Chapter - IV

Rights and Duties

of Panchayat
Regarding
Management of
Panchayat Lands

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 Almost 3A of people of India live in rural areas, which
comprise of half a million villages. Gandhiji view that ‘India lives in
villages” still holds good. Development in India can be meaningful
only if people living in these villages become its beneficial. People
are the means and the end of development but they have different
amount of power and resources and different interests. A state’s role
of welfare state, which ignores the needs of large section of
population in setting and implementing policies. Therefore, the need
is to revitalized public and democratic institutions and to bring the
government closer to the people. This essentially means bringing
people’s voice into policymaking and implementing through greater
decentralization of government power and resources.
The process of decentralization is more political than
administrative, it is shown by the 73 Amendment Act of the
constitution. It essentially means sharing political power with local
bodies which needs greater political will. Administrative
decentralization without adequate powers, functions and resources is
no more a solution to the problems faced by the panchayats.
Merely holding elections after evexy five years and reserving
l/3rd seats in favour of women is not what is expected from
panchayats. It has to lead to greater people’s participation in planning,
decision making, sharing the benefits of development and monitoring
and evaluation. Since participation requires increased influences and
control, it is also simultaneously call for an increased empowerment
in economic, social and political term which has not taken place yet.

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Devolution of Powers to Panchayati Raj Institutions
The Haryana Government has delegated certain duties and

functions of 16 important departments since 1994 to PRIs. They

include planning and preparation of proposals under community.

Development Programmes, Haryana Rural Development Fund,

Revenue earning schemes, supervision of schemes of matching grants

and maintenance of Accounts of all such schemes. The Department of

Food and Supplies has devolved the powers of constitution of village

level vigilance committees for controlling fair price shops under

public distribution system detection of bogus ration cards, monitoring

for inspection of public distribution system, appointment of depot

holder by the panchayats. The directorate of backward classes and

scheduled castes has delegated the powers to Gram Panchayat

regarding widows for tailoring training, legal assistance and

certification of inter-caste marriages etc. to the rural local bodies.1 2

The Department of Public Health has devolved the powers

relating to planning, construction and maintenance of open drains for

disposal of wastewater, hand pumps, water trough, soakage pits, and

public stand posts. The department has further extended the process of

supervision and monitoring of single village tubewell based water

supply schemes for concerned panchayats in case of survey of land for

installation of tubewell or constructions of water works erection of

stand posts, preventing illegal drinking water connection, day to day

control over the tube well operating staff.

1 Government of Haryana, Department of Development and Panchayat

memo No. DPN/95/23517-726 dt May 23,1995.
2 PWD PH Br. Endst. No. 1051 (S) PH Chandigarh Sept. 9,2000.

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 Similarly, the Department of Forests had also given certain
powers to gram panchayat regarding selection of sites for forestry,
sending reports of range officials etc. recommending the daily wages
for workers in the afforestation work.3 The powers of planning and
erection of horticulture development plots and monitoring of input
requirements, situations relating pests and diseases have been granted
to grassroots level.
The Social Defence and Security Department has transferred
the power of providing assistance to patwaris in identification of
beneficiary under various development schemes to the panchayats.
Department of Ayurveda has given to powers regarding inspection
and supervision of public health centers/dispensaries/construction of
building to the local bodies.4Panchayat Samiti has been given the

powers regarding supervision of Ayurveda dispensaries. Panchayat

Samiti has been empowered to record services in Annual Confidential
Reports (ACR’s) of ayurveda medical officer and other staff. The
Panchayts have been empowered to review and monitor the
programmes being implemented by the Ayurveda Department
periodically.5
The Department of Education has transferred the powers like
inspection of schools and ensuring punctuality of teachers/ students
enrolments/ school welfare etc. setting up of village education
committees/ construction of and repair of school building.6

3 Ibid.
4 Government of Haryana, Department of Development and Panchayats SO
202/HA 11/1994/S/209/2004 dt. Oct. 14, 2001,p.l.
5 Director, Ayurveda Endst. E4/AY/HR/2000/9.900-9920 dt. July, 9,2000.
6 Ibid.

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 To promote health and family welfare programmes sponsored
by the State Govemment/Centre Government powers have been
delegated to Panchayati Raj Institutions by the respective departments
of Health and Family Welfare. Control of epidemics, environmental
sanitation and supervision and control of health sub-centres and
submission of periodicals by the Panchayat Samities. The powers of
Annual Confidential Reports (ACRs) of writing of PHC/CHC and
sub-centres have been delegated to samities. The health awareness
programmes like malaria eradication, pulse polio programmes, control
of leprosy, blindness etc., the panchayats are empowered.
The Department of Irrigation has also delegated powers in
matters of maintenance of water course, planning for water
requirements, filling of ponds, rain water harvesting, checking of
water thefts during floods, extension and construction of new minors
and having surveillance during floods etc. to the grassroots level.
For selection of Auganwari centers, crutches centers also the
powers have been delegated to the panchayats by the Department of
Child and Family Welfare.
Rural Development Department has also given the powers of
supervision and monitoring of programmes sponsored by the DRDA
and to assist the rural banks/ revenue authority in recovery of loans.
For soil conservation, preparation of action plans, water
managements and seed plans, pest control programmes which are
devolved by the Agriculture Department to the Gram Panchayats to
execute relief measures during natural calamities to the rural bodies.7

7 Government of Haryana, Development and Panchayats Department, Op.

cit,

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To have a vigil over the programmes of agricultural department like
seeds, fertilizers, mini-seed kits to farmers, pest control equipments
on subsidy rates, biogas plants, equipments of agricultures including
tractors etc. plants protection equipments and organization of Kisan
melas / Kisan goshties, training camps organizations the Gram
Panchayats have been delegated powers by the Agriculture
Department.8

The financial powers have been enhanced from Rs. 25000 to

Rs.1.25 lakhs for development works in villages.9 Panchayats are

required to seek permission of the panchayat samiti to undertake work

upto 3 lakhs and zila parishad worth Rs. 3 lakh to 5 lakhs for
development of villages. After Parliamentary election 2004, village
development committee have been abolished.
Functions and Duties of Gram Panchayats :
Section - 21 of the Haryana Panchayati Raj Act, 1994.
Subject to such rules as may be made, it shall be the duty of
the gram panchayats within the limits of the funds as its disposal, to
make arrangements, for carrying out the requirements of Sabha area in
respect of following matters including all subsidiary works and
buildings, connected there with -
I General Functions:
(1) Every resolution adopted in a meeting of the Gram Sabha shall
be duly considered by the Gram Panchayats and the decision and

8 Department of Agriculture, Haryana, Panchkula, Endst-952-65 Sept. 11,

2006.
9 The Tribune dt. April 27, 2000, p. 20.

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action taken by the Gram Panchayats shall from part of the report of
Panchayats of the following year.
(2) Preparation of annual plans for the development of the
Panchayat area.
(3) Preparation of annual budget and submission thereof to grant
gram sabha in its sawani (lkouh) meetings for consideration.
(4) Power for mobilizing reliefs in natural calamities.
(5) Removal of encroachments on public place.
(6) Organizing voluntary labour and contribution for community
works.
(7) Maintenance of essential statistics of villages.
II. Agriculture and Agriculture Extension
(1) Promotion and Development of agriculture and horticulture.
(2) Development of waste lands.
(3) Development and maintenance of grazing lands and preventing
their unauthorized alienation and use.
III. Animal Husbandry, Dairying and Poultry
(1) Improvement of breed of cattle, poultry and other livestock.
(2) Promotion of dairy farming, poultry and piggery
(3) Grassland development
IV Fisheries
Development of fishes in the village(s)
V Social and Farm Forestry, Minor Forests Produce, Fuel Fodder
(1) Planting and preservation of trees on the sides of roads and
other public lands under its control.
(2) Fuel plantations and fodder development.
(3) Promotion of farm forestry

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(4) Development of social forestry
VI Khadi, Villagers and Cottage Industry
(1) Promotion of rural and cottage industries.
(2) Organization of awareness camps, seminars, and training
programmes, agriculture and industrial exhibitions for the
benefits of rural areas.
VII Rural Housing
(1) Distribution of house sites within its jurisdiction.
(2) Maintenance of records relating to the houses site and other
private and public properties.
VIII Drinking Water:
(1) Construction, repairs and maintenance of drinking water well,
tanks and ponds.
(2) Prevention and control of water pollution.
(3) Maintenance of rural water supply schemes.
(4) Water harvesting scheme of rainwater.
IX Buildings, Waterways:
(1) Maintenance of bull building under its control or transferred to
it by the Government or any public authority. Maintenance of
boat, ferries and water ways.
X Rural Electrification and its distribution
Providing for and maintenance of lighting of public streets and
other public places.
XI Non-Conventional Energy Sources:
(1) Promotion and development of non-conventional energy
schemes.

