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in Old Delhi. It was said that in many cases, the value of the land
has increased not because of any effort by the owner but because
of the general development of the city in which the land is
situated. There is no doubt that this is so, but Article 14 prohibits
the expropriation of the unearned increment of one owner while
leaving his neighbour untouched. The neighbour could sell his
land and reap the unearned increment. If the object of the
legislation is to tax unearned increment it should be done
throughout the State. The State cannot achieve this object piece
meal by compulsory acquisition of land of some owners leaving
others alone. If the object is to clear slums it cannot be done at the
expense of the owners whose lands are acquired, unless as we
have said the owners are directly benefited by the scheme. If the
object is to build hospitals it cannot be done at the expense of the
owners of the land which is acquired. The hospital, schools etc.
must be built at the expense of the whole community.
32. It will not be denied that a statute cannot tax some owners of
land leaving untaxed others equally situated. If the owners of the
land cannot be taxed differently how can some owners be
indirectly taxed by way of compulsory acquisition? It is urged
that if this were the law it will tie the hands of the State in
undertaking social reforms. We do not agree. There is nothing in
the Constitution which debars the State from bettering the lot of
millions of our citizens. For instance there is nothing to bar
the State from taxing unearned increment if the object is to deny
owners the full benefit of increase of value due to development of
a town. It seems to us, as we have already said, that to accede to
the contentions of the appellant and the States would be
destructive of the protection afforded by Article 14 of the
Constitution. The States would only have to constitute separate
acquiring bodies for each city, or Division or indeed to achieve
one special public purpose and lay down different principles of
compensation.
33. In P. VajraveluMudaliar v. Special Deputy Collector Madras there
were two Acts under which the land of an owner could be
acquired. The land could have been acquired for various schemes
under the Land Acquisition Act, referred to as the Principal Act,
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1894, Section 73 provided inter alia, that the said Act shall be
subjected to the modifications specified in the Schedule (This
Section 73 corresponds to Section 61 of the Improvement Act). The
Schedule to the Act provided for modification in the Land
Acquisition Act for certain specific purposes. The Madras Act of
1945 as replaced by the Madras City Improvement Trust Act
(Madras Act 37 of 1950) made an important change inasmuch as
the result was that by the change persons whose lands were
compulsorily acquired under the Madras Act 37 of 1950 were
deprived of the right to the solatium which would be awardable if
the lands were acquired under the Land Acquisition Act. In this
connection this Court observed:
“But, in our Judgment, counsel for the owners is right in
contending that sub-clause (2) of clause 6 of the Schedule to Act 37
of 1950, insofar as it deprived the owners of the lands of the
statutory addition to the market value of the lands under Section
23(2) of the Land Acquisition Act is violative of the equality clause
of the Constitution, and is on that account void. If the State had
acquired the lands for improvement of the town under the Land
Acquisition Act, the acquiring authority was bound to award in
addition to the market value 15% statutory under Section 23(2) of
Land Acquisition Act. But by acquiring the lands under the Land
Acquisition Act as modified by the Schedule to the Madras City
Improvement Trust Act 37 of 1950 for the Improvement Trust
which is also a public purpose the owners are, it is claimed,
deprived of the right to that statutory addition. An owner of land
is ordinarily entitled to receive the solatium in addition to the
market value for compulsory acquisition of his land, if it is
acquired under the Land Acquisition Act, but not if it is acquired
under the Madras City Improvement Trust Act. A clear case of
discrimination which infringes the guarantee of equal protection
of the law arises, and the owners of the lands which are
compulsorily acquired must on the decisions of this Court, be
deemed invalid.”
After reviewing some earlier cases, the Court held:
“We therefore, hold that clause 6, sub-clause (2) of the Schedule,
read with Section 73 of Madras Act 37 of 1950 which deprives the
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constitutional principles;
(c) that it must be presumed that the legislature understands and
correctly appreciates the need of its own people, that its laws are
directed to problems made manifest by experience and that its
discriminations are based on adequate grounds;
(d) that the legislature is free to recognise degrees of harm and
may confine its restrictions to those cases where the need is
deemed to be the clearest;
(e) that in order to sustain the presumption of constitutionality the
court may take into consideration matters of common knowledge,
matters of common report, the history of times and may assume
every state of facts which can be conceived existing at the time of
legislation; and
(f) that while good faith and knowledge of the existing conditions
on the part of a legislature are to be resumed (sic presumed), if
there is nothing on the face of the law or the surrounding
circumstances brought to the notice of the court on which the
classification may reasonably be regarded as based, the
presumption of constitutionality cannot be carried to the extent of
always holding that there must be some undisclosed and
unknown reasons for subjecting certain individuals or
corporations to hostile or discriminating legislation.”
