G.O. (Ms.) No. 596, Permission to Hold Lands Held by Industries or Commercial Undertakings

What the government order governs

G.O. (Ms.) No. 596 of the Revenue and Disaster Management Department, Land Reforms Wing, deals with industrial or commercial undertakings that apply under section 37-A of the Tamil Nadu Land Reforms (Fixation of Ceiling on Land) Act, 1961, for permission to hold surplus land.

It specifically covers situations where:

• The seller held land beyond the ceiling limit, but the authorised officer had not made a declaration under section 20.
• An industrial undertaking applied under section 37-A and later transferred all or part of the land to another industrial undertaking while its application was pending.
• The later buyer also applied for permission under section 37-A.

Main direction

G.O. (Ms.) No. 596 directs that a seller attracted issue is not, by itself, a bar to considering an application under section 37-A. This applies whether the application was made by the original owner or a later purchaser.

Where no declaration under section 20 has been made, the process is:

• The State Government must first consider the section 37-A application on its merits.
• The authorised officer must wait for the Government's decision and must not pass an order under section 20 while the application is pending.
• If the Government refuses permission, the authorised officer may proceed with orders for transfer of the land to the Government.
• Existing provisions of the Tamil Nadu Land Reforms (Fixation of Ceiling on Land) Act, 1961, and its rules continue to apply when surplus land is declared.

How applications may be assessed

The Government may examine each application individually. Relevant considerations identified in G.O. (Ms.) No. 596 include:

• Whether the buyer company and the transfer are genuine.
• The circumstances and genuine reasons for the sale or transfer.
• The scope of the proposed industrial or commercial activity.
• Whether the land is being used, or will be used, for the stated purpose.
• Whether treating the transferred land as the buyer's excess land leaves the overall quantity of excess or surplus land unchanged.

Who may be affected

G.O. (Ms.) No. 596 is relevant to industrial and commercial undertakings buying or receiving land that may exceed ceiling limits, including later purchasers applying while an earlier section 37-A application remains pending. It also guides authorised officers, the Commissioner of Land Reforms, District Collectors and the State Government when processing these cases.