R. L. Arora Vs. State of Uttar Pradesh
& Ors [1964] INSC 34 (14 February 1964)
14/02/1964 WANCHOO, K.N.
WANCHOO, K.N.
SINHA, BHUVNESHWAR P.(CJ) GUPTA, K.C. DAS
SHAH, J.C.
AYYANGAR, N. RAJAGOPALA
CITATION: 1964 AIR 1230 1964 SCR (6) 784
CITATOR INFO:
RF 1965 SC 646 (10) R 1965 SC 995 (11,12) RF
1978 SC1675 (40) F 1980 SC1118 (5,14) F 1980 SC1316 (8,11,15) RF 1988 SC 151
(10) R 1989 SC 501 (15) E 1991 SC 100 (29,70,210,227,278)
ACT:
Land Acquisition Act-Acquisition for company
engaged in industry for public purpose-Provision it hit by Art. 31(2) and Art.
19(1) of the Constitution-interpretationDistinction made between Government
companies, Public companies and Private companies 785 if hit by Art.
14-Constitution of India, Arts. 14, 19(1), 31(2)Land Acquisition (Amendment)
Act, 1962 (Act 31 of 1962). ss. 7, 40 and 41.
HEADNOTE:
The petitioner is the owner of certain land
in Kanpur, U.P.
On a previous occasion land acquisition
proceedings were taken regarding this land for acquiring it for an industrialist.
The petitioner questioned' the validity of these proceedings and this Court by
its judgment reported as R. L. Arora v. State of U.P; [1962] Supp. 2 S.C.R.
149, quashed the notification made under s. 6 of Land Acquisition Act, 1894.
Thereafter certain amendments were made to ss.
40 and 41 of that Act by the Land Acquisition
(Amendment) Act, 1961. The petitioner thereupon filed before this Court a
petition under Art. 32 of the Constitution challenging the validity of the
amended ss. 40, 41 and s. 7 of the amending Act. The petitioner contended that
the said sections violated Art. 31(2) and Art. 19(1)(f) of the Constitution
inasmuch as cl. (aa) of the amended s. 40 provided that all acquisitions made
for a company for construction of some building are permissible even though the
building may not be for a public purpose. The validity of s. 7 of the amending
Act was challenged on the ground' that it contravened Art.
31(2) inasmuch as it makes acquisition for a
company before July 20, 1962 as being for a public purpose even though it may
not be so in fact. Section 7 was also challenged on the ground that it
contravenes Art. 14 inasmuch as it makes an unreasonable discrimination in the
matter of acquisition for a company before July 20, 1962 and after that date
insofar as the former acquisitions are validated on the basis of their being
deemed to be for a public purpose while the latter acquisitions are not so
deemed and have to satisfy the test of public purpose.
Held (per P. B. GAJENDRAGADKAR, C.J., K. N.
WANCHOO, K. C. DAS GUPTA and J. C. SHAH JJ.): (i) If the language of a
provision of law is capable of only one construction and if according to that
construction the provision contravenes a constitutional provision it must be
struck down. A literal interpretation is not always the only interpretation of
a provision in a statute and the court has to look at the setting in which the
words are used and the circumstances in which the law came to be passed to
decide whether there is something implicit behind the words actually used which
would control the literal meaning of the words used.
The Mysore State Electricity Board v.
Bangalore Woollen, Cotton ,and Silk Mills, [1963] Supp. 2 S.C.R. 127; followed.
(ii) It is well settled that if certain
provisions of law construed in one way will be consistent with the Constitution
and if another interpretation would render them unconstitutional the court
would bear in favour of the former construction.
Kedar Nath Singh v. State of Bihar, [1962]
Supp. 2 S.C.R.
769, followed.
134-159 S.C.-50 786 (iii) Applying the above
principles of construction it cannot be paid that s. 40(aa) contravenes Art.
31(2) for the public purpose required therein is present where land is acquired
for the construction of a building or work which must subserve the public
purpose of the industry or work in which a company is engaged or is about to be
engaged. Nor can it be said that the provision is hit by Art. 19(1)(f) or it
would be a reasonable restriction on the right to hold property. The amendments
to s. 41 are only consequential to the insertion of c.l (aa) in s. 40(1) and
would therefore be equally valid.
(IV) The first of the two fictions introduced
by s. 7 of the Amendment Act merely lays down that where a notification under
s. 6 of the Act cannot be justified under cl. (a)1 and cl. (b) of s. 40(1) it
will be juded in accordance with the provisions contained in cl. (aa) and it
satisfies those provisions the acquisition will be deemed for the purpose of
that clause as if that clause existed at the relevant time, though in actual
fact it did not. The first fiction does not provide that even though the
purpose of the acquisition does not fall within cl. (aa) it will still be
deemed to be a public purpose. Therefore a. 7 does not violate Art. 31(2).
(v) The acquisition made before July 20, 1962
as well as the acquisitions made thereafter have to satisfy the conditions of
cl. (aa) of s. 40 and s. 7 of the Amendment Act validates only acquisitions
before July 20, 1962 which actually satisfy the provisions in cl. (aa).
Therefore it cannot be said that s. 7 violates Art. 14.
(vi) Section 7 specifically validates
acquisition made before July 20. 1962 "notwithstanding any judgment,
decree or orders of any court' and therefore the petitioner's contention that
the acquisition of the petitioners land declared to be invalid by reason of the
judgment of this Court reported as R. L. Arora v. State of U.P., [1962] Supp.
2 S.C.R. 149 is bad is rejected.
(vii) The various provisions in the agreement
between the Government and the industrialist for whom the land in question has
been acquired conclusively establish that the acquisition is for a public
purpose within the meaning of cl. (aa) of s. 40.
Province of Bombay v. Kusaldas s. Advant,
[1950] S.C.R. 621, distinguished.
(viii) A distinction in the matter of
acquisition of land between public companies and Government companies on the
one hand and private individuals and private companies on the other is
justified considering the object behind cl. (aa) of s. 40 of the Act and
therefore It does not violate Art. 14.
Per Ayyangar J. (dissenting) (i) The wording
of cl. (aa) of s. 40 is not capable of two interpretations and there is no
ambiguity in the wordingIt is a well established principle of construction that
it is only when there is an ambiguity and the words are capable of 787 more
than one construction that any extrinsic aid in the shape of the purpose of the
legislature or the object of the legislation come in for consideration Where
the language of an Act is clear and explicit the court must give effect to it
whatever may be the consequence for in that case the words of the statute speak
the intention of the legislature. The intention of the legislature is not a
matter to be speculated upon. Interpretation or construction cannot mean that a
court first reaches a conclusion as to what in its opinion the legislature
intended, even though this involves attributing a meaning divorced from the
words used and then adjust the meaning to the conclusion it has reached.
