Bishambar Nath Kohli & Ors Vs.
State of Uttar Pradesh & Ors [1965] INSC 210 (11 October 1965)
11/10/1965 SHAH, J.C.
SHAH, J.C.
GAJENDRAGADKAR, P.B. (CJ) WANCHOO, K.N.
HIDAYATULLAH, M.
SIKRI, S.M.
CITATION: 1966 AIR 573 1966 SCR (2) 158
ACT:
Administration of Evacuee Property Act (31 of
1950) ss. 27 and 58(3)-Order passed by Deputy Custodian under repealed
Ordinance Jurisdiction of Custodian-General to revise procedure to be followed
in disposal of revision.
HEADNOTE:
Under s. 6 of Ordinance 12 of 1949, the
Deputy Custodian of Evacuee notified certain property to be evacuee property in
October 1949. No claim was preferred by any one in pursuance of the
notification and the Central Government acquired the property under the Displaced
Persons (Compensation and Rehabilitation) Act, 1954 and put it up for sale by
Public auction in 1957. The predecessor in title of the appellants purchased
the property. In 1961, the State of Uttar Pradesh applied under s. 27 of
the-Administration of Evacuee Property Act, 1950, invoking the revisional
jurisdiction of the Custodian-General, claiming that the property belonged to
the State and not to the evacuee and that therefore, the Deputy Custodian had
no power to declare it as evacuee property. The Custodian General upheld the
plea of the State.
In appeal to this Court, the jurisdiction of
the Custodian General to entertain the petition was questioned.
HELD : (1) The Custodian-General had the
power to entertain the revision application filed. by the State.
By Ordinance 27 of 1949, which repealed
Ordinance 12 of 1949, a Proceeding commenced or anything done or action taken
under the earlier Ordinance was to be deemed a proceeding commenced, thing done
and action taken under the later Ordinance, as if it were in force on the date
on which the proceeding was commenced, thing was done or action was taken. Sec.
58(3) of the Administration of Evacuee Property Act, which repealed Ordinance
27 of 1949, contained a similar deeming provision that anything done or action
taken in exercise of the power conferred under Ordinance 27 of 1949 is to be
deemed to have been done or taken in exercise of the power conferred by or
under the Act, as if the Act were in force on the day on which such thing was
done or action was taken. By this chain of fictions, things done and actions
taken under Ordinance 12 of 1949 are to be deemed to have been done or taken in
exercise of the powers conferred under the Act, as if the Act were in force on
the day on which such thing was done or action was taken. [164 B-E] By the
first part of s. 58(3) of the Act, the previous operation of repealed status
services the repeal. Thereby matters and transactions past and closed remain
operative.
But the saving of the previous operation of
the repealed law is not be read, as saving the future operation of the previous
law. The previous law stands repealed and it has not for the future the
practical operation as is prescribed by s. 6 of the General Clauses Act, 1897.
The rule contained in s. of the General Clauses Act applies only if a different
intention does not appear and by enacting 159 s. 58(3) of the Administration of
Evacuee Property Act Parliament has expressed a different intention. Under s. 58(3),
all things done and actions taken under the repealed statute are deemed to be
done or taken in exercise of the powers conferred by or under the repealing
Act, as if that Act were in force on the day on which the thing was done or
action was taken. [168 C; 167 H; 168 B] The order made by the Deputy Custodian
was declared final by s. 30(6) of Ordinance 12 of 1949. If fictionally the
order is deemed to have been passed under the Administration of Evacuee
Property Act, as if the Act were in operation in October, 1949, it is difficult
to escape the conclusion that the order would be subject to the appellate and
revisional jurisdiction of the authorities who have the appellate or revisional
power by virtue of the provisions conferring those powers and which must also
be deemed to have been in force on the date when the impugned order was passed.
The use of the expression "subject thereto" in s. 58(3) cannot attribute
to the previous operation of the repealed statute an overriding effect so as to
deprive the authorities constituted under the repealing Act of their power to
entertain appeals or revision applications, which they possess by the express
enactment. [169 A-C; 168 F] Indira Sohanlal v. Custodian of Evacuee Property,
[1955] 2 S.C.R. 1117 and Dafidar Niranjan Singh v. Custodian Evacuee Property,
[1962] 1 S.C.R. 214, explained.
