THE KERALA REQUISITIONING AND ACQUISITION

OF PROPERTY ACT, 1981 [1] 

(Act 27 of 1981) 

An  Act to provide for the requisitioning and acquisition of property for public purposes, not being purposes of the Union.

Preamble.— whereas it is expedient to provide for the requisi­tioning and acquisition of property for public purposes, not being purposes of the Union;

be it enacted in the Thirty-second Year of the Republic of India as follows:—

1. Short title, extent and commencement.—(1) This Act may be called the Kerala Requisitioning and Acquisition of Property Act, 1981.

(2)              It extends to the whole of the State of Kerala.

(3)              It shall come into force at once.

2.    Definitions.—In this Act, unless the context otherwise requires,—

(a)      "award" means any award of the District Collector made under  section 8;

(b)     "landlord" means any person who for the time being is receiving   or is entitled to receive, the rent of any premises, whether on his own account, or on account or on behalf or for the benefit, of any other person or as a trustee, guardian or receiver for any other person, or who would so receive the rent or be entitled to receive the rent if the premises   were let to a tenant;

(c)              the expression "person  interested", in relation  to any property, includes all persons claiming, or entitled to claim, an interest in the compensation payable on account of the requisitioning or acqui­sition of that property under this Act. 

(d)     "premises" means any  building or part of a building and includes—

(i) the garden, grounds and out-houses, if any, appertaining to such building or part of a building;

(ii) any  fittings affixed to such building or part of a building for the more beneficial enjoyment thereof;

(e) "prescribed" means prescribed by rules made under this Act;

(f)        "property"   means   movable   or   immovable   property   of every kind and includes any rights in or over such property;

(g)      "State" means the State of Kerala;

(h) "tenant" means any person by whom or on whose account rent is payable for any premises and includes such sub tenants and other persons as have derived title under the tenant under any law for the time being in force.

3. Power to requisition properly.—(1) Where the Government are of opinion that any property is needed or likely to be needed for any public purpose, not being a purpose of the Union, and that the property should be requisitioned, the Government—

(a)    shall call upon the owner or any other person who may be in possession of the property, by notice in writing (specifying therein the purpose of the requisition) to show cause,—

(i) in the case of immovable property, within fifteen days, and

(ii) in the case of movable property, within five days,

of the date of service of such notice on him, why the property should not be requisitioned.

(b)    may, by order, direct that neither the owner of the property    nor any other person shall, without permission of the Government, dispose of, or structurally alter, the property or let it out to a tenant until the expiry   of such period, not exceeding two months, as may be specified in the order.

(2)    If, after considering the cause, if any, shown by any person interested in the property or in possession thereof, the Government are satisfied that it is necessary or expedient so to do, they may, by order in writing, requisition the property and may make such further orders as appear to them to be necessary or expedient in connection with the requisitioning :

Provided   that no property or part thereof—

(a)      which is bona fide used by the owner thereof as the residence of himself or his family; or

(b)     which is exclusively used either for religious worship by the public or as a school, hospital, public library or an orphanage or   for the purpose of  accommodation of persons connected with the management of such place of worship or such school, hospital, library or orphanage, shall be requisitioned:

Provided  further that where the requisitioned property consists of premises which are being used as a residence by a tenant for not less than two months immediately preceding the date of the service of notice under subsection (1), the Government shall provide such tenant with alternative accommodation which in their opinion is suitable.

4. Power to take possession of requisitioned property.— (1) Where any property has been requisitioned under section 3, the Government may, by notice in writing, order the owner as well as any other person who may be in possession of the property to surrender or deliver possession thereof to the Government or any person duly authorised by them in this behalf within such time as may be specified in the notice.

(2) If any person refuses or fails to comply with an order made under subsection (1), the Government or any person duly authorised by them in this behalf may take possession of the property and may, for that purpose, use such force as may be necessary.

5. Rights over requisitioned property.— (1)  All property requisitioned under section 3 shall be used for such purposes as may be mentioned in the notice of requisition.                                                               

  (2) Where any premises are requisitioned under section 3, the Government may, after notice, order the landlord to execute such repairs as may be necessary and are usually made by landlords in that locality and as may be specified in the notice, within such reasonable time as may be mentioned therein, and if the landlord fails to execute any repairs in pursuance of such order, the Government may cause the repairs specified in the order to be executed at the expense of the land­lord and the cost thereof may, without prejudice to any other mode of recovery, be deducted from the compensation payable to the landlord.