Warburton v. Loveland, 2 D. & Cl. (H.L.)
480. Salomon v. A. Salomon & Co., [1897] A.C. 22 and Cox v. Hakes, 15 App.
cas.
506,followed.
(iv) The only way cl. (aa) could be read is
to relate the words "public purpose" to the nature of the industry
carried on by the company and by no rule of construction with or without
extrinsic aide or with reference to the context, not to speak of rules of
grammer, can the reference to public purpose be related to the building or work
for which the acquisition is permitted to be made(v) Where the provisions, as
in the present case, gives a case blanche to Government to acquire land for any
purpose it Is not possible to sustain the validity of such law and strike down
merely the particular acquisition where land is acquired for a purpose which is
not a public purpose, for here the vice is in the law itself and not merely in
its application.
Clause (aa) of s. 40 is violative of Art.
21(2) of the Constitution.
ORIGINAL JURISDICTION: Writ Petition No. 137
of 1962.
Petition under Art. 32 of the Constitution of
India for the enforcement of Fundamental Rights.
C. B. Agarwala and Naunit Lal, for the
petitioner.
M. C. Setalvad and C. P. Lal, for respondent
No. 1.
C. K. Daphtary, Attorney-General, N. S.
Bindra and R. H.
Dhebar, for respondent No. 2.
M. C. Setalvad, M. S. Devendra Swarup and J.
P. Goyal, for respondent No. 3.
I. M. Nanavati, O. C. Mathur, J. B.
Dadachanji and Ravinder Narain. for Intervener No. 1.
788 Rajani Patel and 1. N. Shroff, for
Intervener No. 2.
February 14, 1964. The Judgment of P. B.
Gajendragadkar, C.J., K. N. Wanchoo, Das Gupta and Shah JJ. was delivered by
Wanchoo J. Rajagopala Ayyangar J. delivered a dissenting Opinion.
WANCHOO J.-This petition under Art. 32 of the
Constitution is a sequel to the judgment of this Court in R. L. Arora v.
State of U.P. (1). The petitioner is the
owner of certain lands in village Nauraiya Khera, in the district of Kanpur.
He got information in May 1956 that steps
were being taken to acquire nine acres of his land for an industrialist in
Kanpur. He therefore wrote to the Collector of Kanpur in that connection. On
June 25, 1956, however, a notification was issued under s. 4 of the Land
Acquisition Act, No. 1 of 1894 (hereinafter called the Act), stating that the
land in dispute was required for a company for the construction of textile
machinery parts factory by Lakshmi Ratan Engineering Works Limited, Kanpur.
This order was followed on July 5, 1956, by a notification under s. 6 of the
Act, which was in similar terms. This notification also provided for the
Collector to take possession of any waste or parade land forming part of the
land in the Schedule to the notification immediately under the powers conferred
by s. 17(1) of the Act. On July 31, 1956, the Collector took possession of the
land and handed it over to the company along with some constructions standing
on it. In the meantime, the petitioner filed a writ petition in the High Court
on July 31, 1956, praying that the notification under s. 6 of July 1956 be
quashed and also applied for interim stay. As however possession had already
been taken on July 31. 1956, the application for interim stay became in
fructuous. One of the main grounds in support of the writ petition of July 31,
1956 was that ss. 38 to 42 of the Act had not been complied with. Thereafter
steps were taken by the State Government to comply with the provisions of ss.
38 to 42 of the Act and an agreement was entered into between the Government
and the company in August 1956 and was (1) [1962] Supp. 2 S.C.R. 149.
789 published in the Government gazette on
August 11, 1956.
This was done without making any enquiry
either under s. 5-A or s. 40 of the Act. Therefore on September 14, 1956 an
inquiry was ordered by the Government under s. 40. The inquiry was accordingly
made and the inquiry officer submitted a report on October 3, 1956. This was
followed by a fresh agreement between the Government and the company on
December 6, 1956. On December 7, 1956, a fresh notification was issued under s.
6 of the Act after the formalities provided under ss. 38 to 42 had been
complied with.
Thereafter a fresh notice was issued under s.
9 of the Act and it appears that possession was formally taken again after
January 2, 1957.
A fresh writ petition was filed by the
petitioner before the High Court on January 29, 1957 in view of the fresh
action taken by the State Government and the main ground taken in this petition
was that the notification was invalid as it was not in compliance with s. 40
(1) (b) of the Act read with the fifth clause of the matters to be provided in
the agreement under s. 41. The petitioner failed in the High Court. Thereafter
he came by special leave to this Court.
This Court decided on a construction of s. 40
(1 ) (b) read with the fifth clause of the matters to be provided in the
agreement under s. 41 that these provisions had to be read together and
required that the work should be directly useful to the public and that the
agreement should contain a term as to how the public will have the right to use
the work directly. The provision as to access to land or works for those having
business with the company or the fact that the product would be useful to
public was not considered sufficient to bring the acquisition for a company within
the meaning of the relevant words in ss. 40 and 41. The appeal therefore was
allowed on December 1, 1961 and the last notification under s. 6 was quashed:
see R. L. Arora's case(1).
On July 20, 1962, the Land Acquisition
(Amendment) Ordinance, 1962 (No. 3 of 1962) was promulgated by the President of
India. By that Ordinance, ss. 40 and 41 of the Act were amended and certain
acquisitions of land (1) [1962] Supp. S.C.R. 149.
790 made before the date of the Ordinance
were validated notwithstanding any judgment, decree or order of any court.
The Ordinance was replaced by the Land
Acquisition (Amendment) Act, No. 31 of 1962, (hereinafter referred to as the
Amendment Act), which was made retrospective from July 20, 1962, the date on
which the Ordinance was promulgated.
This Act made certain amendments in ss. 40
and 41 of the Act and validated certain acquisitions. The present petition
challenges the validity of the amendments to ss. 40 and 41 and also the
validity of s. 7 of the Amendment Act by which certain acquisitions made before
July 20, 1962 were validated. It is therefore necessary to read the amendments
made in ss. 40 and 41 of the Act as well as s. 7 of the Amendment Act. In s.
40(1) of the Act a new clause was inserted in these terms:"(aa) that such
acquisition is needed for the construction of some building or work for a
company which is engaged or is taking steps for engaging itself in any industry
or work which is for a public purpose;" Section 41 was amended to read as
below:"41. If the appropriate Government is satisfied after considering
the report, if any, of the Collector, under section 5A, subsection (2), or on
the report of the officer making an inquiry under section 40 that the proposed
acquisition is for any of the purposes referred to in clause (a) or clause (aa)
or clause (b) of sub-section (1) of section 40, it shall require the company to
enter into an agreement with the appropriate Government providing to the
satisfaction of the appropriate Government for the following matters, namely:
(1) (2) (3) (4) (4A) Where the acquisition is
for the construction of any building or work for a corn.