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(2) Maintenance of community non-conventional energy devices,
including biogas and windmills.
(3) Propagation of improved chulhas and other efficient devices.
XII Poverty Alleviation programme
(1) Promotion of public awareness and participation in poverty
alleviation programs for full employment and creation of
productive assets including employment assurance scheme.
(2) Selection of beneficiaries under various programmes through
out the Gram Sabhas.
(3) Participation in effective implementation and monitoring.
XIII Education including primary and secondary schools
(1) Promotion of public awareness and participation in primary
and secondary education.
(2) Ensuring full enrolment and attendance in primary and middle
schools and its management.
XIV Adult and Non-formal Education
(1) Promotion of Audit Literacy
XV Libraries
(1) Village Library and Reading Rooms;
XVI Cultural Activities
(1) Promotion of social and cultural activities
XVII Markets and Fairs
(1) Regulation of fairs excluding cattle and fairs and festivals other
than religious.
XVIII Rural Sanitation
(1) Maintenance of general sanitation.
(2) Cleaning of general sanitation.

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(3) Maintenance and regulation of cremation and burial grounds.
(4) Construction and maintenance of public latrines.
(5) Disposal and unclaimed corpses and car cases.
(6) management and control of washing and bathing ghats.
XIX Public Health and Family Welfare
(1) Implementation of family welfare programme.
(2) Prevention and remedial measures against epidemics.
(3) Regulation of sale of meat, fish and other perishable food
articles.
(4) Participation in programme of human and animal vaccination.
(5) Licensing of eating and entertainment establishment.
(6) Destruction of stray dogs.
(7) Regulation of curing tanning and dyeing of skins and hides.
(8) Regulation of offensive and dangerous trades.
XX Women and Child Development
(1) Participation in the implementation of women and child
welfare programme.
(2) promotion of child health and nutrition progrmmes.
XXI Social Welfare including Welfare of the Handicapped and
Mentally Retarded
(1) Participation in implementation of the social welfare
programmes including welfare of the handicapped, mentally
retarded and destitute.
(2) Monitoring of the old age and widows pension scheme.
XXII Welfare of the Weaker Sections and in Particular the
Scheduled Castes.

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(1) Promotion of public awareness with regard to welfare of
scheduled castes and other weaker sections.
XXIII Public Distribution System
(1) Promotion of public awareness with regard to the distribution
of essential commodities.
(2) Monitoring the public distribution system.
XXIV Maintenance of Community Assets
XXV Construction and Maintenance of Dharamshalas and
Similar Institutions.
XXVI Construction and Maintenance of Cattle Sheds, Ponds and
Cart Stands
XXVII Construction and Maintenance of Slaughter Houses.
XXVIII Maintenance of Public Parks, playgrounds etc.
XXIX Regulation of Manure Pits in Public Places.
XXX Other Functions:
Such other functions as may be entrusted by the Government
or any local authority.
Section 24.10 Powers to require removal of encroachment and
nuisance regarding management of panchayat land.
(1) Gram panchayat either suo moto or on receiving report or other
information and on taking such evidence. If any, as it thinks fit, may
make a conditional order requiring within a time to be fixed in the
order;
(a) The owner or the occupier of any building or land -
(i) to remove any encroachment on a public street, place of
drain.

10 S-24 The Haryana Panchayati Raj Act, 1994.

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 (ii) To close, remove, alter, repair, clean, disinfect or put in
good order any latrine, urinal, water closet, drain
cesspool or other receptacle for filth sullage water,
rubbish or refuse or to remove or alter any door or trap
or construct any drain for any such latrine, urinal or
water closet, by a sufficient roof and wall or fence from
the view of persons passing by or dwelling in the
neighborhood;
(iii) To cleanse, repair, cover, fill up, drain off, deepen or to
remove water from a private well, reservoir, pool, pit,
ditch depression or excavation therein which may
appear to the Gram panchayats to be injurious to health
or offensive to the neighborhood;
(iv) To remove any dirt, dung, night soil, manure or any
noxious or offensive matter therefrom and to cleanse the
land to building;
(b) The owner of any wall or building which is deemed by the
Gram panchayats to be dangerous in any way to remove or
repair any such wall or building;
(c) The owner or occupier of any building or property to keep his
building or property in a sanitary condition.
(d) The owner of any dog or other animal suffering or reasonably
suspected to be suffering relies or which is dangerous, or
destroy, confine or cause to be confined such dog or animal.
(e) The owner or occupier of any agricultural land to destroy Pohli
or any other such harmful weed form such land;

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(f) The owner or occupier concerned to reclaim an unhealthy
place;
(g) The owner or occupier of any building or land to maintain in
proper repair the level and surface of any road or street passing
in front of the building or through his land;
(h) The owner or persons incharge of a private ‘khal’ to keep it in
a state of reasonable repair, or if he objects so to do, to appear
before it at a time and place to be fixed by the order, and to
move to have the order set aside or modified in the manner
hereinafter provided. If he does not perform such act or appear
and show cause, the order shall be made absolute. If he appears
and show cause against the order of the Gram Panchayats shall
take evidence and if it is satisfied that the order is not
reasonable and proper no further proceedings shall be taken in
the case. If it is not satisfied the order shall be made absolute.
(2) If any of the act mentioned in sub-section (1) is not performed
within the time fixed, the Gram Panchayats may cause it to be
>

performed and may recover the cost of performing it from such

person.
Section 25 power to make general orders:
A. Gram Panchayats may, by general order to be published in the
manner prescribed,
(a) Prohibit the use of water of a well, pond or other
excavation suspected to be dangerous to the public health.
(b) Regulate or prohibit the use of water by cattle or for
bathing or washing at or near well, ponds or other excavations
reserved for drinking purposes.

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(c) Regulate or prohibit the dyeing or tanning of skins
within four hundred and forty meters of the residential area of a
village.
(d) Regulate or prohibit the excavation of earth or stone or
other materials within two hundred and twenty maters of
residential area of a village:
Provided that nothing shall be done under this clause to
prevent excavation meant to be filled in by the foundation of
buildings or other structure;
(e) Regulate or prohibit the establishment of brick kilns and
charcoal kilns within eight hundred and eighty meters and
pottery kilns within two hundred and twenty meters of the
limits of residential area of a village: Provided that there a
pottery kiln was working at the time when. Gram Panchayats
under the Punjab Village Panchayats Act, 1939 (Punjab Act II
of 1939) and the Punjab Village Panchayats Act 1922 (Punjab
Act III of 1922) or any other Act was in force, its working shall
not be prohibited unless the gram panchayats provides
'reasonable facilities for its working outside the two hundred
and twenty meters limits;
(f) Direct the carrier of the carcasses of all animals dying
within the village except the carcasses of animals slaughtered
for consumption, shall not be disposed of within a radius of
four hundred and forty meters of the limits of the residential
area of the village.
(g) Regulate the construction of new building or the extension
or alteration of any existing building in the abadi;

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 (f) Regulate with the previous permission of the Government,
the parking of public vehicles.
(i) Regulate such matters as may be necessary for the general
protection of standing crops and trees on common land and the
planting of such trees.
(j) Regulate the conditions of sanitation and taking curative
and preventive measures to remove and prevent the spread of
epidemics;
(k) Regulate the maintenance of water courses meant for
irrigation purposes;
(l) Regulate the killing of stray dogs;
(m) Regulate the slaughter of animals;
(n) Prohibited beggary;
(o) Direct the taking of measures for the prevention of
water logging;
(p) Regulate the flaying and disposal of dead animals.
(1) Prohibit the sale of harmful eatables within the sabha
area;
(r) Regulate the offensive and dangerous trades or
practices;
(s) Prohibit the playing of obscene gramo - phone record.
SECTION 27. Penalty for disobedience of a special or general
order of Gram Panchayats.
Any person who disobeys an order passed under section 24 and
25 of the Gram Panchayats, shall be liable to a penalty which may
extend to one hundred rupees and if the breach is continuous with a

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further penalty which may extend to ten rupees for everyday after the
first during which the breach continues:
Provided that the penalty for recurring breach shall not exceed
the sum of one thousand rupees.
SECTION 30. Power to contract for collection of taxes and other
dues:
A Gram Panchayats may not withstanding any law to the
contrary, in respect of any area within is jurisdiction, enter into
contract with government or a local authority to collect land revenue
or any taxes or dues payable to Government or a local authority on
being allowed such collection charges as may be prescribed.
SECTION 31. Power to introduce prohibition:
A Gram Panchayats may, at any time, during the period
commencing on the 1st day of April and ending with the 30th day of
September of any year by resolution passed by majority of panches
holding office for the time being, direct that intoxicating liquor may
not be sold at any licensed shop within the local area of the Gram
Panchayats.

