GODREJ & BOYCE MFG. CO. LTD. & ANR. v. THE STATE OF MAHARASHTRA & ORS.

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Court
Supreme Court of India
Decided
(year only)
Bench
R.M. LODHA, MADAN B. LOKUR and KURIAN JOSEPH
Citation
[2014] 2 S.C.R. 203
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Judgment · Supreme Court of India · decided (year only) · Bench: R.M. LODHA, MADAN B. LOKUR and KURIAN JOSEPH

[2014] 2 S.C.R. 203

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Headnote — Supreme Court Reports (editorial summary, not part of the judgment)

Catchwords

MAHARASHTRA PRIVATE FORESTS ACQUISITION. ACT, 1975: s.2(f)(iii) - Service of notice - Word "issued" in s.2(f)(iii) of the Act, 1975 rlw s.35 of the Forest Act, 1927 - Interpretation of -

Held

It must be given a broad meaning in the surrounding context in which it is used - The scheme of s.35 of the Forest Act needs to be kept in mind while considering ''issued" in s.2(f)(iii) of the Private Forests Act - F A notice uls.35(3) ofthe Forest Act is intended to give an opportunity to the owner of a forest to show cause why, inter alia, a regulatory or a prohibitory measure be not made in respect of that forest - Such a notice pre-supposes the existence of a forest - The owner of the forest is expected to file objections within a reasonable time as specified in the notice and is also given an opportunity to lead evidence in support of the objections - After these basic requirements are met, the owner of the forest is entitled to a hearing on the objections - This entire procedure obviously cannot be followed by the State and the owner of the forest unless the

Catchwords

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 205 MAHARASHTRA & ORS. owner is served with the notice - s. 2(f)(iii) of the Private Forests A Act is not intended to apply to notices that had passed their shelf-life and that only 'pipeline notices' issued in reasonably close proximity to the coming into force of the Private Forests Act are 'live' and could be acted upon. B INTERPRETATION OF STATUTES: Literal interpretation or contextual interpretation -

Held

Words in a statute must be interpreted literally - But at the same time if the context in which a word is used and the provisions of a· statute inexorably suggest a subtext other than literal, then the context becomes important - It is true that ordinary rule of .construction is to assign the word a meaning which it ordinarily carries - But the subject of legislation and the context in which a word or expression is employed may require a departure from the rule of literal construction. D The disputed land was given on perpetual lease in 1835 to FCB. In 1948, Godrej (Petitioner-G) acquired the said land from NP successor in interest of FCB. The land was described in the perpetual lease as "waste land". On -27.8.1951, Salsette Estates (land Revenue Exemption E Abolition) Act, 1951 was passed which provided that waste land not appropriated for cultivation vested in the State. The State claimed that disputed land was not brought under cultivation before 14.8.1951 and, therefore, vested in it. Aggrieved, Petitioner-G filed suit. A consent decree was passed on 8.1.1962 to the effect that disputed land was appropriated and brought under cultivation before 14.8.1951 and was property of Petitioner-G. This confirmed that the disputed land was waste land and not forest. G In development plans of 1967 and 1971, the disputed land was shown as residential and was built upon after municipal sanctions. In 1976, Petitioner-G obtained sanction under Urban Land (Ceiling and Regulation) Act, 1976 for housing and then built multistoried houses. In

Held

1. The narrative of the events disclosed that Notice No. WT/53 after its publication in the Gazette was not acted upon either under the provisions llf the Forest

Reporter's headnote (continued) and case details

p. 203

(Civil Appeal No. 1102 of 2014) JANUARY 30, 2014 B

FOREST ACT, 1927: c s.35(3) - Mere issuance of a notice uls.35(3) is not sufficient for any/and being .,declared a "private forest" within the meaning of that expression as defined in s.2(f)(iii) of the Maharashtra Private Forests (Acquisition) Act, 1975 - s.35(3) is not intended to end the process with the mere issuance of 0 a notice but it also requires service of a notice on the owner of the forest - The need for ensuring service is also to prevent damage to or destruction of a forest - In the absence of any fime period having been specified for deciding a show cause notice issued u/s.35, it must be presumed that it must be ·decided within a reasonable time - In the instant case, notice issued u/s.35(3) after its publication in the Gazette was not acted upon either under the provisions of the Forest Act as amended from time to time or under the Private Forests Act - Admittedly, no attempt was made by the State to take over possession of the disputed land at any point of time - On the contrary, permissions were granted from time to time for construction of buildings on the disputed land - Under the circumstances, it cannot be said that any of these disputed lands were 'forest' within the primary meaning of that word, or even within the extended meaning given in s.2(c-i) of the G Private Forests Act - Maharashtra Private Forests Acquisition Act, 1975 - s.2(c-i), 2(f)(iii).

s.35(3) - Service of notice - Notice was issued to the 203 H

204 SUPREME COURT REPORTS [2014) 2 S.y.R.

A appellant in 1957 but no decision was taken thereon ti/11975, that is, for about 18 years - This is an unusually long period and undoubtedly much more than a reasonable time had elapsed for enabling the State to take a decision on the notice - Therefore, the said notice must, for all intents and purposes B be treated as having become a dead letter - The said notice cannot be described as a 'pipeline notice' since it cannot be reasonably said that the pipeline extends from 1956-57 up to 1975 - No citizen can reasonably be told after almost half a century that he/she was issued a show cause notice (which c was not serv,ed also) and based on the said notice his land was declared a private forest about three decades ago and that it vests in the State - State cannot be allowed to demolish the massive constructions made thereon over the last half a century - Basic principles of good governance must be followed by every member of the Executive branch of the 0 State at all times keeping the interests of all citizens in mind as also the larger public interest.

p. 206

A 1948, the Government amended Forest Act, 1927 taking out waste land from definition and made inclusive definition of forest. More amendments were made in 1955 and 1961.

In 2006, Petitioner-G received six stop work notices 8 on the ground that the disputed land was "affected" by the reservation of a private forest and therefore no construction could be carried out therein without the permission of the Government under the Forest C (Conservation) Act, 1980. Petitioner-G learnt that as per mutation records, the disputed land vested in the State and there was a notice no.WT/53 published in the Gazette on 6.9.1956. Petitioner-G filed writ petitions. The High Court dismissed the writ petitions.

