Case Note & Summary
The petitioner, Pimpri Chinchwad New Town Development Authority, established under the Maharashtra Regional Town Planning Act, 1966 for developing a new township, challenged an order dated 27/08/2004 passed by the Minister of State for Revenue (Respondent No.2). By that order, the Minister deleted land bearing No.1130 situated at Mouje Chikhali, Taluka Haveli, District Pune from acquisition purportedly under Section 48 of the Land Acquisition Act, 1894. The land had been acquired by the Government for the petitioner's township project. The petitioner contended that the Minister had no jurisdiction to pass such an order after possession of the land had already been taken and title had vested in the State. The respondents, including the Indira Gandhi Co-operative Housing Society Ltd., argued in support of the Minister's order. The High Court examined the provisions of the Land Acquisition Act, particularly Sections 16 and 48. It held that once possession is taken under Section 16, the land vests absolutely in the government free from all encumbrances, and the previous owner loses all rights. Section 48 only permits withdrawal from acquisition before possession is taken. After vesting, no authority, including the Minister, can divest the government of its title. The Court found that the Minister had exceeded his powers and the order was without jurisdiction. Accordingly, the writ petition was allowed, and the impugned order was quashed and set aside.
Headnote
A) Land Acquisition - Withdrawal from Acquisition - Section 48 of Land Acquisition Act, 1894 - Power of Minister to delete land from acquisition after possession taken - The Minister for Revenue passed an order deleting land from acquisition under Section 48 after possession had already been taken and title had vested in the State. The High Court held that once possession is taken under Section 16 of the Act, the land vests absolutely in the government free from all encumbrances, and no authority, including the Minister, can divest the government of that title. The Minister's order was without jurisdiction and liable to be quashed. (Paras 1-6) B) Land Acquisition - Vesting of Land - Section 16 of Land Acquisition Act, 1894 - Effect of taking possession - The Court reiterated that upon taking possession under Section 16, the land vests in the government and the previous owner loses all rights. The Minister cannot exercise power under Section 48 after such vesting. (Paras 4-6)
Issue of Consideration
Whether the Minister for Revenue has the power under Section 48 of the Land Acquisition Act, 1894 to delete land from acquisition after possession has been taken and title has vested in the State.
Final Decision
The writ petition is allowed. The impugned order dated 27/08/2004 passed by the Minister of State for Revenue is quashed and set aside.
Law Points
- Section 48 of Land Acquisition Act
- 1894 cannot be invoked after possession is taken and title vests in the State
- Minister's power under Section 48 is limited to withdrawal from acquisition before possession
- once possession is taken the land vests in the government free from encumbrances
- no authority can divest the government of its title after vesting.


