ORDER Satish Chandra, J. - This is a Defendant's revision. 2. Gram Sabha, Bisauli, District Etawah, instituted a suit against the Applicant, Mohammad Shafi, for demolition of certain constructions made by him over plot No. 861 situate in village Bisauli and for possession of the plot. The Gram Sabha claimed to be the owner of this plot. The suit was dismissed on 9-12-1965. The Gram Sabha filed an appeal. During the pendency of the appeal, the State Government issued a notification on 13-7-1966 u/s 3(1), UP Town Areas Act, 1914. The notification stated that for the application of the provisions of the UP Town Areas Act, 1914, the Governor was pleased to declare the villages Achhalda, Bisauli and Bodepur, to be the town Area Achhalda with effect from 15-7-1966. The Notification gave a list of the plots of these villages which were included within the territorial limits of the Town Area. Plot No. 861 of village Bisauli was included in it. So, with effect from 15-7-1966, plot No. 861 of village Bisauli became included in the territorial limits of the Town Area, Achhalda. Thereafter, the Defendant Mohammad Shafi filed an application, praying that the suit be dismissed, because plot No. 861 was no longer the property of the Gram Sabha. The Gram Sabha filed an objection, stating that the rights in this plot continued to remain vested in it. They have not become vested in the Town Area, Achhalda. The suit as well as the appeal have not become infructuous. The learned Civil Judge, Etawah, held that the plot in dispute had been vested by the State Government in the Gaon Sabha, Bisauli. No notification divesting the Gaon Sabha of this plot has been issued by the State Government u/s 117(6), UP ZA and LR Act. So long as such a notification is not issued, the proprietary right of the Gram Sabha in this plot shall continue. The suit and the appeal have, therefore, not become infructuous. The application of Mohammad Shafi was dismissed. Aggrieved at this order, Mohammad Shafi has filed the present revision. 3. The Revision came up for hearing before a learned Single Judge. Before him, it was contended that even if the proprietary rights in the plot in dispute have become vested in the Town Area, Achhalda, Order 22 Rule 10, CPC would apply and the Plaintiff has a right to continue the suit.
3. The Revision came up for hearing before a learned Single Judge. Before him, it was contended that even if the proprietary rights in the plot in dispute have become vested in the Town Area, Achhalda, Order 22 Rule 10, CPC would apply and the Plaintiff has a right to continue the suit. On this point, the learned Single Judge found a conflict of opinion. In Salik Shukla v. Braj Nandan 1962 AWR 859, Dhavan, J., held that the principle of Order 22, Rule 10 Code of Civil Procedure, can be extended to a case in which the interest of the Plaintiff have vested in the State under the UP ZA and LR Act, during the pendency of the suit. A.P. Srivastava, J., has, on the other hand, taken a contrary view in Karan Singh v. Har Lal S.A. No. 2008 of 1952, decided on 17-10-1962. He held that Order 22, Rule 10 only allows an assignee of the Plaintiff to continue the suit. It does not lay down that if the Plaintiff has lost rights, it is still open to him to continue the suit and to get a decree, even if he has no right left, on the basis of which he can get it. In cases where the Plaintiff has to establish his title in order to save himself from damages or refund of consideration, it may be permissible for him to continue the suit after impleading the assignee. But, when the rights of the Plaintiff have com? to an end altogether and have vested in the State, a decree in favour of the Plaintiff cannot be maintained. A decree cannot be passed is favour of a person, who has no right to get it. In order to settle this conflict, the learned Judge referred the following question to a Division Bench: On the facts of the present case and the law applicable thereto, can the Gaon Sabha continue the appeal pending in the Court below? That is how the matter has come before this Bench. 4. The main question is what is the effect of the transfer of a particular area from the territorial limits of a Gaon Sabha to the territorial limits of any other local authority, upon the property rights of the Gaon Sabha in the land so transferred?
