§ Mr. WEDGWOODasked whether he can lay Papers showing what steps the Government of India are taking to obtain for the people of India the increase in the value of land due to the change of the capital to Delhi, and to the erection of Behar into a Lieutenant-Governorship with a capital at Patna?
§ Mr. NEWMANalso asked whether, before the decision to remove the seat of India Government to Delhi was announced, steps had been taken to acquire at reasonable price such sites for the erection of Government offices as will be necessary, and to provide accommodation in adequate cantonments for the increased white population now obliged to reside in Delhi; and whether, in the event of the answer being in the negative, it will be possible for the Government to obtain by compulsory method any sites which may have recently been acquired with a view to resale by Native or other land speculators?
§ Mr. MONTAGUIt was not practicable to acquire land for the new capital at Delhi in anticipation of the Durbar announcement; but immediately after the announcement a notification under the Indian Land Acquisition Act was issued, notifying the intention of the Government 433 to acquire compulsorily lands to the aggregate amount of about 180 square miles in the vicinity of the present city of Delhi. The Act enables the State to purchase lands so notified at a price based on the market value at the date of the notification, with reasonable compensation for severance and for compulsory dispossession; but in settling the compensation the Courts may not take account of any prospective increase of value. In view of these provisions and of the large area notified for acquisition, the Indian Government hope to secure a substantial part of the increment value resulting from the transfer of the capital. Similar proceedings to acquire land for a Government House and for offices have been taken in the neighbourhood of Patna. There are no papers on the subject to present.
§ Mr. WEDGWOODMay I ask whether the price of the land on the date of the declaration means before the declaration was made or immediately after, and whether anything is being done in a similar line at Patna?
§ Mr. MONTAGUThe market value of the land means the value when the notification was made I think it was made the same day as the announcement of Delhi.
§ Mr. WEDGWOODDoes that mean before the change of circumstances arose or after?
§ Mr. MONTAGUIt means on the same day or the day after the change of circumstances arose.
§ Mr. NEWMANCan the right hon. Gentleman undertake that there shall be no extra expense in cost of living for those officials who are compelled to change their residence from Calcutta to Delhi?
§ Mr. MONTAGUThe land has been acquired by the State at the value it had when the transfer was made, and therefore any increase in the value of the land will accrue to the State.
MARQUESS of TULLIBARDINEDoes the Under-Secretary not think the Indian Government are quite capable of managing Indian affairs without any interference from here?
Mr. MONTAGUEAs the Noble Lord is well aware in such matters as this the Government of India had to obtain the sanction of the Secretary of State, whose representative I am in this House.