2017(2) ALL MR 260
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
S. C. GUPTE, J.
Abdul Sattar Haji Usman & Anr. Vs. The Archbishop of Bombay & Ors.
Suit No. 2862 of 2008,Notice of Motion No.3591 of 2008,Notice of Motion No.151 of 2013,Notice of Motion No.525 of 2014
12th April, 2016.
Petitioner Counsel: Mr. SUNIL YADAV
Respondent Counsel: Mr. G.W. MATTOS, Mr. VIJAY VAGHELA
Maharashtra Slum Areas (Improvement, Clearance and Re-development) Act (1971), S.42 - Specific Relief Act (1963), Ss.6, 14, 34 - Jurisdiction of Civil Court - Whether, barred by S.42 of Slums Act - Suit filed for declaration of title, seeking possession and permanent injunction and also prays for declaration that acquisition of suit plot under Slums Act is vitiated by fraud - None of these matters are to be decided by Competent Authority under Slums Act - As regard injunction sought against Acquiring Authority, it is merely consequential upon plaintiff's ownership and possession as claimed in suit - Not directly affecting any action taken in pursuance of any powers under Slums Act - Even dispute regarding acquisition of plot by playing fraud by Acquiring Authority does not also lie before any of Authorities under Slums Act - Suit not barred by S.42. AIR 1997 SC 2076 Disting. (2002) 6 SCC, 2013 ALL SCR 2685, 2002(2) Bom.C.R.93, 1995 AIR 1955 Ref. to. (Paras 8, 10, 13, 17)
Cases Cited:
Housing Development and Improvement India Pvt. Ltd. Vs. Narendra L. Aswani & Ors., Appeal (L) No.797/2011 (Bom.) [Para 9]
Lokhandwala Infrastructure Pvt. Ltd. Vs. Dhobighat Compound Rahiwasi Seva Sangh and Ors., Suit (Lodg.) No.813 of 2011 (Bom.) [Para 9]
Naresh Lachmandas Aswani Vs. Haridas alias Hardas Lachmandas, 2016(4) ALL MR 286=Suit No.808 of 2011 (Bom.) [Para 9]
Qari Mohammed Zakir Hussain Vs. Municipal Corporation of Greater Mumbai, 2002(2) Bom.C.R.93 [Para 13]
State of Bihar Vs. Dhirendra Kumar, 1995 AIR 1955 [Para 14]
S.P. Subramanya Shetty Vs. Karnataka State Road Transport Corporation, AIR 1997 SC 2076 [Para 15]
V. Chandrasekaran Vs. Administrative Officer, 2012 ALL SCR 2654=JT 2012 (9) SC 260 [Para 16]
Commissioner, Bangalore Development Authority Vs. Brijesh Reddy, 2013 ALL SCR 2685 [Para 17]
Dhruv Green Field Ltd. Vs. Hukam Singh, (2002) 6 SCC [Para 18]
JUDGMENT
JUDGMENT :- The suit seeks declaration of ownership of the Plaintiffs and Defendant No.3 of a plot of land and challenges acquisition of the plot by the State Government under the Maharashtra Slum Areas Act, 1971 as vitiated by fraud and prays for directions to the State to restore possession of the plot to the Plaintiffs and Defendant No.3.
2. By an order dated 5 December 2011, and as amended by an order dated 4 January 2016, the following issue was framed as a preliminary issue, on the application of Defendant No.5.
"(a) Whether Defendant No.5 proves that the present suit is barred by virtue of Section 42 of the Maharashtra Slum Areas (Encroachment and Improvement) Act 1971?"
The parties have chosen not to lead any evidence and instead argued the preliminary issue on the pleadings and admitted documents on record. (By a Notice of Motion, Defendant Nos.4 and 5 sought leave to lead evidence on the preliminary issue. By an order of 8 December 2015, that application was rejected by this Court, holding inter alia that the questions involved were pure questions of law and parties had agreed to argue the matter on the basis of the averments in the plaint and provisions of law.) This order disposes of the preliminary issue.
