134. Exemption.—The provisions of this Chapter shall not apply to land owned by the Government
or a local authority.
135. Definitions.—For the purposes of this Chapter,—
(a) “ceiling limit”, in relation to land, means the limit fixed under section 136;
(b) “family”, in relation to a person, means the person, the wife or husband, as the case may be,
and the dependent children and grandchildren, of such person;
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(c) “land” does not include land used for non-agricultural purposes.
136. Ceiling on holdings.—No person either by himself, or, if he has a family, together with any
other member of his family (hereinafter referred to as the person representing the family) shall, whether
as a landowner or as a tenant or as a mortgagee with possession or otherwise, or partly in one capacity
and partly in another, hold land in excess of twenty-five acres in the aggregate:
Provided that, where the number of members of the family of such person exceeds five, he may hold
five additional acres for each member in excess of five, so however as not to exceed fifty acres in the
aggregate.
Explanation.—In the case of a company, an association or any other body of individuals, the ceiling
limit shall be twenty-five acres.
137. Submission of returns.—Every person representing a family who at the commencement of this
Act holds, or has at any time during the period between the 15th day of January, 1959 and such
commencement held, land in excess of the ceiling limit shall submit to the competent authority, in such
form and within such time as may be prescribed, a return giving the particulars of all land held by him
and indicating therein the parcels of land, not exceeding the ceiling limit, which he desires to retain:
Provided that in the case of joint-holding, all co-sharers may submit the return jointly indicating the
parcels of land, not exceeding the aggregate of their individual ceiling limits which they desire to retain.
Explanation.—In the case of a person under disability, the return shall be furnished by his guardian or
authorised agent, as the case may be.
138. Collection of information through other agency.—If any person who under section 137 is
required to submit a return, fails to do so, the competent authority may collect the necessary information
through such agency as may be prescribed.
139. Procedure for determination of excess land.—(1) On receipt of any return under section 137
or information under section 138 or otherwise, the competent authority shall, after giving the persons
affected an opportunity of being heard, hold an inquiry in such manner as may be prescribed, and having
regard to the provisions of section 140 and section 141 and of any rules that may be made in this behalf, it
shall determine—
(a) the total area of land held by each person representing the family;
(b) the specific parcels of land which he may retain;
(c) the land held by him in excess of the ceiling limit;
(d) whether such excess land is held by him as a landowner or as a tenant or as a mortgage with
possession;
(e) the excess land in respect of which the tenant or the mortgagee with possession may acquire
the rights of the landowner of the mortgagor, as the case may be;
(f) the excess land which may be restored to a landowner or a mortgagor;
(g) the excess land which shall vest in the Government; and
(h) such other matters as may be prescribed.
(2) For the purposes of determining the excess land under this section, any land transferred at any
time during the period between the 15th day of January, 1959 and the commencement of this Act shall,
notwithstanding such transfer, be deemed to be held by the transferor.
(3) The competent authority shall prepare a list in the prescribed form containing the particulars
determined by it under sub-section (1) and shall cause every such list to be published in the Official
Gazette and also in such other manner as may be prescribed.
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140. Selection of excess land in cases of certain transfers.—(1) Where any person holding land in
excess of the ceiling limit at any time during the period between the 15th day of January, 1959, and
the 9th day of December, 1959, has transferred during such period any part of his land to any other person
under a registered deed for valuable consideration, the excess land to be determined under section 139
shall, to the extent possible, be selected out of the land held at the commencement of this Act by the
transferor in excess of a family holding and no land shall be selected out of the land transferred.
(2) Where any person holding land in excess of the ceiling limit at any time—
(a) during the period between the 15th day of January, 1959 and the 9th day of December, 1959,
has transferred during such period any part of his land to any other person in any manner other than
under a registered deed for valuable consideration, or
(b) during the period between the 9th day of December, 1959 and the commencement of this Act
has transferred during such period any part of his land to any other person in any manner whatsoever,
the excess land to be determined under section 139 shall be selected out of the lands held at the
commencement of this Act by the transferor and the transferee in the same proportion as the land held by
the transferor bears to the land transferred and where no land is held by the transferor, out of the land
transferred.
(3) Where excess land is to be selected out of the lands of more than one transferee, such land shall be
selected out of the lands held by each of the transferees in the same proportion as the area of the land
transferred to him bears to the total area of the lands transferred to all the transferees.
(4) Where any excess land is selected out of the land transferred, the transfer of such land shall be
void.
(5) Notwithstanding anything hereinbefore contained, the excess land to be selected shall in no case
include the homestead land of a person.
Explanation.—For the purpose of this sub-section, “homestead land” means the land on which the
homestead (whether used by the owner or let out on rent) stands together with any courtyard, compound
and attached garden, not exceeding one acre in the aggregate.
