Summary of Judgement
-
Background of Acquisition (Paras 1-2)
- Maharashtra Krishna Valley Development Corporation Limited was the acquiring body for the Bori Medium Project in District Solapur.
- Notifications under Section 4 and Section 6 of the Land Acquisition Act, 1894 were issued in January 1998 and June 1999, respectively. The award under Section 11 was passed on October 30, 2000.
- One of the landowners, Sidram Bamshetti Bharamshetti, challenged the award, and it was later settled by a compromised award in December 2019 under the National Lok Adalat.
-
Re-determination of Compensation (Paras 3-4)
- Following the award, respondents filed an application under Section 28-A of the LA Act for re-determination of compensation based on the Lok Adalat’s award. The Special Land Acquisition Officer (SLAO) granted the application in August 2021 and re-determined the compensation, including interest.
-
Petition by Acquiring Body (Paras 4-5)
- The acquiring body (the petitioner) challenged the re-determined award, raising issues such as the lack of inquiry under Section 28-A(2), non-issuance of notice, and the inclusion of administrative and establishment expenses.
-
Preliminary Objections (Paras 5-6)
- The respondent's counsel raised a preliminary objection under Section 28-A(3), arguing that the petitioner (the acquiring body) cannot challenge the award through a writ petition as it is not permitted under the LA Act.
-
Acquiring Body’s Stand (Paras 6-7)
- The petitioner argued that Section 28-A does not allow re-determination based on a Lok Adalat’s consent award and that the provisions for filing a reference are not applicable to such cases.
Key Legal Issues:
- Whether the Acquiring Body Can Seek Reference under Section 28-A(3)
- The court examined whether the acquiring body, which is barred from seeking a reference under Section 18, could invoke Section 28-A(3) for re-determination of compensation.
- Scope of Section 28-A(3)
- The court considered whether the scope of Section 28-A extends to references based on compromised awards in Lok Adalats.
Acts and Sections Discussed:
-
Section 28-A of the Land Acquisition Act, 1894:
- Deals with re-determination of compensation based on a court’s award. The section allows landowners who have not sought a reference under Section 18 to seek re-determination if one landowner successfully obtains higher compensation.
-
Section 50(2) of the LA Act:
- Bars the acquiring body from seeking a reference but allows them to participate in proceedings to determine compensation.
-
Article 227 of the Constitution of India:
- Allows judicial review of administrative decisions and awards under land acquisition cases.
Court's Analysis and Reasoning (Para-wise):
-
Legislative Intent of Section 28-A (Para 8-10)
- The court held that Section 28-A was enacted to benefit landowners who were unable to seek references under Section 18 due to their financial or logistical limitations. Allowing acquiring bodies to seek a reference under Section 28-A(3) would defeat the legislative purpose.
-
The Role of Section 50(2) (Paras 11-13)
- The court ruled that the bar under Section 50(2), which prohibits acquiring bodies from seeking a reference under Section 18, extends to Section 28-A(3) as well. Section 28-A cannot be interpreted to provide a backdoor for acquiring bodies to challenge compensation awards.
-
Re-determination Based on Lok Adalat Awards (Para 14-16)
- The petitioner’s argument that Lok Adalat awards cannot serve as a basis for re-determination was rejected. The court held that the acquiring body’s challenge did not fall within the permissible scope of a reference under Section 18 and was not maintainable.
-
Article 226/227 Remedies for Acquiring Body (Paras 17-19)
- While the acquiring body is barred from seeking a reference under Section 28-A(3), the court clarified that they could still invoke the jurisdiction of the High Court under Article 226 or 227 for judicial review of the compensation determination.
-
No Appeal Against Re-determined Compensation (Para 20-23)
- The court emphasized that the acquiring body cannot appeal against the re-determined compensation under Section 28-A as the Collector is not considered a "Court" under the LA Act.
Ratio Decidendi:
-
Bar on Acquiring Bodies Under Section 28-A(3)
- The court ruled that acquiring bodies cannot seek a reference under Section 28-A(3) as the provision is intended to benefit landowners and not the acquiring bodies. This limitation is consistent with Section 50(2), which precludes acquiring bodies from seeking references under Section 18.
-
Right to Judicial Review Under Article 226/227
- The acquiring body can challenge the award through judicial review under Article 226/227 of the Constitution but cannot seek a reference or appeal under Section 28-A.
-
No Appeal Against Collector’s Award Under Section 28-A
- Since the Collector is not considered a court under the LA Act, no appeal can be filed by the acquiring body against the re-determination of compensation under Section 28-A.
Conclusion:
The court dismissed the acquiring body's petition, holding that the acquiring body cannot seek a reference under Section 28-A(3) and that the bar under Section 50(2) applies equally to re-determination proceedings. The proper remedy for the acquiring body is judicial review under Article 226/227.
Subjects:
- Land Acquisition
- Section 28-A
- Lok Adalat Award
- Judicial Review
- Article 227
Case Title: Maharashtra Krishna Valley Development Corporation Limited. Versus Baburao Ishwar Sathe Since deceased Thr. LRs. and Others.
Citation: 2024 LawText (BOM) (9) 195
Case Number: WRIT PETITION NO. 12456 OF 2023 WITH WRIT PETITION NO. 12458 OF 2023 WITH WRIT PETITION NO. 12457 OF 2023
Date of Decision: 2024-09-19