C.B. (ID No. 75

LOK SABHA *>/»■/s*

THE JOINT COMMITTEE ON THE DELHI RENT CONTROL BILL, 1958

EVIDENCE

L O K SABHA SECRETARIAT NEW DELHI November » 1958 Price l I'os AUTHORISED AGENTS FOR LOK SABHA SECRETARIAT PUBLICATIONS Agency Name and address of Agency Name and address of No. the Agent No. the Agent 1. Jain Book Agency, Connaught 19. The Kashmir Book Shop, Resi­ Place, New Delhi. dency Road, Srinagar Kashmir. 2. Kitabistan, 17-A, Kamla Nehru 20. The English Book Store, 7-Lf Road, Allahabad. Connaught Circus, New Delhi. 3. British Book Depot, 84, Hazarat- 21. Rama Krishna & Sons, 16-B, ganj, Lucknow. Connaught Place, New Delhi. 4. Imperial Book Depot, 268, Main 22. International Book House, Pri­ Street, Poona Camp. vate, Limited, 9, Ash Lane. 5. The Popular Book Depot Bombay. (Regd.), Lamington Road, 23. Lakshmi Book Store, 42, M. M. Bombay-7. Queensway, New Delhi. 6. H. Venkataramiah & Sons, Vidya- 24. The Kalpana Publishers, Tri- nidhi Book Depot, New Statue chinopoly-3. Circle, Mysore. 25. S. K. Brothers, 15A/65, W.E.A., 7. International Book House, Main Karol Bagh, Delhi-5. Road, Trivandrum. 26. The International Book Service, 8 . The Presidency Book Supplies, Deccan Gymkhana, Poona-4. 8 -C, Pycroft’s Road, Triplicane, 27. Bahri Brothers, 188, Lajpat Rai Madras-5. Market, Delhi-6. 9. Atma Ram & Sons, Kashmere 28. City Book-Sellers, Sohanganj Gate, Delhi-6. Street, Delhi. 10. Book Centre, Opp. Patna College, 29. The National Law House, Near Patna. Indore General Library, Indore. 11. J. M. Jaina & Brothers, Mori 30. Charles Lambert & Co., 101, Gate, Delhi-6. Mahatma Gandhi Road, Opp. 12. The Cuttack Law Times Office, Clock Tower, Fort, Bombay. Cuttack-2. 31. A. H. Wheeler & Co. (P) Ltd., 13. The New Book Depot, Connaught 15, Elgin Road, Allahabad. Place, New Delhi. 32. M. S. R. Murthy & Co., Visakha- 14. The New Book Depot, 79, The patnam. Mall, Simla. 33. The Loyal Book Depot, Chhipi 15. The Central News Agency, Tank, Meerut. 23190, Connaught Circus, New 34. The Goods Compansion, Baroda. Delhi. 35. University Publishers, Railway Road, Jullundur City. 16. Lok Milap, District Court Road, Bhavnagar. 36. Students Stores, Raghunath Bazar, Jammu-Tawi. 17. Reeves & Co., 29, Part Street, 37. Amar Kitab Ghar, Diagional Calcutta-16. Road, Jamshedpur-1. 18. The New Book Depot, Modi 38. Allied Traders, Motia Park, No. 3, Nagpur. Bhopal. WITNESSES EXAMINED

Name of the Association and their spokesmen Date Pfege

I. Central Tenants Association, New Delhi . . 1-X I-5* 2-21 Spokesmen : 1. Shri Bri) Mohan . 2. Shri Baldev Sharma 3. Shri Lai Chand Vatsa

II. Delhi Pradesh Kirayadar Federation, Delhi . 1-11-58 22—31 Spokesmen : 1. Shri Mahavir Prasad Gupta 2. Shri Naresh Chandra

III. House Owners’Association, Delhi & New Delhi . . . 1-11-58 3i"-^45 Spokesmen : 1. Shri Sobha Singh 2. Shri R. S. L. Girdharilalji Seth 3. Shri L. Jagdish Parshad 4. Shri R. L. Venna

TV. Delhi House Owners’ F e d e r a tio n ...... 3-11*58 46—80 Spokesmen : 1. Sardar Ranjit Singh 2. Shri D. C. Kaushish 3. Shri Rajeshwar Dayal 4. Shri R.D. Jain 5. Bawa Ishwar Singh THE JOINT COMMITTEE ON THE DELHI RENT CONTROL BILL, 1958.

M i n u t e s o f E v id e n c e t a k e n b e f o r e t h e J o i n t C o m m i t t e e o n t h e D e l h i Rent Control Bill, 1958 Saturday, the 1st November, 1958 at 11.00 hours and again at 15.35 hours.

PRESENT Shri Govind Ballabh Pant— Chairman

M e m b e r s Lok Sabha 2. Shri Radha Raman 16. Shri Shivram Rango Rane 3. Choudhry Brahm Perkash 17. Shri Chandra Shanker 4. Shri C. Krishnan Nair 18. Shri Bhola Raut 5. Shri Naval Prabhakar 19. Shri Phani Gopal Sen 6. Shrimati Sucfoeta Kripalani 20. Sardar Iqbal Singh 7. Shrimati Subhadra Joshi 21. Shri C. R. Basappa 8 . Shri N. R. Ghosh 22. Shri V. P. Nayar 9. Shri Vutukuru Rami Reddy 23. Shri Shamrao Vishnu Parulekar 10. Shri Kanhaiyalal Bharulal Mai via 24. Shri Khushwaqt Rai 11. Shri Krishna Chandra 25. Shri Ram Garib 12. Shri Kanhaiya Lai Balmiki 26. Shri G. K. Manay 13. Shri Umrao Singh 27. Shri Uttamrao L. Patil 14. Shri Kalika Singh 28. Shri Subiman Ghose 15. Shri T. R. Neswi 29. Shri Banamali Kumbhar

Rajya Sabha 30. Shri Gopikrishna Vijaivargiya 37. Shri A. Dharam Das 31. Shrimati Ammu Swaminadhan 38. Shri R. S. Doogar 32. Shri Deokinandan Narayan 39. Dr. Raj Bahadur Gour 33. Dr. W. S. Barlingay 40. Shri Faridul Haq Ansari 34. Shri Awadheshwar Prasad Sinha 41. Shri Anand Chand 35. Babu Gopinath Singh 42. Shri Mulka Govinda Reddy 36. Shri Onkar Nath 43. Mirza Ahmed Ali

D raftsmen Shri S. K. Hiranandani, Additional Draftsman, Ministry of Law. Shri K. K. Sundaram, Asstt. Draftsman, Ministry of Law.

R epresentatives o f M in is t r ie s a n d o th e r O f f ic e r s Shri Had Sharma, Joint Secretary, Ministry of Home Affairs. Shri A. V. Venkatasubban, Deputy Secretary, Ministry of Home Affairs.

S e c r e t a r ia t Shri A. L. Rai—Under Secretary, 2

W itnesses Examined i r r

I. C e n t r a l T e n a n t s A s s o c i a t i o n , N e w D e l h i Spokesmen: 1. Shri Brij Mohan 3. Shri Lai Chand Vatsa 2. Shri Baldev Sharma

II. D e l h i P r a d e sh K ir a y a d a r F e d e r a t io n , D e l h i Spokesmen: 1. Shri Mahavir Prasad Gupta 2. Shri Naresh Chandra

III. H o u s e O w n e r s' A s s o c i a t i o n , D e l h i & N e w D e l h i Spokesmen: 1. Shri Sobha Singh 3. Shri L. Jagdish Parshad 2. Shri R. S. L. Girdharilalji Seth 4. Shri R. L. Verma

I. C e n t r a l T e n a n t s A s s o c i a t i o n , N e w South Delhi, the Notified Area of D e l h i Mehrauli, the Notified Area of Narela etc. This Bill should be made appli­ Spokesmen: cable to those areas also from the 1. Shri Brij Mohan very inception. 2. Shri Baldev Sharma 3. Shri Lai Chand Vatsa Mr. Chairman: The present Rent Control Act does not apply there. (Witnesses were called in and they took their seats.) Shri Lai Chand Vatsa: Why should M r. Chairman: Is there any desire those people be denied the advantages on the part of Members of the Joint aimed at in this Bill? It is not advis­ Committee that the evidence should able that we give some advantages to be given in English, or will it do if certain people and deny those advant­ they speak in Hindi? ages to certain others. My submission S h r i N . R. G h o s h : It would be bet­ is that this should be made applicable ter if they speak in English. to the thickly populated areas which S h r i V . P. N a y a r : We do not under­ we have mentioned in our memoran­ stand Hindi. It is better if they s p e a k dum. in English. M r. Chairman: Are all these urban M r. Chairman: All right. areas? Shri Lai Chand Vatsa: Firstly, we Shri Vatsa: would like to s a y that we are much These are all urban thankful to the people who have taken areas. great pains in drafting this Bill. Then there is section 0 of the Rent M r. Chairman: I think you are aware Control Act. that your evidence may go before Parliament. Mr. Chairman: Of the Bill or of the existing Act? Shri Lai Chand Vatsa: We know that. This Bill has been extended to Shri Vatsa: Of the Bill. some areas with the provision that it can be extended to other areas also. There are so many categories men­ Our submission is that it should be tioned here. No. 1: premises which extended to all the thickly populated were let out and completed before 2nd areas where the problem of eviction of June, 1944. After that comes the is there like the Municipal Area of premises which were completed after 3 2nd of June, 1944 and before 1951; Our first submission is that the pro* then there are other premises which vision wanting him to establish facta were let out after 1951 and before 9th which existed long ago should go. It of June 1955 and then again another should be for the Rent Controller to category which were constructed after know the period of the construction of that. Either there should be no cont­ the building, the cost of it, the rent rol at all or the Act should be effec­ of the land, etc., etc. There should tively applied so that all people who not be so many classifications which want to be benefited can have that deprive the tenant of the advantage benefit. That was the intention of the of going to the court for having the Legislature and they have provided advantages of the Act. There should for it by the method of appointing be only one classification. Rent Controller so that the landlords Then you will appreciate that it is and the tenants may go and imme­ the landlord who can give all the infor­ diately get the remedy they desire in mation. He knows who was the the cheapest possible way. tenant; he knows who was the tenant next to him; he can tell you what was The tenants for their part have been the rent he was charging from the demanding that the interest allowed tenants and other tenants. He can should be 6£ per cent; the landlords let you know what was the cost of con­ have been demanding that the interest struction of the building. He can also should be 12 per cent. Our demand let you know what was the purchase is there. There is provision for price of the building. The onus should this and once it is settled the be specifically put on the landlord to people should get the remedy. prove what was the cost of construc­ My submission is that this classi­ tion and on the basis of that the stand­ fication into so many divisions ard rent may be fixed. To burden the will be of not much use. There should tenant with it will be only snatching be only two classifications, as we have the right given to him. It is the land­ mentioned. No. 1: the premises which lord who is acquainted with all the were let out to the tenants before the facts of the case. Our submission 1st of Junet 1944, the standard rent therefore is that there should be only for them should be the basic rent. two classifications and the onus should Basic rent means the rent given by be specifically upon the landlord. If them on the 1st day of January, 1939 he does not prove it the law should or the rent paid by any tenant on the be allowed to take its own course. first letting between the 1st day of Then there is the Controller. He will January, 1939 and 1st June, 1944. Some fix the rent taking into account the enhancement as prescribed in the ear­ circumstances of the case. lier Act of 1952 may be given and that ^ may be fixed as the standard rent. Then one thing remains. Exemption is given to certain buildings. Let About other premises our submis­ there be exemption if people want it sions is that rent should be fixed on and also because there should be more the basis of 0J per cent. I submit that accommodation available to the citi­ there are innumerable difficulties. The zens of India. Why is it given now? onus now is upon the tenant—to prove It is being given as a sort of encourage­ what was the rent on first letting. The ment to the people to make construc­ tenant does not know it. He might tions. But once the accommodation have shifted from Madras; he might has been completed there is no Justifi­ have come from Bengal and he has to cation why high rent should be charg­ prove who was the first tenant. He ed, and there is no limitation at has absolutely no information. Then all. Where is the justification for **he has no contacts to bring evidence giving exemption under the law as it before the Standard Rent Officer or stands now? Exemption w h s given in before the judge and in the end we 1952. It was in section 39. The Act is find that for his inability to prove this before the hon. Members. What was his application is dismissed. the exemption? The building con* 4

