Land acquired for public sector undertaking on which no occupancy right has been acquired to be saved to public sector undertaking.

Notwithstanding anything contained in this Act, where any land has been acquired for public sector undertaking under the Land Acquisition Act, 1894 (Act 1 of 1894), so much of land on which occupancy right has not been acquired by any tenant before the commencement of this Act in accordance with the tenancy law of the area in which it is situated, shall be saved to the said public sector undertaking: Provided that nothing in this Section shall entitle the public sector undertaking to create any intermediary interest or tenancy in accordance with the tenancy law of the area in which it is situated. Explanation. - Nothing in this proviso shall, however, affect the right of a public sector undertaking to lease out or settle lands with a view to provide civic, amenity, health, housing, welfare and educational facilities to its employees, or for industries concerning or ancillary to the industrial process carried on by the public sector undertaking: Provided further that nothing contained in this Section shall override the provisions of the Land Acquisition Act, 1894 (Act 1 of 1894) or Rules made thereunder.