Can Pvt Ltd Company in Maharashtra buy Agricultural land

1. A company eventhough in its MOA  having clauses of Agriculltural Activities as main objective can not buy agricultural land without permission from the collection under section 63.

2. Section 63 1A deals with the concept of SPECIAL TOWNSHIP PROJECT. Where anybody even company can purchase agricultural land for bonafide promotion of special township development.

3. What is section 89 permission I do not know.can anybody explain.

4. Neverthless a company/individual can enter into agreeement for sale of any agricultrual  land save tribal land and convert the same for non agriculatural land and after conversion enter into sale deed/conveyance deed including navin sarth land subject to the sale permission from the competent authorities under section 43 of the Bombay Tenancy and Agriculatural Act 1948.

Hemant ji,

Mu client has floated a Pvt Ltd. Company with its only main object as to carry out agriculture.

Maharashtra Agricultural Lands (Ceiling on Holdings) Act 1961, provides that.. ` No person shall hold agricultural land in excess of the ceiling limit prescribed`. Max ceiling limit for dry area is 54 Acres.

The said Act does not contain definition of person,

BTAL Sec 63 says no person who is not an "agriculturist" shall acquire Agri Land.

BTAL Act also does not contain definition of person. 

Therefore if we take recourse to General Clauses Act, we find that it defines person includes Body Corporate.

Going by this---  Company must be an agriculturist to acquire agri. land.

                              Company must not hold land exceeding ceiling limit under 1961 Act.

However I have talked with a few persons in Revenue department and also some lawyer friends they alsp say that there is no bar of section 63 on Company with agril. main object and no ceiling limit. 

But no one is able to give any citation or legal framework for their say...

Any clues..?

Can become agriculturalist by getting proper permission from the Collector of the Dist for the intention to become agriculturalist and after getting permission under section 63 of the Bombay  Tenancy and Agricultural Land Act 1948.

arunprakaash

Dear Experts,

I truly appreciate your efforts for the forum.

For an individual to buy agriculture land is it essential to have a farmer certificate or name in 7/12 extract be enough for registration and transfer of land.

My case : My grandfather owned agriculture land. He sold the land in 1960. But still name appears on the 7/12 extract. Using this and establishing relation hierarchy can i buy a agriculture land.

Thanks in advance

Regards

Vinod P

DEAR ALL !

UPTILL NOW ISSUE IS SETTLED FOR NOW ! 

A COMPANY CAN NOT BECOME AN "AGRICULTURIST" PLAIN AND SIMPLE...

I HAVE FOUND LEGAL AUTHORITY AND HIGHCOURT JUDGEMENT UNDER BTAL ACT TO THAT EFFECT...

I REQUEST ALL NOT TO TAKE RISK OF PURCHASE AGRICULTURAL LAND FOR AGRI. PURPOSE IN THE NAME LTD. COMPANY...

THANKS AND REGARDS..

SAGAR

Dear Hemant,

Kindly clarify that when a Pvt limited or public limited company can purchase agri land in Maharastra for cultivating crops whether the land ceiling of maximum 54 acres also applies or for companies or  it is unlimited holding.

2. any special treatment as for as plantation crops are concerned vis a vis larger holding

patil a s

Dear Mr sagar Phadke,

uptill now I saw that company can purchase  agri land for cultivation purpose but you have said otherwise  can you elaborate and quote related judgements. If so how companies like godrej are owning land?

PATIL A S

ONLY WITH THE EXPRESSION OF THE COLLECTOR:
1.  A registered Co. can perform   "ANY  &  ALL" activities (including any crops, plantations, SME units, godowns and so on)  on a agricultural land, BUT this is subject to obtaining   "prior permission"  and directions from the area collector, which again is dependent on several parameters and procedures that needs to be complied with.
Conclusion:  NO COLLECTORS PERMISSION = NO AGRI-LAND BUY BY CO.

2.  BY DEFAULT, a company CANNOT buy / sell agricultural land for any purposes.  IF a company buys agricultural land, without the express permissions of the area collector, THEN such agriculture land can be seized without any compensation to the company plus imprisonment of the directors.    However this seizure-parameter is not applicable to non-agricultural lands and few other category lands.