D The questions which arose for consideration in the instant appeals were whether the disputed land was at all a forest within the meaning of section 2(c-i) of the Private Forests Act; whether mere issuance of a notice under the provisions of Section 35(3) of the Indian Forest E Act, 1927 was sufficient for any land being declared a "private forest" within the meaning of that expression as defined in Section 2(f)(iii) of the Maharashtra Private Forests (Acquisition) Act, 1975; whether the word "issued" in Section 2(f) (iii) of the Maharashtra Private F Forests Acquisition Act, 1975 read with Section 35 of the Indian Forest Act, 1927 must be given a literal interpretation or a broad meaning; and even assuming the disputed lands were forest lands, can the State be allowed to demolish the massive constructions made thereon over the last half a century. Allowing the appeals, the Court

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 207 MAHARASHTRA & ORS. Act as amended from time to time or under the Private A Forests Act. Admittedly, no attempt was made by the State to take over possession of the disputed land at any point of time. On the contrary, permissions were granted to Petitioner-G from time to time for construction of buildings on the disputed land, which permissions were B availed of by Petitioner-G for the benefit of thousands of its employees. [para 23] (234-E-F; 235-A]

2. The constitutional validity of the Private Forests Act (including Section 3 thereof) was challenged in the C High Court by *Waghmare on the ground of legislative competence of the State Legislature. The High Court held that a land owner who had been issued a notice under Section 35(3) of the Forest Act (but was not heard) has an opportunity to contend that his or her land is not a 'forest' within the meaning of Section 2(c-i) of the Private D Forests Act and that the land does not vest automatically in the State by virtue of Section 3 of the Private Forests Act. This position was not contested and became final. The view of the High Court was accepted by the State of Maharashtra and was not challenged and attained finality. E . [Paras 24, 25, 27] (235-B, E-F; 237-C]

3. The right to file objections to a notice under Section 35(3) of the Forest Act came up for consideration in **Chintamani in which it was noticed that where a final notification is issued under Section 35(1) of the Forest Act (obviously after hearing the objections of the land owner in compliance with the requirements of Section 35(3) thereof), the entire land of the land owner would automatically vest in the State on the appointed date, that is, 30th August 1975 when the Private Forests Act came into force. In such a case, the land owner would, ex hypothesi have an opportunity of showing in the objections to the notice under Section 35(3) that the land is not a 'forest' as defined under Section 34A of the Forest H

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A Act. If the land owner succeeded in so showing, then clearly a final notification under Section 35(1) of the Forest Act could not be issued. But if the land owner did not succeed in so showing, only then could a final notification under Section 35(1) of the Forest Act be issued. The words "or land" under Section 35(3) of the Forest Act had been deleted by the Indian Forest (Bombay Amendment) Act, 1948 and, additionally therefore, such an objection could validly have been raised. Consequently, the situation that presented itself in **Chintamani was that though a notice was issued to the land owner under Section 35(3) of the Forest Act before 30th August 1975, it could not be decided before that date when the Private Forests Act came into force. (Such a notice was referred to as a 'pipeline notice'). Clearly, the recipient of a pipeline notice would be entitled · 0 to the benefit of *Waghmare but apparently have been overlooked by this Court in **Chintamani. However, to mitigate the hardship to a pipeline noticee who is not given the benefit of *Waghmare this Court read Section 2(f)(iii) of the Private Forests Act and observed (perhaps · E as a sop to the land owner) that the "Maharashtra Legislature thought that the entire property covered by the notice in the State need not vest but it excluded 2 hectares out of the forest land held by the landholder. That was the consideration for not allowing the benefit F of an inquiry under Section 35(3) and for not allowing the notification to be issued under Section 35(1) of the 1927 Act". In this background, this Court narrowly construed the words "a notice has been issued under sub-section (3) of section 35 of the Forest Act" occurring in Section G 2(f)(iii) of the Private Forests Act as not requiring "service of such notice before 30-8-1975, nor for an inquiry nor for a notification under Section 35(1 )." In a sense, therefore, not only is there a difference of views between *Waghmare and **Chintamani but **Chintamani has gone H much further in taking away the right of a landholder. It

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 209 MAHARASHTRA & ORS.

is quite clear from a reading of *Waghmare that the A "means and includes" definition of forest in Section 2(c-i) of the Private Forests Act does not detract or take away from the primary meaning of the word 'forest'. [Paras 30-33, 47] [238-B-H; 239-A-D; 246-H; 247-A] B **Chintamani Gajanan Velkar v. State of Maharashtra (2000) 3 sec 143 - Partly overruled .

. Banarsi Debi v. /TO (1964) 7 SCR 539; CWT v. Kundan Lal Behari Lal (1975) 4 SCC 844: 1976 AIR 1150; *Janu Chandra Waghmare v. State of Maharashtra AIR 1978 C Bombay 119 - referred to.

4. In the case of Petitioner-G, the admitted position, as per the consent decree dated 8th January 1962 was that the disputed land was not a waste land nor was it a forest. In so o far as the other appeals were concerned, the disputed lands were built upon, from time to time, either for industrial purposes or for commercial purposes or for residential purposes. Under the circumstances, by no stretch of imagination can it be said that any of these disputed lands E are 'forest' within the primary meaning of that word, or even within the extended meaning given in Section 2(c-i) of the Private Forests Act. [para 51] [248-B-0]

5. The notice said to have been issued to Petitioner- G being Notice No. WT/53 cannot be described as a F 'pipeline notice'. It cannot be reasonably said that the pipeline extends from 1956-57 up to 1975. Assuming that a notice issued in 1956-57 is a pipeline notice even in 1975, the question would, nevertheless, relate to the meaning and impact of "issued" of Section 2(f)(iii) of the G Private Forests Act read with Section 35 of the Forest Act. Undoubtedly, the first rule of interpretation is that the· words in a statute must be interpreted literally. But at the same time if the context in which a word is used and the provisions of a statute inexorably suggest a subtext other H

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A than literal, then the context becomes important. It is true that ordinary rule of construction is to assign the word a meaning which it ordinarily carries. But the subject of legislation and the context in which a word or expression is employed may require a departure from the rule of B literal construction. The scheme of Section 35 of the Forest Act needs to be kept in mind while considering "issued" in Section 2(f)(iii) of the Private Forests Act. A notice under Section 35(3) of the Forest Act is intended to give an opportunity to the owner of a forest to show c cause why, inter alia, a regulatory or a prohibitory measure be not made in respect of that forest. Such a notice pre-supposes the existence of a forest. The owner of the forest is expected to file objections within a reasonable time as specified in the notice and is also given an opportunity to lead evidence in support of the 0 objections. After these basic requirements are met, the owner of the forest is entitled to a hearing on the objections. This entire procedure obviously cannot be followed by the State and the owner of the forest unless the owner is served with the notice. Therefore, service of E a notice issued under Section 35(3) of the Forest Act is inherent in the very language used in the provision and the very purpose of the provision. [paras 52-56] [248-D- H; 249-E-F; 250-A-D]

F 6. Additionally, Section 35(4) of the Forest Act provides that a notice under Section 35(3) of the Forest Act may provide that for a period not exceeding six months (extended to one year in 1961) the owner of the forest can be obliged to adhere to one or more of the regulatory or prohibitory measures mentioned in Section 35(1) of the Forest Act. On the failure of the owner of the forest to abide by the said measures, he/she is liable to imprisonment for a term upto six months and/or a fine under Section 35(7) of the Forest Act. Surely, given the penal consequence of non-adherence to a Section 35(4)

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 211 MAHARASHTRA & ORS. ·direction in a Section 35(3) notice, service of such a A notice must be interpreted to be mandatory. On the facts .of the case in Petitioner-G, such a direction was in fact ;'.given and Petitioner-G was directed, for a period of six :months, to refrain from the cutting and removal of trees ;and timber and the firing and clearing of vegetation. B '.Strictly speaking, therefore, despite not being served with Notice No. WT/53 and despite having no knowledge of it, .Petitioner-G was liable to be punished under Section ,35(7) of the Forest Act if it cut or removed any tree or :timber or fired or cleared any vegetation. [para 57] [250- C D-H; 251-A]

Jagir Singh v. State of Bihar (1976) 2 SCC 942: 1976. (2) SCR 809; Black Diamond Beverages v. Commercial Tax Officer (1998) 1 SCC 458 1997 ( 4) Suppl. SCR 133; R.L Arora v. State of U.P. (1964) 6 SCR 784; Tata Engg. & D Locomotive Co. Ltd. v. State of Bihar (2000) 5 SCC 346 2000 (3) SCR 219; Joginder Pal v. Naval Kishore Behal (2002) 5 SCC 397 2002 (3) SCR 1078 - relied on.

