Sunday, 9 November 2014

FEDERAL GOVERNMENT LAND REFORMS (PAYMENT OF COMPENSATION) RULES, 1981

FEDERAL GOVERNMENT LAND REFORMS (PAYMENT OF COMPENSATION) RULES, 1981

[Gazette of Pakistan, Extraordinary, Part II, 9th June, 1981]

S. R. O. 537 (1); 81.‑The Federal Government is pleased to make the following rules for carrying out the purposes of the provisions of sections 1, 12 and 13 of the Land Reforms Act, 1977 (II of 1977), namely :‑

CHAPTER I.‑PRELIMINARY

1. Short title, extent and commencement.‑(I) These rules may be called the Federal Government Land Reforms (Payment of Compensation) Rules, 1981.
(2) They extend to all areas to which the Land Reforms Act, 1977 (II of 1977), applies or may hereafter be applied.
(3) . They shall come into force at once.

2. Definitions.‑In these rules unless there is anything repugnant in the subject or context,‑
(a) `Act' means the Land Reforms Act, 1977 (II of 1977);
(b) `Bank' means the State Bank of Pakistan
(c) `bond' means a bond issued under these rules, in respect of compensa­tion for the land resumed under section 9 or permanent installations and structures on that land, in Form IC of the Public Debt Rules, 1946, and shall be deemed to be a Government security within the meaning of the Public Debt Act, 1944 (XVIII of 1944) ;
(d) `Chief Land Commissioner' means the Chief Land Commission.‑r of the Province nominated under section 20 and shall include any person per­forming the functions of the Chief Land Commissioner ;
(e) `defaced bond' means a bond which has been made illegible or rendered undecipherable in any of its material parts, and the material parts of a bond are those where ‑
(i) the number, name of the bond and the face value of the bond or payment of interest are recorded ; or
(ii) the endorsement or the name of the payee is written ; or
(iii) the renewal receipt is supplied ;
(f) `Deputy Land Commissioner' means an officer appointed as such under section 20 and includes an officer for the time being performing the
functions of a Deputy Land Commissioner ; IV,
(g) `Form' means a form appended to these rules ;
(h) `lost bond' means a bond which has actually been lost and shall not mean a bond which is in the possession of some person adversely to the claimant ;
(i) `Land Commissioner' means an officer appointed as such under sec­tion 20 and shall include any person performing the functions of a Land Commissioner ;
(j) `mutilated bond' means bond which has been destroyed, torn or damaged in material parts thereof ;
(k) `recipient' means a person who is entitled to receive compensation under sections 11 and 12 of the Act, and includes his successors in interest ;
(1) `section' means section of the Act ; and
(m) `Treasury' means any treasury located in any Province and includes a
sub‑treasury.,

CHAPTER II.‑PAYMENT OF COMPENSATION

3. Deputy Land Commissioner to determine compensation, etc.‑The compensation payable to a person under section 13 shall be determined and paid through the Deputy Land Commissioner.

4. Maintenance of registers.‑‑(1) The Deputy Land Commissioner shall maintain registers in Forms 1, lI and III for each district and the names of the recipients shall be entered therein tehsil‑wise.
(2) The net amount payable to a recipient shall not be entered in the registers until the case has finally been decided.

5. Requisition by Deputy Land Commissioner.‑(1) After the compensa­tion has been determined under rule 3, the Deputy Land Commissioner shall send to the Chief Land Commissioner requisition for cash payment in Form IV and issue of bonds in Form V.
(2) On receipt of a requisition for cash payment under sub‑rule (1), the Chief Land Commissioner shall place the requisite amount at the disposal of the Deputy Land Commissioner, out of the budget allotment for payment to the recipient.

CHAPTER III.‑ISSUE OF BONDS

6. Requisition for the issue of bonds.‑‑(1) On receipt of a requisition for issue of bonds under rule 5, the Chief Land Commissioner or any officer authorised by him in this behalf in writing shall, after such verification as he may deem necessary, send a requisition in Form VI to the Bank at Lahore or Karachi for issuing to the recipient a bond of bonds of the denominations and for such amount as may be specified therein.

(2) Specimen signatures of the Chief Land Commissioner or any officer authorised by him to sign the requisition form shall be supplied to the Bank and the Public Debt Officers, Karachi and Lahore for record.
(3) Any change in the incumbents shall immediately be notified to the Bank.
(4) The specimen signatures of the officers under sub‑rule (2) shall be attested by the Chief Land Commissioner and in the case of the Chief Land Commissioner  these shall be attested by any member of the Land Commission.