791 pany which is engaged or is taking steps
for engaging itself 'in any industry or work which is for a public purpose, the
time within which, and the conditions on which, the building or work shall be
constructed or executed; and (5) section 7 of the Amendment Act, which
validated certain acquisitions reads as follows:"Notwithstanding any
judgment, decree or order of any court, every acquisition of land for a company
made or purporting to have been made under Part VII of the principal Act before
20th day of July 1962, shall, insofar as such acquisition is not for any of the
purposes mentioned in clause (a) or clause (b) of subsection (1) of section 40
of the principal Act, be deemed to have been made for the purpose mentioned in
clause (aa) of the said sub-section. and accordingly every such acquisition and
any proceeding, order, agreement or action in connection with such acquisition
shall be, and shall be deemed always to have been, as valid as if the
provisions of sections 40 and 41 of the principal Act, as amended by this Act,
were in force at all material times when such acquisition was made or
proceeding was held or order was made or agreement was entered into or action
was taken.
Explanation Besides these amendments which
require consideration in the present petition, ss. 44A and 44B were also
inserted in the Act providing for restriction on transfer, etc. (s.
44A) and making certain provisions forbidding
acquisition of land for a private company other than a government company (s.
44B).
It is however not necessary to set out the
terms of these new sections.
792 The present petition challenges the
validity of the amendments to ss. 40 and 41 of the Act and also of s. 7 of the
Amendment Act, and the challenge is made in this way.
It is submitted that the amendments made to
ss. 40 and 41 of the Act are ultra vires, as they contravene Art. 31(2) and
Art. 19(1)(f) of the Constitution. The argument is that on a construction of
the amendment to s. 40 by which cl. (aa) has been introduced therein, it is
provided that all acquisitions made for a company for construction of some
building or work are permissible even though the building or work for the
construction of which the acquisition is made may not be for a public purpose,
as the new cl. (aa) merely requires that the company which is applying for
acquisition is engaged or is taking steps for engaging itself in any industry
or work, which is for a public purpose. It is urged that all that this clause
requires is that the company for which the acquisition is being, made should be
engaged in any industry or work which is for a public purpose and in that case
it can acquire land under this clause even though the particular building or
work for the construction of which land is acquired may not be for a public
purpose.
Therefore the new clause (ad) which permits
such acquisition contravenes Art. 31(2) which lays down that no property shall
be compulsorily acquired save for a public purpose, and also Art. 19(1)(f), as
such acquisition would amount ;to an unreasonable restriction on the
fundamental right to hold property.
The validity of s. 7 of the Amendment Act is
attacked on the ground that it contravenes Art. 31(2) and Art. 14 of the
Constitution inasmuch as it makes, acquisition for a company before July 20,
1962 as being for a public purpose even though it may not be so in fact and
thus raises an irrefutable presumption of public purpose by fiction of law and
so contravenes Art. 31(2) which requires that there must be an actual public
purpose before land can be compulsorily acquired. And it also contravenes Art.
14 inasmuch as it makes a discrimination in the matter of acquisitions for a company
before July 20, 1962 and after July 20, 1962 insofar as the former acquisitions
are validated on the basis of their being deemed to be for a public 793 purpose
while the latter acquisitions are not so deemed and have to satisfy the test of
public purpose.
Besides the attack as to the vires of these
provisions in the Amendment Act, it is urged that the rights of the petitioner
cannot be affected by the validating provision in the Amendment Act as s. 7 of
the Amendment Act does not reopen decided cases and does not revive
notifications or acquisitions struck down by courts. Lastly, it is urged that
the, acquisition in the present case cannot be said to be for a public purpose
inasmuch as (firstly) the agreement between the company and the Government does
not regulate or control the products of the company in the interest of the
public, and (secondly) the petitioner's land which was intended to be used for
one public purpose is being taken away for another such purpose. We shall deal
with these contentions seriatim.
The first question that falls for
consideration is the construction of cl. (aa) of sub-s. (1) of s. 40 of the
Act.
The amendments to s. 41 are consequential and
will stand or fall with cl. (aa) inserted in s. 40(1). It is contended on behalf
of the petitioner that on a literal construction of this clause (which, it is
urged, is the only possible construction) it requires that the company which is
acquiring :the land should be engaged or should be taking steps for engaging
itself in any industry or work, which is for a public purpose. If a company
satisfies that requirement it can acquire land for the construction of some
building or work, even though that building or work may not itself subserve
such public purpose. Therefore, the argument runs that cl. (aa) permits
compulsory acquisition of land for a purpose other than a public purpose and is
hit by Art. 31(2) of the Constitution, where under land can be compulsorily
acquired only for a public purpose. It may be conceded that on a literal
construction the adjectival clause, namely, "which is engaged or is taking
steps for engaging itself in any industry or work which is for a public
purpose", qualifies the word "company" and not the words
"building or work" for the construction of which the land is needed,
So prima facie it can be argued with some force that all that cl. (aa) requires
is that the company for which land, 794 is being acquired should be engaged or
about to be engaged in any industry or work which is for a public purpose and it
is not required that the building or work, for the construction of which land
is acquired should be for such public purpose.
In approaching the question of construction
of this clause, it cannot be forgotten that the amendment was made in
consequence of the decision of this Court in R. L. Arora's case(1) and the
intention of Parliament was to fill the lacuna, which, according to that
decision, existed in the Act in the matter of acquisitions for a company; nor
can it be forgotten that Parliament when it enacted the Amendment Act was aware
of Art. 31(2) of the Constitution which provides that land can only be acquired
compulsorily for a public purpose and not otherwise. It could not therefore be
the intention of Parliament to make a provision which would be in contravention
of Art. 31(2), though it may be admitted that if the language used is capable
of only one construction and fails to carry out the intention of Parliament
when making the amendment, the amendment may have to be struck down if it contravenes
a constitutional provision. Further, a literal interpretation is not always the
only interpretation of a provision in a statute and the court has to look at
the setting in which the words are used and the circumstances in which the law
came to be passed to decide whether there is something implicit behind the
words actually used which would control the literal meaning ,of the words used
in a provision of the statute. It is permissible to control the wide language
used in a statute if that is possible by the setting in which the words are
used and the intention of the law-making body which may be apparent from the
circumstances in which the particular provision came to be made. Therefore, a
literal and mechanical interpretation is not the only interpretation which
courts are bound to give to the words of a statute;
and it may be possible to control the wide
'language in which a provision is made by taking into account what is implicit
in it in view of the setting in which the provision appears and the circumstances
in which it might have been enacted.
(1) [1962] Supp. 2 S.C.R. 149.
