that the Act would be        D
              enforced in all its rigour'', on the basis whereof the Original
              Petition was allowed on 15th October, 1993 directing the State
              to give directions to the Authorities under the Act to dispose
              of the applications pending before them within six months of
              that date.                      ., '                              E
                   As the State had taken extension of time by an order
     -4
              dated 13th August, 1996, a learned Single Judge, inter alia,
              directed the Revenue Divisional Officers to cause delivery of
              the properties covered by orders for restoration against which
              no appeals were pending and in which no compensation was          F
              payable, forthwith and in any event within six weeks from that
              date.

                   A writ appeal was preferred thereagainst and an interim
              order of stay was passed on 11th October, 1996. Th~ matter        G
              was referred to a Full Bench. We have noticed heretobefore
              the order dated 25th November, 1998.

                   We have also noticed the order of the Full Bench dated
              6th January, 1999.
                                                                                H
         190        SUPREME COURT REPORTS               [2009] 11 S.C.R.           ...



     A        The High Court was, thus, aware of fhe impending
         legislation. The extension of time was subject to a new
         legislation.

             The 1975 Act was a conditional legislation. It came into
•       foree with eff-ect from 24th January, 1986. Directions were
      B
        issued only tn regard to implementation of the statutory
    '
        provisions It was not a case where by reason of issuance of
        writ of mandamus, certain benefits were conferred on a person
        or a group of persons.
     c      In Madan MohanPathak (supra), the Calcutta High Court
       had issued a writ of mandamus directing the Life Insurance
       Corporation to pay annual cash bonus to Class 111 and Class
       IV employees for years April 1, 1975 to March 31, 1976 along
       with their salary for the month of April, 1976 as provided by the
     D Settlement:The said decision attained finality as Letters Patent
       Appeal pryferred thereagainst had been withdrawn by the Life
       Insurance Corporation. In the meantime a Parliamentary Act,
       known as Life Insurance Corporation (Modification of
       Settlement) Act, 1976 came into force.
     E
            In the said factual backgrounds, it was held :-

               "7. But before we proceed further, it would be convenient
                                                                              I-
               at this stage to refer to one other contention of the
               petitioner based on the judgment of the, Calcutta High Court
     F         in Writ Petition 371 of1976. The contentionwas that since
               the Calcutta High Court had by its judgment dated May 21,
                1976 issued a writ of mandamus directing the Life
               Insurance Corporation to pay annual cash bonus to Class
               Ill and Class IV employees for the year April 1, 1975 to
     G         March 31, 1976 along with their salary for the month of
               April, 1976 as provided by the Settlement and this                        )

               judgment had become final by reason of withdrawal of the
               Letters Patent Appeal preferred against it, the Life
               Insurance Corporation was bound to obey the writ of
     H         mandamus and to pay annual cash bonus for the year April
    STATE OF KERALA v. PEOPLES UNION FOR CIVIL 191
     LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
      1, 1975 to March 31, 1976 in accordance with the terms           A
      of clause 8(!i) of the Settlement. It is, no doubt, true, said
      the petitioners, that the impugned Act, if vc.:lid, struck at
      clause 8(ii) of the Settlement and rendered it ineffective
      and without force with effect from April 1, 1975 but it did
      not have the effect of absolving the Life Insurance              B
      Corporation from its obligation to carry out the writ of
      mandamus. There was, according to the petitioners,
      nothing in the impugned Act which set at naught the effect
      of the judgment of the Calcutta High Court or the binding
      character of the writ of mandamus issued against the Life        c
      lnsuranc? Corporation. This contention of the petitioners
      requires_ serious consideration and we are inclined to
      accept it.

       1.     It is significant to note that the~e was no reference
             to the judgment of the Calcutta High Court in the         D
              Statement of Objects and Reasons, nor any non
              obstante clause referring to a judgment of a Court
              in Section 3 of the impugned Act. The attention of
             Parliament does not appear to have been drawn to
             the fact that the Calcutta High Court has already         E
             issued a writ of mandamus commanding the Life
             Insurance Corporation to pay the amount of bonus
             for the year April 1, 1975 to March 31, 1976. It
             appears that unfortunately the judgment of the
             Calcutta High Court remained almost unnoticed and         F
             the impugned Act was passed in ignorance of that
             judgment. Section 3 of the impugned Act provided
             that the provisions of the Settlement insofar as they
             relate to payment of annual cash bonus to Class Ill
             and Class IV employees shall not have any force           G
             or effect and shall not be deemed to have had any
             force or effect from April 1, 1975. But the writ of
'
'            mandamus issued by the Calcutta High Court
             directing the Life Insurance Corporation to pay the
             amount of bonus for the year April 1, 1975 to March       H
    192   SUPREME COURT REPORTS               [2009] 11 S.C.R.
                                                                    ~



A           31, 1976remained untouched by the impugned Act.
            So far as the right of Class Ill and Class IV
            employees to annual cash bonus for the year April
             1, 1975 to March 31, 1976 was concerned, it
            became crystallised in the judgment and thereafter
B           they became entitled to enforce the writ of
            mandamus granted by the judgment and not any
            right to annual cash bonus under the Settlement.
            This right under the judgment was not sought to be
            taken away· by the impugned Act. The judgment                    ',   i

c           continued to subsist and the Life Insurance
            Corporation was bound to pay annual cash bonus                        ~
            to Class Ill and Class IV employees for the year
            April 1, 1975 to March 31, 1976 in obedience to
            the writ of mandamus. The error committed by the
D
            Life Insurance Corporation was that it withdrew the          .
            Letters Patent Appeal and allowed the judgment of
            the learned Single Judge to become final. By the
            time the Letters Patenf Appeal came up for hearing,
            the impugned Act had already come into force and                      '
                                                                                  I


            the Life Insurance Corporation could, therefore, have
                                    I
                                                                                  '
E           successfully contended in the Letters Patent                      '
            Appeal that, since the Settlement, insofar as it
            provided for payment of annual cash bonus, was
                                                                        ~
            annihilated by the impugned Act with effect from
            April 1, 1975, Class 111 and Class IV employees
F           were not entitled to annual cash bonus for the year                   ,,.
                                                                                  '
            April 1, 1975 to March 31, 1976 and hence no writ                         '

            of mandamus could issue directing the Life                            '

G
            Insurance Corporation to make payment of such
            bonus. If such contention had been raised, there is
            little doubt, subject of course to any constitutional
                                                                                      ·-
            challenge to the validity of the impugned Act, that     i,

            the judgment of the learned Single Judge would
            have been upturned and the writ petition dismissed.                   }-
            But on account of some inexplicable reason, which
H           is difficult to appreciate, the Life Insurance
       STATE OF KERALA v. PEOPLES UNION FOR CIVIL 193
        LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
 .,
                   Corporation did not press the Letters Patent               A
                   Appeal and the result was that the judgment of the
                   learned Single Judge granting writ of mandamus
                   became final and binding on the parties. It is difficult
                   to see how in these circumstances the Life
                   Insurance Corporation could claim to be absolved           B
                   from the obligation imposed by the judgment to
                   carry out the writ of mandamus by relying on the
                   impugned Act.".

          Madan Mohan Pathak (supra) has been followed in P.
      Venugopal v. Union of India, [ (2008) 5 SCC 1 ], wherein it
                                                                              c
      was opined :~

           "As in Mohan Pathak case (para 8), as quoted
           hereinabove, in the instant case also Parliament does not
           seern to have been apprised about the pendency of the              D
           proceedings before the Delhi High Court and this Court
           and declaration made and directions issued by the Delhi
           High Court at different stages. In the impugned
           amendment, there is no non obstante clause. The
           impugned amendment introducing the proviso, therefore,             E
           cannot be treated to be a validating Act."

           A distinction must be made between issuance of writ of
..    mandamus conferring right upon a person or class of persons
      and the one directing implementation of the Act. However, in
                                                                              F
      this case while the learned Single Judge of the High Court
      issued a direction that the applications filed by the members
      of the Scheduled Tribes should be determined by the Revenue
      Authorities in terms of the provisions of the 1975 Act; the same,
      in our opinion, did not mean that the High Court itself had issued
      a writ of mandamus directing restoration of'tfle~_ lands in             G
      question.

          As in most of the cases members of the Scheduled Tribes
      have not been paid compensation through their vendees in
      terms of the provisions of 1975 Act. They did not a_ttain finality.     H
    194      SUPREME COURT REPORTS                 [2009] 11 S.C.R.

                                                                         r
A   If that be so, in our opinion question of invoking the decision of
    Madan Mohan Pathak (supra) in the factual matrix involved
    herein does not· arise.
                                                                                 ,.
                                                                                 \-

       Further, it is one thing to say that a writ of mandamus shall
B be obeyed despite passing of a subsequent Act as it had
  attained finality or that-it had not been brought to the notice of
  the Legislature, but it is another thing to say that no writ of
  mandamus was issued conferring rights upon the parties.
  Directions to implement the provisions of the Act by itself did
  not confer any right upon the parties. The lis has to be
c adjudicated upon. It did not attain finality in that sense of the
  term.