7. Form and denomination of bonds.‑(1) The bonds shall be issued in denominations of one hundred rupees, one thousand rupees, five thousand rupees, ten thousand rupees and twenty thousand rupees.

(2) Fractions below one hundred rupees shall be inserted in the bonds in hand.

8. Issued of bonds.‑(1) On receipt of the requisition under sub‑rule (1) of rule 6 the Bank shall issue the bonds for and on behalf of the Federal Government in favour of each recipient and for the amounts specified in the requisition received by it.

(2) The bonds shall be enfaced for payment of the interest or principal amount at Lahore or Karachi Offices of the Bank or at such Treasury as may be specified in the requisition;

Provided that the Bank may, on an application made to it by a recipient, enface the bonds for payment of interest or principal amount at any other office of the Bank or a Treasury as is requested by the recipient.

9. Despatch of bonds to Chief Land Commissioner.‑(1) The Bank shall forward the bonds to the Chief Land Commissioner or any other officer an  appointed by him in that behalf and obtain an acknowledgement thereof.

(2) On receipt of the bonds, the Chief Land Commissioner shall cause them to be sent to the Deputy Land Commissioner of the district who had determined the compensation.
10. Delivery of bonds to recipients.‑(I) On receipt of bonds from the Chief Land Commissioner, the Deputy Land Commissioner shall call each recipient and deliver the bonds to him after obtaining receipt thereof, which shall be attested and forwarded by the Deputy Land Commissioner to the officer authorised by the Chief Land Commissioner in this behalf.

(2) The recipient may take delivery of the bonds either personally or through his representative or agent duly authorised by him in writing in that behalf:

11. Bonds subsequently found to be' defective.‑(1) If any bond is sub­sequently found to be defective or in excess of the amount which is due to the recipient, the Chief Land Commissioner shall call upon the recipient to produce the bond and to show cause why such bond may not be cancelled and a fresh bond be issued in lieu thereof.

(2) A recipient who has been given show‑cause notice under sub‑rule (1) shall be entitled to inspect the record and to produce such evidence as he may consider appropriate.

(3) After hearing the recipient and examining such evidence as is produced by him, the Chief Land Commissioner or any officer authorised by him in this behalf shall immediately inform the Bank of the amount calculated by him and shall request it to cancel the bond and issue a fresh bond in accord­ance with the requisition to be sent to the bank.

(4) The amount paid in excess whether on account of interest or principal amount shall be adjusted towards the subsequent payment of interest or principal amount in respect of such bond and if no such adjustment is possible then the overpayment shall be recovered as if it were an arrear of land revenue.

CHAPTER 1V.‑CERTAIN PROVISIONS RELATING TO BONDS

12. Persons whose title to a bond may be recognised by the Bank.‑The executor or administrator or the bolder of succession certificate of a deceased sole holder of a bond shall be the only person who may be recognised by the Bank as having any title to the bond.

13. Right of survivors of joint recipients or several payees.‑Notwith­standing anything contained in section 45 of the Contract Act, 1872 (IX of 1872), when a bond is‑

(a) held by two or more persons jointly and either or any of them dies, the title to the bond shall vest in the survivors ; and

(b) payable to two or more persons severally and either or any of them dies, the bond shall be payable to the survivor or survivors or the legal heir of the deceased ;

Provided that nothing contained in this rule shall affect any claim which any legal heir of a deceased person may have against the survivor or survivors under, or in respect of, any bond to which this rule applies.

Explanation.‑For the purposes of this rule a body incorporated under the Companies Act, 1913 (VII of 1913), or the Co‑operative Societies Act, 1912 (11 of 1912), or any other enactment for the time being in force, whether within or outside Pakistan relating to the incorporation of associa­tions of individuals, shall be deemed to die when it is dissolved.

14. Transfer of bonds.‑(1) The bonds shall be transferable by endorse­ment and delivery like a promissory note payable to order;

Provided that the Treasury or any office of the Bank or the Public Debt Office may decline to accept the bond endorsed in blank.

(2) No endorsement on a bond shall be valid unless made by the signature of the recipient or his duly constituted attorney or representative inscribed on the back of the bond itself.

(3) No writing on a bond shall be valid for the purpose of negotiation if such writing purports to transfer only a part of the amount denominated by the bond.