[Shri Lai Chand Vatsa] the operation of the Rent Control Act. struction of which was completed after the 1st day of June, 1951 to the 9th of The next thing I wish to submit is June, 1955 will be exempt from the this. After all, encouragement is to be operation of the provisions of rent given. But there should be a limit on control. This section was not unfortu­ each and everything. Encouragement nately happily worded. What was does not mean that the landlord should wanted was the people should make charge fleecing rent. For instance, we constructions and charge higher rents float so many loans. If the current so that it may be an encouragement interest rate is 4 per cent, we say we to them. But the provision as it stood will give five or six per cent. We meant another thing. It meant that never say we give you unlimited the rents will not be controlled. It interest.- That is not encouragement. meant that in addition to this the land­ That is rather a misuse of encourage­ lord will have a licence to evict the ment. What should be the rent fixed? ^ tenant any moment he likes. It meant If we demand 6J per cent and if they that he can charge a p ugree, because want 12 per cent, a reasonable sort of charging of pugree was an offence only thing based on the two demands will under the Act of 1952 and the premises be fixed which will be a compromise. were exempt from the operation of It will be a good amount. An amount the provisions of the Act of 1952. which is fixed by consulting both the What they did was they charged parties will not be an unjust amount. heavy rents; they charged pugree; We can give them encouragement in then they came forward and made an this manner that between such and application before the court terminat­ such time if a man constructs, he will A ing the tenancy of the tenant and eject­ be given extra interest of 3 or 4 per ing him. The tenant had no way open. cent. Why this unlimited thing? The This unfortunate wording of the Act rent should not be at the whims of meant great suffering to many people. the landlord. That will badly affect the entire scheme of the Act. If a man Our submission is that the exemp­ is charged Rs. 100 rent on a building tion was given to premises completed and another man near him occupying between four years and 9 days, 1st of a similar building is charged Rs. 400 June, 1951 and 9th of June, 1955. that will be bad. Thereafter the buildings were again under the Control Act. What is being Mr. Chairman: If you leave aside J proposed is this that this sort of con­ illustrations and be concise we can cession may be extended to those peo­ save time. ple who want to construct buildings. But there is a gap of three years. With Shri Lai Chand Vatsa: My submii ^ regard to the buildings constructed sion is, if at all encouragement is to after the 9th June, 1955 and before the be given there should also be a ceiling commencement of this Act, those fixed upon that. As this Committee buildings have been completed. There considers fit there should be a ceiling is no question of encouragement to put upon it and it should not be an those people who have already cons­ unlimited one. tructed their buildings. Then why should those buildings be exempt from Then I would like to come to clause the operation of the Rent Control Act? 12. But before that I would like to This is treating different people on refer to the proviso to sub-clause ( 0) f- different levels. The man has cons­ of clause 9. Under this clause powers tructed the building already. Why have been given to the Rent Controller * should this exemption be given to to fix the standard rent, but his hands * him? You will appreciate that with are tied down by this proviso which respect to those buildings that have says: already been completed there is abso­ “Provided that in no case the lutely no sense in exempting them from date so specified shall be earlier 5 than one year prior to the date of three years 9 rent on application for the filing of the application for the fixation of standard rent. Under the fixation of the standard rent.” provision here the date of the applica­ In this connection I would like to tion of the standard rent should be draw the attention of the hon. Mem­ only one year, not three years, before bers of the Committee to clauses 4 and the date of filing of the application. 5. Clause 4 says: Under clauses 4 and 5 it was not legally chargeable. Whatever agree­ “Except where rent is liable to ment I might have made with the land­ periodical increase by virtue of an lord was not enforceable in law; it agreement entered into before the is null and void. My submission is 1st day of January, 1939, no tenant that this proviso should go and unfet­ shall, notwithstanding any agree­ tered powers should be given to the ment to the contrary, be liable to Rent Controller to fix the date—but not pay to his landlord for the occupa­ less than one year, it may be provided. tion of any premises any amount I do not mind that: it should be at in excess of the standard rent of least for the last one year. I am refer­ the premises, unless such amount ring to the proviso to sub-clause ( 6) is a lawful increase of the of clause 9. The power should be standard rent in accordance with given to the Rent Controller and he the provisions of this Act.” should fix the rent from any date. So it is amply clear that the tenant Then there is another thing. In is not liable to pay more than the fact, the legal position will be like this. standard rent, whatever the standard Today the rent is fixed at Rs. 90. rent be. Legally, anything more than Whatever was paid by me previously the standard rent cannot be charged was not a legally recoverable thing, from him. And then, sub-clause (2) because the agreement was null and of clause 4 says: void. This means that I can go to the “Subject to the provisions of court and ask for a refund of the three sub-section ( 1), any agreement for years’ rent. This is just to give the the payment of rent in excess of opportunity for litigation to the the standard rent shall be null and parties. So my submission is that this void and shall be construed as if proviso should go and the Rent Cont­ it were an agreement for the pay­ roller should be given unfettered ment of the standard rent only.” powers to do this. Particularly, if a And then, clause 5 says: tenant applies, then the rent should be fixed from the date of his tenancy. “Subject to the provisions of this If at all the others are not to be bene­ Act, no person shall claim or fited, it should be fixed from the date receive any rent in excess of the of his tenancy. standard rent, notwithstanding any agreement to the contrary.” The next one is clause 12. As I have submitted, in accordance with So the law is very clear. No. 1, the clauses 4 and 5 there should be no tenant is not liable to pay more than limitation for the application for fixa­ the standard rent. No. 2, the landlord tion of standard rent. The simple is not entitled to charge more than question that will be put to me will the standard rent. And if at all there be: why this thing when limitations is an agreement it is null and void, it are put in every case? My sub­ is a nullity and cannot be looked upon mission is that to charge more by the courts. When this provision is than the standard rent is an there, if I have paid a rent which was offence under clause 47, and the land­ not legally chargeable from me, or if lord can be sent to jail for three I have not paid that rent which is not months. It is an offence. After a legally chargeable from me, why particular period an offence does not should I be compelled to pay that rent cease to be an offence. It remains an for a particular period? Suppose I offence. If there is a continuous owe two years* rent to my landlord, or offence, there is a continuous cause of 6 [Shri Lai Cfiand Vatsa] He will not pay the rent and when the action and everybody can go and suit is filed by the landlord ask for the knock at the door of the ctfurt and say fixation of standard rent. So, there is “my rent should be fixed”. This rent absolutely no necessity for such a pro­ is not legally chargeable. This limita­ vision. When you give a concession, tion under the circumstances is most it is given for ever, particularly when unjust. the cause of action is for ever. So, my submission is that under the cir­ Another thing is this. What happens cumstances this limitation should go. is that when I go to a landlord and say “give me the house”, he will say “All Then I come to clause 14, where the right, Mr. Vatsa, I am giving you the grounds for ejectment are mentioned. house, but the receipt issued to you The very first principle that has been will be one year prior to the date of accepted is that ejectment is an ex­ the tenancy”. This is a very ordinary ception and not a rule. Ejectment is thing which they can do. Today they not to be granted until certain condi­ are doing it. Under the present Act tions given in the section are fulfilled. the limitation is six months. The land­ My first submission is about sub­ lord says, “All right, you become a letting. If before the commencement tenant, but not from today but from of this Act the whole certain premises six months earlier.” And the limita­ have been sublet by a tenant to a tion is exhausted. The same thing sub-tenant and if the sub-tenant goes they will do now. They will give one and makes an application to the Rent year's prior date and then 1 am out of Controller within one year of the court and I cannot make an application commencement of this Act, then he for fixation of standard rent. People would be regularised as a tenant will ask me, “Why do you accept a directly under the landlord. If the receipt of that sort?” But my submis­ tenant has sublet the whole of sion is that my luggage is on the road, the premises, then let the sub-tenant my children are on the road, what come directly under the landlord. But shall I do?” So we are compelled to if a part of the premises is sub-let accept certain terms. Therefore, for a then there is no reason why the one thing which is an offence, no limita­ tenant should have more rights than tion should be fixed. the other tenant. Therefore, my I will advance another argument submission is that in sub-clause (3) against this limitation. Even though of clause 17, after the word “whole” this limitation exists, there is another the words “or part of the” may be way by which the rent can be fixed, added. Then, when a tenant has and that is under clause 14. What sub-let his premises, whether in whole happens is this. If a tenant does not or in part, the sub-tenant will make give rent, after one year he has got an application and then he will come no right to make an application for directly under the landlord as a fixation of standard rent. But he tentant. resorts to another remedy. The remedy is that he does not pay the Then I come to clause 14(b) (i), rent. Then what happens? The land­ which says: lord files a suit for the recovery of “if the premises have been let rent. But then it is open to the tenant out after the 15th day of April, to submit under clauses 4 and 5 that 1952, without obtaining the con­ any agreement to pay more than the sent in writing of the landlord;” standard rent is null and void and, therefore, the standard rent should be In that case he can be ejected. I fixed. So, the provision as it stands, want to know why the oral agree­ permits underhand dealings and back­ ment has been discarded like this. We door methods. This will, in effect, have to see the difficulties of the make the relationship between the tenant. Suppose I go to a landlord tenant and the landlord much worse. and say “that house may be given to 7 me.” He will reply: “I am prepared real tenant is turned out and the man to give it to you, but not in your against whom the suit was filed never name; I will give it in the name of occupies the premises. Of course, Shri Brij Mohan, who is a more res­ now some protection is being given pectable man,” I am very badly in under the Slum Areas Clearance Act need of accommodation. So, I have under which the competent authority no alternative except to take posses­ goes and make enquiries on the spot. sion of the house from Shri Brij Therefore, my submission is that the Mohan, though he does not come into term “in writing”, which is dangerous, the picture at all. And if the land­ should go. It will create troubles lord is displeased with me, he files a and will undo most of the benefits suit against Shri Brij Mohan and given under the Rent Control Act. ejects me. There are innumerable such cases. That is No. 1. Similarly, in sub-clause (c) also the words “in writing” should go. The Then, two people are prepared to landlord should be vigilant enough in take a portion each of the house on these matters. If, for instance, he rent. Though I am prepared to take finds that I have sub-let a portion of one myself, a tenancy will be created my house he should immediately ask in Shri Brij Mohan’s name. After one me to vacate the house on that ground. year, the landlord files a suit and both So, the term “in writing” should not Shri Brij Mohan and myself are be there. ejected. This has actually happened. It is the same with regard to misuse Thirdly, some brothers are living of premises. If I take a premises on together in the same house. Though rent running my office and from the they are living together the names of first day of the tenancy I run my all the brothers are not included in office, then the landlord should not the receipt. It may even be in the come and say that it was let out for name of the father. Then the land­ residential purposes. There are many lord complains that the father has things like that. There words ‘In sub-let the house to his son or the writing* should be omitted. husband has sub-let it to his wife. In 1 now come to sub-clause (d). A that way, there is victimisation. Here limit of six months is fixed. We are I am not trying to protect those not against the principle. If a house tenants who purposely want to defeat remains unoccupied, it is for the the object of this Bill. We have benefit of the tenant that the house absolutely no sympathy for them. They should be vacated and should be given are worse than even the landlord. My to another person who will be a tenant. only submission is that if the landlord But there are various circumstances. I tries to eject a tentant under this may be away for six months and one provision he should get no sympathy day or for seven months. Even then, from the court. So I suggest that I wil be evicted. There should be the words “in writing” should go. If some discretion given to the Controller there is sub-letting and if the Rent in this connection. Controller comes to the conclusion that it is against the law, then the Sub-clause (e) is the most contro­ tenant should be ejected; not other­ versial clause. The premises let off wise. What now happens is that for residential purposes are bona fide receipts are not issued in the name of required by the landlord for occupation the tenant but some other person. required by the landlord for himself, Then the landlord files a suit in the if he is the owner thereof, or for any name of the fictitious person, saying person for whose benefit the premises that he is the tenant. He goes to a are held* and that the landlord or court of law and gets a compromise such person has no other suitable ac­ decree against the tenant and ejects commodation. Previously, the ground the real tenant who was in possession was that either he needed it for him­ of the premises. In that way, the self or for his family. The word 1327 L S.—2. 8 tShri Lai Chand Vatsa] So many limitations are put upon family* has been omitted and for that httri under a similar clause under the we are thankful. There are many 1947 Act. He was to prove that he fictitious sales. There are sales for tried to find out situable accommoda­ the sake of ejection, t sell my house tion but he was unable to find one. It to Shri Brij Mohan and he gets ejec­ was not left to his whim; it was a tion on the ground of bona fide neces­ duty cast upon him to find out accom­ sity and he lets it out to C and when modation and only when he could he wants to eject C, he sells to another prove that he could not find any ac­ person and it goes on. Thus, most of commodation in spite of his best the tenants are ousted. efforts. Would that be allowed? Secondly, the tenant does not know There was also another riding the landlord; he comes from Shadhara. clause: that the premises were let He does not know who are his family out to the tenant before the purchase. members or where he lives and what In such cases, you would appreciate his accommodation is. He lives in that if I want the house, I should Karol Bagh and so he does not know make a positive case. The court will about the landlord much. The land­ ask me: why did you let it out if you lord comes and says that he has no needed it? It was difficult for the accommodation and so he wants the landlords and only in real and gen­ house for him. All sorts of decrees uine cases, he could get bona fide are easily passed in the most undeser­ eviction. There is no such riding ving cases. For that check is provid­ clause here. ed in the Slum Clearance Act. There, the competent authority goes to the The people who purchase house for site. But here there are these practi­ the sake of ejecting tenants could not cal difficulties and the tenants are benefit and the people who were living turned out from their houses. There could be safe from these people be­ should be no difference between a cause there was a three years* limit. citizen and another. If there is diffi­ A limitation was put at the purchase culty, both the persons should share and selling. But here is no limitation that difficulty equally. The landlord on selling. If he is not able to let it should not be given a preferential out to others, he will sell the house treatment. If he wants accommoda­ and the purchaser will get him evict­ tion, he should find out some other ed. Its value will enhance by a few accommodation. That is our main thousands if he sells it like that. My demand. submission is that all these things If, unfortunately, that is not accept­ should be shown to the Court. At ed, at least these fictitious sales should least 10 years should be the period. A be omitted. I beg to draw the atten­ new purchaser should not be allowed tion of the Committee to section 9 of to get a tenant evicted. There should the Rent Control Act of 1947 where be this limitation in addition to other also this bona fide necessity was men­ limitations which the hon. Members tioned. It reads: of Parliament may put. Most people “that purely residential premises are evicted on this ground. are required bona fide by the land­ I now come to clause 14(j). It reads: lord who is the owner of such pre­ mises for occupation as residence “that the tenant has....on which for himself or for his family and the premises are situate”. that neither he is owner nor is he able to secure suitable accommoda­ Under this clause ejection can be tion and that he acquired interest in granted on two grounds. One is, if a the premises on a date prior to the substantial damage has been caused or permitted to be caused, it is per­ beginning of the tenancy or the 2nd day of June, 1949, whichever Is mitted. One cannot allow a person to later...... " spoil. But my submission is that if a 9 damage has been caused and the da­ is no justification to compel him to mage can be compensated by paying pay the cost. We are thankful that riioney and the man who has done the our demand has been acceded to ih mischief pays the money along with this respect. But there is the proviso the penalty imposed by the controller, that if once the rent is fixed and if Why should his family be made to afterwards the rent is not paid in suffer? A damage compensated re­ thrfee months, the tenant will be ejec­ mains no damage. So, I submit that a ted. This, I would like to submit, is rider should be added to this clause. a very injurious clause. Sometimes the tenant may pay the amount by money Before 1947, there Were only three order and the money order may be or four clauses for the ejection of the returned to him as the addressee was tenants. They were contained in the not available. If he has to bear the 1949 Ordinance and the 1944 Act. entire cost of the suit, the burden on That should also be considered. The him will be very great. Under the tendency should always be to decrease Civil Procedure Code, if one makes a the grounds of ejectment and not to frivolous claim, he is not sent to jail increase it. There should be two se­ but he is burdened with some com­ parate clauses for this purpose. My pensatory cost. In this case, if the submission is that the conditions sti­ tenant makes a default he should be pulated are known to the landlords burdened with compensation. He and not to the tenants. Why should should not be ejected. Ejection should the tenants be penalised? That is my be an exception and it should not be point. If, from the circumstances, it is a rule. That is my point. clear that the landlord lets out the Sub-section (4) of clause 14 provi­ premises against the conditions laid des that the Controller may presume down, then, there is no justification that the premises have been sub-let for this action. There are many cases in certain cases. This is a very ex­ where 90 per cent of the premises traordinary right. I may enter into a given out for residential accommoda­ partnership with another man, and tion have been let out for running yet, I would be termed as having sub­ shops. The reason is that the land­ let the premises. So, this presumption lords get fat rents by letting their pre­ should not be there. I will not be mises out for running shops. If it is able to satisfy the Court about such proved that the premises have been partnership. let out by the landlords against the A fictitious thing is a fictitious thing conditions stipulated in this regard, and cannot become real. This presump­ then, the tenant should not be ejected. tion is very hard, and by this many This is a simple request. If the land­ people will be badly affected. The lords let out their premises, they power should be there: we do not should suffer the consequences. deny the principle of it. But these I now come to sub-section ( 2) of presumptions should go. section 14. If a notice has been served Then there is the sub-clause where upon the tenant and if he does not if a tenant is to be changed on the pay the arrears of rent within one ground of bona fide necessity month from the date of the notice, he 6 months is granted to the tenant. It is to be ejected. That is the provision. may be considered whether this pro­ But shelter is given under sub-section vision should be there, and if it is to (2). If the man pays the rent in court be retained the period may not be and also the cost of the suit on the enhanced. first day of hearing, he shall not be Then I come to clause 15, sub-clause ejected. Our submission is that, in 5. If a frivolous plea is raised, as is cases where the Controller has to fix raised in many cases the Controller is the standard rent, why should thfe given the power to order the defence tenant be made to deposit the entire afealiist eviction to be stuck out and reht and the cost of the suit? There prbceed With the hearing df the appli­ 10 [Shri Lai Chand Vatsa] a particular period. His difficulty cation. In this instance the landlord also should be taken into account. If has not suffered, because I have I ask a friend of mine to give me deposited the rent in court as directed accommodation for a few days, he may by the Rent Controller. I have gone oblige me for a short period, but I on depositing except that I have said should not abuse it. There should be that it should not be given to A, B or some provision to see that the land­ C, because I do not know to whom it lord does not evade it and the term should be actually given. Even if by “reasonable time” should be specified. chance the plea turns out to be frivol­ Clause 21: This gives another ground ous the rent is there. Nobody has of ejectment. Many big corporate suffered. At the most what should be bodies own properties which they let done is that some compensation Should out. They can construct other houses be allowed. This provision should be and let it out to their employees. If deleted, but if it is to be retained it I let out my premises to my employee should be done in the form that if it I can get it back from him when he turns out to be frivolous then the leaves my employment. So, if they Rent Controller may impose such want accommodation for their em­ penalty against the tenant as he likes. ployees they should make their own Clauses 16 and 17: We have made constructions. That will give en­ our points clear. We have said that couragement to building activity. It is all sub-letting should be regularised the obligation of big employers to in terms of sub-clause (3) of clause provide housing for their employees. 17, the principle of which has been In this way they will be enabled to accepted and after that if there is make constructions. sub-letting permission in writing should not be there. Clause 23: According to this provi­ sion the landlord may be pennitted There are three grounds: building, to construct upon a vacant land and rebuilding and repairs. Many safe­ the rent may be adjusted by the guards are given to the tenants in Controller. My submission is that if sub-clause (3) of section 19, which such a thing happens, then the election says: should be given to the tenant to have “If after the tenant has deliver­ the house if he wants. The first right ed possession on • or before the should be given to him. If there is a date specified in the order, the big plot of land and that plot is sever­ landlord fails to commence the ed and a new construction is about to work of repairs or building or re­ be made, and if it is to be let out to building within one month of the others, I should be given a preferential specified date or fails to complete right to have it myself. the work in a reasonable time etc., Then I come straightway to clause etc.” 43—we are not concerned with the The Controller should .be empower­ other clauses dealing with hotels etc. ed to fix the “reasonable time.” The The duty is cast upon the landlord term “reasonable time” is vague. If and every landlord shall be bound to hon. Members so choose, they can also keep the premises in good and tenan- have discretion to the Controller to table repairs. This is the intention of enhance the reasonable time. But the Act that the landlord should keep some time should be fixed. Otherwise the premises in tenantable repair, the tenant can be got rid of on this because the property is his which is ground. All landlords feel that once benefited and the tenant should not be a tenant is ejected he would take burdened with this. But the excep­ shelter somewhere else and there is tion attached to it is such that it will no chance of his coming back to his undo the very purpose of this clause. house. So, a decree should not be The exception is as follows: “except granted; he should just be asked to in cases where the tenant has under­ have alternative accommodation for taken by agreement to keep the premises in repairs”. You will also supply or gets it withheld through appreciate that no landlord will be some other person and it is proved there who will not make this agree­ that he has got it done, then he should ment. At the time of the tenancy be penalised. This is for the court. If every tenant will be compelled and I prove it then he will be penalised; \ he will give in writing that he will if I do not prove it then he will go. repair it, and the benefit that the In many cases it happens that he does legislation intends to give hhn will not pay the electric charges to the not be there. My submission is that Electricity people. So that should be this exception should go and it should kept in mind. Our submission is that just remain: “Every landlord shall the tenants will be unable to get the be bound to keep the premises in good benefit of this provision, because if and tenantable repairs”, because my electricity is withheld, I am a poor otherwise there will be no purpc&e of man, I shall have to go and file a this clause, and the landlord will complaint in the court of law. Firstly, charge for the repairs and the tenant in order to get the landlord punished will have to pay. Even if there is an under the previous section 44 and the agreement between me and the land­ present clause 47 I have to go to a lord that I will keep it in tenantable criminal court of law and file a com­ condition, I will not be legally made plaint. That would at least cost me to repair it. So this is a redundant Rs. 50. No tenant can easily pay it. exception and it should be deleted in No. 2 is, at the same time my electri­ the best interests of the relationship city is cut and I have to go to a civil between the landlord and the tenant court for an injunction to get the and in the best interests of the upkeep restoration of electricity. This means of the property in fit and tenantable at least another Rs. 50. In fact most condition. of the tenants suffer and they remain without water or electricity in spite Then there is clause 44. Sub-clause of all these provisions. So some pro­ (1) says: vision should be made like this. If it “No landlord either himself or is agreed that this cutting of electri­ through any person purporting to city and water or withholding essen­ act on his behalf shall without tial supplies is a very heinous offence, just or sufficient cause cut off or it should be made a cognizable offence; withhold any essential supply or I should make a complaint to the service enjoyed by the tenant in police people and if they find it is respect of the premises let to him.” true they will chalaan the man and I will be saved from botheration, and if This is good, but there is another he is guilty he will be punished. There method which some people adopt. are many offences which are cogniz­ What they do is this. They do not able offences. This should also be pay the electric and water charges, made a cognizable offence. There are and the Municipal Committee comes two kinds of offences. One is a cogni­ and disconnects the water and the zable offence. Cognizable means that Electricity Board people come and the police can take notice of it and ... disconnect the electricity. And the tenant is without water and electri­ Mr. Chairman: You may assume city, and no proceedings can be taken that hon. Members know it. against the landlord. And then, Shri Lai Chand Vatsa: I am sorry suppose there are five tenants. Four Sir, I thought I should explain __ tenants pay and one man does not pay. The whole electricity is gone. Shri V. P. Nayar: Thank you for He gets it done by the Municipal teaching us! Committee or by the Electricity Board Shri Lai Chand Vatsa: One thing and no action can be taken against more. If a man has to go to the him. Our submission is this. The Rent Controller for restoration of principle is there: if he cuts the electricity, at least one thing can be 12 [Shri Lai Chand Vatsa] according to you, include deprecia­ easily done, namely that criminal tion etc.? punishment may also be awarded by Shri Lai Chand Vatsa: That is the Rent Controller. Otherwise there the gross return. The net return will be two series: I will have to go under the 1952 Act was 7£ per cent. to the Rent Controller and prove that my electricity has been withheld, Mr. Chairman: Then that is not and I have to go to the criminal court the return, but total charges. to get that man punished. The other point here is that there may be two Shri Lai Chand Vatsa: Now house judgments of two different courts, tax and property tax are being in­ one saying that there is an offence troduced. Th$y must fall on the and the other saying that there is no people who own the property. offence. There may be two differ­ (Otherwise, even the death duty will ent versions of judgments on the bp passed cm to the tenants. same matter. So my submission Shri N. R. Ghosh: From ^our is that the Rent Controller may evidence it appears that you want be given the powers and if he come? that a tenant should have absolutely to the conclusion that the landlord unhampered right of sub-letting. has withheld the supply, now his power is that he can impose a pen* 8hrt 1*1 Chand Vatsa: My sub­ alty of Us. 50; my submission is that mission is that the permission in he should send him to the jail also. writing should not be there because Civil Courts have powers to send otherwise this provision will he mis­ people to the jail. So that point may used. be considered in the best way that hon. Members consider fit. Shri N. R. Ghosh: We will npxjr consider the other side of the ques­ This is what we have to submit, tion. Suppose you actually sub-let and I am very thankful for this without any consent and you put up opportunity that has teen afforded the plea that you have got ths con­ to us to appear before the Commit­ sent and try t 6 prove it by oral evi­ tee. dence? Mr. Chairman: Thank you. Any question. Shri Lai Chand Vatsa: If I am Some Members: We want to ask able to prove it, then it is my right a few questions. to remain there. If I am not able to prove it, I will go. Mr. Chairman: You may now answer the questions that will be Shri N. R. Ghosh: What is your put to you by Members. You are objection to having it in writing? free not to answer if you do not feel like answering. Mr. Chairman: I think he has Shri N. R. Ghosh: What do you given certain reasons. think would be a fair return on the investment? If a landlord invests Shri N. R. Ghosh: Do you think money in construction, what in your that actually there will be some opinion should be a fair net return difficulty on the part of the tenant on it? to prove valid tender because in some cases the landlords take up the atti­ Shri Lai Chand Vatsa: We have tude that it was never validly ten­ mentioned it—6J per cent. dered, when deposit is made, in spite Shri Lai Chand Vatsa: Then it of the fact that the money was should be cost of construction and actually tendered? Do you think cost of land. that it would be bettor if you are Mr. Chairman: This 6J per cent, allowed to pay the money by money return on the capital, does it, order? 13 Shri Lai Chand Vatsa: What ac­ Shri Lai Chand Vatsa: We have tually happens is that when we remit submitted that the cost of construc­ it by money order a report comes tion will mean the cost of construc­ “left without address” or “out of tion and the cost of land. station”. Then there is no “refusal”. He will say: “I was not there, so the Choudhry Brahm Perkash: At money order was returned”. what rate will the cost of land be fixed? Shri N. R. Ghosh: Under the law the onus of valid tender is on you. Shri Lai Chand Vatsa: The cost Don’t you think that it would be a at which he obtained it. better thing for you if the law pro­ Choudhry Brahm Perkash: That vides that sending the money by must have been some 50 or i00 years money order to the proper address ago. Today the market price is much would be considered valid tender? more. Shri Lai Chand Vatsa: If it is Shri Lai Chand Vatsa: He must provided, we will welcome it. get what he has spent. Choudhry Brahm Perkash: I pre­ Dr. Raj Bahadur Gour; The memo­ sume that you agree that by the re­ randum says “whichever is lesw'V construction of the house and also by the repairs that you consider Mr. Chairman: Are you arguing necessary tfte capital investment will or giving a reply! increase, therefore, do you think Shrimati Sucbft* Kripalani: First that the tenants will be able to pay of all, you are representing the that high ^ept which viii be fix^d Central Tenants9 Association. But because of the higher investment? what you have stated goes much be­ Shri Lai Chajid Vatsa: We will yond the ittemorandum that you have not be able to j>ay. In such cases, I submitted. Npw are you going to have already submitted, clause (g) give us a supplementary memoran­ will apply. Of course, there is diffi­ dum? culty in re-building. But, at the Shri Lai Chand Vatsa; We will same time, if the buildings are in give a supplementary memorandum. very bad conditions, they are to be repaired. Shrimati Sucheta Kripalani: On Choudhry Brahm Perkash: They page 10 of the Bill you have stated are in a very bad condition. But if that the proviso to clause ( 2) should they are to be repaired, the rent will be omitted. Then, do you presume also include the cost of repairs. So, that if the tenant defaults again and when that provision is there, the again the landlord should go to the reconstruction will be on the market court every time? value of the land, which has increas­ ed very much. Shri Lai Chand Vatsa: There is another option. If the landlord suffers Shri Lai Chand Vatsa: He should some loss, the tenant who neglects get a return on what he invested and it may be burdened with it; but he not on what is the cost now. We should not be turned out. He may should, in fixing the standard rent, be a drunkard or a bad man. But take into account only the cost of because of this action, his wife and construction and cost of the land. children will suffer. Choudhry Brahm Perkash: The Shrimati Sucheta Kripalani: We presumption is there that the capital are very anxious to protect the right cost of the new house will be cal­ of the tenant. But there are certain culated on the market price of the tenants who deliberately indulge in land. such things. 14 S hri Lai Chand Vatsa: They to the time within which he can ob­ should be burdened with compensa­ ject to the sub-letting. It can be tory cost. even after ten years. But suppose it is provided that the landlord can Shrimati Sucheta Kripalani: Do object to the sub-letting within one you think that is adequate? year and if he has not objected for one year it can be taken for granted Shri Lai Chand Vatsa: Yes. The that the permission is there, will it proviso says that if he makes default satisfy you? for the second time, he should be ejected. That should not be there. Shri Lai Chand Vatsa: If permission He should only be burdened with is oral, it will be automatically pre­ some extra cost sumed. Shri Onkar Nath: About default Shri Onkar Nath: At least there in the Bombay Act it is clearly pro­ should be some time-limit—not one vided that if it recurs within a par­ month only. ticular time then the tenant will Shri Lai Chand Vatsa: I havg put have no remedy. That provision is the burden on the tenant; he has to there to protect the landlords. We prove that the consent is there. can fix a period of two years or so. I think that will serve the purpose. Shri Radha Raman: You have said that the provision here should be taken Shri Lai Chand Vatsa: Ejectment away and you have also suggested that should not be ^here. if the idea is to encourage new build­ ing construction, there may be an extra Shri Onkar Nath: If he repeats three per cent or even 6J per cent. the default within a certain period, Do you think that it yrill enable th e say, within two years, then there landlord or a person who wants to must be some penalty. construct a new building to go on with that and will be an encouragement? M r. Chairman: Why do you bring in In many cases, you may be knowing, the provision in the Bombay Act? the amount is taken on interest from It is much more complicated. some companies or banks and the inte­ Shri Lai Chand Vatsa: If a man rest charges are 9 to 12 per cent. In defaults he must be burdened with spite of this will the three per cent be extra cost; but he should not be a suitable encouragement to persons ejected. who want to build new houses? Shri Lai Chand Vatsa: Let it b.e four Shri Onkar Nath: Suppose he re­ or even five per cent. But it is better peats it within six months? Should not to keep it unlimited. What the it be treated in the same way as it Committee thinks to be a reasonable happens after ten years? amount for encouragement may be kept but it should be limited. Shri Lai Chand Vatsa: Some pun­ ishment can be imposed on him, but Shri Radha Raman: Could we take not eviction. That will satisfy the it that it would be a reasonable ceil­ landlords also. ing? Mr. Chairman: I think he has Shri Lai Chand Vatsa: Yes. But given his answer. there should not be favour shown to those buildings which have already Shri Lai Chand Vatsa: Ejectment been constructed before the commence­ should not be ^ there. ment of this Act. Slhri Onkar Nath: About sub­ Choudhry Brahm Perkash: This letting, if it is without the permis­ extra concession of 3 o r 4 per cent sion, according to the present Bill should be for a limited period or for and the last Act, there is no limit ever? 15 S hri Lai Chand Vatsa: It is for a 5hri Lai Chand Vatsa: The right for­ lim ited period. feited is this: making application before the Controller. I can take up that p le a C h o u d h r y Brahm P e c k a s h : 'Will it in defence. be in the paying capacity of the tenant? Shri Subiman Ghose: You say that the purchaser should not be given the Shri Lai Chand Vatsa: Naturally. right of eviction. Do you mean to The new tenants who will have these say that it will be a comprehensive houses will have to pay; it will be one and even if the tenant misuses the within their paying capacity; they will house, the purchaser cannot evict :pay a limited amount instead of an him. " unlimited amount. Shri Lai Chand Vatsa: On the ground S h r i C. K . N a i r : There were some of non-payment of rent alone—not on special concessions given to companies other grounds. and corporate bodies like the local ^authorities. Dr. Raj Bahadur Gour: You have Shri Lai Chand Vatsa: If the local said that it must include the Munici­ authority is in a better position and if pality of South Delhi, Notified Area of )it wants to give concession to its Mehrauli, Notified area of Narela and ^employees, let it construct buildings. the Notified Area of Najafgarh within the scope of this Bill. Will the term Shri Subiman Ghose: Should there ‘area under Delhi Municipal Corpora­ .not be a time-limit for the standard tion except the areas under the Rural jrent? Will an offence remain an Area Committee’ cover the entire area offence for all times to come? I would you suggest? .give you an instance. Take the Sarada Act. A minor is married and it is Shri Lai Chand Vatsa: That will be an offence. It remains an offence for good. I am not very much aware of ♦one year. After that you cannot the areas covered by that definition. charge him because it ceases to be an The urban areas should be covered; 'offence. A small house-owner frames that is my point. his budget on this rent. Do you mean Dr. Raj Bahadur Gour: You were ?to say that this Democled’ Sword c ft saying that *written* permission should Hmitless time should be hanging upon not be there. But section 13(b) of the him for all times?- old Act makes it obligatory on you that Shri Lai Chand Vatsa: Section 1ft any sub-tenancy after the commence­ says that if there is a suit for ejection ment of that Act must be with the