Robinson v. Barton-Eccles Local Board (1883) 8 AC 798 E - referred to.

7. This interplay may be looked at from another point of view, namely, the need to issue a direction under Section 35(4) of the Forest Act, which can be only to prevent damage to or destruction of a forest. If the notice under Section 35(3) of the Forest Act is not served on the owner of the forest, he/she may continue to damage the forest defeating the very purpose of the Forest Act. Such an interpretation cannot be given to Section 35 of the Forest Act nor can a limited interpretation be given to the word "issued" used in the context of Section 35 of the Forest Act in Section 2(f)(iii) of the Private Forests Act. Finally, Section 35(5) of the Forest Act mandates not only service of a notice issued under that provision "in the manner provided in the Code of Civil Procedure, 1908, for H

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A the service of summons" but also its publication "in the manner prescribed by rules". This double pronged receipt and confirmation of knowledge of the show cause notice by the owner of a forest makes it clear that Section 35(3) of the Forest Act is not intended to end the 8 process with the mere issuance of a notice but it also requires service of a notice on the owner of the forest. The need for ensuring service is clearly to protect the interests of the owner of the forest who may have valid reasons not only to object to the issuance of regulatory C or prohibitory directions, but to also enable him/her to raise a jurisdictional issue that the land in question is actually not a forest. The need for ensuring service is also to prevent damage to or destruction of a forest. Unfortunately, Chintamani missed these finer details because it was perhaps not brought to the notice of this D Court that Section 35 of the Forest Act as applicable to the State of Maharashtra had sub-sections beyond sub- section (3). [paras 58, 59, 60] (251-A-G]

8. It is true that a word has to be construed in the E context in which it is used in a statute. By making a reference in Section 2(f)(iii) of the Private Forests Act to 'issue' in Section 35 of the Forest Act, it is clear that the word is dressed in borrowed robes. Once that is appreciated (and it was unfortunately overlooked in F Chintamani) then it is quite clear that 'issued' in Section 2(f)(iii) of the Private Forests Act must include service of the show cause notice as postulated in Section 35 of the Forest Act. Under these circumstances, to this extent, Chintamani was incorrectly decided and it is overruled to this extent. Assuming that the word 'issued' as occurring in Section 2(f)(iii) of the Private Forests Act must be literally and strictly construed, the question would arise whether it also has reference to a show cause notice issued under Section 35(3) of the Forest Act at any given time (say in 1927 or in 1957) or would it be more

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 213 MAHARASHTRA & ORS.

reasonable to hold that it has reference to a show cause notice issued in somewhat closer proximity to the coming into force of the Private Forests Act, or a 'pipeline notice'. In the absence of any time period having been specified for deciding a show cause notice issued under Section 35 of the Forest Act, it must be presumed that it must be decided within a reasonable time. According to the State, a show cause notice was issued to Petitioner- G in 1957 (and assuming it was served) but no decision was taken thereon till 1975 that is for about 18 years. This is an unusually long period and undoubtedly much more than a reasonable time had elapsed for enabling the State to take a decision on the show cause notice. Therefore, the show cause notice must, for all intents and purposes be treated as having become a dead letter and the seed planted by the State yielded nothing. [paras 61, 65, 67] o [252-B-G; 253-A-C; 254-A-C]

Ram/ila Maidan Incident, In re (2012) 5 SCC 1 2012 (4) SCR 971; Mansaram v. S.P. Pathak (1984) 1 SCC 125 1984 (1) SCR 139 - relied on. E

9. The entire problem may also be looked at from the perspective of the citizen rather than only from the perspective of the State. No citizen can reasonably be told after almost half a century that he/she was issued a show cause notice (which was probably not served) and based on the show cause notice his/her land was declared a private forest about three decades ago and that it vests in the State. Basic principles of good governance must be followed by every member of the Executive branch of the State at all times keeping the interests of all citizens in mind as also the larger public interest. The failure of the State to take any decision on the show cause notice for several decades (assuming it was served on Petitioner-G) is indicative of its desire to not act on it. This opinion was fortified by a series of events that took place between 1957 and 2006, beginning with the consent H

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A decree of 8th January 1962 in Suit whereby the disputed land was recognized as not being forest land; permission to construct a large number of buildings (both residential and otherwise) as per the Development Plans of 1967 and then of 1991; exemptions granted by the Competent 8 Authority under the Urban Land (Ceiling and Regulation) Act, 1976 leading to petitioner-G making unhindered but permissible constructions; and finally, the absence of any attempt by the State to take possession of the 'forest land' under Section 5 of the Private Forests Act for a couple of decades. The subsequent event of the State C moving an application in Godavarman virtually denying the existence of a private forest on the disputed land also indicated that the State had come to terms with reality and was grudgingly prepared to accept that, even if the law permitted, it was now too late to remedy the situation. D This view was emphatically reiterated by the Central Empowered Committee in its report dated 13th July 2009. [Paras 67, 68] [254-C-H; 255-A-C]

10. The Bombay Environment Action Group has alleged collusion between petitioner-G and other appellants and the State of Maharashtra to defeat the purpose of the Private Forests Act. It is difficult at this distant point of time to conclude, one way or the other, whether there was or was not any collusion (as alleged) or whether it was simply a case of poor governance by the State. The fact would remain that possession of the disputed land was not taken over or attempted to be taken over for decades and the issue was never raised when it should have been. To raise it now after a lapse of so many decades is unfair to Petitioner-G, the other appellants, the institutions, the State and the residents of the tenements that have been constructed in the meanwhile. [Paras 69, 70] [255-C-D, G-H; 256-A-B]

11. Section 2(f)(iii) of the Private Forests Aft is not intended to apply to notices that had passed their shelf-life and that only 'pipeline notices' issued in reasonably close

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 215 MAHARASHTRA & ORS. proximity to the coming into force of the Private Forests A Act were 'live' and could be acted upon. The fact that the Private Forests Act repealed some sections of the Forest Act, particularly Sections 34A and 35 thereof is also significant. Section 2(f)(iii) of the Private Forests Act is in a sense a saving clause for pipeline notices issued under B Section 35(3) of the Forest Act but which could not, for want of adequate time be either withdrawn or culminate in the issuance of a regulatory or prohibitory final notification under Section 35(1) of the Forest Act, depending on the objections raised by the land owner. Looked at from any c point of view, it does seem clear that Section 2(f)(iii) of the Private Forests Act was intended to apply to 'live' and not stale notices issued under Section 35(3) of the Forest Act. [Paras 71, 73] [256-C, F-G; 257-A-B]

