High Court of Karnataka Allows Writ Petition for Correction of Award in Land Acquisition Case — Interest from Date of Possession Granted. The court held that interest on compensation under Section 34 of the Land Acquisition Act, 1894 is payable from the date of taking possession, not from the date of preliminary notification, and the trial court erred in dismissing the application under Section 152 CPC.

High Court: Karnataka High Court Bench: BENGALURU In Favour of Accused
  • 28
Judgement Image
Font size:
Print

Case Note & Summary

The petitioners, Mudalagirigowda and K V Suresha, filed a writ petition under Articles 226 and 227 of the Constitution of India challenging an order dated 06.02.2013 passed by the Senior Civil Judge and JMFC, Gubbi, dismissing their application under Section 152 of the Code of Civil Procedure, 1908 (CPC) in LAC No. 491/2006. The petitioners' father was the owner of land bearing Sy.No.199/1 measuring 30 guntas in Kodigenahalli, Kasaba Hobli, Gubbi Taluk, which was acquired for the formation of Hemavathy Canal. A preliminary notification was issued on 14.02.2002, followed by a final notification on 05.03.2003. The Special Land Acquisition Officer passed an award determining compensation. The father sought a reference under Section 18(1) of the Land Acquisition Act, 1894 for enhancement of compensation, which was registered as LAC No. 491/2006. The reference court enhanced the compensation by judgment and award dated 19.10.2012 (Annexure-B). The petitioners then filed an application under Section 152 CPC seeking correction of the award, contending that possession of the land was taken on 03.04.1998, and therefore they were entitled to interest from that date, whereas the award granted interest only from the date of preliminary notification (14.02.2002). The trial court dismissed the application by order dated 06.02.2013 (Annexure-D). The petitioners challenged this order in the writ petition. The High Court considered the submissions. The petitioners' counsel argued that since possession was taken on 03.04.1998, interest should be paid from that date. The respondent's counsel argued that the petitioners were not entitled to interest from the alleged date of possession. The High Court held that the petitioners were entitled to interest from the date of taking possession, i.e., 03.04.1998, and not from the date of preliminary notification. The court found that the trial court had erred in dismissing the application under Section 152 CPC. Accordingly, the writ petition was allowed, the impugned order dated 06.02.2013 was quashed, and the trial court was directed to correct the award by granting interest from 03.04.1998.

Headnote

A) Land Acquisition - Interest on Compensation - Date of Possession - Section 34, Land Acquisition Act, 1894 - The court held that interest on compensation is payable from the date of taking possession of the land, not from the date of preliminary notification. The trial court's award granting interest from the preliminary notification date was erroneous as possession was taken earlier. The application under Section 152 CPC for correction of the award to reflect the correct date of possession was wrongly dismissed. (Paras 1-4)

B) Civil Procedure - Correction of Clerical Mistakes - Section 152, Code of Civil Procedure, 1908 - The court held that an application under Section 152 CPC is maintainable to correct a clerical or arithmetical mistake in the award, such as the date from which interest is calculated. The trial court's dismissal of the application was set aside, and the award was directed to be corrected to grant interest from the date of possession. (Paras 2-4)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the petitioners are entitled to interest on enhanced compensation from the date of taking possession (03.04.1998) instead of from the date of preliminary notification (14.02.2002), and whether the trial court erred in dismissing the application under Section 152 CPC for correction of the award.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The writ petition is allowed. The impugned order dated 06.02.2013 passed by the Senior Civil Judge and JMFC, Gubbi, in LAC No. 491/2006 is quashed. The trial court is directed to correct the award by granting interest from the date of taking possession, i.e., 03.04.1998.

