{"id":127164,"date":"1977-01-20T00:00:00","date_gmt":"1977-01-19T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/mangal-oram-ors-vs-state-of-orissa-anr-on-20-january-1977"},"modified":"2016-08-27T06:55:44","modified_gmt":"2016-08-27T01:25:44","slug":"mangal-oram-ors-vs-state-of-orissa-anr-on-20-january-1977","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/mangal-oram-ors-vs-state-of-orissa-anr-on-20-january-1977","title":{"rendered":"Mangal Oram & Ors vs State Of Orissa & Anr on 20 January, 1977"},"content":{"rendered":"
Supreme Court of India<\/div>\n
Mangal Oram & Ors vs State Of Orissa & Anr on 20 January, 1977<\/div>\n
Equivalent citations: 1977 AIR 1456, \t\t 1977 SCR (2) 666<\/div>\n
Author: H R Khanna<\/div>\n
Bench: Khanna, Hans Raj<\/div>\n
           PETITIONER:\nMANGAL ORAM & ORS.\n\n\tVs.\n\nRESPONDENT:\nSTATE OF ORISSA & ANR.\n\nDATE OF JUDGMENT20\/01\/1977\n\nBENCH:\nKHANNA, HANS RAJ\nBENCH:\nKHANNA, HANS RAJ\nSARKARIA, RANJIT SINGH\nSINGH, JASWANT\n\nCITATION:\n 1977 AIR 1456\t\t  1977 SCR  (2) 666\n 1977 SCC  (2)\t46\n\n\nACT:\n\t    Land  acquisition--Land  acquired  \"for  development  of\n\tindustries  namely establishment of a steel plant and allied\n\tand ancillary industries\"--Establishing Rourkela Steel Plant\n\tand a civil township around it, whether outside the  defini-\n\ttion  of words \"development of industries\" in ss,  2(c)\t and\n\t3(1)---Orissa  Development of Industries, Irrigation,  Agri-\n\tculture, Capital construction and resettlement of  Displaced\n\tPersons\t (Land Acquisition) Act, 1948 (Orissa Act  XVIII  of\n\t1948) read with Notification dated 20-2-54,'\n\n\n\nHEADNOTE:\n\t    Section  2(c) of the Orissa Development  of\t Industries,\n\tIrrigation, Agriculture, Capital construction and  Resettle-\n\tment   of  Displaced  persons\" (Land Acquisition) Act,\t1948\n\t(Act  XVIII of 1948), defines development of  industries  to\n\tmean and include the construction of Hirakund Dam and  other\n\tdams and reservoirs, Hydro Electric Projects and such  other\n\tschemes or property as the State Government may by a notifi-\n\tcation specify in this behalf.\tBy a notification dated 20th\n\tFebruary,  1954\t it  was stated that \"the  project  for\t the\n\testablishment  of  a steel plant and  allied  and  ancillary\n\tindustry in the block of villages round about Rourkela shall\n\tbe  included within the meaning of the expression  \"develop-\n\tment  of  industries\" as defined in cl. (c) of s. 2  of\t the\n\tAct.\n\t    By notification dated 22nd February, 1954 and 9th Febru-\n\tary, 1955 82 sq. miles of land was acquired for the  \"devel-\n\topment\tof industries, namely  establishment of steel  plant\n\tand allied and ancillary industries\".  The above land vested\n\tabsolutely  in\tthe State Government free  from\t all  encum-\n\tbrances\t on the dates of the above notifications.  The\twrit\n\tpetitions filed by some owners of some of the acquired lands\n\tchallenging  the validity of the acquisition were  dismissed\n\tin limine.\n\t    In\tappeal to this Court, the appellants  contended\t (a)\n\tthe  State Government was not competent to acquire the\tland\n\tin  question under the Act for the establishment of a  steel\n\tplant  as it cannot be said to be for the  purpose  of\t the\n\tdevelopment of industry; (b) the acquired land could only be\n\tused  for  the steel plant and ancillary industries and\t not\n\tfor a civil township; (c) the transfer of 3.21 acres of land\n\tby the Railway authorities long after 14 years of the acqui-\n\tsition\tto the Notified Area Committee for  construction  of\n\ttaxi-stand,  busroad etc. in and around the Railway  Station\n\tis bad.\n\tDismissing the appeals to this Court,\n\t    HELD:  (1)\tIn the face of the notification\t dated\t20th\n\tFebruary, 1954 and 2(c) of the Orissa Development .of Indus-\n\ttry,  Irrigation,  Agriculture,\t Capital  Construction\t and\n\tResettlement  of Displaced Persons (Land  Acquisition)\t Act\n\t1948, the establishment of steel plant and ancillary  indus-\n\ttries  at  Rourkela answers to the definition of development\n\tof industries as given in the Act.\n\t\t\t\t\t\t\t   [668 G-H]\n\t    Clause (c) of Section 2 confers wide powers on the State\n\tGovernment to notify any scheme or project as it may consid-\n\ter appropriate for the\tdevelopment of industries and  there\n\tis nothing in that clause that the scheme or project can  be\n\tthe  subject  matter of a notification must  be\t similar  to\n\tHirakund  Dam or other dams or reservoirs or hydro  electric\n\tprojects.  [669 A-B]\n\t    (2) The contention that the acquired land could only  be\n\tused  for the steel plant and ancillary industries  and\t not\n\tfor  the civil\ttownship  is  devoid  of force.\t A  township\n\tis  a necessary adjunct and concomitant\t of  a\t big   steel\n\tplant.\t The  establishment  of a  steel  plant\t necessarily\n\tpostulates the construc-\n\t667\n\ttion  of  residential  quarters for  the  workmen,  shopping\n\tareas,\tschools,  hospitals,  post-offices  etc.   The\tfact\n\ttherefore that part of the land which was acquired has\tbeen\n\tused  for civil township would not affect the  validity\t of\"\n\tthe acquisition of the land.  [669 C-D]\n\t    (3)\t There\tis  no principle of law by  which  a  valid,\n\tcompulsory  acquisition stands void because long  later\t the\n\trequiring authority diverts it\tto  a  public purpose  other\n\tthan  the  one stated in the declaration.   In\tthe  instant\n\tcase, the transfer of 3.21 acres of the land by the Railways\n\tis  to\tthe Notified Area Committee who is  the\t appropriate\n\tbody to construct and maintain the link roads, bus and\ttaxi\n\tstands\tand shop surrounding the Railway Station.  The\tland\n\tis   not being used for a purpose extraneous from  that\t for\n\twhich the land was initially acquired.\t[669 G-H. 670 A-B]\n\t    Gulam  Mustafa  & Ors. v. State of\tMaharashtra  &\tOrs.<\/a>\n\t[1976] I SCR 875 applied.\n\n\n\nJUDGMENT:\n<\/pre>\n
\t    CIVIL  APPELLATE JURISDICTION: Civil Appeals  Nos.\t1237
\n\tand 1238\/72.\n<\/p>\n
\t    From the Judgment and Order dated 8-11-71 of the  Orissa
\n\tHigh Court in O.J.C. Nos. 339 and 385 of 1968.
\n\tAND
\n\tCivil Appeal No. 1730 of 1973.\n<\/p>\n
\t    Appeal  by\tSpecial Leave from the\tJudgment  and  Order
\n\tdated  the 26th February, 1973 of the Orissa High  Court  in
\n\tO.J.C. No. 130 of 1973.\n<\/p>\n
\t    Gobind  Das, (Mrs.) S. Bhandare, M.S.   Narasimhan,\t  A.
\n\tK.  Mathur,  A.K. Sharma and (Miss) Malini Paduval  for\t the
\n\tAppellants in all the appeals.\n<\/p>\n
\t    D.P.  Singh and G.S. Chatterlee for Respondent No. 1  in
\n\tCAs. 1237-38\/72.\n<\/p>\n
\t    Santosh  Chatterjee and G.S. Chatterjee  for  Respondent
\n\tNo. 2 in C.As. 1237-38\/72.\n<\/p>\n
\tB. Parthasarthi for Respondents 1, 3, and 4 in CA 1730\/73.
\n\t    L.N.  Sinha,  Sol. Gen. of India and  Vinoo\t Bhagat\t for
\n\tRespondent 7 in CA 1730\/73.\n<\/p>\n
\t    Nemo for Respondents 2, 5, 6. in C.A. 1730\/73.
\n\tThe Judgment of the Court was delivered by
\n\t    KHANNA,  J.\t This judgment would dispose of three  civil
\n\tappeals Nos. 1237 and 1238 of 1972 and 1730 of 1973  against
\n\tthe  judgment of Orissa High Court.  The first\ttwo  appeals
\n\thave  been filed on certificate, while the third appeal\t has
\n\tbeen filed by special leave.\n<\/p>\n
\t    We may first deal with civil appeals 1237 and 1238.\t  On
\n\tFebruary  22, 1954 a notification was issued under  sub-sec-
\n\ttion  (1) of section 3 of the Orissa Development  of  Indus-
\n\ttries,\t Irrigation,  Agriculture, Capital Construction\t and
\n\tResettlement  of Displaced  Persons (Land Acquisition)\tAct,
\n\t1948 (Orissa Act XVIII of  1948)  (hereinafter
\n\t668<\/span>
\n\treferred to as the Act) by the Government of Orissa for\t the
\n\tacquisition of 78 square miles of land for the\t“development
\n\tof  industries,. namely, establishment of a steel plant\t and
\n\tallied and ancillary industries”.  The steel plant mentioned
\n\tin  the notification subsequently’ came to be known  as\t the
\n\tRourkela  steel plant.\tAnother notification! was issued  on
\n\tFebruary 9, 1955 for the acquisition of further\t four square
\n\tmiles  of land for the above purpose.  It may  be  mentioned
\n\tthat according to section 5 (1) of the Act, when a notice of
\n\tacquisition  is served or is published under section 4,\t the
\n\tland shall vest absolutely in the State Government free from
\n\tall  encumbrances on the date the’ notice is served or\tpub-
\n\tlished\tin the gazette.\t The appellants, who were owners  of
\n\tsome of the acquired lands, filed writ petitions before the’
\n\tHigh  Court  challenging the validity of  the\tacquisition.
