Bombay High Court Allows Landowners' Petition Declaring Land Acquisition Lapsed Under Section 24(2) of Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. Award Made After Commencement of 2013 Act Without Taking Possession or Paying Compensation Results in Lapse of Proceeding.

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

The petitioners, owners of land Gat No. 176 in Khelbar, Jalgaon Jamod, challenged the land acquisition proceeding initiated under Section 6 notification dated 18.12.1995 and the subsequent Award No. 1/1199495 dated 07.09.2017 passed by the Land Acquisition Officer. They sought a declaration 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 (the 2013 Act). The facts revealed that the Section 4 notification was issued on 06.10.1994, followed by a declaration under Section 6 on 18.12.1995. The Land Acquisition Officer made an award on 07.09.2017, after the 2013 Act came into force on 01.01.2014. The petitioners argued that since the award was made more than five years after the commencement of the 2013 Act, and neither possession was taken nor compensation paid, the proceeding lapsed under Section 24(2). The respondents contended that the award was made within the period prescribed under the 1894 Act and that the 2013 Act did not apply retrospectively. The court analyzed Section 24(2) of the 2013 Act, which provides that if an award under the 1894 Act has been made five years or more prior to the commencement of the 2013 Act but possession has not been taken or compensation not paid, the proceeding shall lapse. The court noted that the award in this case was made on 07.09.2017, which is after the commencement of the 2013 Act, and therefore the condition of 'five years or more prior' was not met. However, the court interpreted the provision purposively, holding that the legislative intent was to ensure timely completion of acquisitions. Since the award was made after the 2013 Act came into force, and the acquisition was not completed within a reasonable time, the proceeding lapsed. The court also noted that the respondents failed to demonstrate that possession was taken or compensation paid. Consequently, the court declared the acquisition proceeding lapsed and set aside the award. The writ petition was allowed with no order as to costs.

Headnote

A) Land Acquisition - Lapse of Proceedings - Section 24(2) of Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - The court considered whether the acquisition proceeding under Section 6 notification of 1995 had lapsed as the award was made on 07.09.2017, after the commencement of the 2013 Act, and neither possession was taken nor compensation paid. Held that the proceeding lapsed under Section 24(2) as the award was made more than five years after the commencement of the 2013 Act and the mandatory conditions were not fulfilled. (Paras 2-10)

B) Land Acquisition - Award - Validity - Section 24(2) of Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - The court examined whether the award dated 07.09.2017 was valid when the acquisition proceeding had already lapsed. Held that once the proceeding lapses, the award becomes non-est and is set aside. (Paras 8-10)

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Issue of Consideration

Whether the land acquisition proceeding initiated under Section 6 notification dated 18.12.1995 has lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, and whether the Award dated 07.09.2017 is liable to be set aside.

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Final Decision

The court allowed the writ petition, declared the land acquisition proceeding lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, and set aside the Award No. 1/1199495 dated 07.09.2017. No order as to costs.

Law Points

  • Land acquisition proceedings lapse if award is made after five years from commencement of Act of 2013 without taking possession or paying compensation
  • Section 24(2) of Right to Fair Compensation and Transparency in Land Acquisition
  • Rehabilitation and Resettlement Act
  • 2013
  • Section 6 of Land Acquisition Act
  • 1894
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Case Details

2019 LawText (BOM) (04) 200

Writ Petition No. 1461 of 2018

2019-04-10

Sunil B. Shukre, Pushpa V. Ganediwal

M.G. Bhangde, Senior Advocate with V.V. Bhangde, R.M. Bhangde, S.N. Tapadia for petitioners; V.P. Maldhure, AGP for respondents

Shri Hardas (Haridas) s/o Ramdas Udasi and others

The State of Maharashtra and others

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Nature of Litigation

Writ petition challenging land acquisition proceeding and award, seeking declaration of lapse under Section 24(2) of the 2013 Act.

Remedy Sought

Petitioners sought declaration that land acquisition proceeding initiated under Section 6 notification dated 18.12.1995 has lapsed and Award No. 1/1199495 dated 07.09.2017 be set aside.

Filing Reason

The acquisition proceeding was initiated in 1995 but award was made only in 2017, after the 2013 Act came into force, and neither possession was taken nor compensation paid, leading to lapse under Section 24(2).

Issues

Whether the land acquisition proceeding under Section 6 notification dated 18.12.1995 has lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. Whether the Award No. 1/1199495 dated 07.09.2017 is liable to be set aside.

Submissions/Arguments

Petitioners argued that the award was made after the 2013 Act came into force, and since possession was not taken and compensation not paid, the proceeding lapsed under Section 24(2). Respondents contended that the award was made within the period prescribed under the 1894 Act and the 2013 Act does not apply retrospectively.

Ratio Decidendi

Under Section 24(2) of the 2013 Act, if an award under the 1894 Act has been made five years or more prior to the commencement of the 2013 Act but possession has not been taken or compensation not paid, the proceeding shall lapse. In this case, the award was made after the commencement of the 2013 Act, but the legislative intent is to ensure timely completion. Since the acquisition was not completed within a reasonable time and the mandatory conditions were not fulfilled, the proceeding lapses.

Judgment Excerpts

In this petition, the petitioners sought to declare the land acquisition proceeding initiated under section 6 notification dated 18.12.1995 in respect of land Gat No. 176, Mz. Khelbar, Area 1.47 Hectare, Tq. Jalgaon Jamod, District – Buldhana as lapsed and the Award No. 1/1199495 dated 07.09.2017 passed in the said proceedings by respondent No. 2 – Land Acquisition Officer (LAO) be set aside. The court held that the proceeding lapsed under Section 24(2) of the 2013 Act and the award is set aside.

Procedural History

The land acquisition proceeding was initiated under Section 4 notification dated 06.10.1994 and Section 6 declaration dated 18.12.1995 under the Land Acquisition Act, 1894. The Land Acquisition Officer made an award on 07.09.2017. The petitioners filed Writ Petition No. 1461 of 2018 before the Bombay High Court, Nagpur Bench, challenging the acquisition and award. The petition was heard and finally disposed of on 10.04.2019.

Acts & Sections

  • Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013: Section 24(2)
  • Land Acquisition Act, 1894: Section 4, Section 6
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