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TMI Blog2005 (9) TMI 624X X X X Extracts X X X X X X X X Extracts X X X X ..... s in India of Caltex (India) Limited) Act, 1977) was promulgated whereby and whereunder right, title and interest of Caltex (India) Ltd. in relation to its undertakings in India stood transferred to and vested in the Central Government. The Central Government, however, in exercise of its power conferred upon it under Section 9 of the said Act directed that the said undertakings shall, instead of continuing to vest in the Central Government, vest in Caltex Oil Refining (India) Ltd., a Govt. company with effect from 30.12.1976. Caltex Oil Refining (India) Ltd. was later on amalgamated with the Appellant herein in terms of Sub-section 3 of Section 7 of the said Act. The Appellant herein, thus, was at the liberty to renew the period of lease for a period of further five years with effect from 1.8.1979 on the same terms and conditions as contained in the deed of lease dated 24.12.1974. The Appellant herein exercised its option of renewing the lease with effect from 24.4.1979. On the expiry of the said period, an eviction proceeding was initiated by the First Respondent against the Appellant by filing a suit which was marked as O.S. No. 737 of 1985. The said suit for eviction was decreed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the case. An affidavit affirmed by one Shri K.V. Rao was filed on 7th November, 2003 stating that the records were not readily traceable in view of shifting of Industries and Commerce Department within the premises of the Secretariat Buildings twice in four years. An apology was also tendered for non-production of records. By reason of the impugned judgment, the writ petition has been allowed. The Appellant being aggrieved thereby are before us. We may, however, notice that the Appellant herein had prayed for twelve weeks of time to vacate the premises which was granted by an order dated 19th December, 2003. Mr. K. Ramamoorthy, learned senior counsel appearing on behalf of the Appellant and Mr. Anoop G. Chaudhari, learned senior counsel appearing on behalf of the State inter alia raised the following contentions: (i) Having regard to the scheme of the Act if a public purpose is established, the declaration made would be conclusive in terms of Section 6(3) of the Act in respect of both the need and the public purpose. (ii) In view of the provision contained in Section 3(f)(iv) of the Act, the Respondents could not contend that the purpose for which the notification under S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assigned while passing an order under Section 5-A of the Act but even if the same is not required to be assigned, reasons for order must exist on the record. (vii) There exists a difference between a subjective satisfaction clause, where the Government has to be satisfied, and a dispositive clause, where the Government has to decide on the basis of submissions made to it. In the latter case, there is an even stricter scrutiny to consider whether a determination has been properly made after due consideration. (viii) Where the Court feels that the appropriate scrutiny requires that records be examined in land acquisition cases, such records must be made available The main question which fell for its consideration before the High Court was whether the objections raised by the Appellant objecting to the acquisition of land on various grounds have been considered by the Government. It is not in dispute that Section 5-A of the Act confers a valuable right in favour of a person whose lands are sought to be acquired. Having regard to the provisions contained in Article 300A of the Constitution of India, the State in exercise of its power of 'eminent domain' may interfe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... earing him before depriving him is both reasonable and pre-emptive of arbitrariness, and denial of this administrative fairness is constitutional anathema except for good reasons This Court in Om Prakash and Another Vs. State of U.P. and Others [(1998) 6 SCC 1] held, thus: 21. Our attention was also invited by Shri Shanti Bhushan, learned Senior Counsel for the appellants to a decision of a two-Judge Bench of this Court in the case of State of Punjab v. Gurdial Singh wherein Krishna Iyer, J. dealing with the question of exercise of emergency powers under Section 17 of the Act observed in para 16 of the Report that save in real urgency where public interest did not brook even the minimum time needed to give a hearing, land acquisition authorities should not, having regard to Articles 14 and 19, burke an inquiry under Section 17 of the Act. Thus, according to the aforesaid decision of this Court, inquiry under Section 5-A is not merely statutory but also has a flavour of fundamental rights under Articles 14 and 19 of the Constitution though right to property has now no longer remained a fundamental right, at least observation regarding Article 14, vis-`-vis, Section 5-A of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , save where valid law excludes it, applies when people are affected by acts of authority. It is the hone of healthy government, recognised from earliest times and not a mystic testament of judge-made law. Indeed, from the legendary days of Adam and of Kautilya's Arthasastra the rule of law has had this stamp of natural justice which makes it social justice. We need not go into these deeps for the present except to indicate that the roots of natural justice and its foliage are noble and not new-fangled. Today its application must be sustained by current legislation, case-law or other extant principle, not the hoary chords of legend and history. Our jurisprudence has sanctioned its prevalence even like the Anglo-American system. Even a judicial review on facts in certain situations may be available. In Cholan Roadways Ltd. Vs. G. Thirugnanasambandam [(2005) 3 SCC 241], this Court observed: 34It is now well settled that a quasi-judicial authority must pose unto itself a correct question so as to arrive at a correct finding of fact. A wrong question posed leads to a wrong answer. In this case, furthermore, the misdirection in law committed by the Industrial Tribunal was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ition was allowed. This Court, however, interfered with the said order of the High Court and remitted the matter back to it upon giving an opportunity to the parties to raise additional pleadings. Contention of Mr. Chaudhari to the effect that for long the additional ground relating to non-application of mind on the part of the State had not been raised and, thus, it might not be necessary for the State to file a counter-affidavit does not appeal to us. When a rule nisi was issued the State was required to produce the records and file a counter-affidavit. If it did not file any counter-affidavit, it may, subject to just exceptions, be held to have admitted the allegations made in the writ petition. In view of the fact that the action required to be taken by the State Government is distinct and different from the action required to be taken by the Collector; when the ultimate order is in question it was for the State to satisfy the court about the validity thereof and for the said purpose the counter-affidavit filed on behalf of a Collector cannot be held to be sufficient compliance of the requirements of law. The job of the Collector in terms of Section 5-A would be over once ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... choose to prefer any appeal before this Court against the judgment and order passed by a learned Single Judge of the High Court dated 27.3.1997. The learned counsel appearing on behalf of the Appellant herein accepted that the satisfaction required to be arrived at is not a subjective one but based on objective criteria. Submission of Mr. Chaudhary to the effect that the circumstances pointed out in the counter-affidavit filed in WPMP No. 27633 of 2003 should be held to be substitute for the reasons which the State must be held to have arrived at a decision, cannot be countenanced. When an order is passed by a statutory authority, the same must be supported either on the reasons stated therein or the grounds available therefor in the record. A statutory authority cannot be permitted to support its order relying on or on the basis of the statements made in the affidavit de'hors the order or for that matter de'hors the records. In Commissioner of Police, Bombay vs. Gordhandas Bhanji [AIR 1952 SC 16], it is stated : We are clear that public orders, publicly made, in exercise of a statutory authority cannot be construed in the light of explanations subsequently given ..... X X X X Extracts X X X X X X X X Extracts X X X X
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