Law Points

  • Section 152 CPC allows correction of clerical or arithmetical mistakes in judgments
  • decrees or orders
  • Interest under Section 34 of the Land Acquisition Act
  • 1894 is payable from the date of taking possession
  • not from the date of preliminary notification
  • The court can correct an award to reflect the correct date of possession for interest calculation.
Subscribe to unlock Law Points Subscribe Now

Case Details

2013 LawText (KAR) (10) 14

W.P.No.46149/2013(LA-RES)

2013-10-10

S. Abdul Nazeer

S C Vijaya Kumar (for petitioners), R.B.Satyanarayana Singh (HCGP for respondent)

Mudalagirigowda and K V Suresha

The Special Land Acquisition Officer, Hemavathi Canal Zone, Tumkur

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

Nature of Litigation

Writ petition under Articles 226 and 227 of the Constitution of India challenging an order dismissing an application under Section 152 CPC for correction of an award in a land acquisition reference.

Remedy Sought

Petitioners sought quashing of the order dated 06.02.2013 passed by the Senior Civil Judge and JMFC, Gubbi, in LAC No. 491/2006, and direction to correct the award to grant interest from the date of possession (03.04.1998) instead of from the date of preliminary notification (14.02.2002).

Filing Reason

The trial court dismissed the petitioners' application under Section 152 CPC seeking correction of the award to reflect interest from the date of possession, which the petitioners contended was erroneous.

Previous Decisions

The reference court (Senior Civil Judge and JMFC, Gubbi) enhanced compensation by judgment and award dated 19.10.2012 in LAC No. 491/2006, granting interest from the date of preliminary notification (14.02.2002). The trial court dismissed the application under Section 152 CPC on 06.02.2013.

Issues

Whether the petitioners are entitled to interest on enhanced compensation from the date of taking possession (03.04.1998) instead of from the date of preliminary notification (14.02.2002). Whether the trial court erred in dismissing the application under Section 152 CPC for correction of the award.

Submissions/Arguments

Petitioners' counsel (Sri S.C. Vijaykumar) submitted that possession of the land was taken on 03.04.1998, and therefore interest should be paid from that date, not from the preliminary notification date. Respondent's counsel (HCGP) submitted that petitioners are not entitled to interest from the alleged date of taking possession.

Ratio Decidendi

Under Section 34 of the Land Acquisition Act, 1894, interest on compensation is payable from the date of taking possession of the land, not from the date of preliminary notification. The trial court's award granting interest from the preliminary notification date was erroneous as possession was taken earlier. An application under Section 152 CPC is maintainable to correct such a clerical or arithmetical mistake in the award.

Judgment Excerpts

Petitioners contend that their father was the owner of land bearing Sy.No.199/1 measuring 30 guntas... A preliminary notification dated 14.02.2002 was issued... This was followed by a final notification dated 05.03.2003. Petitioners made an application under Section 152 of the Code of Civil Procedure seeking correction of the award... The application was dismissed by the trial Court by its order at Annexure ‘D’ dated 06.02.2013. Sri S.C.Vijaykumar, learned counsel for the petitioners submits that possession of the land has been taken on 03.04.1998... petitioners are entitled for interest on the compensation amount from the date of taking possession i.e., 03.04.1998.

Procedural History

The father of the petitioners owned land acquired for Hemavathy Canal. Preliminary notification issued on 14.02.2002, final notification on 05.03.2003. The Special Land Acquisition Officer passed an award. The father sought reference under Section 18(1) of the Land Acquisition Act, registered as LAC No. 491/2006. The reference court enhanced compensation by judgment and award dated 19.10.2012. Petitioners filed application under Section 152 CPC for correction of award to grant interest from date of possession (03.04.1998). The trial court dismissed the application on 06.02.2013. Petitioners filed writ petition under Articles 226 and 227 of the Constitution of India challenging the dismissal order.

Acts & Sections

  • Land Acquisition Act, 1894: Section 18(1), Section 34
  • Code of Civil Procedure, 1908: Section 152
  • Constitution of India: Articles 226, 227
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court High Court of Karnataka Allows Writ Petition for Correction of Award in Land Acquisition Case — Interest from Date of Possession Granted. The court held that interest on compensation under Section 34 of the Land Acquisition Act, 1894 is payable fro...
Related Judgement
Supreme Court Supreme Court Hears Appeal from High Court Order Granting Interim Custody of Vehicles in Criminal Misappropriation Case. Appellant Seeks Custody Based on Registration Certificates; Respondent Company Claims Possession Under Undertaking.