S. C. MOHAPATRA, J. ( 1 ) IN this application under Art. 226 of the Constitution, a Grama Panchayat under the Orissa Grama Panchayats Act, 1964 (hereinafter referred to as 'the Act') is the petitioner assailing revocation of transfer of a tank. ( 2 ) DEBABHUMI Haja is a fishery source spreading over an area of 67 acres 72 decimals in Plot Nos. 440, 1660, 1659 and 1679. Fishery right in water area in Plot Nos. 440 and 1660 in the said Haja was transferred to petitioner by the State Government as communicated by Tahasildar, Aska in his letter No. 1688 of 1959 dt. 17-9-1959. On receipt of verbal instruction of Chief Minister, Revenue Minister and submission of Sri Raghab Parida, Member of Legislative Assembly, Additional District Magistrate (Development) of Ganjam called for the file from Grama Panchayat Section and Development Section. He observed that Grama Panchayat does not release water during dry spells for which Tahasildar and Irrigation S. D. O. run to spot every day and ensure release of water through different outlets in rotation. Collector found that the main condition of transfer to Grama Panchayat was to augment its income and not to infringe upon rights of third parties. Coming to conclusion that irrigation which constitutes third party right has been infringed upon by the Grama Panchayat and on that account calls for revocation. On this note Collector directed on 23-3-1988 to take appropriate action. On that basis, Additional District Magistrate intimated the Tahasildar, Aska, in letter dt. 25-3-1988 that Collector desires that transfer of fishery source shall be revoked immediately. Thereupon, Tahasildar passed an order to the following effect : -"in pursuance of orders of Collector, Ganjam communicated in letter No. 1931 dt. 25-3-1908, the fishery source of Debabhumi Haja situated over the land scheduled below transferred to the Grama Panchayat vide this Office letter No. 1688 dt. 17-9-1959 is revoked forthwith. "copy of this order dt. 16-5-1988 having been received by the Grama Panchayat, this writ application has been filed assailing the order to have violated the principle of natural justice since Grama Panchayat was not given reasonable opportunity to show cause and to be heard. ( 3 ) IN answer, District Panchayat Officer, Ganjam filed an affidavit where the order is justified on the ground that the general order of the State Government in Circular Letter No. 481/ge. 258/578 dt.
( 3 ) IN answer, District Panchayat Officer, Ganjam filed an affidavit where the order is justified on the ground that the general order of the State Government in Circular Letter No. 481/ge. 258/578 dt. 6-1-1985 on the basis of which the fishery right was transferred does not prescribe for giving opportunity to the Grama Panchayat. Besides, it was stated that due to party rivalry with plea of protecting fish Grama Panchayat does not allow water in 5 outlets for irrigation of the entire ayacut in such manner that the ayacut belonging to the opposite camp do not get irrigation which leads to law and order problem and damage to crops. ( 4 ) THERE is no clear assertion about the actual verbal instruction of the Chief Minister and Revenue Minister to the Additional District Magistrate. Submission of Raghbananda Parida in the Legislative Assembly has also not been Drought to our notice. In absence of such detailed facts we ought not to assume that these Ministers and the Member of Legislative Assembly instructed or submitted to revoke the transfer without following the principle of natural justice. Being Chief Minister, Revenue Minister and Member of Legislative Assembly, they knew that executive administration of the State is run under the rules of business made by the Governor under Art. 166 of the Constitution and properties of Grama Panchayat are governed under the Act and Rules made thereunder. Collector also did not pass order to revoke the transfer. He directed appropriate action to be taken. Additional District Magistrate (Development) has misread the order which gave cause of action to the Grama Panchayat. ( 5 ) GRAMA Panchayat is a body corporate as envisaged under S. 4 (2) of the Act and as such is a juristic person. Being a creature of the Act, it is governed under the same. Section 71 of the Act provides for vesting of public properties in the Grama Panchayat. It reads as follows : -"71. Vesting of public properties in Grama Sasan.
