# KRISHNA BHIMRAO DESHPANDE v. LAND TRIBUNAL, DHARWAD AND ORS

- **Citation:** [1992] Supp. 2 S.C.R. 331
- **Court:** Supreme Court of India
- **Decided:** 1992-11-03
- **Bench:** Laut Mohan Sharma, K. Jayachandra Reddy
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/krishna-bhimrao-deshpande-v-land-tribunal-dharwad-and-ors-11821
- **Pages:** 21

## Headnote

B
Constitution of India, 1950:
Article 252 read with Schedule VII, List II, Entry ls-Legislation by
Parliament-Requirement-Cent~al Law on ceiling on urban immovable C
property in pursuance of Resolution of State Legislature-State Laws on other
matters relating to the subject-matter of resolutiolt-Lega/ity of
Constitution of India, 1950:
Article'252, Schedule VII, List II, Entry 18-Urban Land (Ceiling and D
Regulation) Act, 1976 and Kamataka Land Reforms Act as amended in
1974-0bject and application of-Whether any conflict between the Acts.
In the year 1972 the Karnataka Legislature passed a resolution
under Article 252 of the Constitution imposing a ceiling on urban immovable property and the acquisition of such property in excess of the ceiling E
limit for public purposes and all the matters connected therewith shall be
regulated in the State by Parliament by law.
On 1.4.74 the Karnataka Land Reforms (Amendment) Act was
enacted and under the Act the tenant of the land covered by the Act was
entitled to the grant of occupancy rights after making an application
under the Act. The Act came into force with effect from 2.1.85. But for the
purpose of grant of occupancy rights, 1.4.74 was the relevant date.
In the year 1975 the Kamataka Urban Agglomeration Ordinance
F
was passed, whereunder all lands between the periphery of 8 K.Ms. of the G
municipal limits of Hubli Dharwad were declared as urban agglomeration
land.
The Parliament passed the Urban Land (Ceiling and Regulation)
Act, 1976 for.:imposition of ceiling on urban properties and the Ceiling Act
was made' applicable to Kamataka also in view of the resolution passed H
331
332
SUPREME COURT REPORTS 119'-'2] SUPP. 2 S.C.R.
A
by the State Government.
B
c
The lands involved in the present cases were covered by the develop·
ment plan by the Belgaum Cit:y Town Planning authority as per the
Master Plan and they were included and declared as urban agglomeration
in the City of Hubli under the provisions of the Ceiling Act.
The owners of the agglomeration lands challenged the order of the
Land Tribunal under the Land Reforms Act conferring occupancy rights
on the tenants, before the High Court. They contended that the lands
involved in the cases were within the purview of the Ceiling Act and
therefore the provisions of the Land Reforms Act had no application to
such lands on the ground that the provisions of the Ceiling Act.
The writ petitions were dismissed by the High Court. The owner's
writ appeals were also dismissed by a common judgment by the Division
Bench of the High Court. The Division Bench held that there was no
D conflict between the two enactments.
E
F
The judgment of the Division Bench was challenged in S.L.P. (Civil)
No. 16041-42/88.
Many of the similar writ petitions that were pending before the High
Court were transferred to the Land Reforms Appellate Tribunal.
The Appellate Tribunal dismissed the petitions by a common order
following the judgment of the Division Bench of the High Court. Several
Civil revision petitions filed by the land owners against the ord<r of the
Appellate Tribunal were dismissed by the High Court. Some of the special
leave petitions were filed against the order of the High Court in the said
civil revision petitions.
The petitioners-land owners contended that when in pursuance of
the resolution of the State Legislature passed under Article 252 of the
G Constitution the Parliament legislated in respect of the topic covered by
the resolution. The Parliamentary law, repealed or superseded the existing
State legislation on the topic and therefore such law could not be enforced
thereafter; and that vesting of tenanted laud in the State and conferment
of occupancy rights under the provisions of the State Act directly fall
under the subject of imposing ceiling on land holding and other matters
H incidental or ancillary to the main topic of imposing ceiling and therefore
K.B. DESHPANDE v. LAND TRillUNAL
333
they were fully covered by the Ceiling Act pas

## Text

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KRISHNA BHIMRAO DESHPANDE
A
v.
LAND TRIBUNAL, DHARWAD AND ORS.
NOVEMBER 3, 1992
[LAUT MOHAN SHARMA AND K. JAYACHANDRA REDDY, JJ.J
B
Constitution of India, 1950:
Article 252 read with Schedule VII, List II, Entry ls-Legislation by
Parliament-Requirement-Cent~al Law on ceiling on urban immovable C
property in pursuance of Resolution of State Legislature-State Laws on other
matters relating to the subject-matter of resolutiolt-Lega/ity of
Constitution of India, 1950:
Article'252, Schedule VII, List II, Entry 18-Urban Land (Ceiling and D
Regulation) Act, 1976 and Kamataka Land Reforms Act as amended in
1974-0bject and application of-Whether any conflict between the Acts.
