Case Note & Summary
The dispute arose from land acquisition proceedings initiated by a notification under Section 4(1) of the Land Acquisition Act, 1894 published on February 4, 1970, acquiring a large extent of land. The Collector made an award and paid compensation, which was accepted by the respondents without protest. One of the claimants covered under the same notification sought a reference under Section 18 of the Act. The District Judge, Raigarh at Alibag in Reference No. 183/86 enhanced the compensation to Rs.10 per square meter by award and decree dated November 6, 1987. Against that award and decree, the State carried First Appeal No.1038/88, which was admitted on February 16, 1989, and ad interim stay of the award and decree was granted subject to certain conditions. Thereafter, the respondents filed an application under Section 28A(1) on February 2, 1988 for redetermination of the amount of compensation to their lands on the basis of the District Judge's award. It appeared from the record that the Collector made a draft award and referred the matter to the State Government for approval. At that stage, the respondents filed a writ petition in the High Court. A Division Bench of the High Court by the impugned order dated August 24, 1992 directed the Land Acquisition Officer to declare the award by the end of November 1992. Hence, the State appealed by special leave to the Supreme Court. The core legal issue was whether the Section 28A(1) application for redetermination should be kept pending when the Reference Court award that formed its basis was already under appeal in the High Court. The State contended that the enhanced award was not final and was under appeal, while the respondents sought redetermination and a direction to declare the award. The Supreme Court reasoned that since the award of the Reference Court was already the subject matter of an appeal pending in the High Court, the appropriate course would be to keep the reference application made under Section 28A(1) pending till disposal of the appeal. The Collector should take action only on the basis of the judgment that may be rendered by the High Court. Until then, the matter should be kept pending. The writ petition stood dismissed subject to the above direction, and the appeal was disposed of with no order as to costs. Thus, the Court ensured that the redetermination process would not proceed on the basis of an award that was still under challenge and could be modified or set aside.
Headnote
A) Land Acquisition - Redetermination of Compensation - Section 28A(1) Land Acquisition Act, 1894 - Application kept pending pending appeal against Reference Court award - Notification under Section 4(1) was published on February 4, 1970 acquiring large extent of land; compensation awarded by Collector and accepted without protest; one claimant's reference under Section 18 resulted in enhancement to Rs.10 per square meter by District Judge, Raigarh at Alibag, which the State appealed in First Appeal No.1038/88 with stay subject to conditions. The respondents filed an application under Section 28A(1) for redetermination based on the enhanced award; the High Court directed the Land Acquisition Officer to declare the award by November 1992, but the Supreme Court held that since the Reference Court award was under appeal, the Section 28A(1) application should remain pending and the Collector should take action only on the basis of the final High Court judgment. Held that the appropriate course is to await the High Court's decision, and the writ petition was dismissed subject to these directions (Paras Not mentioned).
Issue of Consideration
Whether an application for redetermination of compensation under Section 28A(1) of the Land Acquisition Act, 1894 should be kept pending until disposal of an appeal against the reference court award that forms the basis for redetermination.
Final Decision
The Supreme Court directed that the reference application under Section 28A(1) be kept pending until disposal of the appeal in the High Court. The Collector shall take action only on the basis of the judgment that may be rendered by the High Court. Until then, the matter be kept pending. The writ petition stands dismissed subject to the above direction. The appeal is disposed of. No costs.
Law Points
- Redetermination of compensation under Section 28A(1) of Land Acquisition Act
- 1894 should be kept pending when the reference court award forming its basis is under appeal in High Court. The Collector must act only on the final judgment of the High Court.