(ii) The procedure followed by the
Custodian-General was however open to grave objection, because, he relied upon
copies of documents on which the title of the State was founded without giving
an opportunity to the appellants to lead evidence in rejoinder, and therefore
the order of the Custodian-General should be set aside and the matter remanded
to him for fresh disposal according to law. [170 F]
CIVIL APPELLATE JURISDICTION : Civil Appeal
No. 659 of 1964.
Appeal by special leave from the judgment and
order, dated the September 11, 1962 of the Custodian General of Evacuee
Property, Department of Rehabilitation, Ministry of Works Housing and Supply,
New Delhi in Revision Petition No. 1209R/ UP/1961.
Gopal Singh, for the appellants.
S. T. Desai and O. P. Rana, for respondent
No. 1.
N. S. Dindra, K. S. Chawla and R. N.
Sachthey, for respondents Nos. 2, 3 and 4.
The Judgment of the Court was delivered by
Shah, J. House No. 11, Kaiserbagh at Lucknow, was since 1918 in the occupation
of one Chowdhry Akbar Hussain. After the partition of India, Chowdhry Akbar
Hussain migrated to Pakistan. By order dated October 12, 1949 the Deputy
Custodian of Evacuee Property, Lucknow, in exercise of power "under s. 6
160 of the U. P. Administration of Evacuee Property Ordinance 1 of 1949 as
continued in force by Central Ordinances 12 and 20 of 1949" declared No.
11, Kaiserbagh as "evacuee property". No claim was preferred by any
person in pursuance of this notification, and management of the property
continued with the Custodian of Evacuee Property.
Acting under s. 12 of the Displaced Persons
(Compensation and Rehabilitation) Act 44 of 1954, the Central Government by a
notification dated May 27, 1955 acquired the property for the Central pool
constituted under that Act. On June 7, 1957 the property was put up for sale by
public auction and was purchased by one Ram Chand Kohli.
On September 27, 1961 the State of Uttar
Pradesh applied under s. 27 of the Administration of Evacuee Property Act 31 of
1950 invoking the revisional jurisdiction of the Custodian-General against the
order of the Deputy Custodian notifying the property as evacuee property. The
State of Uttar Pradesh claimed that the property belonged to the State and
Chowdhry Akbar Hussain had no proprietary interest in the property and
accordingly the Deputy Custodian had no power to declare it "evacuee
property". It was submitted that the State of Uttar Pradesh was not aware
of the notification declaring the property to be evacuee property, nor of the
subsequent proceedings and of the sale to Ram Chand Kohli. The appellants who
are the legal representatives of Ram Chand Kohli contended, inter alia, that
the petition was belated, and that in any event the property being of the
ownership of Chowdhry Akbar Hussain it was lawfully declared evacuee property.
The CustodianGenral upheld the plea of the State of Uttar Pradesh, and set
aside the order of the Deputy Custodian. With special leave, the heirs and legal
representatives of Ram Chand Kohli have appealed to this Court.
We propose in this appeal only to deal with
the plea of the appellants that the Custodian-General had no jurisdiction to
entertain the petition filed by the State of Uttar Pradesh.
If the appellants fail to establish that
plea, the case must be remanded to the Custodian-General for retrial, because
we are of the view that the trial of the petit-ion is vitiated by gross
irregularities and breach of the rules of natural justice.
Section 27 of the Administration of Evacuee
Property Act 31 of 1950 authorises the Custodian-General at any time, either on
his own motion or on application made to him in that behalf, to call for the
record of any proceeding in which any Custodian has passed an order for the
purpose of satisfying himself as to 161 the legality or propriety of any such
order, and to pass such order in relation thereto as he thinks fit. Section 27
does not prescribe any limit of time within which the power in revision may be
exercised. The Custodian-General may call for the record of any proceedings of
a subordinate officer at any time, and pass such order in relation thereto as
may be called for to do justice to the parties affected by the proceeding. The
powers of the Custodian-General are unquestionably judicial and normally he may
not be justified in entertaining a petition in revision which has been
instituted after great delay, especially when titles of persons other than
those directly concerned in the order sought to be revised, have intervened.