\n\tThe  High Court dismissed both the petitions.
\n\t    In\tappeal\tbefore us, Mr. Gobind Das on behalf  of\t the
\n\tappellants has contended that the State Government  was\t not
\n\tcompetent  to acquire the land in question under the Act for
\n\tthe establishment of a steel plant.  Our attention is invit-
\n\ted  in this connection to sub-section (1 ) of section  3  of
\n\tthe  Act which provides inter alia that whenever it  appears
\n\tto  the ‘State Government that it is necessary or  expedient
\n\tto acquire speedily any land for the purpose of\t the  devel-
\n\topment\tof industry, a notification to that effect shall  be
\n\tpublished in the gazette stating the area and the boundaries
\n\tof  the land proposed to be acquired.  The argument  of\t Mr.
\n\tGobind\tDas  is\t that the acquisition of the  land  for\t the
\n\testablishment of a steel plant cannot be said to be for\t the
\n\tpurpose\t of  the  development of the industry.\t It  is\t not
\n\tdenied by the learned counsel that a steel plant constitutes
\n\tan industrial undertaking and that the object of  establish-
\n\ting  a steel plant is not different from the purpose of\t the
\n\tdevelopment  of the industry as ordinarily  understood.\t  It
\n\talso  cannot be disputed that Rourkela steel  plant  consti-
\n\ttutes  a big milestone in the industrial development of\t the
\n\tcountry.  The contention of Mr. Gobind Das, however, is that
\n\tthe words “development of industries” have a limited meaning
\n\tas defined in the Act and the establishment of a steel plant
\n\tcannot\tbe considered to be for development  of\t industries.
\n\tThe definition of “development of industries” has been given
\n\tin  section 2(c) of the Act.  According to  the\t definition,
\n\tdevelopment  of industries means and includes the  construc-
\n\ttion  of  the  Hirakud Dam and other  dams  and\t reservoirs,
\n\tHydro-Electric\tProjects and such other schemes or  projects
\n\tas  the\t State Government may by notification from  time  to
\n\ttime,  specify in this\tbehalf.\t We  have already  mentioned
\n\tabove  that  the first notification for the  acquisition  of
\n\tland was issued on February 22, 1954.  Two days before\tthat
\n\tnotification,  on February 20. 1954 the Governor  of  Orissa
\n\tissued a notification in pursuance of clause (c) of  section
\n\t2 of the Act.  In that notification, it was stated that\t the
\n\tproject\t for the establishment of a steel plant\t and  allied
\n\tand  ancillary\tindustries in the block\t of  villages  round
\n\tabout  Rourkela.  shall be included within the\tmeaning\t  of
\n\tthe  expression “development of industries”, as\t defined  in
\n\tclause\t(c)  of section 2 of the Act.\tIn the face of\tthis
\n\tnotification,  we are of the opinion that the  establishment
\n\tof  the\t steel plant and ancillary  industries\tat  Rourkela
\n\tshould\tbe held to answer to the definition of\t“development
\n\tof industries”, as given in the Act.  We are unable to subs-\n<\/p>\n
\t669<\/span><\/p>\n
\tcribe  to the submission of Mr. Gobind Das that the  schemes
\n\tand projects which could be the subject-matter of a  notifi-
\n\tcation\tunder  section 2(c) must be such as are\t similar  to
\n\tHirakud Dam or other HydroElectric projects.  Clause (c)  of
\n\tsection\t 2  confers wide powers on the State  Government  to
\n\tnotify any scheme or project as it may consider\t appropriate
\n\tfor  the  development of industries and we find\t nothing  in
\n\tthat  clause  that the scheme or project which\tcan  be\t the
\n\tsubject\t matter\t of a notification must be  one\t similar  to
\n\tHirakud\t Dam or other dams or reservoirs  or  hydro-electric
\n\tprojects.\n<\/p>\n
\t    It\tis  then argued by Mr. Gobind Das that part  of\t the
\n\tlands which were acquired for the purpose of-steel plant and
\n\tancillary industries are being used as a civil township.  It
\n\tis  contended that the acquired land could only be used\t for
\n\tthe steel plant and ancillary industries and not for a civil
\n\ttownship.   This contention is equally devoid of force.\t The
\n\testablishment  of a steel plant necessarily  postulates\t the
\n\tconstruction  of residential quarters for the workmen to  be
\n\temployed  in  the’ plant.  In addition to that, lands  would
\n\tbe  needed for shopping areas, for schools for the  children
\n\tof  the employees, for\tplay-grounds, for hospitals and\t for
\n\tresidential quarters of persons opening their  shops  cater-
\n\ting  to\t the needs of the employees of\tthe   steel   plant.
