Land assignment cancellation: assigning authority may resume land for breach, but natural justice requires hearing the affected purchaser.

The authority that actually made a land assignment may cancel it for breach of the assignment conditions, because the power to assign includes the power to resume or cancel under the governing rule. Cancellation, however, must ordinarily be preceded by a reasonable opportunity of hearing to the person whose rights are directly affected; where the purchaser from the assignee has acquired possession and title, that purchaser is the affected party. Although alienation in breach of a 12-year condition was admitted, interference under Article 226 was declined because the material facts already established the validity of cancellation and a remand would serve no useful purpose.

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Issues: (i) Whether the District Collector, as the authority that had actually assigned the land, had competence to cancel the assignment under the relevant rule. (ii) Whether the respondent purchaser was entitled to a reasonable opportunity of being heard before cancellation of the assignment. (iii) Whether interference under Article 226 was warranted despite the admitted breach of the alienation condition.

Issue (i): Whether the District Collector, as the authority that had actually assigned the land, had competence to cancel the assignment under the relevant rule.

Analysis: The power of cancellation was traceable to the rule permitting cancellation for breach of the conditions attached to assignment. That rule empowered the authority which assigned the land to resume it. Although the assignment power had been delegated to the District Collector by the Land Board, the material question was who had in fact made the assignment. Since the Collector had actually assigned the land, he was the authority contemplated by the rule. The rule itself, read with the general principle that the power to grant includes the power to cancel, supported competence to cancel the assignment.

Conclusion: The District Collector had competence to cancel the assignment.

Issue (ii): Whether the respondent purchaser was entitled to a reasonable opportunity of being heard before cancellation of the assignment.

Analysis: The rule expressly prohibited cancellation without giving the affected party a reasonable opportunity of being heard. The purchaser had acquired possession and title from the assignee and would be directly prejudiced by cancellation, whereas the original assignee had already parted with the land and had no real subsisting interest. The affected party was therefore the respondent purchaser, and the requirement of hearing had to extend to him. The rule embodied the principle of natural justice that no person should be deprived of an interest without an opportunity to present his case.

Conclusion: The respondent purchaser was entitled to be heard before cancellation.

Issue (iii): Whether interference under Article 226 was warranted despite the admitted breach of the alienation condition.

Analysis: The alienation had admittedly taken place within the prohibited period of 12 years and in direct breach of the condition attached to the assignment. No further factual basis was shown to justify the transfer or to prevent cancellation. In those circumstances, a further remand would serve no useful purpose because the relevant facts were already before the Court and fully supported the administrative action. The existence of a procedural defect did not compel interference where the ultimate result was inevitable on the admitted facts.

Conclusion: Interference under Article 226 was not warranted.

Final Conclusion: The cancellation order was upheld, the writ petition was rejected, and the appellate challenge succeeded.

Ratio Decidendi: Where the assigning authority is the authority that actually made the assignment, it may cancel the assignment for breach of conditions, but cancellation must ordinarily follow observance of natural justice unless a remand would be pointless on admitted facts fully supporting the result.

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