There was in this case great delay in lodging the petition by the State of
Uttar Pradesh invoking the jurisdiction of the Custodian General. Notice of the
order made on October 12, 1949, was issued and thereafter also there were
several proceedings before the Custodian and the Settlement Commissioner in
regard to the property. The authorities of the State appear to have betrayed
gross negligence in protecting the public interest, if their case about the
title of the State be true. But the Custodian-General appears to have been of
the view that in exercise of jurisdiction conferred by statute the petition
should be entertained and power under the Act be exercised. Whether in a given
case, the Custodian General may entertain a petition against an order passed by
a subordinate authority, notwithstanding gross delay in instituting the
proceeding is a matter within his discretion. We do not think that in exercise
of the appellate jurisdiction of this Court under Art. 136 of the Constitution,
we would be justified in interfering with the order of the Custodian-General in
a matter which is essentially within his competence and relates to the exercise
of his discretion, however much we may disagree with him.
The question which then must be considered is
whether the Custodian-General had the power to entertain the petition under s.
27 of the Administration of Evacuee Property Act 31 of 1950, challenging the
order passed by the Deputy Custodian on October 12, 1949. It may at once be
observed that the reference in the notification issued by the Deputy Custodian
to U.P. Ordinance 1 of 1949 has been made on account of some inadvertence. The
notification was issued after the U.P. Ordinance expired and when Central
Ordinance 12 of 1949 was applied to the United Provinces by Ordinance 20 of
1949. The U.P. Ordinance 1 of 1949 was promulgated by the Governor of the
United Provinces on June 22,1949.
Shortly before the promulgation of that
Ordinance, the 162 'Governor-General had in exercise of the powers conferred by
S. 42 of the Government of India Act 1935 issued Central Ordinance 12 of 1949
called "The Administration of Evacuee Property (Chief Commissioners'
Provinces) Ordinance, 1949".
This Ordinance was applicable in the first
instance to the Chief Commissioner Provinces of Ajmer-Merwara and Delhi and it
would be -extended to any other Province by notification issued by the Central
Government. The Governor-General issued on August 23, 1949 Ordinance 20 of
1949, by S. 4 whereof Ordinance 12 of 1949 was applied to the Provinces of
Madras and the United Provinces. By S. 6 of Ordinance 12 of 1949 the Deputy
Custodian -was authorised to notify evacuee properties which had vested in him
under s. 5 of the Ordinance. A person claiming any right to or interest in any
property notified under s. 6 could prefer a claim within 30 days, or such
extended time as the Deputy Custodian allowed, that the property is not evacuee
property or that his interest in the property is not affected by the provisions
of the Ordinance. The Deputy Custodian was thereupon required to hold an
inquiry in the prescribed manner, and after taking such -evidence as may be
produced, to pass an appropriate order. An order passed by a Deputy Custodian
on inquiry in the prescribed manner was appealable to the Custodian at the
instance of a party aggrieved thereby: S. 30 (1). The Custodian had also the
power to call for the record of any proceeding which was pending or had been
disposed of, by an officer subordinate to him, for the purpose of satisfying
himself as to the legality or propriety of the order passed therein, and to
pass such order in relation thereto as he deemed fit. By sub-s. (6) of S. 30,
subject to the provisions of sub-ss. (1) to (5) of s. 30, any order passed by
the Custodian, Deputy Custodian, Additional Custodian, Assistant Custodian or
Authorised Deputy Custodian was declared final and not liable to be called in
question in any court by way of appeal or revision or in any original suit,
application or execution proceeding.