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Section 33. Power to manage fairs and markets.
The Gram Panchayats shall have control of all public streets,
water ways other than canals as defined in clause (1) of Section 2 of
the Haryana Canal and Drainage Act, 1974 (Haryana Act 29 of 1974),
or any other Act for the time, being in force, situated within its
jurisdiction not being a private street or water ways and not being
under the control of Government or Panchayat Samiti or any other
authority specified by Government and may do al thins necessary for
the maintenance and repair thereof.
SECTION 36. Power to take over management of institutions, etc.
Subject to rules made under this Act and the conditions agreed
upon in writing a Gram Panchayats may receive from any person any
property vested in him, or the management of any institution, or the
execution r maintenance of any work, or the performance of any duty,
within its area: Provided that no work costing more than five thousand
rupees shall be entrusted to, or undertaken by a Gram Panchayats
except with the previous approval of the Director.
SECTION 37. Help in maintenance and improvement of schools
and hospitals or dispensaries
(1) The Gram Panchayat shall, subject to such terms and
conditions as may be prescribed, give help to the educational
institutions, hospitals and dispensaries in or near its jurisdiction for
their maintenance, improvement or efficient running.
Comments:
The Act clearly specified that there shall be atleast two
meetings of the panchayats in a month and such meetings should be at
a public place within the Sabha area and shall be called by the

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Sarpanch and in his absence by Up-Sarpanch or Gram Sachiv. Such
meetings shall be Presided over by sarpanch and in his absence by
Up-Sarpanch and in absence of both, the panches present shall choose
one from amongst themselves to preside over the meting. In every
panchayat or where there are small panchayats then for a group of
panchayats a Gram Sachiv shall be appointed by the Government to
maintain the record of the panchayats and to assist the sarpanch in the
smooth functioning of the panchayats as well as to give timely
information to the Block Development Panchayats Officer about the
working of the panchayats. The Gram Sachiv shall also maintain the
cashbook of everyday of the panchayats. He shall supply every
month, the progressive report of the panchayats to B.D.P.O. Likewise
the Sarpanch under section 19 of this Act shall convene the meeting
of Gram Panchayat or Gram Sabha as required under the Act and
would exercise administrative control over the working staff of the
panchayat as well as shall preside over the meetings of the panchayats
or Gram Sabha as required under the Act. In the absence of the
sarpanch the above responsibility shall be discharged by the Vice-
Sarpaneh. If the Sarpanch and in his absence Vice-Sarpanch failed to
discharge the above responsibilities then the prescribed authority can
take action against them individually or collectively unless sufficient
causes shown by them for failure to discharge their duties.
Section 19: The Haryana Panchayat Raj Act, 1994.
The Sarpanch shall -
(i) Convene meeting of Gram Sabha and Gram Panchayat.
(ii) Preside over the meeting of Gram Sabha and Gram Panchayat

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(iii) Have the general responsibility for the executive and financial
administration of the Gram Panchayat.
(iv) Exercise administrative supervision and control over the work
of the staff of the Gram Panchayat and officers and employees
whose services may be placed at the disposal of the Gram
Panchayat by any other authority.
(v) For the transaction of business connected with this Act or for
the purpose of making any order authorized. Thereby, exercise
such powers, perform such functions and discharge such duties
as may be exercised. Performed or discharged by the Gram
Panchayat under this Act or the rules made thereunder.
(vi) Exercise such powers, perform such other functions and
discharge such other duties as the Gram Panchayat may, be
general or special resolution, direct or the government may, by
rules made in this behalf.
(2) The up-Sarpanch shall -
(i) In the absence of the sarpanch preside over end regulate the
meetings of Gram Sabha and Gram Panchayat: and
(ii) Exercise such powers and perform such duties of the sarpanch
as the sarpanch may, from time to time, delegate to him.
These days the post of Up-Sarpanch have been abolished in
Haryana.
Financial and Fiscal Powers of a Gram Panchayat
Section 3911 Gram Fund
There shall be a Gram fund for each Gram Panchayat and the
same shall be utilized for carrying out the duties and obligations

11 The Haryana Panchayati Raj Act, 1994.

112
imposed on the Gram Panehayat or any committee thereof by thus or

any other Act and for such other purpose of Gram Panehayat as the

Government may prescribe.

Section 40 Sources of Gram Fund12

The following money shall be credited to the Gram Fund:

(a) All grants from the govt, or other local authority as may be

specified:

(b) The balances, if any, standing at the credit of panehayat at the

commencement of this Act;

(c) The balance and proceeds of all funds, which, in the opinion of

the BDPO, were or are being collected for common, secular

purpose of the village comprised in Sabha area.

(d) All donations

(e) All taxes, duties, cases and fees imposed and realized under

this Act.

(f) The sale proceeds of all dart dust, dung, refuge collected by the

servants of the Gram Panchayats and dead bodies of animals

not claimed by any person in accordance with any custom or

usage and the trees and other produce of the land vested in

Gram Panehayat.

(g) Income derived from the fisheries, which are under the

management of Gram Panehayat;

(h) Income derived from common lands vested in the Gram

Panehayat under any law for the time being in force.

Section -41 Power of Taxation and Fees.

12 The Haryana Panchayati Raj Act, 1994.

113
(i) Subject to rules made under this Act or any other made by
Government in this behalf, a Gram Panchayat shall impose.
(a) A house tax payable by the occupier or, where a house
is vacant by the owner.
Provided that if any house:
(i) Remains vacant for a period of one year or more; or
(ii) Is owned or occupied by a person who was dependent of the
member of Armed Forces of the Union of India killed in action during
the 1962, 1965 and 1971 war, it shall be exempted from payment of
the house tax.
(b) If so authorized by the government, a duty or transfer of
property in the form of a surcharge on the duty imposed
by the Indian Shops Act, 1899 on instrument of sale,
gift and mortgage in the possession of immovable
property situated in the Sabha area at such rate as may
be fixed by the government not exceeding two percent
as the case may be, the amount of the consideration the
value of the property or the amount secured by the
mortgagee, as set forth in the instrument.
(c) If so authorized by the government, any other tax, duty
or cess which the legislature of the state has power to
impose.
Provided that if the Gram Panchayat fails to impose the
tax, duty or cess, the government may take necessary
steps to impose tax, duty or cess so imposed by the
Gram Panchayat.

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 Provided further the government may at anytime
withdraw the authorisation under Clause (b) or Clause
(c) interaction the tax, duty or cess shall be cease to be
levied.
2. The following fees may be levied by a Gram Panchayat
(i) Teh bajari from the shopkeepers in fairs other than cattle fairs.
(ii) Service fees including fee on cleaning of streets and lighting of
streets and sanitation.
(iii) Fee for registration of animals sold in the sabha area, in water
rates where water supply is facilitated by the Gram Panchayat.
Income from Panchayat Land / Common Lands
Section - 9 Utilisation of income13 - Any income occurring from the
use of occupation of the lands vested or deemed to have been vested
in a panchayats shall be credited to the panchayats fund and shall be
utilized in the manner prescribed.
The provision of this section provides that any income which is
derived by the panchayats from the Shamlat land/panchayats land will
be credited to the panchayat fund and it shall be utilized in the manner
prescribed.
Rule-14 of the Punjab Village Common Land Rules, 1964
Gram Panchayat by giving the panchayats land/shamlat land on
lease and selling trees etc. can derive income from the panchayats
land.
Section - 9 of the Punjab Village Common Land (Regulation) Act,
1961 provides that the so called income from the and occupation of
panchayats land shall be credited to the panchayats ‘fund’ whereas the

13 Section-9 of Punjab Village Common Land (Regulation) Act, 1961.

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Gram Panchayat Act provides that there shall be a ‘Gram Fund’
substituted for ‘Sabha Fund” in Haryana for each panchayats which,
shall be utilized for carrying out the duties and obligations of Gram
Panchayat.
Section 8(i) : of the Punjab Village Common Land (Regulation) Act,
1961 which is similar to that of S-40 of the Haryana Panchayati Raj
Act, 1994 prescribes the sources of ‘Gram Fund’ which is as under:
(a) All grants from government or other local authorities.
(b) The balance and proceeds of all funds which in the opinion of
collector, were or are being collected for common secular
purpose of the village or villages comprised in the sabha area.
According to Section 9 of the Act14 the income shall be
credited to panchayat fund whereas the Gram Panchayat used the
word Gram Fund /Sabha Fund and according to Section 8 i (h) of the
Act all income from any land vested in panchayats under any law
shall be the source of Gram Fund. There seems to be some
discrepancy but the panchayats fund and gram fund is the same and
there is difference in their name only.
Rule - 14 of the Punjab Village Common Land Rules, 1974 as
applicable in Haryana - Utilisation of the income from the shamlat
land [S-9 and 15(2f) of the Act]. The income derived by the
panchayats from the use and occupation of the land in shamlat the
vested or (deemed to have been vested in panchayats only) in it shall
be utilized for the benefit of the inhabitants of the village as laid down
in the Act of Punjab village Gram Panchayat Act, 1952.