141. Excess land to vest in Government.—(1) Where any excess land of a landowner is in his actual
possession, the excess land shall vest in the Government.
(2) Where any excess land of a landowner is in the possession of a person holding the same as a
tenant or as a mortgagee and the excess land together with any other land held by such person exceeds his
ceiling limit, the land in excess of the ceiling limit shall vest in the Government.
(3) Where any excess land of a landowner is in the possession of a person holding the same as a
tenant or as a mortgagee and such person is allowed to retain the excess land or a part thereof as being
within his ceiling limit, that person shall acquire the rights of the landowner or of the mortgagor, as the
case may be, in respect of such excess land or part thereof on payment of compensation, if any, as
hereinafter provided, but if that person refuses to pay such compensation, the excess land or part thereof
shall vest in the Government.
(4) Where there is any excess land of a tenant or of a mortgagee with possession, the excess land shall
vest in the Government:
Provided that, in any case where the excess land or any part thereof held by a person as landowner or
mortgagor together with any other land held by such person does not exceed the ceiling limit, the excess
land or such part thereof as does not exceed the ceiling limit shall be restored to the possession of that
person on an application made by him in this behalf to the competent authority within such time as may
be prescribed and in the case where the possession of such land is restored to the mortgagor, the mortgage
in respect of such land shall be deemed to be a simple mortgage.
142. Publication of the final list and consequences thereof.—(1) Any person aggrieved by an entry
in the list published under sub-section (3) of section 139 may, within thirty days from the date of
publication thereof in the Official Gazette, file objections thereto before the deputy commissioner.
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(2) The deputy commissioner or any other officer authorised in this behalf by the Administrator may,
after considering the objections and after giving the objector or his representatives an opportunity of
being heard in the matter, approve or modify the list.
(3) The list as approved or modified under sub-section (2) shall then be published in the Official
Gazette and also in such other manner as may be prescribed and subject to the provisions of this Act, the
list shall be final.
(4) With effect from the date of publication of the list in the Official Gazette under sub-section (3),—
(a) the excess land shall stand transferred to and vest in the Government free of all
encumbrances; or
(b) the possession of the excess land shall stand restored to the landowner or the mortgagor, as the
case may be; or
(c) the rights of the landowner or the mortgagor in respect of the excess land shall stand
transferred to the tenant or the mortgagee, as the case may be.
143. Compensation.—(1) Where any excess land of a landowner vests in the Government, there shall
be paid by the Government to the landowner compensation, subject to the provisions of sub-section (2),
of an amount equal to twenty times the net annual income from such land.
Explanation.—For the purposes of sub-section (1), the net annual income from any land shall be
deemed to be one-fifth of the value of the average yearly gross produce of the land, calculated in such
manner as may be prescribed.
(2) Where such excess land or any part thereof is in the possession of a tenant, the compensation
payable under sub-section (1) in respect of the land shall be apportioned between the landowner and the
tenant in such proportion as may be determined by the competent authority in the prescribed manner,
having regard to their respective shares in the net income from such land.
(3) In addition to the compensation payable in respect of any excess land under sub-section (1), there
shall also be paid compensation in respect of any structure of building constructed on such land and any
trees planted thereon, and such compensation shall be determined by the competent authority in the
prescribed manner, having regard to the market value of any structure or building or the value of such
trees, and such compensation shall be paid to the person who has constructed the structure or building or
planted the trees.
(4) Where any excess land in respect of which compensation is payable is subject to any mortgage or
other encumbrance, the amount due under the mortgage or other encumbrance in respect of such excess
land, or where a transfer of any excess land is void by virtue of sub-section (4) of section 140, the
consideration money paid by the transferee in respect of such excess land, shall be a charge on the
compensation payable in respect of the excess land to the person who has created the mortgage or
encumbrance or, as the case may be, to the transferor.
(5) Where a tenant acquires the rights of a landowner in respect of any excess land, the compensation
payable by him in respect of that land shall be equal to the amount which the landowner would have been
paid as compensation under sub-section (2) or sub-section (3) if the land had vested in the Government;
and the amount shall, in the first instance, be paid to the landowner by the Government and shall be
recovered from the tenant in such manner as may be prescribed.
(6) Where a mortgagee in possession acquires the rights of the mortgagor in respect of any excess
land under sub-section (3) of section 141, the compensation payable by the mortgagee in respect of that
land shall be such sum of money, if any, as may be due to the mortgagor after setting off the mortgage
debt against the market value of such excess land.
(7) Where any excess land of a religious or charitable institution vests in the Government, such
institution shall, in lieu of compensation payable under sub-section (1) or sub-section (2) or
sub-section (3), be paid an annuity equal to the net annual income of the excess land and such net annual
income shall be determined by the competent authority in the prescribed manner.