On October 18, 1949 the Governor-General
issued Ordinance 27 of 1949 called "The Administration of Evacuee Property
Ordinance, 1949". Under that Ordinance the Custodian could under S. 7,
after notice to the persons interested and after holding such 'inquiry into the
matter as the circumstances of the case permitted, pass an order declaring any
property to be evacuee property, and on such declaration the property vested in
the Custodian. By S. 24, any person aggrieved by an order made, amongst other
sections, under s. 7, could prefer an appeal to the authority specified in the
section.
Section 27 invested the Custodian-General
with 163 power at any time to call for the record of any proceeding in which
any custodian had passed an order in appeal under the provisions of Ch. V for
the purpose of satisfying himself as to the legality or propriety of any such
order and to pass such order in relation thereto as he thought fit, and every
order made by the Custodian-General, Custodian, Additional Custodian or
Assistant Custodian was by S. 28 declared final and not liable to be called in
question in any court by way of appeal or revision or in any original suit,
application or execution proceeding. By subs. (1) of S. 55 Ordinance 12 of 1949
was repealed, and by sub-s. (3) it was provided that notwithstanding the repeal
of Ordinance 12 of 1949 or of any corresponding law, anything done or any
action taken in the exercise of any power conferred by that Ordinance or law
shall be deemed to have been done or taken in the exercise of the powers
conferred by Ordinance 27 of 1949, and any penalty incurred or proceeding
commenced under that Ordinance or law shall be deemed to be a penalty incurred
or proceeding commenced under Ordinance 27 of 1949 as if Ordinance 27 of 1949
were in force on the day on which such thing was done, action taken, penalty
incurred or proceeding commenced. This Ordinance 27 of 1949 was repealed by the
Administration of Evacuee Property Act 31 of 1950. The scheme of this Act was
identical with the scheme of the Administration of Evacuee Property Ordinance
27 of 1949. Section 7 conferred power upon the Custodian to notify any
property, after holding an inquiry, to be evacuee property. Any person
aggrieved by an order under S. 7, could under S. 24 prefer an appeal to the
specified authority. By S. 27 revisional jurisdiction was conferred upon the
Custodian-General in terms similar to S.
27 of Ordinance 27 of 1949, and by S. 28
every order made by the Custodian-General, Custodian, Additional Custodian,
Authorised Deputy Custodian, Deputy Custodian or Assistant Custodian was, save
as otherwise expressly provided in Ch.
V, declared final and not liable to be called
in question in any court by way of appeal or revision or in any original suit,
application or execution proceeding. By sub-s. (1) of S. 58, the Administration
of Evacuee Property Ordinance 27 of 1949 was repealed. Sub-section (3) of S. 58
read as follows:
Evacuee Property Ordinance, 1949 or the
Hyderabad Administration of Evacuee Property Regulation or of any corresponding
law shall not affect the previous operation of that Ordinance, Regulation or
corresponding law, and subject thereto, anything done or any action taken in
the exercise of any power conferred by or under that 164 Ordinance, Regulation
or corresponding law, shall be deemed to have been done or taken in the
exercise of the powers conferred by or under this Act as if this Act were in
force on the day on which such thing was done or action was taken." By
Ordinance 27 of 1949 a proceeding commenced under Ordinance 12 of 1949 or
anything done or action taken in the exercise of the powers conferred under
that Ordinance was to be deemed a proceeding commenced, thing done and action
taken under the former Ordinance as if that Ordinance were in force on the date
on which the proceeding was commenced, thing was done or action was taken.
Section 58(3) of Act 31 of 1950 contained a similar deeming provision that an
thing done or action taken in exercise of the power conferred under Ordinance
27 of 1949 is to be deemed to have been done or taken in exercise of the power
conferred by or under Act 31 of 1950, as if the Act were in force on the day on
which such thing was done or action was taken.
By this chain of fictions, things done and
actions taken under Ordinance 12 of 1949 are to be deemed to have been done or
taken in exercise of-the powers conferred under Act 31 of 1950, as if that Act
were in force on the day on which such thing was done or action taken. The
order passed by the Deputy Custodian under S. 6 of Ordinance 12 of 1949 was,
therefore, for the purpose of this proceeding, to be deemed an order made in
exercise of the power conferred by Act 31 of 1950 as if that Act were in force
on the day on which the order was passed.
