Bombay High Court Dismisses Applications for Withdrawal of Land Acquisition Appeals in Vidya Vinay Vivek Co-op. Housing Society v. State of Maharashtra — Land Acquisition Act, 1894 — Withdrawal of Appeal — Held that once a reference under Section 18 is made, the right to withdraw the appeal under Section 48 is lost.

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

The case involves three civil applications filed by the applicants (Vidya Vinay Vivek Co-op. Housing Society Limited, Vinod Amrutlal Shah, and Virendra B. Shah) seeking withdrawal of acquisition proceedings under Section 48 of the Land Acquisition Act, 1894, in respect of their lands which were acquired by the State of Maharashtra. The lands were acquired for a public purpose, and references under Section 18 of the Act were made by the applicants seeking higher compensation. The references were decided by the Reference Court, and the State filed appeals before the High Court against the enhanced compensation. During the pendency of these appeals, the applicants filed applications under Section 48 of the Act seeking to withdraw the acquisition, contending that the public purpose no longer subsisted. The court, after hearing the parties, dismissed the applications. The court held that the power under Section 48 of the Land Acquisition Act to withdraw from acquisition can only be exercised before the stage of a reference under Section 18. Once a reference is made and the matter is pending before the court, the right to withdraw is lost. Additionally, the court noted that possession of the lands had already been taken by the government, and the lands had vested absolutely in the State under Section 16 of the Act. Therefore, the acquisition could not be withdrawn. The court also observed that the applicants had themselves invoked the reference under Section 18 seeking higher compensation, and having done so, they could not later seek to withdraw the acquisition. The applications were accordingly dismissed.

Headnote

A) Land Acquisition - Withdrawal of Acquisition - Section 48 of the Land Acquisition Act, 1894 - Right to withdraw acquisition - The applicants sought to withdraw the acquisition of their land under Section 48 of the Act, but the court held that once a reference under Section 18 has been made and the matter is pending before the court, the right to withdraw under Section 48 is lost. The court reasoned that the power under Section 48 can only be exercised before the stage of reference under Section 18, and not thereafter. (Paras 1-5)

B) Land Acquisition - Vesting of Land - Section 16 of the Land Acquisition Act, 1894 - Once possession is taken, the land vests absolutely in the government and the acquisition cannot be withdrawn. The court noted that possession had already been taken and the land had vested in the State, and therefore the applications for withdrawal were not maintainable. (Paras 1-5)

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Issue of Consideration

Whether the applicants are entitled to withdraw the acquisition proceedings under Section 48 of the Land Acquisition Act, 1894 after a reference under Section 18 has been made and the appeals are pending before the High Court.

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Final Decision

The court dismissed all three civil applications, holding that the applicants were not entitled to withdraw the acquisition under Section 48 of the Land Acquisition Act, 1894, as the stage of reference under Section 18 had already been crossed and possession had been taken.

Law Points

  • Withdrawal of acquisition under Section 48 of the Land Acquisition Act
  • 1894 is not permissible after a reference under Section 18 has been made and the matter is pending before the court
  • Right to withdraw acquisition is lost once possession is taken and the land vests in the government
  • Section 48 does not apply after the stage of reference under Section 18
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Case Details

2005 LawText (BOM) (07) 33

Civil Application No. 2070 of 2005 in First Appeal (St.) No. 9224 of 2005, Civil Application No. 2072 of 2005 in First Appeal (St.) No. 9480 of 2005, Civil Application No. 2073 of 2005 in First Appeal (St.) No. 9477 of 2005

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Mr. Y.S. Jahagirdar with Mr. Manek Kalyaniwala i/b M/s. Mulla & Mulla CBC for applicants, Mr. A.R. Patil, AGP for R-1, Mr. S.R. Page with S.G. Surana for R-2

Vidya Vinay Vivek Co-op. Housing Society Limited, Vinod Amrutlal Shah, Virendra B. Shah

State of Maharashtra & Ors.

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Nature of Litigation

Civil applications seeking withdrawal of land acquisition proceedings under Section 48 of the Land Acquisition Act, 1894, during pendency of appeals against enhanced compensation.

Remedy Sought

The applicants sought withdrawal of acquisition of their lands under Section 48 of the Land Acquisition Act, 1894.

Filing Reason

The applicants contended that the public purpose for which the lands were acquired no longer subsisted and sought to withdraw the acquisition.

Previous Decisions

References under Section 18 of the Land Acquisition Act were made by the applicants seeking higher compensation, which were decided by the Reference Court. The State filed appeals against the enhanced compensation, which were pending before the High Court.

Issues

Whether the applicants are entitled to withdraw the acquisition proceedings under Section 48 of the Land Acquisition Act, 1894 after a reference under Section 18 has been made and the appeals are pending before the High Court.

Submissions/Arguments

The applicants argued that the public purpose for which the lands were acquired no longer subsisted and therefore they should be allowed to withdraw the acquisition under Section 48 of the Act. The respondents (State) opposed the applications, contending that once a reference under Section 18 is made and possession is taken, the right to withdraw under Section 48 is lost.

Ratio Decidendi

The power under Section 48 of the Land Acquisition Act, 1894 to withdraw from acquisition can only be exercised before the stage of a reference under Section 18. Once a reference is made and the matter is pending before the court, the right to withdraw is lost. Additionally, once possession is taken, the land vests absolutely in the government under Section 16, and the acquisition cannot be withdrawn.

Judgment Excerpts

The power under Section 48 of the Land Acquisition Act can only be exercised before the stage of a reference under Section 18. Once possession is taken, the land vests absolutely in the government and the acquisition cannot be withdrawn.

Procedural History

The applicants' lands were acquired by the State of Maharashtra. The applicants made references under Section 18 of the Land Acquisition Act seeking higher compensation. The Reference Court decided the references and enhanced compensation. The State filed appeals before the High Court against the enhanced compensation. During the pendency of these appeals, the applicants filed applications under Section 48 seeking to withdraw the acquisition. The High Court dismissed the applications.

Acts & Sections

  • Land Acquisition Act, 1894: Section 48, Section 18, Section 16
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