12. The next question is whether at all the unstated D decision of the State to take over the so-called forest land can be successfully implemented. What the decision implies is the demolition, amongst others, of a large number of residential buildings, industrial buildings, commercial buildings, Bhabha Atomic Energy Complex E and the Employees State Insurance Scheme Hospital and compulsorily rendering homeless thousands of families, some of whom may have invested considerable savings in the disputed lands. What it also implies is demolition of the municipal and other public infrastructure works already undertaken and in use, clearing away the rubble and then planting trees and shrubs to 'restore' the 'forest' to an acceptable condition. No party should be allowed to take the benefit or advantage of their own wrong and a patent illegality cannot be cured. An unauthorized construction, unless compoundable in law, must be razed. In question are the circumstances leading to the application of the principle and the practical application of the principle. More often than not, the municipal authorities and builders conspiratorially join hands in H

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A violating the law but the victim is an innocent purchaser or investor who pays for the maladministration. In such a case, how is the victim to be compensated or is he or she expected to be the only loser? If the victim is to be compensated, who will do so? These issues have not B been discussed in the decisions cited by the Bombay Environment Action Group. The application of the principle laid down by this Court, therefore, depends on the independent facts found in a case. The remedy of demolition cannot be applied per se with a broad brush c to all cases. The State also seems to have realized this and that is perhaps the reason why it moved the application that it did in Godavarman. [paras 74, 75, 80) [257-C-H; 258-A-B; 259-C-D)

Hindustan Petroleum Corpn. Ltd. v. Darius Shapur D Chenai (2005) 7 SCC 627; State of M.P. v. Vishnu Prasad Sharma (1966) 3 SCR 557; Khub Chand v. State of Rajasthan (1967) 1 SCR 120 - relied on.

K. Ramadas Shenoy v. Chief Officer (1974) 2 SCC 506; E M.I. Builders v. Radhey Shyam Sahu (1996) 6 SCC 464; Pleasant Stay Hotel v. Palani Hills Conservation_ Council (1995) 6 SCC 127; Pratibha Coop. Housing Society Ltd. v. State of Maharashtra (1991) 3 SCC 341; Santoshkumar Shivgonda Patil v. Balasaheb Tukaram Shevale (2009) 9 F SCC 352 2009 AIR 2471; CIT v. Bababhai Pitamberdas (HUF) 1993 Supp (3) SCC 530 - referred to.

13. Looking at the issue from point of view of the citizen and not only from the point of view of the State or a well meaning pressure group, it does appear that G even though the basic principle is that the buyer should beware and therefore if the appellants and purchasers of tenements or commercial establishments from the appellants ought to bear the consequences of unauthorized construction, the well-settled principle of· H

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 217 MAHARASHTRA & ORS. caveat emptor would be applicable in normal circumstances and not in extraordinary circumstances as these appeals present, when a citizen is effectively led up the garden path for several decades by the State itself. The instant appeals do not relate to a stray or a few instances of unauthorized constructions and, therefore, fall in a class of their own. In a case such as the present, if a citizen cannot trust the State which has given statutory permissions and provided municipal facilities, whom should he or she trust? Assuming the disputed land was a private forest, the State remained completely c inactive when construction was going on over acres and acres of land and .of a very large number of buildings thereon and for a few decades. The State permitted the construction through the development plans and by granting exemption under the Urban Land (Ceiling and 0 Regulation) Act, 1976 and providing necessary infrastructure such as roads and sanitation on the disputed land and the surrounding area. When such a large scale activity involving the State is being carried on over vast stretches of land exceeding a hundred acres, it is natural for a reasonable citizen to assume that whatever actions are being taken are in accordance with law otherwise the State would certainly step in to prevent such a massive and prolonged breach of the law. The silence of the State in all the appeals led the appellants and a large number of citizens to believe that there was no patent illegality in the constructions on the disputed land nor was there any legal risk in investing on the disputed land. Under these circumstances, for the State or the Bombay Environment Action Group to contend that only the citizen must bear the consequences of the unauthorized construction may not be appropriate. It is the complete inaction of the State, rather its active consent that has resulted in several citizens being placed in a precarious position where they are now told that their investment is actually in unauthorized constructions H

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A which are liable to be demolished any time even after several decades. There is no reason why these citizens should be the only victims of such a fate and the State be held not responsible for this state of affairs; nor is there any reason why under such circumstances this B Court should not come to the aid of victims of the culpable failure of the State to implement and enforce the law for several decades. In none of these cases is there an allegation that the State has acted arbitrarily or irrationally so as to voluntarily benefit any of the c appellants. On the contrary, the facts show that the appellants followed the due legal process in making the constructions that they did and all that can be said of the State is that its Rip Van Winkleism enabled the appellants to obtain valid permissions from various authorities, from 0 time to time, to make constructions over a long duration. The appellants and individual citizens cannot be faulted or punished for that. These appeals raised larger issues of good administration and governance and the State has, regrettably, come out in poor light in this regard. E [paras 81 to 84) [259-E-H; 260-A-H; 261-A-B] Case Law Reference: AIR 1978 Bombay 119 Referred to Para 24 (2000) 3 sec 143 Partly overruled Para 29 F 1976 (2) SCR 809 Referred to Para 48 1997 (4) Suppl. SCR 133 Referred to Para 49 (1883) 8 AC 798 Referred to Para 50 G (1964) 6 SCR 784 Relied on Para 54 2000 (3) SCR 219 Relied on Para 54 2002 (3) SCR 1078 Relied on Para 54

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 219 MAHARASHTRA & ORS. 1993 supp (3) sec 530 Referred to Para 61 A (1964) 7 SCR 539 Referred to Para 61 1976 AIR 1150 Referred to Para 61 2012 (4) SCR 971 Relied on Para 64 B 1984 (1) SCR 139 Relied on Para 65 2009 AIR 2471 Referred to Para 65 (2005) 1 sec 627 Relied on Para 72 c (1966) 3 SCR 557 Relied on Para 72 (1967) f SCR 120 Relied on Para 72 (1974) 2 sec 506 Referred to Para 74 (1996) 6 sec 464 Referred to Para 74 D

(1995) 6 sec 121 Referred to Para 74 (1991) 3 sec 341 Referred to Para 74 CIVIL APPELLATE JURISDICTION : Civil Appeal No. E 1102 of 2014.

From the Judgment and order dated 24.03.2008 of the High Gout of Bombay in WP No. 2196 of 2006. .WITH F Civil Appeal No. 1103 of 2014.

Civil Appeal No. 1104 of 2014.

Civil Appeal No. 1105 of 2014. G Civil Appeal No. 1106 of 2014.

Civil Appeal No. 1107 of 2014.

Civil Appeal No. 1108 of 2014. H

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A Civil Appeal No. 1109 of 2014.

Civil Appeal No. 1110 of 2014.

Civil Appeal No. 1111 of 2014.

B Civil Appeal No. 1112 of 2014.

Civil Appeal No. 1113 of 2014.

Civil Appeal No. 1114 of 2014.

c Civil Appeal No. 1115 of 2014.

Civil Appeal No. 1116 of 2014.

Civil Appeal No. 1117 of 2014.

D Civil Appeal No. 1118 of 2014.

Civil Appeal No. 1119 of 2014.

Civil Appeal No. 1120 of 2014.

