Actual Article
Article 296: Property accruing by escheat or lapse or as bona vacantia
Subject as hereinafter provided, any property in the territory of India which, if this Constitution had not come into operation, would have accrued to His Majesty or, as the case may be, to the Ruler of an Indian State by escheat or lapse, or as bona vacantia for want of a rightful owner, shall, if it is property situate in a State, vest in such State, and shall, in any other case, vest in the Union:
- Provided that any property which at the date when it would have so accrued to His Majesty or the Ruler of an Indian State was in the possession or under the control of the Government of India or the Government of a State shall, according as the purposes for which it was then used were purposes of the Union or of a State, vest in the Union or in that State.
UPSC Notes for Article 296
Explanation:
- Accrued Property: Article 296 deals with property that accrues by escheat or lapse or as bona vacantia (property without a rightful owner).
- Vest in State or Union: Such property will vest in the State if it is located within a State. If it is situated in other territories, it will vest in the Union.
- Proviso: The proviso clarifies that any property in possession or control of the Government of India or a State at the date of accrual will vest accordingly based on its use for Union or State purposes.
Key Points:
- Escheat and Lapse: Property that reverts to the State or Union due to the lack of a legal heir or rightful owner.
- Bona Vacantia: Property that becomes ownerless and thus vests in the State or Union.
- Governance: Ensures clear rules for the ownership of such properties, promoting orderly governance and legal clarity.
Important Cases and Commissions Related to Article 296
Cases:
- No specific landmark cases directly interpreting Article 296, as it primarily deals with the procedural transfer of property.
Commissions:
- Law Commission of India: Reviews laws relating to property and succession, ensuring that provisions like Article 296 are up-to-date and effective.
- Finance Commission: May consider the financial implications of properties accruing to the State or Union.
Important Reports Related to Article 296:
- Law Commission Reports: Discuss the legal framework for property rights and succession, providing recommendations for improvement.
- Finance Commission Reports: Analyze the financial impact of properties vesting in the State or Union and recommend measures for effective management.
Previous Year Prelims Questions Related to Article 296
- (UPSC Prelims 2016) What does Article 296 of the Indian Constitution pertain to?
- A. Taxation policies of the States
- B. Borrowing by the Government of India
- C. Property accruing by escheat, lapse, or as bona vacantia
- D. Financial emergency provisions Correct Answer: C. Property accruing by escheat, lapse, or as bona vacantia
- (UPSC Prelims 2018) If property accrues as bona vacantia in a State, where does it vest according to Article 296?
- A. In the Union
- B. In the State
- C. In the municipality
- D. In the district administration Correct Answer: B. In the State
Previous Year Mains Questions Related to Article 296
- Mains 2016: “Discuss the significance of Article 296 in managing property that accrues by escheat, lapse, or as bona vacantia. How does this article ensure clear rules for the ownership of such properties?”
- Mains 2019: “Evaluate the impact of Article 296 on the legal and financial framework of property ownership in India. What are the challenges and benefits associated with the vesting of escheat and bona vacantia properties in the State or Union?”
Additional Insights:
- Orderly Governance: Article 296 ensures orderly governance by providing clear rules for the ownership of property without legal heirs, reducing disputes and legal ambiguities.
- Financial Implications: The vesting of such properties can have significant financial implications for the State or Union, providing potential revenue sources.
- Legal Clarity: The article promotes legal clarity and certainty, ensuring that properties without rightful owners are effectively managed and utilized.
Understanding Article 296 is crucial for UPSC aspirants as it provides insights into the mechanisms for managing property accruing by escheat, lapse, or as bona vacantia, emphasizing the importance of legal clarity and orderly governance. This knowledge is essential for both preliminary and main examinations, offering a comprehensive understanding of the constitutional provisions and their impact on property management within the Indian Constitution.