(1) Where in respect of the transfer or acquisition of any land 1[made on or after the commencement of this Act] the Tahsildar suo motu or on the application of any person interested in such land has reason to believe that such transfer or acquisition is or becomes invalid under any of the provisions of this Act, the Tahsildar shall issue a notice in the prescribed form to the transferor, the transferee or the person acquiring such land, as the case may be, to show cause as to why the transfer or acquisition should not be declared to be invalid and shall hold an inquiry and decide whether the transfer or acquisition is or is not invalid. (2) If after holding such inquiry, the Tahsildar comes to a conclusion that the transfer or acquisition of land is invalid, he shall make an order declaring the transfer or acquisition to be invalid: Provided that where the transfer of land was made by the landlord to the tenant in possession of the land and the area of the land so transferred together with the area of other land, if any, cultivated personally by the tenant did not exceed three family holdings, the Tahsildar shall not declare such transfer to be invalid if,- (i) the price of the land received by the landlord does not exceed the reasonable price thereof under section 90 and the transferee pays to the State Government a penalty of one rupee within such period not exceeding three months as the Tahsildar may fix, or (ii) the price of the land received by the landlords exceeds the reasonable price thereof under section 90 and the transferor as well as the transferee pays to the State Government each a penalty equal to one-tenth of the reasonable price within such period as the Tahsildar may fix. (3) On the declaration made by the Tahsildar under sub-section (2),- (a) the land shall be deemed to vest in the State Government, free from all encumbrances lawfully subsisting thereon on the date of such vesting, and shall be disposed of in the manner provided in sub-section (4); the encumbrances shall be paid out of the occupancy price in the manner provided in section 44 for the payment of encumbrances out of the purchase price of the sale of land, but the right of the holder of such encumbrances to proceed against the person liable for the enforcement of this right in any other manner shall not be affected; (b) the amount which was received by the transferor as the price of the land shall be deemed to have been forfeited to the State Government and it shall be recoverable as an arrear of land revenue; and (c) the Tahsildar shall, in accordance with the provisions of section 90, determine the reasonable price of the land. (4) After determining the reasonable price, the Tahsildar shall dispose of the land by sale at a price equal to the reasonable price determined under sub-section (3) in the prescribed manner in following order of priority :- (i) the tenant in actual possession of the land; (ii) the persons or bodies in the order given in section 84: Provided that where the transfer of land was made by the landlord to the tenant in possession of the land and the area of the land so transferred together with the area of the other land, if any, cultivated personally by the tenant did not exceed three family holdings, then- (a) if the price of the land received by the transferer does not exceed the reasonable price, the amount forfeited under sub-section (3) shall be returned to the transferor and the land restored to the transferee on payment to the State Government of a penalty of one rupee; and (b) if the price of the land received by the transferor exceeds the reasonable price, he Tahsildar shall grant the land to the transferee on payment of price equal to one-tenth of the reasonable price and out of the amount forfeited under sub-section (3), the transferor shall be paid back an amount equal to nine-tenths of the reasonable price. (5) The amount of the price realised under sub-section (4) shall, subject to the payment as aforesaid of any encumbrances subsisting on the land, be credited to the State Government: Provided that where the acquisition of any excess land was on account of a gift or bequest, the amount of the price realised under sub-section (4) in respect of such land shall, subject to the payment of any encumbrances subsisting thereon, be paid to the donee or legatee in whose possession the land had passed on account of such acquisition. 2[(6) Notwithstanding anything contained in sub-sections (1) to (5), the transfer or acquisition of any land shall not be declared invalid by the Tahsildar, if,- (i) the proceedings under sub-section (1), in respect of transfer or acquisition of such land are initiated after the date of commencement of the Maharashtra Tenancy and Agricultural Lands, the Hyderabad Tenancy and Agricultural Lands and the Maharashtra Tenancy and Agricultural Lands (Vidarbha Region) (Second Amendment) Act, 2016 (Mah. XX of 2016) (hereinafter in this sub-section referred to as the commencement date), or had been initiated before the commencement date, but no order under sub-section (2) had been made on or before the commencement date; and (ii) the area of such land including other land, if any, held by the transferee, who is an agriculturist, is not in excess of the ceiling area permissible under the Maharashtra Agricultural Lands (Ceiling on Holdings) Act, 1961 (Mah. XXVII of 1961); and (iii) the land so transferred or acquired,- (a) is being used only for the agricultural purposes and the transferee (other than tenant) pays an amount equal to fifty per cent. of the market value of such land as per the Annual Statement of Rates; or (b) is being put to use for any purpose other than agricultural purposes and the transferee pays an amount equal to seventy-five per cent. of the market value of such land as per the Annual Statement of Rates. Explanation.- For the purposes of this sub-section, the term Annual Statement of Rates means the Annual Statement of Rates published under the provisions of the Bombay Stamp (Determination of True Market Value of Property) Rules, 1995 or any other Rules for the time being in force in this regard, prevalent in respect of the year in which the transferee pays the amount as per sub-clauses (a) or (b), as the case may be, of this clause.]