That is how the matter has come before this Bench. 4. The main question is what is the effect of the transfer of a particular area from the territorial limits of a Gaon Sabha to the territorial limits of any other local authority, upon the property rights of the Gaon Sabha in the land so transferred? In our opinion, the answer to this question depends upon the effect of the provisions of the UP Panchayat Raj Act and the UP ZA and LR Act. 5. The UP Panchayat Raj Act, 1947, was enacted to establish and develop local self government in the rural areas of Uttar Pradesh. The State Government was to delimit the territorial jurisdiction of the Gaon Sabhas. u/s 4, Gaon Sabha is a body corporate, having power to acquire and transfer property, moveable and immoveable Section 8 provided: 8. Effect of change in population or inclusion of the area of a Gaon Sabha in Municipalities, etc. If the whole of the area of Gaon Sabha is included in a municipality, cantonment, notified area, or town area, the Gaon Sabha shall cease and its assets and liabilities shall be disposed of in the manner prescribed. If a part of such area is so included, it' jurisdiction shall be reduced by the part. In the present case, some of the (sic) included in territorial limits of the (sic) Sabha, Bisauli, have been (sic) the territorial limits of the Town (sic) Achhalda. So, the Gram Sabha, (sic) did not cease to exist, but its (sic) was excluded in relation to such plots. Section 34 of the Panchayat Raj Act provides: 34. Property vested in the Gaon Sabhas : (1) Subject to any special reservation made by the State Government, all public property situated within the jurisdiction of a Gaon Sabha shall vest in and belong to the Gaon Sabha and shall, with all other property which may become vested in the Gaon Sabha, be under its direction, management and control. (2)........... Under this provision, all public property situated within the jurisdiction of a Gaon Sabha shall vest in and belong to it. Similarly, all other property, which may become vested in the Gaon Sabha, shall also belong to it and be under its direction, management and control. 6. u/s 4, UP ZA and LR Act, all estates situate in UP vested in the State free from all encumbrances.
Similarly, all other property, which may become vested in the Gaon Sabha, shall also belong to it and be under its direction, management and control. 6. u/s 4, UP ZA and LR Act, all estates situate in UP vested in the State free from all encumbrances. u/s 6 of this Apt, all rights, title and interest of all the intermediaries shall cease and be vested in the State free from all encumbrances. Section 117 of this Act provided for vesting of certain lands, etc., in Gaon Sabhas and other local authorities. It states: Section 117. Vesting of certain lands, etc., in Gaon Sabhas and other local authorities-(1) At any time after the publication of the notification referred to in Section 4, the State Government may, by notification in the Gazette, declare that as from a date to be specified in this behalf, all or any of the following things, namely- (i) lands, whether cultivable or otherwise, except lands for the time being comprised in any holding or grove, (ii) forests, (iii) trees, ether than trees in a, holding or on the boundary of a holding or in a grove or abadi, (iv) fisheries, (v) hats, bazars and melas, except hats, bazars and melas held on lands to which the provisions of Clauses (a) to (c) of Sub-section (1) of Section 18 apply or on sites and areas referred to in Section 9 and (vi) tanks, ponds, private ferries, water channels, pathways and abadi sites, which had vested in the State under this Act shall vest in the Gaon Sabha or any other local authority established for the whole or part of the village in which the said things are situate, or partly in one such local authority (including a Gaon Sabha) and partly in another: Provided that it shall be lawful for the State Government to make the declaration aforesaid subject to such exceptions and conditions as may be specified in the notification.
(2) Not with standing any thing contained in this Act or in any other law for the time being in force, the State Government may by notification in the Gazette, declare that as from a date to be specified in this behalf, all or any of the things specified in Clauses (i) to (vi) of Sub-section (1) which after their vesting in the State under this act had been vested in a Gaon Sabha or any other local authority, either under this Act of u/s 126 of the UP Nagar Mahapalika Adhiniyam, 1959, shall, vest in any other local authority (including a Gaon Sabha) established for the whole or part of the village in which the said things are situate. (3) Where any declaration has been made Under Sub-section (1) or Sub-section (2) vesting any of the things specified in Clauses (i) to (vi) of Sub-section (1) in any Gaon Sabha and the villages or the part of the village in which that thing is situate lies outside the circle of the Gaon Sabha, such Gaon Sabha or its Land Management Committee shall in respect of that thing perform, discharge and exercise the function's, duties and powers assigned, imposed or Conferred by or under this Act or the UP Panchayat Raj Act, 1947 on a Gaon Sabha or a Land Management Committee, as the case may be as if that village or part of village also lay within that circle.