S hri Lai Chand Vatsa: There are six and a half per cent, , it would ber many with the permission. It is pri­ reasonable. marily a question of proof. If it is Sardar Iqbal Singh: How much w ilt proved, then, what is the objection? be paid for house rent? If it is proved, then, there won’t be any difficulty. Shri Baldev Sharma: 10% is t h e house rent and that is fixed. You have- Dr. Raj Bahadur Gour: Are you got the profession tax and other taxes* satisfied with sub-clauses (a> and (b) If a particular industry is allowed to* that the arrears should be paid within get much more interest or return on, one month from the date on which a the property, it will affect other indus- notice of demand for the arrears of ries also. We should not give a long rent has been served on the tenant? rope regarding this housing industry because that will affect other indust­ Shri Lai Chand Vatsa: I was talking ries also. I don’t know whether I have about section 15. Rent will be fixed by clearly stated my point of view. the Controller. Mr. Chairman: You have stated Shri V. P. Nayar: Do you consider your point of view. that one-month period is sufficient to D r . W. S. Barlingay: Government protect the interest of the tenant as must give the house owners sufficient against the landlord? incentive to build houses. Shri Lai Chand Vatsa: I know I Shri Lai Chand Vatsa: That is being must pay the rent. I am satisfied. given. They could charge unlimited rent for fdur years . . . Dr. Raj Bahadur Gour: Suppose the tenant pays the amount to the Control­ D r . W. S. Barlingay: With reference to sections 43 and 44, will it not be ler himself by money order. Is it not better if there is direct relationship* all right? between the tenant and the body which Shri Lai Chand Vatsa: There are supplies electricity? certain circumstances where he cannot Shri Lai Chand Vatsa: Yes. pay. I was pointing out about that. M r. Chairman: There is a provision! I understand that he will be penalised that the tenant himself may have for not sending the money. If he is direct connection. . . . (Interruptions)* unable to pay, he should be penalised Not here, but somewhere else. by way of cost and not by way of ejectment. D r . W. S. Barlingay: Under Section 43, would it not be better if the res­ Dr. Raj Bahadur Gour: How have ponsibility for carrying out the repairs, you arrived at the 6J per cent is placed squarely on the tenant figure? rather than on the landlord? Shri Baldev Sharma: It is the res­ Shri Baldev Sharma: If anyone ponsibility of the owner to carry out deposits money in a bank he will not the repairs. get more than three or three and a half per cent as interest. When the Shri Subiman Ghose: Under the Government gives loans for construc­ Transfer of Property Act, no obliga­ tion of houses, the rate of interest tion could be plfctced upon the tenant charged is not more than four or four so far as repairs ane concerned. and a half per cent. If Government Shri Baldev Sharma: Every tenant invests money in the housing industry is of course entitled to spend s o m e at this particular rate of four and a amount on repair. He can spend o n e half per cent, there is no objection if month’s rent on repair. the other party charges six and a half Shri Kalika Singh: On page 6 of per cent to pay for the taxes and other your memorandum you say that “the things. On that basis we have worked1 ground of bonafldfc requirements of out the figure. If the rate is fixed at the landlord has been most exploite#* 17 by the owners. Fictitious and bogus Shri Lai Chand Vatsa: We find that transfers have been made simply to in innumerable cases it can be proved eject the tenants. This provision has by the sub-lettees. been most unjust”. Would it not meet Shri V. P. Nayar: Sub-letting with your requirement if a provision is consent you want to prove against the made in this Bill that before a suit is landlord without anything in writing. filed on this ground, the permission of Don’t you think it will lead to diffi­ the Rent Controller should be obtain­ culties? ed? And it will be for the Rent Con­ Shri Lai Chand Vatsa: It is for the troller or some other authority to tenant to prove. If he does not he examine all the points and see whe­ goes. What I prove is this: that the ther permission should be given or landlord has been coming to . the not. premises every month, getting rent Shri Lai Chand Vatsa: Then we from Lalchand instead of from Brij shall have to give certain angles and Mohan in whose name the receipts are he should weigh the question from issued. If I prove that for one year I such and such an angle. That you can have been signing the counterfoils and provide here. I have been paying the rent by cheque Shri Parulekar: In regard to the sub­ that will be proved. If I prove that clause which deals with the right of Brij Mohan never took the premises the landlord to increase rent when on rent and it was I who occupied on the premises have been sub-let, it is the 1st day of letting and I have been said that the rent can be increased by occupying it for there or four years, 25 per cent. What do you think will be it will be proved. If I prove that I the effect of this provision? What is and Brij Mohan have been living from your attitude towards it? the 1st day of the commencement of the tenancy it will be proved. Shri Lai Chand Vatsa: Our submis­ Shri V. P. Nayar: That proves every­ sion is that then he will regularise the thing except consent of the landlord. sub-tenancy. The consent will be there. Let me put it as a practical difficulty. Shri Parulekar: It will create bogus You and Brij Mohan live together and tenants and the sub-tenants will be if you go on paying the rent even required to pay much more than the without the knowledge of the owner, standard rent prescribed. how do you prove it against the owner? I want to safeguard the interest of Shri Lai Chand Vatsa: I have got the tenant. As a lawyer I find it large accommotation in which another extremely difficult to prove the con­ tenant can be accommodated. It will sent of somebody without anything in give impetus to the landlord also. writing. Shri Parulekar: Both the tenant Shri Lai Chand Vatsa: The difficulty and the landlord will be making of the landlord also is there. All profit. right it may be removed; I accept it. Shri Lai Chand Vatsa: If I sub-let Shri V. P. Nayar: The second point it to the tenant it is my responsibility on which I would like to get a clarifi­ to pay the entire rent to the landlord. cation is this. You said something The difficulties which will arise in about exemptions. Would you be satis­ recovering the rent from the sub­ fied if exemptions are given only in tenant are mine. If the man runs so far as rent is concerned. away I have to pay the whole rent. Shri Lai Chand Vatsa: Now this On account of that consideration I difficulty was realised. Previously may be getting one or two rupees they were exampt from the operations more. of all the provisions of the Act. Now Shri V. P. Nayar: When you said that exemption is only for charging that consent should be proved even rent. My point is that exemption when it is not in writing, don’t you should not be given to building cons­ think it will create difficulties? tructed after June 1955. This unli­ i8 mited charging of rent should not be Mr. Chairman: Well, have you any allowed; ceilings should be fixed? idea as to the number of houses that Shri V. P. Nayar: You were refer­ have been tenanted in Delhi? ring to frivolous complaints being Shri Lai Chand Vatsa: No. made a n d the penalty for it. Suppos­ M r. Chairman: Have you any idea ing similar frivolous pleas are m a d e of tile number of tenants we have? by landlords what would you suggest for it? Shri Baldev Sharma: 80 per cent o f the population of Delhi consists o f Shri Lai Chand Vatsa: There should tenants. be similar provisions for them also. M r. Chairman: I am asking of the Shri V. P. Nayar: In regard to sub­ number. clause (2) of clause 14, owing to a Shri Baldev Sharma: We have not variety of reasons one month’s notice calculated it would be completely inadequate for Mr. Chairman: And the number of the payment not merely of the cur­ ejection suits that are filed yearly? rent rent but also of the dues. What would you suggest the period to be? Shri Lai Chand Vatsa: We know For example, a government servant that the litigation in Delhi courts is who has not received his last pay 70 — 80 per cent for ejections. The certificate will get his pay three landlords have said that. W e do not months hence. know whether it is correct. M r. Chairman: One of the ejections, Shri Lai Chand Vatsa: We will what proportion do you think is on be very happy if it is increased. If he does not pay within one the ground of the needs of the pro­ prietor? month then he shall have to pay within the time given by the Shri Lai Chand Vatsa: About 50 Rent Controller. If I don’t pay with­ per cent of the cases are on this in one month what happens is that the ground. In Delhi we find this ground court gives me another date keeping is the only ground which will prove. in view my difficulties. Mr. Chairman: And what propor­ Shri V. P. Nayar: Why don’t you tion on account of sub-letting? suggest the period within which, a Shri Lai Chand Vatsa: Then comes reasonable period within which, all sub-letting. That comes to 20— 25 dues should be paid. There are per cent. obvious difficulties in the payment of M r. Chairman: And non-payment of dues within a month. rent? Shri Lai Chand Vatsa: It may be Shri Lai Chand Vatsa: That also made six months and should also be comes to, say, 10 per cent. made payable in instalments. M r. Chairman: Suppose 50 per cent Dr. Raj Bahadur Goar: In your or more of the suits were for non­ memorandum (page 7 last para) you payment of rent and only 16 or 15 have made a suggestion for renting per cent for sub-letting and 15 or 16 out premises through the Controller. per cent for the needs of the pro­ Do you mean to say that by that the prietor. Suppose these were the pugree system and also the exorbi­ facts. Would they have any bearing tant rent charged will be done away on your proposals? Because you with? have made them on the assumption that only 10 per cent of the suits are Shri Lai Chand Vatsa: Moreover on account of non-payment of rent, there will not be an impetus to the and the number of suits that are landlord to get the tenants changed— filed for ejection on the ground that when he knows he is not the final the houseowner needs the premises authority to let it out. for himself is enormous, that is it 19 iqrms a very high proportion. Sup­ Shri Lai Chand V a ts a : It goes more pose the reverse were the case. How than 15 per cent „ does it affect your argument? Mr. Chairman: So for the houses Shri Lai Chand Vatsa: My humble tha£ have been built between 1955 submission is that section 13(5) of and now the rent would come to about the Act was very technical. There a 15 per cent. - power is given to the court to order the tenant to deposit, month by Shri Lai Chand Vatsa: It varies month, the rent by the 15th of the between 15 and 25 per cent. next month. Sometimes, unfortunate­ ly, when one forgets and deposits it Mr. Chairman: Very well, it is bet­ on the 16th, his defence was struck ween 15 and 25 per cent. out. Similarly, if a technical delay was caused ...... Shri Baldev Sharma: It is much more than that. Mr. Chairman: I am speaking to you about suits for ejectment on the Mr. Chairman: What is your opi­ ground of non-payment of rent. nion? Shri Lai Chand Vatsa: What I am saying is that was caused not because Shri Baldev Sharma: In Jorbagh of any incapacity or unwillingness on Nursery area there is one particular his part. house. Mr. Chairman: I am concerned only Mr. Chairman: From one house we with the number. Anyway you have cannot generalise. no idea about these things. Shri Lai Chand Vatsa: When we say Have you any idea as to the rent it is varying, after all those cases that a tenant has to pay for a new also are to be taken into acount. It house to-day? goes more than 15 per cent; to about Shri Lai Chand Vatsa: Yes, Sir. 25 per cent.

Mr. Chairman: What would be the Mr. Chairman: Your colleague does percentage on the investment? Sup­ not seem to agree. pose there was no control. Shri Baldev Sharma: I have work­ Shri Lai Chand Vatsa: Now the ed out. There is a house on which rent is charged at Rs. 30 for one the rent is Rs. 3,000. The investment room. is not more than Rs. 1 lakh. That particualr person who is charging Mr. Chairman: Whatever it be, I Rs. 3,000 will recover the whole in­ am asking for the percentage of the vestment within three years. rent to the investment. Shri Lai Chand Vatsa: It goes more Mr. Chairman: That means in thfrt than 15 per cent. particular case it comes to about 30 Mr. Chairman: Suppose he has in­ per cent. But the minimum is 15 per cent. vested Rs. 100. Shri Lai Chand Vatsa: He will get Shri Lai Chand Vatsa: 15 to 25 Rs. 15. per cent. Shri Baldev Sharma: I want to cite an example. Mr. Chairman: Suppose it is an old house which is of the same type. Mr. Chairman: I do not want any Then you would say that the man example. should not get more than 6J per cent? 20 Shri Lai Chand Vatsa: We say that Shri Brij Mohan: Yes. the man who is getting 15 or 25 per Mr. Chairman: They have. Then cent should not be allowed to get it. how to solve the problem if you do not make some arrangement? After Mr. Chairman: That is all right. all, houses cannot be built without That I understand. But suppose it money, and when you say that Gov­ was left to the laws of supply and ernment 6hould do this it should be demand and things like that. Then borne in mind that whatever Gov­ the man who owns an old house ernment spends is collected from the would have to get almost a similar people so that it is the community amount. The present tenant occupy­ that has to pay ...... ing it has the benefit by paying only 0J per cent against the 20 or 25 per Shri Brij Mohan: That is true. cent in the other case. Is it not so? Mr. Chairman: ___ for the advant­ age that you give to any particular Shri Lai Chand Vatsa: I understand. section in any particular place. Gov­ ernment does not mint money out of Mr. Chairman: And you agree. In nothing. So you have to bear that the circumstances, is there any argu­ in mind. ment justifying the statement that the existing rate that has been fixed Shri Lai Chand Vatsa: We have at 74 per cent should be further accepted the principle of encourage­ reduced to 6J per cent? ment. We have submitted that it should be by way of 3 or 4 per cent But it should not be that it can go Shri Lai Chand Vatsa: I humbly to 25 or 30 per cent. submit that people go and agree to pay this much rent. Otherwise they Mr. Chairman: Well, do you have leave the house and go away. occasion to repair the houses, or have you had any houses repaired under Mr. Chairman: You are not very your supervision? serious about it. Shri Lai Chand Vatsa: The land­ Shri Lai Chand Vitsa: We are very lords do it. serious, Sir. Mr. Chairman: Have you any ex­ Mr. Chairman: This is only a perience of it? counterblast to the proposal for an increase of rent by 10 per cent, is it Shri Baldev Sharma: We are all not so? Well, now, I would like you tenants. to tell me how many people are there in Delhi who would like to have Mr. Chairman: Suppose the cost of some sort of shelter for themselves repairs in 1953 or 1954 came to and will be prepared to pay a reason­ Bs. 100. Have you any idea as to able rent. I think about a lakh or what would be the amount required two. today for similar repairs?

Shri Brij Mohan: I think more Shri Lai Chand Vatsa: It may be than that. three or four times.

Mr. Chairman: Well, then, those Mr. Chairman: So, instead of Rs. people who occupy these houses as 100, the cost of repairs will be Rs. tenants have a considerable preferen­ 400. It will be about 3 or 4 times. If tial advantage as compared to the we do not give to the proprietors position of these men. money enough to repair the house and 21 er cent by way of house how, the tenant runs away or the :tax in place of 10 per cent. Suppose house is vacated or he, unfortunately, it is raised to 20 per cent, should the dies, and there is no heir, if the ihouse owner pay it out of his 61 per house is given vacant possession, what •cent? value would it fetch? I think it would be no less than Rs. 10,000. That Shri Lai Chand Vatsa: Yes. It is a shows that the tenant is having the ttax on the house. benefit of more than the value of the house. M r. Chairman: So, whatever addi­ ction is made in house tax should be Shri Lai Chand Vatsa: It is we who Irane by the landlords. Suppose it have made the value of the houses go exceeds 6£ per cent? up.

*hri Lai Chand Vatsa: Government M r. Chairman: It is society which .■should not do it, because the land­ has contributed largely to the present lords cannot pay it *tate of things. Then, ultimately, it is in the best interests of the coustry M r. Chairman: But it is the Cor­ not to have any conflict between th e poration which imposes it. landlords and the tenants. I think w e can adjourn now. Shri Lai Chand Vatsa: They afhould T>e asked not to do it (The witnesses then withdrew) M r. Chairman: If the Corporation (The Joint Committee then adjourned (has not enough money Ao provide the and reassembled after lunch) n . D e l h i P r a d e s h K ir a y a d a r F ed er­ ft? aft w r ^frmsi #,* w t *t f a t i o n , D e l h i. art *rcr % i'i m f t w i ^ n t ^>t ^TT^TcT ^ ^ snjf ^ fv •Tft Svd?t f% fvXPTSTT W R ^TFT ^>f f f% *Tf f^W Wfld % y i^fl 3it^ ?rtr % f^Rft ^ : ^ t - ftPT ^TT ^ I *Tf eft ’JclT- ?TT^K ? | f?*n> ^T^ti snq1 w t 5ftcR^tfcnri ^ T M % ^ to ^ 5TTW TTRT ^Tf^t ft * ft I Psw ^ t it ^ 1 qf fcn K£l«tr 5HTT* ijqf : 5ft W I fV f5RT TO fz TgPTX ^ ^t ^ ^1 i^ci 1 j^ fv 5^T ’THT ^t fW 3TR 5ft ■HK*f>d STTW ?HTTlft 5TR felT 3TT*T I «ftr 3fr ^ft to w I OTPt «pi^j f w spfti^r ®rf | % ft^fr 5TR I fJT ^TjRt f f% f3RT ^RT ^1- tl 1 TT 9THTes 3pf^T ^TWt *Pft ft ^l*fd % Pptt srrt, $35 ^ro ^n% qr ^crrf^F tz z i xz f w snt 1 ft Jrff sflr 5ptpt fwfcytf t z *ft ^rnj ?HR snfl^r m YY % q f ^ t it w f ts t f w fsRW ^Stfyqq- tit ?ftaFT ff t ?rt «rrr t^rMfWt % f^rt *t f f W^fjf STTfaST ft I ^ ^ ?nf>t f fr sw r fvrnrr w «jt 1 ^ant^T : iff f^RT ^Md 2f^r ^ft «ft ^ ♦ 't w?T*T?r ft y w t if l^fpJRr* y s tit f w f^TT 3TT^ 1 qtr 3ft 3JR JTT JT^I' I 9RWt 3TR g»i^ft 3ft 3T#T ^t ?ra"?ft ^t*RT «ft ^f ^nrnft 3itt *ftr 5ft 5fm?r srnft swn *p?f : ^rvt l ^ r t 3ftrr 3rtt?fk q r l?Wd< fow ^nq- ¥ R ?*RTT 5TPT % WRT 3ftf5p T'dlfll'l *ift ft^ felT 31X7 I f ?rar 55; *r Hz ^«t fen snq-1 stpt- <^bi ^ tto : ^nr ? o ft ?Jf Tf T I % ^R- f3Rr *PPR i v r x tit tftrcr *tft ^r t t % ^ «ftr 30 ftw 3i7 *?rt srrnr 1 A tr? wr^r ht^tt gf I 1 £ & g f *£«•** je * r * * e - p P 1 ' p i t ! c fc'teto If 6-EL“ tP '•» *,!*■ E & ’*"* , t ^ . l E [ , * D/ 'E■ £ l* E b t ^ f l f i U r * n : * M i l!r ? * 1 I P E >tr iw 'to' ~ ~ £ S~* 6 »I !f 1 £ t \ jf & If £ 1 ? '&■ J? r6 'fcr Jr »■ * g -i * i i ... tro i ! H l i * Iv I & '£ *lr If v

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[«ft *n|T#T srcrn? W ] %PFT f^ ft fiPTT TT HVH wr % 3ft *tvr qrf?rv 5 *f h v t r t arm A wTfm f fv %q*T# ^VT3j%iirg;%fvTTt TT3?TVt ^rvt f??ft7 v t ferT arm 1 ^TT I w ? qf t 1% *HTT fv# 5TW *nrr nm+l c^rs^n't vi># # ^nft .'Ww^ff # ^ «ftr^f wtvI 317# I m *TCT% !T ^ n # if T*BT .VTTOT % VlP«l i^T v t vt^ ??t # # svtttt £, rftrcjf # VT ^ r ^fv ^PT IRRT ^TPT fen t eft ^ft VTtTT 1SltT VT5TT t *ftT «tr >ft T?rr^r f f^Rvt fv ^ ^ ^f » > T W 'TT&TT | # ?*T #ST %HTO VTiklft ft ?TVcft t I ^fv»T *t Jlf^FT * fVPT ^nq- I qt? ^TVT1TOT H+H n mfHV IRT'TtT % 5WT »T^| I ^T%f?RitTT Vf5TTqf|fv ITT *Tft mfaRT VT# # VHRR ft fTV5t f qf# # f^ qf gwfk ^rff# s’k^rfw ^rvffirnqT ^ftfvrmTT fv KTPhV »TVR Vt HVR ^T# VTR Vt*TVR*t#SWVT# VT #VT ft *Tft VTW 5RJTT »TTf%V *f ^ f>ft *ITff# T fVTT^TT # qVR Vt fvrrt qr ## VT ?V ^ Tf t^rfft 37# vt ferr qr 'T ft i #T »T’i n'h fiw*r*nftrarr vtPf^i/tm^t fvnssTT vt vt# vr vtf 39 iftarwTsrTJi tftr * T T f a * vt<$? TT f a ^ S R V t faTWSR V ^ i f t fferr | f?nr ^ o i^r vo?w >npR «fht srR farrcarn!f vt *rt ef»r fa?? # f^rw % HT5T ^ farw *t ?rt 3TTWT | gwr «F*ft f> srripft i Tnrrvr^faHcfl^i ftgn| fa »r^arfam«R^txx* ’FTRT H(^) **Tf fciTT f*TT$ : tit «t?t ^ ^t fiF«rf?r # ^ft ftemftr “If the tenant delivers posses­ sion on or before the date specified ^ fSFTT *R Hen^RT % M+H Tt 'dtl faTHT- in the order, the landlord shall, 11 iTTf^ ?HR T^ft? ’T % ^VR faTTT^TT % "mr faenft 3ntf cf\T ?t *T f> fa «Tf# 5PTT 33% TNT ?> ^ r spnrf r^ft ^ft »r| eft it? f a r t s 7 T n eft m f t fc n f vftx ftfs rfsO T ^t?r ^fa ft sfwfl T ( O iTf feTT JOT I fa ^ ? : Special provision for *hr ^<^Ti farrr ?r vt farraT K4)3SH ^T5T ^ft f f «ft qr farrT^R yt t?^?r 'FT'T * vm nr inf^r^ ytcn?sl’^pPT5fjcrft'd«rfm ft ^TTcfT I !ftr 3TC *T I15ft T O ^t ^R^RcT ifVr^f ^fr^fift ft qTTt i cftf*T^rrf# y r r y ^nTrfaTrTT<4t^ r«T ffirr fan- ^ i famn fTTT# * snmrT ?nfaft ffaT 5^ ^ »t?fh vt ?3TF5Rr ^t^r^rgr *ftr SHTC *T^H ^rri^F 3^TVt JTff * ft i ^THTaT I Tf faTTT^K Vt JTf ^rfsr^PTT ftTT fa STf St *Tft* y fan-' Tt fafjTT^ jftfft^ftT Vt? # ^ ^3T T^-tr Vt *ynT V t fTTft 1 qr f^T^t $frre yr qf | *flT JTVPT Vt fTSTeT 3TTR ft *t$ f *flT jftr«Rnr Hft fwcTT 1 r ^ r q f»r farrTXR 3ff*t W^TcT V f ^ T O ^Tf t f fa f«nr#r y ^rm f fan^ irrfsr* yt vfen t =rt *nfay ?Rt yt 5ftr*RFT f?JH srrq- 1 3€?ft eyr st swr* tfcrrfc fa 3* ^!ftjtTO5ft ^jtJTffVTT^TIT’TJftfa % JTOTT wrfw % t ft <5^1 f'T+T^T'TT =^7f3T f I $3t fHtf f?5M 3TR «PT 7Tft3TfT | fa K<> $qt 5R? 4 »jfa*ti5st *flr yrcqfow ^ qf yj^ft^nT favTRT 3TT ^PcfT ^ I ^fa^T srfafirc ft*T fa ^f t o HrPny ^T'#5H yt wrfwy qr^Tf *i^lf yt ^5t?t y r ^ fa fsrcnTT ^ft «wf yr# I A eft qf t<3\T t fa W flTTJft i v tft ft *f *fk wf *mvr mfgpp 3TH %■ f*wt *TT>T fqT qiHRT ft frf?M ^ i ?r«ft w»t5T ft ^ppm I I ?nR v * * ’If Sn#5FT ^ i ^nr r ji nvnft ^t gi^d faqT 3fTq fa «m^5T’T ^ ?ff»T 3i

* T^T tfr ?RT ^Tmt 3. Shri L. Jagdish Parshad | i 4. Shri R. L. Verma. (Witnesses were called in and they i j * ’aft^r s fk %ri vxft 5 i «rrsr *p?t took their seats) IT? | fa *TCI*m SFT JT? $**T ?>5IT | fa Mr. Chairman: If some of the wit­ * *ptc t 1 Shri L. Jagdish Parshad: House ipr ^rff f fa srnf^r Owners’ Association, Delhi and New Delhi. Although our name is Delhi «PT fipTT 3TPT f a *? T p l^ f 5 n # I and New Delhi Association, we mostly come from New Delhi. ’jsfftjnsr *rr$,

