High Court of Karnataka Hears Writ Appeals Challenging Quashing of Land Acquisition Notifications for Cooperative Housing Society. Key Legal Issues Involve Compliance with Scheme Requirement Under Section 3(f)(vi) of the Land Acquisition Act, 1894 and Lapsing of Proceedings Under Section 24 of the Land Acquisition Act, 2013.

High Court: Karnataka High Court Bench: BENGALURU
  • 1
Judgement Image
Font size:
Print

Case Note & Summary

The matter concerned writ appeals filed by M/s. Bharath Earth Movers Gruha Nirmana Sahakari Sangha Niyamitha, a cooperative housing society, challenging a single judge's order that quashed land acquisition notifications for the formation of residential sites at Bogadi village, Mysore. The society had sought acquisition of lands for its members, and the State Government issued preliminary and final notifications under the Land Acquisition Act, 1894. Several landowners filed writ petitions, raising grounds that Part VII of the Act (Sections 38-40) was not complied with and no proper scheme was approved as required under Section 3(f)(vi). The single judge, after detailed hearing, quashed the acquisition proceedings on 7 April 2003. The society appealed, arguing that Part VII applies only to companies and not to cooperative societies, that acquisition was for a public purpose under Section 4, and that a scheme had in fact been submitted and approved. The society also contended that possession was taken, layout developed, and buildings constructed, so the acquisition could not be nullified. During the appellate hearing, the landowners raised an additional ground under Section 24 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, asserting that the acquisition lapsed because actual possession was not taken and no compensation was paid or deposited. The High Court framed three core issues: applicability of Part VII, existence of a valid approved scheme, and lapsing under the 2013 Act. The judgment text, however, ends before the court's analysis and decision, leaving the outcome undetermined. The appeals were heard by a division bench, which reserved judgment and delivered it at the Kalaburagi bench, but the available excerpt only covers the factual background, arguments, and the framing of issues.

Headnote

A) Land Acquisition - Acquisition for Cooperative Society - Applicability of Part VII - Land Acquisition Act, 1894, Sections 38-40 - The court examined whether the procedure under Part VII of the Act, applicable to companies, also applies to a cooperative society where acquisition is for a public purpose. The appellant argued that it is not a company and only Section 4 applies, while respondents contended strict compliance with Sections 38-40 was required (Paras 8, 12).

B) Land Acquisition - Scheme Requirement - Section 3(f)(vi) of Land Acquisition Act, 1894 - The court considered whether the appellant submitted a scheme to the Government and whether it was approved. The respondents argued that no scheme was produced and no approval was given, while the appellant claimed the list of members and site details constituted a scheme that the Government accepted (Paras 8.1, 8.2, 9, 10).

C) Land Acquisition - Lapsing of Acquisition - Section 24 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - The court looked into whether the acquisition had lapsed due to non-taking of physical possession and non-deposit of compensation, as claimed by respondents under the new Act. The appellant contended that possession was taken and layout formed, thus the acquisition could not be quashed (Paras 8.2, 9, 10).

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

1) Whether the procedure contemplated under Part VII or Chapter III of the Land Acquisition (Amendment) Act 1961 is applicable for acquisition of lands in question; 2) Whether the appellant submitted a scheme to the Government and whether such scheme was approved; 3) Whether the acquisition proceedings lapsed under Section 24 of the new Land Acquisition Act, 2013.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

Decision not clearly stated

Law Points

  • Legal points not extracted
  • Applicability of Part VII of Land Acquisition Act
  • 1894 to cooperative societies
  • Requirement of scheme under Section 3(f)(vi) of Land Acquisition Act
  • 1894
  • Lapsing of acquisition under Section 24 of the Right to Fair Compensation and Transparency in Land Acquisition
  • Rehabilitation and Resettlement Act
  • 2013
Subscribe to unlock Law Points Subscribe Now

Case Details

2016 LawText (KAR) (03) 3

W.A. NO.5279/2003 (LA) AND W.A. NOs.5280-5281/2003 (LA) AND W.A. NOs.5282-5283/2003 (LA)

2016-03-29

MOHAN M. SHANTANAGOUDAR, K.N. PHANEENDRA

Citation not available

For appellant: T.S. AMAR KUMAR, T.S. KARUMBAIAH, P.C. VINITHA; For respondents: D. ASWATHAPPA, B.M. ARUN, L.M. PANDURANGASWAMY, K.T. MOHAN, M.V. SHESHACHALA, B. RAMESH, SARALA V.M., K.V. ARAVIND, B.M. SURESH BABU, MANJUNATH