(4) Where a declaration has been made Under Sub-section (1) or Sub-section (2) vesting any of the things specified in Clause (i) to (vi) of Sub-section (1) in a local authority other than a Gaon Sabha and the village or the part of the village in which the thing is situate is outside the limits of such local authority, or where after any declaration is made Under Sub-section (1) or Sub-section (2), the thing vests or, as the case may be, had vested in a Nagar Mahapalika u/s 126 of the UP Nagar, Mahapalika Adhiniyam, 1959, such local authority shall in respect of that thing perform, discharge and exercise the functions, duties and powers assigned, imposed or conferred by or under this Act or the UP Panchayat Raj Act, 1947 on a Gaon Sabha or a Land Management Committee: Provided that the local authority shall in the performance, discharge and exercise of its functions, duties and powers under this sub-section follow such procedure as may be prescribed. (5) Where any of the things specified in Clauses (i) to (vi) of Sub-section (1) is vested in a local authority other than a Gaon Sabha the provisions of Sections 126 and 127 shall, subject to such exceptions and modifications, if any, as the State Government may specify in this behalf by notification in the Gazette, apply, mutatis mutandis, to such local authority. (6) The State Government may at any time, by notification in the Gazette, amend or cancel any declaration or notification made in respect of any of the things aforesaid, whether generally or in the case of any Gaon Sabha or other local authority and resume such thing and whenever the State Government so resumes any such thing, the Gaon Sabha or other local authority, as the case may be, shall be entitled to receive and be paid compensation on account only of the development, if any, effected by it in or over that thing; Provided that the State Government may after such resumption, make a fresh declaration Under Sub-section (1) or Sub-section (2) vesting the thing resumed in the same or any other local authority (including a Gaon Sabha) and the provisions of, Sub-sections (3), (4) and (5), as the case may be, shall mutatis mutandis, apply to such declaration. Section 117-A made further provisions for exercise of extraterritorial jurisdiction by Gaon Sabha or other local authority.
Section 117-A made further provisions for exercise of extraterritorial jurisdiction by Gaon Sabha or other local authority. It states: 117-A. Further provision for exercise of extra-territorial jurisdiction by Gaon Sabha or other local authority. (1) where- (a) any village or part of a village situated within the circle of a Gaon Sabha is included after 7-7-1949 within the limits of any other local authority (not being a Gaon Sabha); or (b) any village or part of a village situated within the limits of any other local authority (not being a Gaon Sabha) is after 7-7-1949 included within the, circle of a Gaon Sabha; or (c) any of the things specified in Clause (i) to (vi)of Sub-section (1) of Section 117 is vested under that section in any Gaon Sabha or other local authority within whose local limits it does not lie,- then the State Government may, by notification, in the Gazette, direct that in relation to the holding area within any such village or part thereof or, in the case of Clause (c) within the remainder of the village or part thereof to which the thing referred to in that clause appertains, such Gaon Sabha or its Land Management Committee or other local authority as may be specified in the notification shall perform, discharge and exercise, subject to such exceptions, conditions and modifications, if any, as may be specified in this behalf, the functions, duties and powers assigned, imposed or conferred by or under this Act or the UP Panchayat Raj Act, 1947 on a Gaon Sabha or Land Management Committee. (2) Any Gaon Sabha or other local authority performing, discharging, or exercising any of the functions, duties or powers of the nature referred to in Sub-section (1) in relation to any area or thing referred to therein on the day immediately before the commencement of the Uttar Pradesh Land Laws Amendment Act, 1965, shall continue to perform, discharge or exercise such functions, duties or powers until any modification or annulment is made in respect thereof by notification under the said sub-section. (3) The provisions of this section shall be in addition to and not in derogation of anything contained in Sub-sections (3) to (6) of Section 117. In view of Sub-section (3), it is clear that the provisions of Section 117-A are not in derogation of any thing contained in Sub-sections (3) to (6) of Section 117.