3. The Plaintiffs' case may be briefly stated as follows :
By an agreement dated 21 December 1960, Defendant No.1, who originally owned the land bearing CTS Nos.40, 40/1, 129 at Vile Parle in Mumbai admeasuring about 3695.70 sq.mtrs. agreed to sell the land to Haji Usman Haji Abdul Karim, the father of the Plaintiffs. Haji Usman Haji Abdul Karim died intestate on 25 November 1966 leaving behind him the Plaintiffs, Defendant No.3 and one Hajrabai Haji Usman as his only legal heirs according to the Sunni Muslim law. By a registered conveyance dated 23 December 1974, Defendant No.1 conveyed the suit land together with structures standing thereon to the Plaintiffs, Defendant No.3 and Hajrabai Haji Usman, after obtaining the requisite permission from the Charity Commissioner, State of Maharashtra. Defendant No.1 also authorised the Plaintiffs to collect all income of the suit property and pay all outgoings. It is the case of the Plaintiffs that since a large number of properties were purchased under the indenture of conveyance with different survey and CTS Nos., certain errors had crept in the schedule of properties appended to the conveyance. These errors included a wrong mention of the area of Survey No.40, Hissa No.1 (CTS No.40), i.e. part of the suit property. Due to these errors, the names of the Plaintiffs were not included in the revenue records including the property card as owners of the property, though the possession of the property was taken over by, and remained with, the Plaintiffs. The Plaintiffs claim that the tenants / occupants of the suit property were paying rent to the Plaintiffs. So also, there were some eviction proceedings launched against tenants / occupants which resulted into decrees of possession in favour of the Plaintiffs. Electricity Bills stand in the name of the Plaintiffs. Eventually, proceedings for acquisition of the suit property were initiated by the State Government through Additional Collector, under the Maharashtra Slum Areas Act, 1971 ("Slum Act"). It is the Plaintiffs' case that without taking any notice of the Plaintiffs' objections, a final notification under Section 14(1) of the Slum Act was issued by the State Government showing Defendant No.1 as the owner of the property. It is the Plaintiffs' case that the Plaintiffs were, thus, deprived of their rights by deliberately referring to wrong records. It is submitted that the Plaintiffs had also executed a rectification deed rectifying the mistakes in the description and areas of land conveyed by the indenture of conveyance dated 23 December 1974. It is the Plaintiffs case that the land was acquired by the authorities fraudulently and in collusion with interested persons by falsely showing it as belonging to Defendant No.1, only to favour such interested persons. Being aggrieved by the declaration of, and decision to acquire, the suit property as slum area, the Plaintiffs filed an appeal, being Appeal No.20 of 2003. The appeal was dismissed by the Maharashtra Slum Tribunal. The order of the Tribunal was challenged before this Court in a writ petition, being Writ Petition No.2584 of 2004. The petition was dismissed by a learned Single Judge of this Court. In the Plaintiffs' challenge to that order before the Division Bench, whilst dismissing the appeal, liberty was reserved unto the Plaintiffs to agitate their grievances relating to the title of the land in appropriate civil proceedings. Apart from initiating various revenue proceedings for amending the revenue records by inclusion of their names therein, the Plaintiffs have asserted their ownership of the suit property and on that basis, challenged the acquisition in the present suit.
4. On these facts, the question is whether the jurisdiction of this Court to entertain the suit and grant the reliefs claimed therein is barred by any law, particularly Section 42 of the Slum Act. The argument of the Defendants including the State is that the reliefs prayed for by the Plaintiffs in the present suit inter alia pertain to a challenge to a slum re-development scheme undertaken under the Slum Act in respect of the suit property, which relief cannot be claimed in view of a specific bar in that behalf contained in Section 42 of the Slum Act. It is submitted that the plea of ownership would at the most be maintenable against Defendant No.1, but the effective reliefs, which are claimed against the State, seeking cancellation of the acquisition and return of the suit property, cannot be considered by this Court in view of the bar. Secondly, it is submitted that apart from the express bar under Section 42, the Slum Act being an acquisition law, providing its own machinery for seeking redressal against grievances in connection therewith, by necessary implication, the power of civil courts to take cognizance of such grievances under Section 9 of the Code of Civil Procedure stands excluded. Learned Counsel for the Defendants rely on several judgments in support of their contentions. It is also submitted that the Plaintiffs having exhausted their remedy under Article 226 of the Constitution, cannot claim the reliefs again by filing the present suit. It is submitted that the constitutional validity of Sections 14 and 17 of the Slum Act has already been upheld by the Court and not open to any challenge.
