Case: Union Of India &amp; Others Vs. Iqbal Singh

the Act. They are untouched by the provisions of the Act and are governed by other provisions of law. The statutory rights of claimants to compensation, which crystallize on assessment and verification of claims, are separate rights to property of each claimant covered by the wide definition of "property" in Section 6 of the Transfer of Property Act. They cannot evaporate or vanish suddenly with the death of a claimant. Rule s framed under Section 40 of the Act have to be and are those reasonably necessary for carrying out the purposes of the Act. They cannot go beyond the objects for which they can be framed. Those objects are confined to determination and payment of compensation for what was left in Pakistan and do not extend to deprivation of anything acquired in India in capacities other than those relevant for purposes of compensation.9. In the instant case, the right of the respondent as a legatee under the will of Jai Singh was recognised separately in proceedings under Section 9 of the Act. The respondent thus acquired a right which was different in character from his claim as a displaced person. After having gone through the Rules 17 to 20, we are unable to construe Rule 21 as an authority for clubbing together of a claim as well as a separate right of a claimant as a legatee under a will which is distinct from the displaced persons claim to Compensation as a displaced person . The right of such a legatee stands on a different footing from a claim made under Section 4 of the Act for payment of compensation or a rehabilitation grant. The amount of compensation or a rehabilitation grant is payable to a displaced person under the provisions of the Act. A dispute decided under Section 9 of the Act is very different in character from a claim for compensation or rehabilitation as a displaced person. It could relate to a right by inheritance to or by succession under a will of another claimant. But, each person has to be paid separately as indicated by Rule 17.Great reliance was placed on Rule 18 on behalf of the appellants. This rule lays down:"18. Compensation to be determined on the total value of all claims.- For the purpose of determining the compensation payable to an applicant, the Regional Settlement Commissioner shall, except as otherwise provided in these rules, add up the assessed value of all claims of the applicant in respect of all kinds of properties, other than agricultural land situated in a rural area, left by him in West Pakistan and the compensation shall be assessed on the total value of all such claims".10. This rule shows that only different kinds of claims of each displaced person in properties left by him in West Pakistan which can be clubbed together. It does not deal with rights or claims of another genus which may devolve upon a claimant in his capacity as an heir or a legatee of another displaced person who may have acquired a separate right of his own as a claimant to compensation under the Act. Clubbing together of "claims" in different kinds of properties has reference to an individuals claim to "compensation", and rehabilitation and not to claims of different displaced persons which could, by transfer or devolution, vest separately in an individual.11. Rule 19 deals with compensation payable to joint families and Rule 19A prescribes maximum amounts payable in such cases. Rule 19B refers to compensation ordinarily payable to kartas of joint families. Rule 20 provides for the assessment of compensation of a co-owner.12. These are the different types of claims of the same displaced person in different capacities as claimant, in each capacity, to compensation due to himself alone. There is no provision for clubbing together of compensation to different displaced persons each with a right of his own except as members of joint families, which are treated as legal entities by themselves. The rights of a successor of another displaced person are outside the rule. There is nothing in the Act or the rules framed thereunder to conflict with this natural and ordinary interpretation of fairly clear and simple language used.The judgment of the Division Bench of the Delhi High Court (H. R. Khanna, C.J. and S. N. Shankar J.) by which the Writ Petition of the respondent was allowed, shows that it had been conceded in the High Court, on behalf of the Rehabilitation Department, that Rule 18 would not apply to the case of the respondent before us. The Division Bench had relied upon an earlier decision of the Punjab High Court in Karam Singh v. Union of India &Ors. (1) where, upon similar facts, it had been held:"It is significant that in Rule 18 it is clearly stated that the compensation has to be determined on the total value of all claims pertaining to properties left by a claimant in West Pakistan. Therefore it is the property left by a claimant in West Pakistan. Therefore it is the property left by the petitioner to which he can make a claim. The property left by his uncle cannot be said to be the property left by him within rule 18. Properties left by a joint family are properties which the claimant, who claims to be a member of the joint family, can properly be said to have left in West Pakistan. Though the capacity in which he held those properties and so also in the case of properties held by him as a co-sharer with other persons is different from the capacity in which the properties left by him in West Pakistan in his personal and exclusive occupation are concerned. This cannot be said to be the case where he gets the property of another displaced person by reason of inheritance or by transfer. The capacities contemplated by Rule 21 are set out in Rule 18, 19 and 20 and in any case have to be analogous to them".