<span style="margin-left:15px;"></span>(<i>1</i>) Where in respect of the transfer or acquisition of any land <sup>1</sup>[made on or after the commencement of this Act] the Tahsildar <i>suo motu</i> or on the application of any person interested in such land has reason to believe that such transfer or acquisition is or becomes invalid under any of the provisions of this Act, the Tahsildar shall issue a notice in the prescribed form to the transferor, the transferee or the person acquiring such land, as the case may be, to show cause as to why the transfer or acquisition should not be declared to be invalid and shall hold an inquiry and decide whether the transfer or acquisition is or is not invalid.<br> <span style="margin-left:15px;"></span>(<i>2</i>) If after holding such inquiry, the Tahsildar comes to a conclusion that the transfer or acquisition of land is invalid, he shall make an order declaring the transfer or acquisition to be invalid: <br> <span style="margin-left:15px;"></span>Provided that where the transfer of land was made by the landlord to the tenant in possession of the land and the area of the land so transferred together with the area of other land, if any, cultivated personally by the tenant did not exceed three family holdings, the Tahsildar shall not declare such transfer to be invalid if,-<br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>i</i>) the price of the land received by the landlord does not exceed the reasonable price thereof under section 90 and the transferee pays to the State Government a penalty of one rupee within such period not exceeding three months as the Tahsildar may fix, or <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>ii</i>) the price of the land received by the landlords exceeds the reasonable price thereof under section 90 and the transferor as well as the transferee pays to the State Government each a penalty equal to one-tenth of the reasonable price within such period as the Tahsildar may fix. <br> <span style="margin-left:15px;"></span>(<i>3</i>) On the declaration made by the Tahsildar under sub-section (<i>2</i>),-<br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>a</i>) the land shall be deemed to vest in the State Government, free from all encumbrances lawfully subsisting thereon on the date of such vesting, and shall be disposed of in the manner provided in sub-section (<i>4</i>); the encumbrances shall be paid out of the occupancy price in the manner provided in section 44 for the payment of encumbrances out of the purchase price of the sale of land, but the right of the holder of such encumbrances to proceed against the person liable for the enforcement of this right in any other manner shall not be affected; <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span><i>(b)</i> the amount which was received by the transferor as the price of the land shall be deemed to have been forfeited to the State Government and it shall be recoverable as an arrear of land revenue; and <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>c</i>) the Tahsildar shall, in accordance with the provisions of section 90, determine the reasonable price of the land. <br> <span style="margin-left:15px;"></span>(<i>4</i>) After determining the reasonable price, the Tahsildar shall dispose of the land by sale at a price equal to the reasonable price determined under sub-section (<i>3</i>) in the prescribed manner in following order of priority :-<br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>i</i>) the tenant in actual possession of the land; <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>ii</i>) the persons or bodies in the order given in section 84: <br> <span style="margin-left:15px;"></span>Provided that where the transfer of land was made by the landlord to the tenant in possession of the land and the area of the land so transferred together with the area of the other land, if any, cultivated personally by the tenant did not exceed three family holdings, then-<br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>a</i>) if the price of the land received by the transferer does not exceed the reasonable price, the amount forfeited under sub-section (<i>3</i>) shall be returned to the transferor and the land restored to the transferee on payment to the State Government of a penalty of one rupee; and <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span><i>(b)</i> if the price of the land received by the transferor exceeds the reasonable price, he Tahsildar shall grant the land to the transferee on payment of price equal to one-tenth of the reasonable price and out of the amount forfeited under sub-section (<i>3</i>), the transferor shall be paid back an amount equal to nine-tenths of the reasonable price. <br> <span style="margin-left:15px;"></span>(<i>5</i>) The amount of the price realised under sub-section (<i>4</i>) shall, subject to the payment as aforesaid of any encumbrances subsisting on the land, be credited to the State Government: <br> <span style="margin-left:15px;"></span>Provided that where the acquisition of any excess land was on account of a gift or bequest, the amount of the price realised under sub-section (<i>4</i>) in respect of such land shall, subject to the payment of any encumbrances subsisting thereon, be paid to the donee or legatee in whose possession the land had passed on account of such acquisition. <br> <span style="margin-left:15px;"></span><sup>2</sup>[(<i>6</i>) Notwithstanding anything contained in sub-sections (<i>1</i>) to (<i>5</i>), the transfer or acquisition of any land shall not be declared invalid by the Tahsildar, if,-<br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>i</i>) the proceedings under sub-section (<i>1</i>), in respect of transfer or acquisition of such land are initiated after the date of commencement of the Maharashtra Tenancy and Agricultural Lands, the Hyderabad Tenancy and Agricultural Lands and the Maharashtra Tenancy and Agricultural Lands (Vidarbha Region) (Second Amendment) Act, 2016 (Mah. XX of 2016) (hereinafter in this sub-section referred to as the commencement date), or had been initiated before the commencement date, but no order under sub-section (<i>2</i>) had been made on or before the commencement date; and <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>ii</i>) the area of such land including other land, if any, held by the transferee, who is an agriculturist, is not in excess of the ceiling area permissible under the Maharashtra Agricultural Lands (Ceiling on Holdings) Act, 1961 (Mah. XXVII of 1961); and <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>iii</i>) the land so transferred or acquired,-<br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span><span style="margin-left:15px;"></span><span style="margin-left:15px;"></span>(<i>a</i>) is being used only for the agricultural purposes and the transferee (other than tenant) pays an amount equal to fifty per cent. of the market value of such land as per the Annual Statement of Rates; or <br> <span style="margin-left:15px;"></span><span style="margin-left:15px;"></span><span style="margin-left:15px;"></span><span style="margin-left:15px;"></span><i>(b)</i> is being put to use for any purpose other than agricultural purposes and the transferee pays an amount equal to seventy-five per cent. of the market value of such land as per the Annual Statement of Rates. <br> <span style="margin-left:15px;"></span><i>Explanation</i>.- For the purposes of this sub-section, the term Annual Statement of Rates means the Annual Statement of Rates published under the provisions of the Bombay Stamp (Determination of True Market Value of Property) Rules, 1995 or any other Rules for the time being in force in this regard, prevalent in respect of the year in which the transferee pays the amount as per sub-clauses (<i>a</i>) or (b), as the case may be, of this clause.]<br>