i Political Economy of Growth: An Evaluation of Revenue Department / Administration with Special Focus on District Faisalabad Faisalabad Submitted to GC University Lahore in partial fulfillment of the requirements for the award of degree of Doctor of Philosophy IN Political Science By Kiran Khurshid Registration No. 65-GCU-PHD-PS-2008-2011 DEPARTMENT of Political Science, GC UNIVERSITY LAHORE ii A Political Economy of Growth: An Evaluation of Revenue Department / Administration with Special Focus on District Faisalabad Kiran Khurshid Registration No. 65-GCU-PHD-PS-2008-2011 DEPARTMENT OF POLITICAL SCIENCE GC UNIVERSITY LAHORE iii iv v vi vii Acknowledgments After the grace of Allah, first and foremost I am indebted to my supervisor Mr. Khalid Manzoor Butt and the Chairperson of Political Science Department who helped my research put on the track whenever I felt out of my element. There were many hiccups during the long journey to this research completion despite that my supervisor always helped me scale these through his sagacious advice and he was always willing to move his good offices in my support whenever required. I am also grateful to my alma mater, i.e., GCU to provide me this opportunity to do Ph.D. at my home town in a qualitative manner. I am thankful to many people who helped me start and complete my research work at GCU and in my personal sphere. I would not be out of place to acknowledge the contribution of the revenue department at Faisalabad who shared their candid views with me. Among them are Tehsildar Mr.Rana Sajid and stenographer Mr. Zahoorul Haq, who assisted me in collecting vital data of revenue collection. Mr. Yahya Naib Tehsildar, Jaranwala Tehsil for extending his support during my field visits and especially Mr. Iftikhar Gill Naib Tehsildar, Tehsil Sadar, Faisalabad for not only extending his valuable assistance but also offering his insight into the phenomenon under research. Besides them, the District Revenue Accounts branch also was ready to oblige me for sake of this research whenever I requested them. For that I am thankful to them. On a personal note I am grateful to my parents for always encouraging and motivating me to seek more knowledge and for instilling in me an appreciation for out of the box thinking. Staunch support and motivation of my husband during the last leg of this journey inspired me anew to finish this onerous task. I am grateful to him for his constant prodding and persistent interest in my research. Lastly, I would like to thank my younger brother Zohaib Khurshid for doing all tedious work for me and for typing my thesis, accompanying me on field tours, doing recordings and taking pictures. He helped me shape up my research work in desired format. For that, I am grateful to him. May Allah bless them all. viii Abstract In the agrarian economy like sub-continent, the land revenue has traditionally remained a major source of revenue collection by the government especially in absence of industrialization. Mughals established the skeleton of the land administration in sub- continent and the colonial regime of Britain later developed muscles on it. Purpose was maximum collection of revenue to bear the expenses of state craft. In order to maximize the potential of wasteland especially in Punjab, the British introduced the most extensive and efficient system of canal irrigation at that time. Huge but hitherto unpopulated and uncultivated tracts of west Punjab now Pakistan were made irrigable by means of digging of a network of canals from Indus River System and by offering lucrative grants of fertile lands to the leading agriculturist classes in east Punjab now India. This scheme opened new vistas for development in plains of five rivers in Punjab and a new socio-economic milieu took birth here by employing the prowess and entrepreneurship of landed gentry from east Punjab. Not only theses engineering and administrative feats changed the demographic profile as well as subsequent socio-economic and political landscape of Punjab but also greatly enhanced the avenues of land revenue collection. Many new taxes, rents, fees and cesses were introduced under the relevant Acts to be collected from the landowners, peasants and tenants as the case might be. The base of the land revenue widened a great deal and the revenue increased tremendously. This phenomenon of canal colonies was awesome and remains so for many till today. However, the subject matter of present study is the efficiency of the revenue administration and its efficacy in collection of land revenue. For that matter, the district Faisalabad has been selected as area of study first because it was at the heart of the Chenab Colony, the biggest canal colony and secondly the researcher worked there in the revenue department at tehsil and district level and directly imbibed information