E SLP (C) No. 34691/2011. Paras Kuhad, ASG, F.S. Nariman, R.F. Nariman, Dr. Rajeev Dhawan, Meenakshi Arora, Dr. AM. Singhvi, Pravin Samdani, Ashok K. Gupta, C.U. Singh, Upmanyu Hazarika, F Shekhar Naphade, Atul Y. Chitale, J.P. Cama, Basava P. Patil, Madhvi Diwan. Ajay Bhargava, Vanita Bhargava, Karun Mehta, Priyambada Mishra (for Khaitan & Co.). Shailesh C. Mahimtura, Jatin Zaveri, Amit Mehta, Neel Kamal Mishra, Joseph Pookkatt, Girija Balakrishnan, Prashant Kr., Manjula Srinivasan (for AP&J Chambers), Saurabh Sinha, Joseph G Pookkatt (for AP & J Chambers), P.K. Manohar, Pallavi Gupta, Amit Bhandari, Kalyanai Shukla, Satyendra Kumar, Sunil Fernandes, Shishir Deshpande, Amit Yadav, Devansh A. Mohta, Sujata Kurdukar, Gaurav Goel, Mahesh Agarwal, Rishi Agrawala, E.C. Agrawala, Hetu Arora Sethi, Darpan K.M., H

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 221 MAHARASHTRA & ORS.

Manish Kumar, Amit Kumar, Rakesh K. Sharma, Amol A Nirmalkumar Suryawanshi, Arun R. Padneker, Sanjay V. Kharde, A.P. Mayee, Shubhangi Tuli (for Asha G. Nair), Mohan Prasad Gupta, S.K. Bajwa, Jitin Chaturvedi, S.N. Terdal, Sanyukta Mukherjee, Jayati Chitale, Suchitra A. Chitale, Vijay K. Verma, Tarun Verma, M.N.S. Rao, Bhardwaj S. Iyengar, B Shailesh Madiyal, Shishir Deshpande, Amit Yadav (for Sujata Kurdukar), D. Bharat Kumar, Sanooja M., Abhijit Sengupta, Vinay Navare, Satyajeet Kumar, Abha R. Sharma, Shilpa Singh, A. Venayagam Balan, Vikas Mehta, Shivaji M. Jadhav, Mahesh Aggarwal (for E.G. Agrawala), Sharmila Upadhyay, D.N. c Goburdhan, Prashant Kumar, Anurag Sharma (for AP & J Chambers) for the appearing parties.

Judgment

The Judgment of the Court was delivered by

MADAN B. LOKUR, J. 1. Leave granted. D

22. The principal question for consideration is whether the mere issuance of a notice under the provisions of Section 35(3) of the Indian Forest Act, 1927 is sufficient for any land being · declared a "private forest" within the meaning of that expression as defined in Section 2(f)(iii) of the Maharashtra Private Forests (Acquisition) Act, 1975. In our opinion, the question must be answered in the negative. Connected therewith is the question whether the word "issued" in Section 2(f) (iii) of the Maharashtra Private Forests Acquisition Act, 1975 read with Section 35 of the Indian Forest Act, 1927 must be given a literal interpretation or a broad meaning. In our opinion the word must be given a broad meaning in the surrounding context in which it is used.

33. A tertiary question that arises is, assuming the disputed lands are forest lands, can the State be allowed to demolish the massive constructions made thereon over the last half a century. Given the facts and circumstances of these appeals, our answer to this question is also in the negative.

p. 222

44. This is a batch of 20 appeals and they were argued on the basis of the facts as in the appeal of Godrej. In each appeal, the minute details would, of course, be different but the legal issues are the same and all the appeals were argued by learned counsel on the basis that the legal issues and questions B of law are the same. For convenience, we have taken into consideration the facts in the appeal of Godrej.

Facts

55. Godrej acquired land in Vikhroli in Salsette taluka in C Maharashtra by a registered deed of conveyance dated 30th July 1948 from Nowroji Pirojsha, successor in interest of Framjee Cawasjee Banaji who, in turn, had been given a perpetual lease/kowl for the land. by the Government of Bombay on 7th July 1835. D

66. The land was described in the perpetual lease/kowl as "waste land" and one of the purposes of the lease was to cultivate the waste land. We are concerned in this appeal with an area of 133 acres and 38 gunthas of land bearing Old E Survey Nos.117,118 and 120 (New Survey Nos. 36 (Part), 37 and 38). For convenience this land is hereafter referred as the "disputed land".

Consent decree in the Bombay High Court

77. On 27th August 1951 the Legislative Assembly of the State of Bombay passed the Salsette Estates (Land Revenue Exemption Abolition) Act, 1951. This statute was brought into force on 1st March 1952. Section 4 of the Salsette Estates Act provided that waste lands granted under a perpetual lease/kowl G not appropriated or brought under cultivation before 14th August 1951 shall vest in and be the property of the State. 1

1. Section 4 - Waste lands, etc .. to vest in Government (a) All waste lands in any estate which under the terms of the kowl are not the property of the estate-holder, H

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 223 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.]

88. According to the State, the disputed land was not appropriated or brought under cultivation before 14th August 1951 and, therefore, it vested in or was the property of the State by virtue of Section 4 of the Salsette Estates Act.

99. This factual position was disputed by Godrej and to resolve the dispute, Suit No. 413 of 1953 was filed by Godrej in the Bombay High Court praying, inter alia, for a declaration that it was the owner of the disputed land in village Vikhroli as the successor in title of Framjee Cawasjee Banaji; that the provisions of the Salsette Estates Act had no application to the disputed land and, that the disputed land had been appropriated c by Godrej before 14th August 1951 for its industrial undertaking.

1010. The suit was contested by the State by filing a written statement but eventually the Bombay High Court passed a D consent decree on 8th January 1962 to the effect that except for an area of 31 gunthas, all other lands were appropriated and brought under cultivation by Godrej before 14th August -1951- and are the property of Godrej. The consent decree reads, inter alia, as follows:- E "AND THIS COURT by and with such consent DOTH FUTHER DECLARE that it is agreed by and between the parties of the following lands namely

(b) all waste lands in any estate which under the terms of the kowl are the property of the estate-holder but have not been appropriated or brought under cultivation before the 14th August 1951, and (c) all other kinds of property referred to in Section 37 of the Code situate in an estate which is not the property of any individual or an aggregate of persons legally capable of holding property other than the estate-holder and except in so far as any rights of persons may be established in or over the same and except as may be otherwise provided by any law for the time being in force, together with all rights in or over the same or appertaining thereto, and are hereby declared to be the property of the State and it shall be lawful to dispose of and sell the same by the authority in the manner and for the purposes prescribed in Section 37 or 38 of the Code, as the case may be. H

p. 224

Footnotes

15 Part 0-21-0
16 Part 0-10-0 0-31-0 B in the village of Vikhroli vest in Government under Section 4(c) of the said Act" [Salsette Estates Act].

"AND THIS COURT by and with such consent DOTH FURTHER DECLARE that it is agreed by and between c the parties that save and except the lands mentioned above all other lands in the village of Vikhroli were appropriated or brought under cultivation before the fourteenth day of August one thousand nine hundred and fifty-one and are the property of the Plaintiff.... " ' D

1111. These events establish two facts: (i) Even according · to the State, the disputed land was 'waste land' and not a 'forest'. This is significant since the Indian Forest Act, 1927 did not apply to 'waste land' (due to the Indian Forest (Bombay Amendment) Act, 1948) with effect from 4th December 1948. E (ii) It was acknowledged by the State that the disputed land · (even if it was a forest) was appropriated or brought under cultivation by Godrej before 14th August 1951.