       We may notice that scope of Madan Mohan Pathak
  (supra) has been explained in Indian Aluminium Co. (supra),
D stating :-

        "49. In Madan Mohan Pathak v. Union of India, on the
        basis of a settlement, bonus became payable by the LIC
        to its Class Ill and Class IV employees. In a writ, a Single
E       Judge of the Calcutta High Court issued mandamus
        directing payment of bonus as provided in the settlement.
        During the pendency of letters patent appeal, LIC
        (Modification of Settlement) Act, 1976 was-enacted                       J-
        denying bonus payable to the employees. The appeal was               •
        withd.rawn. The validity of 1976 Act was challenged in this .
F
        Court under Article 32 of the Constitution. A Bench of                   •
                                                                                 ~
        seven Judges had held that Parliament was not aware of
        the mandamus issued by the court and it was declared that
        the 1976 Act was void and writ of mandamus was issued
        to obey the mandamus by implementing or enforcing the
G       provisions of that Act and directed payment of bonus in
                                                                                 f
        terms of the settleme!lt. It was pointed out that there was      1
                                                                                 '

        no reference to the judgment of the High Court in the
       ·Statement of Objects and Reasons, nor any non obstante
        clause referring to the judgment of the Court was made in                ;-
H       Section 3 of the Act. Attention of Parliament was not drawn
 STATE OF KERALA v. PEOPLES UNION FOR CIVIL 195
  LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.)
    to the mandamus issued by the High Court. When the                A
    mandamus issued by the High Court became final, the
    1976 Act was held invalid. Shri R.F. Nariman laid special
    emphasis on the observations of learned Chief Justice Beg
    who in a separate judgment had pointed out that the basis
    of the mandamus issued by the court could not be taken            B
    away by indirect fashion as obser1ed at p. 743, C to F.
    From the observations made by Bhagwati, J. per majority,
    it is clear that this Court did not intend to lay down that
    Parliament, under no circumstance, has power to amend
    the law removing the vice pointed out by the court. Equally,      c
    the observation of Chief Justice Beg is to be understood
    in the context that as long as the effect of mandamus
    Issued by the court is not legally and constitutionally made
    ineffective, the State is bound to obey the directions. Thus
    understood, it is unexceptionable. But it does not mean that
                                                                      0
    the learned Chief Justice intended to lay down the law that
    mandamus issued by court cannot at all be made
    ineffective by a valid law made by the legislature, removing
    the defect pointed out by the court."

    Madan Mohan Pathak (supra), thus, stood explained in              E
Indian Aluminium Co.       v.
                       State of Kera/a (supra) to be
understood in the context that. as long ·as the effect of
mandamus issued by the court is not legally and constitutionally
made ineffective, the State is boun.d to obey the directions.
                                                                      F
    Yet again, in National Agricultural Coop. Marketing
Federation of India Ltd. v. Union of India, [(2003) 5 SCC 23],
explaining Madan Mohan Pathak, it has been held:-

    "26. The decision is an authority for the principle that a
    judicial decision which has become final inter partes,            G
    cannot be set at naught by legislative action,· a principle
    that is well entrenched. Therefore, if, as has been
    contended by the appellant, the High Court in 1981 had in
    proceedings between th~ appellant and the Revenue held
    that the appellant was entitled to the benefit of the deduction   H
      196      SUPREME COURT REPORTS                    [2009} 11 S.C.R.


 A          under Section 80-P(2)(a)(iii) of the Act, and the Revenue           f

            has not impugned the High Court's decision, that decision
            binds the parties for the assessment years in question and
            cannot be reopened because of the 1998 Amendment.
            This principle, however, does not in any way detract from
 B          the principle that the legislature may "cure" the statute so
            that it more correctly represents its intention. Such curative
            legislation does not in fact touch the validity of a judicial
            decision which may have attained finality albeit under the
            pre-amended law."
 c         In Mylapore Club v. State of T.N. [ (2005) 12 SCC 752 ),
      P.K. Balasubramanyan, J opined-:-

            "The power to legislate is a plenary power vested in the
            legislature and unless those who challenge the legislation
 D          clearly establish that their fundamental tights under the
            Constitution are affected or that the legislature lacked
            legislative competence, they would not succeed in their
            challenge to the enactment brought forward in the wisdom
            of the legislature. Conferment of a right to claim the benefit
 E          of a statute, being not a vested right, the same could be
            withdrawn by the legislature which madg the enactment. It
            could not be said that the Amendment Act lacked either
            legislative competence or that it is unconstitutional."

           Where a new Act is enacted removing the very basis on
 F    which the High Court made a preceding Act invalid; it matters
      not whether the same is not termed as a validating statute or
      not. In this case, however, in our opinion, such a question does
      not arise as the 1975 Act was not declared to be invalid.                     ~

 G         In Bakhtawar Trust v. M.D. Narayan, [(2003) 5 SCC 298]
      this Court held :-

            "In order to validate an executive action or any provision
            of a statute, it is not sufficient for the legislature to declare
- H         that a judicial pronouncement given by a court of law would
     STATE OF KERALA v. PEOPLES UNION FOR CIVIL 197
      LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]

         not be binding, as the legislature does not possess that           A
         pgwer. A decision of a court of law has a binding effect
         unless the very basis upon which it is given is so altered
         that the said decision would not have been given in the
         changed circumstances."
                                                                            B
         The reason is not far to seek. The Legislature can not over-
    rule a judgment but it can remove the basis on which the
    judgment has been rendered.

        The Act was implemented both in respect of those who had
    two acres of land and those who had more.                               C

        The 1999 Act removes the basis for passing of the
    judgments so far as the applications for restoration filed by
    Members of the Scheduled Tribes in regard to their lands which
    was less than 2 hectares is concerned.                                  o
         It provides that the term 'land' would mean 'only agricultural
    land' and the application for restoration shall lie only in case
    where the extent of the land exceed two hectares. (See Section
    2(b) and Section 5 of 1999 Act).
                                                                            E
         Admittedly, the 1999 Act was made effective
    retrospectively from 24th day of January, 1986. It contains a
    Repeal and Savings clause. In that view of the matter, in our
#   opinion, it was not neGessary to term the statute as a validating
    statute containing a non-obstante clause.                               F
         It is difficult to conceive, having regard to 'the orders issued
    by the Full Bench, that the Legislature were not aware of the
    orders passed by the High Court. In any event the Full Bench
    of the High Court has stated that the directions issued by it           G
    would be subject to the new enactment.

        We, therefore, are of the opinion that Madan Mohan
    Pathak (supra) has no application to the present cases.

                                                                            H
    198        SUPREME COURT REPORTS                 [2009] 11 S.C.R.
                                                                                '
A YESTED RIGHT VIS-A-VIS ARTICLE 14

         15. A vested right has been defined in P. Ramanatha
    Aiyar's Advanced Law Lexicon, 3rd edition, page 4888, in the
    following terms:
8         "Vested rights. Property rights.

          The expression 'vested right' means an absolute or
          indefeasible right. It is an immediate fixed right in present
          or future enjoyment in respect of property. The claim based
c         on the vested right or settled expectation to obtain sanction
          cannot be set up against statutory provisions. It cannot be
          countenanced against public interest and conveniences
          which are sought to be served. n

        In Southern Petrochemical Industries Co. Ltd. v.
D Electricity Inspector & ETIO [(2007) 5 SCC 447], this Court
                                                                           -1
  held:

            "106. Furthermore, exemption from payment of tax in
          favour of the appellants herein would also constitute a right
E         or privilege. The expression "privHege" has a wider
          meaning than right. A right may be a vested right or an
          accrued right or an acquired right. Nature of such a right
          would depend upon and also vary from statute to statute.
          It has been so held by this Court, while construing Section      •
F         6 of the General Clauses Act, in Gurcharan Singh Baldev
          Singh v. Yashwant Singh in the following tenns: (SCC
          p. 432, para 3)
                                                                                ~
          "The. objective of the provision is to ensure protection of
          any right or privilege acquired under the repe~led Act. The
G         only exception to it is legislative intention to the contrary.
          That is, the repealing Act may expressly provide or it may
          impliedly provide against continuance of such right,
          obligation or liability."

H         [See also Kusumam Hotels Private Limited v. Kera/a
                     STATE OF KERALA v. PEOPLES Ur:-JION FOR CIVIL 199
.......               LIBERTIES, KERALA STATE UNIT [S.S. SINHA, J.]

                ~
                    State Electricity Board and Others (2008) 13 SCC 213 and            A
                    State of Punjab and Others v. Bhajan Kaur and Others (2008)
                    12 sec 1121

                         The question as to whether the members of Scheduled
                    Tribe had a vested right or not, may now be considereEI. The
                                                                                        B
                    properties were sold by them to persons who were not the
                    members of the Schedule Tribes long back. Such transactions,
                \
                    when entered into, were valid being not barred by any statute.
                    The vendees, thus, acquired indefeasible right. They, however,
                    were invalidated by Section 5 of the 1975 Act. The
                    consequence of rendition of such transactions as invalid was
                                                                                        c
                    to restore the lands back to possession of the tribals wherefor
                    certain procedural requirements were to be complied with. The
                    1975 Act, however, was only brought into force in 1986, that
                    too with retrospective effect from 1982. In the meanwhile, many
                    purchasers again acquired prescriptive rights. It was furthermore   D
          .,,       made effective only when the Rules were framed in 1986.

                         The right of restoration was of two kinds, one, in respect
                    of agricultural land and the other in regard to non-agricultural
                    land. We intend to deal with them separately. Indisputably,         E
                    despite the 1975 Act having been brought in force and the
                    Rules having been framed for the effective implementation
                    thereof, the State and the Revenue Officers took no steps for
                    implementation therefor for a long time. The process started
          >         only when a writ of mandamus was issued by the High Court.          F
                    For its i_mplementation, the substance of the proceedings has
                    been noticed by us heretobefore. The 1975 Act and the 1986
                    Rules provided for several stages. The procedure laid down in
                    the 1986 Rules consists of filing of application for restoration,
                    calling for objections, determination of the issues, filing of
                                                                                        G
                    appeals. Once that stage reached finality, the applicants are
                    required to pay compensation to the land holder in terms of
                    Section 9 of the 1975 Act which was a condition precedent
                    therefor.

                        The 1975 Act contemplated raising of loan from the              H
    200     SUPREME COURT REPORTS                  [2009] 11 S.C.R.


