Bombay High Court Allows Petition and Declares Land Acquisition Lapsed Under Section 11A of Land Acquisition Act, 1894 Due to Non-Compliance with Time Limit. Award Excluding Subject Lands and Subsequent Inaction for Over Two Decades Leads to Lapsing of Acquisition Proceedings.

High Court: Bombay High Court In Favour of Accused
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Case Note & Summary

The petitioners, legal heirs of the original landowner Laxman Mahadev Katkar, challenged the land acquisition proceedings initiated by the State of Maharashtra for the Urmodi Project. The acquisition process began with a Section 4 notification on 1 January 1998, followed by a Section 6 declaration on 11 June 1999, and an award under Section 11 on 15 October 1999. However, the award expressly excluded the petitioners' lands (Gat Nos. 1763, 1776, 1787 at Palashi village). The petitioners had filed a review/stay application on 8 October 1999, which was partly allowed on 31 December 1999, remanding the matter for de novo hearing. Despite this, no further action was taken by the respondents for 17 years until a notice was issued on 26 December 2016. The petitioners submitted a reply on 17 January 2017, but the Sub-Divisional Officer rejected it via an unreasoned order dated 28 May 2018, directing mutation of the lands in favor of the State. The petitioners then filed this writ petition under Article 226 of the Constitution. The primary legal issue was whether the acquisition proceedings had lapsed under Section 11A of the Land Acquisition Act, 1894, due to non-compliance with the time limit for making an award. The petitioners argued that since the award excluded their lands and no subsequent award was made within the statutory period, the proceedings lapsed. They also contended that the impugned order violated natural justice as it was unreasoned. The respondents argued that the award was made within two years of the Section 6 declaration, thus complying with Section 11A, and that the exclusion of lands did not trigger lapsing. The court analyzed Section 11A, which mandates that an award must be made within two years from the date of the Section 6 declaration, failing which the acquisition lapses. The court noted that the award dated 15 October 1999 was within the two-year period but expressly excluded the subject lands. The court held that the exclusion meant that no award was made for those lands, and the respondents failed to take any further steps to acquire them within a reasonable time. The inordinate delay of over two decades, without any explanation, rendered the acquisition proceedings lapsed under Section 11A. The court also found the impugned order dated 28 May 2018 to be violative of natural justice as it lacked reasons and did not consider the petitioners' submissions. Consequently, the court quashed the impugned order and declared that the acquisition proceedings in respect of the petitioners' lands had lapsed under Section 11A of the Land Acquisition Act, 1894. The court directed the respondents to delete any entries made in the land records pursuant to the impugned order and to maintain status quo as per the interim order dated 18 February 2021.

Headnote

A) Land Acquisition - Lapsing of Acquisition - Section 11A Land Acquisition Act, 1894 - Time Limit for Making Award - The court considered whether the acquisition proceedings lapsed when the award under Section 11 was made within two years from the declaration under Section 6 but expressly excluded the subject lands, and no subsequent award was made within a reasonable time. Held that the exclusion of lands from the award does not extend the period under Section 11A; the acquisition must be completed within the statutory period, and failure to do so results in lapsing of the proceedings (Paras 3, 4, 8, 15, 16, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30).

B) Land Acquisition - Natural Justice - Reasoned Order - The impugned order dated 28 May 2018 passed by the Sub-Divisional Officer rejecting the petitioners' objections and directing mutation of land records was held to be violative of principles of natural justice as it lacked reasons and did not consider the petitioners' submissions. Held that such an order is unsustainable and liable to be set aside (Paras 14, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30).

C) Land Acquisition - Delay and Laches - Inordinate Delay by Acquiring Body - The court noted that after the award dated 15 October 1999 excluded the subject lands, the respondents took no steps for 17 years until issuing a notice in 2016, and thereafter passed the impugned order in 2018. Such inordinate delay without any explanation renders the acquisition proceedings lapsed under Section 11A. Held that the respondents cannot revive stale proceedings after such delay (Paras 15, 16, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30).

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Issue of Consideration

Whether the land acquisition proceedings in respect of the petitioners' lands have lapsed under Section 11A of the Land Acquisition Act, 1894, given that the award dated 15 October 1999 expressly excluded the subject lands and no further steps were taken by the respondents for over two decades.

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Final Decision

The court allowed the writ petition. It quashed and set aside the impugned order dated 28 May 2018 passed by respondent no.4. The court declared that the land acquisition proceedings in respect of the petitioners' lands (Gat No.1763, 1776, 1787 situated at Palashi village, Tal. Maan, Dist. Satara) have lapsed under Section 11A of the Land Acquisition Act, 1894. The court directed the respondents to delete any entries made in the land records pursuant to the impugned order and to maintain status quo as per the interim order dated 18 February 2021.

