(1) This Act may be cited as the [Madhya Pradesh]3 Resettlement and Rehabilitation of Displaced Persons (Housebuilding Material Acquisition) Act, 1949.

[(2) It extends to and shall be in force in the whole of Madhya Pradesh]4.

In this Act, unless there is anything repugnant in the subject or context,

(a) dealer means any person who, whether as principal or agent, carries on in [Madhya Pradesh]5 the business of selling or supplying house-building material whether for commission, remuneration or otherwise and includes a firm, a partnership and a Hindu undivided family and includes also a society or association selling or supplying house-building material to its members or others.

Explanation. The manager or agent of a dealer who resides outside [Madhya Pradesh]6 and who carries on the business of selling or supplying house-building material in [Madhya Pradesh]6 shall, in respect of such business, be deemed to be a dealer for the purposes of this Act;

(b) displaced person means any person who, on account of the setting up of the Dominions of India and Pakistan, or on account of civil disturbances or fear of such disturbances in any area now forming part of Pakistan, has been displaced from or has left his place of residence in such area after the 1st day of March 1947 and who has subsequently been residing in India;

(c) house-building material means any article required for use in the construction of premises for residential, business or industrial purposes or for purposes incidental to any of these with view to resettlement and rehabilitation of displaced persons.

(1) If in the opinion of the State Government it is necessary or expedient so to do for resettlement and rehabilitation of displaced presons, it may, by serving on a dealer a notice stating that the State Government has decided to a acquire house building material in pursuance of this section, acquire from such dealer, such housebuilding material for the costruction of premises for residential, business, industrial or other incidental purposes for the rehabilitation of displaced persons;

Provided that the State Government may publish the notice in the Gazette if the dealer of any such house-building material is not readily traceable or the question of ownership of any such house-building material is in dispute.

(2) Where a notice of acquisition is served on any dealer or published in the Gazette under sub-section (1), then at the beginning of the day on which the notice is so served or published, the house-building material shall vest absolutely in the State Government free from all encumbrances.

(3) The [Collector]7 may, at any time, after the house-building material has become so vested in the State Government, proceed to take possession thereof or authorise any officer to take possession thereof and the [Collector]7 or the authorised officer may take or cause to be taken such steps and use, or cause to be used such force as may, in his opinion, be reasonably necessary for taking possession of the house-building material.

(4) The dealer on whom a notice has been served under sub-section (1) or to whom a direction under clause (b) of sub-section (9) has been issued may, within fifteen days from the date of service of such notice or receipt of such direction by him, file his objection, if any, to such notice or direction before the [Collector]7 and he may, after making such enquiry as he thinks fit, either dismiss the objection or withdraw the notice of acquisition and release the house-building material to the dealer or vacate the direction in respect of such house-building material as the case may be.

(5) The decision of the [Collector]8 on the objection filed under sub-section (4) shall be final and conclusive.

(6) Whenever in pursuance of sub-section (1), any house-building material is acquired, there shall be paid to the dealer owning or believed to be owning such house-building material, compensation determined in the manner and in accordance with the principle hereinafter settled, that is to say:

(i) where the amount of compensation can be fixed by agreement, it shall be paid in accordance with such agreement;

(ii) where no agreement can be reached the State Government shall appoint as arbitrator any Civil Judge having jurisdiction over the area in which the dealer ordinarily carries on his trade;

(iii) at the commencement of the proceedings before the arbitrator, the State Government and the dealer to be compensated shall state what in their respective opinion is a fair amount of compensation;

(iv) the market price of the house-building material acquired on the date of which notice of acquisition was served on the dealer or published in the Gazette, as the case may be, shall be taken as the value of the house-building material for the purpose of compensation:

Provided that where any direction is issued to a dealer in pursuance of clause (b) of sub-section (9) the market price of the house-building material on the date of the issue of such direction shall be the value of the house-building material for the purposes of compensation;

(v) an appeal shall lie to the High Court against the award of arbitrator;

(vi) save as provided in this section and in any rules made thereunder, nothing in any law for the time being in force shall apply to arbitrations under this section.

1. For Statement of Objects and Reasons, see Central Provinces and Berar Gazette, Part II, page 95, dated the 23rd September 1949; for discussion, see Central Provinces and Berar Legislative Assembly Proceedings, Vol. VIII, pages 7-15, dated the 5th October 1949.

2. Received the assent of the Governor on the 26th October 1949; assent first published in the Central Provinces and Berar Gazette on the 4th November 1949.

3. Subs. by M.P. Act 23 of 1958, S. 3.(4), for The Central Provinces and Berar. .

4. Subs. by S. 3(3), Sch; Part A, item 62, ibid.

5. Subs. ibid, for Mahakoshal region. .

6. Subs. by M.P. Act 23 of 1958 S. 3.(3), Sch., part A, item 52, for Mahakoshal Region .

7. Subs. by M.P.A.O. 1956, for Deputy Commissioner .

8. Subs. by M.P.A.O. 1956, for Deputy Commissioner .