A   government by the members of the Scheduled "Tribe, §YPj~ct
    to the conditions laid down in the Rules. The procedure for
    grant of loan and consequent payment of compensation to the
    owners of land was a pre-condition for actual restoration thereof.

          When, thus, loans are raised and amount of compensation
8
    is paid to the transferees~ in our opinion, only then the vested
    right for getting back possession of the lands gets accrued and
    not prior thereto. We say so because the 1975 Act itself
    provides for a statute depriving the land holders from a right of
    property, which is otherwise protected by reason of Article 300-
c   A of the Constitution of India. It is also a human right. [See
    Vimlaben Ajitbhai Patel v. Vatslaben Ashokbhai Patel and
    Others (2008) 4 SCC 649 and Union of India & Ors. v. Mis.
    Martin Lottery Agencies Ltd. [(2009 4 SCALE 34)

0        The provisions of the 1975 Act, therefore, deserve ~trict
    construction. Although we are- not required to consider th(j
    validity of the 1975 Act stricto sensu, we may place on record
    that even the decisions of this Court have declared similar
    provisions to be intra vires.
E
       Before, however, we advert thereto, we would like to make
    some general observations.

        No territory in the State of Kerala has been declared as
   Scheduled Area within the meaning of Article 244 read with the        4.
F Fifth Schedule of the Constitution of India. A distinction, thus,
   must be borne in mind in regard to the enactments which deal
  with tribal areas and which do not. If a law (e.g. Scheduled Area
   Regulation Act) deals with the tribal areas, the same amends
  provisions of the other Acts including the Limitation Act, 1963.
G If a person is in possession of a land, which he had obtained
  by reason of a valid transaction as it then was, which was
  subsequently sought to be invalidated, he would ordinarily
  receive protection by reason of doctrine of prescription provided
  for under the Limitation Act, by reason whereof if he has been
H in possession thereof for a period of more than 12 years, he
STATE OF KERALA v. PEOPLES UNION FOR CIVIL 201
 LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
would have acquired an indefeasible right thereto despite the       A
fact that the transaction has been invalidated by a later Act. It
was so held in Manchegowda (supra). Therein, a distinction
was maqe between a defeasible right and an indefeasible right
and this Court was concerned with a transaction which was
voidable in nature.                                                 B
     It is, however, not a case where a transfer has be~n made
in contravention of the terms of the grant or any law, regulation
or rule governing such grant which could be legqlly avoid~d c:>r
possession thereof could be recovered through process of law.       C
Therein, this Court clearly held:

            "24. Though we have come to the conclusion that the
     Act is valid, yet, in our opinion, we have to make certain
     aspects clear. Granted lands which had been transferred
     after the expiry of the period of prohibition do not come D
     within the purview of the Act, and cannot be proceeded
     against under the pruvisions of this Act. The provisions of
     the Act make this position clear, as Sections 4 and 5
     l:>~~gm~ qpplicable only when granted lands are
    transferFed fn br~cich of the condition relating to prohibition E
    on transfer of such 9rpnt~d lands, Granted lands
    transferred before the commencement of the Act and not
    in contravention of prohibition on transfer are clearly
    beyond the scope and purview of the present Act. Also in
    case where granted lands had been transferred before the F
    commencement of the Act in violation of the condition
    regarding prohibition on such transfer and the transferee
    who had initially acquired only a voidable title in such
    granted lands had perfected his title in the granted lands
    by prescription by long and continuous enjoyment thereof G
    in accordance with law before the commencement of the
    Act, such granted lands would also not come within the
    purview of the present Act, as the title of such transferees
    to the granted lands has been perfected before the
    commencement of the Act. Since at the date of the
                                                                    H
    202       SUPREME COURT REPORTS                  [200£l] 11 S.C.R.


A         commencement of the Act the title of such transferees
          had ceased to be voidable· by reason of acq4isJtion of
          prescriptive rights on account of long and continued user
          for the requisite perioq, the title of such transferees could
          not be rendered void by virtue of the provisions of the Act
B         without violating the con~titutional guarantee. We must,
          ~h§refore, reaq dqvvn the provisions of the Act by holding
          that th~ A9t will qpply tg transfers of gr~nted lands made
          in breach ofthe condition imposing prohibition on transfer
          of granted lands only in those cases where the title
c         acquired by the transferee was still voidable at the date
          of the commencement of the Act ·and had not lost its
          defeasible character at the date when the Act came into
          force. Transferees of granted lands having a perfected and
          not a voidable title at the commencement of the Act must
          be held to be outside the pale of the provisions of the Act.
D
          Section 4 of the Act must be so construed as not to have
          the effect of rendering void the title of any transferee which
          was not voidable at the date of the commencement of the
          Act."

E         In Lingappa (supra), this Court held;

          "26. The impugned Act in its true nature and character is
          a law relating to transfers and alienations of agricultural
          lands by members of Scheduled Tribes in the State to
F         persons not belonging to Scheduled Tribes. Such a law            •
          does not fall within Entries 6 and 7 in List Ill but is within
          Entry 18 in List 11. We may here set out Entries 6 and 7 in
          List Ill:

          "6. Transfer of property other than agricultural land;
G         registration of deeds and documents.

          7. Contracts, including partnership, agency, contracts of
          carriage, and· other special forms of contracts, but not
          including contracts relating to agricultural lands."
H
            STATE OF KERALA v. PEOPLES UNION FOR CIVIL                   203
             LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
               The words "other than agricyltural land" in Entry 6 and the       A


    -          words "but not including contracts relating to agricultural
               Ittner in Entry 7 in List Ill have the effect of delimiting the
               legislative p9wer of the Union to make a law with respect
               to transf~rs and alienations of agricultural lands or with
               respect to eontraets in relation thereto. The power to            B
               legislate cannot be denied to the State on the ground that
               the provisions of Sections 3(1) and 4 which provide for
               annulm13nt of transfers by tribals incidentally 'trench upon
               the existing law, namely, the Transfer of Property Act, 1882
               or a law rnade by Parliament viz. the Specific Relief Act,        c
               1963. The power of the State Legislature to make a law
               with respect to transfer and alienation of agricultural land
               under Entry 18 in List II carries with it not only a power to
               make a law placing restrictions on transfers and alienations
               of such lands including a prohibition thereof, but also the
                                                                                 D
               power to make a law to reopen such transfers and
               alienations. Such a law was clearly within the legislative
               competence of the State Legislature being relatable to
               Entry 18 in List II of the Seventh Schedule."

               It was observed:                                                  E

               '' .. ,That apart, members of Scheduled Tribes i.e. tribals
               who gre rnostly aboriginals constitute a distinct class who
        ~      need a special protection of the State. Further, the question
               as to how far and by what stages such laws are to be              F
               implemented involves a matter of policy and therefore
               beyond the domain of the courts. Secondly, the Act no
               doubt makes a distinction between a non-tribal transferee
               who had oiverted the lands obtained by him under a
               transfer from atribal during the period from April 1, 1957
                                                                                 G
               to July 6, 1974 (:Ind had put such lands to non-agricultural
               purpose, a'nd other non-tribal transferees who got into
               possession under transfers effected by tribals during the
               same period but continued to use the lands for agricultural
               purposes. There is no question of any differential treatment
                                                                                 H
'
    204      SUPREME COURT REPORTS                     (2009] 11 S.C.R.


A         between two classes of persons equally situate. When a
          part of the land is diverted to a non-agriq.Jlturar purpose
          viz. the construction of a dwelling house or the setting up
          of an industry, the State Legislature obviously could not
          have made a law for annulment of transfer of such lands
B         by tribals under Entry 18 in List II as the lands having beeri
          diverted to non-agricultural purposes ceased to be
          agricultural lands. In the case of such non-agric1,.1ltural land,
          if the Stat(3 Legjslatµre mad~ such a law it would not be
          eff~ctive unless it was reserved for the assent of the

c         Presid@nt enc:f r~§eiveci sl1oh assent."

       Therein, thus, this Court found that Sub-section (1) of
  Section 3 of Maharashtra Restoration of Lands to Scheduled
  Tribes Act, 1974 made detailed provision to strike a balance
  between the mutual rights and obligations of the parties, upon
D making of an order for restoration of such land to the members              J

  of the Scheduled Tribes.

        It was furthermore held that the said Act having been
  placed in the Ninth Schedule of the Constitution of India, the
E validity thereof could not have been challenged for contraventi9n
  of Articles 14, 19(1)(f) or Article 31 of the Constitution of lndi~.

       Yet again in P. Rami Reddy and Others v. State of
  Andhra Pradesh and Others [(1988) 3 SCC 433], there existed                 ..
   a law prohibiting transfer in the agency tract areas, viz., the
F Agency Tracts Interest and Land Transfer Act, 1917. Those
   areas were notified as Scheduled Areas after coming into force
  of the Constitution by reason of the Scheduled Area. (Part 'A'
  States) Order, 1950. By reason of the power conferred on the
  Governor of the State by Para 5(2) of the Fifth Schedule, the
G regulations named as AP. Scheduled Areas Lanc:f Transfer
  Regulation, 1959 were made. In the aforementioned backdrop,
  it was opined:

          "19 ... The community cannot shut its eyes to the fact that
H         the competition between the "tribals" and the "non-tribals"
     STATE OF KERALA v. PEOPLES UNION FOR CIVIL 205
      LIBERTIES 1 KERALA STATE UNIT [S.B. SINHA, J.]
         partakes of the character of a rar.::e between a handicapped        A
         one-legged person and an able-bodied two-legged
..       person. True, transfer by "non-tribals" to "non-tribals" would
         not diminish the pool. It would maintain status quo. But is
         it sufficient or fair enough to freeze the exploitative
         deprivation of the "tribals" and thereby legalize and               B
         perpetuate the past wrong instead of effacing the same?
         As a matter of fact it would be unjust, unfair and highly
         unreasonable merely to freeze the situation instead of
         reversing the injustice and restoring the status quo ante.
         The provisions merely command that if a land holder                 c
         voluntarily and on his own volition is desirous of alienating
         the land, he may do so only in·favour of a "tribal". It would
         be adding insult to injury to impose such a disability only
         on the tribals (the victims of oppression and exploitation
         themselves) and discriminate against them in. this regard           0
         whilst leaving the "non-tribals" to thrive on the fruits of their
         exploitation at the cost of "tribals". The "non-tribal"
         economic exploiters cannot be installed on the pedestal
         of immunity and accorded a privileged treatment by
         pefrmitting them to transfer the lands and structures, if any,
                                                                             E
         raised on such lands, to "non-tribals" and make profits at
         the cost of the tribals. It would not only tantamount to
         perpetuating the exploitation and injustice, it would
         tantamount to placing premium on the exploitation and
         injustice perpetrated by the non-tribals. Thus it would be
         the height of unreasonableness to impose the disability only        F
         on the tribals whilst leaving out the "non-tribals". It would
         also be counterproductive to do so."