5. Section 42 of the Slum Act, as of the date of the suit, provided as follows:
"42. Bar of Jurisdiction Save as otherwise expressly provided in this Act, no civil court shall have jurisdiction is respect of any matter which the Administrator, Competent Authority or Tribunal is empowered by or under this Act, to determine; and no injunction shall be granted by any court or other authority in respect of any action taken or to be taken in pursuance of any power conferred by or under this Act."
By Maharashtra Act 11 of 2012, with effect from 19 June 2012, the words "Appellate Authority, Competent Authority, Grievance Redressal Committee" have been substituted for the words "Administrator, Competent Authority".
6. Section 42, as is plain from its language, ousts the jurisdiction of the civil court in respect of all matters which the authorities named therein are empowered to determine by or under the Act. Exceptions, if any, must be found in the Slum Act itself, as this ouster is subject to what is otherwise expressly provided therein. Section 42 has a second part, which prohibits grant of any injunction in respect of any action taken or to be taken in pursuance of any power conferred by or under the Slum Act.
7. Let us first consider if on the terms of Section 42, the present suit is barred or granting of any particular relief claimed in the suit (i.e. injunction) is prohibited. The matters which the authorities named in Section 42 are empowered to determine are the following : The competent authority, upon a complaint from any person or report from its officer, police, etc. is empowered to order demolition of any structure, which is unauthorised or illegal in terms of Sections 3Z-1 and 3Z-2 of the Slum Act. It is also empowered to declare any area or buildings in any area to be a slum area under Section 4 of the Slum Act. The competent authority has also power to execute any work of improvement under Section 5 and to require occupiers of premises within such area to vacate the premises or require improvement of buildings unfit for human habitation and of areas which are source of danger to public health, respectively, under Sections 5A, 5B and 5C of the Slum Act. It may also direct restrictions on erection of buildings in slum areas except with its prevision permission under Section 8. The competent authority also has power to order demolition of buildings unfit for human habitation in pursuance of Section 9 of the Slum Act. With the previous approval of the State Government, the competent authority is empowered to entrust to any agency recognised by it the work of execution of any improvement, clearance of redevelopment work or maintenance or repairs, etc. under Section 10A. The competent authority is also empowered to declare any slum area to be a clearance area under Section 11 of the Act and make a clearance order under Section 12. It has power to redevelop such clearance area under Section 14. So also, the competent authority has powers to determine compensation payable to any person having interest in any such acquired land under the Act, decide the apportionment of such compensation and order payment thereof, respectively, under Sections 17, 18 and 19 of the Act. The competent authority may also grant permissions for institution of suits or proceedings under Section 22 of the Act. The competent authority also has power to determine rent of any building in any slum area. It has various other miscellaneous powers of entry, inspection, etc. under Chapter 7 of the Slum Act. Appeals by persons aggrieved by any notice, order or direction issued or given by the competent authority lie before the Appellate Authority under Section 35 of the Act. So also, appeals by persons aggrieved by notices, orders or directions of the Appellate Authority or appeals for the purpose of resolving disputes in relation to matters about eligibility of a slum dweller or his entitlement, etc. lie before the Grievance Redressal Committee constituted by the State Government under Section 35(1)(a) of the Slum Act. The decisions of this Grievance Redressal Committee have been made final by virtue of sub-section (5) of Section 35. The Tribunal appointed under Section 2(i) of the Act is empowered to determine questions in respect of expenses to be recovered as arrears of land revenue and disputes in respect of such claims, under Section 44 of the Slum Act. These are the only matters which the authorities named under Section 42 are empowered to determine. Apart from these named authorities, there are other authorities including the Slum Rehabilitation Authority as well as the State Government who are empowered to exercise powers and determine various matters under the Slum Act. The first part of Section 42 does not apply to these powers or matters. For example, the Slum Rehabilitation Authority appointed under Section 3A of the Act is empowered to exercise various functions and perform duties under sub-section (3) of Section 3A, namely, formulation of schemes for rehabilitation of slum areas and getting the same implemented and doing of all acts and things as may be necessary for achieving the object of rehabilitation of slums. So also, the State Government is empowered to acquire land to enable the Authority to execute any work of improvement or to redevelop any slum area or any structure in such area. The first part of Section 42 does not apply to any of these matters to be decided by these authorities, though no court or authority can grant any injunction in respect of any action taken or to be taken in respect of these matters by virtue of second part of Section 42. In other words, though jurisdiction of the civil court is not barred in respect of any of these latter matters, no injunction can be granted by any civil court in respect of those.