Development Plan for the City of Bombay F

1212. A development plan for the City of Bombay (and Greater Bombay including Vikhroli) was published on 7th January 1967 and the next development plan was published in

1991. In both development plans, the disputed land was G designated as 'R' or 'Residential'. On publication of the first development plan, Godrej applied for and was granted permission, on various dates, by the Municipal Corporation of Greater Bombay to construct residential buildings on the disputed land. Godrej is said to have constructed four such H · buildings on the basis of permissi'ons granted from time to time

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 225 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.] and these building were occupied for residential purposes by A its staff.

1313. On 17th February 1976 the Urban Land {Ceiling and Regulation} Act, 1976 came into force. Since the disputed land was in excess of the ceiling limit, Godrej filed statements {under B Section 6 of the Act} and sought exemption from the Competent Authority for utilizing the excess/surplus vacant lands for industrial and residential purposes {under Section 20 of the Act). Pursuant to the request made by Godrej, it was granted exemption by the State Government, as prayed for and subject to certain conditions which included {both initially and C subsequently by a corrigendum).the construction of tenements _for the benefit of its employees to be Lised as staff quarters.

1414. Pursuant to the grant of exemption, Godrej applied for and was granted permission by the Municipal Corporation of D Greater Bombay to construct multi-storeyed buildings on the dis~uted land. According to Godrej, over a period of time, it has constructed more than 40 multi-storeyed residential buildings {ground+4 and ground+ 7), one club house and five electric sub-stations. It is said that over a couple of thousand E ·families are occupying these buildings and that further construction has also been made, pursuant to permission granted, of a management institute and other residential buildings. F Amendments to the Indian Forest Act, 1927

1515. Chapter V of the Indian Forest Act, 1927 relates to the control over forests and lands not being the property of government. It was amended {as far as we are concerned) on three occasions by the State of Bombay or Maharashtra, as G the case may be. 2

2. Changes brought about by the Government of India (Adaptation of Indian Laws) Order, 1937 and the Adaptation of Laws Order, 1950 have not been incorporated in the narration of facts. H·

p. 226

1616. The first amendment was by the Indian Forest (Bombay Amendment) Act, 1948 being Bombay Act No. 62 of 1948. By this amendment (which came into force on 4th December 1948), the three significant changes that we are concerned with were: (i) Insertion of Section 34A in the Forest Act3 whereby an inclusive definition of "forest" was incorporated for the purposes of the chapter; (ii) Substitution of Section 35(1) of the Forest Act4 dealing with protection of forests for special

3. 34A. Interpretation.- For the purposes of this Chapter 'forest' includes any land containing trees and shrubs, pasture, lands and any other land whatsoever which the Provincial Government may, by notification in the Official Gazette, declare to be a forest

4. Section 35 - Protection of forests for special purposes (1) The Provincial Government may, by notification in the Official Gazette,- (i) regulate or prohibit in any forest - (a) the breaking up or clearing of the land for cultivation; D (b) the pasturing of cattle; (c) the firing or clearing of the vegetation; (d) the girdling, tapping or burning of any tree or the stripping off the bark or leaves from any tree; (e) the lopping and pollarding of trees; E (f) the cutting, sawing, conversion and removal of trees and timber; or (g) the quarrying of stone or the burning of lime or charcoal or the collection or removal of any forest produce or its subjection to any manufacturing process; (iQ regulate in any forest the regeneration of forests and their protection from fire; when such regulation or prohibition appears necessary for any of the following purposes :- (a) for the conservation of trees and forests; (b) for the preservation and improvement of soil or the reclamation of saline or water-logged land, the prevention of land-slips or of the formation of ravines and torrents, or the protection of land against erosion, or the deposit thereon of sand, stones or gravel; (c) for the improvement of grazing; (d) for the maintenance of a water supply in springs, rivers and tanks; (e) for the maintenance increase and distribution of the supply of fodder, leaf manure, timber or fuel; H

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 227 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.] purposes, including regulatory and prohibitory measures; (iii) A The words 'waste lands' or 'land' occurring in sub-sections (2) and (3) of Section 35 of the Forest Act5 were deleted. Therefore, 'waste lands' were taken out of the purview of the Forest Act (as applicable to the State of Bombay) with effect from 4th December 1948. B

1717. The next amendment was made by the Indian Forest (Bombay Amendment) Act, 1955 being Bombay Act No. 24 of

1955. The three significant changes that we are concerned with were: (i) Amendment to Section 35(3) of the Forest Act; 6 (ii) Insertion of sub-sections (4), (5) and (6) in Section 35 of the c

(f) for the maintenance of reservoirs or irrigation works and hydro-electric works; (g) for protection against storms, winds, rolling stones, floods and drought; D (h) for the protection of roads, bridges, railways and other lines of communication; and (i) for the preservation of the public health.

5. Section 35 - Protection of forests for special purposes (2) The State Government may, for any such purpose, construct at its own E expense, in any forest, such work as it thinks fit. (3) No notification shall be made under sub-section (1) nor shall any work be begun under sub-section (2), until after the issue of a notice to the owner of such forest calling on him to show cause, within a reasonable period to be specified in such notice, why such notification should not be made or work constructed, as the case may be, and until his objections, if any,· F and any evidence he may produce in support of the same, have been heard by an officer duly appointed in that behalf and have been considered by the State Government.

6. Section 35 - Protection of forests for special purposes (3) No notification stiall be made under sub-section (1) nor shall any work be begun under sub-section (2), until after the issue by an officer authorised G by the State Government in that behalf of a notice to the owner of such forest calling on him to show cause, within a reasonable period to be specified in such notice, why such notification should not be made or work constructed, as the case may be, and until his objections, if any, and any evidence he may produce in support of the same, have been heard by an officer duly appointed in that behalf and have been considered by the State Government. H

p. 228

A Forest Act; 7 (iii) Insertion of Section 36A (manner of serving notice and order under Section 36) in the Forest Act. 8

1818. The next amendment was by the Indian Forest (Maharashtra Unification and Amendment) Act, 1960 being Maharashtra Act No. 6 of 1961. The two changes brought about 8 "VE!re: (i) The words "six months" in sub-section (4) of Section as of the Forest Act were substituted by the words "one year"; 9 -~i) Sub-sections (SA) and (7) were inserted in Section 35 of

·t·' Section 35 - Protection of forests for special purposes c (4) A notice to show cause why a notification under subsection (1) should not be made, may require that for any period not exceeding six months, or "fill the date of the making of a notification, whichever is earlier, the owner . or such forest and all persons who are entitled or permitted to do therein any or all of the things specified in clause (i) of sub-section (1), whether by reasons of any right, title or interest or under any licence or contract or otherwise, shall not, after the date of the notice and for the period or until D the date aforesaid, as the case may be, do any or all the things specified in clause (i) of sub-section (1 ), to the extent specified in the notice. (5) A notice issued under sub-section (3) shall be served on the owner of such forest in the manner provided in the Code of Civil Procedure, 1908, for the service of summons and shall also be published in the manner prescribed by rules. E (6) Any person contravening any requisition made under sub-section (4) in a notice to show cause why a notification under sub-section (1) should not be made shall. on conviction, be punished with imprisonment for a term which may extend to six months or with fine or with both.