But it was urged by counsel for the
appellants that this chain of fictions did not assist the State of Uttar
Pradesh, because by each of the successive statutes the operation of the.
fiction was subject to the finality of the orders made under the earlier
Ordinance. It was claimed that the repeal of Ordinance 12 of 1949 by Ordinance
27 of 1949 did not affect the previous operation of the repealed Ordinance,
including the finality of orders made under that Ordinance and by s. 55(3) of
Ordinance 27 of 1949 the finality of the order of the Deputy Custodian under
sub-s. (6) of s. 30 of Ordinance 12 of 1949 was preserved. Similarly under Act
31 of 1950 things done or actions taken under Ordinance 27 of 1949 were to be
deemed to have done or taken under the Act, but thereby finality of orders
declared by s. 28 of the Ordinance was not trenched upon. It was submitted,
that by s. 58 (3 ) in a technical sense things done and actions taken or deemed
to be done or taken under Ordinance 27 of 1949 were to be deemed to have been
done or taken under Act 31 of 1950, but finality of 165 the orders declared by
s. 30(6) of Ordinance 12 of 1949 was not affected, and the orders of the Deputy
Custodian could not be set aside by the Custodian-General in exercise of the
power under s. 27 of Act 31 of 1950. In support of this contention reliance was
placed upon certain dicta in two decisions of this Court : Indira Sohanlal v.
Custodian of Evacuee Property, Delhi & Others(1) and Dafadar Niranjan Singh
and Another v. Custodian, Evacuee Property (Pb.) and Another(2). In our view no
support is to be derived from those cases for the claim made by counsel for the
appellants. In Indira Sohanlars case(3) an application to sanction an exchange
made under s. 5-A of the East Punjab Evacuees' (Administration of, Property)
Act, 1947, as amended in 1948, was decided on March 30, 1952 by the Additional
Custodian after Act 31 of 1950 was brought into force. Exercising power under
s. 27 of Act 31 of 1950 the Custodian-General set aside the order of
confirmation and remanded the case to be reconsidered by the Custodian. In
appeal to this Court against that order, it was submitted that the order of the
Additional Custodian was not open to revision by the Custodian-General, because
the appellant had a vested right to have the application for confirmation
determined under s. 5-A of the East Punjab Evacuees' (Administration of
Property) Act, and finality under s. 5-B attached to such determination, repeal
and reenactment of those provisions notwithstanding. This Court held that the
application for confirmation of exchange was pending on the date on which Act
31 of 1950 came into force and had to be dealt with and disposed of under that
Act; the order of confirmation passed in 1952 was therefore subject to the
revisional jurisdiction of the Custodian-General under s. 27 of the Act. That
decision can have no application to this case. But counsel relied upon certain
observations made by Jagannadhadas, J., at p. 1136 "Without attempting to
be meticulously accurate, it may be stated in general terms, that the scheme
underlying section 58(3) appears to be that every matter to which the new Act
applies has to be treated as arising, and to be dealt with, under the new law
except insofar as certain consequences have already ensued or acts have been
completed prior thereto, to which it is the old law that will apply."
These observations, in our judgment, lend no support to the contention that the
finality declared under s. 30 of the Ordinance 1 of 1949 in respect of 'the
orders passed or proceedings taken (1) [1955] 2 S.C.R. 11 17.
(2) [1962] 1 S.C.R. 214.
166 remains attached to the order of the
Deputy Custodian so as to prevent the Custodian-General from exercising his
power under s. 27 of Act 31 of 1950.
In Dafadar Niranjan Singh's case(1), the
Custodian of Evacuee Property, Patiala, had taken possession of two houses
acting under the Patiala Evacuee (Administration of Property) Ordinance of
Samvat 2004. On a claim made by the appellant that the houses belonged to him,
the Custodian by his order dated June 6, 1949 released the houses.