In the year 1972 the Karnataka Legislature passed a resolution
under Article 252 of the Constitution imposing a ceiling on urban immovable property and the acquisition of such property in excess of the ceiling E
limit for public purposes and all the matters connected therewith shall be
regulated in the State by Parliament by law.
On 1.4.74 the Karnataka Land Reforms (Amendment) Act was
enacted and under the Act the tenant of the land covered by the Act was
entitled to the grant of occupancy rights after making an application
under the Act. The Act came into force with effect from 2.1.85. But for the
purpose of grant of occupancy rights, 1.4.74 was the relevant date.
In the year 1975 the Kamataka Urban Agglomeration Ordinance
F
was passed, whereunder all lands between the periphery of 8 K.Ms. of the G
municipal limits of Hubli Dharwad were declared as urban agglomeration
land.
The Parliament passed the Urban Land (Ceiling and Regulation)
Act, 1976 for.:imposition of ceiling on urban properties and the Ceiling Act
was made' applicable to Kamataka also in view of the resolution passed H
331
332
SUPREME COURT REPORTS 119'-'2] SUPP. 2 S.C.R.
A
by the State Government.
B
c
The lands involved in the present cases were covered by the develop·
ment plan by the Belgaum Cit:y Town Planning authority as per the
Master Plan and they were included and declared as urban agglomeration
in the City of Hubli under the provisions of the Ceiling Act.
The owners of the agglomeration lands challenged the order of the
Land Tribunal under the Land Reforms Act conferring occupancy rights
on the tenants, before the High Court. They contended that the lands
involved in the cases were within the purview of the Ceiling Act and
therefore the provisions of the Land Reforms Act had no application to
such lands on the ground that the provisions of the Ceiling Act.
The writ petitions were dismissed by the High Court. The owner's
writ appeals were also dismissed by a common judgment by the Division
Bench of the High Court. The Division Bench held that there was no
D conflict between the two enactments.
E
F
The judgment of the Division Bench was challenged in S.L.P. (Civil)
No. 16041-42/88.
Many of the similar writ petitions that were pending before the High
Court were transferred to the Land Reforms Appellate Tribunal.
The Appellate Tribunal dismissed the petitions by a common order
following the judgment of the Division Bench of the High Court. Several
Civil revision petitions filed by the land owners against the ord<r of the
Appellate Tribunal were dismissed by the High Court. Some of the special
leave petitions were filed against the order of the High Court in the said
civil revision petitions.
The petitioners-land owners contended that when in pursuance of
the resolution of the State Legislature passed under Article 252 of the
G Constitution the Parliament legislated in respect of the topic covered by
the resolution. The Parliamentary law, repealed or superseded the existing
State legislation on the topic and therefore such law could not be enforced
thereafter; and that vesting of tenanted laud in the State and conferment
of occupancy rights under the provisions of the State Act directly fall
under the subject of imposing ceiling on land holding and other matters
H incidental or ancillary to the main topic of imposing ceiling and therefore
K.B. DESHPANDE v. LAND TRillUNAL
333
they were fully covered by the Ceiling Act passed by the Parliament and
the same superseded the State enactment in respect of such lands.
The respondents submitted that "imposition of ceiling" was a dis~
tine! and separately identifiable subject and the Parliament was empowered to legislate; that the power of the State to legislate in respect of
the remaining part of the subject-matter was unaffected; that when two
distinct powers came into existence, vesting law making competence in the
State and Parliament, the pith and substance of the laws mhde by each of
them had to be examined to see whether any one of them encroached the
field set apart as falling within the competence of the other body; that in
any event the provisions of Chapter III of the Karnataka Land Reforms
Act had nothing to do with the imposition of ceiling on the urban land and
that conferring of occupancy rights etc. to the tenants under Chapter III
of the Karnataka Land Reforms Act did not come under the category of
"the matters connected therewith or ancillary or incidental to the imposition of ceiling" on urban immovable property.
Dismissing the special leave petitions, this Court,
HELD: l.01. Article 252 empowers the Parliament to legislate for
two or more States on any of the matters with respect of w~ich the
Parliament has no power to make law except as provided under ~icles
249 and 250. This power to legislate is vested in the Parliament only if two
or more State Legislatures think it desirable to have a law enacted by
Parliament on such matters in List II, i.e. with respect to which the
Parliament has no power to make law for the State. The passing of the
resolutions by the State Legislatures is a condition precedent for vesting
the Parliament with such power. (3.39-C-D)
A
B
c
D
E
F
1.02. The scope of Entry 18 is very wide and the land mentioned
therein may be agricultural or non-agricultural and may be rural or
urban. The subject-matter carved out of Entry 18 under the resolutions
passed by the various State Legislatures related to only "urban immovable
property" and by virtue of the resolution the law that can be enacted by G
the Parliament should be a law "imposing a ceiling on such urban immov·
able property." (340-B, CJ
1.03. From the resolution it is clear that the subject-matter that was
resolved to be entrusted to the Parliament was the one imposing a ceiling
on urban immovable property and acquisition of such property in excess H
'.l34
SUPREME COURT REPORTS (1992) SUPP. 2 S.C.R.
