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KARNATAKA (ABOLITION OF CASH GRANTS) ACT, 1967
KARNATAKA (ABOLITION OF CASH GRANTS) ACT, 1967
15 of 1967
Statement of Objects and Reasons [Karnataka Gazette, Extraordinary, dated 26-7-1967] Under Section 3 of the Hyderabad Abolition of Cash Grants Act, 1952, all cash grants specified in Part A of the Schedule to that Act were discontinued with effect from 1st April, 1952, and the cash grants specified in Part C of that Schedule were discontinued from the 1st July, 1954. The validity of this Act was questioned before the High Court of Hyderabad and the High Court held that the abolition of cash grants without payment of compensation was illegal and that the applicants were entitled to "rusums" discontinued under Section 3 of that Act. The Government of Hyderabad appealed to the Supreme Court against the orders of the High Court, but the appeal was subsequently withdrawn by the Government of Andhra Pradesh. In order to provide for the abolition of the cash grants and payment of compensation for such abolition, the Andhra Pradesh (Abolition of Cash Grants) Act, 1959 was passed by the Andhra Legislature. The Government of Maharashtra is also undertaking legislation for the abolition of the cash grants and payment of compensation. It is considered necessary to undertake legislation in order to abolish the system of cash grants in the Hyderabad Karnataka Area. Hence this Bill.
An Act to discontinue certain classes of cash grants in the Hyderabad Area of the State of Karnataka. Whereas, it is expedient to discontinue certain classes of cash grants in the Hyderabad Area of the State of Karnataka. Be, it enacted by the Karnataka State Legislature in the Eighteenth Year of the Republic of India as follows:
Section1 Short title, extent and commencement
(1) This Act may be called the Karnataka (Abolition of Cash Grants) Act, 1967.
(2) It extends to the Hyderabad Area of the State of Karnataka.
(3) It shall come into force at once.
Section2 Definitions
In this Act, unless the context otherwise requires.
(a) "Government" means the State Government;
(b) "Charitable institution" means any charitable establishment, with a specific location and known address which is dedicated to, or for the benefit of, or used as of right by, the public generally or any community or section thereof, for any pious, charitable or philanthropic purpose;
(c)"Prescribed" means prescribed by rules made under this Act;
(d)"Religious institution" means any religious establishment (such as temple, shrine, mosque or the like with a specific location and known address which is dedicated to, or used as of right by, the public generally or any community or section thereof, as a place of public religious worship.
Section3 Application of Act
(1) This Act shall apply to any cash grant specified in the Schedule other than those mentioned in sub-section (2).
(3)For the removal of doubts, it is hereby declared that the provisions of Section 5 of the Hyderabad Atiyat Enquiries Act, 1952 (Hyderabad Act X of 1952), as in force in the Hyderabad Area, shall apply to the cash grants continued by this Act as they apply to Atiyat grants under that Act
(4)The Government may, by notification in the Official Gazette, alter, add to or omit any of the entries in the Schedule.
Section4 Abolition of certain grants and payment of compensation there for
(3) Where the amount of cash grant received by a male minor before attainment of 18 years of age, or by a female minor before such attainment or marriage, falls short of four times the annual amount of cash grant, the deficiency shall be made good to the male minor on his attaining 18 years of age, and to the female minor on her attaining 18 years of age or her marriage, whichever is earlier.
(4) Where a cash grant to which this Act applies is subject to the rendering of any service, the grantee shall with effect from the date of discontinuance of the grant, stand relieved of the liability to render that service.
(5) The compensation payable under sub-section (2) for the cash grants specified in Part A and Part C of the Schedule shall be paid to the grantee in such manner and in such instalments as may be prescribed; and the compensation payable for the cash grant specified in Part B of the Schedule shall be paid to him either in full or in annual instalments not exceeding twelve.
Section5 Power to make rules
(1) The Government may, by notification in the Official Gazette, make rules to carry out all or any of the purposes of this Act.
(2) Every rule made under this section shall be laid as soon as may be after it is made, before each House of the State Legislature while it is in session for a total period of thirty days which may be comprised in one session or in two successive sessions, and if before the expiry of the session in which it is so laid or the session immediately following, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so however that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.
Section6 Disposal of pending matters
All claims and all proceedings relating to cash grants pending on the date of commencement of this Act, before any authority shall, notwithstanding anything in any law, contract, decision or order of a Court, be dealt with and disposed of in accordance with the provisions of this Act.