Thereafter several Ordinances relating to
evacuee property were passed one after another, the succeeding Ordinance
repealing the previous one and creating, except in the case of repeal of
Ordinance 9 of Samvat 2004, a chain of fictions by which certain provisions of
the repealed Ordinance were deemed to continue under the repealing Ordinance.
The last Ordinance was replaced by the Administration of Evacuee Property Act
31 of 1950. The Custodian-General exercising powers under S. 27 of that Act set
aside the order of the Custodian which released the property in favour of the
appellant. In appeal against the order of the Custodian General, it was held
that the order dated June 6, 1949 passed by the Custodian under Ordinance 9 of
Samvat 2004 could not be deemed to be an order passed under Act 31 of 1950 as
the chain of fictions was broken, when Ordinance 13 of Samvat 2006 repealing
the previous Ordinance 9 of Samvat 2004 was issued, and there was no scope for
the exercise of his power by the Custodian-General under S. 27 of Act 31 of
1950. The Court then proceeded to interpret S. 58(3) of Act 31 of 1951 on the
assumption that the order of the Custodian dated June 6, 1949, by a chain of
fictions was to be deemed an order made by the Custodian in exercise of the
powers conferred on 'him by Act 31 of 1950, and observed:
"Sub-section (3) of S. 58 is in two
parts.
The first part says that the repeal by the
Act of the said Ordinance shall not affect the previous operation of the said
Ordinance ; and the second part says that anything done or any action taken in
the exercise of any power conferred by or under that Ordinance shall be deemed
to have been done or taken in the exercise of the powers conferred by or under
this Act as if this Act were in force on the day on which such thing was done
or action taken. The second part is expressly made subject to the first part.
If a case falls under the first part, the second part does not apply to it. In
the present case under the (1) [1962] 1 S.C.R. 214.
167 previous operation of the Ordinance the
order of the Custodian had become final. If so, the fiction introduced in the
second part could only operate on that order subject to the finality it had
acquired under that Ordinance." In our view, the decision of the Court on
the principal ground that the chain of fictions was broken, and the impugned
order was not one which was to be deemed to have been made under Act 31 of
1950, rendered consideration of all other questions unnecessary. If by the
observations set out, it was intended to, lay down that the legal fiction
introduced by s. 58(3) of Act 31 of 1950 by which anything done or action taken
in exercise of the powers conferred by the earlier Ordinance was to be deemed
to have been done or taken in exercise of the powers by or under the Act
applies only if under the earlier Ordinance anything. done or action taken had
not become final by virtue of the provisions of that Ordinance, we are unable,
with respect, to accept that interpretation. By the first part of S. 58(3)
repeal of the statutes mentioned therein did not operate to vacate things done
or actions taken under those statutes. This provision appears to, have been
enacted with a view to avoid the possible application of the rule of
interpretation that where a statute expires or is. repealed, in the absence of
a provision to the contrary, it is regarded as having never existed except as
to matters and transactions past and closed: see Surtees v. Ellison(1). This
rule was altered by an omnibus provision in the General Clauses Act, 1897,
relating to the effect of repeal of statutes by any Central Act or Regulation.
By s. 6 of the General Clauses Act, it is provided, insofar as it is material,
that any Central Act or Regulation made after the commencement of the General Clauses
Act repeals any enactment, the repeal shall not affect the previous operation
of' any enactment so repealed or anything duly done or suffered there under, or
affect any right, privilege, obligation or liability acquired, accrued or
incurred under any enactment so repealed, or affect any investigation legal
proceeding or remedy in respect of any such right, privilege, obligation,
liability, penalty, forfeiture or punishment as aforesaid; and any such
investigation legal proceeding or remedy may be instituted, continued or
enforced, any such penalty, forfeiture or punishment may be imposed, as if the
Repealing Act or Regulation had not been passed. But the rule contained in S. 6
applies only if a different intention does not appear, and by enacting S. 58(3)
the Parliament has expressed a different intention, for whereas the General
Clauses Act keeps alive the previous operation of the enactment repealed, 'and
things.
(1) (1829) 9 B. & C. 752.