795 We may in this connection, refer to a
decision of this Court in 'The Mysore State Electricity Board v. The Bangalore
Woollen, Cotton and Silk Mills Ltd.(1), where the wide Words used in s. 76(1)
of the Electricity (Supply) Act of 1948 fell for interpretation, and this Court
held that even though the words used were of wide amplitude, it was implicit in
the sub-section that the question arising there under was one which arose under
the Electricity (Supply) Act. Therefore, we have to see whether the provision
in cl.
(aa) bears another construction also in the
setting in which it appears and in the circumstances in which it was put on the
statute book and also in view of the language used in the clause. The
circumstances in which the amendment came to be made have already been
mentioned by us and the intention of Parliament clearly was to fill up the
lacuna in the Act which became evident on the decision of this court in R. L.
Arora's case(2). Parliament must also be well aware of the provision of Art.
31(2) which lays down that compulsory acquisition of property can only be made
for a public purpose. Clause (aa) was inserted between cl. (a) and cl. (b) of
s. 40(1). Section 40(1) as it stood before the amendment prohibited consent
being given to acquisition of land by a company unless the acquisition was for
one of the two reasons mentioned in cls. (a) and (b). Those two clauses clearly
showed that acquisition for a company was for a public purpose and such
acquisition could not be made for any purpose other than public purpose.
Between the existing cl. (a) and cl. (b) of s. 40 (1), we find cl. (aa) being
inserted. We also find that cl. (aa) specifically uses the words "public
purpose" and indicates that the company for which land is required should
be engaged or about to be engaged in so-me industry or work of a public
purpose. It was only for such a company that land was to be acquired
compulsorily and the acquisition was for the construction of some building or
work for such a company, i.e. a company engaged or about to be engaged in so-me
industry or work which is for a public purpose. In this setting it seems to us
reasonable to hold that the intention of Parliament could only have (1) [1963]
Supp. 2 S.C.R. 127. (2) (1962) Supp. 2 S.C.R.
796 been that land should be acquired for
such building or work for a company as would subserve the public purpose of the
company; it could not have been intended, considering the setting in which cl.
(aa) was introduced, that land could be acquired for a building or work which
would not subserve the public purpose of the company. In the circumstances it
seems to us clear that the literal construction of the clause based on rules of
grammar is not the only construction of it and it is in our opinion legitimate
to hold that the public purpose of the industry of the company, which is
imperative under the clause, also attaches to the building or work for the
construction of which land is to be acquired. Further, acquisition is for the
construction of some building or work for a company and the nature of that
company is that it is engaged or is taking steps for encaging itself in any
industry or work which is for a public purpose. When therefore the building or
work is for such a company it seems to us that it is reasonable to hold that
the nature of the building or work to be constructed takes colour from the
nature of the company for which it is to be constructed. We are therefore of
opinion that the literal and mechanical construction for which the petitioner
contends is neither the only nor the true construction of cl. (aa) and that
when cl. (aa) provides for acquisition of land needed for construction of some
building or work it implicitly intends that the building or work which is to be
constructed must be such as to subserve the public purpose of the industry or
work in which the company is engaged or is about to be engaged. In short, the
words "building or work" used in cl. (aa) take their colour from the
adjectival clause which governs the company for which the building or work is
being constructed and acquisition under this clause can only be made where the
company is engaged or is taking steps to engage itself in any industry or work which
is for a public purpose, and the building or work which the company is
intending to construct is of the same nature, namely, that it is a building or
work which is meant to subserve the public purpose of the industry or work for
which it is being constructed. It is only in these cases where the company is
engaged in an industry or work of that kind and where the building or work is
also constructed for a purpose of 797 that kind, which is a public purpose,
that acquisition can be made under cl. (aa). As we read the clause we are of
opinion that the public purpose of the company for which acquisition is to be
made cannot be divorced from the purpose of the building or work and it is not
open for such a company to acquire land under cl. (aa) for a building or work
which will not sub serve the public purpose of the company. We are therefore of
opinion that in the setting in which cl, (aa) appears and in the circumstances
in which it came to be enacted, a literal and mechanical construction for which
the petitioner contends is not the only construction of this clause and that
there is another construction which in our opinion is a better construction,
and which is that the public purpose of the company is also implicit in the
purpose of the building or work which is to be constructed for the company and
it is only for such work or building which sub serves the public purpose of the
company that acquisition under cl. (aa) can be made. Thus there are two
possible constructions of this clause, one a mere mechanical and literal
construction based on rules of grammar and the other which emerges from the
setting in which the clause appears and the circumstances in which it came to
be enacted and also from the words used therein, namely, acquisition being for
a company which has a public purpose behind it, and therefore the building or
work which is to be constructed and for which land is required must also have
the same public purpose behind it, that animates the company making the
construction. We are therefore clearly of opinion that two constructions are
possible of this clause of which the second construction which is other than
literal is the better one. It is well settled that if certain provisions of law
construed in one way will be consistent with the Constitution, and if another
interpretation would render them unconstitutional, the Court would lean in
favour of the former construction: [see Kedar Nath Singh v. State of Bihar(1)].
We are therefore of opinion that cl. (aa) does not permit acquisition of land
for Construction of some building or work for a company ,engaged or to be
engaged in an industry or work, which (1) [1962] Supp. 2 S.C.R. 769 798 is for
a public purpose unless the building or work for which the land is acquired
also sub serves the public purpose of the industry or work in which the company
is engaged.
This is in our opinion the better
construction of cl. (aa) taking into account the setting in which it appears
and the circumstances in which it came to be enacted and the words used
therein. If that is the true construction of cl. (aa) it cannot be said to
contravene Art. 31(2), for the public purpose required therein is present where
land is required for the construction of a building or work which must subserve
the public purpose of the industry or work in which a company is engaged or is
about to be engaged. Nor can it be said that the provision is hit by Art. 19 (1
) (f ), for it would in our opinion be a reasonable restriction on the right to
hold property. We hold therefore that the clause so interpreted is not
unconstitutional. We have already said that the amendments in s. 41 are only
consequential to the insertion of cl. (aa) in s. 40(1) and would therefore be
equally valid and constitutional.
We now come to the constitutionality of s. 7
of the Amendment Act, which is attacked on the ground that it contravenes Art.
31(2) and Art. 14 of the Constitution. Let us therefore see what exactly s. 7
validates and under what conditions. It first provides that the acquisition to
be validated must have been made before July 20, 1962.
Secondly it provides where such acquisition
is not for any of the purposes mentioned in cl. (a) or cl. (b) of s. 40(1) of
the Act, it shall be deemed to be for the purpose mentioned in cl. (aa)
introduced by the Amendment Act.
