A  Bill  to  provide  for  abolition  of  mulgeni  and  conferring  ownership  on  mulagenidars  and  volamulagenidars    and  other  matters  connected  therewith  or  incidental  thereto;

Whereas  some  types  of  mulgeni  leases  in  respect  of  non-agricultural  lands  mainly    house  sites  are  prevailing  in  Dakshina  Kannada  and  Udupi  districts;

Whereas,  for  various  reasons  the mulgar’s  or  inter  nediary’s  right  to  recover  possession  being  a   remote  possibility,  their  only  right  is  to  receive  annual  rent;

Whereas  mulgenidars  and  volamulgenidars  have  invested  huge  amounts  by  putting  up  structures,  either  residential  or  commercial  and  they  are  unable  to  enjoy  the  holding  to  its  full  extent,  on  account  of  reluctance  of  mulgar  or  intermediary  to  give  consent  for  putting  up  structures  or  alienation  of  interest  of  mulgenidars and  volamulgenidars;

Whereas  the  prevailing  system  of  mulgeni  lease  is  neither   advantageous   to  mulgenidars  and  volamulgenidars    nor  really  beneficial  to  mulgars  or  intermediary,  but  on  the  other  hand  differences  between   the  two  had  given  rise to   speculative  transactions  by  unscrupulous    persons  and  spate  of  litigation  thereby  causing   further  difficulty  to  mulgenidars  and   volamulgenidars  .

Whereas  abolition  of  mulgeni  and  conferring – ownership  on  mulgenidars  and  volamulagendiars  on  their  paying  certain  amount  to  mulgars  or  intermediary  in  respect  of  extinguishments  of  their  rights  and   interest  in  the   holdings  will  put  an  end  to  multiplicity   of  litigation  and  eliminate    scope  for  vested   interests  to  indulge  in  speculative  transactions  and  thus   benefit  muglars  and  volamulgenidars;

And  whereas  for  the  purposes  hereinbefore    stated,  it  is  expedient   in  the  public  interest  to  provide  for  abolition  of  mulgeni  and  conferring  ownership   on  mulgenidars  and  volamulgeidars  and  for  matters  connected  therewith  or  incidental  thereto.

Be  it  enacted  by  the  Karnataka  State  Legislature  in  the  sixty  first   year  of  the  Republic  of  India  as  follows:

1.Short  title,  extent,  commencement  and  application:-(1) This  Act   may  be    called,  the  Karnataka  Mulgeni  Abolition  and  Conferment    of   Ownership  on  Mulageni  Tenants  A ct,  2010

(2) It shall extend to the Districts of Dakshina Kannada and Udupi. The State Government may, by notification, extend to such other parts of the State, as may be specified therein.

3) It shall come into force on such date as the State Government may, by notification, appoint.

4) It shall apply to all mulageni lease subsisting on the date of commencement of this Act.

2. Definitions: in this Act, unless the context other require:-

a)      “Competent Authority” means the Tahsildar of the “Taluk in which holdings or such other officers as may be notified by the State Government.

b)      “Holding” means land with or without building which is the subject matter of a mulageni lease.

c)       “Intermediary” means a mulgenidar who has sub-let the holding to a volamulgenidar and who is entitled to receive rent from him but not in possession of such holding.

d)      “Mulgar” means a lessor of holding who is entitled to receive rent;

e)      “Mulagenidar: means a mulageni tenant in possession of the holding liable to pay mulageni rent but does not include an intermediary.

f)       “Mulageni lease: means a permanent lease or lease in perpetuity and includes a submulageni lease from muilagenidar to volamulagenidar.

g)      “Mulageni rent” means rent fixed under the mulageni lease either in cash or kind or rendering service or by two or more of all these means;

h)      “volamulagenidar” mean a sub-mulageni tenant who has taken the holding on submulageni from a mulagenidar and who is in possession of such holding and liable to pay rent to such mulgenidar.

3. Conferment of ownership right on Mulagenider and Volamulagenidar:-

1. On the date of commencement of the Act, the Mulageni and Volamulageni is abolished. No person shall create mulageni or volamulageni from the date of commencement of this Act.

2. Every mulagenidar or volamulagenidar who, on the date of commencement of this Act is in possession and enjoyment of the holding shall be entitled to be conferred wit ownership of he holding, on this fulfilling the conditions specified in the succeeding sections and on conferring such ownership right on him, all rights and interest of mulagar and intermediary in such holding shall stand extinguished.

Provide that nothing in this section shall affect any mortgage or charge in respect of such holding.

4. Conditions for eligibility of conferment of ownership:- a mulgenidar of volamulagenidar shall be eligible for conferment of ownership right on him under this Act if he pays to the mulgar or intermediary or both an account equal to twenty times the annual mulgeni rent payable or rupees one thousand; whichever is more, as may be determined by the Competent Authority under Section 7.

Provided that premium, if any, paid by the mulgenidar or volamulgenudar shall not be deducted in the payable under this section.

5. Mulgenidars and Volamulagenidars to file applications:-

1. Every mulagenidars or Volamulagenidars entitled for conferment of ownership rights under section 3 and who desires to acquire ownership right over the holding held by him shall make an application in such form, containing such particulars, accompanied by such documents and within such times as may be prescribed.

2. Separate application shall be made under sub-section (1) in respect of holdings situated in different village or wards and in respect of different mulgars or intermediary

3. Names of Mulgars and intermediaries and all other persons who, in the knowledge of the mulgenidar of volamulgenidar, have interest in the holding concerned, shall be impleaded in the application as parties with full and correct postal addresses.