Section7 Repeal.
The Hyderabad (Abolition of Cash Grants) Act, 1952 (Hyderabad Act XXXIII of 1952) is hereby repealed.
SCHEDULE 1 SCHEDULE
SCHEDULESCHEDULE
(PART A)
Rusums payable to.
(1) Sardesmukhs
(2) Sardeshpandyas
(3) Deshmukhs
(4) Deshapandyas
(5) Dasthandars (including mirasi-dasthandars).
(6) Choudhari,
(7) Shettigiri.
(PART B)
Mansab Maviza Jagir including Jagir Pension
Mansab Maviza (Qarza)
Mansab Maviza Arasi
Mansab Maviza Abkari
Mansab Maviza Sair
Mansab Maviza Aslaha, Kutub, Dookau, Safai
Mansab Imtiassi
Mansab Nazam Mahwars
Mahwarat Walajahi issued in lieu of Jagirs
(PART C)
Ordinary Mansaba, Riayeti, Khas and Mutaferiq Muhwars, Mash, You-mia, Mamool, Saliyans, Customs Mukasas and Agrahara, Mahwarat Walajahi
(other than those issued in lieu of Jagirs) Tahir Sarishtadaril Wiquai Nigari.
RULE
KARNATAKA (ABOLITION OF CASH GRANTS) RULES, 1969
In exercise of the powers conferred by Section 5 read with sub-section (5) of Section 4 of the Karnataka (Abolition of Cash Grants) Act, 1967 (Karnataka Act 15 of 1967), the Government of Karnataka hereby makes the following rules, namely:
Rule1 Title and commencement
(1) These rules may be called the Karnataka (Abolition of Cash Grants) Rules, 1969.
(2) They shall come into force at once.
Rule2 Definitions
In these rules unless the context otherwise requires.
(a) "Act" means the Karnataka (Abolition of Cash Grants) Act, 1967 (Karnataka Act 15 of 1967);
(b) "Grant" means a Cash Grant specified in Parts 'A', 'B' and 'C' of the Schedule;
(c) "Grantee" means a holder of a Cash Grant specified in any part of the Schedule and includes a Shareholder;
(d) "Schedule" means a schedule appended to the Act;
(e) "Section" means a section of the Act.
Rule3 Manner of payment of compensation
(2) In the case of every grant specified in Part 'B' of the Schedule, the compensation shall be payable to any cash grantee either in full or in the number of instalments not exceeding twelve annual instalments.
Rule4 Grantee to produce the pension payment order
Every grantee shall produce before the 22. Substituted for the words "Accountant General" by SO 2643, dated 24-10-1970, w.e.f. 6-11-1980. [Deputy Commissioner] the pension payment order held by him. The 33. Substituted for the words "Accountant General" by SO 2643, dated 24-10-1970, w.e.f. 6-11-1980. [Deputy Commissioner] shall after verification of the same, cancel the pension payment order held by the Grantee and issue a Cash Grant Compensation Order in favour of the Grantee for the total compensation payable to him in accordance with Rule 3.
Rule5 Receipt of payment by the Grantee
The Grantee shall receive the payment from the Government Treasury as noted in the Cash Grant Compensation Payment Order issued by the 44. Substituted for the words "Accountant General" by SO 2643, dated 24-10-1970. w.e.f. 6-11-1980. [Deputy Commissioner] .
Rule6 Date of commencement of payment of compensation
Actual payment of compensation either in lump sum or in instalments, as the case may be, shall commence from the 1st April, 1969 or from the date from which the first installment of compensation or on which the payment of compensation in lumpsum is ordered to be paid in the Cash Grant Compensation Payment Order.
Rule7 Procedure where the holder of Cash Grant dies
If the holder of Cash Grant Compensation Payment Order dies before drawing the full compensation under the rules, the balance of compensation shall be paid to his legal heirs either in lumpsum or in instalments as the case may be on production of legal authority entitling them to such payment. The 11. Substituted for the words "Accountant General" by SO 2643, dated 24-10-1970, w.e.f. 6-11-1980. [eputy Commissioner] shall then issue a Cash Grant Compensation Payment Order for payment of the balance of compensation in the name of the legal heirs holding such legal authority.