8. On this analysis, let us consider the present suit and the reliefs which it asks for. The present suit, in the first place, seeks a declaration of ownership of the suit property. Secondly, it seeks recovery of possession of the suit property on the basis of such declaration. Thirdly, it prays for a declaration that the acquisition of the suit property under the Slum Act is vitiated by fraud and liable to be struck down. Lastly, it seeks a permanent injunction restraining the Defendant State as well as the former owner of the suit property and the society of slum-dwellers and occupants from interfering with the use, occupation and enjoyment of the suit property by the Plaintiffs. None of these matters are to be decided by the Competent Authority, Appellate Authority, Grievance Redressal Committee or Tribunal under the Slum Act. As regards the injunction prayed for in the suit, the same is merely consequential upon the Plaintiffs' ownership and possession of the suit property claimed in the suit. It does not seek to directly affect any action taken or to be taken in pursuance of any power conferred by or under the Slum Act. In the event the Plaintiffs' ownership and possession are decreed by the Court and the acquisition is struck down, and possession restored to the Plaintiffs, the Plaintiffs would be entitled to the permanent injunction prayed for in the suit. No exception, thus, can be taken to any of the prayers in the suit on the plain terms of Section 42.
9. Learned Counsel for the Defendants rely on the judgments of this Court in the cases of Housing Development and Improvement India Pvt. Ltd. Vs. Narendra L. Aswani & Others, Appeal (L) No.797 of 2011, Lokhandwala Infrastructure Pvt. Ltd. Vs. Dhobighat Compound Rahiwasi Seva Sangh and others, Notice of Motion No_of 2011 in Suit (Lodg.) No.813 of 2011 and Naresh Lachmandas Aswani Vs. Haridas alias Hardas Lachmandas, Suit No.808 of 2011 : [2016(4) ALL MR 286] in support of their contention that the suit is barred under Section 42. In the case of Housing Development & Improvement India Pvt. Ltd. (supra), an injunction was claimed in respect of disposal of, or creation of third party rights in, premises in the buildings which were under construction in an SRA project. The ad-interim injunction granted by the learned Single Judge was set aside by the Appeal Court. In that case, there was no challenge to the notice issued by the Slum Authority as well as the acquisition notification. The prayer for injunction directly interfered with the possession and third party rights to be created in buildings which were being constructed under an LOI issued by the Slum Authority for an SRA project sanctioned under the Slum Act. When this matter came up before a learned Single Judge (Dhanuka, J.) for consideration of interim relief, after the ad-interim injunction was rejected by the Appeal Court, the learned Judge in Naresh Lachmandas Aswani [2016(4) ALL MR 286] (supra), specifically held that prayers (a) to (c), and (e) to (h), which inter alia dealt with the title of the Plaintiff and cancellation of various documents executed by the Defendant in breach of that title, were very much within the jurisdiction of the Civil Court and it was only the prayer for delivery of possession which was barred, since LOI was already issued in respect of the Slum Rehabilitation Scheme, which was being implemented on the property. The suit, in that case, was, however, dismissed by the learned Single Judge on the ground of bar of limitation. Even in Lokhandwala Infrastructure (supra), this Court held that having regard to the powers, duties and functions of the Authority, it was clear that the Authority was not empowered to determine private rights or liabilities as between the Slum dwellers and the developer vis-a-vis any development agreement entered into between them for redevelopment of any slum. The court held that whether or not such development agreement is binding on the parties thereto, whether or not any party has breached such development agreement, and whether or not the party complaining of such breach is entitled to specific performance of the development agreement, all of which were matters arising for the determination in that suit, were not matters which the Authorities under the Slum Act were empowered to decide. This Court further held that as for the particular relief, namely, permanent or temporary injunction restraining Defendant No.26 from carrying on any development or directly or indirectly preventing it from acting as a developer of the particular Slum Rehabilitation Scheme, which the Authority authorized it to do, whether or not such relief can be granted would be considered on merits at the hearing of the suit or the Notice of Motion, as the case may be. But such consideration did not reflect on the jurisdiction of this Court to entertain the suit as a whole. The Court might entertain the suit and yet not grant the particular relief, if it considered the same to be barred under Section 42 of the Slum Act.