          However, in K. T. Huchegowda v. Dy. Commissioner
     [(1994) 3 SCC 536], this Court held:                                    G

        "8. On a plain reading, granted land will mean, any land
        granted by the Government to a person, who is a member
        of the Scheduled Castes or Scheduled Tribes which
        includes land allotted to such persons. Grant may be of              H
    206     SUPREMtt COURT REPORTS                  [2009] 11 S.C.R.

A       different types; it may be by absolute transfer of the interest
        of the State Government to the person concerned; it may
        be only by transfer of the possession of the land, by way
        of allotment, without conveying the title over such land of
        the State Government. If by grant, the transferee has
B       acquired absolute title to the land in question from the
        State Government, then subject to protection provided by
        the different provisions of the Act, he will be subject to the
        same period of limitation as is prescribed for other citizens
        by the provisions of .the Limitation Act,_ in respect of
c       extinguishment of title over land by adverse possession.
        On the other hand, if the land has been allotted by way of
        grant and the title remains With the State Government, then
        to extinguish the title that has remained of the State
        Government by adverse possession, by a transferee on the
        ba~is of an alienation made in his favour by an allottee,
D
        the period of limitation shall be 30 years. Incidentally, it may
        be mentioned that some of the States in order to protect
        the members of the Scheduled Tribes from being
    / dispossessed from the lands which belong to them and of
        which they are absolute owners, for purpose of
E     . extinguishment of their title by adverse possession, have
        prescribed special period of limitation, saying that it shall
        be 30 years. In Bihar, vide Regulation No. 1 of 1969, in
        Article 65 of the Limitation Act, it has been prescribed that
        it would be 3Q years in respect of immovable property
F       belonging to a member of the Scheduled Tribes as
        specified in Part Ill to the Schedule to the Constitution
        (Scheduled Tribes) Order, 1950.

       9. There is no dispute that so far as the Act with which we
G      are concerned, no special period of limitation has been
       prescribed, in respect of lands which have been granted
     , to the members of the Scheduled Castes and Scheduled
       Tribes with absolute ownership by the State Government.
       In this background, when this Court in the case of Sunkara
H      Rajayalakshmi v. State of Karnataka said that the period
             STATE OF KERALA v. PEOPLES UNION FOR CIVIL 207
              LIBERTIES, KERALA STATE UNIT [S.S. SINHA, J.]
                    of limitation, which has to be taken into account for the       A
                    purpose of determining, whether the title- has been
   \..
                    perfected by prescription, shall be that which runs against
                    the State Government and therefore it would be 30 years
                    and not 12 years, has to be read in context with the lands,
                    the ownership whereof, has not been transferred                 B
                     absolutely, to the members of the Scheduled Castes and
                     Scheduled Tribes; the lands having been only allotted to
                     them, the title remaining with the State Government. The
                     cases where the transfer by the State Government by way
                     of grant has been absolute, then unless there is an            c
                     amendment so far the period of limitation is concerned, it
                     is not possible to apply the special limitation of 30 years,
                     c;o far such grantees are concerned, when the question to
                    be determined, is as to whether a transferee in
                    contravention of the terms of the grant, has perfected his
                                                                                    D
         "          title by remaining in continuous and adverse possession.
                    The transferee, who has acquired the land from the
                    grantee, in contravention of the terms of the grant shall
                    perfect his title·by adverse possession by completing the
                    period of 12 years .. When this Court said in its main
                                                                                    E
                    judgment, in the case of Manchegowda v. State of
                    Kamataka that in cases where granted lands had been
                    transferred before the commencement of the Act in
                    violation of the condition, regarding prohibition on such
         "          transfer and the transferee who had initially acquired only
                    a voidable title, in such granted lands had perfected his       F
                    title in the granted lands by prescription by long and
                    continuous enjoyment thereof in accordance with law
                    before the commencement of the Act, has to be read, for
                    purpose of determining the period of limitation in respect
                    of lands granted with absolute ownership, to mean 12            G
             &      years and grant by way of allotment without transfer of the
                    ownership in favour of the grantee, to mean 30 years."

                    [See also Papaiah v. State of Karnataka (1996) 10. SCC
Ill(
             533]                                                                   H
    208     SUPREME COURT REPORTS                 [2009] 11 S.C.R.

A         The statutory provisions, therefore, must be interpreted ih
    the light of-the constitutionai provisions.

       The decisions of this Court, therefore, are clear and
  unambiguous. In a case involving members of the Scheduled
  Tribe living in Scheduled Area the period of limitation can be
8
  extended, but it is not permissible in respect of an area which
  has not been declared to be a Scheduled Area. When a person
  acquires an indefeasible right, he can be deprived therefrom
  only by taking recourse to the doctrine of Eminent Domain. If a
  person is sought to be deprived of an indefeasible right
C acquired by him, he should be paid an amount of
  compensation. In a case of this nature, therefore, where an
  amount of compensation has not actually been tendered, the
  vendees of the land could not be deprived of their right to be
  dispossessed. In that view of the matter, a distinction must be
D made between a case where an amount of compensation has
  been paid and in a case where it has not been. If a vested right
  has not been taken away, the question of applicability of Article
  14 of the Constitution of India would not arise.

E        The High Court, however, proceeded to apply Article 14
    of the Constitution of India on the premise that the provisions
    of the 1999 Act clearly seek to destroy the right conferred on
    Scheduled Area by Act 31 of 1975. The approach of the High
    Court being not correct, the same cannot be sustained.              ..
F REASON FOR AMENDMENT

       16. This brings us to the question as to whether the 1999
  Act is invalid inter alia because the State was apprehensive
  that the assignees may offer organized resistance for
G implementation of the 1975 Act and the State wanted to avert
  a conflict between the tribals and the non-tribals. the sltort
  answer to the said question is that the State cannot shut its
  eyes to the ground realities. The Statement of Objects and
  Reaso11s would clearly show that the State did not take an
H action in a half-hearted manner. It consulted the tribal
                STATE OF KERALA v. PEOPLES UNION FOR CIVIL 209
,.               LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
      .f
               organizations. It is stated in its Counter Affidavit by the State        A
               before the High Court as under:

                    "... Under the above circumstances, urgent steps were
                    taken to have discussion with the various tribal
                    organisations did not insist upon getting the very same land        8
                    that had been alienated but would prefer to obtain an equal
          ..        extent of land from the Government. Many organisations
                    did not insist that the Act 31 of 1975 should be
                    implemented in its original form. The Government also had
                    serious discussions with various political parties and other
                    concerned with tribal welfare. Discussions were also held
                                                                                        c
                    with the present occupants of the alienated tribal lands.

                    On the basis of the discussions and deliberations the
                    Government thought it proper to introduce a suitable
                    legislation which would adequately take care of the                 D
     "'             interests of the Tribals and also find a solution to the
                    problems of landlessness and homelessness of the Tribals.
                    Accordingly, the Kerala Restriction on transfer by and
                    Restoration of Land to the Scheduled Tribes Act, 1999 was
                    introduced in the State Assembly and the same was                   E
                    unanimously passed by the Assembly. The Bill became an
                    Act (Act 12 of 1999) on 20.4.1999."

     ~              If the contention of the State is correct that most of the tribal
               organizations did not insist upon getting the same land that they
                                                                                        F
               had been alienated from but would have preferred to have
               ~ltemate land allotted to them by the government and as many
               organizations insisted that the 1975 Act may not be
               implemented in its original form, we think that action of the
               State cannot be termed to be arbitrary so as to attract the wrath
               of the equality clause contained in Article· 14 of the Constitution      G
               of India.

                   While doing so, the State had taken into consideration the
               change in the situation by reason of passage of time. The tribals
               had been out of possession of their lands for decades. It was            H
         210       SUPREME COURT REPORTS                [2009] 11 S.C.R.                 ,
                                                                                         •,

                                                                               ~
    A for the elected representatives of the people to determine as -
      to whether by reason of the provisions of the 1999 Act _the
      members of the Scheduled Tribe would face dislocation or that
      it would impinge on their culture connected with their lands.
                                                                  '   '   -




               The ground realities are presumed to be knoWh to the State
    8                                                                                         ~
          and if anybody raises a contrary contention, it would· be for'him
          to bring on record sufficient materials to show so as· tci enable    ...
        · the court to arrive at a conclusion that the State's action was
          arbitrary.

'
    c
    -      It is furthermore a well-settled principle of law that the
      superior court in exercise of their power of judicial review of
      legislation would not ordinarily determine the merit of the
      legislation by entering into a broad question as to whether
      materials placed before the Legislature were sufficient for
    D bringing out the legislation in question or not.                               .
              Such inquisitorial inquiry on the part of the court, in our
         opinion, is beyond the province of the court.