14 Punjab Village Command Lands (Regulation) Act, 1961.

15 Punjab Village Command Lands (Regulation) Act, 1961.

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 Section 19 and rule 3, 4 and 23 of the Panchayat Act and rules
are relevant in this regard. The rule - 14 lays down that the funds
should also be utilized for the maintenance, management and
improvement of the lands in shamlat deh.
Legal Authority to put Panchayats in Rights of Managing
Panchayat Land/ Common Lands in Haryana
According to Section-316 (i) This Act shall apply, and before
the commencement of this Act, the shamlat law shall be deemed
always to have applied, to all lands which are shamlat deh as defined
in clause (g) of section 2 of the Act.
(2) Notwithstanding anything contained in sub section(i) of Section-
417
(i) Where any land has vested in a panchayat under the shamlat
law, but such land, other than excluded under sub-clause (ii a) of
clause (g) of section 2 has been excluded from shamlat Act, as defined
in clause (g) of section 2 all rights, little and interest of the panchayats
in such land shall, as from the commencement of this deh, cease and
such rights, title and other interest shall be revested in the person or
persons in whom they vested immediately before the commencement
of the shamlat law and the panchayats shall deliver possession of such
land to such person/persons.
Provided that where a panchayat is unable to deliver possession
of any such land on account of its having been sold er utilized for any
of the purpose the rights, title and interests of panchayats in such land
shall not be cease but the panchayats shall, notwithstanding anything

16 Punjab Village Command Lands (Regulation) Act, 1961.

17 Sab Vide Act 13 of 1996.

117
contained in Section-19, pay to the person or persons entitled to such
land, compensation to be determined in accordance with such
principles and in such manner as may be prescribed.
(ii) Where any land has vested in a panchayat under this Act, but
such land has been excluded from shamlat deh under sub-clause (ii a)
of clause (g) of Section-2 all rights, little and interest of panchayat in
such land, for the date of allotment of such land so excluded has been
allotted by the Rehabilitation Department of the State Government on
or before 9th July, 1985 subject to the condition that -
(a) any sum of money realised by the Rehabilitation Department of
the State Government as a result of allotment of such land; or
(b) Where no money was realised by the Rehabilitation
Department of the State Government as a result of allotment of such
land, the amount of compensation in respect of such land as
determined under sub-section (3) by the collector of the district in
which such land situated, shall be paid by the Rehabilitation
department of the Panchayat Department Development Department
for onwards distribution to the panchayats to which such shamlat deh
belonged.
(3) As soon as may be, on the commencement of Punjab Village
Common Lands (Regulations) Haryana Amendment Act, 1996, the
Development and panchayat department shall make a reference to the
collector of the district to determine the amount of compensation
under sub-clause (b) of clause (ii) of sub section(2) and the collector
of the district shall, keeping in view the market value of the shamlat

118
deh at the time it was allotted, determine the amount of
compensation. 18
•

Rights to control and Manage the Panchayat Land of the Gram

Panchayat
(1) Section - 4 of the Punjab Village Common Lands (Regulation)
Act, 1961. The Gram Panchayat have been legally authorized to have
vigil and watch over the shamlat or panchayat land (situated within
abadi deh or outside abadi deh.
According to S-4(l) Notwithstanding anything to the contrary
contained in any other laws for the time being in force or in
agreement, instrument, custom or usage or any decree or order of any
court or other authority, all rights, title and interest wherever in the
land:-
(a) Which included in shamlat deh of any village and which has
not vested in panchayat under the common land Act shall, at the
commencement of the Act, vest in panchayats constituted for such
village, vest in panchayat on such date as panchayat having
jurisdiction over that village is constituted:
(b) Which is situated within or outside the abadi deh or of village
and which is under the house owned by a non-proprietor, shall on the
commencement of the shamlat law, be deemed to have been vested in
such non-proprietor.
(2) Any land which is vested in panchayat under the shamlat law
shall be deemed to have been vested to panchayats under this Act.
(3) Nothing contained in clause (a) of sub-section (1) and in sub­
section (2) shall affect or shall be deemed over to have affected the -

18 Substituted vide the Act 13 of 1996.

119
(i) Existing rights, title or interests of persons who though not
entered as occupancy tenants in the revenue records are
accorded a similar status by custom or otherwise such as
dholidars, bondedars, butimars, bassikhuopahus, saunfidars,
muquaridars.
(ii) Rights of persons who were in cultivating process of shamlat
deh on the date of commencement of the Punjab Village
Common Lands (Regulation) Act, 1953, or the Pepsu Village
Common Lands Act, 1954 and were in such cultivation
possession more than 12 years on such commencement without
payment of rent by payment of charges not exceeding the land
revenue and cases payable.
(iii) rights of a mortgagee to whom such land is mortgaged with
possession before the 26th January, 1950.
Section - 5 Regulation of use and occupation etc. of lands vested
in panchayats19
(1) All lands vested or deemed and have vested in panchayats
under this Act shall be utilized and disposed of the by the panchayats
for the benefit of the villagers. Where two or more village have a joint
panchayat the common shamlat deh/shamlat tikka shall be utilised
and disposed off by the respective village panchayats for the benefit
of inhabitants. Provided further that where the area of land is shamilat
deh of any village so vested or deemed to have been vested in a
panchayat is in excess of twenty five percent of the total area of that
village (excluding abadi deh) then twenty five percent of the such
total area shall be left to the panchayat and out of the remaining area

19 The Punjab Village Common Land (Regulation) Act, 1961.

120
of shamilat deh an area upto the extent of twenty five percent of such
total area shall be utilized for the settlement of landless tenants and
other tenants ejected of that village and the remaining area of shamilat
deh, if any shall be that village subject to the provisions relating to [
permissible area under the Haryana Ceiling on Land Holding Act,
1972 by the Asstt. Collector of the 1st grade] in consultation with the
Panchayats [in such manner and on payment] of each amount as may
be prescribed.20 In a case the Punjab and Haryana High Court has hold

that land comes within the definition of shamilat or Panchayats land

01
and would vest in Panchayats. The owner ceases to be its owner.
It has been held by the Punjab and Haryana High Court the
plain reading of Section 4(3) of the Punjab Village Common Lands
(Regulation) Act 1961 there is no matter of doubt that the period of 12
years is to be computed upto the date of enforcement of the Act and
not upto the date when an application is filed under sub-section (2) of
Section 7 of the Act.22 Legislature in its wisdom under §-4(3) (ii) of

the Act made it clear distinction between mere possession and

cultivation possession.23 The two phrases “self cultivation” and
cultivation “possession “ are not synonymous and are intended to
connote different and distinguishable concepts. The word
“cultivating” when used along with “possession” is of no other
significance apart from referring to shamilat land which was both
arable and was in fact under the plough in sharp distinction to other
‘category of shamilat land which was both arable and was in fact

20 Sub Vide Haryana Act 23 of 1973.

21 Koora Ram v. Ram Prakash 1983 (2) LLR 475 (P &H) 1983 PLJ 130.
22 Deiya Ram v. State of Haryana, 1971 PLR 264 (P &H)
23 Gram Panchayat Naline v. State of Punjab 1993 (1) RRR 494 P&H (DB)

121
under the plough in sharp distinction to other category of shamilat
land which could not obviously be possessed through cultivation.24 If

a person has 12 years long possession of shamilat deh without paying

any rent to panchayats his possession cannot be disturbed if already
the panchayats is legal owner of the respective land. The provision (1)
of Section 4 of the Punjab Village Common Lands (Regulation) Act
1961 under Clause (ii) sub section (3) is the right of the person
cultivating the land and possession of the shamilat land for more than
12 years without any rent payment without any interference, his
possession cannot be disturbed nor can be called upon to pay any rent
and charges.25

Forcible possession is outside the provision of this Act.

ordinary remedies under general law may be available.
Section 5 of (1) A panchayats may gift the land in shamilat
/panchayats deh vested in it under this Act to the member of
scheduled caste and backward classes of the village in which such
land is situate on such terms and conditions as may be prescribed.
(2) Certain transfers not to affect panchayat rights any transfer of
land, gifted and pursuance of provisions of Section 5-A made in
contravention of the prescribed terms and conditions, shall be void
and the land gifted so transferred shall revert to, and revert in, the
panchayat free from all encumbrances.

24 Gram Panchayat Ranwan v. Amar Nath 1971 PLJ 159: 1971. PLR 73
AIR 1971 Punjab 394: 1971 (CLJ 559: 1961 RLR 236 DB (P&H)
25 Mahant Ayodhyanath v. Gram Panchayat Ramanagar, 1972 PLJ 570
P&H: 1972RLR: 515,
26 Jogi Ram v. Collector cum Deputy Commissioner Kurukshetra 1992(1)
ARR 446 (P&H).
27 Substituted vide Act of 1986.