10. The main dispute in the present suit is between the Plaintiffs and Defendant No.1, on the one hand, concerning the title of the suit property. This dispute is clearly out of bounds for the authorities under the Slum Act. It is for determination of private rights as between two rival claimants, which the authorities under the Act are not empowered to determine. On the other hand, the suit is also between the purported owner of the property and the acquiring authority, alleging fraud on the part of the latter. Even this dispute does not lie before any of the authorities named in Section 42.
11. Secondly, as this Court held in Lokhandwala Infrastructure, whether a particular relief, whether of permanent or temporary injunction, can or cannot be granted, does not reflect on the jurisdiction of the Court to entertain the suit as a whole. This Court may entertain the suit and yet not grant any particular relief amongst the many reliefs claimed in the suit on account of a legal bar, in this case under Section 42 of the Slum Act.
12. Let us now consider the other argument of the Defendants that the Slum Act, which is designed to enable the State to acquire land to serve a public purpose, being a complete code, an aggrieved person may only resort to remedies provided thereunder and by implication, cognizance cannot be taken by civil courts of such grievances. Learned Counsel for the Defendants rely on Supreme Court judgments on the civil court's jurisdiction to go into the questions of validity or legality of acquisition notifications under the Land Acquisition Act in support of their contentions. In the first place, having regard to the specific mandate of Section 42 which bars particular suits and reliefs, it is difficult to conceive of a general bar in resorting to remedies in connection with matters which are covered by the Slum Act. Secondly, it is also important to ask whether the aggrieved person is given any remedy in respect of the particular action taken or matter decided under the Act, when one considers the bar in connection with such action or matter. Insofar as matters such as demolition of unauthorised or illegal dwellings or structures, or penal liabilities in connection therewith are concerned, the remedies lie before the Competent Authority and from its orders before the Appellate Authority and the Grievance Redressal Committee. Insofar as various other powers to be exercised by the Competent Authority, which are noted above, are concerned, there is a similar grievance redressal mechanism provided for in the Act. As for the other matters, namely, matters to be determined in pursuance of powers exercised by the Slum Rehabilitation Authority as well as the State Government, the Act does not provide for any remedy. Can it then be said that these matters are beyond the reach of civil courts though they cannot be redressed under the provisions of the Act. After all the thrust of the arguments in support of such bar is that the Act, being a complete code (which includes remedies for acts done thereunder), only remedies provided thereunder can be resorted to and general remedies otherwise available under law are barred. All that this means is that where the Act provides particular remedies, other remedies under ordinary law must be taken to be barred.
13. Our Court in Qari Mohammed Zakir Hussain vs. Municipal Corporation of Greater Mumbai, 2002(2) Bom.C.R. 93, whilst construing the relevant provisions of the Slum Act, namely, Sections 37, 40, 41 and 42, in the context of a similar plea of bar of jurisdiction held as follows :
"15. On conjoint reading of the aforesaid provisions, it would appear that no suit or prosecution can be maintained against the competent authority or against any person acting under its authority for anything which is in good faith done or intended to be done under the said Act or Rules made thereunder. Section 42 of the Act opens with the expression. "Save as otherwise expressly provided in this Act" followed by, "no Civil Court shall have jurisdiction in respect of any matter which the administrator, competent authority or Tribunal is empowered by or under this Act, to determine, and no injunction shall be granted by any Court or other authority in respect of any action taken or to be taken in pursuance of any power conferred by or under this Act. "As a necessary corollary it follows that if the allegation is that the act done or intended to be done by the concerned authority is the result of fraud, collusion or mala fide and is clearly in transgression of the powers conferred on that person or authority under the Act or Rules, in such a case, the allegation would be actionable, before the Civil Court being one of civil nature to be tried only by the Civil Court by virtue of section 9 of the Code of Civil Procedure Code.