15. When a bond is required to be renewed.‑(1) The Public Debt Office may require the recipient for renewal of the bond if ‑

(a) Sufficient room remains on the back of the bond for one further endorsement or if any word is written upon the bond across any existing endorsement or endorsements ; or
(b) the bond is torn or in any way damaged or crowded with writings ; or
(c) any endorsement is not clear or distinct or does not indicate the name of payee ; or
(d) the endorsement has not been in one of the endorsement cages on the back of the bond ; or
(e) the interest on the bond has remained undrawn for ten years or more ; or
(f ) the interest cages on the reverse of the bond have been completely
filled or if the vacant printed cages on the reverse of the bond do not corres­pond with the years for which interest has become due on the date when the bond is presented for drawal of interest ; or
(g) the bond, having been enfaced thrice for payment of interest, is presented for re‑inforcement ; or
(h) the title of the person presenting the bond for payment of interest is irregular or not fully proved.
(2) When requisition for renewal of a bond is made under sub‑rule (1), the payment of any further interest thereon may be refused, until it is actually renewed.

16. Application for renewal, etc.‑Subject to any general or special instructions of the Bank, the Public Debt Office may, by an order, on an application made to it by the recipient, renew, sub‑divide or consolidate a bond and obtain a receipt thereof from the recipient in Form VII, Form VIII or Form IX, as the case may be.

17. Issue of duplicate bonds, etc.‑(1) If on an application made to it by the recipient, the Bank is satisfied that a bond has been lost, stolen or destroyed, or has been defaced or mutilated, it may, subject to such conditions as it may deem fit and on payment. of fees as specified in rule 26, order for issue of a duplicate bond.

(2) If the recipient applies to the Bank for the consolidation, sub‑division or renewal of a bond, the Bank may, subject to such conditions as it may deem fit and on payment of fees as specified in rule 26 cancel such bond and order for issue of a new bond.

(3) Where recipient has been issued a duplicate bond or a new bond under this rule, his title to such bond shall, for the purpose of rule 12, be deemed to have been recognized by the Bank and he shall be deemed to have entered into a new contract.

18. Procedure when a bond is lost, etc.‑(1) When a bond is lost, stolen, destroyed, mutilated or defaced, the recipient shall make an application to the Public Debt Office, Lahore or Karachi, for the issue of a duplicate bond.

(2) The application referred to in sub‑rule (1) shall be accompanied by‑‑
(a) a statement showing‑
(i) the year for which interest has been paid for the last time ;
(ii) the name of the person to whom such interest was paid ;
(iii) the name of the person to whom the bond was issued ;
(iv) the office of the Bank or the Treasury where the bond for payment of interest was enfaced ;
(v) the circumstances pertaining to the loss, theft, destruction, mutilation or defacement of the bond, as the case may be ; and
(vi) whether such loss or theft was reported to the police ;
(b) the Post Office registration receipt, if the bond was lost in transmission by registered post ;
(c) a copy of the police report, if the loss or theft was reported to the police ;
(d) a letter signed by the officer of the Treasury where interest was last paid certifying the last payment of the interest on the bond and stating the name of the party to whom such payment was made, if the last payment of interest was not made by a warrant issued by the Public Debt Office ;
(e) an affidavit sworn before a Magistrate testifying that the applicant was the person legally entitled to hold the bond, and if the recipient is not the holder in whose name the bond was originally issued ; and
(f ) any portion or fragments of the lost, stolen, destroyed, mutilated or defaced bond, if that is in possession of the applicant.

(3) A copy of the application made under sub‑rule (1) shall be sent to the Treasury where interest is payable.

(4) The factum of loss, theft, destruction, mutilation or defacement of a bond or portion of a bond shall be notified by the Bank for information of the general Public in three successive issues of the official Gazette in such form as the Bank may deem fit.

(5) After the publication of the notifications under sub‑rule (4) the Bank shall if it is satisfied of the loss, theft, destruction, mutilation or defacement of a bond and the claim of the applicant,‑order the Public Debt Office to issue a duplicate bond in lieu thereof.

(6) At any time prior to the issue of a duplicate bond, the Bank may, for reasons to be recorded in writing, alter or cancel any order made by it.

(7) Where the Bank orders for issue of a duplicate bend, it may direct the applicant to execute an indemnity bond in Form XII or furnish personal sureties or furnish collateral security in the shape of Government securities to be deposited with it for such amount and period as it may direct.

(8) The indemnity bond referred to in sub‑rule (7) shall be executed by the applicant alone or by the applicant and one or two sureties, as the Bank may direct.

CHAPTER V‑PAYMENT OF INTEREST AND PRINCIPAL

19. Payment of interest.‑(1) All bonds shall bear simple interest at one per cent. above the bank rate as notified by the Bank from time to time.