         BENEFICIENT NATURE OF THE 1999 ACT VIS-A-V-5
    E 1975 ACT

               17.. The 1999 Act, in our opinion, is more beneficial in
         nature so far as the people of the State of Kerala are
                                                                                     ~
         concerned.
    F
               The 1975 Act came into f9rce with retrospectiv~ effect from -
          1.01.1982. But, as noticed hereinbefore, the 'Rules were framed
         -only·on 18;10.1986. Act 12 of 1999, however, came into force
        _ on _20.04, 1999 but was gi_ven ? retrospective effect and
          retroactive operation -from 24.01.1986.                                             :
    G                                                                                         ,'
             · We heretobelow may notice a comparative chart of the -
         salient provisions of the tWo Acts:


    H
STATE OF KERALA v. PEOPLES UNION FOR CIVIL 211
 LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
Act 31/75 - Came into force           Act 12/99 came into force         A
  on 01.01.1982 Pages 135             on 20.04.1999 Page
  - 142                               Nos.161 -      169, but
                                     ·deemed to have come into
                                      force on 24.01.1986
2(b) "Immovable property"          2(4) Section                         B
  defined as including
                                     "Land" defined means
  standing crops and trees.
                                     agricultural land - Act
  Act applies to such property
                                     applies to such land.
4. Transfer of any immovable       4. Transfer of any land (i.e.        c
   property by a tribal to a non      Agricultural land) by tribal to
   tribal without previous            non-tribal               after
   consent of competent               commencement of Act
   authority               after      without previous consent of
   commencement of the Act            competent authority shall         D
   shall be void.                     be void.
5. Transfer of immovable           5. (1) Transfer of land by tribal
   property by Tribal. to non         to    non tribal       after
   tribal after 01.01.1960 shall      01.01.1960 and before Act
   be deemed to be invalid            shall be deemed to be             E
                                      invalid.
                                     Proviso : But this will not
                                     invalidate transfers where
                                     the extent of land
                                     transferred does not               F
                                     exceed two hectares
                                     (2) Notwithstanding (1)
                                     above, where the land
                                     transferred is used for
                                                                        G
                                     agriculture purpose the
                                     transferor may retain the
                                     treansferred land or 2
                                     Hectres to be demarcated
                                     by the RDO.
                                                                        H
    212     SUPREME COURT REPORTS                  [2009] 11 S.C.R.


A   6(1) The      Tribal whose        6. Styled as allotment of land.
      transfer is invalidated under
                                        (1) Tribal who has effected
      Sections 4 and 5 shall be
                                        transfer of land between
      entitled to restoration of
                                        01.01.1960 and 2.4. 1986
      possession of the property.
                                        and
B
       Sub Sectton (5) provide for      (a) who has filed an
       a remedy of appeal to the        application for restoration
       a,ggrieved persons to the        u/s. 6 of Act 31 of 1975
      .competent authority.
                                        (b) but whose possession
c                                       has not been restored.
                                        (c) and which transfer has
                                        been validated by the
                                        provisions of Sec.5 above
                                        shall be entitled to
D                                       allotment of equal extent of
                                        land by Government to the
                                        extent of 40 Ares.
    7. Govt. may take Suo-moto          Proviso:
    action for restoration
E                                       Where the extent of land to
                                        be so allotted is less than
                                        40 be· Ares (One Acre)
                                        Government will make
                                        further allotment to make
F                                       the total extent 4o Ares.

     11. Where possession is          7. Where a transfer ofland is
     restored to tribal under            invalidated U/s. 4 and 5 of
     Section 6 he shall pay to the       the Tribal is entitled to
    quantum transferee the               restoration of such land.
G   consideration received as
    also the value of the
    improvement effected by the
    transferee as determined by
    .the competent authority.
H
    STATE OF KERALA v. PEOPLES UNION FOR CIVIL 213
     LIBERTIES, KERALA STATE UNIT [S.S. SINHA, J.]
    12. Government may advance            Sub-section 2 to 4               A
    loans to tribal for; payment of       prescribe the procedure for
    the amount u/s.11 to be               restoration with a right of
    repaid in half yearly or annual       appeal under sub section 6
    instalment and to be                  (Akin to section 6 of Act 31
    recovered as an arrear of             of 75)                           B
    land revenue if kept in arrears.
                                        8. 1 Similar to section 11 of
                                           Act 31 of 75
                                        9. Government shall provide        C
                                           grant to eligible tribal/
                                           liable to pay the amount


-                                          under Section 8.
                                        10. (1) Government shall
                                            assign land to landless
                                            tribal    families    not
                                                                           0
                                            exceeding 40 Ares in
                                            extent in his own district
                                            within two years or
                                            extended time.
                                                                           E
                                           (2) If any family owns land
                                           below 40 Ares I extent
                                           Govt. to assign such
                                           extent of land as is
                                           necessary to make up 40         F
                                           Ares .
                                       . 11. Schedule Tribe rehabili-
                                             tation and Welfare Fund to
                                             be constituted for GOnstru-
                                             ction of houses for tribal    G
                                             families and for other
                                             welfare measures.
                                         12. Provision     for    legal
                                             assistance 22 Repeal of
                                             Act 31 of 1975 with usual     H
                                             saving clause.
    214       SUPREME COURT REPORTS                   [2009] 11 S.C.R.


A       Broadly, speaking, the provisions of the 1999 Act are more
   beneficial to the members of the Scheduled Tribe. For
   determining the said question, we must take a holistic view of
  .the matter. However, we are not oblivious of the fact that
   restoration in respect of non-agricultural land and to the extent
B of 2 acres are not contemplated by the 1999 Act. We are also
   not oblivious of the fact that, it would appear, on the basis of
   the statistics furnished by the learned Additional Advocate
   General before the High Court, to which we have referred to
   heretobefore itself that a large number of members of the
c  Scheduled Tribe would be deprived of the benefit of restoration
   oftheir own lands constituted in forest areas.

          In the counter-affidavit filed by the State, it is stated:

         "It is submitted that the Government found that Act 31 of
D        1975 would not really serve the purpose of ameliorating
         the problems of the scheduled tribes and might instead
         lead to law and order situation in various parts of the State.
        After a comprehensive study of the matter the Government
         passed Act 12 of 1999. The allegation that the intention
E       of Act 12 of 1999 is other than protection of the rights of
        schedule tribes is incorrect and denied. A reading of all
        the provisions of the Act 12 of 1999 would make it clear
        that the legislature has kept the over all interests of the
        tribals and all the people of the State is general while
F       enacting Act 12 of 1999. It is submitted that no right
       ·conferred by Act 31 of 1975 has been taken away by Act
         12 of 1999. The allegation that Act 12 of 1999 is meant
        to protect the right of tribals is incorrect and is denied. It
        is submitted that the various provisions of Act 12 of 1999
G       had already been delineated elsewhere in the counter
       affidavit and the reasons for the enactment of Act 12 of
        1999 have also been explained."

       Out of 4724 applications for restoration filed, 1475
  applications involved transfer of less than 50 cents, 898
H applications involved transfer of "extent between 50 cents and
         STATE OF KERALA v. PEOPLES UNION FOR CIVIL 215
          LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
    o    1 acre", 904 applications covered cases of "transfer of extent      A
         between 1 and 2 acres and 1074 applications related to
         "transfer of extent between 2 acres and 5 acres and that only
         373 applications involved cases of transfer of more than 5 acres
         or 2 hectares.
                                                                             B
              The State has clearly brought on record the fact that it had
         conducted further studies wherefrom it came to learn that about
         12,000 tribal families in the State did not possess any land of
         their own and 30,000 families did not have any house of their
         own.
                                                                             c
              It is necessary, according to us, to bear in mind that the
         law postulates grant of compensation in a case where the right
         on a land is sought to be taken away. The 1975 Act postulates
         grant of compensation to the alienees, the amount wherefor was
         required to be determined by a competent authority. The             D
         amount of cor,rtpensation so determined was to be paid by the
         members of the Scheduled Tribe to their vendees in respect
         whereof he was to take loan from the State. The amount of loan
         taken was, thus, requlred to be repaid. The 1999 Act, however,
        ~provides for a grant which need not be repaid.             .        E

              The members of the Scheduled Tribe were further to get
        one acre of land from the State although they might have
        transferred even 5 or 10 cents of land. In the case of a transfer
        made upto two acres, he is to be allotted two acres of land by
        the State. Whether such land is avaiilable with the State            F
        Government or not is a different questio'n, which we intend to
        deal with separately. The statute also contemplates building of
        houses for the members of the Scheduled Tribes. It provides
        that the land to the extent of one acre also be provided to the
        landless tribals. It contemplates constitution of a rehabilitation   G
        fund.

             The 1999 Act, therefore, if given a holistic view, is more
        beneficial to the members of the Scheduled Tribe than the 1975
-       Act. If the State contemplated a legjslative policy for grant of     H
    216      SUPRF.ME COURT REPORTS                 [2009] 11 S.C.R.


A   more benefits to a vast section of people, taking care of not
    only restoration of land but those who have not transferred any
    land at all or otherwise landless, the statute by no stretch of
    imagination can be treated to be an arbitrary and an
    unreasonable one.