Law Points

  • Land Acquisition Act
  • 1894
  • Section 11A
  • lapsing of acquisition
  • time limit for award
  • mandatory provision
  • exclusion of lands from award
  • inordinate delay
  • natural justice
  • reasoned order
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Case Details

2024 LawText (BOM) (12) 113

Writ Petition No. 6997 of 2021

2024-12-11

G. S. Kulkarni, Advait M. Sethna

Mr. Nagesh Chavan, Mr. Rahul Khot (for Petitioners), Mr. Rajan S. Pawar (AGP for Respondents-State)

Laxman Mahadev Katkar (Since deceased) Through Legal Representatives, Vimal Laxman Katkar, Kaka Laxman Katkar, Pandurang Laxman Katkar

The State of Maharashtra, The Divisional Commissioner, The Special Land Acquisition Officer, The Sub Divisional Officer

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Nature of Litigation

Writ petition under Article 226 of the Constitution of India challenging land acquisition proceedings and seeking declaration that acquisition has lapsed under Section 11A of the Land Acquisition Act, 1894.

Remedy Sought

The petitioners sought a declaration that the acquisition proceedings in respect of their lands have lapsed under Section 11A of the Land Acquisition Act, 1894, and to quash the impugned order dated 28 May 2018 passed by respondent no.4.

Filing Reason

The petitioners were aggrieved by the impugned order dated 28 May 2018 which rejected their objections and directed mutation of their lands in favor of the respondents, and by the inaction of the respondents in completing the acquisition within the statutory period under Section 11A of the Land Acquisition Act, 1894.

Previous Decisions

The land acquisition award dated 15 October 1999 expressly excluded the subject lands. The review/stay application of the petitioners was partly allowed on 31 December 1999, remanding the matter for de novo hearing. The impugned order dated 28 May 2018 rejected the petitioners' reply and directed mutation.

Issues

Whether the land acquisition proceedings in respect of the petitioners' lands have lapsed under Section 11A of the Land Acquisition Act, 1894, given that the award dated 15 October 1999 expressly excluded the subject lands and no further steps were taken by the respondents for over two decades. Whether the impugned order dated 28 May 2018 passed by respondent no.4 is violative of principles of natural justice as it lacks reasons and does not consider the petitioners' submissions.

Submissions/Arguments

Petitioners argued that the award dated 15 October 1999 expressly excluded their lands, and no subsequent award was made within the statutory period under Section 11A, causing the acquisition to lapse. They also contended that the impugned order was unreasoned and violated natural justice. Respondents argued that the award was made within two years of the Section 6 declaration, thus complying with Section 11A, and that the exclusion of lands did not trigger lapsing. They submitted that the proceedings were ongoing and the impugned order was valid.

Ratio Decidendi

Under Section 11A of the Land Acquisition Act, 1894, an award must be made within two years from the date of the Section 6 declaration. If the award excludes certain lands, the acquisition for those lands is not complete, and the acquiring authority must take further steps within a reasonable time. Failure to do so results in the lapsing of the acquisition proceedings. In this case, the award dated 15 October 1999 excluded the subject lands, and the respondents took no steps for over two decades, leading to the lapsing of the acquisition under Section 11A. Additionally, the impugned order dated 28 May 2018 was violative of natural justice as it was unreasoned and did not consider the petitioners' submissions.

Judgment Excerpts

The primary issue for consideration, is whether the entire land acquisition proceedings initiated by the respondents qua the lands of the petitioners have lapsed, in terms of Section 11A of Land Acquisition Act, 1894. A bare perusal of the said award clearly shows that the subject lands were expressly excluded from such award. The impugned order records no reasons, lacks the rationale and justification in rejecting the reply of the petitioner no.1 dated 17 January 2017. There has been no action taken by the respondents towards acquisition of the subject lands. It was only after a prolonged delay of 17 years that the respondent no.4 issued a hearing notice dated 26 December 2016 to the petitioners. The inordinate delay of over two decades, without any explanation, rendered the acquisition proceedings lapsed under Section 11A.

Procedural History

The land acquisition process began with a Section 4 notification on 1 January 1998, followed by a Section 6 declaration on 11 June 1999. The award under Section 11 was published on 15 October 1999, which expressly excluded the subject lands. The petitioners filed a review/stay application on 8 October 1999, which was partly allowed on 31 December 1999, remanding the matter for de novo hearing. No further action was taken until a notice was issued on 26 December 2016. The petitioners submitted a reply on 17 January 2017. The impugned order was passed on 28 May 2018. The original petitioner died on 30 April 2019. The present petition was filed on 12 February 2020. An interim order of status quo was passed on 18 February 2021. The petition was heard and judgment reserved on 14 November 2024, and pronounced on 11 December 2024.

Acts & Sections

  • Land Acquisition Act, 1894: Section 4, Section 6, Section 11, Section 11A, Section 48(1)
  • Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013: Section 24(2)
  • Constitution of India: Article 226
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