\n\tLands would likewise be need for post offices, banks, clubs,
\n\tparks, cinemas, roads, police stations as also for cremation
\n\tand  burial of\tthe  dead. Land would also be needed  for  a
\n\tvariety\t of other purposes and civic amenities.\t A  township
\n\tis a necessary adjunct and concomitant of a big steel plant.
\n\tThe  fact,  therefore, that part of the land which  was\t ac-
\n\tquired\thas been used for civil township would not,  in\t our
\n\topinion, affect the validity of the acquisition of the land.
\n\t    In\tcivil appeal 1237 of 1972, Mr. Gobind Das  has\talso
\n\tadvanced  an  argument that possession of the land  was\t not
\n\ttaken from the appellant.  We, however, find that the  judg-
\n\tment  of  the High Court shows that no such  contention\t was
\n\tadvanced before the High Court when the writ petition giving
\n\trise  to this appeal was argued.  In the  circumstances,  we
\n\tare  not  inclined  to permit the appellant  to\t raise\tthis
\n\tcontention for the first time in appeal before us.
\n\t  Civil\t appeal\t 1730  of  1973 arises out of writ petition
\n\tto  challenge  the  validity of\t a notification dated  march
\n\t19,  1958  under  section ‘4  of  the Land  Acquisition\t Act
\n\tfor the acquisition of 31.06 acres of land for expansion  of
\n\trail  facilities  to serve the steel plant at  Rourkela.   A
\n\twrit  petition to challenge  this notification was filed  on
\n\tFebruary 3, 1973.  The contention  which was advanced before
\n\tthe  High Court and has been repeated before us with a\tview
\n\tto challenge the validity of the acquisition of this land is
\n\tthat  fourteen years after the acquisition of the land,\t the
\n\trailway\t authorities  for whom the land\t was  acquired\thave
\n\ttransferred 3.21 acres of land to the Notified Area  Commit-
\n\ttee,  Rourkela.\t The  above  submission, in our opinion,  is
\n\twithout\t merit.\t According to the affidavit filed on  behalf
\n\tof the respondents, the above mentioned area is sought to be
\n\ttransferred  to\t the  Notified Area  Committee\tbecause\t the
\n\tNotified Area Committee is the appropriate body to construct
\n\tand maintain the
\n\t670<\/span>
\n\tlink  road, bus and taxi stands and shops  surrounding\t the
\n\trailway\t station.  The averments contained in the  affidavit
\n\tthus  go to show that 3.21 acres of land is not\t being\tused
\n\tfor  a purpose extraneous from that for which the  land\t was
\n\tinitially  acquired.   Apart from that, we  find  that\tthis
\n\tCourt has recently held in the case of Gulam Mustafa &\tOrs.
\n\tv. State of Maharashtra & Ors.<\/a> (1) that there is no  princi-
\n\tple  of law by which a valid, compulsory acquisition  stands
\n\tvoided because long later the requiring authority diverts it
\n\tto a public purpose other than\tthe one stated in the decla-
\n\tration.\n<\/p>\n
\t    All\t the  three appeals consequently fail and  are\tdis-
\n\tmissed but in the circumstances without costs.
\n\tAppeals dismissed.\n<\/p>\n
\t671<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"
Supreme Court of India Mangal Oram & Ors vs State Of Orissa & Anr on 20 January, 1977 Equivalent citations: 1977 AIR 1456, 1977 SCR (2) 666 Author: H R Khanna Bench: Khanna, Hans Raj PETITIONER: MANGAL ORAM & ORS. Vs. RESPONDENT: STATE OF ORISSA & ANR. DATE OF JUDGMENT20\/01\/1977 BENCH: KHANNA, HANS RAJ BENCH: […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-127164","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"\nMangal Oram & Ors vs State Of Orissa & Anr on 20 January, 1977 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/mangal-oram-ors-vs-state-of-orissa-anr-on-20-january-1977\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Mangal Oram & Ors vs State Of Orissa & Anr on 20 January, 1977 - 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