High CourtDivision BenchAppeal allowed; High Court judgment set aside; ...

STATE OF MYSORE v. ANANT VINAYAK PATWARDHAN

Case / Petition Number:Civil Appeal No. 1741 of 1967

Case Details & Bench

Court
High Court
Hon'ble Judges
  • K. K. Mathew
  • A. Alagiriswami
Judgment Date
1974-02-26
Court Decision / Holding
Appeal allowed; High Court judgment set aside; special leave granted with the State to pay respondent's costs.
Final Disposition
Appeal allowed; High Court judgment set aside; State to pay costs; special leave granted.

Parties to the Case

Appellants / Petitioners

  • State of Mysore

Respondents

  • Anant Vinayak Patwardhan

Legal Representation & Advocates

Counsels for Petitioners

  • • V. K. Krishna Menon
  • • M. Veerappa
  • • S. P. Singh

Counsels for Respondents

  • • R. B. Datar
  • • M. L. Verma

Case Synopsis & Summary

The present appeal concerns a long-standing cash allowance called Tainat granted to the Patwardhan family by the Peshwas. After the Peshwas’ defeat, the Jamkhandi ruler’s terms, made under the Treaty with the East India Company, provided that the holder would receive a contingent personal allowance; the grant was described as permanent but was later converted to a life grant in 1944. Following the merger of Jamkhandi State with Bombay and the passing of the Bombay Merged Territories Miscellaneous Alienations Abolition Act, 1955, the respondent asserted his ancestral entitlement was permanent and hereditary and sought substantial multiples of the cash allowance as compensation. The Assistant Commissioner granted three times the annual cash allowance; the Revenue Appellate Tribunal upheld the ruler’s sovereign power to modify the grant; the Mysore High Court awarded seven times the annual cash allowance, treating the grant as hereditary. The Supreme Court reversed the High Court, holding that the constitutional position of rulers prior to integration gave them sovereign powers to alter grants, and such changes (e.g., permanent to life) were legally valid. It also noted that, since these are service allowances, the commutation amount could be deducted from the cash allowance for calculating compensation. The appeal is allowed, the High Court’s order set aside, costs awarded to the respondent, with special leave instructions.

Provisions of Law Cited

Bombay Merged Territories Miscellaneous Alienations Abolition Act, 1955, Section 11Constitution of India, Articles 19(1)(f) and 31(2)

Legal Doctrines & Maxims

  • Uncontrolled sovereign powers of the ruler before integration; the ruler as fountain head of authority (legislature, executive, judiciary)
  • Firman-like sovereign acts binding prior to integration and potentially overriding later laws (as per Ameers-un-Nissa Begum v. Mahboob Begum)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contended that the Jamkhandi ruler possessed sovereign powers before integration, with the ruler being the fountainhead of all authority (legislature, executive, judiciary). The permanent hereditary nature of the Tainat grant could be altered by the ruler’s order to a life grant without constitutional censure. In consequence, the Bombay Act and the question of striking it down under Art. 19(1)(f) or Art. 31(2) should not override pre-constitutional prerogatives. The court should adopt the three-times cash allowance framework for compensation, less the commutation amount, rather than seven times, and deduct the Rs. 240 commutation portion when computing compensation. The High Court’s interpretation that the grant was hereditary and the seven-times award was erroneous; the State should bear costs on this appeal.

Contentions of Respondents

The respondent argued the Tainat cash allowance was permanent and hereditary; the Jamkhandi ruler had continued to grant it for lifetime by earlier orders and had retained the power of modification. He contended that the grant right should be preserved as hereditary and permanent, and the compensation should be seven times the cash allowance, without deduction for commutation. He also urged that the Bombay Act’s constitutionality should be considered under constitutional guarantees, citing potential invalidity under Arts. 19(1)(f) and 31(2).

Cited Precedents (2)

Case NameCitationTreatmentExplanation
Ameer-un-Nissa Begum v. Mahboob BegumAIR 1955 SC 352PositiveCited to articulate the constitutional position of the ruler prior to integration and the concept of sovereign powers that can be exercised by the ruler.
M.P. State v. Ranojirao1968 3 SCR 4119Mentioned OnlyReferenced to discuss the potential unconstitutionality of similar acts, but the court explicitly declines to express opinion on its application in this case.

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Extracted Judgment Text

Exact text extracted from official judgment records.