III. H o u s e O w n e r s' A s s o c ia t io n, the Official Gazette appoint.*’ D e l h i a n d N e w D e l h i No time has been given. We Spokesmen: suggest that after the word ‘appoint’, the following words may be added: 1. Shri Sobha Singh “and shall remain in force for 2. Shri R. S. L. Girdharilalji Seth 3 years”. 32 [Shri L. Jagdish Parshad] Gov ernment is a very big landlord The object is, in all the measures, now. What is reasonable for one such a provision is there. A defi­ should be equally reasonable for ano­ nite time duration is given. No ther. Our suggestion is that it should duration has been provided here. It be deleted so that we may stand to­ is suggested that it may be kept for gether as we are all landlords. three years. Then, you may review Another suggestion is that a new after three years and do what you para (c) may be added which pro­ think best. vides for poor landlords. Although Our next suggestion is this. On the term landlord is there, a poor man does not come in anywhere. We page 2, after line 31, a new defini­ tion may be added. suggest that para (c) may be added: Dr. Raj Bahadur Gour: As the “(c) to any tenancy, the rental memorandum has been circulated, will value whereof is not more than it hot be better if the salient features Rs. 600 per annum and the owner are explained so that we can take thereof owns only one house, the them up. part of which he has so let”. Shri L. Jagdish Parshad: It will not In the city there are so many houses take much time. It will take hardly in which a portion has been let for an hour. We have made a few sug­ Rs. 20 or 15. They are not to be gestions. called landlords. They deserve spe­ cial consideration. Mr. Chairman: I think, so far as minor matters go, you may rely on Mr. Chairman: What is the sugges­ your memo. On matters of import­ tion? ance, according to you, you may say. Shri L. Jagdish Parshad: The sugges­ Shri L. Jagdish Parshad: I will try tion is that this Act should not apply to rush through. to any tenancy the rental value whereof is not more than Rs. 600 per Mr. Chairman: Please rush through. annum, that is Rs. 50 a month—You may reduce it—and the owner whereof Shri L. Jagdish Parshad: On page 2, owns only one house, part of which after line 31, I say that another defi­ has been so let. nition may be added. There is a defi­ nition of landlord; there is a defini­ Mr. Chairman: He may charge any tion of tenant. There is no definition rent. of sub-tenant. It may be said: Shri L. Jagdish Parshad: After all, 4 “Sub-tenant” means anybody the supply and demand is there. other than the tenant, occupying the whole or any part of the pre­ Mr. Chairman: So far as this sug­ mises for a period of more than gestion goes __ three months.’ Shri L. Jagdish Parshad: It means This is what we suggest. You may that viewed from the rent point amend suitably. This is our defi­ of view, they may be exempted nition. from eviction. Any rent does not mean that he may charge Rs. 50|. Then we come to clause 3. Our The suggestion is that something first suggestion is this: that paras (a) should be done for the small houses. and (b) should be deleted, which pro­ It may be like this or something vide that this Act shall not apply to similar. Government premises or premises re­ Then, we come to page 3. In clause quisitioned by the Government. Our 5, after line 25, in sub-clause (b),.. suggestion is that since this is an Act which is meant for all tenancies, Gov­ Mr. Chairman: You need not refer ernment should also come under it. to the line number, 33 S hri L. Jagdish Parshad: In sub­ areas, the original rent is not given. clause (b), the words are, “of such The Order of 1939 was a war mea­ premises as rent in advance”. We sure, and almost 20 years have suggest that after the word ‘advance’ passed. That war measure is not the words ‘in lieu of the grant of a there. It is going to be a permanent tenancy’ may be added. Advance measure now. So, this should be rent is prohibited, of course. We say on merits. So many houses have that it should be restricted to some been sold. The previous houses are particular object. The object is in not there. The municipal records lieu of grant of tenancy. are not available; they are burnt after three years. We suggest you Mr. Chairman: What is the par- may take the area in square feet pose? as the basis for standard rent. Shri L. Jagdish Parshad: If it is a If you take cost as the basis, we question of renewal, suppose one has should be allowed at least what we a tenant like a bank and the bank Fourmula No. 1 on our agenda. wants to advance. That is not We want only six per cent not on something obnoxious. There is noth­ the house. The market value of the ing under the table. land and building may be specified Mr. Chairman: Advance or loan? by PWD schedules for different clas­ ses of buildings and the rent may Shri L . Jagdish Parshad: Plain loan; be specified for the different zones, an over-draft is all right. in order to minimise litigation. Then it will be very easy to calculate the M r. Chairman: Anyway, it is a loan. cost of the building, and then the Shri L . Jagdish Parshad: It is true six per cent net, adding thereto the A mortgage may be wrong. same things as are added under the Income-tax Act, viz., items A to 1 M r. Chairman: I do not think there mentioned in our memorandum is any ban about it. under Alternate Formula No. 2. Shri L. Jagdish Parshad: If the M r. Chairman: What will the gross words are not there, it will come into come to? play. It was our point of view. It Shri L . Jagdish Parshad: It is differ­ may be considered. For renewal it may ent for different classes of buildings. not be necessary. A renewal tenant is Some buildings are new, their de­ already in possession. So far as grant preciation is less. For old buildings, of a tenancy is concerned, it should the depreciation is more. We c a n be there. have an average formula. The gross Mr. Chairman: You argee that no will be between 10 and 12 per cent. pugree should be charged? Our third alternative suggestion Shri L. Jagdish Parshad: We are is that in clause 6(a), the year 1944 deadly against that. may be changed to 1947. The first , • i Rent Control Act came in Delhi in We come to clause 6. The crucial 1947. So our going back by three point is about standard rent. We years to 1944 does not give any re­ have got three formulas. One is that lief. Wherever 1944 occurs in the the whole city be divided into six clause, it may be changed to 1947. zones, all the buildings be divided into four classes and then the rent Our next suggestion is that 10 per be fixed per square foot of covered cent may be increased to 25 per or uncovered area for each zone for cent. That would hardly meet the each place. There may be special cost of repairs. It will not give any reduction for old houses and other thing in addition to the landlord, but things, which I have detailed in the at least the cost of repairs and taxa­ formula. This is the first. In certain tion should be met. 34 [Shri L. Jadgish Parshad] Chapter III—Evictions. In clause Whenever eight and one-fourth 14(1) (b) (i) the words used are per cent, occurs, it may be substi­ “let out” This may be changed to tuted by 10 per cent. “so dealt” so as to include all the three categories enumerated earlier, Our next suggestion relates to viz., sub-letting, assignment or other­ clause 12. One year has been allow­ wise parting with the possession. ed. It may be 30 days as is done under the Civil Procedure Code. Shri V. P. Nayar: It should be That period should be sufficient. If ‘so dealt with\ the tenant thinks that the rent is excessive, he can apply for revision. Shri L. Jagdish Parshad: You may One year is a long period to keep add ‘with* also although I have the sword hanging in his hand. written only ‘so dealt*. This altera­ tion should be done in both the M r. Chairman: What is the sword? places in sub-clauses (i) and (ii). Shri L. Jagdish Parshad: He can In sub-clause (c) (i) and (c) (ii) dictate to the landlord saying that the words are “if the premises have he will go to the court. been let”. Here instead of ‘let* the words ‘so used’ may be inserted, be­ Mr. Chairman: Provided the rent is excessive. cause here the question is change of purpose. So both in sub-clause (c) Shri L . Jagdish Parshad: There are (i) and (c) (ii) the word ‘let* may be many things on which there can replaced by the words ‘so used*. reasonably be two points of view. The tenant reasonably thinks that the Then, I come to sub-clause (e) on rent is excessive, and the landlord page 9. Here it is provided “that thinks it is not excessive. the premises let for residential pur­ poses are required bona fide by the Mr. Chairman: Then the landlord landlord for occupation as a resi­ can approach the court. dence**. Here the words ‘a residence* may be deleted because the premises Shri L. Jagdish Parshad: Either may be needed for a garage or for a party can. When the time is reduced, cow-house. In New Delhi, there are it is for both parties. The landlord also should have only one month. so many bungalows with garages and outhouses which are used for the S h r i U. L . P a t i l : From what date? purpose of residence, but they are From the date of tenancy or dispute ? not actually covered within the word ‘residence*. So the word ‘resi­ Shri L . Jagdish Parshad: From the dence* may be deleted. date of dispute. It is already pro­ vided. I only want one year to be Shri V. P. Nayar: You want to changed to one month, because one oust human-beings and use those month has already been provided in premises for cow-houses. all civil appeals, revisions etc., under the Civil Procedure Code. This may Mr. Chairman: What will be the be in uniformity with that. form of this clause after this change? In the proviso to clause 12 we want Shri L. Jagdish Parshad: It will be the following words after “applica­ like this: tion”: “but in no case for more than one year, in any manner or at any “(e) that the premises let for re­ stage of dispute”, so that the posi­ sidential purposes are required bona tion may be clarified. You have fide by the landlord for occupation given him sufficient time. After 12 either for himself----” months he should be precluded from raising the same question again in Only the word Residence* may be court deleted. Then ther6 is the explanation re­ sent form does not give the necessity garding sub-tenancy. Since we have relief. Slums are being created for suggested sub-tenancy to be defined no fault of the landlords but more at the outset, this may be deleted from due to the fault of the occupants. this place. The landlord gives the fiat for one In sub-section (h), there are two family and they then call in their very crucial things. One is that relations and sub-let the premises and after the word ‘tenant’ the words so, naturally, slums are created. So ‘or any member of his family’ may our suggestion is to add the words be added. What happens is that ‘any addition or alteration’ after the people build their own houses in the word ‘damage’ in line 5 on page 10. names of their wives and sons, but One room should not be converted into they do not move into their own two rooms. One shop should not be house and vacate the house in which converted into two shops. they are living because they have not built them in their own names. So, Sardar Sobha Singh: This clause to include such persons the words requires particular attention. In new ‘or any member of his family’ after Delhi the whole land belongs to the word ‘tenant’ in sub-section (h) Government and landlords are being may be added. pressed because tenants are using verandahs as residence. So to avoid Then, in the last line of sub-section that we are suggesting that if any (h), the word ‘residence’ should be tenant has made any addition or replaced by ‘accommodation’. So, alteration to the premises without these are the two suggestions in re­ the previous sanction of the local gard to this sub-section so that body or the Land Development Offi­ people, who have built their own cer or the Government, the landlord houses, should move into their own should not be pressed. If this pro­ houses. vision is made to be a reason for Dr. Raj Bahadur Gour: What ejectment then it will stop over­ difference will it make if ‘residence' crowding and misuse of the build­ is changed into ‘accommodation’? ing. Shri L. Jagdish Parshad: The idea Shri L. Jagdish Parshad: Then we is to make the meaning more exten­ come to sub-section (2) on page 10 sive. It will include outhouses, regarding recovery of possession. In garages etc. I have already submit­ the proviso, in line 23, we suggest that ted that garages and cow-houses after the words ‘three consecutive are only meant to accommodate for months’ the words ‘or three times’ cars and cows etc. dmay be added. There are numerous Then I come to sub-clause (j) on instances of people paying only in page 10. After the words ‘the ten­ the courts and we suggest that the ant has, whether before or after the defaulter need not be given more commencement of this Act, caused than three chances. or permitted to be caused substantial damage’, the words ‘any addition or Shri Onkar Nath: Within what alteration* may be added. The thing period? is that houses were let in the city say twenty years back and accommo­ Shri L. Jagdish Parshad: It may be dation being short rooms are being any period. If a defaulter has been bifurcated or partitioned and flats, given a chance three times then say of five rooms, have been convert­ naturally he should be liable to be ed into five residences. The same ejected. thing is in regard to shops. One shop is accommodating three or four Shri Girdharl Lai: It is for habi­ businesses. So, the clause in the pre­ tual defaulter. S hri L . Jagdish Parshad: We suggest Mr. Chairman: What do you mean that the whole of sub-section (4) may by this? . be deleted because we have already defined sub-tenancy at the beginning Shri L. Jagdish Parshad: If there is and once we have defined it that de­ a sub-tenant with the permission of finition applies to the whole thing. the landlord, he may just become a The definition here is in another tenant, because the landlord has form. At another place it appeared already recognised him. If one is in another form. We feel that there there without the permission of the should be a uniform definition which landlord, then h e . should not be is given at the outset. So, this whole forced on the landlord. Here, it sub-section should be deleted as the gives right to both. definition at the outset is quite suffi­ Mr. Chairman: Yes, it does. cient. Shri L . Jagdish Parshad: Here in the Then we come to sub-section (5) law, providing ‘with permission or on page 11. We suggest that the without permission9 will create an­ words “ and no order for eviction.. other difficulty. When in a law some­ ___ the interests of the landlord/’ thing is provided, then it is with per­ occurring in lines 11 to 14 may be mission; it is an implied function. deleted, because in New Delhi we Why should it be enforced on the have a notice from the Land Deve­ landlord? If it is with the permis­ lopment Officer which is a conclusive sion of the landlord, then the land­ proof of misuse. lord has got no objection. So the words “whether with" should be wfare m«r: far? m delted. '3ft f i Then we go to page 15—Section Shri L. Jagdish Parshad: It is here, 20: but at this place also it is appearing, “Where a landlord does not re­ so there is a misunderstanding when quire the whole or any part of any two things are there opposing each premises for a particular period, other and the court is in doubt as and the landlord, after obtaining the to which way to go. So we suggest permission of the Controller in that the words “and no order for the prescribed manner, lets the eviction. . . . to the interests of the whole of the premises or part landlord.” from this sub-section thereof as a residence for such may be deleted. period as may be agreed.. . .” Then we go to page 13—sub-section Here the word “as a residence” should (3): be deleted. Even a godown can be “Where before the commence­ let for a short period; motor-garage ment of this Act, a tenant has sub­ could also be let for a short period. let the whole of the premises let These words may be deleted to widen to him, whether with, or without the scope. the consent of the landlord ...... ” M r. Chairman: What would be the The words “whether with” should effect of that? ’ be deleted. It is only the sub-tenant who is there without the permission of the landlord will go to the Court. Shri L . Jagdish Parshad: The effect Such tenants should not be forced on would be that if a car-owner has sold the landlord. These words, if they his car, he can let the garage for six are there, would mean that the sub­ months and if he purchases the c a r tenants who are there with the per­ again after some time, he can claim mission and who are there without the garage. the permission will be forced on the landlord. So the words “whether Shri V. P. Nayar: It applies to a ll with'9 should be deleted. classes of landlords. Shri L . Jagdish Parshad: The two But for furtherance of activities only words only should be deleted—“as a are the public institutions provided residence.” for. This is on a special ground. You will see this if you read clause 21 Shri Brahm Perkash: A shop may which says “.. .or other body corporate be included in that. It is not likely or any local authority or any public to be let in that way. institution and the premises are Shri L . Jagdish Parshad: This is only required for the use of employees of a suggestion, Then on the same page such landlord or in the case of a public in sub-clause 21( d ) — institution, for the furtherance of its activities.. In the case of the other “that the premises are required three, furtherance of activities is not bona fide by the public institution contempleted. That is the distinction. tor the furtherance of its activi­ If that is understood clearly, you ,can ties” proceed. the words ‘public institution* shouM be deleted. There is the protection Shri L. Jagdish Parshad: It is only restrictive. here for any company or other body corporate or any local authority. This Shri V . P . Nayar: It is not restric­ sub-clause is restricting the provi­ tive. But there is this difference tht sions of the main clause by the I explained. words ‘public institution*. The main clause provides relief to four kinds of Shri L . Jagdish Parshad: Now I come institutions—company, body corporate, to page 21 where the Bill deals with any local authority or any public appointment of Controllers and addi­ institution. In this sub-clause the tional Controllers. We request that in words ‘public institution* may mean clauses 34(1) and 34(2) the words any charitable institution. It restricts “The Central Government may** may the relief to only one type of institu­ be taken out and instead the words tion. “The Punjab High ^Court” may be put in. This duty may be cast on the High M r. Chairman: You are not putting Court because they know whom to candidly what you want to say. This appoint and whom to transfer. The condition “that the premises are Controllers may thus be placed under required bona fide by the public the High Court. institution for the furtherance of its activities** would apply to any of Shri Y. P . Nayar: Have you stated those four institutions. The fact that this point in your memorandum? the words “public institution are Shri L. Jagdish Parshad: This point mentioned there makes no difference. is besides the memorandum. W e h a v e Shri L . Jagdish Parshad: It restricts. not mentioned this point in our memorandum. M r. Chairman: It restricts to some Dr. Barlingay: Do you mean to say extent; but you are restricting to a that the High Court should appoint large extent these Controllers? Shri L . Jagdish Parshad: This is only Shri L. Jagdish Parshad: Yes, the our suggestion. High Court may be entrusted with Shri V. P. Nayar: According this task. to me, here the four categories of Then I come to page 29, clause 49, institutions have been brought to­ In this clause sub-clauses (2) and (3) gether for equal treatment. As we should be deleted. Sub-clause (2) come down, the public institutions are begins with “If, immediately before taken away for special treatment. If the commencement of this Act..” you understand the scheme of the and sub-clause (3) begins with “If, whole clause, you will find that all in pursuance of any decree or the four are treated equally. order.. .** Both these sub-clauses LShri L. Jagdish Parshad] should be deleted because things can­ Mr. Chairman: Anything mbre? not go according to the new law un­ less a new Act is passed. No retros­ S h r i R. L. Verma: I want to say a pective effect should be given. few words. Then I come to clause 52 on the M r. Chairman: He may supple­ same page. This lays down that no­ ment. thing in this Act shall affect Shri R. L. Verma: I shall take ten the provisions of the Administration minutes. of Evacuee Property Act, 1950, or the Sir, under clause 14 (d) of this Bill Slum Areas (Improvement and it is provided that if the house has Clearance) Act, 1956, or the Delhi remained vacant for six months, the Tenants (Temporary Protection) Act, tenant could be evicted. But, Sir, this 1956. This should be deleted because is applicable to residential premises the Slum Areas Act has a life of only only. It is not applicable to business six months. After that period it premises. I find that both the should not continue further. Bombay Act as well as the Madras Now I come to page 30, clause 54. Act contain proviso to this effect In this clause I pray that the words which is applicable to all the premises “the court or other authority shall including the residential as well as have regard to the provisions of this the business premises. Act” occurring in the second proviso Sir, I first read the provision from should be deleted because it is again the Bombay Act. It reads: a question of giving retrospective effect in respect of suits pending now. “that the premises have not We want that retrospective effect been used without reasonable cause for the purpose for which should not be given. Any suit insti­ they were ’let for a continuous tuted today should only be dealt with period of six months immediate­ according to the law now prevailing. ly preceding the date of the suit;” The first Schedule is more or less This covers both the residential p.s the same. In the Second Schedule, well as business premises. there are only some consequential changes which have to be made. For Again, I will read out to you from instance, *1954* should be changed the Madras Act. It reads: into ‘1947'. Similarly, ten per cent “that where the building is will be changed into 25 per cent and situated in a place other than a per cent will be changed into hill-station, the tenant has ceased 10 per cent, because these are the to occupy the building for a con­ changes made in Clause 6. tinuous period of four months This is all I wish to place before without reasonable cause you. So, Sir, I suggest that this clause Mr. Chairman: The Act of 1947 may be made applicable to both the divided the houses into two catego­ residentcal as well as the business ries, that is, those which had been premises. constructed before 1944 and those Then, Sir, I come to clause 14 (e) which have been built between 1944 which is very important clause. Under and 1947. Now, if you substitute this clause, the landlord can evict 1947 for 1944, then the whole scheme the tenant if the accommodation is of the Bill will be changed. Simi­ required by him or for any person larly, if you increase the percentage, for whose benefit the premises are that will again upset the schame of held and that the landlord or such the Bill. person has no other suitable accom­ S h r i L. Jagdish Parshad: I do not modation. As the Bill is drafted, want to upset the scheme of the Bill. it is very defective. I suggest that But this is my suggestion. this clause should be redrafted 3* suitably. There are many Govern­ having been let for use as a resi­ ment servants who have built their dence are, without the consent of own houses. When the Government the landlord, used incidentally for comes to know of this, the Govern­ commercial or other purposes;” ment servant is asked to pay penalty The words “without the consent of rent which comes to about three the landlord” have absolutely no mean­ times the rent. When he goes to law ing. These words are useless, and courts, the Court hold the view should be omitted. If you go to the “When you have got a suitable accom­ Second Schedule, you will find that the modation, you cannot evict the tenant.” words “without the consent of the On the one hand, he is harassed by landlord” have not been used. Only the Government and on the other the word “incidental” is used. In order hand, he cannot get the tenant evicted. to fit in this clause with the Second I suggest that this clause should be Schedule, I suggest that the words redrafted in such a way so as to enable “without the consent of the landlord” him to get the tenant evicted under should be omitted. such circumstances. Mr. Chairman: It is a matter of In the Bihar Act it is provided: drafting only. We will see to it. I “A landlord may apply to the suppose you do not differ so far as the Controller for an order directing substance of the clause goes. the tenant to put the landlord in possession of a building if he Shri R. L. Verma: I do not differ requires it reasonably and in good with the substance, but the drafting is faith for his own occupation or for very bad. the occupation of any person for Mr. Chairman: Drafting is bad, but whose benefit the building is held the purpose is all right. by him: ^/Shri R. L. Verma: Yes. Provided that where the tenancy Then, there is another point. A resi­ is for a specified period agreed up­ dential building which is being used by on between the landlord and the a person engaged in one or more of tenant, the landlord shall not be the professions specified below partly entitled to apply under this sub­ for his business and partly for his section before the expiry of such residence would mean a residential period.” building: (1) Lawyers; (2) Architects; Again, in the Assam Act, it is provid­ (3) Dentists; (4) Engineers; (5) Veter­ ed: inary Surgeons; and (6) Medical practitioners including practitioners of “where the house is bona fide indigenous system of medicine. required by the landlord either for the purpose of repairs or rebuild­ In the Punjab Act this has been ing or for his own occupation or clarified. In the absence of this clari­ for the occupation of any person fication, a large number of cases have fc? Whose benefit the house is held gone to the Supreme Court. There­ or where the landlord can show fore, I suggest all these premises which any other cause which may be are partly used as residences and partly deemed satisfactory by the Court.” as business premises by Doctors, Law­ Sir, if this sort of provision is includ­ yers, Dentists and so on should be ed in this Bill also, the Government treated as residential premises. servant would not be harassed like this. Then I come to clause 14(h). It reads: Then, Sir, I come to the Explana­ tion. It is stated: “that the tenant has, whether before or after the commencement “For the purposes of this clause, of this Act, built, acquired vacant ‘premises let for residential pur­ possession of, or been allotted, a poses' include any premises which suitable residence;” 46 [Shri R. L. Verma] I suggest that this clause should be that a house which is in possession of redrafted. It generally happens that a tenant can be acquired only if it is when a tenant has built a house, he needed for the owner himself and not transfers it in the name of his son or for his son. But, according to what his wife. Again, here the word “suit­ you say, if his son builds a house, able” has been used. Now, that one then should the father be turned out? word has led to a lot of litigation. Shri R. L. Verma: So long as he is Lakhs and lakhs of rupees have been living with him. litigated because of this word “suit­ able”. Cases have even gone to the Mr. Chairman: The son may be living Supreme Court. I would rather sub­ with him, but he cannot acquire it for mit, Sir, that this clause should be the major son. That would be some­ altered like this: what incongruous. “that the tenant or any member Shri R. L. Verma: But how will you of his family residing with him stop this sort of thing? Otherwise, already possesses his own house or you will be defeating the provisions has alternative living accommoda­ of the Act. tion.” Mr. Chairman: So long as there are Then, I submit, Sir, that the Rent men with sufficient ingenuity, they can Controller should be empowered to manage to defeat all provisions of this issue an injunction to the tenant or any Act. member of his family not to let his newly constructed house till the final Shri R. L. Verma: This is happening decision of the case. In the absence of on a mass scale; most of the tenants this, what will happen is this. Sup­ have built these houses in Sunder­ posing a tenant builds his own house nagar . . . and goes to the law court, it will take Mr. Chairman: It is a game of wit. even five years. Actually a case is We quite understand your position. pending before the Supreme Court for Shri Barlingay: Have you men­ the last ten years. I think the object tioned this in your memorandum? of this Bill is to reduce litigation and this object will be fulfilled by making Shri R. L. Verma: These are addi­ provision of this nature. tional points. Mr. Chairman: As a corollary to Then, I would point out that you this, do you agree to the provision that have removed altogether the nuisance if a house is needed for the tenant or clause. I respectfully submit that his family and son, even if it is sub­ the nuisance clause may remain as let, if it is a big family, he can retain it is, and to that should be added it? immoral and illegal purposes also; and it should apply also to the pre­ Shri R. L. Verma: The position is mises which is occupied both by the that the other house should be landlord and tenant. You can re­ somewhat similar to the house move it in the case of premises which which he is occupying. What actu­ is entirely occupied by the tenant ally has happened in most cases when the landlord is not living there. is this. For instance, there is But there may be other cases where the Sundernagar colony, which is a the landlord and tenant may be living new colony which has sprung up. The in the same premises, and life would houses there have two floors, the first be made impossible for the land­ floor and the second floor. Suppose lord, if this provision is not there. the tenant is occupying . . . Mr. Chairman: He can proceed Mr. Chairman: So far as the provi­ under the general law. sion for acquisition of a house belong­ ing to a house-owner is concerned, we Shri R. L. Verma: But the tenant have omitted the words ‘or family1, so cannot be eicted. Would you tolerate 4* that immoral and illegal activities Bengal Act. So, I submit that li should be carried on, and yet the should be provided here also. tenant should not be evicted? There is another point which has M r. Chairman: What is immoral been said about the structures, for and illegal has then to be defined. which we have been harassed. I res­ pectfully submit that you must look Shri Verma: I have taken this into this point. This is there in the from the Bombay Act. Bombay Act also, namely whenever Mr. Chairman: If it is something the tenant builds a structure, he is illegal, then the man can be punished evicted. But there is no such provision under the general law, whether he is here explicitly./ a tenant or a landlord, ei^ier at the Shri Jagdish Parshad: The refer­ instance of the landlord or at the ence is to additions or alterations in instance of a third person. the house. S h r i Verma: I am actually quoting Dr. Raj Bahadur Gour: The repre­ from the Bombay Act. sentative of the House-Owners* A s s o ­ Mr* Chairman: There may be ciation has suggested that rent should many things here and there in that include the quantum of local ta x e s Act, which are not perhaps altogether that the house-owner is called upon relevant here. to pay to the corporation. My ques­ tion is this. Why should only the Shri Verma: There should be landlords be given that benefit of col­ some remedy open to the landlord to lecting the local taxes from the stop such immoral and illegal activi­ tenant? tie s. For instance, there are other house­ Shri Subiman Ghose: There are owners who live in their own houses. other laws by which he can stop Wherefrom will they get the quan­ such activities. tum of local taxes that they are cal­ led upon to pay? Again, there are S h r i Verma: As regards the tribu­ employees who own their own houses. nal, it has been provided that it will The employers do not pay the local consist of one judge only. I respect­ taxes. So, why should the landlord fully submit that it should consist of be given the benefit of collecting local two judges as in the Bombay Act. taxes from the tenants? Again, why Here, we have got one judge and should only local tax be there, why again one judge to hear appeals. In not death tax and wealth tax and the old Act, the revision was also by income-tax and so on? If you mean one judge of the High Court. that all these taxes which you are M r. Chairman: This is a provision paying to the Government and to the to which the representatives of the local body are to be collected from tenants and the house-owners had the tenant wholly or partly, then the agreed. purpose of the tax is defeated, be­ cause that taxation is on you and not Shri Verma: The final hearing of on your tenants. the application should take one month in case of application, and three Shri Jagdish Parshad: The point is months in the case of suits, and the this. Housing is considered as an Kent Controller, when he is not able industry, in which there is some in­ to do it within the specified period, vestment. As such a reasonable re­ should ..give his reasons in writing. I turn is essential for anyone who am quoting this from the West Ben­ builds a house. So, it is just to get gal Act (page 183). If such a thing that minimum return that these is not provided, then it will take things are sought to be added. If again five years as it is taking at these things are not added, then that present It is provided in the West minimum return will not be there. I * 4 i fehri Verma: So far as wealth tax dum. But, as we have explained, it and other taxes are concerned, sup­ is there in the Punjab Municipal Act. posing you invest in the house or you invest in the national savings certifi­ Shri Parulekar: I will refer you to cates or in any other thing, those the third alternative you have propo­ taxes are applicable under all cir­ sed, namely, that the basic rent rtiould cumstances. But so far as the taxes be increased by 25 per cent. If your on houses are concerned, the position proposal is accepted, the rent will be increased from 37 per cent to 52 per is different; so, these should be added to the rent, so that the net return to cent. the investor may not be jeopardized. Shri Pershad: It will amount to that. If the return is not there, then there The cost of repairs and maintenance is no fun in building a house. Peo­ has gone up 400 per cent. Therefore, ple should not build houses just for that gives only partial relief. fun. After all, they are business pro­ positions. Shri Parulekar: Have you calculated only the cost of repairs? As regards the landlord collecting the taxes from the tenant, let me Shri Pershad: We have calculated clarify that point. It is done by different things. If we increase the agreement. What is the agreement rent by 25 per cent over the previous between the parties? If the agree­ figure already granted, it would still ment is that the tenant has to pay amount to 37 per cent. Even the 37 any sum specified in the agreement, per cent does not give full relief; it is then the tenant has to pay that sum. not sufficient to cover repairs. Again, so far as gross annual rent Shri Parulekar: I would refer to the is concerned, in the Punjab, the ques­ Bombay Act and how it has been in tion arose whether the taxes should operation. This has gone to the courts be included in the annual rent or not, and they have investigated the cost of and then an explanation was provid­ repairs and other items. They have ed in the Punjab Municipal Act, said that the cost of repairs should be namely Explanation II, as it is called, 0*5 per cent. which said that from the gross annual Shri Pershad: I do not know what rent, the taxes should be excluded, the position in Bombay is. So far as for purposes of computation of in­ Delhi is concerned, this is our actual come. That is what the Punjab Muni­ experience. A house which was cost­ cipal Act has laid down, and that is ing Rs. 50 before is costing Rs. 400 what we understand by that term now. ‘gross annual rent'. Shri Parulekar: In Bombay, they Dr. Raj Bahadur Gour: Would you have calculated cost of repairs and then say that all the taxes must be also cost of construction. They have paid not by the investor but by the given a formula according to which tenant? the cost of repairs is 0.5 per cent, insu­ Shri Jagdish Parshad: That is in rance on the cost of construction 0.1 per cent, sinking fund 0.55 per cent order that the minimum return to and rate of taxes 1.75 per cent. Then the house-owner should remain un­ changed. they have arrived at what should be the figure. Mr. Chairman: This point has not Shri Pershad: It is a percentage on been referred to in their written the cost of the house; not on the rent. memorandum. It has arisen in the course of their oral evidence. Shri Parulekar: Cost of construc­ tion. Shri Verma: We did not know whether that point would arise. So, Shri Pershad: I was speaking of we had not put it in our memoran­ rental value. 43 S hri Parulekar: The taxes are very M r. Chairman: You may not agree high in Bombay. They have, there­ with them, but they have given their fore, calculated that gross return answer. should be 8*8 per cent in which case the landlord will get 5.5 per cent. In Shri Pershad: In Bombay it is 8*8 your memorandum, you have stated per cent, gross which includes taxes. that gross return should be 10 per I have given 10 per cent. The differ­ cent so that your net return will be 6 ence is only 1*2 per cent. It is not so per cent. May I know on what basis fantastic as the hon. Member just you have calculated these figures? made out. Another consideration is that they have not taken into cal­ Shri Pershad: I have not the calcula­ culation l|6th for depreciation. They tions with me just now. I can give have provided for repairs, but not for them next time. But we have made depreciation. We have provided for the calculations on the basis of the depreciation 1 /6th and 6 per cent, for construction value, repairs, and collection charges. Then I do not taxes being levied in Delhi. If 6 per know whether there is ground rent cent net is to be ensured, at least 10 in Bombay. Then there is insurance per cent gross should be allowed. premium. In Bombay, they want 5*5 per cent, net; here we want 6 per Shri Parulekar: The figures I have cent. net. read out to you were calculated by the authorities in Bombay. Shri V. P. Nayar: The incidence of Shri Pershad: There may be some tax is heavier in Bombay than in points left out in those figures. Delhi. Shri Parulekar: Is it your contention You said that your Association is that the cost of construction and every­ very much against pugree. As I thing else is higher in Delhi than in went through the provisions of the Bombay? Bill. I find that punishment of three months imprisonment is provided. Shri Pershad: I do not anticipate Would your organisation be agreeable that. But perhaps they may not have to make the punishment very stiff, considered all the facts. For example, seven years? there is l|6th for depreciation. I do not know whether that has been taken Shri Pershad: We do not object to it. into account by the Bombay people. S h r i P . N a v a r : Shri Parulekar: They have provided V. And making the for sinking fund. offence cognisable? Shri Pershad: That is different. Shri Pershad: Giving the thin* into Depreciation relates to decay of the the hands of the police might lead to house. That is different from repairs grent harassment and unnecessary and maintenance. difficulties. It is a civil matter and should be dealt with by civil hands. Shri Parulekar: Witnesses have calculated certain figures which Shri V. P. Nayar: It is not a civil appear to me to be fantastic. That matter. It has already been declared was why I was asking on what basis to be an offence punishable with they have calculated their figures. simple imprisonment for three months, M r. Chairman: They have given so that there is nothing of a civil their answer. nature in that. Ypu emphatically say that you are against pugree. I am Shri Parulekar: At the same time, only asking you whether you are they admit that the cost of con­ against enhancing the punishment struction in Delhi is not higher than from 8 months to 7 years and making that in Bombay. it cognisable. 44 Shri Pershad: So far as the increase Shri Jagdish Prasad: In New Delhi in the punishment of imprisonment is the buildings were unoccupied for concerned, it is all right. We do not six months. We built the houses for want to protect the wrong-doers. But future. Now, we are reaping that making it cognisable and turning the benefit and you want to snatch it. matter over to the police to be tried by the police is a different thing. Shri V. P. Nayar: In that case, you will also agree that the rise in the Shri V. P. Nayar: It is never tried market price is not due to you. by the police; but it is initiated by them and tried by the judiciary. Shri Jagdish Prasad: The rise in the market price comes in only when Shri Jagdish Prasad: If it is declared we want to sell. as an offence by the civil court, we have no objection. I do not want to Shri V. P. Nayar: My definite ques­ protect the wrong-doer; but I do not tion is this. What percentage of the want that the innocent should be rents you collect from buildings on punished. leasehold lands which belong to the Government of India is going back to Shri V. P. Nayar: What we want the Government of India as lease from you as a witness is a categori­ amount. cal answer as to your reactions if the offence is declared specifically as Shri Jagdish Prasad: This differs cognizable. from locality to locality. There is the Connaught Circus. It is something Shri Jagdish Prasad: I have a minor there. There is the Doctors Lane; objection because I understand that there is the Hanuman Hoad and there if it is declared a cognizable offence, is the Jain Mandir Road. In Jain the police will step in to see whether Mandir Road there are people who the offence is committed or not. are not getting even one per cent Shri V. P. Nayar: The police do not Shri V. P. Nayar: That is not the give a verdict in the case of cogniz­ point. What I wanted to know was able offences. what percentage of the rent collected goes back to Government as lease Shri Jagdish Prasad: We have no amount. objection to raising the sentence to 7 years. Shri R. L. Verma: We have not got the statistics. Shri V. P. Nayar: So you are pre­ Shri V. P. Nayar: Then, the rent pared to accept the worst punishment charged now is not on that basis? but you do not accept the police coming in. Shri Jagdish Prasad: After 30 years the Government is supposed to en­ You said that lands in New Delhi hance the lease amount. After 30 belong to the Government. I would years they have enhanced it 20 times. like to know what percentage of the rent now collected from the buildings Shri V. P. Nayar: You ask for 10 on land belonging to Government in per cent. Would you be willing to New Delhi—the leasehold lands—is be­ pay a proportionate increase in the ing given to Government as lease lease amount to the Government of amount. India? Shri Jagdish Prasad: There again a Shri Jagdish Prasad: This question difficulty will crop in . . . has not to be viewed from that point of view. Mr. Chairman: Under the existing system the lease amount charged for Shri V. P. Nayar: I only want it to the first 30 years is 2i per cent of the be viewed from that point of view. value of the land. After SO years, it 45 Is revised and it is charged at 2J this. The Vice-President of your per cent, of that value, that is the Association suggested that after 21 then prevailing market value. years of continuous tenancy ...... Shri V. P. Nayar: My point was Mr. Chairman: Let us drop it. Let that the land values have increased us assume that it was not put forward notwithstanding anything done by the seriously. land owners themselves. It was the Shri V. P. Nayar: I have a very result of so many special reasons so serious proposition. Will the land­ far as New Delhi is concerned. If for lords be prepared to give ownership purposes of rent, if the present mar­ to the tenants when they have been ket values are taken into account, they in continuous occupation and have will be several times what they used paid twice the value of the house as to be. rent? M r. Chairman: If you are to take Shri R. L. Verma: That will mean the market values into account, then just like saying that if you buy milk the rent rate will not be 8*25 per cent; and if you have paid twice the value but it will be 18*25 per cent. They are of the cow, the cow belongs to you. not claiming that. Shri V. P. Nayar: I do not want Shri V. P. Nayar: They are sug­ any analogy. I want an answer. gesting something which is for the Mr. Chairman: He does not agree Committee to discuss without the to that. witnesses. The other point for which I would like to have an answer is (The witnesses then withdrew.) THE JOINT COMMITTEE ON THE DELHI RENT CONTROL BILL, 1958