(2) The interest shall be payable by annually on the first day of January and July every year;

Provided that the income‑tax shall, if leviable, be deducted at source in the same manner as is deducted on other Government securities.

(3) The interest on the bonds shall cease to accrue on and from the date of the Notification issued under sub‑rule (1) of rule 20.

(4) Every person receiving interest under this rule shall give a receipt in Form XI.

20. Payment of Principal.‑(1) Where the Federal Government decides to redeem the principal amount of the bonds by an earlier date than as specified in section 13, it shall notify such date in the official Gazette.

(2) After publication of the notification under sub‑rule (1), the offices of the Bank at Karachi or Lahore, as the case may be, shall be advised in Form XII alongwith a copy of the notification to make necessary payment on presentation of the bonds.

(3) On receipt of instructions from the Chief Land Commissioner, the Bank shall call upon the recipient by notification in the official Gazette or in such manner as is considered necessary to receive the whole amount or a portion thereof by the specified date from the Bank or Treasury act which the bond stands enfaced.

21. Receipt required on discharge of a bond.‑(1) When a bond is to be partially discharged, a receipt shall be taken on the bond itself.

(2) When a bond is fully discharged, it shall be surrendered to the Bank.

(3) In every case of partial or full discharge of a bond, the Bank shall bring such fact to the notice of the Chief Land Commissioner in such manner as may be required by him.

CHAPTER VI‑MISCELLANEOUS

22. Publication of notices.‑‑(l) Any notice required to be given by the Bank under these rules may be served by post by publication in the official Gazette.

(2) On publication of a notice in the official Gazette, recipient shall be deemed to have been duly served.

23. Determination of title in case of dispute.‑In case of a dispute in respect of a title to a bond, the bank shall refer the matter to the Deputy Land Commissioner who shall determine the title thereto and intimate the Bank accordingly.

24. Execution of documents by 'Illiterate person.‑If any illiterate person executes a document relating to a bond or make any endorsement thereto, it shall be attested by a Notary Public or a Magistrate of the first class;

Provided that where the Bank is satisfied as to the genuineness and validity of the execution of a document or an endorsement on a bond, it shall not preclude the Bank to act upon the execution of the document or an endorsement on a bond without such attestation.

25. Stay of proceedings on order of Court.‑‑Where the Bank receives a stay order passed by a Court relating to a Bond, it shall suspend further proceedings till final orders are passed by such Court.

26. Fees.‑(1) The following fees shall be paid in respect of the bonds issued under rule 17, namely‑

(a) if the amount of the bond does Got exceed four 70 paisa per one hundred rupees. hundred rupees or part thereof ;
(b) if the amount of the bond exceeds four hundred Rs. 3.00 rupees.

(2) A copying fee of one rupee per page shall be charged for every certified copy issued by the Commissioner or the Bank.

27. Information and Inspection.‑‑(1) Any recipient requiring information or inspection of record relating to a bond may apply to the Bank or the Public Debt Office in writing stating the particulars thereof.

(2) Every application made under sub‑rule (1) shall be accompanied by a fee of five rupees for each Bond.

(3) The Bank or the Public Debt Office, as the case may be, before the information is supplied or permission for inspection is granted require the recipient to execute an indemnity bond in Form X for such amount specified as the Bank may determine;

Provided that such amount shall not exceed the value of the bond.

28. Officers of the Bank deemed to be public officers.‑For the purpose of section 1 24 of the Evidence Act, 1872 (1 of 1 672), the provisions of Part IV of the Code of Civil Procedure, 1908 (V of 1903), relating to suits by or against public officers in their official capacity and the provisions of rule 27 of Order V and rule 52 of Order XXI thereof, the officers of the Bank acting in this capacity as such shall be deemed to be the public officers.

29. Penalty.‑(1) If any person for the purpose of obtaining for himself or any other person any title to a bond makes, to any authority under these rules in any application or in the course of any enquiry undertaken in pursuance of these rules, any statement which is fare and which he either knows to be false or does not believe to be true, shall be punishable with imprisonment for a term which may extend to six months, or with fine, or with both.

(2) No Court shall take cognizance of any offence under sub‑rule (1) except on the complaint of the Bank.

30. Power of Federal Government to make orders.‑The Federal Govern­ment may, at any time. pass such orders, not inconsistent with the provisions of the Act or these rules and issue such instructions, as it may deem necessary, for the proper implementation of these rules.

[Note.‑For Forms I to XII please see Gazette of Pakistan, Extraordinary Part 11, pp. 1041 to 1050]
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