A
of the ceiling. This subject-matter is the topic that falls within Entry 18 of
List 11 of Schedule VII to the Constitution and the subject-matter of Entry
18 has been originally kept apart for the State Legislature to make law and
Parliament had no competence in respect of those matters falling under
the wide scope of Entry 18. By virtue of this resolution a part of the area
B falling under Entry 18 is transferred to the domain of Parliament to make
law relating to the matters within the transferred area. [339-G, H; 340-AJ
2.01. The primary object and the purpose of the Urban Land (Ceiling and Regulation) Act, 1976 is to provide for the imposition of ceiling on
vacant land in urban agglomeration and for acquisition of such lands in
C excess of the ceiling limit and to regulate the construction of buildings on
such lands ~nd for matters connected therewith. (340-H; 341-A)
2.02. The Karnataka Land Reforms Act as amended in 1974 is a
welfare legislatiou. The object of the Act was to have a uniform law in the
State of Karnataka relating to agrarian reforms, conferment of ownership
D on tenants, ceiling on land holdings and _for certain other matters con·
tained therein. (342-D)
2.03. In respect of imposing ceiling on the land under urban agglomeration the provisions of the Ceiling Act alone are applicable and to
E that extent the provisions of Chapter IV of the Karnataka Land Reforms
Act which also deal with the imposition of ceiling would not be applicable.
[344-C]
2.04. The land in the instant: case comes under the urban agglomeraF
lion the imposition of the ceiling should naturally be under the provisions
of the Urban Ceiling Act and not under the Karnataka Land Reforms Act.
(344-B, CJ
2.05. Imposition of ceiling on urban land is a distinct and indeG pendent subject as compared to imposition of ceiling on owning or to
hold agricultural land or any other kind of property which do not attract
the Urban Ceiling Act. These are two distinct powers and therefore the law
making competence can be in two different legislative bodies. Consequently it is difficult to hold that the provisions of Chapter III of the Karnataka
Land Reform~ Act are outside the legislative competence of the State
H Legislature. (350-C, DJ
KB. DESHPANDE v. LAND TRIBUNAL
335
2.06. The one topic that is transferred in the resolution passed A
under Article 252 is distinct and separately identifiable and does not
include the remaining topics under Entry 18 in respect of which the State
alone has the power to legislate. [351-D]
2.07. The legislative power of the State has to be reconciled with that
of the Parliament and that in their respective fields each is supreme. Even
B
assuming that the State enactment has same effect on the subject-matter
falling within the Parliament's legislative competence, that by itself will
not render such law invalid or inoperative. [350·G·H]
2.08. There is no conflict between the Ceiling Act and the State Act. The
imposition of ceiling on urban immovable property is an independent topic C
and cannot be construed as to nullify the other subject left in the domain of
the State Legislature under Entry 18 inasmuch as imposition of ceiling is a
distinct and separately identifiable subject and does not cover the other
measures such as regulation of relationship of landlord and tenant in
respect of which the State Legislature has competence to legislate. [351-C·D) D
2.09. There is a ceiling provision under Section 45(2) of the Karnataka
Land Reforms Act providing for computation of the area in respect of which
the tenant maybe granted occupancy rights. But it is cleartbat ceiling on the
area in this contextis only for the purpose of Section 45. [351-F)
2.10. Provisions in the Chapters II, Ill, V, VI to XI of the Karnataka
Land Reforms Act deal with the conferment of occupailcy rights on the
respective tenants and they do· not in any way conflict with the subject
matter transferred to the Parliament by the resolution passed under
Section 252. [351-E, FJ
Thumati Venkaiah and others v. State of Andhra Pradesh and others,
[1980] 4 SCC 295; Union of India and others v. Valluri Basavaiah
Chowdhary and others, [1979) 3 SCC 324; Calcutta Gas Company
(Proprietary) Ltd. v. State of West Bengal and others, AIR 1962.(>C 1044 and
Kannan Devan Hills Produce Company Ltd. v. The State of Kera/a etc., AIR
E
F
1972 SC 2301, referred to.
G
CIVIL APPELLATE JURISDICTION: Special !,eave Petition
(Civil) Nos. 16041-42/88.
From the Judgment and Order dated 27.7.1988 of the Karnataka
High Court in W.P. No. 9173/86 and W.A. N6. 2707/85.
H
A
B
c
336
SUPREME COURT REPORTS (1992J SUPP. 2 S.C.R.
WITH
SLP (C) Nos. 12258, 12254, 12260/90 & 8608/91
R.N. Narasimhamurlhy, S.S . .lavali, S.N. Bhat and Ravi P. Wadhwani
for the Petitioners.
M.S. Nesargi, R. Jagannath Goulay, M.K. Dua, M. Vccrappa, K.H.