M in u t e s o f E v id e n c e t a k e n b e fo r e t h e J o in t C o m m it t e e o n t h e D e l h i R e n t C o n t r o l B il l , 1958

Monday, the 3rd November, 1958 at 15.07 hours PRESENT Shri Govind Ballabh Pant— Chairman.

M e m b e r s Lok Sabha 2. S h r i R a d h a R am an . 16. Shri Shivram Rango Rane. 3. Choudhry Brahm Perkash. 17. Shri Chandra Shanker. 4. 6hri C. Krishnan Nair. 18. Shri Phani Gopal Sen. 5. Shri Naval Prabhakar. 19. Sardar Iqbal Singh. 6. Shrimati Sucheta Kripalani. 20. Shri C. R. Basappa. 7. Shri N. R. Ghosh. 21. Shri B. N. Datar. 8 . Shri Vutukuru Rami Reddy. 22. Shri V. P. Nayar. 9. Dr. P. Subbarayan. 23. Shri Shamrao Vishnu Parulekar. 10. Shri Kanhaiyalal Bherulal M a lv ia . 24. Shri Khushwaqt Rai. 11. Shri Krishna Chandra. 25. Shri Ram Garib. 12. Shri Kanhaiya Lai Balmiki. 26. Shri G. K. Manay. 13. Shri Umrao Singh. 27. Shri Uttamrao L. Patil. 14. Shri Kalika Singh. 28. Shri Subiman Ghose 15. S h r i T. R . N esw i. 29. Shri Banamali Kumbhar. Rajya Sabha 30. Shri Gopikrishna Vijaivargiya. 37. Shri A. Dharam Dass. 31. Shrimati Ammu Swaminadhan. 38. Shri R. S. Doogar. 32. Shri Deokinandan Narayan. 39. Dr. Raj Bahadur Gour. 33. Dr. W. S. Barlingay. 40. Shri Farldul Haq Ansari. 34 Shri Awadheshwar Prasad Sinha. 41. Shri Anand Chand. 35. Babu Gopinath Singh. 42. Shri Mulka Govinda Reddy. 36. Shri Onkar Nath. 43. Mirza Ahmed Ali.

D r a f t s m e n Shri S. K. Hiranandani, Additional Draftsman, Ministry of Law. Shri K. K. Sundaram, Asstt. Draftsman, Ministry of Law.

R epresentatives o f M in is t r ie s a n d o th e r O f f ic e r s Shri Hari Sharma, Joint Secretary, Ministry of Home Affairs. Shri A. V. Venkatasubban, Deputy Secretary, Ministry of Home Affairs.

S e c r e t a r ia t Shri A. L. Rai— Under Secretary.

46 47

W i n e s s e s E x a m i n e d

D e l h i H o u s e O w n e r s4 F e d e r a t io n Spokesmen: 1. Sardar Ranjit Singh 4. Shri R. D. Jain 2. Shri D. C. Kaushish 5. Bawa Ishwar Singh 3. Shri Rajeshwar Dayal

(Witnesses were called in and a view to ensure adequate main­ they took their seats) tenance of the buildings so far neglected due to the high cost of Shri Kaushish: May I with your maintenance and the low rental permission give a few general re­ value realised by the landlords. marks before I come to the specific We recommend that the Rent •clauses, because that will be con­ Control Acts of different States ducive to a better understanding of be examined with a view to ex­ the implications of this Bill? My empt from their application build­ Federation has all along been looking ings which have finished their at the rent control problem not as an useful life, old buildings which isolated problem but as an integral are in a bad state of repair, and part of an overall picture of housing, buildings which are sub-standard slum clearance, and how it adjusts but which can be improved for the social relationship. In fact, we rehabilitation at reasonable cost”. have been hoping for long that there would be a measure which would I am glad to say that my Federation achieve a certain amount of har­ has been taking exactly the same mony, but pardon me for saying so, view for the last two years, and we we cannot conceal our disappoint­ are gratified to find that at least one section of Government, and an ex­ ment. I think it has widened the pert committee have realised the cleavage. We also find that whatever truth behind the whole problem. The we have been pleading-maybe, it is committee has gone further into four fault that we have not been the problem, and of course, they able to place it so well before you— have made so many recommendations* has not cut much ice. But we saw a but I do not wish to place them in recently published report, which I detail before you, because, I pre­ think came some time in April. That sume it was circulated to Members of was the report of the Selected Build­ Parliament in April, and all of you ings Projects Team on Slum Clear­ would have gone through it. ance, submitted by Shri S. K. Patil, the leader of the team, on 20th April, They have said; that the over­ 1958. It was submitted to you, Mr. whelming majority of buildings in Chairman, and it has made some very the country—and Delhi is no except­ far-reaching recommendations and ion to it—are pre-war; they will all comments. be a national waste. Our effort, prior, to any slum clearance or rebuilding That team has made no secret of it, is to ensure the safety of these build­ and it says at page 20 of the report: ings and to enhance their life for the good of the community. As to what ‘•Rent control Acts were pro­ we have done in that behalf in this mulgated by the various States Bill, I shall come to that later. soon after the war, after taking However, making a passing refer­ into consideration the housing ence to a couple of sentences more in situation prevailing at that time. their report, I would like to draw Other countries which had en­ your attention to this. They say that acted similar Rent Control Acts slum clearance alone would cost have revised their gradually with about Rs. 10,000 to Rs. 20,000 crores. 4» [Shri Kaushish] And they say that having regard to Then, they make their observation* the present resources of the country, on the financial aspects and so on and this is not possible. so forth. There is another thing which they say later on, which would be They say again at pages 51 to 61 very pertinent to what we are going that the housing shortage would be of to discuss, namely the overcrowding the order of 2*5 million houses. And problem. they admit again that it is not possi­ ble for Government to make up for “It is feared that the newly that shortage. Without meaning to constructed houses built under offened anybody, I should like to read the Industrial Housing and Slum this particular portion: Clearance Schemes will also re­ lapse into slums in course of time “The housing programmes are if overcrowding is allowed. The themselves dispersed over a num­ Housing Board in Bombay has ber of Ministries and Depart­ framed certain rules for prevent­ ments. Not only is there lack of ing subletting and overcrowding co-ordination but it seems that of new houses. Similar rules may under the present system there is be framed and followed in other a virtual denial of the opportunity cities to guard against the decay to co-ordinate except by an ex­ of new tenements due to over­ penditure of time and effort whifch crowding”. would affect the pace of progress Finally, they say: appreciably both in the short and the long runs...... “We feel that full measure of success will not be achieved in This occurs on page 1 of the re­ the National Housing Scheme if port itself. private enterprise is not induced There is another very relevant ob­ to take a sizable share therein. servation. However much the State and Mr. Chairman: This is hardly re­ Union Government may do in the levant, I think. What you are saying way of supplementing the housing about co-ordination and so on does stock in the country, there will not directly affect this Bill. This still remain a gap which is hard Bill deals with a different problem. to fill. It is suggested in certain , quarters that private enterprise Shri Kaushish: I am sorry. I would be able to take up the thought I could develop the point construction of houses for the when I came later to the important low income group if sufficient in­ clauses. Then, they say: centive is given to them by way “___demolition and re-develop­ of tax remissions and loans, if ment alone will never get rid of necessary. The private enter­ slums; rehabilitation of any num­ prise can build houses not only ber of sub-standard buildings for the low income group but also worth saving, will also not solve for the upper middle class people, the slum problem unless millions who will be in a position to pay of new dwellings are constructed the economic rent.”. (a) to meet the demands of urban I think that is a very realistic appro­ growth, (b) to wipe out the pre­ ach. Now, let us see how this Bill sent shortage and (c) to make encourages us to follow this parti­ up for the houses demolished. cular suggestion that private enter­ New housing construction, slum prise would really come out with that clearance and rehabilitation of activity that would solve the pro­ sub-standard building must, there­ blem. fore, go hand in hand”. Now, I should like to take up the 1 hope our Bill will lead to that path. clauses of the Bill. If you suggest, I 49 would take up the clauses from the taken a loan grant from the Govern­ ;very beginning, or I could take the ment of about Rs. 4,75,000. That standard rent clause first. rent, with the lapse of time, has been shooting up and today it has reached Mr. Chairman: As you please. the astronomical figure of Rs. 2,50,000 Shri Kaushish: Then, I shall start from Rs. 35,000. In fact, when this from the very beginning, from clause case was in the Supreme Court it 3. had by then reached Rs. 2 lakhs only but when the Supreme Court decreed Mr. Chairman: On the whole, I that this property did not come with­ think it will be to your interest to in the purview of the 1952 Rent Act concentrate on the main point and the Trust immediately after the not be lost in details which are of Supreme Court judgment put up the minor issues only where they support rent by another Rs. 50,000. bigger issues which may be of greater advantage or disadvantage are lost. Now, this market contains about 145 shops and 25 godowns. In fact, Shri Kaushish: Then, I shall stick the godowns have a lesser rent than to that path, and I shall take up the the shops, but for the sake of con­ minor issues only where they support venience taking that the rent is the the bigger issue also and throw some same of Rs. 35,000 per year it comes light on it. to about Rs. 17 per month for one shop. At the rate of Rs. 2,50,000 per Coming to clause 2, as the clause year it comes to Rs. 124 per shop. I stands, it exempts Government pro­ am sure, nowhere in the country or perty from the operation of the rent even in any other country this mucih control law. We, as a body, feel that of increase would have been tolerated this distinction is no more justifiable if there was some kind of a rent for the simple reason that the public control, not from Rs. 17 to Rs. 124. sector and the private sector today If I were the owner of that market, are not two different entities. Take, I would have been allowed just two for instance, in the sphere of labour, annas in a rupee and now that you Government labour is also governed very kindly propose an increase of 10 by almost the same laws—I would per cent, just that much more and say 99*9 per cent—as that of the still keeping my rent below a level private employer. So, when it comes of Rs. 25 per month. I have tried to to rent control why should the Gov­ seek justification for it but I have not ernment claim a certain amount of been able to do that. privilege and let their property re­ main outside the purview of it? We Anyway, in Sabzi Mandi itself there could understand if they had claimed are better built shops, constructed this privilege and kept Government during pre-war times and better property outside the purview of the situated commercially and otherwise. rent control laws, but had dealt with Here is a shop in Ward No. 12 bearing the tenants in the same manner and Municipal No. 29. The floor area is on the same considerations in the 207 sq. ft. It is owned by Shri matter of charging rents as the private Gowardhan and it fetches a rent of owner has been doing. Rs. 11 per month still today. Where is Rs. 11 and where is Rs. 124? There We find—and this is a case re­ should be some similarity between ported in the Supreme Court Re­ the charge of a private owner and ports—that the Delhi Improvement Government. If keeping the values Trust built up a market in Sabzi depressed is bad for Government, it Mandi and let it out to Vegetable and is certainly bad for private enterprise. * * Fruit Merchants Union at a rental of If you would increase the rates that Rs. 35,000 per year in 1942. For that way and the private enterprise would purpose the Improvement Trust had keep it down, naturally our properties So [Shri Kaushish] would collapse because we cannot consideration, added them up and on find the money to repair them. the benevolent process of ‘no profit We might say anything about this no loss’ 10 per cent has been put down market, but a most interesting case on that and then charge that rent So, has come to our notice and that is obviously there has been some mis­ regarding the property which the late take somewhere—maybe somebody has Shri Raghunandan Saran donated to put a zero more or something, but it is the Government for the construction really hard to believe that it would of a children’s ward in the memory rise to that height But the fact of his late lamented mother. That remains that the notices were issued. property is in Ramnagar, Qutub Road. Now, having requested for the de­ The rent charged by Shri letion of the existing clause 3, we Raghunandan Saran was Rs. 9-62 nP. want to substitute it with two new for a shop and now that the property provisions. We wish clause 3 to be vests in the Government, the Estate re-worded thus: Officer has sent a demand for Rs. 191 “Nothing in this Act shall for the same shop, a figure almost twenty times. Again, there is another apply—(a) to any premises not let out for purposes of residence shop in the same building. The private owner charged Rs. 18.50 nP. for one only.” shop. The Government has sent a This is a very important point, be­ demand for Rs. 280. cause out of the built accommodation we have in the city, over 90 per cent Take the case of flats in the same is pre-war. There are big firms, big building. For a flat which just gave business houses, small traders and Rs. 17 to the private owner the Gov­ industries who are still paying the ernment demands Rs. 397. Against Rs. 21 it is Rs. 479 and against 1939 rent. We cannot appreciate either the practical aspect of it or the Rs. 41*16 nP. it is Rs. 829. I do not social justice of it. know how they have been related, but things, as they are, are there. You do not have to go very far. Just in Connaught Circus you have Mr. Chairman: Are you sure that these orders have not been cancelled? Spencer and Co., a very well located shop. They are paying Rs. 105 per Shri Kaushish: Not to our know­ month since pre-war times on 1939 ledge, but if they have been we are level rates. Their tofal sales today are happy that they have been changed to the tune of Rs. 2 lakhs per month and we shall be very glad to know Even if we concede that their profit that. But so far as our knowledge is just 10 per cent, they are making goes, we are not aware of anything Rs. 20,000, and as admitted by the of that nature. The demand notes— Spencer people themselves, the loca­ we are very certain about it—were tion of the shop plays a very very issued. important part. Shrimati Sucheta Kripalanl: Do Now, if you can allow them to shoot you know the basis of the calculation? up their profits according to present Shri Kaushish: The basis of cal­ economic conditions, what is the fault culation is the same P.W.D. calculation. of the landlord that he cannot put up They take the covered area and his rent according to present econo­ -calculate so much per sq. foot of mic conditions? The poor fellow has construction, whether it is A class or B got to maintain that property. A class or C class, and then they cal­ cement of bag is no more As. 14; it is culate the value of Ramnagar land Rs.7|8|-. A mason is no more available today which easily may be about at As. 10; the rate is Rs. 5|8-. After Rs. 300 or Rs. 350 per sq. yard. So, all, the poor man has to find money they have taken all those things into for it, and if his rent should remain 5i at that rate, naturally the property will probably understand. I do not would be neglected. earn more than Rs. 200 as my net profit. The man opposite is trying al­ So if Government want to follow ways to do me out of business. He some kind of a progressive de-control has an advantage of almost Rs. 100 policy, at least begin it with busi­ over me. If I do not resort to this, I ness premises. That would be very will have to get out of business and fair and very just; there will be no my children would be starving.” Of hue and no cry. Take, for instance, course, he was cursing the landlord. cinemas and hotels. I should like to He said “These landlords are sucking give you a glaring example of Im­ my blood. If you can have my rental perial Hotel. The rent is value reduced to Rs. 6, I will give you better Rs. 50,000 per year. The houseowner stuff than what the other fellow across is expected to do the outside repair­ the road gives.” ing of the building and pay the land Mr. Chairman: The other man mixes taxes which have been raised many no water? times ever since he got the lease, and today he till continues to receive the Shri Kaushlsh: He sells certainly same Rs. 50,000 as in pre-war times. much better stuff than the fellow who The last balance sheet of the company has got the Rs. 87 shop. disclosed a profit of Rs. 16 lakhs, and in the balance sheet you will find Mr. Chairman: So if the rents are that those little show-cases that are low, the customers will get better hanging around in the corridors give stuff? them Rs. 3,50,000 per year. Where Shri Kaushlsh: Not exactly that. If is the justification of letting those rents are uniform, even if they are people enjoy the rent control? Rs. 87 per month, the stuff would be That was the extreme example on uniform—uniformly good or uniformly the upper bracket. Now I will come bad. down to the lowest I went down Mr. Chairman: I do not know whe­ Original Road to a halwai shop. He ther it will depend on the proposal. pays Rs. 6 per month since about 1929. But your statement indicates that if Another halwai slightly towards the the rents are low, then the deal is left opposite row in a new building more straight pays for a smaller place about Rs. 87 per month. Shri Kaushlsh: No, if the rents are uniform. If you will allow me, I will Dr. Raj Bahadur Gour: Is there any elaborate further on this. difference in the taste of the two mittais also? Mr. Chairman: That is enough. Shri Kaushlsh: Actually, they are Dr. Raj Bahadur Gour: The person milk sellers with some barfi in who is paying Rs. 6 need not add addition. So I asked the Rs. 87 walla: water to the milk? So if the rent is ?rrf,