122
Section-7 of the Punjab Village Common Lands (Regulation) Act
1961
Powers to put panchayats in possession of Certain Lands.28
(i) An Assistant Collector of the first grade having jurisdiction in
the village may, either suo-moto or on an application made to
him by a panchayat or an inhabitant of the village or the Block
Development and Panchayats Officer or social education and
panchayats officer, or any other officer authorized by the Block
Development and Panchayats Officer, after making such
summary enquiry as he may deem fit and in accordance with
such procedure as may be prescribed, eject any person who is
in wrongful or unuthorised possession of the land or other
immovable property in the shamilat deh of that village which
vests or is deemed to have been vested in the panchayats under
this Act and put the panchayat in possession there of and for so
doing the Assistant Collector of the first grade may exercise
the powers of a revenue court in relation to the execution of a
decree for possession of land under the Punjab Tenancy Act,
1887:
Provided that if in any such proceedings the question of title is
raised and provided prima-facie on the basis of documents that
the question of title is really involved, the Assistant Collector
of the first grade shall record a finding to that; effect and first
decide the question of title in the manner laid down hereinafter.
(ii) The Assistant Collector of the first grade shall by an order, in
writing, require any persons to pay a penalty, in respect of the

28 Added vide Haryana Act of 1992.

123
 land or other immovable property possession, at a rate not less
than five thousand rupees and not more than ten thousand
rupees per hectare per annum, having regard to the benefit
which could be derived from the land or other immovable
property. If the penalty is not paid within the period of thirty
days from them date of the order;, the same shall be recoverable
as arrears of land revenue.
(iii) The procedure for deciding the questions of title under proviso
to sub-section (1) shall be the same as laid down in the Code of
Civil Procedure, 1908.
(iv) If any person refuses or fails to comply with the order of
eviction passed under sub-section (1), within ten days of the
date of such order, the Assistant Collector of the first grade
may use such force, including police force, as may be
necessary for putting the panchayat in possession.
(v) Any person who is found in wrongful or unauthorized
possession of the land or other immovable property in shamilat
deh and is ordered to be ejected under sub-section (1), shall be
punishable with imprisonment for a term which may extend to
two years.
Constitutional Validity of the Act and its Provisions
The residents of a village granted a lease if entire land for the
purpose of quarrying slates in 1867. The plaintiff company brought a
suit for damages and for permanent injunction to restrain the
defendants from picking out slates from anywhere from the area of
village. During the pendency of that the Punjab Village Common
Lands (Regulation) Act 1961 came into force and validity of the Act

124
came into consideration. The vires of the Act had already been upheld
in a case29 but in view of observation made in AIR 1960 SC 1080

221; 1962 (64) PLR 241 the case was again considered. The

contention was that the Act has nothing to do with the improvement

of agriculture and that in any case taking away of lease rights. It was

further contended that the Act has the effect of putting a stop to

business of querying which has nothing to do with agrarian reforms.

Repealing it was held that the Act is a measure of agrarian reform and
as such it is protected by Act 31-A of the constitution.30 If agrarian

reforms are to succeed mere distribution of land to landless is not

enough. Their must be proper planning of rural economy. The Act is

o1
protected by Art 31-A of the Constitution.

Section- 7 : Encroachment over Panchayats Land /Common Land

and Persons entitled to Institute Proceedings under Section - 7 of
the Act.
In Haryana:
(1) Assistant collector of the first grade suo-moto

(2) Panchayats

(3) Any resident of village

(4) Block Development and Panchayats Officer

(5) Social Reduction and Panchayats Officer

(6) Any other officers authorized by the BDPO

Suo Moto

29 Hukam Singh v. State 1955 Pun 220 AIR 1962.

30 Kavgravalley v. Kider Nath AIR 1964 Pun 503 DB
31 Ranjit v. State AIR 1965 SE 632 FB.

125
 When an application for removal of encroachment on Rasta

(share-e-am) comes in notice of Assistant Collector under Section 150

of Punjab Land Revenue Act 1887, it was dismissed and notice for

ejectment of the petitioner was issued by the Assistant Collector 1st

Grade It was challenged on two grounds that, the Assistant Collector

should not have moved into the matter suo-moto when the panchayat

did not make any grievance and that he had no competency to review
the order dated 31st December 1966 (dismissing application under

Section 150 ) It was held that in view of the clear provisions of

Section 7 (1) the contention advanced by the petitioner that the

Assistant Collector should not have moved suo moto in the matter

without Gram Panchayat make a grievance against petition is without

O'!

merit. There is no question of review.

(ii) Gram Panchayats- For ejectment process, the Gram

Panchayat is legally authorised to institute the proceedings. The

orders were challenged on the ground that the panchayat is neither a

natural or juristic person and had no right to move the authorities for

ejectment of the petitioner from the Panchayat land. The provisions

of Civil Procedure Code have no application to dispute covered under

Section-7 of the act which itself states in unmistakable terms that the

Assistant collector may be moved on an application made by a

panchayat. The mere fact that the panchayat is neither a natural or

32 Harman v. State 195o to 1988 LJR (Rev. 47

33 Jagpal v. Gram Panchayat 1971 PLJ 155: 1971 PLR 556: AIR 1971 P&H
393

126
and it should be decided by the authorities. In a case before Punjab
and Haryana High Court it was held that when a land which was
banjar quadim land and was cultivated after 26-1-1950 and was in
possession of the proprietor it cannot be said that the question of title
does not arise. In view of 1992 Amendment Act the question of title
to be proved on prima facie on documentary evidence.
It is incumbent duty of the authorities to determine the title qua
the land in dispute.40

Most of the lis was between the tenants and the panchayat.
Rule 19 regarding provisiqn that after the termination of lease the
lessee shall be deemed to be an unathorised person in the categoiy of
defaulter. It was held that in case of tenancy for a fixed period, the
tenancy stands automatically determined by afflux of time and no
action on the part of the landlord by way of notice to quit or like is
necessary. It becomes the duty of the tenant to handover the land to
the owner (or the possession) immediately as provided under Section-
108(9) of the Transfer of Property Act. A lessee could not claim to be
landlord and deny the original owner.41

After the expiry of lease the lessee has no right to remain on

the land. The property should be returned to the owner. The Gram
Panchayat sent notice to the tenant who was not ejecting. The tenant
raised a question that the disputed land was evacuee property and does
not belong to shamilat land and belongs to custodian land, and the
panchayat is not the owner. It was held on the strength of decision in

39 Hari Chand v. Gram Panchayat 1996(1) LJR 554

40 Harbans v. State 1996 (1) LJR 560 DB.
41 Gram Panchayat v. SDO (1997) 2 LJR 448,1998: LLR 88: 1998(3) LLR
147.

129
1998 (1) PLJ 224, 1999 (1) PLJ 3118: 1999 (2) RRR 42 DB that a

tenant cannot dispute the title of the land after expiry of the lease

period and the panchayat was entitled to move an application under

Section 7 of the Act against the tenant.42 It was held by the Supreme

Court that tenant after the expiry of the term of lease become an

unathorised person/occupant and he could lawfully be proceeded

against such under Section-7 of the Act.43

The majority view of the courts are that after the expiry of the

period of lease the tenant becomes an unathorised occupant and liable

to ejectment under S-7 of the Act.44

Powers of Panchayat and impact of East Punjab Holdings

(Consolidated and Prevention of Fragmentation) Act, 1948
In some villages, there was no shamilat land. To meet out this

and to provide adequate shamilat deh provision were made in the East

Punjab Holdings (Consolidation and Prevention of Fragmentation)

Act, 1948 to reserve shamilat land for the use for common purposes

and such land was left in the management and control of panchayat.

The result is that now after consolidation proceeding there is no

village without common land used for common purposes. But there

are villages that third proviso was enacted.

Condition for applicability of 25% of the proviso is that the

shamilat deh of the village should be in, excess of total area of that

village excluding area of abadi deh. If this condition is not satisfied,

then the provisions of the proviso (III) Section-5 will not apply.

42 Moin Deen v. State 2000 () RCR Civil 433 DB 2001 (1_ SLJ 316 DB
43 Fatta v. B.R. Anand 1998(2) LJR 746 DB 1998 (1) PLJ 403.
44 Devi Dutta v. Gram Panchayat 1992 (3) LJR 241: 1996 (2) LLR 300.

130
juristic person does not effect the order under Section-7 when the Act
clothes the panchayat with the necessary authority.34
Section-8 of Gram Panchayat Act 1952 in Haryana has
declared every Gram Panchayat to be body corporate having perpetual
succession and in can sue and be sued in its name.
The procedure to sue panchayat and be sued have been
prescribed by Rule 16 of the rules made under the Act. Where a
panchayat was sued through its sarpanch who admitted the claims of
plaintiff it was held that sarpanch was not authorized by a
resolution.35 Where panchayats were suspended by the Punjab
Government and administrator appointed who applied for ejectment
of the person who were in unauthorised possession, an objection was
taken that Rule 16 of Punjab Village Common Lands (Regulation)
Rules 1964 were not followed. It was held that Rule 16 will apply if a
panchayat is in existence and duly constituted. When the panchayats
are suspended this rule will not be applicable. Moreover the objection
is only a technical one and the application for eviction cannot be
'>/r

defeated on such a hyper technical objection.

34 Hamand v. Commissioner 1950 to 1988 LJR (rev.989: ACR 1972 P&H

14.
35 Balwant v. Gram Panchayat AIR 1972 P&H 309
36 Ram Singh v. Joint Director 1990 (i) LJR 659

127
(iii) Resident of Village
For wrongful or unauthorized possession of the Panchayat

land, its ejectment process can be proceeded by any resident of the

village. The interest, whatever its degree, persists throughout. It

cannot be said that as soon as the proceedings terminated Under

Section 7 of the Act, the person who moved the application cease to

be a person interest in the land. The onus of proving that land in

<2 <7

dispute lies on that person that land belongs to Gram Panchayat.