460 STATE OF MYSORE _v._ ANANT VINAYAK PATWARDHAN _Februan_ 26, 197~ [K. K. MA THEW AND A. ALAG!R!SWAMI, JJ. J _Bo111bay_ _Merged_ _Terri1ories Miscellaneous Alienation Abolition_ _Act,_ 1955, _Section_ _11-Tainat_ _(Casli Allowance) granted_ _to_ _respondents ancestors by_ _tlie Pesliwas-Allowa11ce co/ltinued_ _b_v- Ruler_ _of_ _Ja1nkhandi under terms_ _of_ _11·eaty_ _with East India_ _Co.-S11bseque111ly Ruler_ _of_ _Jamkl1andi converted allow-_ _'11lCe_ _to one_ _for_ _Jife-Whetl1er, cash allowance payable was permanent and_ _hereditar)'-Comtnutation amount whether deductible_ _fro1n_ _cash allowance for_ _paynzerit_ _of_ _comve11sa1ion._ The respondent's ancestors had been granted a cash allowance called Tainat by the Peshwas. After the defeat of the Peshwas by the British, by the Treety of Gulgallee with Jamkhandi dated 6-6-1819 by the then Governor of Bomba1 on behalf of the East lndia Co. one of the terms which were granted to Gopalrao Jamkhandikar was rec(\rding the terms which he held from the Govt. of His Highness the Pesbwa, for the payment of his contingent (apparently army) out of his personal allowance. It stated that he was to continue all allowances and no complaints on this befl(l were to be suffered to reach the Government. The allowance to the resi,x>nden.t's ancestors was ooe such allowance. The extract from the Petha Khata wahi of 1942·43 shows that the grant was permanent. Bl).t in 1944, the then Ruler of Jamkhandi converted the allowance to one for life. After the Jamkhandi State was merged in the State of Bomba}', the Bombay Legislature passed the Bombay Merged Terri· torits Miscellaneous Alienation Abolition Act, 19$5. The respondent filed an application on 21·7·1956 under section 17 of· that Act claiming that the cash allowance payable was both pennanent and hereditary but that he learnt that the Ruler of Jamkhandi had passed an order that the ·said allowance be continued till his (applicant's) life time when the same .was continued to him after the death of his father. He mentioned that he had moved the Rajasaheb by an application which was not disposed of. HeJ therefore, claimed that he wouJd be entitled to seVC}l times the cash allowance, permanent on the basi..'1 that it was permanent _oi_ ·in the alternative to three tlfncs the ci&)t allowance on the basis that it was -payable for life. However, by this time, the Ruler of _1_ amkhandi was no longer a Ruler and was not in a position to be of any assistance to the respondent on the basis of his application. The A~istant Commissioner of Jamkhandi passed en order granting a sum equal to three times the annual sum which the respondent was receiving. On appeal by the respondent to the Appellate Tribunal, the Tribunal held that the Ruler of Jamkh•ndi had sovereign J)()Wer and was the fountain head of alt sources of authority, that is. executive, judiciary and legislature and be could change the Tainat cash allowance at his sweet will and pleasure. The Tribunal accordingly ## dismissed the appeal. ne respandent thereupon filed a writ petition before the High Court. The High Court directed that a sum equll . to seven times the annual ca"h allowance be paid to the resnondent on the basis that the grant was hereditary. Th~ State Government thcreupan appealed by a special leave to this Court . . Allowing the appeal, A B ## c D E F G HELD _:_ (I) The constitutional position of the Ruler of every one of the Jndian States before their integration with the rest of India and comina. into force of the Constitution of India was that he enjoyed uncontroUcd sovereign powers and there were no constitutional limitations upon his authority H to act in any Of the three capacities of legislature, executive and judiciary. It follows, therefore, that if the Ruler of Jamkhandi bad changed the perma· nent cash allowance granted to the respondent·~ 11.ncestnrs to one for life, it is legally valid and il cannot be questioned. [463 A-"Bl , B MYSORE _v._ A. v. PA TWARDHAN _(A_ _lagiriswami,_ _J._ ) 4 61 _**Anieer-up-Nissa**_ _**Btgu1n**_ **v.** _**MtJ/1b"otib**_ _**Begum,**_ **A.I.R.** **1955_** **S.C.** **352,** **relied** on. **(II) The Tainat allowance being service allowance** **the** **deduction** **of** **the** **com.mu'!ltion** **amount** **is** _**f9r**_ **the** **payn1ent** **to tbe person -** **Who** **was doing. the** se~v1ce **10** **place** **of** **the cash allowance** **-holder.** **That** **is** **why** **what was being** - **paid** **to** **the** **respondent** **year** **after** **year** **was** **the** **cash** **allowance** **minus** **the** **commutation amount.