Appeal No 456 of 1958
Appeal by special leave from the judgment and order dated May 10 1957 of the Rajasthan High Court Jaipur Bench at Jaipur in D B Civil Reference No 17 of 1956
WITH PETITION No 87 of 1961
Petition under article 32 of the Constitution of India for enforcement of Fundamental rights
Bishan Narain and Govind Saran Singh for the appellantpetitioner
N section Bindra and T M Sen for the respondents
April 25
The Judgment of the Court was delivered by 373 DAS GUPTA J
On April 1 1950 the Deputy Custodian Jaipur made an order in proceedings instituted under section 19 of the Administration of Evacuee Property Ordinance declaring the appellant Dr Mohammad Saeed a medical practitioner of Jaipur to be an intending evacuee
By the same order a notice was directed to be issued to the respondent to show cause why he should not be declared to be an evacuee under section 2di and section 2diii of the Ordinance
When thereafter the Act XXXI of 1950 came into force ano ther notice was issued on the appellant under section 22b of the Act to show cause why his property should not be declared evacuee property on the ground that he had transferred a substantial portion of his assets to Pakistan
On November 16 1951 the Deputy Custodian Jaipur held Dr Mohammad Saeed to be an evacuee under section 2diii of the Administration of Evacuee Property Ordinance 1949
He also held Dr Mohammad Saeed s property to be evacuee property under section 7 of the Ordinance and also under section 22b of the 
On appeal the District Judge Jaipur set aside this declaration of the appellant as an evacuee under section 2diii of the Ordinance and remanded the case for a fresh decision in the light of the observations made by him
As regards the order under section 22b the learned District Judge agreed with the Deputy Custodian that Dr Mohammed Saeed had transferred a substantial portion of his assets to Pakistan between November 1947 and September 1948
Being of opinion however that not only this act of transfer which took place before the 18th day of October 1949 but other circumstances including the appellant s conduct after October 18 1949 have to be taken into consideration before action under section 22b can be taken he found that it was difficult to say that the appellant had been making preparations for his migration to Pakistan
Accordingly he set aside the order made by the Deputy Custodian under section 22b
The 48 374 Custodian of Evacuee Property Rajasthan moved the Custodian General of Evacuee Property for revision of this order
The Deputy Custodian General of Evacuee Property who heard this petition in revision was unable to agree with the District Judge s findings on the question as regards the order under section 22b and accordingly made a reference under section 272 of the  to the High Court of Rajasthan
The High Court rejected the contention raised on behalf of this appellant that the circumstances as to the transfer of a substantial portion of his assets should relate to an act done by any person after he was declared as an intending evacuee
It further held that the fact that Dr Mohammad Saeed had during the period from August 14 1947 to October 18 1949 transferred a substantial portion of his assets in India to Pakistan constituted under the law a preparation for his migration to Pakistan and that this justified a declaration by the Custodian of his property situated in Rajasthan in which Dr Mohammad Saeed has a right or interest to be evacuee property
Accordingly the High Court set aside the decision of the District Judge in respect of Deputy Custodian General s orders under section 22b and directed the Custodian General or the Deputy Custodian General if authorised to deal with it to dispose of the proceedings in accordance with the decision of the High Court
In accordance with this direction the Deputy Custodian General on August 10 1957 held that the property of the petitioner was rightly declared to be evacuee property under section 22b by the Deputy Custodian
The appeal has been filed against this decision by special leave granted by this Court
After the appeal was heard in part on January 23 1961 the hearing was adjourned to enable the appellant to make a writ petition
A petition under article 32 of the Constitution was then filed on February 14 1961 praying for a writ of certiorari andor mandamus or direction to quash the order made under section 22b
The appeal and the petition have come up for hearing together
375 As the writ petition challenges the validity of the law as enacted in section 22b it will be proper and convenient to take up that petition for decision first
Of the several grounds urged in the petition against the validity of section 22b only one viz that section 22b contravenes article 14 of the Constitution has been pressed before us
While however in the grounds as stated in the petition the attack was that discrimination had been made between persons declared as intending evacuee in respect of whose property proceedings had been started before the commencement of the Act and those in respect of whose property no such proceedings had yet been started and further that article 14 was contravened because a person declared to be an intending evacuee who had done one of the acts prescribed as constituting a preparation for migration to Pakistan was denied the right to show that he had in fact no intention so to migrate and had made no preparation for the purpose and by imposing upon him a very grave penalty neither of those contentions were urged at the hearing
The only argument on the question of contravention of article 14 which Mr Bishan Narain urged on behalf of the petitioner was that in two matters there was discrimination between an intending evacuee whose property was declared evacuee property under section 22b and an evacuee whose property might be declared to be an evacuee property where the evacuee had done practically the same thing for which another person has been declared as an intending evacuee
Learned Counsel has pointed out that under section 2div of the  as it stood after its amendment by Act 11 of 1953 a person who has after the 18th day of October 1949 transferred to Pakistan without the previous approval of the Custodian his assets or any part of his assets situated in any part of the territories to which the Act extends is an evacuee so that any property of such a person is evacuee property within the meaning of the Act
