Supreme Court Allows Appeal in Land Acquisition Case — Reference Barred by Limitation. Claimants Not Entitled to Seek Reference After Accepting Compensation Without Protest.

In Favour of Accused
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Case Note & Summary

The dispute arose from a land acquisition process initiated under the Land Acquisition Act, 1894, concerning land in Nallur village for the Sriram Sagar Project. The notification for acquisition was published on August 19, 1965, and possession was taken on November 22, 1965. Compensation was awarded at Rs.430 per acre, which was accepted by the claimants without protest. In 1986, the claimants filed a writ petition alleging that they had not received proper notice regarding the award. The High Court directed an inquiry, leading to a reference that enhanced the compensation. The Supreme Court examined whether the reference application was made within the statutory time limit. It found that since the claimants were present when the award was made and accepted the compensation, they were not entitled to seek a reference under Section 18 of the Act. The court emphasized that the limitation period began from the date of the award, and since the claimants received the compensation without protest, the reference was barred by limitation. The court concluded that the reference was made without jurisdiction and set aside the High Court's judgment and the reference court's award, allowing the appeal with no costs.

Headnote

A) Land Acquisition - Reference Application - Timeliness of Application - Land Acquisition Act, 1894, Section 18(2) - The court held that the reference application must be made within six weeks from the date of the award if the claimant was present at the time of the award. Since the claimants received compensation without protest, they were not entitled to seek a reference, and the reference was deemed barred by limitation (Paras 2-3).

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Issue of Consideration

Whether the reference application was made within the prescribed time limit under the Land Acquisition Act, 1894.

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Final Decision

The Supreme Court allowed the appeal, set aside the judgments of the reference court and the High Court, and ruled that the reference was barred by limitation and without jurisdiction.

Law Points

  • Land Acquisition
  • Limitation
  • Compensation
  • Reference Application
  • Jurisdiction
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Case Details

1997 LawText (SC) (04) 106

1997-04-04

K. Ramaswamy, G.B. Pattanayak

C. Sitaramiah

The Land Acquisition Officer

Shivabai & Ors.

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Nature of Litigation

Appeal against the judgment of the High Court regarding land acquisition compensation.

Remedy Sought

The Land Acquisition Officer sought to set aside the High Court's judgment and the reference court's award.

Filing Reason

The claimants alleged improper notice and sought enhanced compensation.

Previous Decisions

The High Court confirmed the enhanced compensation awarded by the reference court.

Issues

Timeliness of the reference application Jurisdiction of the reference court

Submissions/Arguments

Claimants received compensation without protest and thus could not seek a reference. The reference was made without proper notice and was barred by limitation.

Ratio Decidendi

The court held that claimants who accept compensation without protest cannot seek a reference under Section 18 of the Land Acquisition Act, 1894, and that the limitation period begins from the date of the award.

Judgment Excerpts

The application shall state the grounds on which objection to the award is taken. It is now settled law that it is not necessary that the award or its copy should be served.

Procedural History

The appeal arose from a writ petition filed in 1986, followed by a reference made by the Land Acquisition Officer, which was subsequently challenged in the High Court.

Acts & Sections

  • Land Acquisition Act, 1894: Section 4(1), Section 11, Section 12(2), Section 18, Section 31
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