6. Release from requisitioning.— (1) The Government may, at any time, release from requisition any property requisitioned under this Act and shall, as far as possible, restore the property in as good a condition as it was when possession thereof was taken subject only to the changes caused by reasonable wear and tear and irresistible force:

Provided that where the purposes for which any requisitioned property was being used cease to exist, the Government shall, unless the property is acquired under section 7, release that property, as soon as may be, from requisition.

(2)              Where any property is to be released from requisition, the Government may, after such inquiry, if any, as they may in any case consider necessary   to make or cause to be made, specify, by order in writing, the person to whom possession of the property shall be given and such possession shall, as far as practicable, be given to the person from whom possession was taken at the time of the requisition or to the successors-in-interest of such person.

(3)              The delivery of possession of the property   to the person specified in an order under subsection (2) shall be a full discharge of the Government from all liability in respect of the property, but shall not prejudice any rights   in respect of  the  property which any   other person may be entitled by    due process of law to enforce against the person to whom possession of the property is given.

(4)              Where any person to whom possession of any requisitioned property is to be given is not found and has no agent or other person empowered to accept delivery on his   behalf,    the   Government   shall cause a notice declaring that the property is released from requisition to be published in the Gazette or in two daily newspapers having wide circulation in the locality and in the case of immovable property such notice   shall also be affixed on some conspicuous part of the property.

(5)             When a notice referred to in sub-section (4) is published as required by that sub-section, the property  specified in such notice shall cease to be subject to requisition on   and from   the date of   such publication and shall be deemed to have been delivered to the person entitled to possession thereof and the Government shall not be liable for any   compensation or   other claim in   respect of the property for any period after the said date.

(6)             Where any property requisitioned under this Act or any material part thereof is wholly    destroyed or rendered   substantially and permanently unfit   for the purpose for which it was requisitioned by reason   of fire, earthquake, tempest, flood or violence of any army or of a mob or other irresistible force, the requisition shall, at the option of the Government, be void:

Provided that the benefit of this sub-section shall not be available to the Government—

(i)    where the injury to such property is caused by any wrongful act or default of the Government, or

(ii)    where such injury to such property would not have been caused but for the requisition.

7. Power to acquire requisitioned property.— (1) Where any property is subject to requisition, the Government may, if they are of opinion that it is necessary to acquire the property for a public purpose, not being a purpose of the Union, at any time acquire such property by publishing in the Gazette a notice to the effect that the Government have decided to acquire the property in pursuance of this section:

Provided that before issuing such notice, the Government shall call upon the owner of, or any other person who, in the opinion of the Government, may be interested in, such property to show cause why the property should not be acquired; and after considering the cause if any, shown by any person interested in the property and after giving the parties an opportunity of being heard, the Government may pass such orders as they deem fit.

(2) When a notice as aforesaid is published in the Gazette, the requisitioned property shall, on and from the beginning of the day on which the notice is so published, vest absolutely in the Government free from all encumbrances and   the period of requisition of such property shall end.

(3)    No property  shall be acquired under this section except in the following circumstances, namely:—

(a)               where any works have, during the period of requisition, been constructed on, in or over, the property wholly   or partially   at the expense   of the Government and the Government decide that the value of, or the right to use, such works should be secured or preserved for the purposes of Government;  or

(b)              where the cost of restoring the property to its condition at the time of its requisition would, in the determination of the Government, be excessive  and  the owner declines  to accept  release from requisition of the property without payment of compensation for so restoring the  property.

(4)               Any decision or determination of the Government under subsection (3) shall be final and shall not be called in question in any court.

(5)               For the purposes of clause (a)  of sub-section (3), ''works” includes   buildings, structures   and improvements of every description.

8. Principles and method of determining compensation in cases where immo­vable property is requisitioned or acquired.— (1) Where any. immovable property is requisitioned or acquired under this Act, there shall be paid compensation the amount of which shall be determined in the manner and in accordance with the principles hereinafter set out, that is to say,—

(a)               where the amount of compensation can be fixed  by agree­ment, it  shall be paid in accordance with such agreement;

(b)              where no such agreement can be reached, the Government shall,   within two  months   of taking  possession   of  the  property under   section   4,   or   of  the   publication    of the   notice   under   sub section (1) of section 7, as the case may be, direct the District Collector within whose jurisdiction the property is situate to determine the amount of compensation;

         (c) on receipt of a direction under clause  (b)_,  the District Collector shall, after such inquiry as may be prescribed and such fur­ther inquiry as  he  considers   necessary, make an award  determining the amount of compensation which appears to him to be just and speci­fying the person or persons to whom such compensation shall be paid, and in making the award, he shall have regard to the circumstances of each case and the provisions of subsections (2) and (3), so far as they are applicable;

(d) where there is a dispute as to the person or persons who are entitled to the compensation, the District Collector shall decide such dispute and if the District Collector finds that more persons than one are entitled to compensation, he shall apportion the amount thereof among such persons.