Nobin Singh, S.K. Kulkarni and Surya Kant for the Respondents.
The following Order of the Court was delivered by
K. JAYACHANDRA REDDY, J. In all these special leave petitions
the common question that arises for consideration is whether the provisions
of the Karnataka Land Reforms Act, 1961 as amended in 1974 ('Act' for
short) cease to be applicable in all respects to the lands which came within
the purview of the Urban Land (Ceiling and Regulation) Act, 1976 ('CeilD ing Act' for short). The lands involved in these matters are covered by the
development plan by the Belgaum City Town Planning authority as per the
Master Plan for the said City and they are included and declared as urban
agglomeration in the City of Hubli under the provisions of the Ceiling Act.
In the year 1972 the Karnataka Legislature passed a resolution under
E
F
Article 252 of the Constitution to the effect that imposing a ceiling on
urban immovable property and the acquisition of such property in excess
of the ceiling lirait for public purposes ancl all the matters connected
therewith shall be regulated in the Slate by Parliament by law. The State
Legislature thus divested itself of the legislative competence to enact law
in respect of subject-matter of the resolution. On l.4.74 the amended
Karnataka Land Reforms Ac1 was enacted and under the said Acl the
tenant of the land covered by the Act is entitled to the grant of occupancy
rights after making an application under the Act. This Act came into force
with effect from 2.1.85. But for the purpose of grant of occupancy rights
1.4.74 was the relevant date. While so in the year 1975 the Governor of
Karnataka passed the Urban Aggolmeration Ordinance whereunder all
G lands between the periphery of 8 K.Ms. of the municipal limits of Hubli
Dharwad were declared as urban agglomeration land. In the year 1976 the
Parliament passed the Ceiling Act for imposition of ceiling on urhan
properties and the Act was made applicable to Karnataka also in view of
the resolution passed by the State Government referred to above. The
H order of the Land Tribunal under the Act conferring occupancy rights on
K.B. DESHPANDE v. LAND TRIBUNAL [K. JAYACHANDRA REDDY, J.] 337
the tenants was challenged before the High Court contending that the lands
involved in these cases were within the purview of the Ceiling Act and
therefore the provisions of the Land Reforms Act had no application to
such lands on the ground that the provisions of the State Act were
repugnant to the provisions of the Central Act namely the Ceiling Act. The
writ petition was dismissed by the High Court. The owners preferred writ
appeals and they were also dismissed by a common judgment in Writ
Appeal Nos. 2707 and 2361/85 etc. The Division Bench held that there is
no conflict between the two enactment in certain respect i.e. atleast so far
A
B
c
as the implementation of the provisions of Chapter III of the Act are
concerned and that provisions of this Chapter of the Act do not cease to
apply to the agricultural lands coming within the meaning of urban agglomeration in the Ceiling Act. The judgment of the Division Bench is
challenged in S.L.P.(Civil) No. 16041-42/88. Many of the similar writ petitions that were pending before the High Court were transferred to the
Land Reforms Appellate Tribunal. The Appellate Tribunal dismissed the
petitions by a common order following the judgment of the Division Bench D
of the High Court in Writ Appeal No. 2707/85 and connected matters.
Several civil revisions petitions filed by the land owners against the order
of the Appellate Tribunal were dismissed by the High Court. Some of the
special leave petitions are filed against the order of the High Court in the
said civil revision petitions. Therefore all these special leave petitions can
be disposed of by a common order.
It was urged before us that the resolution of the State Legislature
passed under Article 252 of the Constitution shifted the topic covered by
the resolution from List II of Schedule VII to the Constitution and vested
E
the competence to make the law in respect of the said topic in the
F
Parliament and that thereafter the State enactment ceased to have efficacy
in respect of said topic. Alternatively it was urged that, when in pursuance
of the resolution the Parliament legislates in respect of the topic covered
by the resolution, the Parliamentary law, repeals or supersedes any existing
State legislation on the topic and therefore such law cannot be enforced G
thereafter.
We shall first extract some of the relevant provisions of the Constitution of India and the respective enactments. Article 246 of the Constitution
reads thus:
i H
338
A
B
c
SUPREME COURT REPORTS [1992] SUPP. 2 S.C.R.
"246. Subject-matter of laws made by Parliament and by
the Legislatures of States-(1) Notwithstanding anything in
clauses (2) and (3), Parliament has exclusive power to make
laws with respect to any of the matters enumerated in List
I in the Seventh Schedule (in this Constitution referred to
as the "Union List").
(2)
xx'
xx
xx
(3) Subject to clauses (1) and (2), the Legislature of any
State has exclusive power to make laws for such State or
any part thereof with respect to any of the matters
enumerated in List Il in the Seventh Schedule (in this
Constitution referred to as the "State List").