When in respect of property of such a person an order has been made under section 7 of the Act declaring it to be evacuee property the evacuee or his heir will be entitled to make 376 an application for restoration of the property under section 16 of the Act and after due inquiry the Central Government may subject to the conditions specified in the section make an order restoring the property to the applicant
Another benefit which a person who is an evacuee within the meaning of section 2div is entitled to along with other evacuees is that of section 13 of the Displaced Persons Compensation and Rehabilitation Act XLIV of 1954 under which when any property of an evacuee has been acquired under section 12 there shall be paid to an evacuee compensation in respect of his property    in accordance with such principles and in such manner as may be agreed upon between the Governments of India and Pakistan
Take however the case of a person like the present petitioner who after the 14th day of August 1947 and before the 18th day of October 1949 transferred his assets or any portion thereof to Pakistan
He would be an intending evacuee within the meaning of section 2ei of the Act and once a declaration had been made under section 19 that he was an intending evacuee his property would be liable to be declared evacuee property under section 22b
Even so however he would not get the benefit of section 16 of Act XXXI of 1950 or of section 13 of the 
The result of the several provisions of law of the  after it was amended in 1953 therefore is that if a person transferred his assets or any part of his assets to Pakistan without the previous approval of the Custodian after the 18th day of October 1949 he would be an evacuee in law and his property will be liable to be declared an evacuee property but he will still be entitled to restoration of the property under section 16 of the  and also to the benefit of section 13 of the XLIV of 1954 but if a person transferred his assets or part of his assets to Pakistan between the 14th day of August 1947 and the 18th day of October 1949 he was liable 377 to be declared an intending evacuee at any date before the Amended Act of 1953 came into force and if that has happened any property belonging to him was liable to be declared evacuee property under section 22 of the Act at any time before Chapter IV of that Act was repealed by the 1953 Act and even after that date if any proceeding under section 22 was pending on the  date of the commencement of the 1953 Act
But such a person would not be entitled to the benefit of either section 16 of the  or compensation under section 13 of the XLIV of 1954
This denial of benefits under section 16 of the 1950 Act and section 13 of the 1954 Act to one who has been declared an intending evacuee on the ground of transfer of assets to Pakistan amounts it is urged by the learned counsel to be a denial of equal protection of laws and it is contended that section 22b of the as it stood before the section war repealed along with other sec tions of Chapter IV should be held to be void
In our judgment this contention is not well founded
In the first place it is to be pointed out that a person who transferred assets between the 14th August 1947 and the 18th October 1949 and a person who transferred such assets after the 18th October 1949 cannot properly be considered to be similarly circumstanced
It has to be borne in mind that political relations between India and Pakistan were in a fluid and disturbed state immediately after the 14th August 1947 but the position improved to a considerable extent by the 18th October 1949 which it may be noticed was the date when the Administration of Evacuee Property Ordinance 1949 was made
Persons who had transferred assets between the 14th August 1947 and the 18th October 1949 may therefore reasonably have been considered by the legislature to form a class distinct in respect of the application of the law to their property from those who transferred assets after the 18th October 1949
We are not however concerned with the reasons or the wisdom of the policy which underlay the denial of the 378 benefits of section 16 of the and section 13 of the XLIV of 1954 to those persons who had been declared intending evacuees because of having transferred assets between the 14th August 1947 and the 18th October 1949 while granting these benefits to those who were evacuees under the law as amended in 1953 because of transfer of assets to Pakistan after the 18th October 1949
What is clear is that the two groups of persons are not similarly circumstanced and so the denial of equal benefits to the two groups is not an infringement of the guarantee of equal protection of laws
Next it is important to note that this differenceviz that one group of persons is entitled to the benefits of the sections mentioned above while another group is not does not flow directly or necessarily from section 22b
What is characterised as discrimination between an evacuee and an intending evacuee is the consequence of the legislature s omission to extend to the intending evacuees the benefits of section 16 of the 1950 Act and section 13 of the 1954 Act as mentioned above and not of the provisions under section 22b that under certain circumstances as specified therein the Custodian may declare the property of an intending evacuee to be evacuee property
We do not think that it is possible to say therefore that section 22b of the contravenes article 14 of the Constitution
The petition under article 32 of the Constitution therefore fails and is dismissed with costs
The appeal raises the question of the effect of the application of section 22b of the Act to the facts of the present case
Section 22b substituting therein for the words he had done any of the acts specified in sub clauses i and iii of clause e of section 2 the words of only cluse 2ei reads thus If the Custodian is satisfied after such enquiry as may be prescribed that the circumstances relating to any person in respect of whom a declaration has been so made on the ground that after the 14th 379 day of August 1947 and before the 18th day of October 1949 he has transferred to Pakistan his assets or any part thereof situated in any part of the territories to which this Act extends are such as may be prescribed as constituting a preparation for his migration to Pakistan the Custodian may declare any property situated in the State in which such person has any right or interest to be evacuee property and on the issue of such notification any property specified in the notification shall be deemed to be evacuee property which has vested in the Custodian within the meaning of this Act