B ARTICLE 21 ISSUE

          18. Article 21 deals with right to life and liberty. Would it
    bring within its umbrage a right of tribals to be rehabilitated in
    their own habitat is the question? If the answer is to be rendered
C · in the affirmative, then, for no reason whatsoever even an inch
    of land belonging to a member of Scheduled Tribe can ever
    be acquired. Furthermore, a distinction must be borne between
    a right of rehabilitation required to be provided when the land
    of the members of the Scheduled Tribe are acquired vis-a-vis
D a prohibition imposed upon the State from doing so at all. The
    question must be considered from another angle. The
    Scheduled Tribes are not in an agency area or Scheduled
    Area. The literacy rate of the tribals of Kerala is 57% which is
    much more than the national average. Most of the tribal children
E have elementary education. In the schools and colleges of
    Kerala, Malayalam, Tamil or English is taught. It has been
    noticed by various writers that the tribal teachers have not been
    interacting with the students in the tribal terms and, thus;
    gradually the tribal students have lost respect for their language
F and begun to disregard their language, their culture and, thus,
    their own primitive way of life. [See Tribes of Kerala - Identity
    Crisis by Rayson K. Alex]

          The learned author states:

G       "What is the criterion for the government to label a tribe
        as a "scheduled" tribe in the constitution? Has the
        government conducted a detailed study on the culture,
        traditions, their interrelationship with the place they live in,
        their socio-economic structures and judiciary before
                                                                           i
H       labeling them as "scheduled" tribes? The reason for this           '
     STATE OF KERALA v. PEOPLES UNION FOR CIVIL 217
      LIBERTIES, KERALA STATE UNIT [S.S. SINHA, J.]
.,     categorization can be attributed to their "supposed"              A
       backwardness and not their distinct identity from the
       dominant society of the country. Without taking into
       consideration aforementioned aspects of the culture of the
       tribes, to create "awareness" and to finally "develop" (in the
       narrow sense of the word) them, the tribes were forced to         B
       merge and condition themselves along the lines of the so-
       called "main-stream" Indian society. "When that was
       challenged, the ideologues of the aggressing society
       presented the theory of "integration" which in reality is the
       other side of the same coin. And now has come the final           c
       blow from the armory of the India state for the indigenous
       people of the country in the form of total denial of their
       existence in India. "India does not have indigenous
       population"! Thus declared the Indian Permanent Mission
       in the United Nation in Geneva (Mullick et al 7).                 0
              This is not an argument made to showcase the tribes
       of Kera la as "scheduled tribes." Now a question of serious
       importance can be raised: Is there a need to uphold/
       preserve this indigenous culture? The outer (can be read
       as "other") influences have spread their ·roots so strong         E
       that their minds have been colonized (can be read as
       'altered'). Even though the tribes carry wonderful memories
       of their rich past, they do not want to be in the same
       situation as they were in days of yore. So, the need for
       conservation of the tribal culture is the problem of the non-     F
       tribes, especially the researchers, scholars and activists
       working in this area. Intentionally or unintentionally, changes
       are the only constant feature of any culture. It can be
       observed that no culture can retain its flavor at different
       points of time. But the questions to be addressed to the          G
       "main-stream" and its government are: Are the tribes given
       freedom to accept or deny what ever they want? Are they
       given a free space to think, act and establish (as they used
       to in days of yore?)"
                                                                         H
    218        SUPREME COURT REPORTS                [2009] 11 S.C.R.


A        We may notice that in Indigenous and Tribal Populations
    Convention, 1957 which has been ratified by 27 countries
    including India contained following clauses:

          "Article 11
8         The right of ownership, collective or individual, of the
          members of the populations concernec:I over the lands
          which these populations traditionally occupy shall be
          recognised.

c         Article 12

          1. The populations concerned shall not be removed without
          their free consent from their habitual territories except in
          accordance with national laws and regulations for reasons
          relating to national security, or in the interest of national
D
          economic development or of the health of the said
          populations.

          2. When in such cases removal of these populations is
          necessary as an exceptional measure, they shall be
E         provided with lands of quality at least equal to that of the
          lands previously occupied by them, suitable to provide for
          their present needs and future development. In cases
          where chances of alternative employment exist and where
          the populations concerned prefer to have compensation           ~.


F         in money or in. kind, they shall be so compensated under
          appropriate guarantees.

          3. Persons thus removed $hall be fully compensated for
          any resulting loss or injury.

G         Article 13

        1. Procedures for the transmission of rights ofownership
        and use of land which are established by the customs of
        the populations concerned shall t?e respected, within the
H       framework of national laws and regulations, in so far as
              STATE OF KERALA v. PEOPLES UNION FOR CIVIL 219
               LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
                   they satisfy the needs of these populations and do not             A
                   hinder their economic and social development

                   2. Arrangements shall be made to prevent persons who
                   are not members of the populations concerned from taking
                   advantage of these customs or of lack of understanding
                                                                                      B
                   of the laws on ihe part of the members of these populations
                   to secure the ownership or use of the lands belonging to
          .        such members."

                  Thus, removal of the population, by way of an exceptional
              measure, is not ruled out. It is only subject to the condition that     c
              lands of quality at least equal to that of the lands previously
              occupied by them, suitable to provide for their present needs
              and future development. We may, however, notice that this
              Convention has not been ratified by many cou_i:itries in the
              Convention held in 1989. Those who have ratified the 1989               D
              Convention are not bound by it.

                   Furthermore, the United ~ations adopted a declaration on
              the rights of indigenous peoples in September, 2007. Articles
              3 to 5 thereof read as under:
                                                                                      E
                   "Article 3

                  Indigenous peoples have the right to self-Oetermination. By
                  virtue of that right they freely determine their political status
                  and freely pursue their economic, social and cultural               F
                  development.

                  Article 4

                  Indigenous peoples, in exercising their right to self-
                  determination, have the right to autonomy or self-                  G
                  government in matters relating to their internal and local

    ,,,   •       affairs, as well as ways and means for financing their
                  autonomous functions.

                  Article 5
                                                                                      H
4
    220       SUPREME COURT REPORTS                  [2009] 11 S.C.R.


A         Indigenous peoples have the right to maintain and
          strengthen their distinct political, legal, economic, social
          and cultural institutions, while retaining their right to
          participate fully, if they so choose, in the political,
          economic, social and cultural life of the State."
B
       It is now accepted that the Panchasheel doctrine which
  provided that the tribes could flourish and develop only if the
  State interfered minimally and functioned chiefly as a support
  system in view of passage of time is no longer valid. Even the
  notion of autonomy contained in the 1989 Convention has been
c rejected by India. However, India appears to have softened its
  stand against autonomy for tribal people and it has voted in
  favour of United Nations declaration on the rights of indigenous
  people which affirms various rights to autonomy that are
  inherent in the tribal peoples of the world. This declaration,
D however, is not binding.

      This Court furthermore in Narmada Bachao Ando/an v.
  Union of India and Others [(2000) 10 SCC 664] while
  considering the validity of acquisition of lands by the State of
E Madhya Pradesh for a project known as Sardar Sarovar Project
  (SSP) by constructing a dam on river Narmada as a result
  whereof the residence of tribals in various States, viz., Madhya
                                                                           ..
  Pradesh, Gujarat, Maharashtra and Rajasthan were affected,
  opined as under:
F                "62. The displacement of the tribals and other
          persons would not per se result in the violation of their
          fundamental or other rights. The effect is to see that on
          their rehabilitation at new locations they are better off than
          what they were. At the rehabilitation sites they wi.11 have
G         more and better amenities than those they enjoyed in their
          tribal hamlets. The gradual assimilation in the mainstream
          of the society will lead to betterment and progress."
                                                                           "
       For the purpose of going into the question with regard to
H the adjudication of the water dispute regarding the inter-State
                                                                           ~~
                            STATE OF KERALA v. PEOPLES UNION FOR CIVIL 221
                             LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
               ...,
                           River Narmada and the river valley thereof in terms of the            A
                           provisions of the inter-State Water Disputes Act, the award inter
                           alia provided for relief and rehabilitation stating that no
                           submergence of an area would take place unless the oustees
                           are rehabilitated.
                                                                                                 B
                               This Court referred to Article 12 of the ILO Convention No.
              ..\
                           107 holding:
                      '

                                       "58. The said article clearly suggested that when the
                                removal of the tribal population is necessary as an
                                exceptional measure, they shall be provided with land of         c
                                quality at least equal to that of the land previously occupied
                                by them and they shall be fully compensated for any
                                resultin,g loss or injury. The rehabilitation package
                                contained in the award of the Tribunal as improved further
                                by the State of Gujarat and the other States prima facie         D
         ~
                                shows that the land required to be allotted to the tribals is
                                likely to be equal, if not better than what they had owned."

                                 Noticing that construction of a dam is of utmost importance
                            for development of the country as it plays an important role in
                                                                                                 E
                            providing irrigation for food security, domestic and industrial
                            water supply, hydroelectric power and keeping flood waters
                            back. It repelled a submission that the execution of SSP without
         ,.                 a comprehensive assessment and evaluation of its
                          . environmental impact and a decision regarding its acceptability
                                                                                                 F
                            would be in violation of the rights of the affected people under
                            Article 21 of the Constitution of .India stating that requisite
                            environmental clearance had been taken opining that the same
                            had been granted on due application of mind. It took into
                           .consideration the question of relief and rehabilitation,
                            consequent upon the displacement of people, holding:                 G



-
'v
     \                                 "151. The displacement of the people due to major
                                river valley projects has occurred in both developed and
                                developing countries. In the past, there was no definite
                                policy for rehabilitation of ciisplaced·persons associated       H
    222        SUPREME COURT REPORTS                 [2009] 11 S.C.R.


A        with the river valley projects in India. There were certain
         project-specific programmes for implementation on a
        'temporary basis. For the land acquired, compensation
       · under the provisions of the Land Acquisition Act, 1894
         used to be given to the project-affected families. This
B        payment in cash did not result in satisfactory resettlement
         of the displaced families. Realising the difficulties of
         displaced persons·. the requirement of relief and
         rehabilitation of PAFs in the case of Sardar Sarovar
         Project was considered_ by the Narmada Water Disputes
c        Tribunal and the decision and final order of the Tribunal
         given in 1979 contains detailed directions in regard to
         acquisition of land and properties, provision for land, house
         plots and civic amenities for the resettlement and
         rehabilitation of the affected families. The resettlement
         policy has thus emerged and developed along with the
D
         Sardar Sarovar Project."