(4)
xx
xx
xx
D
Entry 18 in List II namely the State List of the VII Schedule to the
Constitution is in the following terms:
"18. Land, that is to say, rights in or over land, land tenures
including the relation of landlord and tenant, and the
collection of rents, transfer and alienation of agricultural
E
land; land improvement and agricultural loans; colonization."
F
G
H
Article 252 of the Constitution reads thus:
"252. Power of Parliament to legislate for two or more
States by consent and adoption of such legislation by any
other State-(1) If it appears to the Legislatures of two or
more States to be desirable that any of the matters with
respect to which Parliament has no power to make laws for
the States except as provided in Articles 249 and 250 should
be regulated in such States by Parliament by law, and if
resolutions to that effect are passed by all the Houses of
the Legislatures of those States, it shall be lawful for
Parliament to pass an Act for regulating that matter accordingly, and any Act so passed shall apply to such States
and to any other State by which it is adopted afterwards by
resolution passed in that behalf by the House or, where
KB. DESHPANDE v. LAND TRIBUNAL [K JAYACHANDRA REDDY, J.] 339
there are two Houses, by each of the Houses of the .Legislature of that State.
(2) Any Act so passed by Parliament may be amended or
repealed by an Act of Parliament passed or adopted in like
manner but shall not, as respects any State to which it
applies, be amended or repealed by an Act of the Legislature of that State."
Article 252 empowers the Parliament to legislate for two or more States
on any of the matters with respect of which the Parliament has no power
A
B
to make law except as provided under Articles 249 and 250. This power to C
legislate is vested in the Parliament only if two or more State Legislatures
think it desirable to have a law enacted by Parliament on such matters in
List II i.e. with respect to which the Parliament has no power to make law
for the State. The passing of the resolutions by the State Legislatures is a
condition precedent for vesting the Parliament with such power. The
relevant portion of the resolution passed by the State l,egislature under D
Article 252 reads thus:
"Now, therefore, in pursuance of clause (1) of Article 252
of the Constitution, this Assembly hereby resolves that the
imposition of a ceiling on urban immovable property and
acquisition of such property in excess of the ceiling and all
matters connected therewith or ancillary and incidental
thereto should be regulated in the State of Karnataka by
Parliament by law."
E
The resolution states that the imposition of ceiling on urban immovable
F
property and the acquisition of such property in excess of the ceiling limit
with a view to utilising such excess property for public purposes and all
other matters connected therein or incidental thereto shall be regulated in
this State by Parliament by law. The basic question that arises is what is
the actual content of the subject-matter that was resolved to be entrusted
to Parliament by the State Legislature under Article 252 of the ConstituG
tion. From the resolution it is clear that the subject-matter that was
resolved to be entrusted to the Parliament was the one imposing a ceiling
on urban immovable property and acquisition of such property in excess
of the ceiling. It is true that this subject-matter is the topic that falls within
Entry 18 of List II of Schedule VII to the Constitution and the said H
•
340
SUPREME coμRT REPORTS [1992] SUPP. 2 S.C.R.
A
subject-matter of Entry 18 has been originally kept apart for the State
Legislature to make law and Parliament had no competence in respect of
those matters falling under the wide scope of Entry 18. Now by virtue of ,
B
this resolution a part of the area falling under Entry 18 is transferred to
the domain of Parliament to make law relating to the matters within the
transferred area. The scope of Entry 18 is very wide and the land mentioned therein may be agricultural or non-agricultural and may be rural or
urban. The subject-matter carved out of Entry 18 under the resolutions
passed by the various State Legislatures related to only- "urban immovable property'' and by virtue of the resolution the law that can be enacted
by the Parliament should be a law "imposing a ceiling on such urban
C
immovable property. The learned counsel for the petitioners, however,
urged that vesting of tenanted land in the State and conferment of oceupancy rights under the provisions of the State Act directly fall under the subject
of imposing ceiling on and holding and other matters incidental or ancillary
to the main topic of imposing ceiling and therefore they are fully covered
D
by the Ceiling Act passed by the Parliament and the same supersedes the
State enactment in respect of this land. The learned counsel appearing for
the respondents on the contrary submitted that "imposition of ceiling" is a
distinct and separately identifiable subject and is the power carved out of
Entry 18 and vested in the Parliament to legislate and that the power of
E
F
G
the State to legislate in respect of the remaining part of the subject-matter
is unaffected and that when two distinct powers have come into existence,
vesting law making competence in the State and Parliament, the pith and
substance of the laws made by each of them has to be examined to see
whether any one of them encroaches the field set apart as falling within
the competence of the other body. The learned counsel for the respondents, however, submitted that in any event the provisions of Chapter III
of the Act have nothing to do with the imposition of ceiling on the urban
land and that conferring of occupancy rights etc. to the tenants under
Chapter III of the Act do not come under the category of "the matters
connected therewith or ancillary or incidental to the imposition of ceiling"
on urban immovable property ..