 It is important to notice the explanation to the section which runs thus Explanation The following shall be deemed to be some of the circumstances prescribed under clause b namely i the transfer to Pakistan by any person referred to in that clause of a substantial portion of his assets situated in any part of the territories to which this Act extends or ii the acquisition of or the declaration of an intention to acquire Pakistan nationality by any such person
 It need only be mentioned that a declaration has been so made means that a declaration has been made under section 19 of the Act that he is an intending evacuee
It is no longer in dispute that Dr Mohammad Saeed had before the order appealed from was made transferred to Pakistan a substantial portion of his assets situated in Jaipur which is part of the territories to which this Act extends
It is further not in dispute that this transfer was made before he was declared an intending evacuee
The first contention raised on behalf of the appellant was that this transfer having been made before the declaration was made is not available for consideration for the purpose of an order under section 22b
The contention is clearly unwarranted
On a normal grammatical construction of the words used by the legislature it is abundantly clear that the transfer to 380 Pakistan of a substantial portion of the assets shall be deemed to be one of the circumstances prescribed under clause b irrespective of whether the transfer took place before the declaration as intending evacuee was made or after such declaration
What is necessary is that the circumstance must relate to any person in respect of whom a declaration that he is an intending evacuee has been made
There is nothing to justify the conclusion that the circumstances in order that they may be taken into consideration must also come into existence after the declaration was made
Indeed the scheme of the legislation appears to be that the fact that any portion of a person s assets has been transferred to Pakistan is sufficient to make him liable to a declaration that he is an intending evacuee but he becomes liable to the further declaration that his property is evacuee property where it appears that what was transferred forms a substantial portion of his assets
In some cases it may happen that what was transferred before his declaration as an intending evacuee formed a small part of his assets
In such a case if later on other portions of his assets were transferred to Pakistan and the two transfers together amount to a transfer of a substantial portion of his assets his property will be liable to be declared as evacuee property It will be difficult to find any logic in the argument that when what was transferred before his declaration as intending evacuee was itself a substantial portion of his assets such liability should not fasten
Quite apart however from the question of logic or reasonableness it is quite clear from the language used in the section that the legislature in
tended such circumstance of transfer of a substantial portion of assets to be available for consideration for the purpose of an order under section 22b whether or not the transfer took place before the person was declared as an intending evacuee or afterwards
It was next urged that in any case it would be proper for the Custodian to take other circumstances including the later conduct of the intending evacuee to decide whether or not he should declare his property to be evacuee property
It is unnecessary for 381 us to consider whether it is open to the Custodian to consider such other circumstances
The section however gives a Custodian the authority to declare the property of a person who has been declared an intending evacuee to be evacuee property whenever the existence of any of the circumstances prescribed as constituting a preparation for his migrating to Pakistan is established
Where as in the present case a Custodian in exercise of such authority has given such a declaration there is no reason for saying that the declaration has been improperly made
In our opinion the High Court was right in setting aside the order of the District Judge and in directing the Custodian General or the Deputy Custodian General to dispose of the matter in accordance with the views expressed by the High Court that on the facts proved in the case the order made by the Deputy Custodian declaring Dr Mohammad Saeed s property as evacuee property was right
The order made by the Deputy Custodian General in compliance with the directions given by the High Court cannot therefore be assailed
The appeal is accordingly dismissed with costs
Appeal dismissed


Summary:
The appellant was held to be an evacuee under section 2diii of the Administration of Evacuee Property Ordinance 1949 and his property was declared to be evacuee property under section 22 b of the Administration of Evacuee Property Act 950 on the ground that he had transferred a substantial portion of his assets to Pakistan
The relevant portion of section 22b runs thus 372 If the Custodian is satisfied after such enquiry as may be prescribed that the circumstances relating to any person in respect of whom a declaration has been made on the ground that after the 14th day of August 1947 and before the 18th day of October 1949 he has transferred to Pakistan his assets or any part thereof situated in any part of the territories to which this Act extends are such as may be prescribed as constituting a preparation for his migration to Pakistan the Custodian may declare any property situated in the State in which such person has any right or interest to be evacuee property   The contentions inter alia of the appellant were that 1 section 22b contravened article 14 of the Constitution and 2 that the circumstances as to the transfer of a substantial portion of his assets should relate to an act done after he was declared as an intending evacuee
Held that the two groups of persons who transferred their assets between the 14th August 1947 and the 18th October 1949 and persons who transferred their assets after the 18th October 1949 were not similarly circumstanced and the denial of equal benefits to the two groups was not an infringement of equal protection of laws under article 14 of the Constitution
The circumstance of transfer of a substantial portion of assets was available for consideration for the purpose of an order under S 22b whether or not the transfer took place before the person was declared as an intending evacuee or afterwards