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(8) The competent authority shall, after holding an inquiry in the prescribed manner, make an order
determining the amount of compensation payable to any person under this section.
144. Manner of payment of compensation.—(1) The compensation payable under section 143 shall
be due from the date of publication of the list under sub-section (3) of section 142 and may paid in cash,
in a lump sum or in instalments, or in bonds.
(2) Where the compensation is payable in bonds, the bonds may be made not transferable or
transferable by endorsement or in any other manner but all such bonds shall be redeemed within such
period, not exceeding twenty years from the date of issue, as may be prescribed.
(3) Where there is any delay in the payment of compensation or where the compensation is paid either
in instalments or in bonds, it shall carry interest at the rate of two and a half per cent. per annum from the
date on which it falls due.
145. Limit of future acquisition of load.—No person representing a family shall acquire in any
manner whatsoever, whether by transfer, exchange, lease, agreement or succession, any land where such
acquisition has the effect of making the total area of the land held by him exceed the ceiling limit; and any
such land in excess of the ceiling limit shall be treated as excess land of the transferee and provisions of
section 139 to 144 shall, as far as may be, apply to such excess land.
146. Excess land not to be surrendered in certain cases.—Where a person representing a family
holds land not exceeding the ceiling limit, but subsequently the land held exceeds the ceiling limit, then,
notwithstanding anything contained in this Chapter, such person shall not be required to surrender any
part of the land on the ground that it is excess land, if such excess is due to a decrease in the number of
members of the family.
147. Power of deputy commissioner to take possession of excess land.—After the publication of
the list of excess lands under sub-section (3), of section 142, and after demarcation in the prescribed
manner of such lands where necessary, the deputy commissioner may take possession of any excess land
and may use or cause to be used such force as may be necessary for the purpose.
148. Offences and penalties.—(1) Whoever being bound to submit a return under section 137 fails to
do so, without reasonable cause, within the prescribed time, or submits a return which he knows or has
reason to believe to be false, shall be punishable with fine which may extend to one thousand rupees.
(2) Whoever contravenes any lawful order made under this Chapter or otherwise obstructs any person
from lawfully taking possession of any land shall be punishable with fine which may extend to one
thousand rupees.
149. Finality of orders.—Subject to the provisions of this Act, every order made under this Chapter
shall be final.
150. Power to exempt, etc.—(1) The Administrator may, on an application made to him in this
behalf within three months from the commencement of this Act, exempt from the operation of
section 136—
(a) any land which is being used for growing tea, coffee or rubber including lands used or
required for use for purposes ancillary to, or for the extension of, the cultivation of tea, coffee or
rubber to be determined in the prescribed manner;
(b) any sugarcane farm operated by a sugar factory;
(c) any specialised farm which is being used for cattle breeding, dairy or wool raising;
(d) any person who holds a compact block land exceeding the ceiling limit which—
(i) is being used as an orchard from before the 1st day of January, 1958, or
(ii) is being used as a farm in which heavy investment or permanent structural improvements
have been made and which, in the opinion of the Administrator, is being so efficiently managed
that its break up is likely to bring a fall in production:
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Provided that where such person holds the compact block of land together with any other land, he
shall be permitted to elect to retain either the compact block of land, notwithstanding that it exceeds the
ceiling limit, or the other land not exceeding the ceiling limit;
(e) any land which is being held by a co-operative society, provided that where a member of any
such society holds a share in such land, his share shall be taken into account in determining his ceiling
limit:
Provided that the Administrator may entertain the application after the expiry of the said period of
three months, if he is satisfied that the applicant was prevented by sufficient cause from making the
application in time.
(2) Where any land in respect of which exemption has been granted to a person under clause (a) of
sub-section (1) is transferred to another person, the Administrator may, on an application made to him
within three months from the date of the transfer, exempt the transferee from the operation of section 136
and section 145 and the provisions of the said clause shall, as far as may be, apply to the grant of such
exemption.
(3) Where the Administrator is of opinion that the use of land for any specified purpose is expedient
or necessary in the public interest, he may, by notification in the Official Gazette, make a declaration to
that effect and on the issue of such notification, any person may, notwithstanding anything contained in
section 145 acquire land in excess of the ceiling limit for being used for such specified purpose and such
person shall, within one month form the date of such acquisition, send intimation thereof to the competent
authority.
(4) Where any land in respect of which exemption has been granted under sub-section (1) or
sub-section (2) or sub-section (3) ceases to be used, or is not, within the prescribed time, used, for the
purpose for which exemption had been granted, the Administrator may, after giving the persons affected
an opportunity of being heard, withdraw such exemption.