168 done and duly suffered, the rights,
privileges, obligations or liabilities acquired or incurred, and authorises the
investigation, legal proceeding and remedies in respect of rights, privileges,
obligations, liabilities, penalties, forfeiture and punishment, as if the
repealing Act or Regulation had not been passed, S. 58(3) of Act 31 of 1950
directs that things done or actions taken in exercise of the power conferred by
the repealed statutes shall be deemed to be done or taken under the repealing
Act as if that latter Act were in force on the day on which such thing was
done, or action was taken. The rule so enunciated makes a clear departure from
the rule enunciated in s. 6 of the General Clauses Act, 1897. By the first part
of s. 58(3) which is in terms negative, the previous operation of the repealed
statutes survives the repeal. Thereby matters and transactions past and closed
remain operative : so does the previous operation of the repealed statute. But
as pointed out by this Court in Indira Sohanlal's case(1) at p. 1133, the saying
of the previous operation of the repealed law is not to be read, as saving the
future operation of the previous law. The previous law stands repealed, and it
has not for the future the partial operation as is prescribed by S. 6 of the General
Clauses Act. All things done and actions taken under the repealed statute are
deemed to be done or taken in exercise of the powers conferred by or under the
repealing Act, as if that Act were in force on the day on which that thing was
done or action was taken. It was clearly the intention of the Parliament that
matters and transactions past and closed were not to be deemed vacated by the
repeal of the statute under which they were done.
The previous operation of the statute
repealed was also affirmed expressly but things done or actions taken under the
repealed statute are to be deemed by fiction to have been done or taken under
the repealing Act. The use of the expression subject thereto" in the commencement
of the positive part of s. 58(3) cannot attribute to the previous operation of
the repealed statute an overriding effect so as to deprive the authorities
constituted under the repealing Act of their power to entertain appeals or
revision applications, which they possess by the express enactment that the
acts done or actions taken are deemed to have been done under the statute. To
attribute to the positive part of s. 58 (3) the meaning contended for by the
appellants would result in denying to the repealing statute the full effect of
the fiction introduced by the Parliament that is, acts done or actions taken
since the repealing Act would be subject to the appellate jurisdiction of the
authority having power under the Act, but not the acts deemed to be done or
actions deemed to be taken. There is no warrant (1) [1955] 2 S.C.R. 1117.
169 for attributing to the fiction this
qualified operation.
The Legislature has not expressed such a
reservation in the application of the fiction, and none can be implied. The
order made by the Deputy Custodian was declared final by sub-s. (6) of s. 30 of
Ordinance 12 of 1949, but the finality was subject to the provisions of sub-ss.
(1) to (5) of S. 30. If, fictionally, the order is to be deemed. to have been
passed under Act 31 of 1950 as if the Act were in operation -on October 12,
1949, it is difficult to escape the conclusion that the order would be subject
to the appellate and revisional jurisdiction of the authorities who have the
appellate or revisional power by virtue of the provisions conferring those
powers and which must also be deemed to have been in force at the date when the
impugned order was passed.
In the present case, it is said on behalf of
the State of Uttar Pradesh, that they were not aware of any proceeding taken
with regard to No. 11, Kaiserbagh, by the Deputy Custodian of Evacuee Property
and therefore they could raise no objection. The order notifying the property
was made under the Central Ordinance 12 of 1949. If the notification be deemed
an order within the meaning of s. 30(6), the order having been declared
fictionally made under Act 31 of 1950, remained subject to the revisional
jurisdiction of the Custodian. If any other view is taken, some startling
results may follow : for instance, if under an order passed by the Custodian or
action taken by him, the rights of a person are infringed, and before he files
an appeal or the revising authority is moved, the Ordinance or the Act is
repealed and is substituted by a new Act or Ordinance, the person aggrieved
would, if the view contended for by the appellants were to prevail, have no
remedy at all, because the finality of orders declared by the repealed statute
would operate. It may be noted that under s. 27 of Act 31 of 1950 which invests
the Custodian-General with powers of revision, an Explanation is incorporated
by Act 1 of 1960 that the power conferred on the Custodian-General under s.