Being a creature of the Act, it is governed under the same. Section 71 of the Act provides for vesting of public properties in the Grama Panchayat. It reads as follows : -"71. Vesting of public properties in Grama Sasan. (1) All property within the Grama of the nature hereinafter in this section specified, other than property maintained by any other local authority or the Central or State Government, shall for the purposes of this Act, vest in the Grama Sasan and shall, with all other properties of whatever nature or kind which may become vested in the Grama Sasan, be under its direction, management and control that is to say - (a) all public sewers and drains, and all works, materials and things appertaining thereto and other conservancy works; (b) all sewage, rubbish and offensive matters deposited on the streets or collected by the Grama Panchayat from streets, latrines, urinals, sewers, cess-pools and other places; (c) all public lamps, lamp posts and apparatus connected therewith or appertaining thereto; and (d) all buildings or other works constructed by the Grama Sasan and all lands and buildings or other property transferred to the Grama Sasan by the Central or the State Government or acquired by gift, purchase or otherwise for local public purposes. (2) The State government may from time to time by general or special order made in that behalf exclude from the operation of this Act or any specified section of this Act any of the properties of the nature specified in sub-section (1 ). (3) Properties within the Grama belonging to, maintained, managed or controlled by the State Government shall on the issue of general or special orders made from time to time by the State Government in that behalf and subject to the provisions of this Act and the rules made thereunder and to such terms and conditions as may be specified in such order, vest in the Grama Sasan and be under its management, direction and control.
(4) Without prejudice to the generality of sub-section (3) but subject to the provisions thereof properties of the nature herein specified shall vest in the Grama Sasan and be under its management, direction and control, that is to say - (a) Village roads, (b) Irrigation sources, (c) Ferries, (d) Waste lands and communal lands, (e) Protected forests within the meaning of the Indian Forest Act, 1927 (16 of 1927) and unreserved forests within the meaning of the Madras Forest Act, 1882 (Madras Act 5 of 1882) in respect of the management, protection and maintenance thereof for timber, fuel fodder and other purposes. (f) Markets and fairs or such portions thereof as are held upon public land or upon land belonging to or under the control of Government together with such lands, and (g) All income arising or accruing from any of the items of properties covered by the foregoing clauses. "section 73 provides for allocation of properties to and withdrawal of properties from Grama Panchayat. It reads as follows : -"73. Allocation of properties to and withdrawal of properties from the Grama Sasan. (1) The State Government may allocate to a Grama Sasan any public property situated within the Grama and thereupon such property shall for the purposes of this Act and subject to such terms, conditions, limitations and restrictions as the State Government may from time to time impose in that behalf, vest in and come under the management and control of the Grama Panchayat. (2) Whenever in respect of any property vested in or under the management and control of the Grama Sasan the State Government consider it expedient in the general public interest so to do or whatever in their opinion the Grama Panchayat has failed to make proper use of such property, they may by general or special order direct the withdrawal of such property from the Grama Sasan and thereupon such property shall vest in and be under the direction, management and control of the State Government. Provided that the Grama Sasan upon such withdrawal shall not be entitled to any compensation except in respect of such improvements of a permanent nature made by the Grama Sasan as the State Government may deem proper. "these two provisions have not been taken note by the officers. In case law and order problem is created by the Grama Panchayat, the Act is not helpless in the matter.
"these two provisions have not been taken note by the officers. In case law and order problem is created by the Grama Panchayat, the Act is not helpless in the matter. Chapter XI of the Act provides for adequate control officers entrusted with the power can have effective control by exercising power under the Act. 5. Coming to the question of observing the principle of natural justice, it is sine qua non for establishment of rule of law. Where right of a person is likely to be affected by any State action, adequate opportunity shall be afforded to it. Juristic persons are no exception to it. This is now well settled. See AIR 1985 SC 1147 , Ram and Shyam Co. v. State of Haryana. There can be no dispute that by transfer of fishery right, petitioner Grama Panchayat acquired a right. Even in absence of any provision, such right can be affected by giving it opportunity to show cause effectively. Admittedly, petitioner was not given opportunity of showing cause and of hearing before Annexure-15 was issued. Accordingly, Annexure-15, the order of Tahsildar, Aska revoking transfer of fishery right of petitioner is quashed. Since the order of revocation has obtained from the office of the Collector and Collector has not done anything more than directing to take appropriate action, we direct the Collector to consider the question of revocation of transfer of the fishery right. We direct the petitioner to appear before the Collector on 15-5-1989 with a copy of this order to that Collector can fix a date of enquiry for deciding what appropriate action is warranted in the matter if he is satisfied that the allegations made against the petitioner are correct. ( 6 ) IN the result, writ application is allowed. Annexure-15 is quashed. No costs. ( 7 ) PASAYAT, J. :- I agree. Application allowed.