(3) The provisions of this section shall be in addition to and not in derogation of anything contained in Sub-sections (3) to (6) of Section 117. In view of Sub-section (3), it is clear that the provisions of Section 117-A are not in derogation of any thing contained in Sub-sections (3) to (6) of Section 117. In other words, Sub-sections (3) to (6) of Section 117 shall prevail notwithstanding anything contained in Section 117A. 7. u/s 117, the State Government can vest in a Gaon Sabha lands whether cultivable or otherwise, which are not, for the time being, comprised in any holding or grove. This vesting has to be done by a notification in the Gazettee. It is admitted between the parties that plot No. 861 was so vested in the Gaon Sabha, Bisauli. This plot was, at that time, situate within the territorial limits of Gian Sabha, Bisauli. The vesting thus came u/s 117(1). Under Sub-section (2) of Section 117, the State Governs meat has been authorised to declare, by a notification, that land, which has been vested in a Gaon Sabha shall vest in any other local authority (including a Gaon Sabha) established for the whole or part of the village, in which such land was situate. Thus, the Government can, by a notification, declare that plot No. 861 shall vest in a local authority or a Gaon Sabha other than Gaon Sabba, Bisauli, provided such other local authority or Gaon Sabha was established for the whole or part of the village in which this plot was situate The Town Area, Achhalda, was established for a part of the village Bisauli, in which this plot was situate. Hence, the State Government could have, by a notification in the Gazette, declared that the rights in this plot would vest in the Town Area, Achhalda. But, no such notification has been made. 8. Sub-section (2) of Section 117 clearly points that the mere change in the territorial limits of a Gaon Sabha by transferring particular areas from the territorial limits of the Gaon Sabha to the territories of any other local authority (including a Town Area) would not automatically divest the Gaon Sabha of the things specified in Clauses (i) to (vi) of Sub-section (1) (Like lands, forests, fisheries, bats, bazars, etc.).
The rights in such things would stand diverted transferred only if a notification in the Gazettee declaring such divesting and vesting in the Town Area, is published. Since no such notification was made by the State Government, the rights in plot No. 861, which was vested in the Gaon Sabha, Bisauli, continued to remain go vested and would riot vest in the Town Area, Achhalda. 9. In this connection, reliance was placed upon Rule 3AAA of the Rules framed under the Panchayat Raj Act. This Rule provides that if the whole of the area of a Gaon Sabha is included in a Municipality, cantonment, notified area or Town Area, the Gaon Sabha shall cease-and its assets and liabilities shall be transferred to the local body in which such area is included. Sub Rule (2) deals with a situation when only a part of the Area is so included. Clause (a) of Sub-rule (2) provides that the funds, properties and liabilities shall be divided between the Gaon Sabha and the local body in which a part of its area has been included on the basis of population. Clause (b) then says that the immovable property shall belong to the Gaon Sabba or the local body, in which the area, on which it exists, falls, as the case may be and its value shall not be taken into account in dividing cash money. Thus, under this Rule, the immovable property in a plot of land transferred from the Gaon Sabha to the Town Area, shall belong to the Town Area. This would suggest that the transfer of rights in; such land takes place by force of this Rule automatically, without any action or order of any authority. The learned Counsel for the Applicant urged that this Rule was void, because it was in conflict with Sub-section (2) of Section 117, ZA Act; and in the alternative, this Rule will not apply in a case of Town Area, because Town Area is, in view of the provisions of-the Town Areas Act, riot a body corporate. It was not entitled to hold property. Consequently, no Rule could provide that an immovable property shall belong to a Town Area.
It was not entitled to hold property. Consequently, no Rule could provide that an immovable property shall belong to a Town Area. It is unnecessary to examine these contentions, because, even if it is assumed that the immovable property of the Gaon Sabha in the Area transferred to the Town Area does not stand transferred to the Town Area, the Applicant's case will not improve. This, like a void transfer of property, would not; ipso facto, mean divesting the properly rights of the Gaon Sabha. Rule AAA does not provide that. The situation obtaining under Sub-section (2) of Section 117 would remain, if Clause (b) of Sub-rule (2) of Rule 3-AAA were held invalid or inapplicable; On the other hand, if it is held that the property in the plot in dispute belonged to the Town Area, then it will be a case of statutory assignment, to which Order 22, Rule 10, CPC does apply, as held in Karka Somulu v. Reddy Appalanaidu AIR 1958 AP 507 , Rae Charan Mandal v. Bishwanath Mandal AIR 1915 Cal 103, Joti Lal Sah v. Sheodahan Prashad Sah AIR 1936 Pat 42 (sic) from that point of view, the decision of Dhawan, J., in Salik Shukla's case and of A.P. Srivastava, J., in Karan Singh's case would really not apply to the instant case. These cases were not of statutory assignments. Under the ZA Act, the ousting rights of all persons were extinguished. The other provisions of the Act then conferred fresh rights of a different charactar on the occupants and other persons connected, with the land. This is not a case of statutory transfer. In AIR 1936 652 (Lahore) , Tek Chand, J., speaking for the Division Bench, held that 'interest' referred to in Order 22 Rule 10 is the interest of a person who was a party to the suit. Under this provision, it is the transfer by assignment, creation or devolution pendente lite of the interest of such a person to another which entitles the latter to make an application to continue the suit or appeal and not the creation of an independent right in him. Under the ZA Act, the pre-existing rights were extinguished and different kinds of rights were created. This was not a case of statutory assignment, but of the creation of fresh and independent rights.