Thirdly it provides that every such
acquisition shall be, and shall be deemed always to have been as valid as if
the provisions of ss. 40 and 41 of the Act, as amended by the Amendment Act,
were in force at all material times when such acquisition was made or
proceeding was held or order was made or agreement was entered into or action
was taken.
Lastly, it provides that such acquisition
shall be valid notwithstanding any judgment, decree or order of any court.
Terefore before s. 7 can validate an
acquisition made before July 20, 1962, it must first be shown that the
acquisition is complete and the land acquired has vested in Government.
This 799 means that the land acquired has
vested in Government either under s. 16 or s. 17(1) of the Act. Thus s. 7 of
the Amendment Act validates such acquisitions in which property has vested
absolutely in Government either under s. 16 or s. 17 (1). Secondly s. 7 of the
Amendment Act provides that where acquisition has been made for a company
before July 20, 1962 or purported to have been made under cl. (a) or cl.
(b) of s. 40(1) and those clauses do not
apply in view of the interpretation put thereon in R. L. Arora's case(1), it
shall be deemed that the acquisition was for the purpose mentioned in cl. (aa)
as inserted in s. 40(1) of the Act by the Amendment Act. Thirdly s. 7 of the
Amendment Act provides that every such acquisition and any proceeding, order,
agreement or action in connection with such acquisition shall be, and shall be
deemed always to have been, as valid as if the provisions of ss. 40 and 41 of
the Act as amended by the Amendment Act were in force at all material times
when any action was taken for such acquisition. Finally, this validity is given
to such acquisitions and to all actions taken in connection therewith
notwithstanding any judgment, decree or order of any court.
This is what s. 7 of the Amendment Act
provides. The attack on it on the basis of Art. 31(2) is that it makes an
irrebuttable presumption that the acquisition was for a public purpose, though
it may not be actually so and therefore contravenes Art. 31(2) inasmuch as the
result of this irrebuttable presumption is that acquisition which may not have
been for a public purpose, is validated. We do not think that there is any force
in this contention in view of the interpretation we have given to cl. (aa)
introduced in s. 40 (1). The first fiction in s. 7 is that it shall be presumed
that acquisitions before July 20, 1962, if they do not fall within cl. (a) or
cl. (b) of s. 40(1), shall be deemed to fall within cl. (aa). That means that
building or work for which acquisition was made was required for a public
purpose of the kind indicated in cl. (aa). It does not however follow from this
that if the purpose was not of the kind indicated in cl. (aa) it will still be
presumed that the acquisition was for the purpose mentioned in cl.
(aa). All (1) (19521 Supp. 2 S.C.R. 149.
800 that the first deeming provision lays
down is that where the public purpose does not come within cl. (a) or cl. (b)
it should be deemed to come within cl. (aa), provided it is of a kind which can
come within this clause. The intention behind this deeming provision clearly is
to make the purpose of an acquisition made before July 20, 1962 which does not
fall within cl. (a) or cl. (b) of s. 40(1) to be judged in accordance with the
provisions contained in cl. (aa). On a reasonable interpretation, this deeming
provision therefore only provides that where the purpose does not fall within
cls. (a) and (b), it shall be deemed to fall under cl. (aa) and to be judged in
accordance therewith. If in fact the purpose of any acquisition made before
July 20, 1962, is such as does not fall within cl. (aa), the deeming provision
would be of no avail. Thus the first of the two fictions introduced by s. 7 of
the Amendment Act merely lays down that where a notification under s. 6 of the
Act cannot be justified under cl. (a) and cl. (b) of s. 40(1), it will be
judged in accordance with the provisions contained in cl.
(aa) and if it satisfies those provisions,
the acquisition will be deemed for the purpose of that clause, as if that
clause existed at the relevant time, though in actual fact it did not. The
first fiction therefore in our opinion goes no further than this and does not
provide that even though the purpose of acquisition does not fall within cl.
(aa), it will still be deemed to be a public purpose. In this view of the
matter, we are of opinion that the attack on s. 7 on the basis of Art. 31(2)
must fail.
Next it is urged that s. 7 of the Amendment
Act is hit by Art. 14 inasmuch as it discriminates between acquisition for a
company before July 20, 1962 and after that date. We do not think that there is
any force in this contention either.
In the view we have taken of the meaning of
cl. (aa) land the meaning of the first fiction introduced in s. 7 of the
Amendment Act, all that the second fiction in s. 7 of the Amendment Act says is
that when the first fiction is satisfied the second fiction will come into
force and every such acquisition and any proceeding, order, agreement or action
in connection with such acquisition shall be, and &shall be deemed always
to have been, as valid as if the provisions 801 of ss. 40 and 41 of the Act, as
amended by the Amendment Act, were in force at all material times. In effect
therefore s. 7 provides that even though acquisitions made before July 20, 1962
do not satisfy the conditions of cl.
(a) and cl. (b) of s. 40(1), they will be
valid if they satisfy the conditions of cl. (aa) as introduced by the Amendment
Act, as if that clause was in existence when the acquisition was made before
July 20, 1962. In this view we are of opinion that there is no discrimination
in the matter of acquisition for a company before July 20, 1962 and after that
date because in either case the conditions of cl. (aa) have to be actually
satisfied whether the acquisition was before July 20, 1962 or thereafter, as
the validation by s. 7 of the Amendment Act is only of such acquisition before
July 20, 1962 which actually satisfy the provisions in cl.
(aa).
We may in this connection refer to the words
"as valid as if" appearing in s. 7 of the Amendment Act, because they
are in our opinion the key words for the purpose of interpreting the extent of
the validity conferred on acquisitions before July 20, 1962. What the second
fiction provides is that an acquisition made before that date shall be as valid
as if the provisions of ss. 40 and 41 of the Act as amended by the Amendment
Act were in force at all material times. The force of the words "as valid
as if" clearly is that the validity of acquisitions made before July 20,
1962, has to be judged on the basis that cl. (aa) was in force at the material
time and in accordance therewith. The validity therefore is not absolute; it is
conditioned by the fact that it will be as valid as if cl. (aa) was in force;
so that if it could not be valid even if cl. (aa) was in force and could not be
justified under the terms of that clause, the validity conferred by s. 7 of the
Amendment Act will not attach to it. This in our opinion is the force of the
words "as valid as if" and the validity it has conferred is not
absolute as contended on behalf of the petitioner and will not apply to those
acquisitions which would not be valid if they could not be justified on the
basis of cl. (aa) assuming it to be in force at the material time. In this view
the attack under Art. 14 as well as Art. 31(2) fails, for in neither case can
acquisition be valid whether made before July 20, 1962 or thereafter unless the
conditions of cl. (aa) are satisfied.