(2)    The amount of compensation payable for the requisitioning of any immovable   property   shall consist of—

(a)              a recurring payment, in respect of the period of requisition, of a sum equal to the rent which would have been payable  for the use and occupation of the immovable property   if   it   had been   taken   on lease for that period;  and

(b)             such sum or sums, if any, as may be found necessary to compensate the person interested for all or any of the following matters, namely:—

(i)   pecuniary loss due to requisitioning;

(ii) expenses on account of  vacating the requisitioned premises;

(iii) expenses on account of re-occupying the premises upon release from requisition; and

(iv) damages {other than normal wear and tear) caused to the immovable property during the period of requisition including the expenses that may have to be incurred for restoring the same to the condition in which it was at the time of requisition.

(3) The compensation payable for the acquisition of any immovable property under section 7 shall be the price which the requisitioned immovable property would have fetched in the open market, if it had remained in the same condition as it was at the time of requisitioning and been sold on the date of acquisition.

9.    Payment of compensation relating to immovable property.— (1)    The amount   of   compensation payable under an award  shall, subject  to any rules made under this Act, be paid by the Government to the person or persons entitled thereto in such manner and within such time as may be specified in the award.

(2) The amount of compensation payable under an award shall carry interest at the rate of six per cent per annum from the date on which it is specified as payable in the award.

10.   Appeals from awards in respect of compensation.—(1)  Any person aggrieved   by an award of the District Collector made under section 8 may,  within sixty  days from the date of such award, prefer an appeal to the District Court within whose jurisdiction the immovable property is situate:

Provided that the District Court may entertain an appeal after the expiry of the said period of sixty days, if it is satisfied that the appellant was prevented by sufficient cause from filing the appeal in time.

(2)               On receipt of an appeal  under subsection (1), the District Court shall, after such inquiry as it deems necessary, pass such orders on the appeal as it thinks fit.

(3)               An order of the District Court under subsection (2) shall be final.

11.   Government and officers and authorities to have certain powers of civil courts.—The Government or any officer or authority empowered by the Government under subsection (1) of section 17 or the District Collector, while holding an inquiry  under this Act, shall have  all the powers  of  a civil  court  while trying a suit under the Code of Civil Procedure, 1908 (Central Act 5 of 1908),   in respect   of the following matters, namely:—

(a)              summoning and enforcing the attendance of any person and examining him on oath;

(b)     requiring the discovery and production of any document;

(c)              reception of evidence on affidavits;

(d)             requisitioning any public record from any court or office;

(e)              issuing commissions for examination of witnesses.

12.   Principles and method of determining compensation in cases where movable property is requisitioned or acquired.— Where   any movable property  is requisitioned or acquired under this Act, the compensation payable therefor and the person or persons to whom it should be paid shall be determined in accordance with the rules to be made in his behalf by the Government:

Provided  that  the rules so made for payment of compensation shall,─

(a)               in   respect  of movable  property  requisitioned,  provide, for payment of rent or other return which the property would normally fetch  if so allowed to be used; and

(b)      in  respect  of movable  property  acquired, provide for  payment of compensation at the market rate prevailing on the date of acquisition. 

13.            Power to obtain information.—The Government may, with a view to    carrying out the purposes of section 3 or section 6 or section 7 or  section 8 or   section 12, by order, require any person to furnish to such   officer, as   may   be   specified   in the order, such information in his  possession  as   may  be  specified   relating to any property  which is requisitioned or acquired, or intended to be requisitioned or acquired, under this Act.

14.            Power to enter and inspect.—Any officer,   empowered  in  this behalf by the Government by general or special order, may enter and inspect any property for the purposes of determining whether and if so, in what  manner,  an order under this Act should  be made in relation to such property or with a view to securing compliance with an order made under this Act.

