High Court of Bombay at Nagpur Allows Appeal in Land Acquisition Compensation Case Due to Violation of Natural Justice — Reference Court Failed to Provide Opportunity to Lead Evidence After Remand. The court set aside the impugned judgment and remanded the matter for fresh consideration, emphasizing the right to be heard and proper evaluation of evidence under the Land Acquisition Act, 1894.

High Court: Bombay High Court Bench: NAGPUR
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Case Note & Summary

The appellants, Bhujanga and Uttam Sarkate, were owners of land in Survey No.372, admeasuring 2.74 hectares, in village Haral, District Washim. The State of Maharashtra acquired the land for construction of a dam under the Land Acquisition Act, 1894. The Section 4 notification was published on 13/11/1997, Section 6 notification on 12/01/2000, and the final award on 02/06/2000. The Land Acquisition Officer awarded compensation of Rs.1,45,314/-. Dissatisfied, the appellants sought a reference under Section 18, claiming compensation at Rs.3,00,000/- per hectare and Rs.90,000/- for trees and well. The Reference Court (Civil Judge, Senior Division, Washim) in Land Acquisition No.98/2002, by order dated 05/04/2010, enhanced compensation to Rs.3,28,800/- for land and Rs.80,253/- for trees and well, totaling Rs.16,03,613/-. The acquiring body, Vidarbha Irrigation Development Corporation (VIDC), challenged this order before the High Court on the ground that it was not made a party. The High Court, by judgment dated 29/04/2016, allowed the appeal, set aside the order, and remanded the matter to the Reference Court with directions to implead VIDC and to give liberty to parties to prosecute proceedings afresh. After remand, the Reference Court passed the impugned judgment and order dated 19/04/2017 without providing the appellants an opportunity to lead evidence and without considering the evidence already adduced in the earlier reference. The appellants filed the present appeal challenging this judgment. The High Court held that the Reference Court violated principles of natural justice by not giving the appellants a fair hearing and by not considering the evidence on record. The impugned judgment was set aside and the matter was remanded to the Reference Court for fresh adjudication, with directions to give both parties an opportunity to lead evidence and to decide the reference in accordance with law.

Headnote

A) Land Acquisition - Compensation - Enhancement - Sections 18, 23, 28, 34 of the Land Acquisition Act, 1894 - The appellants' land was acquired for a dam; the Land Acquisition Officer awarded Rs.1,45,314/-. The Reference Court initially enhanced compensation to Rs.3,28,800/- for land and Rs.80,253/- for trees and well, totaling Rs.16,03,613/-. On appeal by the acquiring body (VIDC), the High Court remanded the matter for impleading VIDC and for fresh adjudication. After remand, the Reference Court passed the impugned judgment without giving the appellants an opportunity to lead evidence and without considering the evidence already adduced in the earlier reference. Held that the Reference Court's failure to provide an opportunity to lead evidence and to consider the existing evidence violated principles of natural justice, warranting setting aside of the impugned judgment and remand for fresh consideration. (Paras 2-5)

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Issue of Consideration

Whether the Reference Court, after remand, violated principles of natural justice by not providing the appellants an opportunity to lead evidence and by not considering the evidence already on record, thereby affecting the determination of fair compensation for acquired land.

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Final Decision

The High Court allowed the appeal, set aside the impugned judgment and order dated 19/04/2017, and remanded the matter to the Reference Court for fresh adjudication. The Reference Court was directed to give both parties an opportunity to lead evidence and to decide the reference in accordance with law, without being influenced by any observations in the judgment.

Law Points

  • Land Acquisition Act
  • 1894
  • Sections 4
  • 6
  • 18
  • 23
  • 28
  • 34
  • Natural Justice
  • Right to be heard
  • Remand
  • Compensation enhancement
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Case Details

2022 LawText (BOM) (11) 89

First Appeal No. 252 of 2020

2022-11-22

Smt. M.S. Jawalkar, J.

Shri Sandeep Marathe for appellants; Ms T.H. Udeshi, AGP for respondent Nos.1 & 2; Ms Ujwalla A. Patil for respondent No.3

Bhujanga s/o Sarangdhar Sarkate and Uttam s/o Sarangdhar Sarkate

The State of Maharashtra, Special Land Acquisition Officer No.2, Washim, and V.I.D.C. Minor Irrigation Project, Washim

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Nature of Litigation

First appeal against judgment and order of Reference Court in land acquisition compensation matter.

Remedy Sought

Appellants sought setting aside of the impugned judgment and order dated 19/04/2017 passed by the learned Civil Judge, Senior Division, Washim in Land Acquisition No.98/2002, and remand for fresh adjudication with opportunity to lead evidence.

Filing Reason

The Reference Court, after remand, passed the impugned judgment without giving the appellants an opportunity to lead evidence and without considering the evidence already adduced, violating principles of natural justice.

Previous Decisions

The Land Acquisition Officer awarded Rs.1,45,314/-. The Reference Court initially enhanced compensation to Rs.3,28,800/- for land and Rs.80,253/- for trees and well, totaling Rs.16,03,613/-. The High Court set aside that order and remanded the matter for impleading VIDC and fresh adjudication. The Reference Court then passed the impugned judgment.

Issues

Whether the Reference Court violated principles of natural justice by not providing the appellants an opportunity to lead evidence after remand. Whether the Reference Court failed to consider the evidence already adduced by the appellants in the earlier reference.

Submissions/Arguments

Appellants contended that they used to take double crops and earn substantial income from the land, and that the Reference Court did not give them a chance to prove their case after remand. Respondents argued that the Reference Court had considered the material on record and passed a reasoned order.

Ratio Decidendi

The Reference Court, after remand, is bound to provide the parties a fair opportunity to lead evidence and to consider the evidence already on record. Failure to do so violates principles of natural justice and renders the judgment liable to be set aside.

Judgment Excerpts

The present appeal is filed challenging the judgment and order dated 19/04/2017 passed by the learned Civil Judge, Senior Division, Washim in Land Acquisition No.98/2002. After remanding back the matter, the learned Reference Court passed the impugned judgment without giving proper opportunity to the appellants nor considering the evidence adduced by the appellant in Reference Case No.49/2002.

Procedural History

Land Acquisition Officer awarded compensation on 02/06/2000. Appellants filed reference under Section 18, which was allowed on 05/04/2010 enhancing compensation. VIDC appealed to High Court, which set aside the order on 29/04/2016 and remanded for impleading VIDC and fresh adjudication. Reference Court passed impugned judgment on 19/04/2017. Appellants filed present appeal on 22/11/2022.

Acts & Sections

  • Land Acquisition Act, 1894: Sections 4, 6, 18, 23, 28, 34
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