27 may be exercised by him in relation to any
property, notwithstanding that such property has been acquired under s. 12 of
the Displaced Persons (Compensation and Rehabilitation) Act, 1954. This also
indicates that even if the evacuee property has been acquired under s. 12 of
Act 44 of 1954, it is still open to the Custodian-General in appropriate Cases
to exercise his power in revision. We are therefore of the view that the
Custodian-General had the power to entertain the revision application filed by
the State of Uttar Pradesh.
On the merits of the order, not much need be
said. The procedure followed by the Custodian-General is in gross violation of
170 the rules of natural justice. As we have already observed, acting under the
powers conferred upon him by S. 6 of Ordinance 12 of 1949, the Deputy Custodian
had notified No. 11, Kaiserbagh, as evacuee property. What the evidence before
the Deputy Custodian in that behalf was, has not been disclosed. Nearly twelve
years after that order was passed, the State of Uttar Pradesh moved the
Custodian-General in revision. The petition invoking the revisional
jurisdiction was competent, but the Custodian-General was not justified in
acting upon evidence which was sought to be brought on the record for the first
time before him without affording to the persons affected thereby an
opportunity of meeting that evidence. It appears that in the petition filed by
the State of Uttar Pradesh many new facts which were not on the record were set
out. The Custodian-General has in appropriate cases the power to admit
additional evidence and to consider the same: Rule 31(9) of the Administration
of Evacuee Property Central Rules, 1950. But no party has a right to tender
additional evidence in appeal or before a revising authority: it is for the
revising authority to decide whether having regard to all the circumstances and
in the interest of justice, additional evidence tendered by a party should be
admitted. It is unfortunate that the Custodian-General did not record a formal
order admitting additional evidence tendered by the State of Uttar Pradesh with
its petition. But we would not be justified in the circumstances of this case
in assuming that the Custodian General was oblivious of the nature and extent
of his powers and restrictions thereon.
The procedure followed by the
Custodian-General is however open to grave objection, because he did not even
give an opportunity to the legal representatives of Ram Chand Kohli to lead
evidence in rejoinder to the evidence relied upon by the State. It appears that
only copies of documents on which the title of the State of Uttar Pradesh was
founded were filled in the proceeding before the Custodian-General.
The revision petition was heard by the
Custodian-General on August 4, 1962, and thereafter the proceeding stood
adjourned till August 14, 1962 for further hearing. On August 6, 1962, counsel for the appellants served a notice upon counsel for the State of Uttar Pradesh calling upon him to give inspection of the documents referred to in the
notice. No inspection was given, and the hearing took place on August 14, 1962. It is true that counsel for the appellants did attempt to meet the case
sought to be raised by the State of Uttar Pradesh on the merits, and submitted
that the property in dispute was owned by Chowdhry Akbar Hussain. That,
however, would not justify the procedure followed by the Custodian-General, nor
would it lead to 171 the inference that the appellants had, in the
circumstances of this case, waived the irregularity in the trial. It is common
round before us that at no stage, originals of a large number of documents, on
which reliance was placed by the State of Uttar Pradesh, and on which the
Custodian General founded his conclusion, were produced before the
Custodian-General. The Custodian-General does not appear to have even told the
appellants that he had admitted copies of those documents on the record. Nor
did he give to the appellants an opportunity to meet the case which the State of
Uttar Pradesh sought to make out. In our view the proceedings of the
Custodian-General were so wholly inconsistent with the procedure which may be
followed in a judicial trial, that his order must be set aside and the
proceedings remanded to the Custodian-General with a direction that he do call
upon the State of Uttar Pradesh to formally tender in evidence such of the
documents on which they rely, and that he do give an opportunity to the
appellants in this appeal to tender such evidence as they desire to tender in
support of their case. Thereafter the Custodian-General -shall hear both the
parties on the evidence properly brought on the record.
The appeal is allowed and the case is
remanded to the Custodian-General for disposal according to law. The appellants
will be entitled to their costs in this Court.
Appeal allowed.
Back