16. It is well settled that exclusion of the jurisdiction of the Civil Court is not to be readily inferred but such exclusion must either be explicity expressed or clearly implied. It is also well settled that even if the jurisdiction it so excluded the Civil Courts have jurisdiction is examine into the issues where the provisions of the Act have not been complied with, or statutory Tribunal has not acted in conformity with the fundamental judicial procedure. On the other hand, a suit in a Civil Court can always be maintained to question the order of a Tribunal created by a statute, even if its order is, expressly or by necessary implication, made final, if the said Tribunal abuses its power or does not act under the Act but in violation of its provisions. In other words, if the suit proceeds on the premises that the offending act has been done not in good faith, then there is no bar for such a suit. This legal position is enunciated in catena of decisions including (A.I.R. 1940 Privy Council 105), State of Kerala vs. N. Ramaswamy Iyer & Sons), A.I.R. 1966 S.C. 1738, (Firm Seth Radhakishan (deceased) represented by Harikishan v. Administrative Municipal Committee, Ludhiana), A.I.R. 1963 S.C. 1547, as well as decision of Kerala High Court in (Secretary, K.S.E.B., Trivandrum v. M. Sainaba), A.I.R. 1990 Kerala 50.
17. Understood thus, what is to be seen is whether the allegations in the plaint are of such nature that the plaintiff complaints that the offending action is mala fide and in transgression of the authority. If such are the allegations, then the suit would obviously not be barred in terms of the bar of jurisdiction provided for under section 42 of the Act 1971 for, such a suit would be outside the purview of the said provision because the offending act is alleged to have been committed not in good faith or intended to be done under the said Act, but for extraneous reasons."
14. Learned Counsel for the Defendants cited Supreme Court judgments under the Land Acquisition Act to contend that no challenge before a civil court lies even if the acts are mala fide or in patent breach of the law. I am afraid none of these judgments supports what the Defendants contend. In State of Bihar vs. Dhirendra Kumar, 1995 AIR 1955, after a declaration duly published under Section 6 of the Land Acquisition Act, 1894, the possession of the land was taken over by the State and handed over to the Housing Board. Steps were taken thereafter by the Board to eject encroachers on the acquired land. The Respondent before the Supreme Court filed a title suit and asked for a temporary injunction. The Court held that the provisions of the Land Acquisition Act were designed to acquire land by the State exercising the power of eminent domain to serve a public purpose. The Court examined the provisions of the Land Acquisition Act and held the Act to be a complete code meant to serve a public purpose and accordingly, held the remedy to be barred by implication under Section 9 of the CPC. The respondent's title suit in that case was against the State. What the respondent wanted the Court to do was to allow the respondent to retain the land despite acquisition thereof by the State after following due process under the Land Acquisition Act. Whether the land is needed for a public purpose or not and whether it is therefore liable to be acquired, are not matters which are open to a civil court to inquire into. The purpose of acquisition, whether public or not, the suitability of the land for such purpose, etc. are matters inquired into and decided by the authorities named under the Land Acquisition Act. The Act contains its own mechanism for such inquiries. These are not matters open to challenge before any civil court. This ratio is not applicable to the facts of our case. Here, there is no challenge per se to the merits of the decision to acquire the land from the standpoint of its suitability or coverage under the relevant provisions of the Slum Act. What is alleged here is that the acquisition is fraudulent. Despite the record showing the Plaintiffs' title, the Plaintiffs submit, the land was acquired by falsely showing it as belonging to Defendant No.1 only to favour some interested persons who wanted to illegally grab the property in the name of development. The requisite averments are to be found inter alia in paragraphs 47 to 49 of the plaint. Secondly, it is alleged by the Plaintiffs that the acquisition was in breach of the provisions of the Slum Act, i.e. without following those provisions. If that is so, it is a matter of trial. It cannot be said that the jurisdiction of this Court is barred.
