Karnataka High Court Permits Landowners to Alienate Property Notified for Acquisition Under Karnataka Industrial Areas Development Act Due to Medical Emergency. Right to Life Under Article 21 of Constitution Overrides Procedural Restrictions When Property is Sole Source of Livelihood.

High Court: Karnataka High Court Bench: BENGALURU In Favour of Prosecution
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Case Note & Summary

The petitioners, owners of land in Sy.No.207, Hulikunte Village, Doddaballapura Taluk, filed a writ petition seeking release of at least 50% ad interim compensation for their land acquired under the Karnataka Industrial Areas Development Act, 1966, or alternatively permission to alienate or encumber the property. The land was notified for acquisition, but the process was delayed. The petitioners, some of whom were suffering from terminal cancer, urgently required funds for medical treatment. During the hearing, their counsel submitted that they would be satisfied if permitted to alienate or encumber the land to raise funds. The state opposed the petition, contending that acquisition takes time, no interim compensation is payable, and law prohibits any transaction after the preliminary notification under Section 28(1) of the Land Acquisition Act, 1894. The KIADB filed objections citing resistance from other landowners, issues with a link road, and a comprehensive review of the acquisition, leaving the petitioners with no choice but to wait. The court, after hearing the parties, permitted the petitioners to alienate or encumber a reasonable portion of the property. The court reasoned that the right to life under Article 21 of the Constitution has expanded to include the right to health and, when property is the only source of livelihood, deprivation of property may violate Article 21. It observed that the right to property, though no longer a fundamental right after the 44th Amendment, remains protected under Article 300A, and is the foundation for exercising fundamental freedoms like speech and association under Articles 19(1)(a) and 19(1)(c). The court held that in the exceptional circumstances where delay in acquisition imperils life, permitting alienation is necessary to prevent the constitutional guarantee from becoming a farce. It emphasized that the Supreme Court has recognized that depriving a poor farmer of his immovable property can violate Article 21, and that compensation is inherent in acquisition. Accordingly, the writ petition was allowed to the extent of granting permission to alienate or encumber a reasonable portion of the land to secure funds for medical treatment.

Headnote

A) Constitutional Law - Right to Life and Personal Liberty - Article 21, Constitution of India - Right to life includes right to health; property essential for survival partakes fundamental right character - The court held that when the petitioners suffering from cancer required funds from their only property for medical treatment, the delay in the acquisition process imperiled their life; thus, the right to life under Article 21 requires permitting alienation or encumbrance to secure treatment, as otherwise the constitutional guarantee becomes illusory (Para 4).

B) Constitutional Law - Right to Property - Articles 300A, 19(1)(a), 19(1)(c), Constitution of India - Property is foundation for fundamental freedoms; unreasonable curtailment violates Part III - The court observed that without property, rights like freedom of speech and association become illusory; therefore, breaching property rights may amount to violation of fundamental rights, and compensation is inherent in acquisition under Article 300A (Para 4).

C) Land Acquisition - Acquisition Process - Karnataka Industrial Areas Development Act, 1966; Land Acquisition Act, 1894, Section 28(1) - Preliminary notification prohibits transactions; exceptional circumstances allow alienation - The court held that in view of the medical emergency and the prolonged acquisition, the petitioners must be permitted to alienate or encumber a reasonable portion of the property to fund life-saving treatment, as the delay would metaphysically take away the oxygen mask (Para 4).

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Issue of Consideration

Whether the petitioners can be permitted to alienate or encumber the land notified for acquisition under the Karnataka Industrial Areas Development Act, 1966, given their urgent medical needs and the prolonged acquisition process.

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Final Decision

The court permitted the petitioners to alienate or encumber a reasonable portion of the subject property to secure funds for medical treatment, holding that the right to life under Article 21 overrides procedural delays in acquisition and that breaching property rights may violate fundamental freedoms. The writ petition was allowed to the extent of granting permission to alienate or encumber a reasonable portion of the land in Sy.No.207, Hulikunte Village, Doddaballapura Taluk.