** **The commutatiori** **ariiount** **is,** **therefore, deductible from** **the cash allowance while calculating** **the** **compensation** **i)ayablc** **to** **the** respondent. [463 D-E] CIVIL APPELLATE JURISDICTION : Civil Appeal No. 1741 qi \967. Aooea! bv .soecial leave. from iudgment and order dated the -30th November, 1962 of the Mysore Hiilh Court at Bangalore in Writ Petition No. 777 of 1961. # c V. K. Krishna Menon, M. V'eerappa and S. P. Singh, for the ap pellant. _R._ _B._ _Datar_ and _M._ L. _Verma,_ for tbe respondent. The Judgment of the Court was delivered byALAGIRisWAMI, J.-The respondent's ancestors had been granted a cash allowance called Tainat by the Peshwas. ·After the defeat of **D** the. Pesh was by the. British, by the Treaty of Gulga!lee with Jamkbandi dated 6-6-1819 by the Hon'ble Mr. Elphinston, Governor of Bombay # c on behalf of the East India Company one of the terms which .were gran,ted tc, Gopalrao J amkhandikar was regarding the terms which he hell! ft om the Government of His Highness the Peshwa, for· the pay meru: of·bis contingent (apparently army) of his personal allowance. It stated that he was to continue all allowances and no complaints on E this head were to be suffered to reach the Government (East India cOlnpany). The allowance to respondent's ancestors was .oµe such allowance. This allowance seems _t9_ have amonnted to .a sum of Rs. 2010/- minus a sum of Rs. 240/- being the commutation amount as shown in Petha Khata Wahi Extract of 1942-43. That exact also shows that this grant was iiermanent. But. in 1944 the then ruler of F Jamkhandi seems to have ·converted this ... 3Jiowance to one for life. After the Jamkhandi·State was mer~ed in the State of Bombay, the Bombay. Leiislature .passe.d the. Bombay, Merged territories Misci:l~ laneous. Alienations. Abolition Act, 1.955. The r~clent filed an application on 21-'7'1956 nnder s. 11 of. that 11ctbefore the Assistant Commissipner .. Jamkhandi clai\llin~ ·that the cash allowance payable was both permanent and hereditary but ·that he learnt th.at.the ruler of G Jamkhandi had passed an order that the. :said . cash .allowance be continued till his (applicant's\ life time when the same Was continuell to him after the death of his father. .He m~tioned that .he had ·Jllaved the Raiasabeb bv an aoolicatiori which was not finally disposed of. He. therefore, claimed that Ile would· be entitled to Rs. 21.000/- 'at E F 7 times ofthe cash ·allowance on (Jie·basis that it was Rs. 3,0QO/- a # H vear and. oermanent or in .the a1te~native t-0 Rs. . 9,0Q-Or: being three times the cash .. allowance on die · basis that it was payable for Jife. It would be nP\)reciated 'that by this time \he Ruler of J amkhandi was no longer .a ll\11er and was certaiit1y not in a i><lsb 17-L954SupCl/74 t&2 'SUPREME COURT REPORTS [ 19741 3 S,C.R. W>~ to be of any .assistance to .the respondent on the basis of his application. The AssJStant Conuwssioner passed an order granting a sum <If ~· 5172-12-0 being three times the annual sum of Rs. 1724-4-0 which the· respondent was receiving. The respondent then filed an appeal to the Mysore Revenue Appellate Tribunal as by that time the a{Ca. had become part of the Mysore State. In that appeal he mentioned that through mistake his name has been recorded as holder of the Tainat cash allowance for life only. He also .mentioned that his apPlication to the Rajasaheb of J amkhandi for correction of the mistake was still pending even though the state of Jamkhandi was merged. ~ Tribunal dealt with the argument before it on behalf of tile respondent to the efieet that the ruler of J amkhandi had no power to change the cash allowance to. one for life ~ according to his own earlier order passed in. the year 1909-10 it was permanent and in the view that .the ruler of J amkhllndi had sovereign powers and was the tountain hea.d of all source of authority, that is. executive, judiciary and legislature, he could change the Tainat cash allowance at his sweet will and pleasure, dismissed the appeal. The respondent thereupon filed a writ petition No:· 777 before the High Court of My8ore. There also he atalcd- that through mistake his name was recorded as the holder of the Cash. allowance for life only, and also urged that the ruler of the Jamldiandi>State had no Power to interfere with the Tainat cash allowance. The Hiab Court diU not deal with the question whether· the Ruler of lamliliandi had, in' 1944, the powei'to convert a hereditary grant to one for life but directed that a sum of Rs. 14,070 being seven