       This Court opined that where two views are permissible,
  the court ordinarily would not sit in appeal over a policy decision
  adopted by the government. Regarding displacement of people
E on proposed project, it was held:

          " ... It is not fair that tribals and the people in undeveloped
          villages should continue in the same condition without ever
          enjoying the fruits of science and technology for better          1


F         health and have a higher quality of lifestyle. _Should they not
          be encouraged to seek greener pastures elsewhere, if they
          can have access to it, eitherthrough their own efforts due
          to information exchange or due to outside compulsions. It
          is with this object in view that the H&R plans which are
          developed are meant to ensure-that those who move must ·
G
          be better off in the new locations at government cost. In
          the present case, the R&R packages of the States,
          specially of Gujarat, are such that the living conditions of
          the oustees Will be much better than what they had in their
          tribal_ hamlets."
H
             STATE OF KERALA v. PEOPLES UNION FOR CIVIL 223
              LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
      -..
                As regards the question of necessity to balance the loss     A
            of forest because of· activities carried on therein and
            construction of a dam, it was held:

                          "242. The loss of forest because of any activity is
                 undoubtedly harmful. Without going into the question as to
                                                                              B
                 whether the loss of forest due to river valley project
                  because of submergence is neglig.ible, compared to
      ""         deforestation due to other reasons like cutting of trees for
                  fuel, it is true that large dams cause submergence leading
                  to loss of forest areas. But it cannot be ignored and it is
                  important to note that these large dams also cause ·
                                                                             c
                 conversion of wasteland into agricultural land and make the
                 area grebner. Large dams can also become instruments
                 in improving the environment, as has been the case in
                 western Rajasthan, whicn transformed into a green area
                 because of Indira Gandhi Canal which draws water from D
                 Bhakra Nangal Dam. This project not only allows the
                 farmers to grow crops in deserts but also checks the
                 spread of Thar Desert in the adjoining areas of Punjab and
                  Haryana."
                                                                              E
                 It is of some significance to note that this Court in Ba/co
            Emp.'oyees' Union (Regd.) v. Union of India and Others
            [(2002) 2 SCC 333) in regard to the decision of this Court in
...         Samatha v. State of A.P. [(1997) 8 SCC 191], by drawing a
            necessary distinction between an area which is covered by F           I

            Fifth Schedule of the ,,Constitution and an area which. is not,
                                       /
            opined as under:                                           ·

                      "71. While we have strong -reservations with regard
                to the correctness o.f,;the majority decision in Samatha
                case, which has not only interpreted the provisions of the   G
                aforesaid Section 3(1) of the A.P. Scheduled Areas Land
  "'            Transfer Regulation, 1959 but has also interpreted the
                provisions of the Fifth Schedule of the Constitution, the
                said decision is not applicable in the present case
                because the law applicable in Madhya Pradesh is not          H
    224      SUPREME COURT REPORTS                   [2009] 11 S.C.R.

                                                                           ~

A         similar or identical to the aforesaid Regulation of Andhra
          Pradesh. Article 145(3) of the Constitution provides that
          any substantial question of law as to the interpretation-of
          the provisions of the Constitution can only be decided by
          a Bench offive Judges. In Samatha case, it is a Bench of
B         three Hon'ble Judges who by majority of 2:1, interpreted
          the Fifth Schedule of the Constitution. However, what is
          important to note here is, as already observed
          hereinabove, that the provisions of the Madhya Pradesh
          Land Revenue Code, 1959 and Section 165, in particular,
c         are not in pari materia with the aforesaid Section 3 of the
          Andhra Pradesh Regulation."

        Furthermore, the cut-off date in terms of the 1975 Act was
  1.01.1960. Any transaction which had taken place between
  1960 and 1975 and thereafter had been declared invalid.
D Admittedly, even after the provisions thereof having been given
                                                                               ...
  full effect, the members of the Scheduled Tribe had not been
  put in possession of their own land for decades.

          i=urthermore, we have noticed hereinbefore that the
E   members     of the Scheduled Tribe are educated and we can
  . safely presume that most of them are serving various
    institutions in the State of Kerala and/ or in other parts of India.

        Indisputably, the question of restoration of land should be             ...
  considered having regard to their exploitation and rendering
F them homeless from the touchstone of Article 46 of the
  Constitution of India. For the aforementioned purpose, however,
  it may be of some interest to consider that the insistence of
  autonomy and the view of a section of people that tribals should
  be allowed to remain within their own habitat and .not be allowed
G to mix with the outside ~arid would depend upon the type of
  Scheduled Tribe category in question. Some of them are still             ,.
  living in jungle and are dependant on the products thereof.
  Some ·of them, on the other hand, have become a part of the
  mainstream. The difference between Scheduled Tribe~ of
H North-East and in some cases the Islands of Andaman and
               STATE OF KERAU\ v. PEOPLES UNION FOR CIVIL 225
                LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
               Nicobar, on the one hand, and of those who are on the                  A
               highlands and plains of the Southern regions must be borne in
~              mind.

                    We are satisfied that the legislature of Kerala kept in view
               the necessity of protecting the interest of the small land holders
                                                                                      B
               who were in possession and enjoyment of property which had
               belonged to tribal community and at the same time ensured that
       ~-      the tribals are not thrown out of their land and rendered
               homeless. Having regard to the studies conducted by the State
               Government and as a balance of interest between tribals and
               non-tribals- which has been sought to be achieved, the
                                                                                      c
               provisions of the 1999 Act are intra vires.

                    In the counter-affidavit filed by the State, it is stated:

                    " ... It is no doubt true that Act 31 of 1975 was integrated      D
     ·..\
                    in the light of the non-tribals depriving tribals of their land
                    and the tribals being exploited. However, over the years
                    considering the population of land ratio even the non-tribals
                    occupying land which was once in possession of the tribals
                    stood to have their livelihood seriously jeopardise by total
                                                                                      E
                    implementation of Act 31 of 1975. Ultimately; the
                    Government had to consider all the aspects of the matter
                    and the Government found that the optimum solution would
                    be to bring a new legislation. It is in view of this that Act
                    12 of 1999 has been passed by the State legislature ... "
                                                                                      F
               NON-AVAILABILITY OF THE LAND

                     19. Mr. Iyer, learned counsel would contend that the State
               of Kerala is striving hard for making the lands available to the
_,             tribal people. The learned counsel contended that the State has        G
               approached the Forest Bench of this Court for this purpose. We
               are, however, not concerned therewith. Keeping in view the
        ,.),
               promises made by the 1999 Act, it is obligatory on the part of
               the State to provide the land meant for the members of the
               Scheduled Tribe. ,If they do not have sufficient land, they may
                                                                                      H
     226       SUPREME COURT REPORTS                   [2009) 11 S.C.R.


A    have to take recourse to the acquisition proceedings but we
     are clear in our mind that the State in all situations will fulfill its
     legislative promise failing which the persons aggrieved would
     be entitled to take recourse to such remedies which are
     available to them in law.
B
       We must also make it clear that while allotting land to the
  members of the Scheduled Tribe, the State cannot and must
  not allot them hilly or other types of lands which are not at all fit
  for agricultural purpose. The lands, which are to be allotted,
  must be similar in nature to the land possessed by the
C members of Scheduled Tribe. If in the past, such· allotments
  have been made, as has been· contended before us by the
  learned counsel for the respondent, the State must allot them
  other lands which are fit for agricultural purposes. Such a
  process should be undertaken and completed as expeditiously
D as possible and preferably within a period of six months from
  date.

     EFFECT OF INVALIDATING THE ACT                                   AND
     CONSEQUENTLY REVIVING OF THE OLD ACT
'E
          20. Whether striking down             clan  enactment as
     unconstitutional would result in automatic revival of an earlier
     Act which has been repealed? The High Court wherefor, as
     noticed hereinbefore, has struck down Section 22 of 1999 Act
F    providing for repeal of 1975 Act. On the aforesaid premise it
     was held that the effect must be given to the right accrued under
     the 1975 Act.

         Sections 6(1) and 7 of the General Clauses Act, 1897, ·
     which are relevant for this purpose, read as under:-
G
           "6. Effect of repeal.

           Where this Act, or any Central Act or Regulation made after
           the commencement of this Act, repeals any enactment
           hitherto made or hereafter to be made, then, unless a
H          different intention appears, the repeal shall not-
            STATE OF KERALA v. PEOPLES UNION FOR CIVIL 227
---          LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]

      ""               (a) revive anything not in force or existing at the time   A
                       at which the repeal takes effect; or
...
 ~




                        (b) affect the previous operation of any enactment
                       so repealed or anything duly done or suffered
                       thereunder; or
                                                                                  B
                       (c) affect any right, privilege, obligation or liability
                       acquired, accrued or incurred under any enactment
                       so repealed; or

                       (d) affect any penalty, forfeiture or punishment           c
                       incurred in respect of any offence committed
                       against any enactment so repealed; or

                       (e) affect any investigation, legal proceeding or
                       remedy in resp~ct of any such right, privilege,
                       obligation, liability, penalty, forfeiture or punishment   D
                       as aforesaid;

                and any such investigation, legal proceeding or remedy
                may be instituted, continued or enforced, and any such
                penalty, forfeiture or punishment may be imposed as if the        E
                repealing Act or Regulation had not been passed.

                7. Revival of repealed enactments -

               (1) In any (Central Act) or Regulations made after the
               commencement of this Act, it shall be necessary, for the           F
               purpose of reviving, either wholly or partially, any
               enactment wholly or partially repealed, expressly to state
               that purpose.

               This section applies also to all (Central Acts) made after         G
               the third day of January, 1968 and to all Regulations made
      ,.       on or after the fourteenth day of January, 1887."