Decision (1 = appeal accepted, 0 = rejected): 0

Explanation:
0[ds]8. It is true that the Act is intended for payment of compensation for rehabilitation of displaced persons and matters connected therewith. There is, however, nothing in the Act to prevent a claimant from making a gift or a will in respect of the amount he may be entitled to get. No provision of the Act takes away rights of transfer of or inheritance to verified claims. Nothing like an abatement or extinction of a claim by the death of the claimant is provided for by the Act. Inheritance to and devolution of rights of claimants are clearly beyond the purview or scheme of the Act. They are untouched by the provisions of the Act and are governed by other provisions of law. The statutory rights of claimants to compensation, which crystallize on assessment and verification of claims, are separate rights to property of each claimant covered by the wide definition of "property" in Section 6 of the Transfer of Property Act. They cannot evaporate or vanish suddenly with the death of a claimant. Rule s framed under Section 40 of the Act have to be and are those reasonably necessary for carrying out the purposes of the Act. They cannot go beyond the objects for which they can be framed. Those objects are confined to determination and payment of compensation for what was left in Pakistan and do not extend to deprivation of anything acquired in India in capacities other than those relevant for purposes of compensation.9. In the instant case, the right of the respondent as a legatee under the will of Jai Singh was recognised separately in proceedings under Section 9 of the Act. The respondent thus acquired a right which was different in character from his claim as a displaced person. After having gone through the Rules 17 to 20, we are unable to construe Rule 21 as an authority for clubbing together of a claim as well as a separate right of a claimant as a legatee under a will which is distinct from the displaced persons claim to Compensation as a displaced person . The right of such a legatee stands on a different footing from a claim made under Section 4 of the Act for payment of compensation or a rehabilitation grant. The amount of compensation or a rehabilitation grant is payable to a displaced person under the provisions of the Act. A dispute decided under Section 9 of the Act is very different in character from a claim for compensation or rehabilitation as a displaced person. It could relate to a right by inheritance to or by succession under a will of another claimant. But, each person has to be paid separately as indicated by Rule 17.Great reliance was placed on Rule 18 on behalf of the appellants. This rule lays down:"18. Compensation to be determined on the total value of all claims.These are the different types of claims of the same displaced person in different capacities as claimant, in each capacity, to compensation due to himself alone. There is no provision for clubbing together of compensation to different displaced persons each with a right of his own except as members of joint families, which are treated as legal entities by themselves. The rights of a successor of another displaced person are outside the rule. There is nothing in the Act or the rules framed thereunder to conflict with this natural and ordinary interpretation of fairly clear and simple language used.The judgment of the Division Bench of the Delhi High Court (H. R. Khanna, C.J. and S. N. Shankar J.) by which the Writ Petition of the respondent was allowed, shows that it had been conceded in the High Court, on behalf of the Rehabilitation Department, that Rule 18 would not apply to the case of the respondent before us. The Division Bench had relied upon an earlier decision of the Punjab High Court in Karam Singh v. Union of India &Ors. (1) where, upon similar facts, it had been held:"It is significant that in Rule 18 it is clearly stated that the compensation has to be determined on the total value of all claims pertaining to properties left by a claimant in West Pakistan. Therefore it is the property left by a claimant in West Pakistan. Therefore it is the property left by the petitioner to which he can make a claim. The property left by his uncle cannot be said to be the property left by him within rule 18. Properties left by a joint family are properties which the claimant, who claims to be a member of the joint family, can properly be said to have left in West Pakistan. Though the capacity in which he held those properties and so also in the case of properties held by him as awith other persons is different from the capacity in which the properties left by him in West Pakistan in his personal and exclusive occupation are concerned. This cannot be said to be the case where he gets the property of another displaced person by reason of inheritance or by transfer. The capacities contemplated by Rule 21 are set out in Rule 18, 19 and 20 and in any case have to be analogous to them".