134-159 S.C.-51 802 Next it is urged that
even if s. 7 is intra vires, it does not reopen decided cases and does not
revive notifications and acquisitions actually struck down by courts. We see no
force in this contention. Section 7 opens with the words "notwithstanding
any judgment, decree or order of any court" and the validity conferred by
it on acquisitions made before July 20, 1962 is thus notwithstanding any
judgment, decree or order of any court. These are the usual words to be found
in validating legislation where the intention is to validate some action which
would otherwise be invalid and which may have been declared invalid by any
court. The purpose of such words in a validating legislation is to declare
valid what has been held invalid by courts and once the legislature declares
such action valid all steps taken in connection therewith are validated to the
extent of validation. The result of the validation is that notifications or
other steps taken which may otherwise have been invalid become valid. Further
an acquisition also even though it may have been struck down by a court would
be validated if it has been made in the sense that property in the land to be
acquired has vested in Government either under s. 16 or s. 17 (1) of the Act.
It is not in dispute in this case that the property has vested in Government
under s. 17(1) or the Act. It is also not in dispute that the purpose of the
company was a public purpose, namely, manufacture of textile machinery parts
and that the acquisition was also for the construction of works for that
purpose. In the circumstances we fail to see how it can be said that the rights
of the petitioner have not been affected at all by the validating provision in
s. 7 of the Act. The contention under his head also fails.
Then it is urged that the acquisition in the
present case cannot be said to be for a public purpose inasmuch as the
agreement between the company and the Government does not regulate or control
the products of the company in the interest of the public. We have not been
able to understand exactly what is meant by this. As we have already said, it
is not in dispute that the purpose of the company is a public purpose, namely,
production of textile machinery parts, and the land is acquired for the
construction of works 803 for that purpose. The agreement shows that the land
is required for the construction of a work, namely, a factory for the
manufacture of textile machinery and parts' and that such work is likely to
prove useful to the public. One term of the agreement is that the company, its
successors and assignees will use the said land for the aforesaid purpose and
for no other purpose without the previous sanction in writing of the State
Government. Another term provides that if the said land or any part or parts
thereof shall no longer be required by the company, then the company will
forthwith relinquish and restore the same, after removing all buildings and
structures, to the Governor at a price equal to the amount paid by it under the
Act. It is clear therefore that the land cannot be used for any other purpose
and it will have to be restored to the Government if it is not used for the
purpose for which it was acquired. In this connection reference may be made to
s. 44-A introduced by the Amendment Act which lays down that "no company
for which any land is acquired under this Part shall be entitled to transfer
the said land or any part thereof by sale, mortgage, gift, lease or otherwise
except with the previous sanction of the appropriate Government". 'This
provision also provides a safeguard that the land will only be used for the
public purpose for which it is acquired and not otherwise. The aforesaid terms
in the agreement in our opinion satisfy the condition that the land will be
used for the public purpose for which it was being acquired and for no other.
Therefore the acquisition is for a public purpose as provided in cl. (aa). We
do not think it is the purpose of the Act that the agreement should provide for
regulation or control of the products of a company, which probably means that
Government should control the quantum of production and distribution or the
price of the produced articles. This in our opinion is foreign to the purpose
of the Act. All that the Act requires is that before land is transferred to the
company by the Government, the agreement should provide that land would be used
for the purpose for which it was acquired and for no other. The Act has nothing
to do with the control or regulation of the products of the company and gives
no power to Government in that behalf.
Nor do we think it was necessary in order
that the public purpose 804 mentioned in cl. (aa) is carried out to have any
further term in the agreement besides those which have been provided in the
agreement in this case. The contention that the acquisition in the present case
was not for a public purpose as the agreement does not provide for the control
and regulation of the product of the company must therefore fail.
Lastly it is urged that the petitioner who
was a businessman was intending to use the land for erecting a factory. He
could not do so because certain rules did not permit him to build a factory
adjacent to the military installations which had been put up by the Defence
Department on adjoining land.
It is urged that it could not be the purpose
of the Act that land which was intended to be used for one public purpose
should be acquired for 'another public purpose. We see no force in this
contention either. All that the Act requires is that the land should be
required for a public purpose.
The intention of the previous owner whatever
it may be does not in our opinion enter into the question at all, so far as
:the validity of the acquisition is concerned provided the acquisition is for a
public purpose. Whether the land should be acquired or not is a matter which
may be urged under s. 5-A of the Act, which gives the owner of the land the
right to object to the acquisition, and it is for Government to decide whether
the objection should be allowed or rejected. Once the Government decides that
the objection should be rejected and that the acquisition is needed for a
public purpose the validity of the notification under s. 6 and the subsequent
action thereafter cannot be challenged on the ground that the-previous owner
himself intended to use the land for some public purpose. In this connection
our attention is invited to the observations of this Court in Province of
Bombay v. Kusaldas S. Advani(1), where it was observed that "under certain
circumstances even securing a house for an individual may be in the interests
of the community, but it cannot be to the general interest of the community to
requisition the property of one refugee for the benefit of another refugee".
These observations in our opinion have no (1) [1950] S.C.R. 621. 687.
805 relevance to the matter under
consideration. We are concerned here with acquisition for a public purpose,
which is undisputed. This is not a case of a house of one person being
requisitioned for another; this is a case of constructing some work which will
be useful to the public and will subserve the public purpose of the production
of textile machinery and its parts for the use of the general public. In these
circumstances we are of opinion that there being a definite public purpose
behind the acquisition in the present case, the acquisition would be justified
under the Act irrespective of the intention of the previous owner of the land
to use it for some other public purpose. The contention under this head must
also fail.
It now remains only to consider the argument
on behalf of the intervener that cl. (aa) violates Art. 14 inasmuch as it
permits acquisition of land for a company but not for an individual or a
private company, though the individual or the private company may also be
engaged in or taking steps to engage himself or itself in an industry or work
which is for a public purpose. Reference was also made to s. 44-B, introduced
by the Amendment Act, which lays down that "notwithstanding anything
contained in this Act, no land shall be acquired under this Part, except for
the purpose mentioned in clause (a) of sub-section (1) of section 40, for a
private company which is not a Government company".
It is said that there is discrimination
between a public company and a Government company for which land can be
acquired under cl. (aa) on the one hand and a private company or an individual
on the other. It is true that acquisition for the purpose of cl. (aa) can only
be made for a Government company or a public company and cannot be made for a
private company or an individual; but there is in our opinion a clear
classification between a public company and a Government company on the one
hand and a private company and an individual on the other, which has a
reasonable nexus with the objects to be achieved under the law. The intention
of the legislature clearly is that private individuals and private companies
which really consist of a few private individuals banded together should not
have the advantage of acquiring land even though they 806 may be intending to
engage in some industry or work which may be for a public purpose inasmuch as
the enrichment consequent on such work goes to private individuals or to a
group of them who have formed themselves into a private company. Public
companies on the other hand are broad based and Government companies are really
in a sense no different from Government, though for convenience of
administration a Government company may be formed, which thus becomes a
separate legal entity. Thus in one case the acquisition results in private
enrichment while in the other it is the public which gains in every way.