Now we shall refer to the provisions of the Urban Ceiling Act. The
Statement of Objects and Reasons under Preamble to the said Act would
show
that the primary object and the purpose is to provide for the
imposition of ceiling on vacant land in urban agglomeration and for acH
quisition of such lands in excess of the ceiling limit and to regulate the
K.B. DESHPANDE v. LAND 1RIBUNAL [K. JAYACHANDRA REDDY, J.l 341
construction of buildings on such lands and for matters connected thereA
with. Section 2(n) of the Urban Ceiling Act defines "urban agglomeration"
and the material part of it reads thus:
"(n) "urban agglomeration"-
(A) in relation to any State or Union territory specified
in column (1) of Schedule ~. means-
(i) the urban agglomeration specified in the corresponding
entry in column (2) thereof and includes the peripher:il
area specified in the corresponding entry in column
(3) thereof; and
xx
xx
xx"
Section 2( o) defines "urban land" which reads thus:
"( o) "urban land" means, -
(i) any land situated within the limits of an urban agglomera\ion and referred to as such in the master plan; or
(ii) in a case where there is no master plan, or where the
master plan does not refer to any land as urban land, any
land within the limits of an urban agglomeration and
situated in any area included within the local limits of a
municipality (by whatever name called), a notified area
committee, a town area committee, a city and town committee, a small town committee, a cantonment board or a
panchayat,
but does not include any such land which is mainly used
for the purpose of agriculture.
Explanation- For the purpose of this clause and clause ( q)-
(A)
xx
xx
(B) land shall not be deemed to be used mainly for the
purpose of agriculture, if such land is not entered in the
revenue or land records before the appointed day as for
B
c
D
E
F
G
xx
H
A
B
342
SUPREME COURT REPORTS [1992] SUPP. 2 S.C.R.
the purpose of agriculture;
xx
xx
xx
(C) notwithstanding anything contained in clause (B) of
this Explanation, land shall not be deemed to be mainly
used for the purpose of agriculture if the land has been
specified in the master plan for a purpose other than
agricultuff-;"
For the purpose of the instant case it is enough to note that Hubli-Dharwad
C is shown in the Schedule and there is also a master plan prepared for the
area and the land in question also is undoubtedly within the urban agglomeration and therefore there is no doubt that in respect of imposition
of ceiling o.n this area comes within the purview of the Urban Ceiling Act.
But the question is whether granting occupancy rights under Chapter IIJ
of the Act are in any manner affected. The Karnataka Land Reforms Act
D as amended in 1974 is a welfare legislation. The object of the Act was to
have a uniform law in the State of Karnataka relating to agrarian reforms,
conferment of ownership on tenants, ceiling on land holding and for certain
other matters contained therein. Section 34 of the Act defines "tenant"
thus:
E
F
G
H
"(34) "tenant" means an agriculurist who cultivates personally the land he holds on lease from a landlord and
includes,-
(i) a person who is deemed to be a tenant under Section
4;
(ii) a person who was protected from eviction from any
land by the Karnataka Tenants (Temporary Protection
from Eviction) Act, 1961;
(iia) a person who cultivates personally any land on lease
under a lease created contrary to the provisions of section
5 and before the date of commencement of the Amendment Act;
(iii) a person who is a permanent tenant; and
KB. DESHPANDE"· LAND TRJBUNAL [K JAYACHANDRA REDDY, J.]
343
(iv) a person who is a protected tenant.
Explanation- A person who takes up a contract to cut grass,
or to gather the fruits or other produce of any land, shall
not on that account only be deemed to be a tenant"
The provisions of ChaptCI III of the Karnataka Land Reforms Act deal
with conferment of ownership on tenants. Section 45 occurring in this
Chapter in particular deals with conferring of occupancy rights on the
tenants subject to certain conditions. The relevant portion of Section 45
reads as under:
"45. Tenants to be registered as occupants of land on
certain conditions-(1) Subject to the provisions of the sue-
,
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ceeding sections of this Chapter, every person who was a
permanent tenant, protected tenant or other tenant or
where a tenant has lawfully sublet, such sub-tenant shall
with effect on and from the date of vesting be entitled to
be registered as an occupant in respect of the lands of
which he was a permanent tenant, protected tenant or other
tenant or sub-tenant before the date of vesting and which
he has been cultivating personally,
(2) 1f a tenant or other person referred to in sub-section (1)-
(i) holds land partly as owner and partly as tenant but the
area of the land held by him as owner is equal to or exceeds
a ceiling area he shall not be entitled to be registered as an
occupant of the land held by him as a tenant before the
date of vesting;
(ii) does not hold and cultivate personally any land as an
owner, but holds land as tenant, which he cultivates personally in excess of a ceiling area, he shall be entitled to be
registered as an occupant to the extent of a ceiling area;
(iii) holds and cultivates personally as an owner of any land
the area of which is less than a ceiling area, he shall be
entitled to be registered as an occupant to the extent of
such area as will be sufficient to make up his holding to the
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extent of a ceiling area.