Under the ZA Act, the pre-existing rights were extinguished and different kinds of rights were created. This was not a case of statutory assignment, but of the creation of fresh and independent rights. In the present case, whatever rights belonged to the Gaon Sabha in virtue of Section 34 of the UP Panchayat Raj Act read with Section 117 of the UP ZA and LR Act, stood transferred to the Town Area Under Clause (b) of Sub-rule (2) of Rule 3-AA. u/s 34, the property belonged to the Town Area. The same stood transferred to the Town Area. There was no change in the nature, or quality or quantum of the rights. This is a case of assignment of the interest. Since it has been effected by force of a statutory rules, the assignment is statutory, to which Order 22, Rule 10 CPC will apply. The question whether Order 22, Rule 10 will apply to cases of extinguishment of interest and creation of a fresh and independent rights, upon which there was a conflict of opinion between Dhavan, J. and A.P. Srivastava, J., does not really arise in the present case. 10. Sub-section (3) of Section 117, UP ZA Act expressly provides for extra-territorial vesting of property. Under it, if a declaration has been made vesting lands in a particular Gaon Sabha and the village or part of the village in which such land is situate, falls outside the circle of the Gaon Sabha, even then, such Gaon Sabha is entitled to perform, discharge and exercise functions, duties and powers assigned by the ZA Act, or the Panchayat Raj Act on a Gaon Sabha, as if the village or part of the village lay within that circle. Thus, even though a particular plot of land may go outside the territorial limits of a Gaon Sabha, yet the Gaon Sabha is entitled to continue to perform, discharge or exercise the functions, duties and powers under the mentioned Act, inspite of such transfer on the footing that part of the village lay within its circle. So, so long as the State Government does not make a declaration, transferring the rights in a particular plot as well as the powers and functions in relation to that land to another local body, the pre-existing Gaon Sabha would continue to exercise its rights and perform its functions, as previously.
So, so long as the State Government does not make a declaration, transferring the rights in a particular plot as well as the powers and functions in relation to that land to another local body, the pre-existing Gaon Sabha would continue to exercise its rights and perform its functions, as previously. Mere transfer of the territory from a Gaon Sabha to a Town Area will not divest the Gaon Sabha of its rights in such lands. Under Sub-section (6), the State Government can at any time amend or cancel any declaration or notification made in respect of any of the things mentioned in Sub-section (1), including lands and resume such things and on such resumption, the Gaon Sabha is entitled to be paid compensation on account of developments, if any, effected by it on the land. This will show that the resumption by the State Government is not automatic. It can be brought about only by a notification in the Gazette. 11. Our attention was invited to the decision of R.B. Misra, J., in Town Area Committee Kora Jahanabad v. Rai Bahadur Adya Saran Singh S.A. No. 1983 of 1962, decided on 1-4-1969, where it was held that the moment the Gaon Sabha ceased, the property would revert back to the State, from whom it had come to the Gaon Sabha and a transfer would, therefore, have to be made by the State. This proposition may apply where the entire territories of the Gaon Sabha are transferred with the result that the Gaon Sabha ceased, but, we are unable to hold that the same consequence would follow where only a part of the area of the Gaon Sabha is transferred to a Town Area or any other local body. In such a case, the existing rights of the Gaon Sabha in the land would continue to remain vested in the Gaon Sabha. 12. In the present case, there was no notification either Under Sub-section (3) or Sub-section (6) of Section 117, ZA Act, divesting or resuming the property rights of the Gaon, Sabha in plot No. 861. Consequently, the rights, which were vested in the Gaon Sabha, Bisauli, continued to vest in it. It was, therefore, competent to continue the appeal. The learned Civil Judge was justified in rejecting the application of the Defendant Applicant. 13. The revision has no merits and is accordingly dismissed with costs.