(iv) Any Officers of Panchayat Department-

Block Development Officer, Social Education Officer or other

officer authorized by BDPO is authorized to file application for

encroachment/ejectment against the person who is unathorised or

wrongful possession, are also empowered Under Section 7 to institute

proceedings must prove following:

(I) That the land or other immovable property under the dispute is

shamilat deh/Panchayat land as defined Under Section 2 (g) of

the Act.38

(II) That the disputed land/property have been vested in Gram

Panchayat

(III) The wrongful encroacher is under illegal possession of the

property.

Where the respondents claimed the title, had become owner of

disputed land on the basis of sale deed executed by the Gram

Panchayat in their favour the plea certainly raised a question of title

37 Mange Ram v. State 1998 (2) LJR to : 1999 (4) LJR 543
38 1977 PLJ 444: 1977 RJR 80 & 1994 (1) LJR 468

128
 If the Panchayat land is in excess of 25% of total area of the
village than 25% land of such total area will be left for benefit of
villagers in command of panchayat and out of remaining land other
75% of total area will be used for landless tenants.
This means that the words 'total’ area and such total area
makes it clear that first 25% for the panchayat use and second 25% for
landless tenant as to be calculated is to the total area of the village and
lot of total area of shamilat.
If the total area of village except abadi land is 2000 acres and
shamilat is 40% of this land. Then total shamilat will be 800 acres.
First 25% of total area of the village is to be left for panchayat that
comes to 500 acres of land. Out of 800 acres 500 acres of land will be
used for panchayat. The second segment of landless tenant 25% of
total area of such land is to be reserved which is 500 acres. The land
with the panchayat remains 300 acres. So the remaining land will be
utilized for the purpose of settlement of landless tenants.
The question whether the panchayat can sell land under its
management through a public auction. It was held that it is clear from
the provisions of Section-5 of the Punjab Village Common Land
(Regulation) Act, 1961 that for the benefit of the residents of the
village the Gram Panchayat can sell the land under Rule 12 of the
Act.45
The lease power of Panchayat, can it lease only a portion of
land or change the purpose of the land from which it was reserved.
The Act and the rules made there under empower the gram panchayat
to convert a portion of the street for any one or more of the purposes

45 Dhari v. State 1998 (1) LJR 348: 1997 (3) RCR Civil 405

131
given in Rule 3(2)46 The shamilat was sold to a private colonizer.

Panchayat was not allowed to sell the same land47 because the purpose

of Rule 3(2) was not covered. The panchayat can exchange the

panchayat land of equivalent value to implement welfare schemes of

Government in the villages. This deed is to be done with resolution of

the Gram Panchayat and having the sanction from the Deputy
Commissioner 48The consolidation Act 1948 provides for reserving

the lands for common beneficial purposes of the villagers, the

management and control will vest in the Gram Panchayat. The Acts

(common land and consolidation) are for the proper management of

waste and vacant lands. Common purposes for which the panchayat

empowered:-

(i) Extension of abadi

(ii) Providing extra income of Panchayat for the benefit of

villagers.

(iii) Village Roads, Paths, drains, wells, ponds or tanks, water

course/channels/burial grounds panchayat grass, grazing

grounds, latrine public mela grounds.

(iv) Dispensaries/schools/play grounds or preparing a scheme. The

consolidation office can provide its khasra no. be reserved for

abadi and other ghers in possession of different owners will be

retained by them.49

46 Bishamber Dayal v. State 1986 PLJ 208 (FB)

47 Shish Ram v. State 2000 (2) PLJ 72 SC 2000(3) LJR 524
48 Gram Panchayat v. State 1996 PLJ 75
49 Director v. Johri Mai 1961 Punjab 208 FB

132
Effect of Haryana Ceiling Land Holdings Act, 1972
The Act was brought to consolidate and amend the law relating
to ceiling on Land Holdings in Haryana. Before the encroachment the
Pepsu Tenancy and Agriculture Lands Act and Punjab Security of
Land Tenure Act were applicable and these were repeated by the
Provision 33 of the Act. It was a thrust for uniform Ceiling on land
holdings. The permissible area was reduced and surplus area was
acquired by the State for allotting it to landless persons.
The lands owned by the panchayats were exempted from the
operation of Ceiling of Law. The provision Section 5-A will apply
only to small landowners.
Effect of Gifts by the Panchayat regarding land Under Section
5A/5B
These provisions were brought on the statute by amending Act
of 1976. Prior to it although there were provisions for the purpose of
hospital, school etc., but there was no provision for making gift for the
benefit of scheduled caste and backward classes. It is common known
that these castes had no houses for their own; for this purpose the
provision had been inserted.
The conditions for implementing Section-5-A regarding gift of
land
Rule 13-A regarding Section 5-A
(i) The donor shall not sell, mortgage or dispose off the land in
any other manner whatsoever, before the expiry of the period
of 20 years from the date of gift. Provided that the donee may
mortgage the land with any scheduled bank or the government
for the purpose.

133
(ii) The donee shall construct the house on land within a period of

two years from the date of gift.

(iii) The house will be used for only residence.

(iv) In case of death of donee, legal heirs shall bound by the

conditions thereof.

2. In case of breach of terms and conditions the Panchayat can

cancel the gift and resume the land.

Section 5-B provides that any transfer of land of shamilat deh

gifted to persons according to the provisions Section-5-A made in

contravention and Rule 13-A of the rules shall be void and land will

revert back to Panchayat free from all charges. The Gram Panchayat
is authorized to gift the common land vested in it.50

The problem of mismanagement of Panchayat lands and Government

Powers:

Section 10-A51 Power of Asstt. Collector of 1st Grade to cancel or

vary leases or sales etc. of lands vested in panchayats (1)
Notwithstanding anything contained in this Act or shamilat
land or any other land for the time being in force52. (The Asstt.

Collector of 1st Grade may call for from any panchayat in the area of

his jurisdiction) The record of any sale/lease contract or agreement

entered into by the panchayat in respect of any sale, lease, contract or

agreement entered into by the panchayat in respect of any land vested

or deemed to be vested on it, whether such land, contract/agreement is

entered into before or after the commencement of Punjab Village

50 Gram Panchayat v. State 1984 PLJ 113; 1985 PLR 354: 1984 (1) LLR 71
51 Inserted vide Punjab Act 19 of 1964 S-4
52 Subs Vide Haryana Act 47 of 1973.

134
Common Lands (Regulation) Amendment Act, 1964 and examine

such record for satisfying as to the legality or proprietary of such

(sale, lease), contract or agreement.

(2) Where on examination of the record under sub-Section (i) and

after making such inquiry, if any as he may deem fit for the Asstt.

Collector of 1st Grade is satisfied that such sale lease, contract or

agreement:

(1) has been entered into contravention of any of the provision of

this Act or the rules made thereunder; or

(ii) has been entered into as a result of fraud or concealment of

facts; or

(iii) is detrimental to the interests of the panchayat as prescribed;

the Asstt. Collector of 1st Grade notwithstanding anything in

the aforesaid, cancel the sale, lease contract or agreement or

vaiy the terms thereof unconditionally or subject to such

condition as he thinks fit;53

Provided that no order under this sub-section shall be passed

by the Asstt. Collector of 1st Grade without affording an opportunity

of being heard to the parties to the (sale, lease), contract or agreement

(3) Where the terms of any (sale, lease) contract or agreement have

been varied by the Asstt. Collector of 1st Grade of under Sub-Section

(2) the variation shall, notwithstanding anything contained in this Act

or the shamilat land or in any land for the time being in force, be

binding on the parties to the (sale, lease) contract or agreement as the

case may be.

53 Substituted vide Haryana Act 47 of 1973

135
 The provisions of Section 10-A of the Punjab Village Common
Lands (Regulation) Act, 1961 were added by Act No. 19 of 1964. The
Panchayats had a lot of common land in the practice and under their
management and control. The panchayats mostly are not managing
properly the eommon/panchayat land due to a lot of reasons.
Sometimes they want to profit themselves or their kith and kin.
Panchayat lands for agriculture are given on patta/lease every year of
after two years in common practice. The open, auction is in process
and the tradition. The slogans are called two days before the auction
(open) of the land. When the bidders are not relative or their near and
dear ones the Sarpanch/Panches cancel the auction and calls twice.
The second term somebody knows and somebody don’t know about
the auction of Panchayat land for agriculture purpose. By the hidden
way the land is shown on patta to the near or relatives without taking
into the notice of Gram Sabha.
The panchayat have a large cases of shamilat land on defective
leases/pattas /gifts etc. without observing the prescribed rules made in
this regard. In some cases the lease is more than 50 years and in many
cases for enumerative basis. The income from such deeds is expected.
Where the panchayat sold some khair trees by auction sale and
applied for sanction of Collector who cancelled the auction.
Thereafter, the panchayat again sold the trees by auction sale which
was occupied by the Collector. The prior auction purchaser filed a suit
in the Civil Court. In appeal it was held that the auction on purchaser
was the owner of the trees and second auction sale was set aside. The
Gram Panchayat brought a suit to challenge the correctness of the
judgment and restraining the prior purchaser petitioner from cutting

136
the trees. It was held that prior judgment in favour of the petitioner
was without jurisdiction and the Gram Panchayat entitled to
temporary injunction for restraining the defendant from cutting the
trees in dispute.54

One cannot lose sight of the fact that application for setting
aside the lease was moved after three years of granting the lease. An
application under Section 10-A should be filed at the earliest. In a
case where there is a satisfactory explanation for the delay.55
Every order of the state or its functionary has to meet two tests.
Test of reasonableness and relevancy. The Officer concerned is
legally bound to record relevant legal reasons for refusing to accept
the highest bid. Following the above authority the Full Bench of High
Court held that the Officer had to give sound and speaking one
decision.56

The provision - Section 10-4(2) allows the grounds to cancel

or vary the terms of sale, lease, contract or agreement made by the
panchayat:
(i) that it has been entered into contradiction of any of the
provision or the rules made thereunder or
(ii) has been entered into as a result of fraud or concealment of
facts or
(iii) is detrimental to the interest of panchayat.

