High Court Quashes Land Acquisition Award for Lack of Notification Under Section 13 of the Maharashtra Project Affected Persons Rehabilitation Act, 1999. Acquisition Proceedings for Resettlement of Project-Affected Persons Found Void Due to Non-Declaration of Affected and Benefitted Zones.

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

The dispute arose from a writ petition filed under Article 226 of the Constitution by eleven agriculturists whose lands in Bhendegaon Khurd village were acquired by the State of Maharashtra for the purpose of resettling project-affected persons of the Lendi Major Irrigation Project. The petitioners, having previously lost part of their agricultural land to submergence under the same Inter-State Project (award dated 30.11.2005), were themselves 'affected persons' under the Maharashtra Project Affected Persons Rehabilitation Act, 1999. On 09.11.2006, a notification under Section 4 of the Land Acquisition Act, 1894 was issued for acquiring their remaining lands for resettlement of other project-affected families, and an award was passed on 31.03.2010. The petitioners challenged the acquisition primarily on the ground that the State had failed to issue a notification under Section 13(1) of the 1999 Act declaring the affected and benefitted zones, which is a mandatory prerequisite before any acquisition for rehabilitation. The State had only issued a notification under Section 11(1) of the Maharashtra Resettlement of Project Displaced Persons Act, 1976 on 13.11.1987, declaring that the 1976 Act applied to the Lendi Project and listing villages likely to be in affected/benefitted zones. The petitioners argued that without the Section 13 notification under the 1999 Act, the entire acquisition was void ab initio. The State likely contended that the 1987 notification was sufficient compliance. The court analysed the scheme of the 1999 Act, noting that Section 2(1) defines 'affected zone' as the area declared under Section 13, and Section 14(4) empowers acquisition of land from benefitted zones only in accordance with the slab declared in a notification under Section 13(1). It distinguished the nature of the earlier 1976 notification as merely a declaration for application of that Act with a tentative list of zones, whereas the 1999 Act demands a formal declaration of zones by the Commissioner. Relying on two Division Bench decisions of the same court (Writ Petition No.8323/2010 and Writ Petition No.4111/2011) and distinguishing a Full Bench decision on the 1976 Act, the court held that unless affected and benefitted zones are notified under Section 13(1) of the 1999 Act, no acquisition for rehabilitation can take place. Consequently, the impugned award dated 31.03.2010 was quashed, and the rule was made absolute.

Headnote

A) Land Acquisition – Rehabilitation of Project Affected Persons – Maharashtra Project Affected Persons Rehabilitation Act, 1999 (Act No.11 of 2001), Sections 2(1), 2(6), 10, 13, 14 – Acquisition under Section 4 of Land Acquisition Act, 1894 for resettlement of project affected persons requires a prior notification by the Commissioner under Section 13(1) specifying the affected and benefitted zones, and subsequent sanction by the State Government under Section 14(4). A notification under Section 11(1) of the Maharashtra Resettlement of Project Displaced Persons Act, 1976 merely declaring application of the Act and listing villages likely to be in zones does not satisfy this requirement. Held that in the absence of such notification, the acquisition is vitiated and the award is quashed. (Paras 6-9, 10)

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Issue of Consideration

Whether the acquisition of land for rehabilitation of project-affected persons under the Maharashtra Project Affected Persons Rehabilitation Act, 1999 is valid in the absence of a notification under Section 13(1) declaring affected and benefitted zones?

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Final Decision

The writ petition is allowed. The award dated 31.03.2010 passed by the Land Acquisition Officer is quashed and set aside. Rule made absolute.

Law Points

  • Under Section 13(1) of the Maharashtra Project Affected Persons Rehabilitation Act
  • 1999
  • the Commissioner must notify affected and benefitted zones
  • acquisition without such notification is void. A notification under Section 11(1) of the Maharashtra Resettlement of Project Displaced Persons Act
  • 1976 is not a substitute for the requirement under the 1999 Act. The State Government's power to acquire land for rehabilitation arises only after such notification and sanction under Section 14(4).
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Case Details

2013 LawText (BOM) (01) 20

Writ Petition No.9700 of 2010

2013-01-09

R.M. Borde, U.D. Salvi

M.V. Deshpande, S.D. Kaldate, S.G. Sangle

Digambar s/o Jaiwanta Langote and others

The State of Maharashtra and others

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Nature of Litigation

Writ petition under Article 226 of the Constitution challenging a land acquisition award for resettlement of project-affected persons under the Maharashtra Project Affected Persons Rehabilitation Act, 1999.

Remedy Sought

Quashing of the award dated 31.03.2010 and declaration that the acquisition is void due to non-issuance of notification under Section 13(1) of the Act.

Filing Reason

Petitioners' remaining agricultural lands were acquired for resettlement of other project-affected persons without the State having issued a notification under Section 13(1) declaring affected and benefitted zones, rendering the acquisition illegal.

Issues

Whether the acquisition of land for resettlement of project-affected persons under the Maharashtra Project Affected Persons Rehabilitation Act, 1999 is vitiated in the absence of a notification under Section 13(1) declaring affected and benefitted zones?

Submissions/Arguments

Petitioners argued that the acquisition proceedings are void because the Commissioner did not notify affected and benefitted zones as required under Section 13(1) of the Act of 2001, and the earlier notification under Section 11(1) of the 1976 Act is insufficient. The State likely argued that the notification under the 1976 Act was sufficient and that the acquisition was valid.

Ratio Decidendi

Under Section 13(1) of the Maharashtra Project Affected Persons Rehabilitation Act, 1999, the Commissioner is required to specify the limits of the affected zone and benefitted zone by notification in the Official Gazette, and the State Government is to declare such area to be affected or benefitted zone. Without such a notification, acquisition of lands from the benefitted zone for rehabilitation of affected persons is illegal. A notification under Section 11(1) of the Maharashtra Resettlement of Project Displaced Persons Act, 1976, which merely declared the application of that Act and listed villages likely to be in the zones, does not satisfy the mandatory requirement under Section 13 of the 1999 Act.

Judgment Excerpts

In the instant matter, since the Commissioner has not declared affected and benefitted zones, as required under Section 13(1) of the Act No.11of 2001, the whole proceedings of acquisition are vitiated. The notification under Section 4 of the Land Acquisition Act was issued on 09.11.2006 in the Official Gazette and after following procedure prescribed under Land Acquisition Act, award came to be passed on 31.03.2010.

Procedural History

Notification under Section 4 of the Land Acquisition Act issued on 09.11.2006. Award passed on 31.03.2010. Writ petition filed challenging the award on grounds of non-compliance with Section 13(1) of the Maharashtra Project Affected Persons Rehabilitation Act, 1999. Rule nisi issued, heard finally. Judgment reserved on 10.12.2012, pronounced on 09.01.2013.

Acts & Sections

  • Maharashtra Project Affected Persons Rehabilitation Act, 1999: 2(1), 2(2), 2(6), 2(10), 10, 13, 14
  • Land Acquisition Act, 1894: 4
  • Maharashtra Resettlement of Project Displaced Persons Act, 1976: 11(1)
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