Law Points

  • right to life under Article 21 includes right to health and right to property when property is only source of livelihood
  • deprivation of property during prolonged acquisition process can violate Article 21
  • right to property is foundation for fundamental freedoms under Part III of the Constitution
  • unreasonable curtailment of ownership rights transcends Article 300A and violates fundamental rights
  • compensation is inherent in acquisition
  • in exceptional circumstances court may permit alienation of notified land to prevent loss of life
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Case Details

2023 LawText (KAR) (03) 47

Writ Petition No. 4897 of 2023 (LA-KIADB)

2023-03-27

Krishna S Dixit

Gireesha Kodgi for petitioners, R Srinivasa Gowda for Respondent 1, P V Chandrashekar for Respondents 2 and 3

T G Shanthamma, Umashankar B R, Dinesh Kumar B R, Usha H R, Prasanna H R

State of Karnataka, Karnataka Industrial Area Development Board, Deputy Commissioner Land Acquisition Officer KIADB, Malleswaram Co-operative Bank Ltd.

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Nature of Litigation

Writ petition under Articles 226 and 227 of the Constitution of India seeking a direction for release of ad interim compensation or permission to alienate land notified for acquisition under the Karnataka Industrial Areas Development Act, 1966.

Remedy Sought

Petitioners initially sought release of at least 50% ad interim compensation for their land acquired; alternatively, they sought permission to alienate or encumber the property to raise funds for urgent medical treatment.

Filing Reason

Petitioners needed funds urgently for cancer treatment of some family members who were suffering from hereditary terminal cancer, and the land acquisition process was delayed, causing severe hardship.

Issues

Whether the petitioners can be permitted to alienate or encumber the land notified for acquisition under the Karnataka Industrial Areas Development Act, 1966, given their medical emergency and the prolonged acquisition process. Whether the right to life under Article 21 of the Constitution permits such alienation despite statutory restrictions on transactions after preliminary notification.

Submissions/Arguments

Petitioners submitted that they required funds for medical treatment of terminal cancer and would be satisfied if permitted to alienate or encumber the land. Respondents contended that the acquisition process takes time, no interim compensation can be paid, and law prohibits transactions after the preliminary notification under Section 28(1) of the Land Acquisition Act, 1894.

Ratio Decidendi

Where the life of a citizen depends on property that is subject to acquisition, the right to life under Article 21 of the Constitution may require permitting alienation or encumbrance of the property to secure necessary medical treatment, even during the pendency of acquisition proceedings, as the delay in the process would otherwise render the constitutional guarantee illusory. Unreasonable curtailment of property rights may violate fundamental freedoms under Part III of the Constitution, as property is the foundation for exercise of rights like speech and association.

Judgment Excerpts

When property owned by an individual happens to be his only source of livelihood, right to such a property partakes the character of a ‘fundamental right’ and to that extent its owner can seek refuge under the ever expanding umbrella of Article 21. Thus, breaching property rights may amount to violation of the fundamental right to freedoms guaranteed under Part III of the Constitution. In the exceptional circumstances of this case, denying relief to terminally ailing citizens, especially when their property in question is the only means of holding the body & soul together, by securing medical treatment, would render the constitutional guarantee to life a mere farce.

Procedural History

Writ petition filed under Articles 226 and 227 of Constitution seeking mandamus for release of ad interim compensation or permission to alienate. On 27 March 2023, the matter came up for preliminary hearing before Justice Krishna S Dixit. The court heard the submissions of the parties and passed the order permitting alienation.

Acts & Sections

  • Constitution of India: Articles 21, 19(1)(a), 19(1)(c), 300A, 31A(1) second proviso, 31C(1), 226, 227
  • Karnataka Industrial Areas Development Act, 1966:
  • Land Acquisition Act, 1894: Section 28(1)
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