18. In Mohd. Shujat Ali v. Union of India16 the Court observed that
Article 14 ensures to every person equality before law and equal
protection of the laws. However, the constitutional code of
equality and equal opportunity does not mean that the same laws
must be applicable to all persons. It does not compel the State to
run “all its laws in the channels of general legislation”. It
recognises that having regard to differences and disparities which
exist among men and things, they cannot all be treated alike by
the application of the same laws. “To recognise marked
differences that exist in fact is living law; to disregard practical
differences and concentrate on some abstract identities is lifeless
logic.”†† (SCC p. 103, para 23) The legislature must necessarily, if
it is to be effective at all in solving the manifold problems which
continually come before it, enact special legislation directed
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is—and this test has been consistently applied by this Court in all
decided cases since the commencement of the Constitution—that the
classification must be founded on an intelligible differentia which
distinguishes certain persons or things that are grouped together from
others and that differentia must have a rational relation to the object
sought to be achieved by the legislation.
26. … We have to be constantly on our guard to see that this test
which has been evolved as a matter of practical necessity with a
view to reconciling the demand for equality with the need for
special legislation directed towards specific ends necessitated by
the complex and varied problems which require solution at the
hands of the legislature, does not degenerate into rigid formula to
be blindly and mechanically applied whenever the validity of any
legislation is called in question. The fundamental guarantee is of
equal protection of the laws and the doctrine of classification is
only a subsidiary rule evolved by courts to give a practical content
to that guarantee by accommodating it with the practical needs of
the society and it should not be allowed to submerge and drown
the precious guarantee of equality. The doctrine of classification
should not be carried to a point where instead of being a useful
servant, it becomes a dangerous master, for otherwise, as pointed
out by Chandrachud, J., in State of J&K v. TrilokiNath Khosa17 ‘the
guarantee of equality will be submerged in class legislation
masquerading as laws meant to govern well-marked classes
characterised by different and distinct attainments’.
Overemphasis on the doctrine of classification or an anxious and
sustained attempt to discover some basis for classification may
gradually and imperceptibly deprive the guarantee of equality of
its spacious content. That process would inevitably end in
substituting the doctrine of classification for the doctrine of
equality: the fundamental right to equality before the law and
equal protection of the laws may be replaced by the overworked
methodology of classification. Our approach to the equal
protection clause must, therefore, be guided by the words of
caution uttered by Krishna Iyer, J. in State of J&K v. TrilokiNath
Khosa17: (at SCC p. 42, para 57)
‘57. Mini-classifications based on micro-distinctions are false to
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DISCRIMINAITON
Discrimination
71. We also have to consider the submissions made on behalf of
Respondent 1 that the denial of allotment to major sons of
agricultural land would amount to hostile discrimination as in
earlier cases it had been granted.
72. Unequals cannot claim equality. In Madhu Kishwar v. State of
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arbitrariness.(16)
SCC 1 this Court emphasised the need for social legislations like
the Rent Control Act striking a balance between rival interests so
as to be just to law. “The law ought not to be unjust to one and
give a disproportionate benefit or protection to another section of
the society.” (SCC p. 22, para 29)
Dinesh Kumar v. Yusuf Ali, (2010) 12 SCC 740
Principles applicable to Article 14
38. Article 14 reads:
“14. Equality before law.—The State shall not deny to any person
equality before the law or the equal protection of the laws within
the territory of India.”
The first part of Article 14, which was adopted from the Irish
Constitution, is a declaration of equality of the civil rights of all
persons within the territories of India. It enshrines a basic
principle of republicanism. The second part, which is a corollary
of the first and is based on the last clause of the first section of the
Fourteenth Amendment of the American Constitution, enjoins
that equal protection shall be secured to all such persons in the
enjoyment of their rights and liberties without discrimination of
favouritism. It is a pledge of the protection of equal laws, that is,
laws that operate alike on all persons under like circumstances25.
39. Article 14 of the Constitution incorporates concept of equality
and equal protection of laws. The provisions of Article 14 have
engaged the attention of this Court from time to time. The
plethora of cases dealing with Article 14 has culled out principles
applicable to aspects which commonly arise under this article.