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The provisions under Chapter III which exclusively deal with conferment
of occupancy rights on tenants have nothing to do with the imposition of
B ceiling on holdings of agricultural land under the Act. It is only Chapter
IV of the said Act which deals with ceiling on land holdings. Now that the
land in the instant case comes under the urban agglomeration the imposition of the ceiling should naturally be under the provisions of the Urban
Ceiling Act and not under the Karnataka Land Reforms Act. The High
C Court, however, did not deal with this aspect. Perhaps it is necessary for
us to make it clear that in respect of imposing ceiling on the land under
urban agglomeration the provisions of the Ceiling Act alone are applicable
and to that extent the provisions of Chapter IV of the Act which also deal
with the imposition of ceiling would not be applicable. As a matter of fact
in Thumati Venkaiah and Others v. State of Andhra Pradesh and Others,
D
[1980] 4 SCC 295 to which we will refer to at a later stage in detail on the
main point, this Court observed thus:
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"It is no doubt true that if the Andhra Pradesh Act seeks
to impose ceiling on land falling within an urban agglomeration, it would be outside the area of its legislative
competence, since it cannot provide for imposition of ceiling on urban immovable property."
However, the crucial question in the instant case with which we are
concerned is whether the provisions of Chapter III of the Act also become
inoperative by virtue _of the resolution passed under Article 252 and
particularly on the ground that it is a matter of imposition of ceiling on
urban land or other matters connected therewith or ancillary and incidental
thereto.
A plain reading of the above provisions in the background of the
G
objects underlying these two enactments clearly shows that the two Acts
operate in two different fields to a large extent. This Court had an occasion
to consider these aspects in a few cases. In Union of India and others v.
Va//uri Basavaiah Chowdhary and others, [1979] 3 SCC 324 this Court, in
respect of effect of passing a resolution under Article 252 of the ConstituH tion by the Andhra Pradesh Legislature, observed thus :
..
K.B. DESHPANDE v. LAND TRIBUNAL [K. JAYACHANDRA REDDY, J.] 345
"The effect of the passing of a resolution under clause (1)
of Article 252 is that Parliament which has no power to
legislate with respect to the matter which is the subject of
the resolution, becomes entitled to legislate with respect
to it. On the other hand, the State Legislature ceases to
have a power to make a law relating to that matter."
It was further observed that :
" ..... .It is not disputed that the subject-matter of Entry 18,
List II of the Seventh Schedule i.e. 'land' covers 'land and
buildings' and would, therefore, necessarily include 'vacant
land'. The expression 'urban immovable property' may
mean, land and buildings or 'buildings' or 'lands'. It would
take in lands of every description i.e., agricultural land,
urban land or any other kind and it necessarily includes
vacant land."
With regards the concept of ceiling on urban immovable property and the
object underlying in passing the resolution by the several State Governments under Article 252 it was further observed in the above judgment
thus:
" ...... A Working Group was constituted under the Chairmanship of the Secretary, Ministry of Works, Housing and
Urban Development. The report of the Working Group
shows that the proposal was to impose a ceiling on urban
immovable property. In the report the said Working Group
defined 'urban area' to include the area within the territorial limits of municipalities or other local bodies and
also the peripheral area outside the said limits. Such inclusion of the peripheral limits in an urban area was accepted by the Government and a model bill prepared in
pursuance thereof also contained such a definition. A copy
of each ofthe report of the Working Group and the Model
Bill referred to was placed on the table of the Parliament
on December 15, 1970 and March ~>1972 respectively.
The said documents were forwarded to the State Government of Andhra Pradesh, besides· other State Governments, for consideration by the State Legislatures before
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SUPREME COURT REPORTS [1992) SUPP. 2 S.C.R.
they passed a resolution authorising the Parliament to
make a law in respect of urban immovable property. Their
intention was to include the lands within the territorial area
of an urban area and also its peripheral areas. The concept
of ceiling on urban immovable property and the nature and
content of urban agglomeration ultimately defined by Section 2(n) of the impugned Act was, therefore, fuUy, understood by the State Governments.
11
Some more observations in the above judgment read thus :
"It is but axiomatic that once the legislatures of two or more
States, by a resolution in terms of Article 252(1), abdicate
or surrender the: area, i.e. their power of legislation on a
State subject, the Parliament is competent to make a law
relating to the subject. It would indeed be contrary to the
terms of Article 252( 1) to read the resolution passed by the
State legislature subject to any restriction. The resolution,
contemplated under Article 252(1) is not hedged in with
conditions. In making such a law, the Parliament was not
bound to exhaust the whole field of legislation. It could
make a law, like the present Act, with respect to ceiling on
vacant land in an urban agglomeration, as a first step
towards the eventual imposition of ceiling on immovable
property.of every other description."