from the environment and came up with multiple observations on its present working. ix It has been noticed with grave concern that this erstwhile most productive department that was the mainstay of the provincial revenue receipts has gone to the dogs. Its significance has receded due to emergence of new sources of revenue, e.g., excise and taxation, industry, and a plethora of federal taxes. Despite many efforts and drives to enhance the revenue collection by the BOR, results are not very impressive. Data collected from original sources reflect this dwindling trend carefully hidden behind a thin veneer of financial jugglery. It is interesting to note that the actual demand or target of revenue receipts is either slashed by dividing it into suspension or irrecoverable amounts or under booked or not booked at all. It all leads to under assessment of the revenue demand each year thereby reducing the target of collection on the one hand. On the other hand, during the collection against this target, there appear many loops, snags and leakages. Many malpractices have taken roots in the revenue department due to lose supervision and control. Quality of HR has also deteriorated. Timely observance of notified schedules of revenue assessment and collection are largely ignored. Professionalism is often being sacrificed in the name of political expediency. Politicization of the revenue department especially at the grass roots level has eroded the chain of command and corroded the norms of service. Currently, the revenue department is in reverse paradigm and standing upside down. Introduction of cosmetic reforms has proven counterproductive. That is why, the need of the hour is the overhauling the revenue department with strong administrative commitment coupled with staunch political will after taking into confidence all the stakeholders. x Dedication To my parents xi Table of Contents Page Chapter No Topics No. Chapter 1 Introduction 1 1.1 Introduction 2 1.1.1 Statement of the Problem 7 1.1.2 Significance of the Study 8 1.1.3 Research Objectives 8 1.1.4 Sources of Data 9 1.1.5 Research Methodology 9 1.1.6 Data Collection Techniques 10 1.1.7 Structure of the Thesis 13 1.1.8 Citation Style 14 Chapter 2 Literature Review and Conceptual Framework 16 Chapter 3 Historical Evolution of Land Administration in Punjab 29 3.1 Defining the Land Revenue Administration 30 3.1.1 Explaining the System of Land Revenue Administration in 30 Punjab 3.2 Statutory Framework of Land Administration in Punjab 34 3.3 Historical Evolution of land revenue administration in 37 Punjab 3.3.1 Land Revenue Administration before British 37 3.3.2 Land Administration of Punjab under British Raj 39 43 Colonization Schemes 46 The Colonization Scheme of Chenab Colony xii 47 Branches of the Lower Chenab Canal 48 The Colonization Begins 48 Selection of Colonists Phase 1 (1892): Allotment on Rakh & Mian Ali 49 Branches Phase 2 (1896): Allotment on Jhang & Bhowana 50 Branches Phase 3 (1898): Allotment on Gugera & Burala 51 Branches 51 Distribution of Colonists by Religion and Tribe 52 Square System 52 Units of measurement of Land 52 Killabandior the Square System 53 Village Plan 3.3.3 Land Administration in Post-Colonial Punjab 55 3.3.4 Functions of the Land Revenue Administration 60 a) Revenue Specific Functions 60 b) Miscellaneous Functions 63 An Evaluation of Revenue Collection in District Chapter 4 65 Faisalabad Data Analysis 2001-2013 4.1 Land Revenue Defined 69 4.2 Mechanism of Collection of Land Revenue 71 Selection of Indicators to Evaluate the Performance of 4.3 72 Revenue Department in District Faisalabad 4.4 An Evaluation of Revenue Collection 75 4.4.1 Collection of Water Rate 75 4.4.2 Collection of Agriculture Income Tax (AIT) 88 1. Land Based AIT 88 xiii 2. Income Based AIT 88 4.4.3 Local Rate 98 4.5 A Comparative Analysis of Three Indicators 100 Chapter 5 Suggestions and Recommendations 103 5.1 Structural Variables 106 5.2 Political Variables 108 5.3 Socio-Economic Variables 109 5.4 Miscellaneous Variables 110 5.5 Initiatives Taken By the Government 110 1. Computerization of Land Record Management and 110 Information Systems (LRMIS) 2. Citizens Feedback Model 114 5.6 Recommendations 115 115 1 Improving the Revenue Collection 116 2 Improving the Infrastructure 117 3 Improving the Patwari Culture 119 4 Improving the Quality of Human Resource 120 5 Redefining the Boundaries of Revenue Estates 6 Excluding Urbanized Revenue Estates from 120 Assessment of Land Revenue 121 7 Maintenance of Revenue Record 122 8 Reclaiming State Land from Illegal Occupation 9 Bridging the Disconnect between Revenue, Judiciary 123 and Police 124 10 Depoliticize the Revenue Department Annexures 126 a. Terms & Definitions 127 xiv b. The Punjab Board Of Revenue Act, 1957 (XI Of 1957) 130 The Punjab Irrigation And Drainage Authority Act, 1997(XI 131 c.