Therefore a distinction in the matter of acquisition of land between public
companies and Government companies on the one hand and private individuals and
private companies on the other is in our opinion justified, considering the
object behind cl. (aa) as introduced into the Act. The contention under this
head must therefore also fail.
The petition therefore fails and is hereby
dismissed. In the circumstances we pass no order as to costs.
AYYANGAR J. I have had the advantage of
perusing the judgment prepared by Wanchoo, J. but regret my inability to agree
with it. In my opinion this writ petition has to be allowed.
The facts of the case and the relevant
statutory provisions whose construction is involved in the petition, have been
set out in full in the judgment just now pronounced and it is therefore
unnecessary for me to recapitulate them. The principal points on which learned
counsel for the petitioner rested his case were mainly two: (1) that s.
40(1)(aa) introduced by s. 3 of the Land Acquisition Amending Act (Act XXXI of
1962) which I shall hereafter refer to as the Act, was unconstitutional, in
that it authorised the compulsory acquisition of land for purposes which might
not at all be public purposes and was therefore violative of Art. 31(2) of the
Constitution, and (2) that s. 7 of the Act by which acquisitions of land made
prior to July 20, 1962 for the purposes mentioned in s. 40(1)(aa) were
purported to be validated did not on its proper construction cover the present
case and further, even if it did that the said provision was 807 invalid as
ultra vires for the very same reason for which cl. (aa) was.
I shall first take up the submission made to
us by Mr. Agarwal about the amendment effected to s. 40(1) by the introduction
of the new clause (aa). That clause reads "that such acquisition is needed
for the construction of some building or work for a company which is engaged or
is taking steps for engaging itself in any industry or work which is for a
public purpose", so that after the amendment land may be compulsorily
acquired by the State for a company for being utilised for the purpose above
set out. It was not disputed by Mr. Setalvad who, appearing for the first and
3rd respondents, addressed to us the main arguments on behalf of the
respondent, nor by the learned AttorneyGeneral appearing for the Union of India
that if on a proper construction of cl. (aa) power was reserved to compulsorily
acquire land for a purpose other than a public purpose, the same would infringe
Art. 31(2) of the Constitution and would, therefore, be void. The scope of the
inquiry in the petition is therefore narrowed down and it would be sufficient
to consider merely the construction of this clause and ascertain whether the
purpose for which authority is conferred by it for making an acquisition, is a
public purpose.
The clause starts with the words that the
acquisition is needed for the construction of a building or work. It goes
without saying that if the power to acquire here conferred is related to the
construction of a building or work which is essential for starting an industry
or for carrying on an industry which is necessary to be carried on in the
public interest. the acquisition would be for a public purpose and undoubtedly
the provision would be valid. The question is whether the words of the clause
are capable of this construction. The words of the clause may be thus split up:
(1) the land is needed for the construction
of "a building" or "work", and (2) that
"building" or "work" is for a company which is engaged
(omitting the immaterial words) in an industry or work which is for a public
purpose.
Therefore, if a company which is engaged in
an industry which industry is invested with a public purpose i.e., if the
industry itself serves a public purpose, that the land is needed for the
construction of a building or work for such a company is made sufficient 808 to
enable the acquisition to be made. In other words, the criterion of the
justification for the acquisition is, that it is for a company of a designated
nature, not that the land acquired is needed for a building or work which is
essential for the carrying on of an industry which serves a public purpose. The
company might be engaged in an industry which might be informed by a public
purpose or whose products might be essential for the needs of the community.
but under the clause as enacted it is not
necessary that the land acquired is needed for being used for the purpose of
that industry but may be needed for any purpose of the company, the only
qualification being that the company answers the description set down in the
clause. Thus, to take the present case, the third respondent-company intends to
start a factory for the manufacture of textile machinery, in the present state
of the country's industrial development. There could be no dispute that the
industry in which the third respondent is engaged or would be engaged, would
serve a national need and therefore a public purpose.
But, as was put during the course of the
argument, the land acquired might be needed not for the putting up of the
factory premises or essential buildings connected with it for its operational
needs, if one might use that expression, but say for a swimming pool or a
tennis court in the compound of the Directors' residence for whom the company
might consider it proper to provide accommodation. To take a more extreme case,
the company's factory may be in city A, and if the company wants to provide a
guest house, a holiday home or accommodation for its Directors at city B, the
clause will enable the acquisition to be made for the purpose. It cannot be
contended that the use of the land for such a purpose was invested with a
public purpose so as to permit compulsory acquisition of land having regard to
the terms of Art. 31 (2).
The question, therefore, arises whether an
acquisition for a purpose of this type is or is not permitted on cl. (aa) as it
now stands. I am clearly of the opinion that an acquisition for such a purpose
would be covered, for the only two tests that are prescribed in it as
conditions to be satisfied before an acquisition could be made under this clause
are (1) that the land is needed for the construction of a building or 809 work
for a company i.e., the acquisition of the land and the construction are intra
vires of the memorandum of association of the company, and (2) that company for
which the acquisition is being made is one engaged or is to be engaged in an
industry which is for a public purpose.
The first, and I would say the primary
submission of Mr. Setalvad was that the words "for a public purpose"
at the end of the clause ought to be read as governing and qualifying the words
"building or work for a company" which occur earlier, so that under
the clause not merely has the company to be one of the type described i.e.
engaging in an industry which serves a public purpose but such a company needs
the land for the construction of a building or work which is essential for that
industry to be commenced or carried on. I feel unable to accept this as a
possible construction of the words used. For that construction to be adopted
even the transposition of the words "for a public purpose" to an
earlier point after the words "for a company" would not be sufficient
assuming the rules of grimmer permitted such a course; for, then it would leave
out the description or categorisation of the company for which the land is
needed, and in such a situation the entire object of the amendment would be
frustrated, asit would not be a condition that the industry in which the
company is engaged is one which is required in public interest. Even if the
clause were rewritten so as to introduce the words "for a public
purpose" earlier and also retain them where it occurs now, the
construction for which Mr. Setalvad contends cannot result, for then it would
not make much sense, for the words "for a public purpose" if
transposed earlier would not convey the meaning which Mr. Setalvad says they
convey, because the construction which learned counsel suggests is that the
clause means that the land is needed for the construction of the factory and
other essential buildings for a company engaged in an industry which serves the
national interest. By no transposition of the words actually used in the clause
can such a transformation be achieved.