3.  Within the parameters of Indian Land Laws, a human person can only be a Agriculturist.  A company even though holding Agricultural land   "CAN-NEVER-EVER"   become an agriculturist, by any virtue, HOW-SO-EVER.    Within the parameters of Indian Land Laws, a human person can only be a Agriculturist  BECAUSE it can propogate another agriculturist.  The defination of a "Person"  under the General Clauses Act, relatively MAY pertain only to a non-human-person (i.e. a Co.),  for relative purposes  BUT since a company is not a human-person, and who cannot propogate a family and hence cannot be a agricultural person AND hence the fictional defination of a "Person"  under the General Clauses Act, is not applicable, specifically for the various Indian Land Laws.

4.  The ceiling limit of holding agricultural land, depends on various factors (typically a maximum of 54 acres)  and under certain parameters, it is 108 acres (subject to individual State laws).  THIS IS APPLICABLE TO INDIVIDUAL HUMAN-AGRICULTURISTS ONLY.      HOWEVER, In case of companies there is no ceiling limit for holding agricultural land  (subject to point no. 1 (above))  and in certain cases the permission of the Industries Commissioner has to be obtained. 

NOTE:  The Central & the State Government can, by default, acquire any type of land (agricutural land or NA land or any other immovable property) FROM ANYBODY,  specifically for   "Public Purposes / Projects",   without rhyming any reason whatsoever, subject to granting appropriate compensation or appropriate alternate land, elsewhere.

Keep Smiling .... Hemant Agarwal

Hemant sir,

After going through all the posts you have finally stated that " if there is no collectors permission -no agriculture buy by co".Now if there is a company whose directors are agriculturist (with all the documentary proof) buy an agriculture land as XYZ  co through directors ABC.Out of the land bought some of it has been sold to individuals and now only few acres is remaining .Further more there was a sumoto inquiry by the Tahasildar under sec 63 1 (a) and he has passed an order to use the land for bonafide industrial use and pay fine.

my query is if the directors are agriculturist and they have bought the land unfortunately in the name of company but their MOA AND ARTCLES specifically mentions to carry agriculture activities,then in these circumstances what will be the status?

would it be proper to file an appeal under sec74 of BT&AL ACTS to challenge the order for bonafide industrial use? Because the co bought it for agriculture purpose and nothing else.

Dear Hemantji,

All the above information is very vital. Same case/facts i have in which i am defendent as a Company, wherein i have to show that Company can purchase Agriculral land.

It's my kind request you to provide some case laws in that furtherance.

Regards,

Kapil Sonawane, Advocate

+91 9890769730

Dear Hemant Sir,

Please let us know if a private ltd company can purchase the agricultural land, develop it into plots (like by laying roads) and sell it to non-agriculturist without convertion. Please note it is the main business as per object clasue of MOA. It would be very helpful if you can let us know the regulations which either ristricts or facilitates these transactions. Further, whether the company can do so by purchasing the agricultural land through nominee..

 Sir,

Foreign Nationals including PIO, OCI card holders cannot purchase Agricultural Lands in India. But if a Pvt Ltd company is incorporated with directors being PIO , OCI card holder can they buy agricultural land in India?

Originally posted by : Smitha Nair
	Foreign Nationals including PIO, OCI card holders cannot purchase Agricultural Lands in India. But if a Pvt Ltd company is incorporated with directors being PIO , OCI card holder can they buy agricultural land in India?

1.   PIO (Person of Indian Origin)   .AND.   OCI (Overseas Citizen of India),   are not  "BonaFide" citizens of India  .AND.  CANNOT  vote in India  .AND.  a person who is not a Indian citizen  CANNOT buy agriculture land in India.  BUT can buy non-agricultural properties in India, subject to certain parameters.

2.   A Pvt. Ltd., company can be registered in India,  ONLY  "IF" the first two directors are bonafide Citizens of India, evidenced to the same supported by Election Identity Cards  and/or  PAN cards (isssued by Income Tax dept).   However,  PIO & OCI can be inducted as other / additonal / nominee directors in the company.
NOTE:  PIO & OCI can also not inheirit nor be gifted Agricultural property.

3.   Since PIO & OCI  are not bonafide Indian Citizens, they CANNOT purchase Agricultural Land, in their Individual capacity  BUT can buy non-agricultural properties in India, subject to certain parameters.  PIO & OCI,  who can totally relinquish their overseas Citizenship, can be granted full Indian Citizenship, and then can become eligible to buy agricultural land, subject to various parameters.

4.   Here in the QUERY instant,  a Pvt. Ltd. Co., is proposing to buy Agricultural land and not the PIO & OCI in their individual capacity.  Now read point no. 2 (above).   A company being a juristic & ficitional person, is YET NOT a individual (as in PIO & OCI).

Keep Smiling .... Hemant Agarwal