Here again you will find that there Shri Khushwaqt Rai: Which is th e are lots of tenants today who have High Court case you referred to? the pre-war built premises with them on rent and continue to pay the con­ Shri Kaushish: I do not have it here trol rent, while they have put up but I will give it to you. I have not houses, majority of them in the mentioned it because it is stili sub- newly-developed New Delhi colonies, judice in the Supreme Court. But, I still living at Rs. 90/- a month in Faiz will send the High Court judgment Bazar and earning Rs. 1,700 a month to you. in Golf Links for almost as much area. What is the social justice of this—my Coming to clause 6 which relates to Federation has been wondering. the fixation of standard rent, I think, this is the clause round which this Again, there is a glaring case, to Bill hinges. The formula worked out which I have drawn your attention by Government and introduced in the before also. On the outskirts of Con­ Bill does not meet the requirements naught Place, there is a bunglow in of the case because, roughly speak­ Barakhamba; half a bunglow is on ing, pre-war buildings or early war Rs. 200 per month rent. An open constructed buildings—say, buildings compound in the bunglow is more up to 1951—have an increase of mere­ than double the area—I am referring ly 10 per cent. Suppose there is a to clause 3(b); I hope I am within two roomed tenement in Chandni my scope when I suggest a new sub­ Chowk; after the increase of rents it clause (b) incorporated replacing the is fetching a rent of Rs. 11/- today. existing provision. With your 10 per cent increase it will fetch 110 nP. more. It does not carry In this case this man pays Rs. 200/­ you anywhere at all. Then, we will for half the bungalow and charges come back to the same analogy of the Rs. 1,800/- over there. The case two doodhwalas paying Rs. 6/- and went up to the High Court. But, un­ Rs. 87/-; you will never bridge the fortunately, the High Court ruled that gulf. though he might have built a new We have demanded the scrapping of house, he cannot be evicted because clause 6 as it exists in the Bill, and he was also running a Dental clinic to get all available accommodation on at Connaught Place and that this place so m e kind of reasonable level. We was not suitable for that purpose, be­ have asked for a new clause which cause the wording of the 1952 Act is, reads: Tias acquired a suitable business pre­ mises*. So, the owner could not get “Standard rent of any premises it back. means—twelve per cent, per an­ 53 num of the aggregate amount of fairly constant as related to market the cost of construction calculated conditions. When there is a rise m according to the prevailing labour costs or steel prices or some­ ■C.P.W.D. Schedule of Rates and thing like that, it immediately shows the market price of the land com­ that; it goes up or comes down. prising the premises on the date of the application for fixation of The C.P.W.D. rate is based on the standard rent; quotations of the private contractor. There are two kinds of rates in the PROVIDED that the standard C.P.W.D. For departmental work, it rent so fixed shall be subject to is certainly higher than the rates of revision and adjustment in rela­ a private contractor. That is the tion to the changes in the C.P.W.D. difference between the two. Schedule of Rates from time to time. The most important aspect of this clause is, there must be flexibility, PROVIDED FURTHER that in as in food price or cloth. After all* case of premises on rent at the shelter is also as important as food commencement of this Act, the and doth. Actually, it is one of the rent paid by the tenant shall not three basic needs. Unless it has that be increased for a period of three factor of flexibility, there will always months, and during this period, be clashes between the user and the the landlord shall serve the tenant owner. We want to avoid this. We with notice in writing, claiming want an understanding on both sides. standard rent calculated according And, this understanding would come to the above-mentioned rates.” immediately you introduce the ele­ ment of flexibility. In the present conditions we can­ - not think of anything more satisfac­ To be very frank, I do not anticipate tory to get all accommodation on that the costs would come down, for some kind of an equitable level. I the simple reason that it is a develop­ know somebody might raise the objec­ ing country and our standards are tion that if we ask for the C.P.W.D. going up. When standards increase, rates, the rent may shoot up to the cost of labour goes up and it Rs. 190/- as it did in Ramnagar. reflects on the cost of production of other materials. A bricklayer in But that will not happen, because America who was taking 15 cents, the Schedule has A, B and C classes. takes $3*50 now. In my own memory You can introduce D and E classes. a mason has come from -|10|- to In Schedule A the cost may go up to Rs. 5/8/-; and, I am sure, before I Rs. 18|- to Rs. 20|- per sq. ft. of covered die he may take Rs. 10/- a day. All arfca and it may come down to these considerations have to be taken Rs. ’ 7/- in the case of E class. So, into account when we want to save the same rate need not apply to first property. class construction and fifth class con­ When you have fixed, in 90 per cent struction. There have to be different of cases, the rents at the 1939 level, standards. the result is, we are no longer able An Hon. Member: When were the to repair the buildings; and they are C.P.W.D. rates fixed last time? just crumbling as they did during the last monsoon. It is of utmost urgency, Shri Kaushish: They do not change even more than putting up new build­ the rates frequently. What they do ings, that this accommodation should is this. Every few years, with the be saved, not merely for my sake, but change in the cost of materials and for the sake of the community and labour, they issue certain amendments that can be done if you give us a to it and say that it will be so much market return and for that market per cent high or so much per cent low. return, as I have already told you, As experience has shown, it keeps we want 12 per cent. Twelve per 54 [Shri Kaushlsh] cent at first glance of market value required for improvement of the might look high to you, as some property—average one month’s rent: friends informally remarked to me. Rs. 1,000. This needs a little clarifica­ But frankly speaking, it is not. 1 tion. If you look to Government have given an analysis of it in my Fundamental Rules Schedule you have memorandum, but if you like I will a separate item over there for replace­ recall it again, or if you would like ment of sanitary fittings and electrical to refer to it I would skip through it. fittings, because they do not last as Mr. Chairman: You move on to the long as the structure and the manson- next. ry. Sometimes the Corporation Rules change and they say we should Shri Kaushlsh: In this 12 per cent make so many improvements. If apart from the maintenance cost and there are more tenants in the house replacement cost, we have to make the sanitary fittings would need re­ provision for income-tax, death duty, placement earlier. So this provision etc. I think after the last revision has got to be made. this is going to apply to everybody in the town. Taking fifty years as the useful life Against our 12 per cent Govern­ of the building to give economic re­ ment when they calculate their eco­ turn, annual depreciation cost of nomic rent, calculate it at 10 per cent building on Rs. 80,000 comes to on the market value, according to Rs. 1,600. It is obviously going to fall your Fundamental Rules and you call down and it has to be re-erected. it no-profit no-loss basis. You don’t Insurance at an average rate of 50 pay death duties like us; you don’t naye paise per hundred on the total pay income-tax like us and you don’t cost of the property (it varies any­ have to pay wealth tax, which is where from 4 annas to Re. 1, but we applicable to some of us. So we make have taken the average as eight an­ margin for all these out of the 12 nas) will come to Rs. 500. Collec­ per cent which actually works out tion charges at 5 per cent of the much cheaper than your 10 per cent rental comes to Rs. 600. Vacancies on no-profit no loss basis and we find and bad debts, being on average 15 that we save about 4 per cent after days’ rent per year, comes to 500. meeting all these charges. Next is legal expenses relating to income-tax dealing with local autho­ Mr. Chairman: What is your break­ rities and tenants at 5 per cent Rs. 600. up of the 12 per cent? Expenses for maintaining cordial re­ Shri Kanshish: You will find this at lations with the administration and page 14 of our memorandum. Please expediting business at different ad­ also see page 4 of the Bill. ministrative levels (at per cent of the gross annual rental) Rs. 300. We have for the sake of convenience taken the value of the property at Shri V. P. Nayar: What is that? Rs. 1 lakh. Out of Rs. 1,00,000 I have Shri Kaushlsh: This is not much of taken Rs. 20,000 as the cost of the an item. Sometimes you have some land. 3 per cent of Rs. 20,000 would kind of a relief fund. The sanitary come to Rs. 600. Next item is cost of inspector of the area comes. Then annual repairs, which the law wants there is collection for Red Cross or us to undertake. At one month’s rent T.B. seals. In addition to that some­ it comes to Rs. 1,000. Repairs other one comes to check up your place and than annual repairs for preservation you might offer him a Coca-Cola or of property in the interest of struc­ cigarettes. tural safety and for enhancing the usefu1 life of the building and also Shrimati Sucheta Kripalani: Won't to carry out such additions/alterations the tenant have to pay a similar kind that may be either prescribed by the of contribution as you are mention­ local authorities from time to time or ing? 55 S hri Kaushish: It never happens. *nrfsif*r Shrimati Sucheta Krlpalani: I may sta te that for the Red Cross every­ TSR £ faTTSR faur t ? body has to pay. Shri K aushish: If the Chairman will Shri Kaushish: When these relief permit me I will keep silent. I would funds are passed on to the adminis­ rather leave it there. trative machinery, they never go to the tenant; they come to the house­ It includes everything, you know:- owner. charitable, cultural, political, social;: Shrimati Sucheta Krlpalani: We it includes everything which you tenants p a y . have to pay by virtue of your posi­ tion as a houseowner. Dr. Raj Bahadur Gour: What d o you exactly mean by ‘expenses for Assuming after construction of the maintaining cordial relations’? building or after inheriting it, the owner lives for twenty years, other Shri Kaushish: When I said a 'bottle assets apart from property being of Coca-Cola9 or ‘cigarettes' it includes Rs. 50,000 the gross value of assets at everything. the time of death would be Rs. 1,50,000. If the deceased is a member of the M r. Chairman: I do not think it is Joint Hindu Family the annual pro­ a very dignified way of putting it. vision for the amount of death duty You want provision for bribes? payable for over 20 years would be Shri Kaushish: It is our courtesy; it Rs. 325. Total comes to Rs. 8,625 out is our culture; if somebody comes___ of Rs. 12,000. That means it leave us: 3*375 per cent net free of all taxes. Mr. Chairman: Nobody charges So that is why we have calculated another for his courtesy. this one, namely 12 per cent, and most Shri Kaushish: It has to be spent. of the expenses are on a reasonable level. Mr. Chairman: Many things will have to be spent. It is hardly decent. Mr. Chairman: This is somewhat fantastic. Shri Kaushish: I never meant it in that spirit. Shri Kaushish: Wherever you con­ sider it fantastic you may cut it down. M r. Chairman: You do a wrong You are the judge. thing and make it a part of the legitimate charges. It is hardly con­ Shri N. R. Ghosh: You can add a sistent. few more items and make it no-profit Shri Kaushish: The fact remains no-loss! that these expenses have to be in­ Shri Kaushish: If you apply th a t curred. I shall leave it at that. yardstick to old properties today, they Assuming that taxable annual in­ are no longer an earning proposition come from all sources including pro­ but a losing proposition; because, as perty is Rs. 20,000 of a houseowner, you know, in the matter of death duty a portion of income from the property they do not go by the rent realised may be taken as Rs. 8,000 and tax on but they have their own valuers and the same at 20 nP. in a rupee: they like to bring it as near the mar­ ket value as possible. Well, it is a Rs. 1,000. healthy trend that the right taxation should be paid on property. But when iflhflTT STT«r : WZXTFT ^ m you are having that healthy trend, it pT^TT’T $ *ff 5, has to be balanced elsewhere; it must give you the right return as well. WT ^ ^ *TPT f fa Now, this is why we have put down 5«

I Shri Kaushish] S hri Kaushish: That is right, Sir. ;a uniform formula whether the pro­ But I feel I am still understating th e perty is built in the twenties or the facts. fifties. Then there will be no heart­ burning or disparities. And the That man is getting a rent of Rs. 50 property would be maintained pro­ because it was a pre-war property perly. The owner of the old property built in the early thirties. About four shops ahead of him in the same area, is accused today of neglecting it. But the day he finds that it is giving him the Oriental Bank of Commerce is occupying another property and they an economic market return he would be worrying himself all the time to are paying Rs. 1,200—twenty-four keep it in good shape so that it does times difference, and the law recog­ nises both of them as legal rents. not deteriorate and still continues .giving him return. That would be a M r. Chairman: You have given great boon for the old property and some instances. By multiplying them it will be saved. you will not exhaust the whole thing. M r. Chairman: You mean that the Shri K aushish: Very well, Sir, I will building which was built in 1930 proceed further. Now, we come to .when the mason was paid ten annas clause 7(1). This is for improve­ ; and when the cost of cement was ments and additions and alterations— eight annas should be valued at the increase for that. On the same prin­ rate which will be determined on the ciple of 12 per cent, instead of 8J per . basis of the mason getting Rs. 6, a cent, we have asked. I need not < cement bag being worth Rs. 5|10|-, and elaborate on this one. a plot of land that was worth Rs. 100 being now had at Rs. 1,000, and then Then I come to clause 7(2). This 12 per cent being charged on that? is very important and we want this Shri Kaushish: Yes, Sir, that is the clause to be re-worded. And the way yardstick being applied on govern­ we have asked it is like this that ment property. They upgraded it where a landlord pays in respect of quite a few years back, and it was the premises any charge for electricity done purely with that idea. And when or water consumed in the premises or . questions were asked in Parliament, any other charge or tax levied by a the answer given was very very sens­ local authority having jurisdiction in ible. They said these buildings have the area, he may, notwithstanding any to be replaced and when they are previous contracts, recover from the going to be replaced they are not tenant the amount so paid by the going to be replaced with ten annas landlord. mason and fourteen annas cement bag Dr. Raj Bahadur Gour: In the earlier but they have to be replaced at this portion of your amended clause you time. So we are following in your are talking of electricity, water, etc. footsteps. Well, if we are wrong we They are services. But in the subse­ have nothing to say; if we are right quent portion you have said “anj we are following in the right foot­ other charge or tax”. steps M r. Chairman: It is not in my foot­ Shri Kaushish: Local tax. steps, whatever else it may be. Dr. Raj Bahadur Gour: That means Shri Kaushish: And you have to anything other than for services, like pay for the material and labour. So property tax? we cannot help that. What leads to • discontent is really this. There is a Shri Kaushish: I will explain it. gentleman who owns No. 9 Faiz Bazar This is how it works. In pre-war in Main Daryaganj. times in the cities in 90 per cent of Mr. Chairman: Sometimes good the properties the occupancy w a s advocates spoil their case by ovar- normally two people to a room pro­ • stating things. bably. It was given for Rs. 10 a 57 month. It included one light point, Shri Kaushlsh: I have not followed a tap connection, and the rate of it very well. municipal house tax was 2—3 per ►cent. So the landlord, instead of M r. Chairman: The question is a calculating everything apart, said, simple one. House tax should be dis­ “All right, I will charge you Rs. 10 tinguished from electricity tax or and it is all included in that.” Now, water tax or conservancy tax, because under your present Bill, if that con­ the latter are meant for the service tract is there it will still continue, but of the tenant direct The former is the situation has changed. Due to not so directly related to the occu­ the scarcity of accommodation, instead pant of the property. That is his of two people, about fifteen are living question. there. And that one light point with Shri Kaushlsh: Well, Sir, I do not a multi-plug in it is being used also agree with that interpretation, be­ for electrical gadgets. At that time cause even if it is indirectly related there was no meter on the water tap. it is meant for the convenience of the You could get three taps for Rs. 2 a resident of the locality; it is not month. Now there is meter every­ meant for the houseowner. where. And naturally, when fifteen people are there, water is needed Mr. Chairman: For all the people for their daily use for their washing of the locality. and all that. So the water bill goes up very high. It used to be 2—3 per Shri Kaushlsh: Yes, Sir, all the peo­ cent, the house tax. It has shot up ple. It is distributed. Maybe some to 10 per cent. And the Corporation are paying less and some are paying is making a provision in the Act that more. Water, electricity and the local it might shoot up to 20 per cent. If taxes will be in addition to 12 per all these taxes are paid out of that cent. artificial rent, then naturally the man will wind up with nothing. An Hon. Member: Then it will go up to 25 per cent. And coming to the matter of these Corporation taxes, there is one thing, Shri Kaushlsh: Then reduce the this fire tax, conservancy tax, etc. It taxes; they are in your hands. We is recognised all over the world that now come to clause 7(3) (a) (i) and the man who lives in the area enjoys (ii). This clause deals with certain the amenities provided by the Cor­ monetary adjustments relating to poration. The house tax provides sub-tenancy and what it lays down is street lighting, drainage, roads. The this. If a tenant sublets a premises, tenant who is living there and enjoy­ he could charge 25 per cent more ing these amenities, in all fairness, is than what he is paying to his land­ the man who has to pay for them. If lord. That is in the case of residen­ there is fire tax and conservancy tax tial accommodation. It is 50 per cent it is for his protection and convenience. more than what he is paying to the "Why should the houseowner be asked landlord on business or other accom­ to take it out of his earning? So these modation. Thus out of 25 and 50 per are some of the recognised principles cent more he gets from the sub­ into which we need not go in detail. tenant, a tenant has to pay 12} and 13ecause, on the very face of it these 25 per cent respectively to the land­ are the responsibility of some one lord; thereby he makes a hundred per else who is enjoying it and not of the cent profit on subletting. I do not ■houseowner. know how this class of profiteers is protected by law; it does not seem to Dr. Raj Bahadur Gour: Would you be just That is merely justice in not distinguish between the service social aspect of it. Coming to the taxes and the property tax when it is other aspect of it, a tenant would al­ the question of passing on that bur- ways be anxious to have a sub-tenant •den to the tenant? to supplement his income and create 5« [Shri Kaushish] the P.W.D. schedule. Then, there will ove rcrowding, thereby leading to be no point in keeping this clause slum conditions. We do not want and for asking for the fixation of that there should in law be any standard rent. Actually that produces legal encouragement whereby a tenant another one of the headaches. would like to go out of his way and D r . Raj Bahadur G o u r : Would you put a sub-tenant. accept the obligation that you will Shri N. R. Ghosh: If it is with your have to educate the tenant on the consent in writing? legislation of the country because you want to reduce the tina^e-limit you Shri Kaushish: Allow that increase want to give little margin for his if you want. ignorance. S h r i N. R , G h o s h : You want a big­ Shri Kaushish: Certainly if you ger share of the profit? would give us lead, we will co-operate with you. Shri Kaushish: One thing is certain. It is my property. I have got to have Dr. Raj Bahadur Gour: You would the profit out of it. The tenant is like monetary assistance even for still a tenant and the house does not that? belong to him. We, therefore, ask Shri Kaushish: Whatever you con­ for the amendment of this clause sider just in the circumstances of the accordingly so that the tenant gets no case—we will leave it to you. profit and if any increase is given it must go to the landlord. In the pro­ Shri Khushwaqt Rai: Can you give viso to clause 12, there Is discretion me any idea as to in how many cases to enhance the time for the entertain­ this six months’ time was utilised for ment of a dispute for the fixation of extension? In the old Act, the time the standard rent. Now that you have was six months. You have said that increased it to one year from the it has been the custom and not an ex­ previous six months, this distinction ception. Can you give us figures? must not vest with the Controller. That is our plea. Practice shows that Shri Kaushish: There is no single the plea of standard rent is raised exception, when you file a suit for non­ merely to prolong the litigations and payment of rent, where the plea of to create unnecessary bitterness. If standard rent is not taken. You a man has not been able to raise a will hardly find a case where a tenant dispute within one year’s time and he by himself has gone for the fixation is found to have been paying the rent, of a standard rent. When he stops just for some flimsy excuse, he must paying rent and a suit is filed, he takes not be given another chance to go the standard rent plea. and start a new dispute. We want I now come to clause 14(1)(b). We the proviso to this clause 12(b) be have asked for the addition of the dropped. words Vithout obtaining, in writing; Shri Mulka Govinda Reddy: That is the consent of the landlord’ at the end only in exceptional cases where that of this clause and we have also asked application was prevented by ___ for the deletion of the rest of the sub­ Shri Kaushish: In practice, excep­ clauses (i) and (ii). tional cases become usual; that is There is a very important reason- what we have found. for this. When the Act was passed, S h r i N. R . G h o s h : There is no time­ a clause has been put in saying that limit fixed at all in some cases be­ after the commencement of this Act, cause there are some ignorant people there shall be no subletting without who do not file all these things. the consent of the landlord in writing. Shri Kaushish: You could do it in It is given in clause 13(i)(b> of the this case provided you accept ourk old Act. But when that oame up, al^ suggestion. You fix it according to the sub-tenants, genuine and other* 59 wise, produce a set of witnesses in a as a residence and”. That means court of law and they have said that that it will apply to all kinds of pre­ the sub-tenancy was verbal. That mises. was abused. Anyway we put up with I now come to the very controver­ that. Under the law made by Parlia­ sial sub-clause 14(1) (e) relating to ment in 1952, no subletting is recog­ bona fide personal use. This time the nised unless it is in writing. Why Bill has drastically curtailed the rights should you then say again that before of the owner to use the premises for the commencement of this Act, it need his family. The situation is such, as not be in writing and after the com­ the Bill intends to make it, that you mencement of this Act, it has to be cannot have it vacated for your own in writing. If the provisions of the children. Now, that is a very very 1952 Act were seriously meant, then hard condition. As it is, this sub­ there is no other way out than what clause applies to residence only and you suggested. That is a fair thing we have asked for its extension to to do, and that should be done. other kinds of things. Go to Otherwise, subletting would be legal­ Bombay or Punjab or other places. ised through the backdoor, not mere­ There you can have all kind? ly in this clause but in other clauses of premises, business or residen­ too. On the face of it it appears that tial, vacated for personal use. The you are discouraging subletting. But law provides that. But here you all the provisions of the Bill taken to­ confine it to residence only and then gether subletting is easier today too, only to yourself, not even to than it was ever before. All that a your children. Sir, I think that is man has to do is to get into some* the height of social injustice. If a where and then put in an application man, in his better days when his and say: “I am a subletter.” Then children were small and going to the Controller would come and give school, let out his building with the his finding. So, we suggest that these idea that when his children attain two complicated provisions should go. majority and when he retires th e y "Therefore, we have asked for the can live together, you are now depriv­ deletion of clauses 14(1) (b) (i) and ing him the use of that. You will find

Then I come to sub-clause (g). M r. Chairman: Don’t give examples:. That sub-clause is rather strange in Move on to the next. the present context of things in Delhi. If you look into the Bill you will find Shri D. G. Kaushish: It is in the that they want additions and altera­ memorandum. You can have a look tions very much restricted and re­ at it, because 1000 houses fell down placements completely ruled out. In in two months in the last monsoon fact, the Bill mentions that the pre­ and the Corporation pulled down an­ mises should be constructed for the other 1000 houses. same purpose for which they were being used. Now, that is a very hard M r . Chairman: What is the total' restriction. There are so many slum areas where there are so many number of houses in Delhi? dilapidated houses, rather hutments; S h r i D . C. K a u s h is h : Wc asked this water is stagnant everywhere. Now question about 18 months ago and the if these premises are to be recon­ Government have not still replied. structed after a lapse of 40 to 60 years and if they are to be turned into Mr. Chairman: You can’t reply? 6i