15. Even in the case of S.P. Subramanya Shetty vs. Karnataka State Road Transport Corporation, AIR 1997 SC 2076, the controversy concerned a plea to denotify the acquired land under Section 48 of the Land Acquisition Act on the ground that the land owner was willing to give a portion of the land free of cost. On that basis, he filed a civil suit for an injunction to restrain the State from interfering with his possession. The Supreme Court held that the acquisition notification had become final and proceedings had attained finality and the Court could not issue a mandatory injunction to the State to denotify the acquired land under Section 48. Again, this controversy and observations of the Court in connection therewith have no bearing on the facts of our case.
16. In V. Chandrasekaran vs. Administrative Officer, JT 2012 (9) SC 260 : [2012 ALL SCR 2654], the Supreme Court was considering appeals from orders passed on writ petitions. The writ petitioners had challenged a notification issued by the State under Section 6 of the Land Acquisition Act on the ground that the inquiry preceding it was not conducted fairly and their objections under Section 5A were not dealt with properly. The subject land was purchased by the petitioners after the notification was issued under Section 4. The Court held that the petitioners had acquired no title and had no locus to challenge acquisition proceedings. The Court further observed that it was a settled position that once the land is vested in the State, free from all encumbrances, it cannot be divested and restored to tenure holders / interested persons. That was in the context of the plea that it must be so restored if the land was not used for the purpose for which it was acquired. The Court held that once the land is acquired and vests in the State, it is not the concern of the land owner, whether the land is being used for the purpose for which it was acquired or for any other purpose. The owner merely has the right to receive compensation for the land after it vests in the State. The law stated by the Supreme Court in V. Chandrasekaran is not germane to decide our case.
17. In Commissioner, Bangalore Development Authority vs. Brijesh Reddy, 2013 ALL SCR 2685, the respondents before the Court had filed a suit for permanent injunction against the State after the property was acquired under the relevant State acquisition law. The respondents were subsequent purchasers of the property and claimed to be in possession. When originally possession of the respondents' predecessor in title was sought to be interfered with by the acquiring body, he had filed a suit, which was eventually dismissed with liberty to file a fresh suit. After they were put in possession by the predecessor, the respondents filed their own suit referred to above. The question before the court was whether a civil court had jurisdiction to entertain that suit. The trial court rejected the suit as not maintenable since the acquisition proceedings had ended with passing of an award and handing over of possession. The impugned order of the High Court remanded the matter to the trial court on the ground that the plaintiffs were not given an opportunity to adduce evidence that their vendor was in possession which entitled them for grant of permanent injunction from evicting them from the acquired property without due process of law. The Supreme Court set aside the impugned order on the ground that the acquisition of the land being completed long ago, the suit for injunction was barred. The Court, whilst discussing the reasons, observed as follows :
"13) It is clear that the Land Acquisition Act is a complete Code in itself and is meant to serve public purpose. By necessary implication, the power of civil Court to take cognizance of the case under Section 9 of CPC stands excluded and a Civil Court has no jurisdiction to go into the question of the validity or legality of the notification under Section 4, declaration under Section 6 and subsequent proceedings except by the High court in a proceeding under Article 226 of the Constitution. It is thus clear that the civil Court is devoid of jurisdiction to give declaration or even bare injunction being granted on the invalidity of the procedure contemplated under the Act. The only right available for the aggrieved person is to approach the High Court under Article 226 and this Court under Article 136 with self imposed restrictions on their exercise of extraordinary power."
It is clear from the above statement of law that what is barred is the jurisdiction to go into the validity and legality of the notification under Section 4, declaration of Section 6 and subsequent proceedings. Once these provisions are gone through, it is not open to question the steps taken thereunder outside the machinery of the Land Acquisition Act except by approaching the writ court. That still leaves out cases where the acquisition is without following these provisions or taking steps thereunder or where the acquisition is vitiated by a fraud practised by the authorities under the State. The bar excluding the jurisdiction of civil courts does not operate in cases where the plea is of nullity, which goes to the root of the matter. A fraudulent act or an act ultra vires the law providing for it, are nullities where despite even an express bar of jurisdiction the civil courts can interfere.