54 Babu Ram v Gram Panchayat 1989 (I_) RLR 405: 1988 (l)RRR 40
55 Suresh Kumar v. Collector 2000 (4) RCR Civil 46: 2001 (1) SLJ 197 DB
56 Surja Ram v. State 1984 PLJ 282 FB also 1985 PLJ 278 Surta.

137
 A lease is deemed to be detrimental in the interest of the
panchayat if it has resulted loss to panchayat57 A lease of a nominal
CO

rate is detrimental to the interest of panchayat.

Some of the panches were the members of the lease - society

and record also indicate and only those panches of panchayat who

were also member society passed resolution for the grant of lease to

the society. The Director, panchayats was not given an opportunity of

taking decisions whether it would be advisable to give the lease to the

society. So the collector justified in coming to the conclusion that

there was concealment of facts.59

According to Section 5-A, Lease granted by panchayat of land

which is not shamilat deh can be cancelled. The Collector has the

jurisdiction to cancel or vary a lease. By a lease deed the nature of

land should not change and rander it useless. Lease was cancelled

where the agricultural land of panchayat was given on lease and used
for brick-kiln.60

Section 5-C : Whether leases granted before 1964 can be set aside ?
The rules were framed in 1955 were in force which provided the

procedure and manners in which lease are to be granted by the

panchayat61

57 Rule 7A(iii) of Punjab Village Common Land Act Rules, 1974

58 Mansha Singh v. Commissioner, AIR 1972 P&H 80: 1950-88 LJR Rev.
1080.
59 Tarkhana Commitment-op Society v. Commissioner 1982 PLJ 130 : 1982
RLR252
60 Gram Panchayat Nurkherian v. Joint Development Commissioner (IRD)
Punjab 2001(1) LJR 546 P&H (DB)
61 Gugan State 1968 PLJ 248: 1969 PLR 23 S.N.

138
Section 5-D: A lease has been defined according to Transfer of
Property Act Section-105 may be express or implied. It may be oral or

in writing. A tenant is bound to pay rent it was decided in a case Ram

Karan v.F.C. 1980 PLJ295.

Exchange of land - When two persons exchange mutually the

ownership of one thing for another, neither being or both being money

only, the transaction is called exchange.

Where under a governmental sponsored scheme of panchayat

exchanged some land with some of the residents of the village and

after exchange bank, civil hospital, school, grain market were raised

on the land wrhich the panchayat got in exchange. The owner realized

the potentiality of the case exchange and applied to cancel the

exchange. In arriving at the conclusion the appellate authority send

the approval of the government was not taken and complainant has

surrendered the double land in exchange which has defraud the

government the land surrendered was inferior in quality. The order of

appellate authority was set aside.

A suit was filed in a civil court for declaring the exchange of

land by the panchayat to be null and void on the ground that 49 kanal

of land of panchayat was exchanged with 8 kanal and the sarpanch

was not authorised to do so to exchange the land and no prior

permission of government was taken. The suit was not barred.

Provision of Section-5A and Section-5B of the Punjab Village

Common Lands (Regulation) Act 1961

62 Gram Panchayat v. Addl. Commissioner 1986 PLJ 334.

63 Satbir v. Dhani Ram 1985 PLJ 426.

139
 The provisions were brought on the statute by amending Act of
1976. Prior to it alongwith there were provisions to gift land from
shamilat deh for the purpose beneficial to villagers regarding civil
veterinary dispensary, hospital etc. but no provisions for the
improvement of scheduled caste and backward class residents.
Section 5-A(2) regularized the gift already made for the
purpose under Section 5-A. Also Rule-13 was inserted for the purpose
in the rules which provides as under:-
Rule 13-A. Gift of land to members of scheduled caste and
backward classes for residential purpose.
(i) The terms and conditions on which land under Section 5(a))
may be gifted is as under:-
(a)) The donee shall not sell, mortgage, or dispose off the
land in any other manner whatsoever, before the expiry of the
period of twenty years from the date of the gift, provided that
the donee may mortgage the land with any scheduled bank or
the government for the purpose of taking loan for the
construction of the house within a period of two years from the
date of gift.
(b) The donee shall use the land for residential purpose and
for no other reason.
(c) in case of death of donee, his legal heirs shall be bound
by the conditions therein contained.
2. In case of breach of any terms and conditions specified in sub­
rule (1) the panchayat shall after according a reasonable
opportunity of being heard to the donee, cancel the gift and resume
the gifted land. In such events the donee shall not be entitled to any

140
compensation in respect of any development and construction made

by him on the land.

Section 5-B Provides that any transfer of land (shamilat) gifted

to the provisions of Section 5-a made in contravention of the

provisions of Section 5-A and Section-5-B and Rule- 13-A of the

Rules shall be void and the land will revert back to panchayat free of

all charges, as also provided in Rule 13-A (2) of the rules.

In a case where the term 'vest’ was in question it was held that

the contention that the term 'vest’ is of limited connotation and the

panchayat is not the owner of the land which 'vest’ in it by the virtue

of S-4 of the Act. It was held that it is apparent from the perusal of

provisions more particular by, Section 5-A of the Act that the Gram

Panchayat becomes the owner of the land vested in it under the

provisions of the Act. The Gram Panchayat has been authorised to gift

the common land ( shamilat deh ) vested in it. The panchayat has

further been authorised to exchange and lease and can use the land for

the purpose enumerated in rule 3 and Rule 13-A. It is clear that when

the panchayat was authorised to sell, mortgage, exchange, lease and

gift the land then it is owner of the land of shamilat deh 64

According to the Gift Act, “the gift cannot be revoked once

gifted. The rights of the donor are exchanged to the donee. The donor
has no right over the gift item when the gift is over. But in the Punjab
Village Common Land (Regulation) Act, 1961,,. the gift land (to
schedule caste and backward class people) can be taken back before
20 years of the conditions mentioned are violated’.

64 Gram Panchayat v. State 1984 PLJ 113: 1985 PLR 354

141
 By using the word gift in Rule 13-A the Gram Panchayat loses
the rights over the land shamilat deh . But in practice in Haryana, the.
allotee or the donee of the land gifted to him sells it after some years
and leaves the village and settles in cities near or remote. The land of
such type cannot be got registered. In such way the buyer is the rich
and the seller/donee sells the land on high price and plays tyrant. The
word gift should be Substituted by allotment. Because the allotment
word has a different measuring. And there should be punishment of
sale of such land in the Act If one leaves the village than the person
in waiting list/or the newcomer artisan or the person reserved will be
benefited.
In practice, sometimes the Sarpanch after ill well in mind for
taking the personal benefit after mixing up with the seller of such type
of allotted land takes bribe and do not put this matter before the Sabha
(Gram) to the Panches and takes some part of sale money himself. But
in practice in Haryana if such type of matters/offence are revealed
then the sale value of such land is taken from the person who sells the
allotted land and used in beneficial purposes of the villagers by the
gram sabha. But yet the issue remains burning because on the
expenditure of such money.
The definition of gift65
Section 122 defines the gift as under:-
“Gift is the transfer of certain existing movable or immovable
property made voluntarily and without consideration, by one person
called the donor, to another, called the donee, and accepted by or on
behalfof the donee ”

65 Section -122 of the Transfer of Property Act, 1882

142
Essentials of a gift:
(1) There must be transfer of ownership.
(2) The property must be existing property.
(3) The transfer is without consideration.
(4) The transfer is made with free consent (voluntary).
(5) The gift must be accepted by transferee
Section 123 of the Act.66 mentions how a transfer of gift effected.
For the purposes of making a gift of immovable property, the
transfer must be effected by a registered instrument signed by or on
benefit of the donor, and attested at least two witnesses. For the
purpose of making a gift or immovable property, the transfer may be
effected either by a registered instrument signed as aforesaid or by
delivery. Registration is necessary for the gift of immovable
properties. Where the property is movable, it may be affected by
delivery of possession. A gift of immovable property must be made
only through a registered document. Irrespective of all valuation of
property, registration is necessary for the gift of immovable property.
Gift of a piece of land valuing loss them one hundred rupee must also
be registered. Registration of a document including gift deed, implies
that the transaction is in writing, signed by both the parties and
registered one.
Where an immovable property has been gifted to the donee
who accepted the gift by possession, the contract of gift is complete of
gift is complete but it is not enforceable at law without registration.
The doctrine of part performance is not applicable to gifts. Therefore,