tnnes the annual cash allowance of Rs. 2,010 be paid to the respondent on the basis that the grant was hereditary. This appeal is against thai 1wlgment .and order of the High Court. A B ## c D E F G H We are of opinion that clearly the decision of the Mysore High Court is wrong. In _Ameer-un-Nissa Begum_ v. _Mahboob Begum_ (AIR }!1~5 SC 352) this Court stated the constitutional position of the Nizam of' R~erabad in these words : " .... It cannot be dispute that prior to the integration of Hyderabad State with the Indian Union and the coming into force of the Indian Constitution, the Nizam of Hyderabad enjoyed uncontrolled sovereign powers. He was the supreme legislature the su1>reme judiciary and the supreme head of the executive. and there were no constitutional limitations uoon his authority to act in any 'of these capacities. The 'Firmans were expressions of the sovereign will of the Nizam and they were bindin~ in the same way as any other law;-nay, they would override all other law.s which were in con,fiict with them. So, long as a particular 'Fueman' held the field, that alone would ~overn or regulate the rights of the parties concerned, though it could be annull.ed or l!lodi· lied by a later 'Firman' at any time that the Ntzam wtlled. The Nizam was not only the supreme legislature, he was the fountain of justice as well. When he constituted a new Court, he could, according to ordinary notions, be dcc~ed to have exercised his legislative authority. When agam he A B # c **D** .E F G H MYSORE _v._ A. V. PATWARDHAN _(Alagiriswami,_ /.) 463 affirmed or reversed a judicial decision, that may appropriately be described as a judicial act. A rigid line of delll arcation, however. between the one and the other would from the verv natlire of things be •not .iustified or even possible." That sets out the constitutional position of the ruler of every of the **Indian States before** **their** **integration** **with** **the** **rest of India** **and** com~ ing into force of the Conslitution of India. It follows therefore that if the ruler of Jamkhandi hid changed the p~anent cash allowance granted tC' the respondens's ancestors to one for life it is legally valid and it cannot be questioned. The extract from the Jamkhandi State Gazelle dated 7-8-1920 publishing rules regarding ca;h allowance itself shows that those rules cancelled the earlier rules and tliose rules also could be appropriately cancelled ·by the subsequent rules. Any application made by the respondent to the former .ruler of Jamkhandi after the State was merged in Bombay State will not help him. The ruler !J;id by that time lost all his powers. The decision of the Mysore Revenue Aj>peUate Tribunal is, therefore, right. There is only one small point which has got to be mcntione,J. The compensation allowed was three times the cash allowance. As already mentioned the Petha Khata Wahi extract shows tho allowance at Rs. 2010.80 minus Rs. 240.00 being the commutation amount. These al lowances being service allowances, the deduction is for the paJyment to the person who was doing the service in place of the cash allowance holdec. That is why what was being paid to the respondent year after vear was the cash allowance minus commutation amount. The Mvsore High Court was. therefore, wrong in holding that this sum of Rs .. 240 cannot be· deducted from the cash allowance while calculatin2 the compensation payable to the respondent. We must mention that when this appeal was ta<en up for hearing Mr. Datar apl'l:aring for the respondent con(ended lhat as this Court in _M.P._ _State_ v. _Ranojirao_ (1968 3 SCR 4119) has held that the Ma<lh ~a Pradesh Abciition of Cash Grants Act violates Art. 19(1)(!) or Art. 31(2) of the Constitution, and so struck it down, the Bombay Merged Territories Miscellaneous Alienation Abolition Act is also liable to be struck down on the same ground. He, therefcre, wanted that h< shuuld be given the liberty to move the High Court for striking **do\vn** **the** **Act** **under** **consideration** **in** **this case.** \\'c **do not propose** to express any opinion as to whether it would be open him to do so in tl1e backt;round of this case. There is nothing to prevent him f!'Ot'1 filing on appbcation if he is so advised. Jn the result this appeal is allowed and the judgment and order of the High Court of Mysore set aside. As the special leave was granted oa the condition that the appellant would in any event pay to the resp0ndent his of the appeal, the appellant shall pay the respondent's costs. S.B.W. _Appeal_ _allowed._ J8-L954SupCI /74