TaxTMI 
TaxTMI 
TaxTMI 
1987 (5) TMI 385
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....espondents Nos. 6 to 8 are the sons of the other three brothers of Mannulal. In the year 1976, the respondents Nos. 2 to 5, who were the heirs and legal representatives of the said Babulal, started reconstructing or renovating the house and for that purpose they commenced digging the plinth. In the course of digging, a treasure consisting of gold and silver ornaments and also Government currency notes amounting to Rs. 2,900 was found. The respondents Nos. 2 to 5 intimated the discovery of the treasure to the Collector of the District, who issued a notification under Section 5 of the Act requiring all persons claiming the treasure or any part thereof, to appear personally or by agent before him on the day and place mentioned in the notification. Pursuant to the said notification, the respondents Nos. 2 to 5, and the appellants and the respondents Nos. 6 to 8 filed claims before the Collector. It has been held by the Collector that the respondents Nos. 2 to 5, the finders of the treasure, are the owners of the house from where the treasure was found during excavation undertaken by them with a view to starting reconstruction, and he permitted them un....
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....d in the nearest Government Treasury or the finder may give the Collector such security as the Collector thinks fit to produce the treasure at such time and place, as he may, from time to time, require. Under Section 5, the Collector shall, after making such enquiry, if any, as he thinks fit, issue a notification requiring the claimants to the treasure to appear before him on a day and at a place mentioned in the notification, such day not being earlier than four days or later than six months, after the date of the publication of such notification. Section 6 provides that any person having claimed any right to such treasure or any part thereof, as owner of the place in which it was found or otherwise, and not appearing as required by the notification issued under Section 5, shall forfeit such right. Sections 7, 8, 9, 13 and 14 which are relevant for our purpose are extracted below : Section 7 On the day notified under Section 5, the Collector shall cause the treasure to be produced before him, and shall enquire as to and determine (a) the person by whom, the place in which, and the circumstances under which, such treasure was found; and (b) as far as is possible, the person b....
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....n under whom such person claims, the Collector shall adjourn the hearing for such period as he deems sufficient to allow the claimant to institute a suit to establish his right to the treasure. So under Section 8, the suit has to be filed by the claimant within the period for which the hearing of the case is adjourned for the establishment of his right to the treasure. 8. On the other hand, the question of filing a suit under Section 14 will not arise unless the Collector makes a declaration under Section 9 that the treasure is ownerless. Such a declaration under Section 9 will be made by the Collector if he sees no reason to believe that the treasure was not hidden within one hundred years or if no suit is instituted under Section 8 within the period for which the hearing is adjourned by the Collector or if the plaintiff's claim is rejected. An appeal lies against a declaration by the Collector to the Chief Controlling Revenue Authority and subject to the appeal, such declaration shall be final and conclusive. If, however, no such contingencies as mentioned in Section 9 take place, the Collector will have no jurisdiction to make a declaration that the treasure is ownerless. ....
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.... The suit contemplated by Section 8 of the Act has to be filed by the claimant within the period for which the hearing of the case is adjourned. Such period for which the hearing under Section 8 is adjourned by the Collector, may be more than a month. It is absurd to think that although Section 8 provides that the suit has to be filed within the period for which the hearing is adjourned, yet it has to be filed within one month under Section 14. Section 8 and Sections 13 and 14 contemplate two different situations. While under Section 8 the suit has to be filed within the period during which the hearing stands adjourned, the suit under Section 14 has to be filed within one month of the order of the Collector under Section 13 of the Act. To hold that suits under Section 8 and Section 13, are both governed by the limitation prescribed by Section 14, will be to do violence to the provisions of the Act and the clear intention of the Legislature as indicated in the provisions. 13. Another aspect in this regard may be considered. It may be argued that as the Collector had not allowed the appellants and the respondents Nos. 6 to 8 to file a counter-claim or a suit, the suit was not m....