66 The Transfer of Property Act, 1882.

67 S-123 of the Transfer of Property Act, 1882.

143
the donee who takes possession of land under unregistered gift deeds
cannot defend his possession on being evicted. However, following
two points are important regarding the registration.
(1) Although registration of gift of immovable property is must,
but the gift is not suspended till, registration. A gift may be registered
and made enforceable at laws even after the death of the donor
provided the essential conditions.
(2) Where the essential conditions for a valid gift are not fulfilled,
registration shall not validate the gift.
So according to S-5A, 5B and rule 13-A of the rules of the
Punjab Village Common Land (Regulation) Act, 1961 the word gift
should be allotted. Because the gift cannot be revoked.
Powers of Gram Panchayat regarding removal of encroachment
and nuisance.
According to Section 24 of the Haiyana Panchayati Raj Act,
1994
(i) A Gram Panchayat either suo moto or on receiving a report or
other information and on taking such evidence, if any, as it thinks fit,
may make a conditional order requiring within a time to be fixed in
the order -
(a) The owner of the building/land occupied
(i) To remove any encroachment on a public street, place or drain.
(ii) To close, remove, alter, repair clean, disinfect or put in good
order any latrine, urinal, drain etc. or to remove or alter any
door or construct any drain for any such latrine, urinal or w'ater
closet by a sufficient roof and wall/fence from the view of
persons passing by.

144
(iii) To remove any dirt, dung, night soil’ manure or any intoxicant
or noxious substance or offensive matters therefrom and to
cleanse the land to building.
Section-27 of the Haryana Panchayati Raj Act, 1994 the penalty
for the order disobedient of panchayat have been fixed.
Any person who disobeys an order passed under Section 25 of
the Gram Panchayat, shall be liable to a penalty which may extend to
one hundred rupee and if the breach is continuous with a further
penalty which may extend to ten rupees per day after the first during
which the breach continues.,,
Provided that the penalty for securing breach shall not exceed
the sum of one thousand rupees.
Government Control on Working of Gram Panchayat
(1) Section 46 of the Act the Gram Panchayat shall at all
reasonable times permit any officer or other person whom the
Director or Chief Executive Officer as the case may be, may authorise
in this behalf to have access to all its books, proceedings and record
and to enter on and inspect any immovable property occupied by it.
(2) Notwithstanding anything contained in Sub-Section (1) the Block
Development and Panchayat Officer or the Social Education and
Panchayat Officer may for the purpose of this Act, require in writing,
a Gram Panchayat to produce before him any book, proceedings or
any record and may inspect and examine the same if he has
reasonable ground that anything necessary for the purpose of an
Investigation may be found in any book proceeding or record, he may
seize such books, proceedings or record. The Officer while closing so
shall forthwith a receipt for the same.

145
Section-47 - Power to suspend action of Gram Panchayat
(i) The District Development and Panchayat Officer or Sub
Divisional Officer (Civil) as the case may be, by written orders,
suspend the execution of any resolution or order of the panchayat or
prohibit doing so which is about to be done or is being done under the
provisions of the Act. However, in special circumstances if in the
opinion of the Director, the Gram Panchayat has committed gross
negligence to perform its duties and functions, the Director may suo
moto or on complaint or report of District Development & Panchayat
Officer or Sub Divisional Officer (Civil) as the case may be received
in this behalf, and after giving a reasonable opportunity to explain to
the Gram Panchayat concerned, may take necessary action and pass
appropriate orders.
Section-48 Control and Subordination
Small matters arising under this Act, and unless otherwise
provided, the Gram Panchayat, Panchayat Samitf, Zila Parishad and
Director shall be subject to such authority and control as the
Government may direct.
Section-49 Default of Duties:
(i) If a Gram Panchayat makes default in the performance of any
duty imposed upon it by or under this Act, or under any other law for
the time being in force, the Director after such enquiry it may deem
fit, fix a period for the performance thereof, and in case of default
may appoint any person to perform it and may direct the expenses
arising of, and incidental to its performance, shall be paid by the
Gram Panchayat within the fixed time.

146
(ii) If in the opinion of the Government a Gram Panchayat has

failed or is otherwise, incompetent to administer its property, movable

or immovable, in the best interest of the residents of the Sabha Area,

the Government shall appoint a person to administer such property for

and on behalf of Gram Panchayat

Section-50- Power to take over management of land.

(i) Notwithstanding anything contained in Section-49 if in the

opinion of Government, it is necessary to take over, in public interest

or to secure the proper management of any laid held is managed by

the Gram Panchayat; the Government may, by notification in the

officials gazette, take over the management of such land for a period

not exceeding the duration of Gram Panchayat.

Provided that the land which has already been leased out shall

not be taken over before the expiry of the lease.

Section-51 Suspension of Sarpanch or Panch.68
(I) The Director or the Deputy Commissioner concerned may

suspend any Sarpanch or Panch, as the case may be.

(a) Where a case against him in respect of any criminal offence is

under investigation, enquiry or trial, if in the opinion of Director, the

charge sheet made or proceeding taken against him, is likely to

embrace him in the discharge of his duties or involves moral turpitude

or defect of character.

(b) During the course of an enquiry for any of the reasons for

which he can be removed, after giving him reasonable adequate

opportunity to defend.

68 The Haryana Panchayati Raj Act, 1994

147
(2) Any Sarpanch Panch, as the case may be, suspend under Sub
Section (1) shall not take part in any act or proceedings of the Gram
Panchayat during the period of his suspension and shall hand over the
records, money or any other property of the Gram Panchayat in his
possession or under his control.
(i) If he is a sarpanch to up-Sarpanch;
(ii) If he is a Up-Sarpanch or Panch to Sarpanch.
(iii) In case both the Sarpanch and Up-Sarpanch are suspended to a
panch commanding majority of the Gram Panchayat.
Provided that the suspension period of a Panch, Up-sarpanch of
Sarpanch, as the case may be, shall not exceed six months from the
date of issuance of suspension orders except in criminal cases
involving moral turpitude.
(3) The Director or the Deputy Commissioner concerned may after
such enquiry as he may deem fit and after giving an opportunity of
being heard to a Sarpanch or to Up-Sarpanch or a Panch, as the case
may be, ask him to show cause against the action proposed to be taken
against him, any by order remove him from his office-
(a) If after his election he is convicted by a criminal court for an
offence involving of moral turpitude and punishable with
imprisonment for a period of exceeding six months;
(b) If he was disqualified to be a member of Gram Panchayat at
the time of his election;
(c) If he incurs any of the disqualifications mentioned in Seetion-
175 after his election as member of Gram Panchayat.

148
(d) If he is absent from five consecutive meetings of Gram

Panchayat without prior permission or leave of Gram

Panchayat; and

(e) If he has been guilty of his conduct in the discharge of his

duties and his continuance in the office is undesirable in the

public interest.

(4) A person who has been removed under Sub-section (3) may be

disqualified for re-election for such period as may be mentioned in

order but not more than a period of six years.

(5) Any person aggrieved by an order passed under sub-section (1)

and (3), (4) may, within a period of 30 days from the communication

of the order, prefer an appeal to the Government.

Section 22- Dissolution of Gram Panchayat69

(1) If in the opinion of the Government, a Gram Panchayat abuses

its powers or is not competent to perform or make defaults in the

performance of the duties under this Act or willfully disregards the

instructions given or directions issued by the Panchayat Samiti or Zila

Parishad or any instructions issued by competent authority arising out

of the audit of account of the Gram Panchayat or inspected of books,

works, the Government may, after giving opportunity to Gram

Panchayat to render explanation, by an order published, with the

reason thereof, in the official gazette, dissolve such Gram Panchayat.

(2) When a Gram Panchayat is dissolved under sub-Section (1)

(i) Sarpanch, Up-Sarpanch and all panches shall vacate their

office forthwith.

69 The Haryana Panchayati Raj Act, 1994

149
(ii) All power and duties of the Gram Panchayat during its
dissolution, shall be exercised and performed by such person or
persons as the Government may appoint in this behalf; and
(iii) All property in possession of the Gram Panchayat shall be held
by the Government.
(3) Upon dissolution of Gram Panchayat under Sub-Section (1),
the Government shall reconstitute a Gram Panchayat as specified
under Section-8 and election to reconstitute such Gram Panchayat
shall be completed before the expiry of a period of six months from
the date of dissolution:
Provided that where the remainder of the period for which the
dissolved Gram Panchayat would have continued is less than six
months, it shall not be necessary to hold any election under the sub­
section for reconstituting the Gram Panchayat for such period.
(4) A Gram Panchayat reconstituted upon the dissolution of the'
existing Gram Panchayat before the expiry of its duration, shall
continue only for the remainder of the period for which the dissolve
Gram Panchayat would have continued under Section-3 had it not
been so dissolved.

150