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TMI Blog2014 (12) TMI 1332X X X X Extracts X X X X X X X X Extracts X X X X ..... g as to how the State Government could grant exemption to HMT from the provisions of Chapter III of the Act by virtue of notifications dated 29.7.1991 and 4.7.2000. The notifications were purportedly issued in public interest under Section 81(3) of the Act on account of the land being used for industrial purpose. Exemption for the entire extent was granted by notification dated 29.7.1991 and exemption for the extent of 100 acres was granted by notification dated 4.7.2000. No proceedings could be initiated for the determination of ceiling area when the subject matter of the ceiling case is a Government land whether it be 1.4.1964 or on 1.1.1970. The assignment of Government land in favour of HMT was much after the cut off date and that too under the Rules which itself provide for various contingencies. Whether there are grounds to invoke the power of resumption under Rules 14 and 15 and the modalities thereof under Rules 16 and 17 do not arise for adjudication now. The proceedings being continued on the file of the Taluk Land Board, Kanayannur in M2724/89 against HMT as a holder of excess lands do not have the sanction of law and are to be aborted - The impugned order of the T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ad is liable to be exempted. HMT contended that the remaining land in their possession is liable to be excluded under Section 81(1)(c), (m), (o), (p) and (u) of the Act. This statutory exemption is in addition to the exemption of 100 acres earlier granted by the State Government which lead to the withdrawal of O.P.No.19718/1995. HMT added that the proceedings initiated under the Act is actuated by malice at the instance of the District Collector for refusal to surrender land for a Satellite Township. 4. The Taluk Land Board has by the order impugned dated 27.4.2002 directed HMT to surrender 101.74.10 hectares (251.40.000 acres) as in excess of its ceiling area under the Act. HMT has filed this Civil Revision Petition specifically urging in ground 'B'of the memorandum that the proceedings are without authority of law and contrary to the Act. It appears that HMT later sold 70 acres out of the 100 acres of land exempted by the Government to Blue Star Realtors (P) Ltd. allegedly to wipe off its liability. The sale was questioned in a public interest litigation wherein a Division Bench of this Court by judgment dated 11.8.2009 in WP (C) No.8172/2008 observed as follows:- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ernment lands in Development area for industrial purposes appended to G.O.(P) No.220/Rev. dated 30-3- 1064 and assigned on registry to the Hindustan Machine Tools Ltd., Bangalore under the above rules free of land value, tree value and value of other improvements, survey and demarcation charges and other L.A. charges. The assignment will be under Rule 23 of the said rules, dispensing with rules 8 9. In the event of resumption of the land by Government as contemplated in Rule 15, the provisions of Rule 16 will apply, excepting the provisions for payment of land value since the land is being assigned free of cost. The land assigned to the company shall be heritable but it shall not be alienated or encumbered in any manner without the prior permission in writing of the Government. The Company shall also pay all tax, cess, land revenue and other dues which may be payable in respect of the land from time to time. (emphasis supplied) The State Government by GO (MS) No.309/72/ID dated 20.10.1972 clarified that the lands shall be transferred either by executing a gift deed or by assignment on registry absolutely as heritable. The State Government by GO (MS) No.337/72/ID dated 20.1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... een assigned in favour of HMT which could only be under the Rules. But Rule 4 of the Rules provides for assignment for industrial purposes only and Rule 10 mandates that the land shall be used only for the purpose for which it is assigned. Rule 11 of the Rules postulates that the assigned land shall be heritable and shall not be alienated or encumbered in any manner without the prior permission in writing of the Government. Rules 14 and 15 of the Rules confer power of resumption to the State Government and Rules 16 and 17 prescribe the modalities for resumption of land. Rules 18 and 19 of the Rules mandate that the order of assignment on registry shall be in the form in Appendix-II and the Patta shall be in the form in Appendix-III to the Rules. The indications are overwhelming in the instant case to hold conclusively beyond any doubt that the assignment in favour of HMT was under the Rules only. 10. Much was argued on the basis of the judgment in the public interest litigation in WP (C) No.8172 of 2008 to contend that the assignment in favour of HMT is not under the Rules. The Division Bench of this Court opined therein that the assignment is not under the Rules since there was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 81. Exemptions:- (1) The provisions of this Chapter shall not apply to- (a) lands owned or held by the Government of Kerala or the Government of any other State in India or the Government of India or a local authority or the Cochin Port Trust or any other authority which the Government may, in public interest, exempt, by notification in the Gazette, from the provisions of this Chapter: [Provided that the exemption under this clause shall not apply to lands owned by the Government of Kerala and held by any person under lease whether current or time expired or otherwise.] Explanation (1):- Lands owned by the Government of Kerala shall, for the purposes of this clause, have the same meaning as Government lands under subsection (1) of Section 2 of the Kerala Government Land Assignment Act, 1960 [but lands escheated to the Government and held by tenants entitled to fixity of tenure under Section 13 shall not be deemed to be lands owned by the Government of Kerala;] [Explanation II:- Lands, the right, title and interest in respect of which have vested in the Government under sub-section (9) of Section 66 or Section 72, shall not be deemed to lands owned by the Governm ..... 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