                In our opinion, there exists a distinction between a statutory
           rule and a Legislative Act. The Legislature did not want a
                                                                                  H
    228      SUPREME COURT REPORTS                    [2009] 11 ,s.c.R.


A vacuum to be created. The 1999 Act was enacted repealing
  the 1975 Act only for certain purposes. Section 22(2) of the
  1999 Act upheld certain actions taken under the 1975 Act as
  if they had been taken in terms thereof. The procedure for
  determining the rights and obligations of the parties by the
B Revenue Officers, under both the Acts, are more or less the
  same.

         We may notice Sections 19 and 22 of 1999 Act, which are
    relevant. They read :-

C         "19. Saving of other laws. - The provisions of this Act shall
          be in addition to and not in derogation of any other law for
          the time being in force regulating any of the matters dealt
          with in this Act, except to the extent provided in this Act."

0          "22. Repeal and saving.-

           (1)   The Kerala Scheduled Tribes (Restriction on
                 Transfer of Lands and Restoration of Alienated
                 Lands) Act, 1975 (31 of 1975) is hereby repealed.

E          (2)    Notwithstanding t~e repeal of the said Act, all orders
                  issued by the competent authority or the Revenue
                  Divisional Officer, so far as they are not inconsistent
                  with the provisions of this Act shall be deemed to
                  have been made under the corresponding
F                 provisions of this Act and shall continue to be in
                  force accordingly unless and until superseded by
                 .anything done or any action taken under this Act.
                  Every proceedings pending before a Court on a
                  complaint under Section 14 of the said Act shall be
                  deemed as a proceeding under the corresponding
G
                  provisions of this Act and shall be continued
                  accordingly."

      It is, therefore, evident that only those laws which are in
  derogation of the provisions of the 1999 Act would stand
H repealed.
  STATE OF KERALA v. PEOPLES UNION FOR CIVIL 229
   LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]

     We may in this connection notice certain decisions relied          A
 upon PY Mr. Krishnan.

       A. T.B. Mehtab Majid & Co. v. State of Madras, [AIR 1963
  SC 928 = [1963] Supp (2) SCR 435 ] was a case of substitution
· of an old rule by a new rule. It, therefore, ceased to exist and
                                                                        8
  did not automatically get revived when new rule was held to be
  invalid.

     We are, however, dealing with a Legislative Act, validity
 wh~reof was determined in the light of constitutional, provisions.
                                                                        c
      In B.N. Tiwari v. Union of India and others, [ [1965] 2 SCR
 421 ], this Court was again dealing with a statutory rule. It was
 held that the old rule did not revive opining :-

      "When th~refore this Court struck down the carry forward
      rule as modified in 1955 that did not mean that the carry         D
      forward rule of 1952 which had already ceased to exist,
      because the Government of India itself cancelled it and had
      substituted a modified rule in 1955 in its place, could
      revive."
                                                                        E
      However, the legal position was made clear by a Three
 Judge bench of this Court in West U.P. Sugar Mills v. State of
 U.P., [ (2002) 2 sec 645 ] whereupon also the learned counsel
 had placed reliance, stating:-
                                                                        F
     "18. A perusal of Section 20 shows that several provisions
      of the Uttar Pradesh General Clauses Act have been
      made applicable in relation to statutory instruments
     including the statutory Rules issued under any Uttar
     Pradesh Act. However, Section 6-C does not find place              G
     in sub-section (2) of Section 20 of the U.P. General
     Clauses Act. In the absence of application of Section 6-C
     to the statutory instrument, including the statutory rule, which
     is the case before us, the contention of the respondents
     deserves to be rejected. Since Section 6-C of the U.P.
     General Clauses Act has not been applied to the statutory          H
    230       SUPREME COURT REPORTS                [2009] 11 S.C.R.


A         rule framed by the Government of qttar Pradesh, the
          substituted rule after it became inopera,tive, the old Rule
          49 would not revive."                    ·

         The aforementioned observations were, thus, made having
    regard to the fact that Section 6-C of the U.P. General Clauses
8
    Act had not been applied to the statutory Rules, which reads
    as under:-

          "6-C. Repeal or expiration of law-making textual
          amendments in other laws.-( 1) Except as provided by
C         sub-section (2), where any Uttar Pradesh Act amends the
          text of any Uttar Pradesh Act or Regulation by the express
          omission, insertion or substitution of any matter, the
          amending enactment is subsequently repealed, the repeal
          shall not affect the continuance of. any such amendment
D         made by the enactment so repealed and in operation at
          the time of such repeal.

                (2) Where any such amendment of text is made by
          any temporary Uttar Pradesh Act or by an Ordinance or
          by any law made in exercise of the power of the State
E
          Legislature by the President or other authority referred to
          in sub-clause (a) of clause (1) of Article 357 of the
          Constitution, and such Act, Ordinance or other law ceases
          to operate without being re-enacted (with or without          ...
          modifications} the amendment of text made thereby shall
F
          also cease to ·operate."

          However, the Bench opined:-

          "15. It would have been a different case where a
G         subsequent law which modified the earlier law was held
          to be void. In such a case, the earlier law shall be deemed
          to have never been modified or repealed and, therefore,
          continued to be in force. Where it is found that the
          legislature lacked competence to enact a law, still amends
          the existing law and subsequently it is found that the
H
                  STATE OF KERALA v. PEOPLES UNION FOR CIVIL 231
    ,..            LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
            ~
                      legislature or the authority was denuded of the power to         A
                      amend the existing law, in such a case the old law would
                      revive and continue. But it is not the case here."

                      Mohd. Shaukat Hussain Khan v. State of A.P., ((1974) 2
                 SCC 376] is a case where the statute was modified and a
                                                                                       B
                 different view was taken.
                       I

           :,.        But the principle laid down therein has been held to be
                 inapplicable in Indian Express Newspapers v. Union of India,
                 l (1985) 1 sec 641 1
                                                                                       c
                            "106. The rule in Mohd. Shaukat Hussain Khan v.
                      State of A.P. is inapplicable to these cases. In that case
                      the subsequent law which modified the earlier one and
                      which was held to be void was one which according to the
                      Court could not have been passed at all by the State             D
                      Legislature. In such a case the earlier law could be
                      deemed to have never been modified or repealed and
                      would, therefore, continue to be in force. It was strictly not
                      a case of revival of an earlier law which had been repealed
                      or modified on the striking down of a later law which
                                                                                       E
                      purported to modify or repeal the earlier one. It was a case
I
                      where the earlier law had not been either modified or
                      repealed effectively."

                      Repeal of a statute, it is well known, is not a matter of mere
                 form but one of substance. It, however, depends upon the              F
                 intention of the legislature. If by reason of a subsequent statute,
                 the legislature intended to abrogate or wipe off the former
                 enactment, wholly or in part, then it would be a case of total or
                 pro tanto repeal. If the intention was merely to modify the former
                 enaCtment by engrafting an exception or granting an exemption,        G
                 or by adding conditions, or by restricting, intercepting or
                 suspending its operation, such modification would not amount
          ""
                 to a repeal.

                      In Southern Petrochemical Industries (supra), the
                                                                                       H
    232       SUPREME COURT REPORTS                     [2009] 11 S.C.R.


A   subsequent Act did not contain the words "unless a different
    intention appears". It was heltj that the later Act was not different
    from the earlier Act.

        This Court is required to assume that the Legislature did
    so deliberately.
8
        In this case, however, the repealing clause is clear and
    unambiguous. We, therefore, cannot accept the submi~sion of
    Mr. Dayan Krishnan.

c AGRICULTURAL AND NON-AGRICULTURAL LAND ·
       21. Classification between agricultural and non-agricu!:- '.al
  land is a valid one. It is, however, accepted that all forest areas
  comprise of the agricultural land. The State has admittedly no
  legislative competence to enact a legislation in exercise of its
D power of Entry No. 49, List II of the Seventh Schedule of the                ..
  Constitution of India in relation to non-agricultural land. Such a
  power has been noticed hereinbefore. It exists only in terms of
  Entry 6, -List Ill of the Seventh Schedule of the Constitution of
  India. While enacting the 1999 Act, the State could not have
E deprived the persons who hold non-agricultural land, having
  enacted the 1975 Act and, thus, could not have repealed a
  portion thereof by raising the following contention:

          " ... If in a given situation a tribal possess non-agricultural         "'
                                                                                       """--
F         land that only indicates that though the person is a tribal
          by birth he has come a long way from the way of
          Scheduled Tribe and has acquired the trappings of non
          tribals and thereafter has come to own immovable property
          other than the agricultural land. The exploitation of the
          tribals has studied would indicate (sic) has always taken
G                                                                          n
          place by deprivation of the agricultural land of the tribals ...
                                                                               ....    ......
          Once they have made an enactment, the legislative intent
    is clear and unambiguous, viz., such exploitation was possible
    also in so far as non-agricultural' lands are concerned. Such a
H                                                                                      ....
     STATE OF KERALA v. PEOPLES UNION FOR CIVIL 233
      LIBERTIES, KERALA STATE UNIT [S.B. SINHA, J.]
    right conferred on the owners of the non-agricultural land,       A
    therefore, could not have taken away without payment of
    compensation. We, therefore, are of the opinion that to that
    extent the 1975 Act would continue to be .applied. The State
    has no legislati~ competence to repeal that portion of the 1975
    ~                                                                 B
        For the reasons aforesaid, Civil Appeal Nos. 104-105 of
    2001 and 899 of 2001 are allowed in part to the extent
    mentioned above.

         In view of our judgment in Civil Appeal Nos. 104-105 of      C
    2001 and 899 .of 2001, no orders are called for in Civil Appeal
    No. 7079 of 2001. No costs

    G.N.                                  Appeals partly allowed.




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