S hri D. C. Kaushish: I can’t because We have asked for the addition o f I do not have that machinery to count a sub-clause (m) them. “that the tenant has cause or M r. Chairman: Whatever informa­ permitted to be cause over­ tion you have, that does not enable crowding in the premises let to you to make a sort of a reliable esti­ him.” mate? This has become very necessary be­ Shri D. C. Kaushish: I would not cause every house whether it was in hazard a rough guess. pre-war times or now has been let out for normal occupancy. But, after M r. Chairman: Proceed. the house has been occupied, the occupants seem to increase. May be,. S h r i D . C. K a u s h is h : In clause 14, it is a natural increase in the family we have asked for the addition of two or relatives have moved in or friends sub-clauses. You have up to clause have moved in or sub-lettees have 14(1)(k). We have asked for the # moved in. But, the fact remains that addition of (1) (1), “that the conduct a place for two caters for twenty. of the tenant is such that it is a With the enforcement of the Slum. nuisance or that it causes annoyance Clearance Act, 90 per cent, of Old to the occupiers of the neighbouring Delhi has been declared a controlled premises or other occupiers of the area under that Act. What are slum* same premises.” It has always been conditions? Over-crowding. They there. We do not know why it has have not. been created by the land­ been taken away. It affects the land­ lord. If it is the fault of the • lords in such cases where they them­ tenant, why should my property be selves live in a part of the house. snatched away on payment of three That is again about 95 or 97 per cent, years9 rent as compensation? It is of the houseowners in old Delhi. It virtually depriving me of my pro­ affects the tenants no less. It would perty. As it is in all the enlighten­ suffice to say only this much, that ed foreign countries, even the complications of a social nature have Bombay Housing Board has as is seen been going up after we embarked from the Patil report, a good pro­ upon a policy of prohibition and vision that over-crowding would be enforcement of the suppression of a ground for eviction. We want that Immoral Traffic Act. My locality is in some form. It should be here in not free from it; any locality in the the form we have suggested. city is not free from it. What effect it is going to have on our mental Shri Deokinandan Narayan: May I make up and on our morals, it is know who is to decide this over­ difficult to judge today. But, if this crowding: the controller or the land­ goes on unchecked, I am sure, the lord? results would be disastrous. Vfe be­ S h r i D . K a u s h is h : lie v e that this law should be there, C. There are set even though there have not been principles followed in different coun­ many suits under this clause in the tries and even followed in this coun­ past. try. They lay down that so many cubic feet per head of the conscript­ Mr. Chairman: How many suits ed area would be the occupancy area. have there been? A limit will be prescribed, say 5000 cubic feet. You will take the cubic S h r i D . C. K a u s h is h : I am told that volume and say so many people can it is less than 200 in six years. But, live here. It will be easy to do that. this is a great deterrent and we must not lose the deterrent effect of this. Mr. Chairman: There are munici­ It is in the interests of the tenants pal regulations to deal with these - and owners. This should be there. matters, to prevent over-crowding. 62 S hri D. C. Kaushish: Yes, Sir. But, six months? In fact, in the Act it tfhe municipal regulations might ask was three, now* it has been made six. lor providing this limit. But, the rent law will not allow me to evict. I Clause 14(7): This relates to clause will just be helpless. Eviction is not 14(1) (g)—building and rebuilding. I under the municipal regulations; it is have almost covered the whole ground under the Bent Act. in my previous argument. So, the change as suggested in this one may Mr. Chairman: You may not evict; be carried out. but the Board can proceed under the law. Clause 15(7): This is a clause where if the tenant fails to pay the rent, Shri D. C. Kaushish: There is then the defence is struck off against nothing from the side of the local him, but the Bill provides that the authority today in Delhi. controller shall proceed with the hear­ Shri D. C. Kaushish: You are mak­ ing of the application. If the defence ing the suggestion; they may, I think, has been struck off, what is the point benefit by it. in continuing hearing the application? It is an unnecessary strain on the Shri D. C. Kaushish: Now, I come judicial system, and a harassment of to clause 14(5). the houseowner to pass through all those stages. M r. Chairman: I hope you have al­ most covered the whole of your Shri N. R. Ghosh: Suppose you do memorandum. not make an ex parte case to the Shri D. C. Kaushish: Half way controller; you do not prove your through, Sir. case; in the absence of the defendant, if your case is so weak? This is fol­ Mr. Chairman: You were to have lowed in every law. taken an hour and a (Jtiartei*. ' m s now more than an hour and a half. Shri Kaushish: If you kindly read clause 15(7) it says: that if a tenant Shri D. C. Kaushish: I will try to fails to make payment or deposit as hurry up. required by the section, the Control­ Clause 14(5) gives discretion to the ler may order the defence against Controller to condone misuse of the eviction to be struck out. So, the property which is covered by clause law has already made a demand on 14(1) (c). We do not want this dis­ him. The question of ex parte does cretion to remain with the Control­ not arise. ler. If it is proved that it is misuse, it does not have to be further dragged Dr. Raj Bahadur Gour: Why then in on. The Controller may think it is that case strike off the defence? beneficial or against the interests. If I am the house-owner and I am living Shri Kaushish: The tenant is flout­ in a part of it, and if somebody has ing the Controller’s own orders. He taken on rent and he starts running a has been ordered and given a time of school, it is naturally going to be in­ 60 days to deposit the money in court convenient to me. The Controller and he does not do it. On the 61st might regard that it is not detri­ day you say defence is struck off but mental to the interests of the house­ you will still proceed with the appli­ owner. cation. When defence is struck off, it is not going to be taken into con­ Clause 14(6) gives the tenant six sideration either at that stage or at months’ time to vacate after a decree a later stage, what is the point of on the ground of personal need has pursuing the proceedings? been given. We want its deletion be­ cause it takes such a long time in Mr. Chairman: That is a minor •eviction, why prolong it for another point. Proceed on to the next. 63 D r. Raj Bahadur Gour: The point is heavy fines. There should be a just that justice should be done to the balance in this clause because if I tenant, that is all. issue a receipt, and I have no p r o o f that I have issued it to the tenant. S o ,, Shri Kaushlsh: Clause 16: This by this proviso I have asked___ again relates to sub-letting. Actual­ ly this is one of the clauses that allow Shri Deokinandan Narayan: But sub-letting through the backdoor, and you will have the counterfoil. we have asked for its deletion. Shri Kaushish: It does not s a y ini Clause 17(2): This again relates to the Bill, so the tenant can jolly well* sub-letting, and we have asked for its refuse. deletion for the same reason as I Shri Deokinandan Narayan: Will have given on the main clause. not the landlord preserve the counter­ Clause 17(3) also is again legalisa­ foil? tion of sub-tenants through the back­ Shri Kaushish: The tenant will s a y ' door, and we have asked for its dele­ that the landlord has just thrown* tion for the same reasons. away the original and kept t h e Clause 19: We have asked for its counterfoil. I want the tenant's, deletion as well. This clause provides signature on the counterfoil as a* that if the tenant has been evicted token of his having received the* under clause 14(1)(f) and (g), the receipt. It is a very legitimate Controller shall ascertain from the demand and I am sure this would b e tenant whether he elects to be placed conceded. Probably it was left b y in occupation of the premises or part oversight. thereof from which he is to be evict* S h r i N. R . G h o s h : That is usually ed when it is reconstructed. It fur­ the practice. ther goes on to say that if the house­ owner does not start construction Shri Kaushish: In clause 25(3) there within one month, he will be liable is a penalty provided for the landlord to such and such penalty. If he does for not issuing the receipt. We h a v e not build within such and such time, asked for the addition of clause 2 5 (4 ) he will be liable to a further penalty. which provides exactly the s a m e penalty for the tenant if he refuses to* As you are aware, due to shortage sign the counterfoil. This is with a of steel and other things, it some­ view to minimise disputes later on. times becomes physically impossible to complete building within the pres­ Shri Kalika Singh: On the o th e r cribed time limit. It is beyond the hand, it will increase the disputes. control of the landlord. Again, som^ Shri Kaushish: Then we come to t h e difficulties crop up with the local chapter relating to the appointment of body. You are not able to begin it in controllers and their powers a n d one month and finish it in the prescrib­ functions—clauses 34 to 42. ed time. Then, the penalty is so severe that the man would be really ruined. This Bill makes a very grave So, we have askied for the deletion of departure from all the previous rent this clause. control laws in the sense that the dispensation of justice under the rent In clause 25 we wish to add a pro­ law is being taken away from the viso. One feature of this Bill, as you judiciary and placed in the hands of know, is that it is providing too many the executive. I should like to add in deterrent punishments for the land­ all humility that this is contrary to all lords and is a big departure from the the progressive tendencies in any rent law. There are imprisonments, democratic country because where lots of them, fines and all that. This the legislation concerns the largest one relates to the issue of receipt. If number of people, they always like to the receipt is not issued, there are keep it away and still further a w a y 6 4 [Shri Kaushish] we want this institution to be conti­ :from the executive, and place it in nued. the hands of the judiciary where they Dr. Raj Bahadur Gout: Could you feel that extra-judicial influences may not court, and there could not be a tuil us why and in what manner the .more vulnerable aspect than the rent executive officer would be bad or the law where lakhs of people are con­ judicial officer would be good? cerned, and there might be influences Shri Kaushish: Probably, you would .exercised which would complicate the know it better than I do. If I explain, matter. there will be again an adverse com­ Mr. Chairman: I wonder if you have ment on my explanation. But I am ibeen informed that this procedure quite certain that you appreciate it as was i*i a way introduced with the well as I do. consent of both the parties, tenants as Dr. Raj Bahadur Gour: We would well as house owners. I expressed like to know what your practical my dissent even then. In fact, we experience has been. Jiad a long discussion, and the Chair­ man was good enough to hear me. I An Hon. Member: The less said, the objected to it very strongly even then. better. I have no objection to whatever designation you give to the man who Shri Kaushish: You have heard the As trying these cases, but he must be famous maxim,—I do not know who 'directly under the High Court. The said it—that power corrupts and reason was repeated to me that this absolute powei* corrupts absolutely. -was being done with a view to expe­ Dr. Raj Bahadur Gour: There may dite these cases. I at once gave them be corruption with no power also my reason, and it was noted down at sometimes. that time, and I do not know whether it was forwarded to you or not. Shri Kaushish: Following that We had said that in Delhi, we had maxim, I would wish tfaft these people can institution called commercial sub­ are still kept under the judiciary and judge, which has been there for ages. not under tbe executiy^. The Delhi Administration writes to Shri Kalika Singh: We should not the Punjab High Court to try certain give too much power to the judiciary ^categories of commercial disputes, also, because they will also l^e sayihg, we want a sub-judge of such corrupted. and such experience. And to him, no other judicial work is given except Shri Kaushish: No, I am proud of the commercial disputes of that my judiciary; they are still very much category. I had at that time told the better than so many others. We have chairman that our position was the produced Chaglas. same. Call him controller, or call him rent control sub-judge, but he should Mr. Chairman: Appeals do lie to the be under the control of the district High Court. judge and the High Court; he must not be under the control of the Shri Kaushish: Only on matters of executive. law. If there is no matter of law, and The reason was advanced to me there is only a matter of fact, then the that these people whom Government Controller has such wide and discre­ have asked for are from the judicial tionary power that he can decide it service, and they must have so much either way, and the moment I go to length of service. I at once told them the High Court, I shall just be told that the moment they came out from ‘What for have you come here? It is the overall control of the High Court, a matter of fact, which we cannot go they were under a different influence into; it is not a matter of law', and altogether. It is for that reason that my application is thrown out. 6 5 Mr. Chairman: And rightly, I think. Shri Rami Reddy: Certainly, you cannot walk down to an officer. Shri Kaushish: That is a matter of opinion. Shri Kaushish: But they do. Mr. Chairman: For, the man who Shri Rami Reddy: But you cannot hears the evidence is in a better posi­ talk to any officer even. tion to assess its value and worth. Dr. Raj Bahadur Gour: We only Shri Kaushish: Provided, he is in an independent atmosphere, and he has want that the litigation should not be a long-winding one, and for every no fear excepting the fear of God that small thing, you should not be allow­ he has got to dispense justice. ed to go to the High Court. As you Mr. Chairman: He is absolutely in­ suggest, if he is a judicial officer, he dependent but for the influences that applies his judicial mind to the prob­ can be; borne on him by the advocates. lem all right. As regards the facts* evidence etc. he considers everything Shri Kaushish: But there are more axvd then comes to a judgment On influences than that of the advocates. the questipn of facts, you capnot have Unfortunately, th§t goes on, and we any right to appeal, but on the point cannot help it. That has got to be of law, you will have. Suppose he is remedied. a judicial officer, will that not satisfy Shri N. B. Ghosh: But these people much of your anxiety? 'will1 be recruited from among judicial Shri Kaushish: No, not at all. For. offerers. you know that he is no longer under Shri Kaushish: It makes no differ­ the control of the Registrar of the ence. The moment a judicial officer High Court, of the district judge. For, has got to work under the instructions th^re is an {Jnder-secretary sitting in of the executive, he loses his indepen­ the Government of India, who has dent judicial entity. direct public dealings, and direct pub­ lic contacts, and he has got to write Shri Kalika Singh: That might be so his report and so on. I mention just with regard to an ordinary officer, but one level, but the same thing happens in the case of judicial officers, you right from the lowest up to the high­ can rest assured that such will not be est level. These are the people in the the case. After all, the judicial officer executive hierarchy who are in direct is to have so much length of service. touch with the public, and even with the best of intentions,— I am not Shri Kaushish: The moment he is doubting anybody's honesty—it hap­ taken away from the jurisdiction of pens sometimes unwittingly that you the High Court, he loses his independ­ do a thing which you may not do, if ence. For instance, you have got your the matters were in the hands of the manager and you transfer him to an­ judiciary. other firm; he is then no more under Mr. Chairman: All these disputes your control; he is under the control are likely to lie between the house­ of the other firm. owners and the tenants, and the tenants would ordinarily be a weaker Shri Rami Reddy: What does it party. • matter? He holds office as a judicial officer. • Shri Kaushish: But with a bigger political backing. Shri Kaushish: It matters quite a lot, because I can walk down to the Mr. Chairman: There is no question executive officer, but I cannot afford of political backing, since it is a civil to walk down to a judicial officer, dispute between individuals, and it is though I may be the highest man in pending before an officer, whether it the land. be one relating to rent or to ejectment 66 [Mr. Chairman] Mr. Chairman: Nobody wants it to or to anything else. Anyway, you arise. It is not particularly connected hold that opinion. with the law of landlord and tenant. Nobody wants that there should be Shri Kaushish: I hold that opinion, any occasion for such happenings, and actually, I hold it by experience. because they are bad and they are Mr. Chairman: We have all experi­ dismal. ence. Shri Kaushlsh: At the time of tak­ Shri Kaushish: Then, we have sug­ ing possession, you will hardly find a gested some amendments to clauses single example where there is no 34(1) etc. These are asking for the bickering or no abusing and coming to fits or something of that kind. We changes with a view to make the do not want that kind of situation to appointment of the rent controller under the judiciary. If you like, I continue. For one thing, it is not good for us. For another, we want our can go through them one by one, safety, if you would kindly concede Mr. Chairman: No. You have us that much. already taken about two hours. Shri N. R. Ghosh: You want to Shri Kaushish: I shall try to wind avoid lawlessness. up. So far as clause 49 (5) is con­ cerned, we have asked for the incor­ Shri Kaushish: Yes. poration of a new clause, which reads Shri N. R. Ghosh: There is such a thus: provision in the Civil Procedure Code. "If the landlord applies for delivery of possession with the Shri Kaushish: It takes about six police aid, the Court shall pass an months. If the sub-judge hears the order to that effect at the time of application and is satisfied* he for­ issue of warrants of possession or wards it to the District Judge. The at any other stage of execution.”. District Judge again examines the merits of the whole case and if he also Just for illustrating the need for agrees, he forwards it to the District this, I have given an example of a Magistrate. The District Magistrate man who was murdered when he went also goes through the whole thing and to take possession, and the only if he is satisfied, sends it to the IG of punishment that the tenant got was Police, and if the IG is also satisfied, three months* imprisonment. In an­ then police help is given. This will other case, tire tenant tried to shoot take six months. Here is one promi­ the landlord, and of course, there was nent house-owner with us. It has no punishment in that case, because happened in his case and it has hap­ the landlord was not killed, but the pened in mine. landlord was in the hospital for a few months. I am sure no administration Seth Girdharilal: I went in 1945. I would tolerate this kind of lawless­ took over in 1957 and that too only ness, but it is a defect in the present with police help. law at the moment that it does not Shri Kaushish: Because it goes so empower the presiding officer to give him the fullest help. I am told that many times back and forth. If any­ one of the four officers does not consi­ such a provision is there in Bombay der that police help is not necessary, to give aid liberally, because they want continuance of law and order. police help is not given. Mr. Chairman: How does the ques­ Mr. Chairman: You mean that if tion of tenant and landlord come in there is a summary procedure, such here, because if a man is murdered, situations will not arise. there is murder? Shri Kaushlsh: But we do not want Shri Kaushish: What is the harm If that eventuality to arise. police help, where needed, is given? 6 7 Mr. Chairman: There is no bar and Having finished that, I would con­ <10 ban. clude by a few observations. Unfor­ tunately, too much sentiment and Shri Kaushish: Thank you. The last passion has been displayed in the amendment that I have asked to be matter of rent law. If statistics were imade is in respect of clause 52. We made available and studied dis­ have asked for the deletion of “the passionately, the picture would have Slum Areas (Improvement and been very much different. In a total Clearance) Act, 1950 or the Delhi period of over 5J years, ejectment Tenants (Temporary Protection) Act, suits filed for non-payment of rent 1956” for the simple reason that the have been 7811. Suits filed for sub­ Delhi Tenants (Temporary Protec­ letting are 4233; suits filed for bona tion) Act was meant for two years. fide personal requirements 4298; suits If this law is passed, why should it be filed on other grounds 3392. The •continued? It was a temporary law total number of suits in about 6 years till this came. is 19,714, out of which about 60 per The other thing is that there are a cent are for non-payment of rent and large number of decrees today which sufa-letting. How many decrees have have been lying with the houseowners actually been executed? That is an because 90 per cent of Delhi has been eye-opener. Out of 20,000 suits filed, declared a slum. Even if you possess just 2270 tenants have been actually your decree from the Supreme Court, evicted. you cannot execute it, unless you have an authority from the competent au­ Mr. Chairman: How many suits out thority under the Slum Clearance Act, of these have been decreed? an executive officer. Shri Kaushish: I do not have the Now, I did not want to say anything figures. at that time as to the differentiation between the executive and the judici­ Shri N. R. Ghosh: I think 70 per ary, but if you call for statistics, as to cent of them were dismissed. how many of the decrees have been sanctioned in those areas, they are Shri Kaushish: About 80 per cent only exceptions where big pressure are dismissed. The odds are so over­ was put from many fries. I asked them whelmingly against, 4278 bona fide what is the reason. Why should a personal requirements. decree passed by the High Court or Air. Chairman: That is a different Supreme Court be held back? Apart thing. I wanted to know if you have from the executive aspect of it, they any figures. said one of the reasons was that they did not want improvement to take Shri Kaushish: These are the place in that area, because when we figures. For a population of 20 lakhs, acquire the property under the Slum 60 per cent of cases are for non-pay­ Clearance Act, in addition to the three ment and sub-letting. If you examine years* compensation, we will have to the statistics, I am sure you would pay for the improvement also. It is a not say that it is the houseowners very strange policy. Under the Slum who are harassing the tenants. Out Clearance Act, as I read out earlier of 20,000, only in the case of 2000 has from Shri PatiPs Report, Government the verdict gone to the other side, are going very very slow, the reason because there were far too many being that they cannot overcome it. wrong-doers. There is a fear on the If the private owner wants to do it, part of a section of the houseowners you want to discourage him. So we that in spite of default on the part of want that if any eviction order has tenants, they would not go to a court been given, it must not be stayed of law. They say that the law is such because of an area having been that in spite of the other side having declared a slum area under the slum done wrong, the verdict would not be clearance law. on their side. 68 [Shri Kaushish] and the point something are only big; So this is the state of affairs which owners. has to be removed and a healthy Mr. Chairman: Whom do you calL balance achieved in the interest of big owners and whom small? creating harmony and in the interest Shri Kaushish: The small owner is of society. Otherwise, it will get one who lives in a part of the h6use worse and worse every day. The or at best up to one owning two result would be that construction— houses. that is the most important aspect of it—would suffer. 99 per cent of the Shri N. K. Ghosh: The average rent owners in the city are only small is Rs, 300 or Rs. 400 or how much per middle-class and lower middle class month. people who own pre-war built pro­ Slltl Kaushish: If those houses were perty. They have made it their social fetching economic rents, they would security. Now, they have been robbed be worth nearly Rs. 300 to Rs. 400 of it. The bigger investor, ever since per month today. But, they are fetch­ these complications came up, has ing Rs. 50 in the city today. I am stopped constructing for the common speaking mostly about the city man who rushes to the city in search because if you take the example of of a job and is helping in expanding New Delhi it will be a very bad industry, because he says ‘If I build example. When we talk of the city for the small man, he is amenable to we talk of the common man who political dynamite; so I am not needs it. going to build for him, I will build in Diplomatic Enclave’. The poor man Mr. Chairman: You have said that has been sadly neglected during the 99 per cent of the owners own small past several years. Who was cons­ houses. What would be the average tructing for him? It was the small income according to the rates prevail­ man, small artisan, clerk who had ing today? I am not asking about saved some money, built a house, is what they would fetch. living in a portion of it and has let out the other portion. He is scared Shri Kaushish: According to the today. When somebody goes to him, formula I have given, they would be abuses him and his children and fetching Rs. 300 or so. insults his family, he is no longer Mr. Chairman: What do they get interested in putting up a house. If today? a balance is not achieved, the cons­ truction for the poor man who needs Shri Kaushish: The owner is getting it most in this city will be completely Rs. 50. at a standstill. Government have Mr. Chairman: So, would it be true their own difficulties; they cannot to say that 99 per cent of the houses construct and it is only this section owned by the people in the city are which can construct. Something must getting only Rs. 50 per month? be done in this law to restore their confidence so that they are able to Shri Kaushish: Yes; Rs. 50 per help the Government, help themselves unit; that is what they are getting if and help the tenants. you take the average. Mr. Chairman: When you talk of Shri N. E. Ghosh: Can you give us these 99 per cent of people, how many figures to show how many houses are houses do they own each? owned by small owners. Shri Kaushish: Some of them one; some of them two, as I have said. Shri Kaushish: I had asked for in­ formation from Government and It Mh Chairman: What would be the has i\ot been supplied to me. But, as proportion 6 f those owning two? I said, more than 99 per cent and le^s Shri Kaushish: It may be evenly than 100 per cent are small owners divided. «9 Bir. Chairman: That is, one half The whole Committee—and for ottm one house: the other half own that matter the Parliament and Gov­ two houses. Would the income in ernment—are worried on one pointy each case, on an average, not be more and that is the cost of construction. thdn Rs. 50 per month? You would probably know that thfe Housing Ministers* Conference also* Shri Kaushish: Yes—per unit. If it laid stress on this question of bring­ is one house, one unit; if it is two ing down the cost of construction. houses, two units. The cost of construction in any Mr. Chairnuut: Is it net or gross? scheme of rent control goes to the root, of the quantum of rent that is Shri Kaushish: In some cases, it is fixed. The Government has got con­ gross because you have got to pay trol over steel, cement and other electricity, water and local rates. things. Still, would you tell us how you would like to bring down the Mr. Chairman: When you talk of cost of construction and what help1 averages we take all these together. you need? Shri Kaushish: I would not hazard We are also worried about the a guess on this. artificially inflated cost of construc­ Mr. Chairman: It makes a great tion when you go to the Rent Con­ deal of difference whether it is gross troller for fixing the standard rent. or net. There is that human tendency. Can you tell us what guarantees can be Shri Kaushish: I shall be very glad had against this artificial inflation? to collect this information and forward Shri Kaushish: My Federation, in it to you later on. the past, has done a lot of work on this aspect and sent the results to Shri N. R. Ghosh: Can you give us Government also on various occa­ information about the number of sions. This actually covers three or owners of one house only who oc­ four questions straightaway. cupy a part of it and Jet the remain­ ing portion to tenants? In these days, the majority of in­ vestment that accounts for high rent Shri Kaushish: I cannot give you is the cost of the land. Except in a the exact number. But, as I replied few far-flung colonies, you cannot to the Chairman, it will be about 50 buy land except from Government. per cent, in the small owners group. If a man who is working in the city wants to live within a radius of 3 Mr. Chairman: Is it that the smal­ miles from his work, he has got to ler owners occupy one half and live on government land leased out share the other half with the tenants? to private people. That land costs, Shri Kaushish: It is different with today, upwards of Rs. 100 per sq. yd. different localities. In Daryaganj, Before war, it was varying from 0 where there are four flats in a small annas to Rs. 16. In Karol Bagh building, the owner lives in one people were not willing to pay even and—as I gave you the example of six annas; and today you cannot the doctor and his sons—the tenants buy land in that locality for less live in the other flats. The buildings than Rs. 200 per sq. yd. Government are built on that pattern of flats of is releasing such lands in parcels, so two rooms each. The man is still that there is a scarcity in release. If living in o.ie unit. 100 plots are released, there are 10,000 buyers and the open bid goes Dr. Raj Bahadur Gour: The gentle­ up in auction. When I put up a man who has just spoken seems to tenement on a piece of land for have been well briefed. Therefore, I which I have paid over Rs. 100 per do not think, he will mind if I tax him sq. yd. about half the income out of a little. it I am charging for the money that ?o [Shri Kaushish] from the insurance company. But I have paid to Government. I am today LIC is also following the rules getting nothing out of it. I am of the Reserve Bank. In fact there merely a collecting agency. One is a case of a man who just got a method by which you can reduce the loan from the Lakshmi Insurance cost of construction and bring it Company some weeks before it was within the reach of the common man nationalised. That man is paying 8 is for Government to develop vast per cent interest on that loan to the tracts as they have done in other LIC. democratic countries and give them Dr. Raj Bahadur Gour: They accept to building societies or individuals even immovable property as a col la- who are willing to invest. terial security. In those countries the basis is that Shri Kaushish: I don’t know. So they charge 3 per cent interest on far as I know they just keep it far the cost of development. But they away from them. In other countries, •do not charge this on the cost of if you have a broken-down machi­ ♦development in respect of certain nery, you can raise a loan against it, ■categories of houses. either from a bank or from an in­ Coming to the other aspect where surance company or from anybody you say that the human tendency is you know. Foreign Governments to increase the figure, what they did have encouraged banks and private in England and America to safeguard institutions to give loans upto 90 ugainst this was that when they gave per cent of the value of the property. the land they also gave the plans. Here, you might even possess Rs. 50 Then they say: “These are for one- lakhs worth of property, but you room tenements: these are for two- cannot raise 50 naye paise either room tenements; these are for three- from Government or from the LIC. room tenements, etc. You are get­ I understand that the LIC is getting ting this land free; our approximate Rs. 10 lakhs a day of its income.... calculation of the cost is so much; Dr. Raj Bahadur Gour: You have you will be guaranteed this much of missed my question. You are going return on your investment; if you into the sources of finance for cons­ do not have all the money to put in, truction of buildings. My question you will be given a cheap loan to be was simply this: How could you re­ repaid over a longer period”. On duce the cost of construction? This this basis they constructed houses. was the point pointedly raised by Mr. 'So, at two stages the inflated cost K. C. Reddy at’the Darjeeling Confer­ was reduced. One is by restricting ence. the plans to certain types. The other Shri Kaushish: Sir, we had a dis­ is by working out their cost very cussion with Mr. K. C. Reddy for scientifically. There is a third aspect about 90 minutes on this point. I :also and I think it is an important think we have almost succeeded in factor and that is this: When you convincing him that the three steps *re making the same thing over and to be taken to achieve this object are over again, the cost necessarily goes as I have explained, namely, one 'down. thing is to give cheap land on the Here, even if you give the land, rough basis that I gave you. Another the Government do not pay money. thing is to restrict plans to definite .And the banks will not give money patterns without allowing multipli­ against the security of property. city of designs depending upon the Here, the Reserve Bank has issued in­ number of rooms. The third one is structions to all the Scheduled Banks this: When you restrict your plans *to the effect that no loan is to be to certain designs, you will obvious­ .advanced against the security of pro­ ly develop certain techniques on use perty. Previously, when the insur­ of materials etc. which will cer­ ance business was not nationalised, tainly bring down the cost of cons­ you could get money for construction truction because at every stage you 71 would not find it necessary to run to Government and the Government an architect or an engineer. The gives you the loan, how would you thing would have become standardis­ like that scheme of things? ed by that time. Shri Kaushish: 1 think we would, Mr. Chairman: Obviously you can provided our rents on buildings reach get land free and materials at a that standard of flexibility according nominal price and get a reasonable to the formula which I have men­ return on what you are supposed to tioned to you. Otherwise, th is is have spent on buildings. , not going to worK.