One other decision also arose from State of Andhra Pradesh. In Thumati
Venkaiah's case Andhra Pradesh Land Reforms (Ceiling on Agricultural
F
Holdings) Act which is analgous to Karnataka Land Reforms Act was
chaUenged on the ground that the subject matter of the said law was
covered by the topic of the legislation transferred to Parliament by the
resolution under Article 252 passed by the Andhra Pradesh Legislative
Assembly and that provisions of the Ceiling Act alone covered that subject
G
and therefore Andhra Pradesh Land Reforms (Ceiling on Agricultural
Holdings) Act was unenforceable. In this context Supreme Court again
reit~rated the same in the §llid decision. This Court proceeded to observe
lls under :
H
"The effect of passing of resolutions by the Houses of
Legislature of two or more States under this constitutional
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KB. DESHPANDE''- LAND TRIBUNAL [K. JAY ACHANDRA REDDY. l.J
347
provision is that Parliament which has otherwise no power
to legislate with respect to a matter, except:as provided in
Articles 249 and 250, becomes entitled to legislate with
respect to such matter and the,.State legislatures passing
the resolutions cease to have power to make law rylating
to that matter. The resolutions operate as abdication or
surrender of the powers of the State legislatures with
respect to the matter which is the subject of the resolutions
and such matter is placed entirely in the hands of Parliament and Parliament alone can then legislate With respect
to it. It is as if such matter is lifted out of list II and placed
in List I of the Seventh Schedule to the Constitution."
It was further observed that :
"The result was that at the date when the Andhra Pradesh
Act was enacted, Parliament alone was competent to legislate With respect to ceiling on urban immovable property
and acquisition of such property in excess of the ceiling
and all connected, ancillary or incidental matters, and the
Andhra Pradesh Legislature stood denuded of its power
to legislate on that subject."
On the effect of ceiling this Court stated thus :
"It will thus be seen that the Central Act imposes a ceiling
on holding of land in urban agglomeration other than land
which is mainly used for the purpose of agriculture and
agriculture in this connection includes horticulture, but
does not include raising of grass, dairy farming, poultry
farming, breeding of live-stock and such cultivation or the
growing of such plants as may be prescribed by the Rules,
and moreover, in order to fall within the exclusion, the land
must be entered in the revenue or land record before the
appointed day for the purpose of agriculture and must also
not have been specified in the master plan for a purpose
other than agriculture."
Considering the contention that the whole of Andhra Pradesh Land
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Reforms Act was ultra vires this Court held thus :
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"The argument of the landholders was that the Andhra
Pradesh Act sought to impose ceiling on land in the whole
of Andhra Pradesh including land situate in urban agglomeration defined in Section 2(n) of the Central Act was
an expansive concept and any area with an existing or future
population of more than one lakh could be notified to be
an urban agglomeration, the whole of the Andhra Pradesh
Act was ultra vires and void as being outside the legislative
competence of the Andhra Pradesh Legislature. This argument, plausible though it may seem, is in our opinion,
unsustainable. It is not doubt true that if the Andhra
Pradesh Act seeks to impose ceiling on land falling within
an urban agglomeration, it would be outside the area of its
legislative competence, since it cannot provide for imposition of ceiling on urban immovable property. But the only
urban agglomerations in the State of Andhra Pradesh
recognised in the Central Act were those referred to in
Section 2(n)(A)(i) and there can be no doubt that, so far
as these urban agglomerations are concerned, it was not
within the legislative competence of the Andhra Pradesh
Legislature to provide for imposition of ceiling on land
situate within these urban agglomerations. It is, however,
difficult to see how the Andhra Pradesh Act could be said
to be outside the legislative competence of the Andhra
Pradesh LegiSlature insofar as land situate in the other
areas of the State of Andhra Pradesh is concerned. We
agree that any other area in the State of Andhra Pradesh
with a population of more than one lakh could be notified
as an urban agglomeration under Section 2(n)(A}(ii) of the
Central Act, but until it is so notified it would not be an
urban agglomeration and the Andhra Pradesh Legislature
would have legislative competence to provide for imposition of ceiling on land situate within such area. No sooner
such area is notified to be an urban agglomeration, the
Central Act would apply in relation to land situate within
such area, but until t~at happens, the Andhra Pradesh Act
would continue to be applicable to determine the ceiling
on holding of land in such area. It may be noted that the
K.B. DESHPANDE v. LAND TRIBUNAL [K. JAYACHANDRA REDDY, J.]
349
Andhra Pradesh Act came into force on January 1, 1975
and it was with reference to this date that the surplus
holding of land in excess of the ceiling area was required
to be determined and if there was any surplus, it was to be
surrendered to the State Government. It is therefore clear
that in an area other than that comprised in the urban
agglomerations referred to in Section 2(n)(A)(i), land held
by a person in excess of the ceiling area would be liable to
be determined as on January 1, 1975 under the Andhra
Pradesh Act and only land within the ceiling area would
be allowed to remain with him. It is only in respect of land
remaining with a person, whether an individual or a family
unit, after the operation of the Andhra Pradesh Act, the
Central Act would apply, if and when the area in question
is notified to be an urban agglomeration under Section
2{n)(A){ii) of the Central Act.