The position as regards the construction of
cl. (aa) is not improved when one turns to the consequential amendment effected
in s. 41 of the Land Acquisition Act where a new cl. 4(a) has been introduced
by s. 4 of the Act. If in this 810 provision at least, which deals with the
agreements which the Government is directed to enter info. it is clear that the
acquisition could be made only for a public purpose and not for what one might
term "the private purposes" of a company engaged in an industry which
is essential for the public, then one could read cl. (aa) together with this
provision and use the terms of s. 41 for construing the scope and purpose of s.
40(1)(aa). Clause 4(a) reads:
"Where the acquisition is for the
construction of any building or work for a company which is engaged or is
taking steps for engaging itself in any industry or work which is for a public
purpose the time within which, and the conditions on which the building or work
shall be constructed or executed;
If anything, therefore, cl. 4(a) emphasizes
that what Parliament considered essential was the nature of the company for
whose benefit the acquisition was being made and not the nature of the use to
which the property acquired may be put and that it would not matter if a
company of the type described used the land acquired for the pleasure of its
Directors or for its private purposes unrelated to the purpose of the industry
in which it was engaged. Lastly, some attempt was made to show that the rules
framed under the Land Acquisition Act themselves threw light on the purpose for
which the acquisition was to be made but it was, however, conceded that the
rules afforded no assistance either way on the matter.
It was then submitted that there is a
presumption in favour of constitutionality and that the clause ought to be so
read, if that were possible so as to sustain its validity.
I quite agree that if the language were
flexible in the sense that it could be read so as to make it refer only to
cases of acquisition for a public purpose, this could and ought to be done. But
this assumes that the clause is reasonably capable of two interpretations: one
which would render it unconstitutional and the other which even though it is a
little strained, would make it constitutional. then the Court would lean in
favour of the latter construction.
811 The question therefore is whether the
clause is capable of more than one interpretation. I would be stating only a
truism if I said that there is no scope for interpretation here. With profound
respect for my learned brethren, I consider that the words are capable only of
one meaning.
Rules of construction are merely aids to
resolving ambiguity. if any exists. The first and primary rule, if those rules
have to be invoked, is to take the words themselves and then arrive at their
true meaning. for if they disclose an intelligible meaning, then the process of
interpretation stops unless the words are reasonably capable of being
understood in more than one way and rules of interpretation are then invoked to
resolve that ambiguity.
It was not suggested that the words do not,
as they stand, make sense. They do, only the sense which they convey makes the
clause unconstitutional. No doubt, the meaning of a word may vary with the
setting or context, but that is not the position here. One asks in vain which
is the word which is said to bear a different meaning from the natural normal,
dictionary sense, because of the context or setting"? It was, however,
urged that it could not have been the intention of Parliament to have intended
the clause to mean what appears to be meaning which I have said the words bore.
But this argument ignores the basic principle
underlying all rules of statutory construction that the intention of the
legislature has to be gathered only from the meaning of the words used, for
they are the only means by which the intention of the law-maker could be
gathered. It is only where there is an ambiguity and the words are capable of
more than one construction that any extrinsic aid in the shape of the purpose
of the legislature, or the object of the legislation come in for consideration.
"Were the language of an Act is clear and explicit," said Tindal,
C.J.
in Warburton v. Loveland(1), "we must
give effect to it, whatever be the Consequences, for in that case the words of
the statute speak the intention of the legislature".
Authority is not needed for the proposition
that the intention of the legislature is not a matter to be speculated upon.
Interpretation or construction cannot mean that a Court first reaches a
conclusion as to what in its opinion the legislature intended, (1) 2 D. &
Cl. (H.L.) 480 at p. 489.
812 even though this involves attributing a
meaning divorced from the words used, and then adjust the meaning to the
conclusion it has reached. As was observed by Lord Watson in an oft quoted
passage in Salomon v. A. Salomon & Co. (1):
"Intention of the legislature is a
common but very slippery phrase, which, popularly understood, may signify
anything from intention embodied in positive enactment to speculative opinion
as to what the legislature probably would have meant, although there has been
an omission to enact it. In a court of law or equity, what the legislature
intended to be done or not to be done can only be legitimately ascertained from
what it has chosen to enact, either in express words or by reasonable and
necessary implication.' It was the same principle that was explained by Lord
Herschell in Cox v. Hakes(2) when he said:
".....It must be admitted that if the
language of the legislature interpreted according to the recognised canons of
construction involves this result, your Lordships must frankly yield to it even
if you should be satisfied that it was not in the contemplation of the
legislature." The only way in which I am able to read the clause is to
relate the words "public purpose" to the nature of the industry
carried on by the company and by no rule of construction with or without
extrinsic aids or with reference to the context, not to speak of rules of
grammar, can the reference to public purpose be related to the building or work
for which the acquisition is permitted to be made.
The learned Attorney-General submitted that
the provision could and ought to be read down and confined in its operation to
acquisition for public purposes as properly understood; in other words, to
sever the constitutional from the unconstitutional portions and uphold the
former. I do not find it possible to adopt this approach in a clause worded
like the one before us. On the construction of the clause which I hold is the
only possible one to adopt, it means the (2) 15 A.C. 506 at p. 528.
(1) [1897] A.C. 22 at p. 38.
813 State is empowered to compulsorily
acquire land for companies which satisfy the description of being engaged in an
industry which is essential for the life of the community whether or not the
purpose for which the company proposes to use the land. acquired is a public
purpose. Where the purpose for which the acquisition could be made is indicated
by the enactment and that purpose is one which is primarily constitutionally
permissible, but the words employed for indicating the purposes might possibly
include some outside the power of the legislature, an argument about reading
down would require consideration. But in the clause now impugned, there is no
purpose indicated at all, except that it is needed for a company which falls
within a particular category. For such a situation I consider that there is no
scope at all for invoking the principle of reading down.
Again, where the provision gives a carte
blanche to Government to acquire land for any purpose it is not possible to
sustain the validity of such a law and strike down merely the particular
acquisition where land is acquired for a purpose which is not a public purpose,
for here the vice is in the law itself and not merely in the application.
I am, therefore, clearly of the opinion that
cl. (aa) introduced by the Amending Act XXXI of 1962 is unconstitutional as
violative of Art. 31(2).
In this view it is unnecessary for me to
consider the proper construction of s. 7 of the Amending Act. Under the terms
of s. 7 of the Act, all acquisitions of land made prior to June 20, 1962, even
accepting the construction which Mr. Setalvad pressed upon us, are deemed to
have been made for a purpose falling within cl. (aa). If, as I have held, cl. (aa)
is unconstitutional and void, it was not contended that s. 7 would of any
assistance to the respondents to sustain the acquisition of the petitioner's
land. I would, therefore, allow the petition and grant the reliefs prayed for
therein.
ORDER In accordance with the opinion of the
majority the petition fails and is dismissed. There will be no order at the
costs.
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