8. 36-A. Manner of servjng notice and order under section 36.- The notice referred to in sub-seCtion (1) of section 36 and the order, if any, made placing a forest under the control of a Forest Officer shall be served on the owner of.such forest in 'the manner provided in the Code of Civil Procedure, 1908, for the se~ice of summons.

9. Section 35 - .Protection of forests for special purposes (4) A notice to show cause why a notification under subsection (1) should not be made, may require that for any period not exceeding one year, or till the date of the making of a notification, whichever is earlier, the owner or such forest and all persons who are entitled or permitted to do therein any or all of the things specified in clause (i) of sub-section (1 ), whether by reasons of any right, title or interest or under .any licence or contract or otherwise, shall not, after the date of the notice and for the period or until the date aforesaid, as the case may be, do any or all the things specified - H in clause (i) of sub-section (1 ), to the extent specified in the notice.

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 229 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.]

the Forest Act. 10 A

Notice issued to Godrej

1919. Completely unknown to Godrej and not disclosed by the State in Suit No. 413 of 1953 even till 8th January 1962 when the consent decree was passed by the Bombay High· B Court, a Notice bearing No. WT/53 had been issued to Godrej under Section 35(3) of the Forest Act (as amended) and published in the Bombay Government Gazette of 6th September 1956 in respect of the disputed land in village Vikhroli. Godrej subsequently learnt of the notice from a search in the records of the Department of Archives. The search revealed that the notice, as published in the Gazette, bore no date and according to Godrej, the notice was not served upon it and, it was submitted, that the notice was never acted upon. Indeed, subsequent events cast a doubt on whether the notice was at all issued to or served on Godrej. Notice No. WT/53 reads as follows:- Notice. No.WT/53 E In pursuance of sub-section (3) of section 35 of the Indian Forest Act, 1927 (XVI of 1927), read with rule 2 of the rules published in Government Notification, Agriculture and Forests Department, No.5133/48513-J, dated the 19th day of September, 1950, I, J.V. Karamchandani, the F Conservator of Forests, Western Circle, hereby given notice to -

10. Section 35 - Protection of forests for special purposes (5-A) Where a notice issued under sub-section (3) has been served on the owner of a forest in accordance with subsection (5), any person acquiring thereafter the right of ownership of that forest shall be bound by G the notice as if it had been served on him as an owner and he shall accordingly comply with the notice, requisition and notification, if any, issued under this section. (7) Any person contravening any of the provisions of a notification issued under sub-section (1) shall, on conviction, be punished with imprisonment for a term which may extend to six months, or with fine, or with both. H-

p. 230

A The Manager, Godrej Boyce & Manufacture Factory, at and post Vikhroli, B.S.D.

calling on him to appear within two months from the date of receipt of this notice before the Divisional Forest Officer, West Thana, to show cause why the accompanying B notification (hereinafter referred to as "the notification") should not be made by the Government of Bombay under sub-section (1) of the said section 35 in respect of the forest specified in the Schedule hereto appended and belonging to him. c

2. If the said The Manager, Godrej Boyce and Manufacture Factory, at and post Vikhroli, B.S.D., fails to comply with this notice, it shall be assumed that the said The Manager, Godrej Boyce and Manufacture Factory, at and post D Vikhroli, B.S.D., has no objection to the making of the notification.

3. I further require that for a period of six months or till the date of the making of the notification, whichever is earlier, the said The Manager, Godrej Boyce and Manufacture E Factory, at and post Vikhroli, B.S.D. and all persons who are entitled or permitted to do, therein, any or all of the things specified in clause (1) of sub-section (1) of the said section 35, whether by reason of any right, title or interest or under any licence or contract, or otherwise, shall not after F the date of this notice, and for the period or until the date aforesaid, as the case may be, do any of the following things specified in clause (1) of sub-section (1) of the said section 35, namely :-

G (a) the cutting and removal of trees and timber

(b) the firing and clearing of the vegetation.

Schedule

H District Thana, taluka Salsette, village Vikhroli

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 231 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.] S.No.118; area, 63 acres 23 gunthas, Boundaries:- North- A Boundary of Pavai; East-Boundary of Haralayi; South- S.No.117; West-Boundary of Ghatkopur.

S.No.117; area, 36 acres, 35 gunthas, Boundaries:- North- S. No.118; East-S.No.120; South-S.No.112; West- B Boundary of Ghatkopur.

S.No.120; area, 33 acres, 13 gunthas. Boundaries:- North- Boundary of Haralayi; East-Agra Road; South-S.No.115; West-S.Nos.116, 117." c Maharashtra Private Forests (Acquisition) Act, 1975

2020. Sometime in 1975 the State Legislature passed the Maharashtra Private Forests (Acquisition) Act, 1975. The Private Forests Act came into force on 30th August 1975 when it was published in the Official Gazette. We are concerned with D the definition of "forest" and "private forest" as contained in Section 2(c-i) and Section 2(f) respectively in the Private 1Forests Act. These definitions read as follows:

"2(c-i) "forest" means a tract of land covered with trees E (whether standing, felled, found or otherwise), shrubs, bushes, or woody vegetation, whether of natural growth of - planted by human agency and existing or being maintained with or without human effort, or such tract of land on which such growth is likely to have an effect on the supply of F timber, fuel, forest produce, or grazing facilities, or on climate, stream flow, protection of land from erosion, or other such matters and includes,--

(i) land covered with stumps of trees of forest; G (ii) land which is part of a forest or lies within it or was part of a forest or was lying within a forest on the 3oth day of August 1975;

(iii) such pasture land, water-logged or cultivable or non- H

p. 232

A cultivable land, lying within or linked to a forest, as may be declared to be forest by the State Government;

(iv) forest land held or let for purpose of agriculture or for any purposes ancillary thereto; B (v) all the forest produce therein, whether standing, felled, found or otherwise;"

"2(f) "private forest" means any forest which is not the property of Government and includes,-- c (i) any land declared before the appointed day to be a forest under section 34A of the Forest Act;

(ii) any forest in respect of which any notification issued under sub-section (1) of section 35 of the Forest Act, is in force immediately before the appointed day;

(iii) any land in respect of which a notice has been issued under sub-section (3) of section 35 of the Forest Act, but excluding an area not exceeding two hectares in extent as the Collector may specify in this behalf;

(iv} land in respect of which a notification has been issued under section 38 of the Forest Act;

(v} in a case where the State Government and any other person are jointly interested in the forest, the interest of such person in such forest;

(vi} sites of dwelling houses constructed in such forest which are considered to be necessary for the convenient enjoyment or use of the forest and lands appurtenant thereto;"

2121. We are also concerned with Section 3 (vesting of private forests in State Government}, Section 5 (power to take over possession of private forests} and Section 6 (settlement of disputes} of the Private Forests Act. These provisions read

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 233 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.] as follows: A

"Section 3 - Vesting of private Forests in State Government

( 1) Notwithstanding anything contained in any law for the time being in force or in any settlement, grant, agreement, 8 usage, custom or any decree or order of any Court, Tribunal or authority or any other document, with effect on and from the appointed day, all private forests in the State shall stand acquired and vest, free from all encumbrances, in, and shall be deemed to be, with all rights in or over the C same or appertaining thereto, the property of the State Government, and all rights, title and interest of the owner or any person other than Government subsisting in any such forest on the said day shall be deemed to have been extinguished. D

(2) Nothing contained in sub-section (1) shall apply to so much extent of land comprised in a private forest as in held by an occupant or tenant and is lawfully under cultivation on the appointed day and is not in excess of the ceiling E area provided by section 5 of the Maharashtra Agricultural Lands (Ceiling on Holdings) Act, 1961 (Mah. XXVll of 1061 ), for the time being in force or any building or structure standing thereon or appurtenant thereto.