M/S.BHARATH EARTH MOVERS GRUHA NIRMANA SAHAKARI SANGHA NIYAMITHA, MYSORE

State of Karnataka, The Special Deputy Commissioner, The Land Acquisition Officer, Chennaiah (dead by LRs), Venkatalakshmamma, Lakkamma, B.L. Chandrashekar, C. Lakkamma @ Lakshmamma, Chennappa, Erannaswamy, B. Basappa, B. Ningappa, L. Sanjeeva, Mysore Urban Development Authority

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Writ appeals against the order of a single judge quashing land acquisition notifications.

Remedy Sought

Appellant society sought to set aside the quashing order and uphold the acquisition.

Filing Reason

The single judge had quashed the acquisition proceedings on the grounds that Part VII of the Land Acquisition Act, 1894 was not complied with and no scheme was approved.

Previous Decisions

The single judge, by judgment dated 7 April 2003 in W.P. Nos.766/1997, 37048-49/1995, and 37227-28/1995, quashed the acquisition notifications dated 17 July 1992 and 3 May 1993.

Issues

1) Whether the procedure contemplated under Part VII or Chapter III of the Land Acquisition (Amendment) Act 1961 is applicable for acquisition of lands in question? 2) Whether the appellant has submitted any “scheme” to the Government for acquisition of the lands and whether such “scheme” has been approved by the Government or not? 3) Whether the acquisition proceedings in any manner lapsed under Section 24 of the new Land Acquisition Act, 2013 or not?

Submissions/Arguments

Appellant argued that Part VII of the Land Acquisition Act, 1894 (Sections 38-40) is not applicable because the appellant is a cooperative society, not a company, and acquisition was for a public purpose, so only Section 4 applies. Appellant contended that a scheme was submitted to the Government and approved, as materials on record show a list of members, site requirements, and distribution plan. Appellant argued that possession of the land was taken, layout formed, and buildings constructed, thus physical possession deemed taken under Section 16 of the Act, and the acquisition cannot be quashed on that ground. Appellant submitted that the respondents cannot raise new grounds under Section 24 of the 2013 Act as these were not available under the old Act. Respondents/land owners argued that the provisions of Part VII were not complied with, and no valid scheme was submitted or approved as required under Section 3(f)(vi). Respondents contended that actual possession of the land was not taken and no compensation was paid to the land owners, therefore the acquisition lapsed under Section 24 of the 2013 Act. Respondents further argued that there were discrepancies in the extent of land required and acquired, and that the single judge had correctly quashed the notifications after a detailed consideration of the facts and law.

Ratio Decidendi

Ratio not explicitly mentioned

Judgment Excerpts

the provisions under part VII of the Land Acquisition Act ... had not been complied and Sections 38 to 40 have not been strictly followed, therefore, the acquisition was illegal. the appellant Society is a Co-operative Society within the meaning of the definition and the Government has accorded approval to the Co-operative Society for the purpose of forming lay out for the benefit of its members there is absolutely no scheme provided to the Government. actual possession of the land has not been taken, and no compensation has been paid and therefore, the acquisition lapses u/s.24 of the new Act.

Procedural History

The appellant cooperative society sought acquisition of lands at Bogadi village for residential sites. The Government issued a Preliminary Notification on 17.7.1992 and a Final Notification on 3.5.1993 under the Land Acquisition Act, 1894. Land owners filed writ petitions challenging the notifications. The single judge, by order dated 7.4.2003, quashed the acquisition proceedings. The appellant society filed the present writ appeals under Section 4 of the Karnataka High Court Act, praying to set aside the single judge's order.

Acts & Sections

  • Land Acquisition Act, 1894: 3(f)(vi), 4, 16, 38, 39, 40
  • Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013: 24
  • Karnataka High Court Act, 1961: 4
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court High Court of Karnataka Hears Writ Appeals Challenging Quashing of Land Acquisition Notifications for Cooperative Housing Society. Key Legal Issues Involve Compliance with Scheme Requirement Under Section 3(f)(vi) of the Land Acquisition Act, 1894 an...
Related Judgement
High Court High Court of Karnataka Allows Petition in Education and Service Matters — Multiple Petitioners Seek Relief Related to Education and Service Disputes. No specific legal finding extractable as judgment text is limited to the cause title and party li...