15.            Service of notices and orders.—(1)  Subject   to   the provisions of this   section and   any   rules   that  may be   made under this Act, every notice or order issued or made under this Act shall,— 

(a)       in the  case  of any  notice  or  order of a general nature or affecting a class of persons, be published in the Gazette; and

(b)      in the case of any notice or order affecting an individual, corporation or firm, be   served in the  manner provided for   the service of summons   in rule 2 of Order XXIX or rule 3 of Order XXX, as the  case may be, in the First   Schedule to the Code of Civil Procedure, 1908 (Central Act 5 of 1908); and

(c)    in the case  of   any   notice or   order affecting a person (not being a corporation or firm), be served on such person—

(i)   by delivering or tendering it to that person; or

(ii) if it cannot be so delivered or tendered, by delivering or tendering it to any officer of such person or any adult male member of the family of such person, or by affixing a copy thereof on the outer door or on some conspicuous part of the premises in which that person is known to have last resided or carried on business or personally worked for gain; or

(iii) failing service by these means, by registered post.

(2) Where the ownership of the property is in dispute or where the persons interested in the property are not readily traceable and the notice or order cannot be served without undue delay, the notice or order may be served by publishing it in the Gazette, and where possible, by affixing a copy thereof on any conspicuous part of the property to which it relates.

16.            Easement  not  to  be  disturbed.—No  person  interested  in  any immovable   property  requisitioned or acquired under this Act   shall, without the previous   written consent of  the Government or except for the purposes of effecting repairs or complying with a municipal requirement, wilfully disturb any convenience   or   easement attached to such  property  or  remove, destroy or render unserviceable, anything provided for permanent use therewith or discontinue or cause to  be  discontinued any supply or service provided  for the property.

17.            Delegation of powers.—(1)    The  Government  may, by noti­fication  in the   Gazette, direct that   any  power conferred on them by or  under  this Act shall, in such  circumstances   and  under such con­ditions, if any,  as  may be  specified  in the notification, be  exercisable also by   an officer or   authority   subordinate   to   the Government.

(2) All notifications issued under subsection (1) shall be laid, as soon as may be possible, before the Legislative Assembly.

(3) An appeal shall lie to the Government from any decision made by the officer or authority subordinate to the Government to whom powers have been delegated under subsection (1).

18.   Protection of action taken in good faith.— (1) No suit, prosecution or other  legal  proceeding  shall lie against any person for anything which is in good faith   done or intended to be done in pursuance of this Act or any order made thereunder.

(2) No suit or other legal proceeding shall lie against the Government, any officer or authority for any damage caused or likely to be caused by anything which is in good faith done or intended to be done in pursuance of this Act or any order made thereunder.

19.             Bar of jurisdiction of civil courts.—Save  as  otherwise expressly provided in   this   Act, no civil court shall have jurisdiction in respect of any  matter    which   the   Government   or  the   District   Collector  is empowered   by  or   under this Act   to  determine.

20.             Penalty for offences.—Whoever    contravenes    any   provision of this Act,  or any rule made thereunder, or any order made or direction given under  this  Act,   or   obstructs the lawful   exercise  of any power conferred   by   or   under   this   Act,   shall be punishable   with imprison­ment for a term which may  extend   to three months, or with fine which, may  extend  to  two  thousand  rupees, or with  both.

21.             Certain persons to be public servants.—The District Collector and every  officer    empowered by the Government, while exercising any power or performing any   duty under this Act, shall be deemed to be  a  public servant within the meaning of section 21 of the Indian Penal Code (Central Act 45 of I860).

22.             Power to make rules.—(1)   The  Government  may, by noti­fication in the Gazette, make rules for carrying out the purposes of this Act. 

(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:─ 

      a)  the procedure  to be followed  by the  Government in making   inquiries under section 3 or section 6; 

     (b)   the procedure to be followed   by the District Collector in making  inquiries   under section 8;

(c)              the principles   to   be followed in determining the amount of compensation   and   method   of   payment   of   such   compensation;

(d)             the principles to be followed in apportioning the cost of proceedings  before the District Collector and  on appeal under this Act;

(e)              the manner of service  of notices  and orders;

(f)                 any other matter which has to be, or may be, prescribed.

(3) Every rule made under this section shall be laid as soon as may be after it is made, before the Legislative Assembly while it is in session for a total period of fourteen days which may be com­prised in one session or in two successive sessions and if, before the expiry of the session in which it is so laid or the session, immediately following, the Legislative Assembly makes any modification in the rule or decides that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so however that any such modification or annul­ment shall be without prejudice to the validity of anything previously done under that rule.