(3) All private forests vested in the State Government under· F sub-section (1) shall be deemed to be reserved forests within the meaning of. the Forest Act."

"Section 5 - Power to take over possession of private forests G Where any private forest stands acquired and vested in the State Government under the provisions of this Act, the person authorised by the State Government. or by the Collector in this behalf, shall enter into and take over H

p. 234

A possession thereof, and if any person resists the taking over of such possession, he shall without prejudice to any other action to which he may be liable, be liable to be removed by the use or such force as may be necessary."

"Section 6 - Settlement of disputes B Where any question arises as to whether or not any forest is a private forest, or whether or not any private forest or portion thereof has vested in the State Government or whether or not any dwelling house constructed in a forest c stands acquired under this Act, the Collector shall decide the question, and the decision of the Collector shall, subject to the decision of the Tribunal in appeal which may be preferred to the Tribunal within sixty days from the date of the decision of the Collector, or the order of the State D Government under section 18, be final."

. 22. Finally, it may be mentioned that by Section 24 of the Private Forests Act, Sections 34A, 35 and 36A of the Forest Act were repealed. 11

2323. The narrative of the events discloses that Notice No. WT/53 after its publication in the Gazette was not acted upon either under the provisions of the Forest Act as amended from time to time or under the Private Forests Act. Admittedly, no attempt was made by the State to take over possession of the ' F disputed land at any point of time. On the contrary permissions were granted to Godrej from time to time for the construction

11. Section 24 - Repeal of sections 34A to 37 of Forest Act (1) On and from the appointed day, sections 34A, 35, 36, 36A, 368, 36C and 37 of the Forest Act shall stand repealed. G (2) Notwithstanding anything contained in sub-section (1), on and from the date of commencement of the Maharashtra Private Forests (Acquisition) (Amendment) Act, 1978 (Mah. XIV of 1978), sections 34A, 35, 36, 36A, 368, 36C and 37 of the Forest Act, shall, in respect of the lands restored under section 22A, be deemed to have been reenacted in the same form and be deemed always to have been in force and applicable in respect of such lands, as if they had not been repealed. ·

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 235 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.] of buildings on the disputed land, which permissions were availed of by Godrej for the benefit of thousands of its employees.

Judgment in the case of Waghmare

2424. The constitutional validity of the Private Forests Act B (including Section 3 thereof) was challenged in the Bombay High Court on the ground of legislative competence of the State Legislature to enact the statute. This issue was referred to a Bench of five Judges and the decision of the High Court is _reported as Janu Chandra Waghmare v. State of C Maharashtra. 12 During the course of hearing, the Bench also considered as to "what is it that the State legislature has intended to include in the expression 'forest produce' for the purpose of vesting the same in the State Government under Section 3 of the Act." While answering this question, the High D Court felt it necessary to "consider the true effect of the artificial definitions of the two expressions 'forest' and 'private forest' given in Section 2(c-i) and Section 2(f) read with Section 3 of the impugned Act". E

2525. In doing so, the High Court held that a land owner who had been issued a notice under Section 35(3) of the Forest Act (but was not heard) has an opportunity to contend that his or her land is not a 'forest' within the meaning of Section 2(c-i) of the Private Forests Act and that the land does not vest automatically in the State by virtue of Section 3 of the Private F Forests Act. This position was not contested, but conceded by learned counsel appearing for the State of Maharashtra in the High Court.

2626. The High Court held in paragraph 30 of the Report as G follows:-

"It is thus clear that Sub-clauses (i), (ii) and (iv) of Section 2(f) deal with declared, adjudicated or admitted instances

12. AIR 1978 Bombay 119. H

p. 236

A of forests. Sub-clause (iii) of Section 2(f) no doubt seeks to cover land in respect of which merely a notice has been issued to the owner of a private forest under Section 35(3) and his objections may have remained unheard till 30-8- 1975 as Section 35 has stood repealed on the coming into B force of the Acquisition Act. Here also, as in the case of owners of land falling under Sub-clause (iii) of Section 2(c- i), his objections, if any, including his objection that his land cannot be styled as forest at all can be heard and disposed of under Section 6 of the Acquisition Act, and this position c was conceded by Counsel appearing for the State pf Maharashtra. Sub-clause (v) includes within the definition of private forest the interest of another person who along - with Government is jointly interested in a forest, while Sub- clause (vi) includes sites of dwelling houses constructed in such forest which are considered to be necessary for D the convenient enjoyment or use of forest and lands appurtenant thereto."

It was further held in paragraph 32 of the Report as follows:

E "In the first place, the scheme [of the Private Forests Act] clearly shows that under Section 3 all private forests vest in the State Government and since both the expressions - 'forest' as well as 'private forest' - have been defined in the Act what vests in the State Government is 'private forest' as per Section 2(f) and in order to be 'private forest' under F Section 2(f) it must be 'forest' under Section 2{c-i) in the first instance and read in this manner the expression 'all the private forests' occurring in Section 3 will include 'forest produce.' It is not possible to accept the argument that the word 'forest' occurring in the composite expression 'private G forest' should not be given the meaning which has been assigned to it in Section 2(c-i) ................. Definitions in Interpretation Clauses may have no context {though this may not be true of all definitions) but therefore, all the more reason, why the word 'forest' in the composite expression H

GODREJ & BOYCE MFG. CO. LTD. v. STATE OF 237 MAHARASHTRA & ORS. [MADAN B. LOKUR, J.]

'forest-produce' in Section 2(f) should be given the meaning assigned to it in Section 2(c-i). Moreover, as stated earlier, the scheme itself suggests that what vests in the State under Section 3 are private forests as defined by Section 2(f) but such private forests must in the first instance be 'forests' as defined by Section 2(c-i) and read in that manner the forest produce would vest in the State Government along with the private forest under Section 3 of the Act."

2727. The view of the High Court has been accepted by the C State of Maharashtra and has not been challenged and has now · attained finality.

2828. It is important to note that the High Court was not concerned with, nor did it advert to the right of a land owner to object to the notice under Section 35(3) of the Forest Act before D the Private Forests Act came into force on the ground that his land was not a forest as defined in or notified under Section 34A of the Forest Act. This will be dealt with below.

Judgment in the case of Chintamani Velkar E

2929. The right to file objections to a notice under Section 35(3) of the Forest Act came up for consideration in Chintamani Gajanan Ve/kar v. State of Maharashtra. 13 In that case, Chintamani was issued a notice under Section 35(3) of the Forest Act on 29th August 1975. The notice was served F on him on 12th September 1975. In the meanwhile, the Private Forests Act came into force on 30th August 1975. Chintamani raised a dispute under Section 6 of the Private Forests Act (as postulated in Waghmare) contending that his land was not a forest and did not vest in the State in terms of Section 3 of the G Private Forests Act.

3030. The only question that arose for consideration was whether or not Chintamani's land was a forest within the

13. c2000) 3 sec 143.

p. 238

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