Explained: What is the Enemy Property Act, 1968?

Explained: What is the Enemy Property Act, 1968?
Explained: What is the Enemy Property Act, 1968?

New Delhi: The ancestral property of the Pataudi family may soon come under the central government’s control. The properties are estimated to be worth Rs 15,000 crore, most located in Bhopal. The Madhya Pradesh High Court has lifted a stay order on the Pataudi properties, which may result in their acquisition by the Centre under the Enemy Property Act, 1968.

According to the Enemy Property Act, 1968, the Indian government can claim the properties of individuals who migrated to Pakistan after the Partition in 1947. In this article, we will learn more about the Enemy Property Act and why it came into force.

Understanding the Enemy Property Act, 1968

What is the Enemy Property Act?

The Enemy Property Act, 1968 is a law in India that allows the government to take control of property owned by Pakistani nationals. This law was created after the Indo-Pakistani War of 1965. The government assigns control of this property to a department called the Custodian of Enemy Property for India. The law also includes movable properties classified as enemy properties.

Enemy Property Definition

Enemy Property refers to assets left behind by people or groups who moved to enemy countries, such as Pakistan and China, after conflicts such as the 1965 and 1971 India-Pakistan wars and the 1962 India-China War.

The Indian government first took control of these properties under the Defence of India Rules of 1962, which were created under the Defence of India Act of 1962. The Custodian of Enemy Property for India (CEPI), a Ministry of Home Affairs department, was assigned to manage these properties.

In the 1966 Tashkent Declaration, India and Pakistan discussed returning these properties, but Pakistan sold them off in 1971. India continued to manage these properties under the Enemy Property Act of 1968.

This Act allows the government to take custody and manage these properties to stop their use against national interests.

Key Amendments & Legal Challenges to the Enemy Property Act

Amendment

The Enemy Property (Amendment and Validation) Bill, 2016, was passed by Parliament in 2017. This law changed the 1968 Enemy Property Act and the 1971 Public Premises (Eviction of Unauthorised Occupants) Act.

The 2017 amendment expanded the definitions of “enemy subject” and “enemy firm”. It now includes an enemy’s legal heir and successor, whether they are an Indian citizen or from a non-enemy country. It also covers the successor firm of an enemy firm, no matter the nationality of its members or partners.

The amendment clarified that enemy property stays under government control even if the original enemy’s status changes.

Key Legal Cases

Union of India vs Raja Mohammad Amir Mohammad Khan Case, 2005

The Raja of Mahmudabad owned properties in Uttar Pradesh. After the Partition, he moved to Pakistan in 1957 and became a Pakistani citizen, which led to his estate being labelled as enemy property.

His wife and son stayed in India as Indian citizens. After the Raja passed away, his son claimed the properties, arguing against their status as enemy property. The Supreme Court of India ruled that since the son was an Indian citizen, he had the right to reclaim his father’s properties. The court decided that the properties could not be considered enemy property because their rightful heir was an Indian citizen.

Impact: The Supreme Court’s decision resulted in many relatives of people who moved to Pakistan making claims. In response, the government issued ordinances to stop courts from returning enemy properties, eventually passing The Enemy Property (Amendment and Validation) Act in 2017.

Lucknow Nagar Nigam & Others vs Kohli Brothers Colour Lab. Pvt. Ltd. & Others Case, 2024

The Supreme Court ruled that enemy property held by the Custodian is only temporarily vested. The Union of India cannot claim ownership because there is no transfer of ownership from the original owner to the Custodian, meaning the government has no ownership rights.

States with highest Enemy Properties

Uttar Pradesh has the highest number of enemy properties, with 4,991.

Bengal follows with 2,735.

Delhi has 487.

 The Madhya Pradesh High Court’s decision to lift a stay on the Pataudi family’s properties has brought the Enemy Property Act of 1968 back into focus. This Act allows the Indian government to seize assets belonging to individuals who migrated to Pakistan after Partition. The Act’s amendments in 2017 further complicate matters, affecting the legal heirs of those who migrated.   knowledge Knowledge News, Photos and Videos on General Knowledge