Among those, may be mentioned, the decisions of this Court in
CharanjitLal Chowdhury68, F.N. Balsara69, Anwar Ali Sarkar70,
KathiRaning Rawat71, LachmandasKewalram Ahuja72, Syed Qasim
Razvi73, Habeeb Mohamed74, KedarNath Bajoria75 and innovated to
even associate the members of this Court to contribute their V.M.
Syed Mohammad & Co.76 Most of the above decisions were
considered in Budhan Choudhry77.
40. This Court exposited the ambit and scope of Article 14 in
Budhan Choudhry77 as follows: (SCC p. 193, para 5)
“5. … It is now well established that while Article 14 forbids class
legislation, it does not forbid reasonable classification for the
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(f) that while good faith and knowledge of the existing conditions
on the part of a legislature are to be presumed, if there is nothing
on the face of the law or the surrounding circumstances brought
to the notice of the court on which the classification may
reasonably be regarded as based, the presumption of
constitutionality cannot be carried to the extent of always holding
that there must be some undisclosed and unknown reasons for
subjecting certain individuals or corporations to hostile or
discriminating legislation.”
42. In Ram Krishna Dalmia49, it was emphasised that: (AIR p. 548,
para 11)
“11. … the above principles will have to be constantly borne in
mind by the court when it is called upon to adjudge the
constitutionality of any particular law attacked as discriminatory
and violative of the equal protection of laws.”
43. Having culled out the above principles, the Constitution Bench
in Ram Krishna Dalmia49, further observed that the statute which
may come up for consideration on the question of its validity
under Article 14 of the Constitution may be placed in one or other
of the following five classes: (AIR pp. 548-49, para 12)
“12. … (i) A statute may itself indicate the persons or things to
whom its provisions are intended to apply and the basis of the
classification of such persons or things may appear on the face of
the statute or may be gathered from the surrounding
circumstances known to or brought to the notice of the court. In
determining the validity or otherwise of such a statute the court
has to examine whether such classification is or can be reasonably
regarded as based upon some differentia which distinguishes
such persons or things grouped together from those left out of the
group and whether such differentia has a reasonable relation to
the object sought to be achieved by the statute, no matter whether
the provisions of the statute are intended to apply only to a
particular person or thing or only to a certain class of persons or
things. Where the court finds that the classification satisfies the
tests, the court will uphold the validity of the law.
(ii) A statute may direct its provisions against one individual
person or thing or to several individual persons or things but no
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giving effect to its policies, and it must possess for that purpose
large powers of distinguishing and classifying persons or things
to be subjected to such laws.
(3) The constitutional command to the State to afford equal
protection of its laws sets a goal not attainable by the invention
and application of a precise formula. Therefore, classification need
not be constituted by an exact or scientific exclusion or inclusion
of persons or things. The courts should not insist on delusive
exactness or apply doctrinaire tests for determining the validity of
classification in any given case. Classification is justified if it is not
palpably arbitrary.
(4) The principle underlying the guarantee of Article 14 is not that
the same rules of law should be applicable to all persons within
the Indian territory or that the same remedies should be made
available to them irrespective of differences of circumstances. It
only means that all persons similarly circumstanced shall be
treated alike both in privileges conferred and liabilities imposed.
Equal laws would have to be applied to all in the same situation,
and there should be no discrimination between one person and
another if as regards the subject-matter of the legislation their
position is substantially the same.
(5) By the process of classification, the State has the power of
determining who should be regarded as a class for purposes of
legislation and in relation to a law enacted on a particular subject.
This power, no doubt, in some degree is likely to produce some
inequality; but if a law deals with the liberties of a number of
well-defined classes, it is not open to the charge of denial of equal
protection on the ground that it has no application to other
persons. Classification thus means segregation in classes which
have a systematic relation, usually found in common properties
and characteristics. It postulates a rational basis and does not
mean herding together of certain persons and classes arbitrarily.
(6) The law can make and set apart the classes according to the
needs and exigencies of the society and as suggested by
experience. It can recognise even degree of evil, but the
classification should never be arbitrary, artificial or evasive.
(7) The classification must not be arbitrary but must be rational,
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LIST OF JUDGMENTS
1. KathiRaningRawat v. State of Saurashtra AIR 1952 SC 123
2.
3.
4.
5.
6.
7.
8. E.P. Royappa v. State of Tamil Nadu (1974) 4 SCC 3
9. Ajay Hasia v. Khalid MujibSehravardi (1981) 1 SCC 722
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Shri Rama Sugar Industries Ltd. v. State of A.P., (1974) 1 SCC 534
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