D r . Raj Bahadur Gour: If I remem­ Dr. Raj Bahadur Gour: You want ber correctly the witness has pointed­ loan facilities. At the same time, you ly laid emphasis on houses built be­ want an immediate increase as well fore 1939. But I may say that the per­ centage may be the same because the Shri Kaushish: Otherwise: as S. K cost of construction was less in those Patil Committee report has mention­ days. I wonder whether you have ed, all money will go waste—if it gone through the Bombay Act which is not maintained. separates the question of substantial repairs—I do not mean ordinary re­ Dr. Raj Bahadur Gour: Suppose we pairs like white-washing etc. If in­ separate residential premises from stead of making the expenses incur­ business premises for purposes of fixa­ red for such substantial repairs part tion of standard rent. How would you of the rent—say, you separate it a l­ like that scheme of things? together—you get a part of that ex­ penditure reimbursed by the tenant, Shri Kaushish: I have already ex­ how would you like that scheme of pressed my view on that. Business things? premises should be outside the pur­ view of the Rent Controller. Shri Kaushish: I think, on princi­ ple there may not be very great ob­ Dr. Raj Bahadur Gour: Suppose the jection to that. But here again, quantum of rent will be different io there is an element of human factor. the two cases? There will be innumerable disputes on a single agreement. I know of a Shri Kaushish: What is the quan­ house-owner who has spent Rs. 10,000 tum of rent referred to? One would and the tenant was asked to give like to know that. Rs. 5,000. Even after five years it has not been decided who should D r . Raj Bahadur Gour: It will be a spend and what. The best thing is little higher than in the other case. to charge a percentage because a tenant may not have Rs. 5,000 but Shri Kaushish; Supposing it is he can certainly pay an interest on reasonable, we will agree. Rs. 5,000. I think, personally, it Shri Kalika Singh: How do the would not work out satisfactorily. Courts here in land acquisition cases Dr. Raj Bahadur Gour: I will go to arrive at the price of premises? Sup­ the next question. I do not want to pose, they have got annual rental spend more time on this point because value, then what multiples they we have heard your views on it, al­ adopt. ready. My third question will be this: Shri Kaushish: In what cases? You have quoted liberally from S. K. Patil Committee report. That Com­ Shri Kalika Singh: In land ac­ mittee suggests that for some stand­ quisition cases. ard houses, certain loans must be granted to you for repairs or re­ Shri Kaushish: In land acquisition building, or whatever you may call it. cases they take up 16 times of the If you invest part of your wealth in market value. 72 Shri Kalika Singh: Suppose they Shri V. P. Nayar: Even at the first have got annual rental value, then stage? what multiples do the Courts adopt? They must have got some fixed num­ Shri Kaushish: Yes. ber of multiples. Mr. Chairman: What do you mean Shri Kaushish: I will give you that when you say beyond the first stage? formula of Section 8 of this Land Acquisition Act. Shri Kaushish: That is the Con­ troller stage and you have not to Shri Kalika Singh: I am talking of go to the Rent Control Tribunal. Section 23—Courts. Mr. Chairman: Where the Control­ Shri Kaushish: They take up 20 ler is the original Officer trying the years’ market value. It has been laid cases, then what do you suggest? down by the High Courts that the potential value of a property shall be Shri Kaushish: If I understood taken into consideration. That is Mr. Nayar's question correctly, it was, what is paid under the Land Ac­ “if a case has been decided by the quisition Act. Controller on a matter of fact, would you agree that there should be no Shri Kalika Singh: Are you sure appeal to the Rent Control Tribu­ that it is 16 per cent? I think it is nal?”. That was the question I ans­ 10 per cent in most of the cases. wered. Shri Kaushish: I am giving you the Shri V. P. Nayar: I do not follow figures from memory. I stand cor­ your answer. rected. That is my impression. But I am very certain about one thing Shri Kaushish: My answer is, if that both the market value and the Controller is under the judiciary, potential market value of the pro­ a judicial Officer of standing, I perty are taken into consideration. would certainly welcome your sug­ gestion because this will reduce time Shri Kalika Singh: There are three and litigation. or four ways in which they calcu­ late. One of these methods is on the Shri V. P. Nayar: The second ques­ basis of annual rental value. tion to which I would like to get an answer is this. Could you give us Shri Kaushish: There are so many an indication of the percentage of ways. That is one of them. buildings constructed alter 1952 Shri V. P. Nayar: You were dis­ which could be called as low income cussing about the functions of the housing as opposed to the others in Controller and you said that He must Delhi? be directly under the judiciary. In Shri Kaushish: None has been con­ so far as superintendence and con­ structed. I can say that with fairly trol is concerned, the Controller good amount of confidence. should naturally come under the High Court. You will also agree that Shri V. P. Nayar: My third ques­ there will be a spate of such cases. tion is this. You gave us some ex­ Would you like it that in cases of amples of how pre-war rent collected appeals there should be some restric­ from business houses still remains ‘it tions, say, for example, there can be pre-war level. You gave us an in­ no appeal on questions of lact. stance of the Imperial Hotel, as also Shri Kaushish: I agree with you on of the M/s Spencers & Co., and some that point if he is directly under the Theatres. Dr. Gour asked you whe­ judiciary and there is no interference ther you would like a differentiation from the Executive. I would be between the two standards, one happy to place it that beyond first standard for concerns which do pro­ stage there should be no appeal on fit making business and the other for a matter of fact. residential purposes. How far do you 73 think the residential buildings oc­ the landlord.” If you have seme such cupied for residential purposes should kind of formula, we certainly have derive an advantage from the house­ no objection to putting it within the owner as opposed to the buildings purview of the Act. I think, it is rented out for profit making commer­ again going to create complications. cial purposes? Shri Gopikrishna Vijaivargiya: 1 Shri Kaushishs Sir, we have also want to put a question. Our friend given some thought to this problem was quoting an illustration of Eng­ and we for one have not been able land, but in England all the build­ to find any satisfactory formula by ings were demolished by War and which you could segregate the com­ they have to give some incentive for mercial premises. So, we decided the construction of buildings. under the circumstances.... Shri Kaushlsh: Nof Sir. I do not Shri V. P. Nayar: Leave it to us. think it will be a very correct state­ Shri Kaushish: To keep them out­ ment that all the buildings had been side the Rent Control Law. demolished during the War. In fact, if you see the preliminary report, Shri V. P. Nayar: That is not the you will find that more buildings point. I would put it in this way. have been damaged ten times due to Would you like it that the rent in so neglect of white-washing. far as the commercial establishment is concerned be subjected for fixation So far as the question of incentive by the Controller within a certain is concerned, if you ask me, honestly margin to be prescribed under this I can say that five years’ rent holi­ Law, say, from 10 to 15 per cent or day is not attractive, because 1 from 6 to 10 per cent, depending upon merely have the satisfaction of get­ the circumstances of the particular ting that much from the tenant and business? paying it to the government in the form of high taxes. If you exempt Shri Kaushish: No; we would not all new constructions from payment like to leave it to the Controller. of income-tax for a period of five years it will be of some Shri V. P. Nayar: Even when the assistance. If you really want to Controller is under the judiciary, you give some incentive to construct would not like to leave it to the houses, instead of giving five years* Controller? holiday from rent, you put it down Shri Kaushish: You cannot work as five years’ holiday from income-tax out such a satisfactory formula for and a substantial part of the corpora­ business industry. tion tax. That would really be an incentive. But, at the moment, the Shri Nayar: You certainly want higher the rents charged, the higher your cost of construction or other the taxes he pays to the government expenses to be believed and you do He is merely collecting it for some­ not want the Controller to arrive at body else. a decision on the basis of accounts submitted by others. Shri Deokinandan Narayan: You said that about 99 per cent of the Shri Kaushish: In Britain today, landlords are middle class people. I though all business premises are out­ would like to know how many are side the purview of Rent Control paying income-tax. , Law, but still when a landlord ap­ Shri Kaushish: Today everybody plies for eviction of a tenant under pays income-tax. Even a pakoda- the ordinary law of the land, the seller has to pay income-tax. Court calls for the Auditor of the tenant and studies the figures and Shri Deokinandan Narayan: You then says, “No, your figures are can give an aproximate figure of the wrong. You should pay so much to landlords who pay income-tax. 74 Shri Kaushish: That information ' rough hazard, it will be 10 per cent will be available to government. Pro­ more. bably, I cannot give you a satisfac­ tory answer. Mr. Chairman: That is to say, if you had to spend Rs. 10 on repairs Mr. Chairman: You said that their at that time, you will have to spend total annual income would be about Rs. 11 now. Rs. 600, that is, Rs. 50 per month. Shri Kaushish: Yes. Then, obviously only a few would be liable to income-tax. Mr. Chairman: How many of the houses are duly repaired by the Shri Kaushish: But they have other house owners in your area? income too. Today a mason earns Shri Kaushish: For the old ones only Rs. 5 per day. His wife gets Rs. 2. those house-owners repair them well His son earns another Rs. 2. who have other means of income. Mr. Chairman: Do you suggest that in addition to the rent that they Mr. Chairman: Why don’t others repair? collect, their income from various other sources would bring them with­ Shri Kaushish: Those who have in the ambit of the Income-tax Act? limited incomes and no incomes from Shri Kaushish: It becomes all the other sources cannot obviously do it. more harder because___ The number of houses which are col­ lapsing is an index of it. There are Mr. Chairman: It may be harder a row of houses in Chandni Chowk, or softer. I want to know ---- two-roomed houses, which are rented out for a controlled rent of Rs. 11. I Shri Kaushish: Exemption from think it will not be fair to expect him income-tax is not for ever; only five to keep it in tenantable condition, as years* tax holiday on the new con­ required by the law, with Rs. 11 a structions. month. Mr. Chairman: I have understood Mr. Chairman: You said that the that. Well, you own some houses, I increase in cost of repairs would come presume. to about 10 per cent. So. if there is Shri Kaushish: Yes. an increase of 10 per cent, in rent, it would be even. Mr. Chairman: And you have been repairing them? Shri Kaushish: It will increase the dilapidation by another ten per cent Shri Kaushish: Yes. as best as I Because of the lack of income, he is can within my means. not able to carry out the repairs and Mr. Chairman: May I know what the buildings are deteriorating further. difference there has been in the cost So, you would be making it ten per of repairs during the last five or six cent, more difficult for him. It will years? not cover any expenditure. It is actually worse. Shri Kaushish: Regarding the cost of repairs, I should be quite honest. Mr. Chairman: How do we make it If I were given a free hand ...... 10 per cent, more difficult? Mr. Chairman: You have to make Shri Kaushish: Because the cost has some standard repairs. You had been gone up. doing it previously. As far as the cost is concerned, suppose it was X some Mr. Chairman: It has gone up by 5 or 6 years ago, what would it be 10 per cent. The rent is also raised today? by 10 per cent. Shri Kaushish: That does not account Shri Kaushish: For the buildings for the rise in prices of various com­ constructed in the 50s, making a modities. 75 M r. Chairman: If the cost of repairs Shri Kaushish: There is not the was originally 5 per cent, it is now least doubt about it. 5i per cent. So, the percentage of M r. Chairman: Under those circum­ rent also rises along with the rise in stances, the house owners are not able cost of repairs. to repair the houses adequately. Well, Shri Kaushish: Well, I think in most would you suggest any means by cases it has not been even quite which these houses could be repaired enough for the annual white washing. without the house owner intervening I will put it that way. in the matter and finding it difficult to M r. Chairman: What is not enough? do so? Because, you said they are not doing it because they cannot do it. Shri Kaushish: The pegged down Someone else has to do it rents that we are getting. One month’s rent that you legally want us to spend Shri Kaushish: If the Government on repairs is not enough even for the has resources, they may do it. white-washing of the premises. Sardar Ranjit Singh: I will give an M r. Chairman: How much do you example. I have got a house at 6—8 need for repairing the houses and Jantar Mantar Road. That house was keeping them in good order? built in 1920 or 1921 and the rent was Rs. 250. In 1940 that house was taken Shri Kaushish: Suppose I give the example of a two-roomed tenement, over by Government, rather requisi­ that would need a minimum of, if not tioned by Government, and the Gov­ ernment was deducting one or two more than, say Rs. 125—150. months’ rent as repair charges. After M r. Chairman: I have not been able 18 years when the house was de-requi- to follow it. What is the Rs. 125—150? sitioned, the house was in a bad state What is the rent that the landlord of repairs and it cost me Rs. 18,500 to gets for that house? carry them out. The repair charges" Shri Kaushish: Rs. 11 per month. that the Government agreed to pay M r. Chairman: Then the total repair was only Rs. 4,500. From the roof bill will exceed the rent that he is plaster was falling; doors were broken. getting. Even the money promised by Govern­ ment has not been paid for the last Shri Kaushish: Yes; I had this parti­ two or three years and I do not think cular building in mind when I gave there is any possibility of getting it. the example. During the last 20 years the house M r. Chairman: What is the general could not be properly repaired at all. position? I think that within the next 20 or 30 Shri Kaushish: It would be round years most of the houses will be in a about iWmay be 10 to 15 per cent, very bad position, because the repair more of less. cost is going up. Even the stone flooring requires repairs badly. As Mr. Chairman: Then you say that the house grows older repair cost the rent which the house owner gets becomes higher. It has now gone 5 to today is not enough even to cover the 6 times higher than what it was in cost of repairs? 1939. Shri Kaushish: In a very large number of cases that is true. I would Mr. Chairman: Since 1951? not say in all cases it is so. Sardar Ranjit Singh: Since 1951 I M r. Chairman: Have houses gone think about 10 or 12 per cent. I am out of repair? a contractor: I have been doing work here. My father was also a contractor. Shri Kaushish: It does not require My father built the Rashtrapati any proof. The index is the number Bhavan. On the house in which 1 am of houses that are falling. living every year I used to spend M r. Chairman: Most of them are in Rs. 250 to Rs. 300 on repairs. I don’t a very bad state? do it every year nowadays; I do it [Sardar Ran jit Singh] will treat me at 1939 charges and only in alternate years. It costs me transport at 1939 rates. We do not Rs. 1,500. live on air; we also eat food. Mr. Chairman: Have you any idea Shri Onkar Nath: That applies only of the total number of tenants that to 1 per cent? we have in Delhi? Shri Radha Raman: In the year 1939 Shri Kaushish: We asked for that and previous to that, what do you figure; this figure is not available even think satisfied the landowner as fair with Government. return on investment? Shrimati Sucheta Kripalani: You Shri Kaushish: As an old citizen of gave the instance of a house the rent Delhi you and I know that for pur­ of which is Rs. 11 per month, and poses of valuation of property, for which cannot therefore be repaired. exchange or sale, a house used to be Have you any idea of the percentage valued at 6 per cent, net market value of such houses in Delhi? before war. Shri Kaushish: That category will Shri Radha Raman: What was the be in the vast majority. In the Old actual fair return to the landlord? City you will see nothing else except­ ing that. t f i5T5T : *£ • W3 «PT HTHT Shrimati Sucheta Kripalani: Will «rr i wnrtft it be 60 per cent or 70 per cent? t I Shri Kaushish: I would put them even at 90 per cent. fffarCTT* : # *Hf3T VTT ** Shrimati Sucheta Kripalani: You S*F5TT ^ fa ST?Tf ’sfafl’ mean to say that 90 per cent, of the ^ aftr mft 3 spt#

S hri Onkar Nath: At present it does Shri K aushish: In the five rupees not apply to all. category we would have roughly about Shri Kaushish: At present in most four to five hundred people. Then cases where the rents are pegged, how our remaining people are about half can you? That has been my thesis, or one rupee members or even less because you are not getting any than half a rupee. The others c*-e money. those who have just filled up the forms and put their problems as best as they Shri Onkar Nath: What is the mem­ could. bership of your Federation? Mr. Chairman: Is it a Federation Shri Kaushish: If the Chairman started only recently? would allow me to answer this ques­ tion if it is relevant to the Bill, I shall Shri Kaushish: Yes, Sir, it has in answer it. fact assumed this form in 1956. But all these units have been there for a Shri Onkar Nath: We want to know long time. For instance my friend the percentage of landlords that your behind me has been carrying on from Federation represents. 1939. Most of our members, about Shri Kaushish: As I put it in the fifty of them, association members, beginning, we represent the common are pre-war. landlord who has the common tenant. D r . G o u r : How many associations M r. Chairman: He wanted to know have you got in the Federation? the strength 9 f your Federation, the Shri Kaushish: Fifty of them, small number of members that you have. ones. Shri Kaushish: You know ours is a % Dr. Gour: What will be the aggre­ Federation with a constitution of the gate membership of all these? federating type. Now, in every area they have small House-owners* Asso­ Shri Kaushish: It is again the same ciations. You go to Patel Nagar, way that those who are slightly better Subzi Mandi, Daryaganj. We have off ...... individual membership also from those D r . G o u r : places. But all associations are our The total. members, which makes us fairly repre­ Shri Kaushish: It depend# upon the sentative, as I would put it, in the area, but probably in each area you democratic terminology. will find anywhere between 200 to a thousand. It depends upon the area. M r. Chairman: What is the number of your individual members? D r . G o u r : I want the aggregate of all the fifty associations. Shri Kaushish: We have different categories of individual membership Shri Kaushish: For all the fifty also. For instance, in respect of associations, I would put it something widows and minors we do not charge like an average of about 300. even one rupee. If you go down to Balli Maran and Chitli Kabar area we Shrimati Sucheta Krlpalani: You charge a rupee from them; they are told us that in Karol Bagh land is sold very poor landlords. at Rs. 200 per sq. yd. May I know in which part of Karol Bagh? My Mr. Chairman: And from others? information is that in Karol Bagh land Shri Kaushish: We charge five is sold at prices between fifty to ru p e e s. seventy-five rupees per square y a r d . M r. Chairman: Five rupees per year? So I would like to know the particular area where prices are so high. Shri Kaushish: Yes, Sir. M r. Chairman: How many indivi­ Shri Kaushish: Ajmal Khan R o a d . dual members have you got? Madam. 7 9 efhmrimr: m * *ff?ntrr Shri Kaushish: I would say that it is time Government started think­ ^ ^ fip so qr&e vfrt fr*« ft* jpr ing in terms of progressive decontrol. ?rr ^ ^ We may achieve that in ten years’ time or even fifteen or twenty years. wft* fTf-Ttf IPT fk^HiJjift n If control is there, it will be an arti­ M f fspf m Cqfepr* ficial thing and it will always be asking for further adjustments which t o f i ft t ?t fa ^fr will be very difficult. irsr??*w£foT*rr *rre v «r i Mr. Chairman: Supposing the con­ trol is withdrawn, how would the Sir* fft ^m> *rrt*?r fwr $ fa vpt rents go up? What is your Idea. 3* Wfrff V ftRTO SiR'fc'T qr trftljtf Shri Kaushish: Then there would ^ f^irm *fr *rr w t «r be some dislocation and hardship as all house-owners are angels. *rrfir?r w$ *r^, ?nrf{ Mr. Chairman: We assume there # ^ 31 fV#re t t % »nj i are very few angels, you being inclu­ ded as one. How much would th* Shri Kaushish: *tpt «pr IT? ^FSH rents jump up? fo?*r*r >T9Rr 11 wror TPfr ir 11 Shri Kaushish: I think if the rents go The law in itself is defective. And up everywhere for about a month or this goes to the credit of the judiciary so there may be complete confusion. that even a bad law they are willing to implement faithfully. They sec Mr. Chairman: I am not asking for that it is unjust but they are hide­ confusion. bound and they cannot jgo beyond the provisions of the law. That is not the Shri Kaushish: But the rents will fault of the landlord but the fault of stabilise anywhere between five and the law. six times. I am talking of stabili­ Shri Onkar Nath: Have you any sation compared to the prewar level. judgments to cite? Mr. Chairman: I am asking about rents as they are prevalent today. I Shri Kaushish: I gave you one am not talking of prewar or postwar. example, namely, can any High Court As the rents are today, what would think it reasonable that a tenant can be the result if controls were with­ go on paying Rs. 200 and charging drawn? Rs. 1,800 for his own house elsewhere but which is not suitable for him? If, Shri Kaushish: There will be con­ the High Court had the discretion to fusion for a little while and then say that this man owns a property they will stabilise. elsewhere and he no longer enjoys the protection of this Rent Act then Mr. Chairman: Waat would be the the case would have gone before the rise? High Court under the Transfer of’’l«f ll shri Kaushish: For the pre-war Property Act and the High Court properties, it will certainly be *s high would have said that the disparity is as the figure I gave you. I gave you too unjust, and they would have said the example in Chandni Chowk. But “yes, you have to pay the market it will all depend on individual cases value, whether it is Rs. 1,800 or Mr. Chairman: Five or six times whatever it is”. they would go up. Mr Chairman: Generally, you would like all these control laws to be Shri Kaushish: The existing rents scrapped? would go up five or six times. 8o

M r . Chairman: We are talking in Shri Kaushish: A large part of them tenns of the existing rents, not as they would be doubled, in the next category existed fifty years ago. it may be trebled; then it may e v e n 4 be four or five times. T h e re n ts Shri Kaushish: In the case of the would go up by 2 to 5 times; it will new properties, in certain cases, it will depend upon individual property. come down. M r. Chairman: The range would b e M r. Chairman: What is new p r o ­ between 2 to 5. perty? Shri Kaushish: It may vary from two to six times approximately. Shri Kaushish: Built after 1950. Mr. Chairman: Very well. T h a n k M r. Chairman: On the houses b u ilt you very much. before 1950 what would be the effect of the withdrawal of controls? (The witnesses then withdrew.) Agency Name and address of Agency Name and address of No. the Agent No. the Agent 39. £. M. Gopalkrishna Kone, 46. Hindustan Diary Publishers, (Shri Gopal Mahal), North Market Street, Secunderabad Chitrai Street, Madura. 47. Laxami Narain Agarwal, Hospi­ 40. Friends Book House, M. U. Ali­ tal Road, Agra. garh. 41. Modem Book House, 286, 48. Law Book Co., Sardar Patel Jawahar Gan], Jubalpur* Marg, Allahabad. 42. M. C. Sarkar & Sons (P) Ltd., 49. D. B. Taraporevala & Sons Co. 14, Bankim Chatterji Street, Private Ltd., 210, Dr. Naoroji Calcutta-12. Road, Bombay-1. 43. People’s Book House, B-2-829/1, 50. Chanderkant Chiman Lai Vora, Nizam Shahi Hoad, Hyderabad Gandhi Road, Ahmedabad. Dn. 51. S. Krishnaswamy & Co., P.O. 44. W. Newman & Co. Ltd., 3, Old Teppakulam, Tiruchirapalli-1. Cout House Street, Calcutta. 45. Thackar Spink & Co. (1938) 52. Hyderabad Book Depot, At>id Private Ltd., 3, Esplanade East, Road (Gun Foundry), Hydera­ Calcutta-1. bad. P r in t e d a t t h e P arliamentary W in o o f t h e G o v e r n m e n t o f I n d ia P r e s s, N e w D e l h i a n d p u b l is h e d b y t h e L o k S a b h a S e c r e t a r ia t u n d e r R o l e 382 o f t h e R u l e s o f P r o c e d u r e a n d C o n d u c t o f B u s i n e s s i n L o k S a b h a ( F i f t h E d it i o n ).