Bombay High Court Dismisses Landowners' Challenge to Acquisition for Industrial Development — Petitioners Failed to Prove Lapse Under Section 24(2) of LARR Act, 2013. Compensation Tendered and Possession Taken by MIDC, Acquisition Did Not Lapse.

High Court: Bombay High Court Bench: NAGPUR In Favour of Prosecution
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Case Note & Summary

The petitioners, Ramesh Bapurao Nikhade and Dilipkumar Bapurao Nikhade, along with the legal representatives of Bapurao Dasruji Nikhade, filed writ petitions challenging the acquisition of their agricultural land in Turakmari, Nagpur, for the Maharashtra Industrial Development Corporation (MIDC). The land was acquired under the Land Acquisition Act, 1894, for industrial development. The petitioners contended that the acquisition had lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, as compensation was not paid and possession was not taken. The respondents, including the State of Maharashtra, MIDC, and the Special Land Acquisition Officer, opposed the petitions, arguing that compensation was tendered but refused, and possession was taken. The court examined the records, including the award and revenue entries, and found that the Special Land Acquisition Officer had tendered compensation to the petitioners, but they refused to accept it. The court also noted that possession of the land was taken by MIDC and the land was transferred to the acquiring body. The court held that the tender of compensation is sufficient to avoid lapse under Section 24(2), and the petitioners failed to prove that they remained in possession. The court dismissed the writ petitions, upholding the acquisition.

Headnote

A) Land Acquisition - Lapse of Acquisition - Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - The petitioners claimed that the acquisition had lapsed as compensation was not paid and possession was not taken. The court examined the records and found that compensation had been tendered and possession was taken. Held that the acquisition did not lapse under Section 24(2) as the conditions for lapse were not satisfied. (Paras 1-22)

B) Land Acquisition - Compensation - Tender of Compensation - The court noted that the Special Land Acquisition Officer had tendered compensation to the petitioners, but they refused to accept it. The court held that tender of compensation is sufficient to avoid lapse under Section 24(2). (Paras 10-15)

C) Land Acquisition - Possession - Taking of Possession - The court found that possession of the land was taken by the Maharashtra Industrial Development Corporation and the land was transferred to the acquiring body. The petitioners failed to prove that they remained in possession. (Paras 16-20)

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Issue of Consideration

Whether the land acquisition proceedings had lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, due to non-payment of compensation and non-taking of possession.

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Final Decision

The writ petitions are dismissed. The acquisition is upheld as not lapsed under Section 24(2) of the LARR Act, 2013.

Law Points

  • Land Acquisition
  • Right to Fair Compensation and Transparency in Land Acquisition
  • Rehabilitation and Resettlement Act
  • 2013
  • Section 24
  • Lapse of Acquisition
  • Possession
  • Compensation
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Case Details

2022 LawText (BOM) (12) 127

Writ Petition No. 6595 of 2013, Writ Petition No. 6360 of 2013, Writ Petition No. 6127 of 2014

2022-12-23

Ramesh s/o Bapurao Nikhade, Dilipkumar s/o Bapurao Nikhade, and Legal Representatives of Bapurao Dasruji Nikhade

State of Maharashtra, Maharashtra Industrial Development Corporation, Special Land Acquisition Officer (General), Shri Sacchidanand Shikshan Sanstha, M/s. Manorama Construction, Lokmat Karmachari Gruh Nirman Sahakari Sanstha Maryadit, M/s. Sunil Hi-tech Engineers & Manufacturers Pvt. Ltd.

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Nature of Litigation

Writ petitions challenging land acquisition for industrial development, claiming lapse under Section 24(2) of the LARR Act, 2013.

Remedy Sought

Declaration that the acquisition had lapsed and quashing of the acquisition proceedings.

Filing Reason

Petitioners alleged that compensation was not paid and possession was not taken, leading to lapse of acquisition under Section 24(2) of the LARR Act, 2013.

Issues

Whether the land acquisition proceedings had lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, due to non-payment of compensation and non-taking of possession.

Submissions/Arguments

Petitioners argued that compensation was not paid and possession was not taken, hence acquisition lapsed under Section 24(2). Respondents argued that compensation was tendered but refused, and possession was taken by MIDC.

Ratio Decidendi

Under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, an acquisition lapses only if compensation has not been paid and possession has not been taken. Tender of compensation, even if refused, constitutes payment for the purpose of avoiding lapse. Possession taken by the acquiring body and recorded in revenue entries is sufficient to show taking of possession.

Judgment Excerpts

The Special Land Acquisition Officer had tendered compensation to the petitioners, but they refused to accept it. Possession of the land was taken by MIDC and the land was transferred to the acquiring body. The petitioners failed to prove that they remained in possession.

Procedural History

The petitioners filed writ petitions in 2013 and 2014 challenging the land acquisition. The petitions were heard together and dismissed on 23 December 2022.

Acts & Sections

  • Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013: Section 24
  • Land Acquisition Act, 1894:
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