4. Any mulagenidar or volamulgenidar whose application filed under the Karnataka Land Reforms Act 1961( Karnataka Act 10 of 1962) praying for conferment of occupancy rights has been rejected by the land Tribunal for the reason that, the land in question is not an agricultural land, shall also  be eligible to make applications under this section.

6. Enquiry before the Competent Authority: (1) On receipt of the application under section 5, the Competent  Authority  shall  issue  individual  notice  to  all  the  persons  mentioned  in  the  application  and  also  to  such  others  persons  as  may  appear  to  be  interested  in  the  holding,  intimating  them  the  date  and  time  fixed  for  their  appearance and  calling  upon  them  to  file  their  objections,  if  any,  and  produce  relevant  evidence  in  support  of  their  objections.

(2) The   form  of  notice,  the  manner  of  serving  the  notice  and  all  other  matters  connected  therewith  shall  be  such  as  maybe  prescribed.  The  Competent  Authority  may  for  valid  and  sufficient  reasons  permit  applicant  to  amend  the  application.

(3) On  the   date  fixed  for  appearance,  if  the  person  fails  to  appear  before  the  Competent  Authority  even  after  due  service  of  notice  or  fails  to  file  objections  if  any,  the  Competent  Authority  may, after  making  such   verification  as it deems proper , pass order either conferring ownership or rejecting the application.

(4)Where  an  objection  is  filed  disputing  the  validity  of  the  applicant’s  claim  or  setting  up  a  rival  claim,  the   Competent  Authority   shall,  after  holding  such  enquiry  as  it  deems fit  pass  order  either  conferring  the  ownership  or  rejecting  the  application.

(5) The  Competent  Authority  may,  on  the  application  of  any  of  the  parties,  for  reasons  to  be  recorded  in  writing, correct  any  clerical  or  arithmetical  mistakes  in  any  order  passed  by  it.

(6) The  Competent  Authority  may,  on  its  own  or  on  the  application   of  any  of  the  parties,  for  reasons  to  be  recorded  in  writing,  correct  the  extent    of  holding  in any  order,  passed  by  it  after  causing  actual  measurement  and  after  giving    opportunity  of  being  heard  to  the  concerned  parties.

7. Determination  of  the  amount  payable  to  mulgar  and  intermediary:- After  passing  the  order  under  section  6,  the  Competent  Authority  shall,  having  regards  to  the  provisions  of  section  4  determine  the  amount  payable  to the  mulgar  and  intermediary   in  the  holding   and  prepare  a  statement  showing  apportionment  of  the  amount  so  determined  among  the  persons  entitled  to  it  in  accordance  with  the  value  of  their  respective  rights  and  interest  in  the  holding  .  The statement shall    contain such other particulars   as may be prescribed.

8. Issue  of  certificate  of  ownership:- (1) The  mulgenidar  or  volamulgenidar  on  whom  the  Competent  Authority  has  conferred  ownership  of  the  holding  shall,  within  thirty  days  from  the  date  of  receipt  of  the  order  determining  the  amount  under  section  7,  deposit  the  amount  before  the  Competent  Authority.

(2) The  Competent  Authority  shall,  after  the  amount  is  deposited  by  the  mulgenidars or  volamulgenidar    issue  a  certificate  that  ownership  has  been  conferred  on  the  mulgenidar  or     volamulgenidar,  as  the  case  may  be,  and  such  certificate  shall  be  conclusive   evidence  of  conferring  such  ownership.

(3) The  Competent  Authority  shall  forward   a  copy  of  the  certificate  issued  under  sub-section  (2) to  the  concerned  sub-registrar  who  shall,  notwithstanding  anything  contained  in  the  Registration  Act,  1908 (Central  Act  6  of  1908)  or  any  other  law,  register  the  same.

9. Appeal:- (1) Any  person  arrived  by the  order  of  the  Competent  Authority  under  section  6  may, within  a  period  of  three  months  from  the  date  of  the  order  of  the  Competent  Authority  appeal  to  the Assistant  Commissioner    of  the  revenue  Sub-Division  Concerned.

(2) The  Assistant  Commissioner  may, after  giving  an  opportunity  of  being  heard  to  both  the  parties  pass  order  on  such  appeal,  which  shall  be  final.

10. Bar  of  Jurisdiction:- Except  as  other  provided  in  this  Act,  no  Civil  Court  shall  have  jurisdiction  to  settle, decide  or  deal  with  any  question  which  is  by  or  under  this  Act  is  required  to  be  settled,  decided  or  dealt  with  by  the  Competent  Authority   or  the  Assistant  Commissioner.

11. Removal  of  difficulties:- If  any  difficulty  arises  in  giving  effect  to  the  provisions  of  this  Act,  the  State  Government    may  by  order    not  inconsistent  with  the  provisions  of  this  Act,  remove  the  difficulties.

12. Power  to  make  rules:- (1) The  state  Government may, by  notification,  after  previous  publication,  make  rules  to  carry  out  any  or  all  the  purposes  of  this  Act.

(2) Every  rule  made  under  this  Act  shall  be  laid  down  as  soon  as  may  be  before  each  House  of  the  State  Legislature  while  it  is  in  session  for  a  total  period  of  thirty  days  which  may  be  comprised  in one  session or  in  two  or  more  successive  sessions  and  if  before  the  expiry  of  the  session,  in  which  it  is  so  laid  or  the  sessions  immediately  following  both  the  House  agree  in  making  any  modification  in    the  rule  or  both  the  Houses  agree  that  the  rule  shall  not  be made,  the  rule shall  thereafter  have  effect   in  such  modification  form  or  be  of  no  effect,  as  the  case  may  be,  so  however,  that  any  such  modification or  annulment  shall  be  without  prejudice  to  the  validity  of  anything  previously  done  under  that  rule.

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