18. I can do no better to affirm this than simply quote what the Supreme Court said in Dhruv Green Field Ltd. vs. Hukam Singh, (2002) 6 SCC. The Court stated the law thus :
"9. The question, when and in what circumstances, can a suit of civil nature be said to be barred by a special statute, is no longer res Integra. In Kamala Mills Ltd. v. State of Bombay, AIR (1965) SC 1942, a seven-judge Bench of this Court laid down the principle thus:
"The question about the exclusion of the jurisdiction of civil courts either expressly or by necessary implication must be considered, in every case, in the light of the words used in the statutory provision on which the plea is rested, the scheme of the relevant provisions, their object and their purpose. (AIR p.1951, para 30)
Whenever a plea is raised before a civil court that its jurisdiction is excluded either expressly or by necessary implication to entertain claims of a civil nature, the Court naturally feels inclined to consider whether the remedy afforded by an alternative provision prescribed by a special statute is sufficient or adequate. Where the exclusion of the civil court's jurisdiction is expressly provided for, the consideration as to the scheme of the statute in question and the adequacy or the sufficiency of remedies provided for by it may be relevant, it cannot however, be decisive.
But when exclusion is pleaded as a matter of necessary implication, such considerations would be very important, and, in conceivable circumstances, might even become decisive. If a statute creates a special right or a liability and provides for the determination of the right and liability to be dealt with by tribunals specially constituted in that behalf, and it further lays down that all questions about the said right and liability shall be determined by the tribunals so constituted, it is pertinent to enquire whether remedies, normally associated with actions in civil courts are prescribed by the said statute or not." (AIR p. 1952, para 32)
That judgment was followed in Rama Swarup v. Shikar Chand, AIR 1966 SC 893. There Gajendragadkar, CJ. speaking for a Constitution Bench of this Court formulated the following tests:
"The two tests, which are often considered relevant in dealing with the question about the exclusion of civil courts' jurisdiction are (a) whether the special statute which excludes such jurisdiction has used clear and unambiguous words indicating that intention, and (b) does that statute provide for an adequate and satisfactory alternative remedy to a party that may be aggrieved by the relevant order under its material provisions. Applying these tests the inference is inescapable that the jurisdiction of the civil courts is intended to be excluded. (AIR p. 896, para 12)
The bar excluding the jurisdiction of civil courts cannot operate in cases where the plea raised before the civil court goes to the root of the matter and would, if upheld, lead to the conclusion that the impugned order is a nullity.
10. In the light of the above discussion, the following principles may be restated:
(1) If there is express provision in any special Act barring the jurisdiction of a civil court to deal with matters specified thereunder the jurisdiction of an ordinary civil court shall stand excluded.
(2) If there is no express provision in the Act but an examination of the provisions contained therein lead to a conclusion in regard to exclusion of jurisdiction of a civil court, the court would then inquire whether any adequate and efficacious alternative remedy is provided under the Act; if the answer is in the affirmative, it can safely be concluded that the jurisdiction of the civil court is barred. If, however, no such adequate and effective alternative remedy is provided then exclusion of the jurisdiction of civil court cannot be inferred.
(3) Even in cases where the jurisdiction of a civil court is barred expressly or impliedly, the court would nonetheless retain its jurisdiction to entertain and adjudicate the suit provided the order complained of is a nullity."
19. As I have noted above, the present suit being based on a plea of fraud against the State in a matter of acquisition under the Slum Act and also on a plea of ultra vires, the suit is clearly maintenable on the pleadings of the Plaintiffs. As of today, there is no evidence to either sustain or decline the pleas of fraud and ultra vires. The matter is argued on a demurrer, based on pleadings and admitted documents on record. There is no case for dismissing the suit for want of jurisdiction. The preliminary issue is, thus, answered in the negative.
20. The Notices of Motion may now be taken up for consideration of interim relief by the learned Judge taking Motions.